WORLD TRADE  
ORGANIZATION  G/SPS/GEN/545 
28 February 2005 
 (05-0838) 
Committee on Sanitary a nd Phytosanitary Measures  
  
 
REVIEW OF STANDARDS RELATED ISSUES IDENTIFIED 
IN THE INTEGRATED FRAMEWORK DIAGNOSTIC  
TRADE INTEGRATION STUDIES  
 
Note by the Secretariat
1 
 
 
I. INTRODUCTION 
1. The aim of this document is to review standa rds related issues identified in the Integrated 
Framework (IF) process which may constrain the ability of Least Developed Countries (LDCs) to 
improve their export performance.  A complementary objective of this document is to ensure synergy 
in the work of the Standards and Trade Development Facility (STDF) and the IF.  The partners in the 
STDF have committed to devote at least 40 per cen t of facility resources to projects from LDCs.  
Exploitation of synergies with the IF will assist  the STDF partners (the Food and Agriculture 
Organization (FAO), the World Organization for Anim al Health (OIE), the World Bank, the World 
Health Organization (WHO) and the World Trade Orga nization (WTO)), in meeting that target.  As 
such, the exercise is not an exhaus tive identification of SPS needs, but rather a review of IF literature 
to highlight where such n eeds have been expressed.   
2. The Integrated Framework (IF) is a process th at was established in 1997 to support LDC 
governments in trade capacity building and integratin g trade issues into overall national development 
strategies.  It is an international initiative th rough which the IMF, ITC, UNCTAD, UNDP, the World 
Bank and WTO have combined their efforts with t hose of LDCs and donors.  It enables countries 
which have been designated as LDCs to work with these six agencies, as well as with other 
development partners and the donor community, to en sure that national trade policies are integrated 
into their respective development strategies.  The IF facilitates a coordinated response to the trade 
related assistance and capacity building needs identified by each LDC government. 
3. The IF is a four-part process comprising: 
¾ Awareness-building on the importance of trade for development; 
 ¾ A Diagnostic Trade Integration Study (DTIS) to identify constraints to traders in sectors of 
greatest export potential, and a plan of action; 
 
¾ Integrating the plan of action into the national development plan, such as the Poverty 
Reduction Strategy Process (PRSP);  and 
 ¾ Implementation of the plan of action in pa rtnership with the development cooperation 
community.  
                                                     
 
1 This document has been prepared under the Secret ariat's own responsibility and is without prejudice 
to the positions of Members or to their rights or obligations under the WTO. G/SPS/GEN/545 
Page 2  
 
 4. At the heart of the IF process lies the Diagnostic  Trade Integration Study (DTIS).  The DTIS 
aims to identify sectors of export potential, identify supply side constraints to trade, recognize human and institutional constraints, identify measures to be  taken to apply international and regional trade 
agreements and analyse implications for growth and poverty reduction.  DTIS recommendations are 
grouped into an action matrix which serves as a basis for co-ordinating priority actions and integrating 
them into national development plans.  During th e DTIS Validation Workshop, the government and 
other key stakeholders analyse the results of th e proposed draft DTIS and action matrix and make 
recommendations.  The DTIS and its action matrix are then validated by the government at a later stage.  Once any recommendations have been incorpor ated into a revised final draft, the DTIS is a 
document endorsed by the entire government (and private sector). 
Table 1:  Implementation of the IF in LDCs 
 
Countries that 
have completed 
the DTIS 
process Countries that 
have started 
the DTIS 
process Countries 
commencing the 
DTIS process Countries 
where IF work 
is currently in 
abeyance New 
Applicants to 
the IF 
Burundi Benin Angola Central African 
Republic Liberia  
Cambodia Chad Burkina Faso Equatorial 
Guinea Democratic 
Republic of 
Congo 
Djibouti Lao P.D.R. Uganda Sudan   
Ethiopia Rwanda Niger Comoros   
Guinea Sao Tome and 
Principe Maldives Haiti  
Lesotho Tanzania The Gambia   
Madagascar Zambia Sierra Leone   
Malawi     
Mali      
Mauritania      
Mozambique      
Nepal     
Senegal     
Yemen     
 
Note: Bangladesh was part of the IF  when launched in 1997 but has not been involved in the revised 
IF process to date.  Eritrea has decided to take a pause in the IF process. 
 5. The IF Trust Fund was created in 2001 with two funding instruments, Window I and Window 
II.  Window I finances the preparation of DTIS .  Window II provides bridging funds for capacity-
building activities that are part of the DTIS Action Matrix.  Funding of the Action Plan comes 
primarily from bilateral donors as part of the overall r esponse to national poverty reduction strategies.    G/SPS/GEN/545 
 Page 3 
 
 
 II. DTIS OVERVIEW 
6. The objective of the DTIS is to assess the co mpetitiveness of the economy and of the sectors 
that are engaged in international trade or have such  potential.  Preparations of the study include in 
general a preliminary mission and a main field mission lasting three weeks.  Each DTIS typically has six components:  (i) a review and analysis of th e country's economic and e xport performance;  (ii) a 
description and assessment of the macroeconomic envir onment and the country's investment climate;  
(iii) an assessment of the international policy envi ronment and specific constraints that exports from 
each country face in international markets;  (iv)  an assessment of a small number of key sectors 
believed to have significant potentia l for expansion in output and trade in benefit of the poor;  (v) an 
assessment of national capacity (public and private) to  formulate and implement trade policy;  and (vi) 
a pro-poor trade integration strategy.   
7. The DTIS exercise is not an evaluation of the cap acity of the country surveyed to meet import 
requirements, or the country's ability to protect it self from SPS challenges.  As such, in a number of 
countries, notably Lesotho and Yemen, standards i ssues are not touched on in the DTIS analysis.  
Where standards issues do arise (e.g. Dijbouti and Ethiopia with livestock exports or Senegal with 
fumigation of fruit and vegetable exports), further analysis of technical issues is likely to be 
necessary.  To assist further analysis, three potential actions can be foreseen: 
¾ The development of a common methodology for us e by IF study teams when they begin the 
DTIS process to ensure adequate  reporting of standards' issues; 
 ¾ The use of in-depth capacity evaluation tools developed by the FAO, IPPC and OIE to 
establish priorities in the food safety, plant protection and animal health areas;  and 
 ¾ The financing of project preparation grants to turn highlighted priority action areas in DTIS 
into projects.  
 
8. The STDF is currently funding the development of a project (STDF 20) to establish a 
methodology for "Country-based plans for SPS related Development".  This project will yield a methodology on standards issues which can provide gui dance for IF teams as they embark on DTIS 
missions.  In addition, the STDF has funded the devel opment of a veterinary capacity evaluation tool 
by the OIE.  This tool, which should be finalized  in 2005, will complement the IPPC's phytosanitary 
capacity evaluation tool and a similar tool on food safety currently in development by FAO.   
III. STANDARDS ISSUES ARISING FROM NATIONAL DTIS  
Burundi 
9. Agriculture provides over 94 per cent of employment, more than 50 per cent of the Gross 
Domestic Product and over 90 per cent of export  earnings for Burundi.  Exports are heavily 
concentrated in one sub-sector, coffee, which account s for some 70 per cent of all export revenues.  
Other exports include tea, cotton and sugar.  Effo rts at export diversification, especially into cut 
flowers, various fresh fruits and vegetables, have to  date had little impact, in part because Burundi is 
still struggling to revive its economy after the dama ge caused by the civil conflict of the 1990s.  GDP 
is estimated to have fallen by 30 per cent between  1993 and 2000.  As the DTIS underlines, assuring 
peace and security in the first challenge in reviving the Burundian economy.   
10. Two main needs are identified for the coff ee sector:  the introduction of measures to 
strengthen the competitiveness of the coffee sector a nd a strengthening of quality control systems.  
Actions to strengthen quality are focused on ensuri ng that Arabica and Robusta retain their quality 
through washing and other processing.  However, specific problems with diseases, in particular G/SPS/GEN/545 
Page 4  
 
 antestiopsis and Coffee Berry Disease, are also identified, as are the increasing demands of coffee 
importing countries on quality control and residue monitoring, although no specific examples are given or remedial actions identified.  The collap se of extension services during the civil conflict has 
not helped farmers in this regard.  In the ab sence of commercial estates, coffee is grown by semi-
subsistence households for cash income.  Efforts to  assure quality and to control coffee diseases will 
therefore have a direct impact on rural poverty.    
11. Cultivation of tea is also focused on poor rural households, but unlike in the coffee sector, tea 
exports appear to have grown in the past years.  One suggested action to bolster this export growth is 
the introduction of a "Burundi tea" quality label that would advertise Burundi's compliance with 
export standards.   
12. The DTIS identifies fruits, vegetables and cut flowers as areas where Burundi has climatic 
and geographical advantages.  Production of these items  had started in the 1980s but was interrupted 
by the civil conflict.  The authors of the DTIS ar e clearly of the view that export diversification 
activities should be focused on these areas.  To this end, a number of Integrated Framework Window 
II projects have been approved in this area, notably projects: 
¾ Project Rugofarm to develop the pr oduction and export of essential oils; 
¾ Project Trading Business greenhouse cultivation of flowers;  
¾ Project BBN for the establishment of an ISO9000 quality management scheme;  and  
¾ Project Cotirex for the drying of fruits and vegetables for export. 
13. The DTIS alludes to standards issues and the funding of projects with standards components 
under Window II would suggest that problems exist in this area.  However, clear recommendations do 
not emerge in this regard from the DTIS.  
Cambodia 
 
14. The DTIS for Cambodia contains detailed analysis of the rice and fisheries sectors, with 
reference also made to opportunities in "niche" prod ucts such as spices, herbs, speciality fruits and 
other products.  One message to emerge clearly from the analysis is that diversification of household 
production away from a simple dependence on rice cultiv ation is a key component of any strategy to 
alleviate poverty. 
15. The DTIS notes a movement away from rice as a simple source of food security to also a 
source of income and trade, but notes that a number of factors (poor transport infrastructure, arcane export procedures and informal payments) are holdi ng back the further evolution of the sector.  
Standards are not referenced as a constraint.  Sim ilar constraining factors are quoted as holding back 
the development of diversified agriculture and agro-processing (poor transport links, inadequate 
telecommunications infrastructure, high energy costs,  limited market information, little private sector 
capacity and insufficient access to credit).  One recommendation made is to examine the potential 
benefits of an export quality identity scheme tie d to quality management programmes, with an 
accredited certifying body.   
16. Detailed analysis is given to the fisheries sector.  Despite government intervention in all 
stages of fish production and sale, there is no ma nagement regime to control over-fishing.  With 
respect to the export of fish products, particular an alysis is given to arrangements on the Thai border.  
SPS concerns are not raised directly, but technical assistance is recommended to assist the Cambodian 
government to develop a regulatory system for exports to the United States and European Union.  The  G/SPS/GEN/545 
 Page 5 
 
 
 DTIS reports that exports of fish to the Europ ean Union have ceased pending the establishment of a 
regulatory structure to ensure safe hygiene. 
17. The DTIS makes passing reference to standards issues, but does not identify them in detail.  
For example, reference is made to detailed Inte rnational Trade Centre studies on opportunities and 
constraints in a series of product markets (bananas, organic products, coconut, cut flowers etc.), but 
conclusions on standards' constraints which may have  emerged are not reflected in the main body of 
the DTIS.  Further analysis is needed be fore possible projects can be identified. 
Dijbouti 
 
18. The DTIS for Dijbouti identifies three products where growth prospects may be inhibited by 
standards' issues:  salt, fisheries and livestock. 
19. The DTIS identifies salt as a profitable commodity in bilateral trade with Ethiopia, but notes 
that low iodine content and high production costs rela tive to the world price may inhibit growth of the 
sector and penetration of other markets.    
20. Development of fishery exports is recommended by  the DTIS.  The target market suggested is 
the European Union.  The DTIS recognises that Djib outi must upgrade its facilities to be able to meet 
European Union import requirements and that significant capital investment may be necessary to achieve this goal.  In May 2004, Djibouti's Department of Agriculture, Animal Husbandry and Veterinary Services was awaiting the construction of a laboratory to be financed by the African 
Development Bank.  The DTIS identifies laborat ory staff training and the establishment of the 
authority which will provide accreditation services to  European Union requirements as a priority, 
along with expansion of Department  of Veterinary Services (at the port and the airport) and the 
Department of Fisheries. 
21. Re-establishing livestock exports to the Arabia n peninsula and other regional markets is 
identified as a priority action.  In the mid-1990s, the port of Djibouti was shipping up to 350,000 animals per year.  However, Rift Valley Fever (R VF) outbreaks in the Horn of Africa have meant 
that, with the exception of Yemen, regional market s have closed to livestock exports.  The DTIS 
recommends a reactivation of livestock trade to be achieved through a strengthening of the national 
veterinary services and measures to build confidence among trade partners. 
22. Work has already begun to try and reactivate regional exports, notably with the establishment 
of the Red Sea Livestock Trade Commission.  The DTIS also indicates that efforts have been made to establish a quarantine and transit centre.  Howeve r the DTIS also points to continuing problems, 
notably slaughterhouse and refrigeration facilities th at are in need of major renovation and export 
formalities that are overly bureaucratic.  Donor support programmes are playing a role, with the 
European Union and United States running programme s in the livestock sector.  In particular, a 
project funded by the United States government, the Regional Agricultural Trade Expansion Support programmes (RATES), has been active in the deve lopment of a pilot livestock holding facility and 
other activities designed to assist in the re- activation of the regional livestock trade. 
Ethiopia 
23. The DTIS for Ethiopia highlights the critical ro le that agriculture plays in the Ethiopian 
economy and the opportunities that trade can offer in transforming this sector.  Agriculture accounts 
for 55 per cent of GDP, 85 per cent of employment and 90 per cent of all exports.  Non-tariff barriers 
are recognised as a serious problem for Ethiopian e xports, in particular for the livestock sector.  A 
strong conclusion from the DTIS is that these ba rriers are inhibiting Ethiopia from reaping the G/SPS/GEN/545 
Page 6  
 
 benefits offered by the European Union's Everythi ng But Arms initiative, the United States' African 
Growth and Opportunities Act and through the Comm on Market for Eastern and Southern Africa. 
24. The cereals, horticulture, sugar, coffee, and livest ock sectors are given detailed analysis in the 
DTIS.  In the cereals sector, technological handicaps, poorly functioning markets and land tenure emerge as the primary concerns, with actions suggest ed to tackle these problems.  Prospects in the 
horticulture sub-sector are reported as positive, but unde r-exploited.  The analysis of this sector is 
centred on how to establish a thriving horticulture sect or, rather than SPS problems encountered.  One 
recommendation made is that training programmes in the horticulture sector should be strengthened.  
An important component of these issues also needs to be attention to SPS constraints
2. 
25. The Ethiopian sugar sector differs from other crops in that cultivation is centred on 
commercial holdings rather than smallholders.  Technological constraints leading to poor 
productivity, low investment and continued state owne rship, along with poorly functioning markets, 
are identified as constraints.  Some of the same constraints, combined with a global downturn in 
prices, also affect the coffee sector.3  The DTIS reports potential in niche markets like organic, fair 
trade and ecological coffee, as well as by publicisin g Ethiopia as the origin of Arabica coffee.  The 
key to unlocking this potential is identified as a system which allows producers to certify origin. 
26. The DTIS identifies the livestock sector as critical  both to the livelihoods of millions of rural 
poor and to external trade, in partic ular when the informal market is in cluded.  It is also a sector with 
considerable SPS challenges, not least as a result of the presence of a range of animal diseases such as 
rinderpest, foot and mouth disease and Rift Valley fever. 
27. Market opportunities are identified for livestock and meat in the Middle East and for leather 
products worldwide.  However, to maintain  and expand access to these markets, the DTIS 
recommends urgent actions to: (a) improve sa nitary controls; (b) simplify administrative 
requirements;  (c) improve infrastructure;  and (d ) empower the main stakeholder organizations.  Key 
to improving sanitary controls is strengthening the anim al health infrastructure, in particular in disease 
surveillance and quarantine.   One particular recommendation is the establishment of disease-free 
zones according to OIE guidelines. 
28. Given the importance of Dijbouti for Ethiopia's formal trading links with the Middle East and 
other markets, improvements to port facilities and the establishment of an internationally recognized 
pre-export quarantine centre in that country wo uld have positive spin-off effects for Ethiopian 
livestock exports. 
29. Within the DTIS, the following priority actions are recommended: 
¾ Invite specialized expertise from OIE to carry out a sanitary audit and develop an action plan 
to improve sanitary coverage, including pr omotion of private professional and public 
professional services; 
 ¾ Assist the live animals, meat and the tanners associations with technical assistance, and funds 
to enable them to promote Ethiopian livestock products, and participate actively in the policy 
discussions on SPS in WTO; 
 
                                                     
 
2 Kenya's experience of compliance with EC Regulation 2002/36/EEC may be instructive in this 
regard.  See paras. 286-289 of document G/SPS/GEN/204/Rev.4. 
3 A number of coffee exporters have raised concerns over Germany's maximum tolerance levels for 
Ochratoxin A in ground coffee and EU plans to introduce a harmonised EU-wide maximum tolerance level.  See 
paras. 240-242 of document G/SPS/GEN/204/Rev.4  G/SPS/GEN/545 
 Page 7 
 
 
 ¾ Provide technical assistance to explore infrastru cture improvement through Port of Djibouti 
(rail-road, port facilities); 
 ¾ Provide technical assistance to government in assessing the feasibility of establishing disease 
free zones (land rights, costs, operation, etc); 
 
¾ Provide technical assistance and funds to eradicate key diseases, first on a regional and 
possibly in the long term on a countrywide basis;  and 
 ¾ Provide technical assistance to improve admini strative procedures, reducing the number of 
institutes involved, and explorin g the potential of greater use of electronic documentation.  
 30. A number of donors are currently involved in t echnical assistance in the livestock sector - the 
African Development Bank, the European Union an d the United States all have projects underway.  
The World Bank has included Ethiopia within its  Cost of Compliance work.  With IF Window II 
funding, a project is also being established of whic h one component will be to enhance the capacity of 
the Ethiopian Quality and Standards Authority and the Ministry of Agriculture and Rural Development.   
Guinea 
31. Guinea's exports are concentrated on the mining sector which accounts for over 90 per cent of 
export revenues.  However, agriculture remains the biggest employer accounting for two-thirds of all 
employment and some 17 per cent of GDP.  Despit e a range of advantages in climate and natural 
resources, the development of the agriculture sector has been held back by market distortions or 
defects (notably input markets), the high cost of  credit, insufficient agricultural support services and 
shortcomings in the legal and regulatory framework.  Due to the weak Guinean  exports of agricultural 
and food products, barriers to market access created by SPS measures are not reported as directly 
affecting the sector's performance.  Nevertheless, the DTIS recognises that insufficient attention to 
quality and safety issues could in future hamper the development of trade.  In this context, a number 
of concerns are raised with respect to European  Union legislation on mycotoxins for coffee and fruit 
and vegetable exports, although, as yet, consignments  have not been rejected.  Livestock and meat 
product exports are marginal and are confined to th e informal sector.  Expanding these exports would 
mean re-organizing the sector, especially in term s of compliance with export health standards. 
32. UNIDO has been active in providing Guinea assist ance through a programme with the Institut 
National des Normes et de la Métrologie (INNM) in  the areas of standardization and quality control 
for products with high export potential.  The Na tional Service for Quality Control and Standards 
(NSQCS) has also benefited from assistance in trai ning and equipment designed to allow it to verify 
conformity with Codex standards.  The DTIS reco mmends that investment be made in the necessary 
resources for INNM and NSQCS to allow them to en sure that exporters comply with international 
standards and promote quality through farmer's and exporter's awareness and training programmes. 
33. The fishing sector is another area where expor t could be improved with attention to quality 
and safety issues.  The DTIS reports that for fresh and frozen products, Guinean operators are 
currently allowed by European health authorities to  export only lightly processed products, excluding 
high value added products like filets.  With assistan ce, the Guinean sector may be able to expand into 
higher value fish products.  
34. The Guinean DTIS makes passing reference to th e need to pay attenti on to SPS and quality 
issues, but does not make any clear recommendation in  this regard.  A more comprehensive overview 
of how standards may impact Guinean exports now and in the future is necessary before technical 
assistance opportunities can be identified. G/SPS/GEN/545 
Page 8  
 
 Lesotho 
35. The DTIS for Lesotho is devoid of detail on the agriculture sector.  No analysis is provided of 
agricultural production, whether on a subsistence or semi-subsistence basis, and no mention is made 
of any barriers to trade faced by Lesotho's agricultu ral exports.  Where brief reference is made to SPS 
or TBT concerns, the recommendation is that Lesotho adopt the relevant South African legislation.  
Agriculture is clearly a priority action sector since a two-year IF Window II project focusing on 
product and market development of agro-b ased products has been approved.   
Madagascar 
36. The agricultural and fisheries s ectors account for nearly 43 per cent of GDP and just under 
50 per cent of total exports, and employ more than 75 per cent of the active population.  Efforts to 
reduce poverty depend on reversing the long-term downward decline in  production, improvement in 
the competitiveness and local value-added of both traditional and non-traditiona l exports and raising 
the general productivity and sustainability of produc tion systems.  Encouragement is to be found in 
the fact that while agriculture h as stagnated, the fisheries sector has boomed, in particular shrimp and 
canned tuna.   
37. Much of the DTIS analysis is concerned with explaining the reasons for agricultural 
stagnation, with factors such as poor transport in frastructure, degradation of natural resources, 
production related meteorological risks, lack of modern  input use, limited acce ss to credit, ill-defined 
property rights and deteriorating irrigation infrastructure all highlighted.  In the analysis of specific sub-sectors (vanilla, cotton, sugar and rice), the focus is on stimulating producti on and productivity.   
38. Where standards issues emerge in the DTIS is  with respect to the seafood industry which has 
grown over the past ten year and become the sec ond biggest generator of foreign exchange after 
tourism.  The seafood industry is an example of how  standards issues can be positively resolved.  In 
this respect, technical assistance from the European  Union has been essential in ensuring that quality 
and sanitary standards are met.  
39. One area where the DTIS points out a failing is in penetration of the largest regional market, 
South Africa.  Low export volumes are particular ly pronounced for agricultural sector products.  
Unlike neighbouring Mauritius, Madagascar is not a member of either COMESA or SADC.  Co-
operation with neighbouring countries or territories,  notably Mauritius and Reunion, both within the 
framework of the Indian Ocean Commission and with  specific projects such as the European Union-
funded Regional Crop Protection Pr ogramme covering Mauritius, Co moros, Madagascar, Reunion 
and the Seychelles, would seem to have much to offer.
4 
Malawi 
40. Agriculture and agro-processing contribute 57 per cent of GDP and 85 per cent of all 
employment.  Agricultural exports account for 85 pe r cent of Malawi's export trade.  These exports 
are heavily concentrated on th ree commodities (tobacco, sugar and tea) which together account for 
90 per cent of all exports.  This pr oduct concentration is also matched in market concentration, with 
five companies accounting for 85 per cent of tobacco , sugar and tea exports.  Declining or stagnant 
yields combined with declining commodity prices in ternationally have reduced  profitability, incomes 
and investment in these three key products.  Standa rds are not mentioned as a factor constraining 
growth prospects.   
                                                      
4 For more information see document G/SPS/GEN/526.  G/SPS/GEN/545 
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 41. There is a general consensus that the country  must diversify its agricultural product and 
export base.  Two particular products are mentione d as offering scope for di versification: groundnuts 
and paprika.  Past success in exporting the Chal imbana nut variety has convinced a number of 
companies to revive production.  Expanding trad e will require more relia ble production, improved 
post-harvest and storage practices to prevent af latoxin contamination and improvements in seed 
quality and productivity.  Similar issues with aflatoxin contamination threaten to constrain the 
development of production of paprika.  The DTIS recommends that producers in both sectors establish codes of practice, quality and other standards to deal with this issue.   
Mauritania 
42. Fisheries, livestock and other agricultural produc t exports all have the potential to make an 
impact on poverty alleviation in Mauritania.  Howe ver, the DTIS reports that non-tariff barriers to 
trade in the form of SPS measures and technical regula tions are a substantial impediment to trade with 
developed country markets.  These constraints are most obvious in the livestock sector where Mauritania's disease status, lack of modern sla ughterhouse facilities and weak veterinary services are 
limiting trade to informal transactions within region al markets.  The ability of Mauritania to meet 
complicated sanitary legislation for fish exports is  a cause for optimism.  Furthermore, where other 
agricultural export products have been developed (fo r fruits and vegetables) these products appear to 
have met import requirements.  In these latter cases, private sector foreign ventures seem to have assisted in ensuring that products meet the necessary import requirements. 
43. Informal livestock exports to the region are we ll-developed.  Anecdotal evidence cited by the 
DTIS suggests that up to 30 per cent of all livestock is traded with neighbouring countries.  Revenue 
from livestock is a major source of income for the rural poor and contributes some 80 per cent of the 
income of the agricultural sector as a whole.  Th e low quality of livestock for international markets 
and predominance of live exports are impediments to  the development of the sector, as is the absence 
of modern slaughtering facilities and a local tannery.  The DTIS reports that efforts to export camel 
milk and cheese to the European Union have been  unsuccessful due to zoosanitary problems.  
Technical assistance for the livestock sector has b een offered from a number of sources, notably the 
World Bank, FAO, GTZ, OPEC and the African Development Bank.   
44. Fisheries account for approximately 40 per cent of all foreign exchange receipts.  As noted, 
the ability of Mauritanian exported to meet stringe nt sanitary controls for export is a cause for 
optimism.  The DTIS reports that the sector's im pact on the economy could be further expanded in 
terms of growth in value-added, employment  creation and sector sustainability through the 
preparation and implementation of a comprehensive fisheries action plan.  Key to the plan will be 
sustainable exploitation of reserves and co-operativ e efforts with neighbouring countries to ensure 
better market presence for products such as fresh cephalopod exports to Japan.  
45. Non-livestock agricultural diversification is cons trained by climatic constraints.  Positive 
results have been reported for products such as okra, melons, sweet potatoes and green beans, 
particularly in niche organic markets.  No specific standards constraints are reported in this sector.  
Mozambique 
46. Exploitation of diverse agricultural resources and sustainable development of fisheries offers 
great opportunities for Mozambique to expand export revenues and on which to construct a pro-poor 
trade strategy.  Agriculture employs around 80 per cen t of the workforce, with the vast majority of 
farming on a semi-subsistence basis.  Cotton, cashew , coconuts, tobacco and maize are all cash crops 
produced by smallholders that are traded for expor t.  Other exported commodities such as sugar, wood 
and prawns are concentrated in a sm all number of commercial operations.   G/SPS/GEN/545 
Page 10  
 
 47. The DTIS paints a picture of long-term opportunity.  At present, less than 15 per cent of 
arable land is under cultivation and yields are low,  even by regional standards.  Problems of low 
education levels, poorly developed transport networks, high port costs,  weak farmers' organizations, 
lack of access to finance and insecure land rights cu rrently inhibit agricultural development, but the 
DTIS finds cause for optimism in evidence that some of these problems may be easing.  Key to 
reaping the benefits of overcoming these constraint s will be an outward-looking trade strategy.   
48. Mozambique enjoys preferential access for its agricultural products in SADC, the European 
Union and United States markets.  Despite these pr eferences, market barriers remain significant in 
many agricultural products of greatest interest to  Mozambique, such as cotton, sugar, and maize.  
Such barriers include quotas, high out-of-quota tariffs, export subsidies, and domestic support 
programmes.  Meeting SPS requirements in foreign ma rkets is cited as an obstacle, in particular for 
plant and fishery products.  The DT IS states that Mozambique needs to  urgently survey and update its 
pest status report and needs help in eradicating or isolating some pests and in meeting other SPS 
requirements.  For example, probl ems with plant pests have stopped banana and mandarin exports to 
South Africa.  Mozambique's phytosanitary services ar e reportedly very weak and need strengthening.  
The DTIS reports that exports of groundnuts could be  feasible once measures are in place to control 
possible aflatoxin contamination.  The DTIS re ports that Mozambique has approached FAO for 
assistance in strengthening its plant services.   
49. National actions to strengthen the plant protection services in Mozambique might also be 
complemented by assistance to SADC members in removing technical and sanitary barriers to trade 
among members.  In this context, it is useful to note that the UK's Department for International 
Development is currently funding a Regional Trad e Facilitation Programme based in Botswana to 
assist with the development of Southern African trad e.  Within the framework of this project, specific 
inventories of SPS measures have been prepared and a framework for the development of an Annex to 
the Trade Protocol dealing with SPS measures is being developed.   
50. The fishing sector is also an important source of food, employment, and revenue - with three 
percent of the population economically dependent on th e sector.  It is also a leading source of foreign 
exchange earnings.  The DTIS identifies opportuniti es for export expansion of non-traditional marine 
exports such as farmed seaweed, fresh fish, and shrimp aquaculture.  However, constraints are 
identified in sustainable fisher ies management, the capacity to certify products for export and the 
ability of industry to comply with the strict SPS requirements of trading partners.  Key to this 
development, as it has been in  neighbouring Madagascar, will be the European Union-Mozambique 
Fisheries Access Agreement, which took effect on 1 January 2004. 
Nepal 
 
51. According to the DTIS, Nepal is one of the most open economies in the South Asian region, 
with a trade to GDP ratio of around 50 per cent.  Ne pal is dependent on three main markets: Germany 
(carpets), North America (clothing) and India.  I ndia accounts for some 45 per cent of Nepal's exports 
and is the most important partner in agricultura l trade accounting for 80 per cent of all Nepalese 
exports. 
52. Agriculture is the backbone of the economy, employing 75 per cent of the labour force and 
providing around 40 per cent of GDP.  For 90 per cent of the poor, agriculture is the only income generating activity.  The fortunes of the agriculture se ctor are intertwined with those of the rural poor.  
Encouragingly, agricultural exports showed dynamism  in the late 1990s growing at an annual average 
rate of 35 per cent.   
53. 
The DTIS reports Nepal as enjoying comparative advantage in a variety of products such as 
honey, horticulture products, livestock, fisheries products, fibre, off-season vegetables and forest  G/SPS/GEN/545 
 Page 11 
 
 
 products, including medicinal herbs and aromatics.  To address constraints to growth in these markets, 
strategic investments are suggested in: i) capac ity building in agricultu re-related agencies, ii) 
facilitation of border transactions, iii) infrastructur e improvements to promote commercialization, and 
iv) enforcement of quality standards and SPS re quirements at both farm and processing stages. 
54. The DTIS was finalized before Nepal became a Member of WTO on 23 April 2004.  Actions 
necessary for SPS requirements are thus seen through the optic of compliance with the SPS 
Agreement.5  Independent of the accession process, the DT IS stresses that for Nepali exporters to 
meet the standards and regulatory requirements used in importing countries, extensive awareness-
raising activities about foreign standards will be necessary, along with improved laboratory and 
testing facilities. 
55. Reference is made to government agencies that  have received technical assistance to improve 
domestic SPS measures, including an FAO/WHO project  to introduce international standards in the 
dairy industry, FAO support for food control systems, and regional training workshops on the SPS agreement.  In addition, a number of other donors ar e active in Nepal, notably the World Bank, which 
is in the process of developing an action plan to  mainstream SPS activities into Bank operations in 
Nepal. 
Senegal 
56. Fisheries and agricultural exports together account  for nearly 60 per cent of export revenues.  
Both sectors face very serious challeng es.  In the fisheries sector, the DT IS refers to an incipient crisis 
with the depletion of fish stocks which if not correct ed could lead to the collapse of a large part of the 
industry.  The focus of the DTIS within the fi sheries sector is how to design and implement a 
sustainable fisheries policy with broad-based support.  No attention is given to standards' issues.  In 
the agricultural sector, the DTIS  seeks strategies to address declining revenues for key export 
products, notably groundnuts, and strategies for di versification into products with more dynamic 
growth prospects, in particular horticulture and fr esh fruit and vegetables.  In this respect, the DTIS 
notes that stringent quality and other standards ar e a major challenge cutting across the full spectrum 
of Senegal's agricultural exports.  
57. Agriculture accounts for 17 per cent of GDP, but employs approximately 70 per cent of the 
population.  Declining international groundnut pric es combined with problems related to poor seed 
quality, inadequate storage facilities and practices,  as well as a range of other constraints have 
depressed export revenues in what was once the bac kbone of the Senegalese agricultural economy.  
The DTIS recommends focus on higher value seg ments of the market such as groundnuts for 
confectionary, but cautions that farmers will need better information on appropriate post-harvest and 
storage practices along with monitoring systems to en sure quality and prevent problems with aflatoxin 
contamination.
6  
58. The Agricultural Export Promotion Project of the World Bank has had success in stimulating 
exports in the fruits and vegetables sector – expo rts volumes increasing 41 per cent between 1998 and 
2001.  Exporters in the fruit and vegetable sector reportedly trade opportunistically, on a 
consignment-by-consignment basis, with little inv estment in systems for quality control.  This 
presents problems in accessing certain markets and in relation to other more quality-focused suppliers.  
For example, fumigation requirements for fruit an d vegetable exports to the United States and 
Japanese markets are quoted as a constraint as are new pesticide regulations in the European Union.  
                                                      
5 Action Plan on the Implementation of the Agr eement on Sanitary and Phytosanitary Measures 
WT/ACC/NPL/12. 
6 With support from the World Bank, the Food Technology Institute is monitoring mycotoxins  and 
greater attention is being given to grading systems at farm level.  G/SPS/GEN/545 
Page 12  
 
 The DTIS reports a need to put in place Good Agri cultural Practice (GAP) and Hazard Analysis and 
Critical Control Point (HACCP) principles in their supply chains.   
59. To help exporters in the fruit and vegetable sector, technical assistance to assist in the 
establishment of a quality control unit and certifi cation system is recommended.  In the nascent 
horticultural sector efforts to build awareness of quality and food safety management tools are 
suggested.  In particular, the development of a pool  of local experts in SPS and quality issues able to 
provide consultancy services to the horticulture sector is recommended.   
Yemen 
60. Although the DTIS for Yemen cove rs a number of sectors where growth prospects could be 
hampered by SPS issues, no specific problems are refe renced as needing attention in the document.  
Discussion of prospects in the fisheries and agricu lture sectors is focused on issues related to the 
establishment of sustainable fisheries management  systems and the complex social and economic 
issues related to qat production.  Where standards issues arise in the DTIS, they are with respect to the performance of the Yemen Standards, Metrology and Quality Control Organization (YSMQCO).  
This standards body is a relatively recent crea tion, having been established with assistance from 
UNDP and UNIDO in the late 1990s.  The DTIS also references a March 2002 draft report from 
UNIDO which highlights shortcoming in local food laboratories.  However, it appears that these 
failings have not detrimentally a ffected the ability of fish processi ng companies to export to the 
European Union amongst other markets.  Assistance on standards is being undertaken through an IF 
Window II project on quality control in a project being executed by UNIDO.  A further Window II project is also being undertaken on fruit and vegetable export promotion by UNIDO and FAO.  
 
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