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NBS SPECIAL PUBLICATION 438

U.S. DEPARTMENT OF COMMERCE / National Bureau of Standards

Testing and Certification

for Export Products

in Industrializing Countries
NATIONAL BUREAU OF STANDARDS

The National Bureau of Standards^ was established by an act of Congress March 3, 1901. The Bureau's overall goal is to strengthen and advance the Nation's science and technology

and facilitate their effective application for public benefit. To this end, the Bureau conducts

research and provides: (I) a basis for the Nation's physical measurement system, (2) scientific and technological services for industry and government, (3) a technical basis for equity in trade, and (4) technical services to promote public safety. The Bureau consists of the Institute for Basic Standards, the Institute for Materials Research, the Institute for Applied Technology,

the Institute for Computer Sciences and Technology, and the Office for Information Programs.

THE INSTITUTE FOR BASIC STANDARDS provides the central basis within the United

States of a complete and consistent system of physical measurement; coordinates that system

with measurement systems of other nations; and furnishes essential services leading to accurate and uniform physical measurements throughout the Nation's scientific community, industry,

and commerce. The Institute consists of the Office of Measurement Services, the Office of Radiation Measurement and the following Center and divisions:

Applied Mathematics — Electricity — Mechanics — Heat •— Optical Physics — Center

for Radiation Research: Nuclear Sciences; Applied Radiation — Laboratory Astrophysics^ — Cryogenics ' — Electromagnetics " — Time and Frequency

THE INSTITUTE FOR MATERIALS RESEARCH conducts materials research leading to improved methods of measurement, standards, and data on the properties of well-characterized materials needed by industry, commerce, educational institutions, and Government; provides

advisory and research services to other Government agencies; and develops, produces, and

distributes standard reference materials. The Institute consists of the Office of Standard

Reference Materials, the Office of Air and Water Measurement, and the following divisions:

Analytical Chemistry — Polymers — Metallurgy — Inorganic Materials — Reactor

Radiation — Physical Chemistry.

THE INSTITUTE FOR APPLIED TECHNOLOGY provides technical services to promote

the use of available technology and to facilitate technological innovation in industry and Government; cooperates with public and private organizations leading to the development of

technological standards (including mandatory safety standards), codes and methods of test; and provides technical advice and services to Government agencies upon request. The Insti- tute consists of the following divisions and Centers: Standards Application and Analysis — Electronic Technology — Center for Consumer

Product Technology: Product Systems Analysis; Product Engineering — Center for Building

Technology: Structures, Materials, and Life Safety; Building Environment; Technical Evaluation and Application — Center for Fire Research: Fire Science; Fire Safety Engineering.

THE INSTITUTE FOR COMPUTER SCIENCES AND TECHNOLOGY conducts research and provides technical services designed to aid Government agencies in improving cost effec- tiveness in the conduct of their programs through the selection, acquisition, and effective utilization of automatic data processing equipment; and serves as the principal focus within

the executive branch for the development of Federal standards for automatic data processing

equipment, techniques, and computer languages. The Institute consists of the following

divisions: Computer Services — Systems and Software — Computer Systems Engineering — Information Technology.

THE OFFICE FOR INFORMATION PROGRAMS promotes optimum dissemination and

accessibility of scientific information generated within NBS and other agencies of the Federal Government; promotes the development of the National Standard Reference Data System and

a system of information analysis centers dealing with the broader aspects of the National Measurement System; provides appropriate services to ensure that the NBS staff has optimum

accessibility to the scientific information of the world. The Office consists of the following

organizational units: Office of Standard Reference Data — Office of Information Activities — Office of Technical

Publications — Library — Office of International Relations — Office of International Standards.

1 Headquarters and Laboratories at Gaithersburg, Maryland, unless otherwise noted; mailing address Washington, D C. 20234.

- Located at Boulder, Colorado 80302.
Testing and Certification for Export Products

in Industrializing Countries

Proceedings of a Regional Seminar

held at the Regional English Language Centre

and International House, Singapore

May 19-20, 1975

Edited by

H. Steffen Peiser and Robert S. Marvin

Ofl&ce of International Relations

National Bureau of Standards

Washington, D.C. 20234

Sponsored by:

The Singapore Institute of Standards and

Industrial Research (SISIR), the National

Bureau of Standards, and the Agency for International Development.

Seminar President: Dr. Lee Kum Tatt Chairman SISIR

U.S. DEPARTMENT OF COMMERCE, Elliot L Richardson, Secreiary

James A. Baker, III, Under Secretary

Dr. Betsy Ancker-Johnson, Assisfanf Secretary for Science and Technology

NATIONAL BUREAU OF STANDARDS, Ernest Ambler, Acting Director

Issued February 1976
Library on Congress Cataloging in Publication Data

Main entry under title:

Testing and certification for export products in industrializing

countries.

(National Bureau of Standards special publication; 438)

Supt. of Docs, no.: C 13.10.438

1. Commercial products—Testing—Congresses. 2. Underdevel- oped areas—Foreign trade promotion—Congresses. I. Peiser, Herbert Steffen, 1917- II. Marvin, Robert S. III. Singapore Insti- tute of Standards and Industrial Research. IV. United States. National Bureau of Standards. V. United States. Agency for International Development. VI. Series: United States. National Bureau of .Standards. Special publication; 438. QC100.U57 no. 438 [TS156.A1] 351.008'27 76-608023

National Bureau of Standards Special Publication 438

Nat. Bur. Stand. (U.S.), Spec. Publ. 438, 160 pages (Feb. 1976) CODEN: XNBSAV

U.S. GOVERNMENT PRINTING OFFICE

WASHINGTON: 1976

For sale by the Superintendent of Documents, U.S. Government Printing Office, Washington. D.C. 20402 (Order by SD Catalog No. C13.10:438). Price $2.40. (Add 25 percent additional for other than U.S. mailing).
Abstract

A regional seminar sponsored "by the Singapore Institute of Standards

and Industrial Research, the National Bureau of Standards, and the

Agency for International Development was held in Singapore in May of

1975. The participants represented most of the countries in south

Asia concerned with increasing their exports, and concentrated on vaidous problems connected with the testing and certification of such

exports. Most of the prepared papers reviewed the practice and

future plans of these countries. During the discussion a number of

specific problems and issues were raised, with a good deal of

attention focused on the extent to which the standards and

certification of goods by an exporting country can be and are

recognized by the importer. This report includes both the prepared

papers and a mildly edited version of the discussions following each.

Key Words: Certification; developing coiintries; exports;

industrialiring countries; labeling; seminar; south Asia trade;

testing
SISIR/NBS/AID Regional Seninar

on

"Testing and Certification for Export Products in Industializing Countries"

Preface

The program of the National Bureau of Standards (!TBS) in support of

the United States Agency for International Development (AID) is

characterized by a number of experiments to find ways in x^hicli the

experience of NBS in the U.S.A. can assist industrializing countries

in standardization and measurement services.

One of these experiments is to sponsor seminars on regional

cooperation between developing countries. The idea is firstly to

restrict each seminar to original discussions on one highly specific

topic of current regional concern and secondly to choose that tonic

from areas in x^hich NBS itself has a need to learn. The justification

of this guideline rests on ITBS not being an experienced teaching

institution and on joint learning being often more effective than

teaching. The first such MBS/AID seminar was b.eld in La Paz, June

1974 on systems of Latin American cooperation in standardization

(centered on Comision Panamena de Normas Industriales y Tecnicas

(COPANIT)) and metrology (to be centered on a needed nev? collaborative

organization now being contemplated for sponsorship by the

Organization of American States).

Believing that first Seminar to have been a success, JTBS immediately

looked for interest in a second such experiment this tine among South

East Asian countries. The reponses received were so positive that it

is hard to establish who was the originator of the various suggestions

Xirhich V7ere adopted. At any rate, the topic of the Seninar "Testing

and Certification for Export Products" came from Mr. Phi Minh Tan,

Director of the Institute for Standardization, Republic of Viet Nam,

and his USAID advisor, Mr, Niels C. Beck , Industrial Advisor, USAID,

at that time in Saigon. It is most unfortunate that Mr. Tar. was unable to take part in the Seminar. May I record here ny hope that he

may one day read these Proceedings,

I am not sure now vrhethcr I can claim credit for first Viitting on the

idea of holding the Seminar in Singapore with co-sponsorship by the

Singapore Institute of Standards and Industrial Rescarc!i (SISIR).

Singapore has shovrn us how to develop the human resources of a snail

country. SISIR itself has been recognized for its rerarknblo

technical support for rapidly developing small industrial enterprises.

iv
So I was encouraged to approach SISIR, and I was iranediately accorded

a positive response, followed by generous support in the planning and

execution of the Seminar. President Lee Kutn Tatt took over the

leadership in nore than name, and put hinsolf and his organiriation

into the venture. Detailed organizational v/ork was done by Mr. Freddy

H, C. Soon and his highly efficient staff. The Seninar received

special guidance also fron Mr, Yeow Chee Tiong, Deputy Director, the

official SISIR participant.

The facilities at the Regional English Language Center International

House are excellent for this type of Seminar. Special appreciation

goes to the delegates from eleven regional countries, and especially

to Mr, Hopper, the United Nations Adviser to the Thai Industrial

Standards Institute who, with Professor Kenneth S. Stephens of Georgia

Institute of Technology and Professor Donald Ermer of the University

of Wisconsin, worked with much devotion and in harmonious friendship.

Most of the participants stayed some hours before or after the Seminar

to enjoy what appears to me as the paradise of Singapore. The only

adverse recollection v;as a fall suffered after the Seninar by Mr.

Vidalito F. Ranoa, Director of the Philippine Btireau of Standards,

from which he has since recovered.

The papers delivered by the participants on "Testing and Certification

for Export Products in Industrializing Countries" should have a long

term significance, and the publication of these Proceedings is

therefore believed to be well justified,

H, Steffen Peiser

v
vi
Group Photograph

First Row, Left to Right

Mr, Yeow Chee Tiong, Mr. Arnold Wexler, Mr. H, Steffen Peiser,

Mr, Lee Rum Tatt, Mrs. Phani Na Rangsi, Dr. Ronald T. Wljewantha,

Mr. Vidalito F, Ranoa

Second Rov, Left to Right

Mr. A, B. Rao, Prof. Donald Ermer, Mr. Khawaja Ainmar Hussaln,

Dr. Kim, Zae Quan, Dr. Choi, Jong Wan, Mr. Sumantri, Mrs. K. S. Tan

Third Row, Left to Right

Mr. William E. Andrus, Prof. Kenneth S. Stephens, Dr. Merwyn Problne,

Mr. Joseph Hllsenrath, Dr. Werner Y, F. Nlng, Mr. R. Hopper,

Mr. Freddy H. C. Soon

*************

Seminar President

Dr. Lee Kum Tatt

Chairman of SISIR

Program Committee

Mr. Freddy H. C. Soon

Mr, H. Steffen Pelser

Local Committee

Mr, Freddy H, C, Soon

Mrs. K. S. Tan

vll
TABLE OF CONTENTS

Page

Abstract ±±±

Preface iv

Photograph vi

OPENING SESSION

Mr. Freddy H. C. Soon, Chairman 1

Welcome Address by Mr. H. Steffen Peiser, Chief, Office of

International Relations, U.S. National Bureau of Standards ... 1

Welcome Address by Mr. Henry A. Engelbrecht, Chief, Economic

Commercial Section, U.S. Embassy, Singapore 2

VJelcome Address by Dr. Lee Kum Tatt, President of Seminar,

Chairman, Singapore Institute of Standards and Industrial

Research, Singapore 5

I INTRODUCTORY SESSION

Mr. Sumantri, Chairman 7

"Export Testing, Labeling and Certification - An Overview"

Mr. W. E. Andrus, Jr., Program Manager, Office of

Engineering and Information Processing Standards, U.S.

National Bureau of Standards 9

"Testing and Certification of Export Products in the Republic

of China" Dr. Werner Y. F. Ning, Director, National

Bureau of Standards, Republic of China 23

"Pre-Export Testing & Certification in Sri Lanka"

Dr. Ronald T, Wijewantha, Director, Bureau of Ceylon

Standards, Sri Lanka 29

II SESSION ON METROLOGY AND TESTING

Professor K. S. Stephens, Chairman

"Development of a National Infrastructure of Support

Services for Quality Control for Export" Dr. Merwyn Probine,

Director, Physics & Engineering Laboratories, Department

of Scientific & Industrial Research, New Zealand 45

"Metrology Plan for Korean Industrial Development"

Dr. Kim, Zae-Quan, Director General, National Industrial

Standards Research Institute, Korea 69

"Can Data Collection and Analysis Reduce the Rejection of

Exported Products?'' Mr. Joseph Hilsenrath, Physical

Scientist, Data Systems Design Group, U.S. National

Bureau of Standards

viii
"The Institution of a Worldwide Integrated System of Testing

Facilities (WISTF)", (Lecture Notes), Mr. Felix von Ranke,

Executive Secretary General, Brazilian Association of

Technical Standards, Brazil (Presented in the author's

absence by Mr. H. Steffen Peiser) 95

III SESSION ON PRODUCT MARKING AND CERTIFICATION

Dr. Mervyn Probine, Chairman 103

"Thailand's Certification and Quality Marks Program"

Professor Kenneth S. Stephens, Georgia Institute of

Technology, U.S. A 105

"Basic Export Inspection Policy in Korea" Dr. Choi, Jong Wan,

Administrator, Industrial Advancement Administration,

Republic of Korea 127

"Testing and Certification of Philippine Export Products"

Mr. Vidalito F. Ranoa, Off icer-in-Charge, Bureau of

Standards, Republic of Philippines 133

"Certification Mark and Export Inspection in India"

Mr. A. B. Rao, Deputy Director General,

Indian Standards Institution, India 139

IV CONTRIBUTED PAPERS - NOT PRESENTED AT SEMINAR

"Quality Certification in Developing Countries"

Mr. Raul Estrada, General Director, Ecuador Institute

of Standardization, Ecuador 1A3

"Pre-Export Quality Control Scheme for Crumb Rubber: Pilot

Project and Experience of Indonesia" Mr. Sumantri, Deputy

Chairman for Technology, Indonesian Institute of Sciences,

Indonesia 149

Appendix I - List of Participants 153

Countries Represented 156

Appendix II - Program 157

Appendix III - Tour of SISIR's facilities 160

"Quality Control and Allied Program in Support

of Economic Development and Industrialization - A briefing by Dr. Lee Kum Tatt, Chairman, SISIR,

on the Institute's Program and Services 161

ix

orEIIIIIG SESSION

Mr. Freddy H. C. Soon, Chairman

TT-LCOME ADDRESS

Mr. H. Steffen Peiser

Chief, Office of International Relations

!!ational Bureau of Standards

United States

It is a great pleasure and satisfaction for me to I'elcome you here.

The Singapore Institute of Standards and Industrial Research and the

National Bureau of Standards have planned this Sem.inar which I hclieve

is a really worthvrhile effort for examining; the challenges of m.ore and

more complex testing to respond to the more and more complex

requirements hy consumers for products and for the quality and safety

of life. Hand in hand with these additional requirem.ents , ve find

fortunately that nev; scientific techniques are cominp, upon us with

great speed and diversity. Although the theoretical, physical or chemical basis for those test methodolopies may be complex they can often be easily handled by "black boxes" as lonp as they v/ork and as lonp as they are properly calibrated. ^Tio would have thought that

positron annihilation, which only a few years apo was quite a recondite subject, v/ould invade our m.etallurf^ical shops? llio would

have predicted that we would manage to control our pollutants by using

excited electron orbitals in complex molecules? Ue did not foresee

that lasers in the hands of manufacturers would give them new opportunities for guiding their production. Ve realize only now that

with servo controls, automation, and computers we can control the

quality of products, lie are just amazed at the impact of all the

instruments that now are entering into technology. T'ell may we ask

"How are v/e going to manage to calibrate then all so that their

readings really mean something?" It is just at this critical time

that the new techniques connected with standard reference materials

are developing very fast to enable us to accomplish that huge task.

That is one side of our program; the other topic, vjhich we are discussing here, is how v/e can use all those test methodologies for

quality control and inspection under a system of great inteprity. I'ow can v/e instill confidence between vendor and buyer, even in different

nations? These are the topics which will be discussed in the papers

to be presented at this Seminar. These are also the topics which I hope we vjill discuss in informal sessions as in the hallways between

meetings. These individual contacts betvreen leaders of the many

standardization and measurement laboratories which are here

represented, I regard to be the principal potential value of this

Seminar. Therefore, it is my very great pleasure as a scientist, at

heart and as an office worker in fact, fo give the microphone back to

Mr. Freddy Soon, of SISIR, our Chairman, to call on the next speaker to

E^et this Sem.inar off to an auspicious start.

1.
Mr. Soon;

Thank you Mr. Peiser. I now have pleasure in calling on Mr, Henry

Engelbrecht, Chief, Economic-Commercial Section of the U.S. Embassy in

Singapore, to make his address.

Mr. Engelbrechtt

Dr. Lee, Mr. Peiser, Mr. Soon, ladies and gentlemen: I am very

pleased to have this opportunity to add the Embassy's words of welcome

to all of you and we hope that your deliberations over the next few

days will be both fruitful and enjoyable and that you will enjoy your

stay in Singapore. The Ambassador was very sorry that he couldn't

personally come and give you a few words of welcome and when I looked

at the schedule I see we are running a little bit behind so I will cut

my remarks a little bit short, but essentially I think this is an

ideal place for such a. conference. Singapore has a greater amount of

trade than it does GNP and it also has a very distinguished record

since 1963 in the operation of SISIR and I see that you are going to

be fully briefed and have some on the job training or on the job

experience here this afternoon at SISIR. We are very pleased that the

United States Government and Singapore can cooperate on this project.

We feel that foreign trade is very important to world peace and

harmony and we think that was demonstrated and reiterated by the

recent oil embargo and problems that people have had with balance of

payments since then. We are always trying to expand exports. We have never been a great foreign trade country, but our country is large

enough that we need standardization of measurements and standards just

between the east coast and the west coast. It has been our tradition

that the National Bureau of Standards was originally established, I believe, to push the idea of having national standards, national

measurements, and that sort of thing to give quality assurance to

people in different regions of the United States and now we are very

happy to turn that to foreign trade and exports. In addition to the

fact that Singapore is an ideal place from the standpoint of its

location and its trading and manufacturing development in recent

years, I think you will find the facilities for conferences and the

hotels and environment very pleasant for Seminars and Conferences of

this sort. We, in the Embassy, sometimes regret the fact that this is

such an attractive place. It seems that we are called on to handle

delegations every week or so because Singapore is so attractive. But

I think you will find that this is a very pleasant place to visit and

I see that we have eleven countries here represented, including the

gentleman from here who is bugging our conference, I think this is

2
very fine that we have this opportunity to add our words of welcome,

so I hope you will have a very fruitful get-together,

Mr« Soon :

Thank you Mr. Engelbrecht. I now have the pleasure of calling upon

Dr. Lee Kun Tatt, Chairman of SISIR, and President of this Seminar, to

make his welcoming address .

3

NBS/SISIR SEMINAR ON

"TESTING AND CERTIFICATION FOR EXPORT PRODUCTS IN INDUSTRIALIZING COUNTRIES"

HELD AT THE RELC ON MAY 19, 1975

WELCOME ADDRESS '

Dr. Lee Kum Tatt

Chairman

Singapore Institute of Standards and Industrial Research

Singapore, Singapore

It gives me great pleasure to welcome you at the opening of this

Seminar on Testing and Certification for Export Products. I would

like to bid a very special welcome to our overseas guests and to wish

them a pleasant stay in Singapore. I must congratulate the NBS for

bringing together so may interested parties and internationally

eminent figures in the field of quality control and standardization to

exchange opinions and experiences. The variety of your experience and

knowledge will, I am sure, contribute significantly to the solution of some of the common problems we face in the quality control (OC)

domain, and I hope, point to the direction which the developing

countries should embark upon.

\>Jhat we all recognize today is that developing countries have a vastly

different industrial community from that which existed in the sixties.

For many of us, industrial development over the past decade has led to

significant changes in the structure of the manufacturing sector.

Firstly, an increasing range and array of products is today processed

and manufactured in our countries. Import substitution programs have

been superseded by manufacturing for export. Industries would

therefore need to adopt more modern and efficient methods of control

of production, quality»and cost, if their products are to compete

successfully in international markets. The consumerism movement,

which is beginning to make its impact in developing countries, would

bring strong pressures on manufacturers to enhance product

reliability, quality and safety. Consumers all want better value for

their hard earned money. Industries would have to contend with, what

I would call, a new dimension. National standards and testing bodies

must objectively respond and constructively contribute to solving the

quality problems of today.

The real challenge before us today lies not so much in our ability to

develop relevant industrial standards or to implement effective

certification programs, but more in our ability to provide an integrated approach to quality control to assist, counsel and

encourage industries to respond to the impact of consumerism. For, in

the final analysis, consumerism is concerned with such broad issues as the role of profit, the impact of technology, the depletion of natural

5
resources, the state of the environment and the consequences of

economic growth.

Over the next two days, we are going to hear about the experiences and

programs of all the organizations participating in this Seminar. I have no doubt that we will all be exposed to new concepts, new

philosophies and new systems from which we will all benefit in one way

or another, I-That is more important, I think, is that we will be

developing closer links with each other and enjoying a greater sense

of mutual understanding and cohesion. This closer relationship should

facilitate better communication and exchange of ideas and programs,

which I hope will lead to some projects of mutual benefit to our organizations.

As you will be hearing from me again this afternoon, I think it is

only fair that I keep this address short. In conclusion, I would like

to thank the NBS for sponsoring this Seminar and Mr, Steffen Peiser

for making the necessary arrangements, I am sure that during the

Seminar we will all get to know each other better, I hope we will be

able to identify areas of common interest which will lead to closer

cooperation between ourselves for the good of all.

6
I INTRODUCTORY SESSION

Mr. Sumantri, Chairman

Mr, Sumantrl ;

Mr, Peiser, distinguished participants, ladies and t^entlemen. First

of all, I would like to take this opportunity to express my sincerest

thanks and gratitude to the U, S. National Bureau of Standards and the

U,S, Agency for International Development for inviting me to this very

important Seminar, and to SISIR, the Singapore Institute of Standards

and Industrial Research, for the hospitality accorded to me. This

morning I experienced a pleasant surprise, being appointed by Mr,

Peiser as Chairman of this session, I have accepted this appointment

not without hesitation because English is still not so easy for me.

It is my fourth language but after all, there are different kinds of

English - British English, American English, and, maybe what I am speaking is Indonesian English, The appointment as Chairman of this

morning's session is indeed a great honor for which I thank you. In

this session three presentations will be given, namely by Mr. Andrus

from NBS, by Dr. Ning, from the Republic of China, and by Dr.

Wijewantha, from Sri Lanka. We begin with the first presentation and

the floor is given to Mr, Andrus,

7

EXPORT TESTING, LABELING AITO CERTIFICATION - AN OVERVIEIJ

Mr. William B. Andrus, Jr.

Chief, Office of International Standards

National Bureau of Standards

Mr. Chairman, Ladies and Gentlemen:

First I would like to say how happy I am to be able to participate in

this Seminar and to visit Singapore for my first time. After a 31

hour flight, I arrived Friday morning and after resting a bit I had an opportunity to see this charming city with its charming people. It

has been a most pleasant experience.

In my remarks this morning I am going to be brief and very informal,

and I hope I will set the tone for our discussions the remainder of our two days here. During these sessions you will be hearing of the

product testing and product certification programs in most of the

countries represented here, so I will not dwell on those programs. I would like, instead, to focus on the concept of product testing,

product labeling and product certification. I would like to do txro things. First, to describe my concept of the various facets of these

activities; and secondly, to pose some problems — some of which are readily solvable and some of which may not be in the foreseeable

future. In doing this I hope that while we are listening to the other

papers we will keep these concepts and problems in mind and evaluate

whether the programs described are structured properly and have really

faced up to the related problems. Perhaps they \rLll have solved them

or perhaps recognition of them here will be one of the benefits of our meetings.

Let me begin with product testing. Consider product testing as three

basic phases. First there is Qualification Testing — testing a new,

pre-production or prototype product. This is fundamental to the

introduction of a product into the marketplace in that it is the

initial test that qualifies a product a Qualified Product. It

sometimes leads to Prototype or Type Approval.

Secondly, there is Conformance Testing . This is the on-going testing

of production products in order to insure that products continue to be

in conformance with applicable standards. It consists of many types

of activities — audit sampling, quality control and other various

activities which allow you to maintain and to guarantee quality level.

Thirdly, there is Compliance Testing — an audit function used by the

"User" to test that the system itself is effective. It is an investigative testing activity where complaints or problems that are

9
suspected are uncovered. Of these three phases the second,

Conformance Testing, is the most important in maintaining on-going

product quality,

I^Jhen we talk about product testing many visualize immediately

sophisticated measurement instruments and complex laboratories in

which products are tested. Actually product testing can be a mere visual inspection of a product like the size and color of oranges.

The other extreme, of course, is the testing which does in fact

require very sophisticated instrumentation and measurements. The

first step which I call qualification testing is required on products

where type approval is required; usually by law. This is true for

example in electronic products — walkie-talkies, marine radios — and is

required in order to ensure that the basic design is such that

frequency stability and radiation eminations are \-7ithin legal

requirements. The third, com.pliance testing, is basically the "User"

or the regulatory body's tool to ensure that the system is in full

operation and that the products that are being shipped are in

compliance with the requirements.

Let's look now at product labeling. Many of us consider product

labeling as merely putting a mark on a product, a SISIR mark in the case of Singapore, which implies that the product meets a certain set

of technical requirements. But if you look at product labeling

generally, we have had product labeling in various forms for many

years. We have "Brand Names", which is a form of product labeling and

which the customer has historically relied upon to measure the quality

level of the product that he buys. Another type of product labeling

is "Country of Origin", Country of Origin labeling is required in

many countries by law. However, when we look at it in our context

here. Country of Origin implies to some people a level of quality.

Cite the Japanese situation. It wasn't but some thirty years ago that

a product made in Japan was considered to be of poor quality and very

cheap. Today, a product that says "^^ade in Japan" and exhibits the

JISC mark is recognized to be a product of very high quality and with

integrity behind that product. Historically, as I have said, we have

had types of product labeling for a good many years. Today, however,

marks that are put on by our national standards bodies and other

agencies authorized to do so are becoming increasingly required and

accepted. But why should we label a product? Some countries require

it by law. Some users, particularly industrial users, will only buy

the products that are guaranteed to be in conformance with certain

standards. Some insurance organizations require that a product be

labeled for insurance purposes, and unless the product is certified as being in conformance with a certain set of standards the insurance is

null and void. And then probably the most complex is the one which

deals with credibility of the product label, the acceptance and

recognition by the private consumer that the mark does in fact mean

something. I think that the credibility issue in the consumer

10

1
marketplace is extremely important. It does not come about

instantaneously but has to be built up over the years based upon

consumer experience so that the consumer begins to rely on these

marks

.

Let's move on to the third. We have talked about product testinf^, and

product labeling, but product certification means something much more

than just product labeling. First it not only implies that the

product has been approved by some recognized body, it also implies

implicitly and explicitly a guarantee of some form. Also, and

probably most importantly, it implies a liability for non-conformance.

Liability in industrial products is generally a simple matter. In the

refusal to accept the shipment, your liability is the loss of that

production, the cost of shipping and so on. However, as we get more

and more into consumerism the matter of liability on consumer

products, particularly those that can affect health, safety, life and

death, the question of liability is extremely important.

VJho assumes this liability?

In many of the national product certification programs, the guarantee

is assumed by the national standards body or the agency that tests and

puts the mark of conformance on the product. But when we deal with

liabilities in the case of life and death, are the standards bodies

ready to assume that level of liability? Is it assumed by the

manufacturer? By the importer? We must also recognize that there is

liability regardless whether the product is marked, I might cite a case in the United States of a canned lobster bisque that was manufactured and sold by a company called Bon Vivant, a soup

processing company. Some people died because of botulism contained in

a few cans of this soup. The product was not labeled in the sense

that we mean it here. It was not guaranteed nor was it certified by a recognized authority. It was packaged with a brand name of a highly

respected company, but today, that company, Bon Vivant, is no longer

in business. It was the ruination of that company. So the matter of

liability when we deal in consumer products is extremely important and

must be solved for any product labeling or certification program.

If I might summarize this first part, the whole question of product

testing, product labeling and product certification is an extremely

complex process. Many of us have only experienced this at a level of

industrial products where we certify a steel or some basic material.

But as we nove into the labeling and certifying of consumer products,

and perhaps very complex industrial products, that can affect human

health and life, the responsibilities associated with certification

are increased many fold.

Now I move to my second point and indicate some of the problems

associated with this subject. First, Olle Sturen, Secretary General

11
of ISO, gave a speech at the National Bureau of Standards three years

ago and he made a very interesting point dealing with differences of

philosophy. He said that you would think that the Netherlands and

Belgium, v/hich are neighboring countries and have a culture somewhat

similar, could agree on what was healthy or safe. He said that

sometimes they can't agree and this difference of philosophies becomes

much more difficult when dealing internationally with vast differences

in cultures. Hopefully, in the long term we can arrive at an acceptable international level in certain areas but in other areas these differences may be unresolvable.

Another problem is differing and changing national priorities. Each

country has its own set of priorities of what is important to its

economy. Balance of trade, balance of payments, are important to

certain countries, the conservation of energy and materials is

important to other countries, and the protection of the environment is

important to others. These differences have to be recognized if we

are to arrive at an effective international product certification

system.

Thirdly, let me say, that probably one of the most difficult of

problems to overcome is the question of minimum quality versus comparative quality. Historically, in a competitive and free

enterprise system the matter of comparative quality has been left to

the buyer to establish. The buyer determines if product A is better

than product B through experience. The only measure we have had in

the past is the cost of the product and as we all know this has not

always been a true indicator of whether product A is better than

product B, I think, however, we are rapidly approaching a state v/here

comparative quality labeling will become more acceptable, to a limited

extent, worldwide.

In product testing and certification we normally certify a product as

to its meeting an acceptable or a minimum set of requirements. But

what is acceptable? I«Jhat is acceptable to one buyer may not be to

another. Sears Roebuck and Company recognized this and has for three

or four years now indicated products in their catalogue as being Good,

Better, or Best. This is a form of comparative quality labeling. We

have also seen comparative quality labeling for automobile batteries

in their guarantees for 12 months, 24 months, or 36 months. One of

the more recent changes has been brought about by a national priority.

Conservation of energy has forced comparative quality measurement in

energy labeling of appliances in the United States, This labeling

indicates the amount of energy these appliances use and thus a measure

of their efficiency, and cost of operation.

Another problem has to do \d.th harmonization and nontariff barriers.

Most of you are familiar vilth the standards harmonization programs

underway in the Common Market, European Economic Community. These

12
programs in most cases have a product testing, a product labeling, and

product certification requirement of one form or another. This is

giving rise to an EEC certification system and our concern is that it

is regional in nature and closed to non-member countries of the

region. It can be viewed as a form of nontariff trade barrier in that

it requires multiple testing of imported products and does not allow

for non-reciprocal testing agreements with non-member nations.

Hopefully, as we move towards agreement on the GATT Standards Code,

regional (and national) barriers of this nature will disappear and we will arrive at a truly international system of product certification.

Another question, and this is not as true with developing nations

because they have a more integrated standardization program, is that

in many of the developed countries we differentiate between technical

standards and technical methods of test on the one hand and national

laws and regulations mandating technical requirements for products.

Another problem which has to do more with standardization but is

reflected in the whole concept of product testing, labeling, and

certification is the question of design versus performance standards.

Over the years the vast majority of technical standards have been

design oriented, that is, they have defined a product. This inhibits

innovation and today we are seeing more and more pressure to move to

the performance based standard. The example is that we don't really

care whether a wall is made of brick or tissue paper, \That we do care

about is that the wall, regardless of what it is made of, has certain

thermal, sound, strength, and other characteristics. Any kind of

material and any kind of construction that meets that set of

performance criteria would be acceptable.

I understand Mr, Peiser is going to read Mr, von Ranke's paper, if it

arrives in time for our session here, I have not seen this particular

paper, but I know basically Felix von Ranke's theme since I have

worked with him for many years. He is a very strong supporter of

international certification and objects to regionalization of the

standardization process, I hope his paper arrives in time for our session because he has a lot to contribute to these discussions.

One of the fundamental things behind a successful product testing,

labeling, and certification, is a common measurement system. I don't mean widespread use of the metric system nor being involved with the

General Conference of Weights a.nd Measures, What I really mean is the

measurement system which we can agree upon for trading commodities; An

agreed method of how to measure the moisture content of grain or how

we will measure the specific gravity of liquified natural gas. These

commodities have an enormous economic value in international trade,

and we must have a common measurement system in order to establish

equity for buyer and seller.

13
When the United States became a member of OIMLg the International

Organization of Legal Metrology, in 1972, I was honored by being named

the U. S. Representative. This organization is responsible for

recommending model laws and regulations relating to the calibration,

accuracy and use of commercial and industrial measurement instruments.

OIML demonstrates again the matter of differences in philosophy. In

the United States regulations covering measurement instruments are primarily concerned with the commercial marketplace, e.g. scales,

petroleum pumps, taximeters, and the like. In OIML and under the

philosophies of many of the member countries industrial and scientific

measurements are also governed by law and cover such things as medical

thermometers.

If I might make one final comment, I think it is important in looking

at some of these problems related to standardization that we take the

sytems approach, both in the standards development process and in

standards implementation. We must consider changing priorities. We

went through a very excruciating exercise in the United States these

past two years where the effort in reducing pollution was negated by

the energy shortages. We had to retrack or delay many of the programs

that were done for protecting the environment in order to conserve and

find new sources of energy^ a matter which became equal or iiwre

important at that particular time. Changing priorities! We have to

consider also the economic impact of some of these programs and who

really pays for them. You can almost say categorically that in the

long term the consumer is the one who really pays and we must be

careful to balance the economic issues with the environmental and

health and safety issues. We must use the systems approach.

In conclusion, we have historically considered standardization as basically the development and promulgation of a set of technical

requirements. And this has, again historically, under the

international system, been voluntary, voluntary in its

application. However, in our discussions here today we are talking

about product testing, labeling, and certification which are, in fact,

converting these voluntary standards into mandatory standards. We are talking about the true application, or implementation, of these

standards. In doing so we must face some other questions. T^at

products must conform? When must they conform? And how do we determine and indicate that they conform? This is Product testing,

labeling, and certification.

With that as ray concluding remark I took the liberty of asking that my

colleague, John Paton from Ausralia, be given a few minutes to relate

the activities of CERTICO since he is just returning from Amsterdam

where CERTICO was meeting last week. CERTICO is the ISO Certification

Committee and with that I'll ask John if he wishes to add to these

remarks

.

14
DISCUSSION

Mr , Paton ;

As Bill Andrus says, I have just returned from a meeting of CERTICO.

To those of you who are not familiar with the work of CERTICO it is an

ISO committee concerned with certification as carried out by national

standards bodies. It has been preparing a handbook on certification

systems which is intended to lay down guidelines on how the various

types of certification can be applied. It is not, however, meant to

be an international standard, CERTICO also concerns itself with

definitions as used in certification, for instance, what is a certification system, what does "approved" mean. Another aspect

discussed by CERTICO was the possible role of ISO itself in

certification. One of the problems that has arisen is that ISO

standards themselves are basically not suitable for certification

because of their very nature. As a result some guidelines are being

prepared for ISO technical committees on how international standards

should be written to make them suitable for certification. Various

other types of documents are being prepared by CERTICO including check

lists for inspection reports, test reports, and so on. CERTICO is

also looking into establishing criteria for judging the competence of

testing laboratories and inspectorates. We are fortunate in Australia

that we have the National Association of Testing Authorities which

does concern itself with approving the competence of laboratories. I do not think one could reasonably expect anything startling to come

out of CERTICO as there are so many difficulties associated with

international certification.

Prof. Stephens !

A question directed to John Paton on the CERTICO. Is the program

being developed by lEC also a part of the CERTICO activities?

Mr. Paton ;

Not really. The bug-bear of international standardization is that

there exist two separate organizations, ISO and lEC, which is probably

rather unfortunate. The lEC scheme for the assessnent of the

reliability of electronic components strictly belongs within the orbit

of lEC, In each country, of course, the national standards bodies are looking at it but it does not really fall within the ambit of CERTICO.

Dr. Probine ;

The point that John Paton made about registering a laboratory in

relation to its competence is a very important one In this field of

certification. I thought I would just mention that I would be dealing

with it in ray paper tomorrow.

15
Mr. Peiser:

I would like to let this audience know that unfortunately John Paton

is with us only today. This is a great tragedy and so he will

actually not be able to comment on Mr. Probine's paper, I suggest to

the Chairman, if this is possible, that Mr. Paton might mention a word

or two more about this remarkable Australian team for accreditation of

laboratories which many of us are looking at with admiration, if only

from a distance,

Mr. Paton ;

Mr. Chairman, I am sure that Mr. Probine knows all about NATA as there

is a companion organization being set up in New Zealand and so I am

confident that the paper of my New Zealand friend will probably cover

the Australian situation. Am I correct?

Dr. Probine ;

Yes, the New Zealand organization is called TELARC which stands for

Testing Laboratory Registration Council. It will follow NATA

organization and procedures very closely, and we hope to have

reciprocal recognition of NATA and TELARC. Laboratories in New

Zealand are now being assessed for TELARC registration. NATA

assessors are being used so that we can get the scheme "off the

ground" in the two countries with similar standards of assessment and

reassessment.

Mr. Hopper ;

I would like to touch on one subject, particularly with Bill Andrus.

It is relevant to CERTICO and, in fact, regional standardization and

certification reciprocal agreements. T^ere you've got a nation like

the United States which is almost a region in itself, there is no doubt at all that international trade is hampered - imports to the

country are hampered - first of all by federal standards and State

regulations placed upon those and by further clauses and requirements

even by local authorities. I know several quite appalling incidents

of importing traders having to meet these conditions and in fact of

whole installations having to be ripped out which have m.et the federal

requirements but did not meet local requiremtnts within the United

States. This is a very serious problem and I'd like to know whether

this is improving, whether federal regulations, federal standards are beginning to take hold in the States. It would be quite interesting

to know this because, you know, in the USA you really do have a regional problem.

16
Mr, Andrus:

I think what you say, Ron, is exactly true. In fact, when you look at

the gross national products of the United States and Western Europe,

they are roughly the same, so your equivalency of the regional

concept, is well taken. Perhaps we should be considered as a region

and given something like fifty votes in ISO instead of one, to compare

with the nine votes of the EEC, Hor^ever, there is improvement,

particularly in our occupational safety and health regulations which

are federal and which are now being applied as federal laws,

superseding local requirements. The same is true of our Consumer

Product Safety Commission and their regulations relative to consumer

products. The problems associated with export to the United States is

not limited to exports. We have the same problems within the United

States, I cite as an example Sears Roebuck again. We have some

12,000 jurisdictions in the United States dealing with building codes,

safety of electrical appliances and so on. The Sears Roebuck Company

has one version of a refrigerator in which I understand they must

manufacture 111 different models to meet various building codes - installation codes, around the country. They must manufacture seven different models just for the metropolitan city of Chicago, So, the

problem is not limited just to exports.

Mr, Hopper : . - >. ,

Now, let's take up the second point - it's again on reciprocal

agreements. It's just an observation, but I think that on the

international side of reciprocal agreements we put the cart before the

horse. As everybody here knows, on the international scene there has

been an enormous complication (particularly in Europe with CEN) of

trying to harmonize standards and test methods to begin with, and then

reach some kind of reciprocal agreement. I said it when I was here

before in Singapore and the more I think about it the more I think

that the right way to go about it is that we should reverse this

process. There should be regional agreement, in fact one that we are trying to do here in Southeast Asia, where you take a reputable

national mark in good faith, regardless of the differences between

countries. At least it is a mark, at least is is a certification

process. Achieve reciprocal agreement first for the sake of trade and

then take the long and arduous course of harmonizing test methods and

standards. It is just a thought for people involved in harmonization

that we should drop our protective adherence to our own systems as being the only perfect systems and accept that other people are doing

a reasonable job - if not the job that we want ourselves ~ and get

cooperation first on a reciprocal agreement basis. And then start the

long haul on standardization and harmonization.

Mr. Hussain:

I would like to discuss some aspects of the international

certification. Certification of exports in many countries is being

17
carried out by rucji. kxag which is called a certification mark. This

scheme is being carried out by national standard bodies. Normally a difficulty arises in the case of international certification. The

certification marking is normally associated with national standards

under a country *s laws. There was a legal status,, so in a country

under the law only the national standards can be enforced but as far

as international certification is required, they can't require

conformance to any standard other than national standards ^ so in that

case, the standard mark of the national bodies of the country cannot

be applied. In other words, certification marking in accordance with

national law cannot be carried out. This was the case very recently

in the meeting of RCD (RCD stands for Regional Cooperation for

Development among Pakistan, Iran, and Turkey), We are developing

certain common standards for our trade and industry and one of the

recommendations was that each country should recognize other standard

marks. The difficulty arose that standard marks of other countries

cannot be recognized under national laws, so I would like to ask Mr.

Paton if there is any solution to that? Personally, we have covered

this difficulty by authorizing or recognizing the certification by the

national standards boards of each country in their country but not

international certification or standard mark, I'Jhat I mean is their

certification marking. We have not been able to find any solution to

that. Thank you very much.

Mr. Paton ;

The topics touched on by Ite. Hopper and Mr, Hussain have been talked

about in standards circles for about 20 years to my knowledge. There

are immense problems in the recognition of a country's certification

mark by another country. Quite apart from any legal difficulties, even in the case of a fairly simple product, national standards can differ considerably. In one country you can have a very rigorous

standard associated with a very rigorous and expensive scheme of

control, in another country a less rigorous standard and possibly a less rigorous quality assurance scheme. Were the first country to

recognize the second country's certification mark, that would then

immediately put the manufacturers in the first country at a considerable disadvantage in that they would have to make to the more

rigorous local standard whereas the imported goods would comply with a much less rigorous standard. For this reason principles were

enunciated way back in 1956 when it was felt that recognition could

only be given to another country's certification mark if (a) the

standards were identical, and (b) the quality control exercise was

identical. That just does not happen unfortunately. For this one needs harmonized standards and harmonized quality assurance. All we

have been able to do in Australia, as in other countries, is to work

out bilateral arrangements and work on this one step at a time.

18
Prof» Stephens :

One of the first steps is the sharing of information of each nation's

certification mark program with the other nations. Each country can

then assess the standards and the quality assurance programs to

determine whether they, in fact, want to accept the certifications of

the other country, I think that this conference is a very good

initial step in getting this process started.

Dr. Choi :

I would like to comment further on the program that Mr. Hopper brought

out about international certification programs. He v/as mentioning

that there is a difficulty because of the different state and local

standards in the United States, I would like to mention one more

difficulty facing the promotion of international trade. In Korea we

try to build up our electronic and electric industries, most of whose

products we hope to export to foreign countries. If we want to export

our electrical or electronic equipment and appliances to the United

States, they must be inspected by a private agency. Small and medium

industries cannot afford the inspection fee required to send a specialist all the way from the United States to Korea to inspect, for

example, 10,000 radios and other electronic products. Only big

companies with large volume can afford to pay for that kind of

service. I think this barrier should be brought up as a subject to be

discussed at this international standards meeting. Thank you.

Mr. Hopper :

Let me qualify what I said about reciprocal agreements on product

standards. I x^as talking about the idiosyncrasies of this world when

we very often have to put quite expensive equipment into one country

in order to test exports to other countries when in fact this is

purely an academic distinction, I can quote you crash helmets where

in BSI we had to set up two test rigs, one for the British and

European and one for the American system, each country holding rigidly

that theirs is the best. Nevertheless, for the sake of trade, vje had

to do it, I was making a plea that for heaven's sake let's drop this

nonsense and agree that we go about things in different ways, and

where a certain reputable organization exists, recognize its

certification and get doxm to harmonization of test methods a bit

later, I would say in defence of such systems and in answer to Dr.

Choi, in Thailand that law allows for reciprocal recognition. It is a very open and fair-minded law which places no restriction on trade at

all, providing importing companies can guarantee us or assure us that

the system is within reasonable boundaries of quality assurance. But

Ken Stephens - and certainly later myself - tried to get from a number

of importing countries the outline of their systems. We wrote to the

standards institutes for our requirements in brief form. I think Ken

Stephens had seven replies, I had one hell's own job getting replies

that were absolutely necessary to import equipment into Thailand and.

19
I would make a plea to you gentlemen here that if you get such

requests please reply to them because you may be holding up trade from

your own country. • •

-

.

.

Prof» Stephens; '•

. ,.

YeSj, I just have a brief comment to Dr, Choirs remarkso And I'm not

afraid to mention the UL mark as one of the private organizations to

which he referred «, For small industries in Korea is there not a coordination of the UL activities? Has not UL established some agency

within Korea that will serve as its agent?

Dr« Choi ;

'

'

^.

' - .

No, The organization sends its specialists all the way to Korea to

inspect although some concerned agencies in Korea have tried

unsuccessfully to establish such bilateral agreements. -

Prof. Stephens; , ,

-

'

Wells they do have the mode of operation of establishing a local

organization that will serve as their representative and x^e might, in

fact, invite some comment on that in connection with the Philippines.

Maybe Mr. Wexler would comment on this. UL has now made arrangements

to establish a representative within the Philippines to do testing for

them of the local products for exportation. Does not your Fine

Instrument Center perform this type of inspection in behalf of other

organizations ?

Dr. Choi;

FIC has tried to establish that kind of relation but no positive

results were achieved. It is my understanding the Japanese also tried

to establish some kind of bilateral agreement between UL and the

Japanese testing laboratories but they are unsuccessful so far. They

have an agreement with Canada, It is my feeling they like to contract

business ventures.

Mr. Sumantri ;

The last comment will be given by Mr, Andrus. '

_

Mr. Andrusi -

' ^ ^

I really don*t know what to comment at this point in time. I'm not so sure that dealing with government agencies would be any easier than

dealing with private enterprise, I think the UL situation is unique

as the whole product certification program in the United States is

unique in that we do not have a national certification program, I

20
think what was brought out here in your comments, Mr. Choi, is the

fact that when standards become mandatory it is not necessarily a government decree. It is the option of the user, the purchaser, to

establish ^^That standards he x^ants the products that he is purchasing

to meet. There is also a de facto situation in which it is accepted

practice that products meet certain standards \d.thout any law or regulation involving it and what you are facing, I think, in the case

of electronics, electrical, is the case of what is common practice

rather than what is a matter of law,

Mr, Suraantri ;

I am sorry, the time is very short. It has been very interesting. I would like to thank Ut, Andrus and also Dr, Paton, Let us proceed to

the next presentation of "Testing and Certification for Export of

Products in the Republic of China", Dr, Ning, the floor is given to

you.

21

TESTING AND CERTIFICATION OF EXPORT PRODUCTS IN THE REPUBLIC OF CHINA

Dr. Werner Y. F. Ning

Director

National Bureau of Standards

Republic of China

In my brief exposition on testing and certification for export

products from the Republic of China I hope to show that we have in

operation a system based on historical development, on rigorous and

effective control where needed, on accommodation to the buyers'

genuine needs, and on flexibility to accommodate new trends for freer,

more reliable, efficient and cost effective international trade.

With minor change of name the Bureau of Commodity Inspection and

Quarantine (BCIQ) now in the Ministry of Economic Affairs has been in

existence since 1929. With an evolving legal basis it has had the

responsibility to decide on the need for tests. Inspection,

quarantine, or certification of all export products; as well as to

carry out such relevant procedures, T'Thile BCIQ Itself has

laboratories and Inspectors much of its work is delegated under

supervision, but with confidence, to responsible organizations

specialized in the testing of specific items.

The original purposes for the creation of BCIQ still apply:

(1) to improve the quality of commodities:

(11) to stimulate confidence in markets:

(iil) to protect health, safety and other Interests of manufacturing

personnel and consumers:

(iv) to promote product development:

(v) to prevent the spread of diseases and pests:

(vi) to offer no proper basis for import denial for products

Recent trends have been towards tests and Inspection of all products

for the home as well as the export markets. Foreign trade continues

to enjoy high priority. Presently 1058 carefully coded items are subject to certification in 26 categories of exports as follows:

of China.

(1)

(2)

(3)

(4)

(5)

(6)

(7)

(8)

(9)

food and fodder

fruits (fresh)

vegetables (fresh)

seeds

bristle

wool

feathers

meats

eggs

23
(10) sea food

(11) tea

(12) canned fruit

(13) seasoning

(14) sugar ^ (15) preserved vegetables and fruits

(16) mats

(17) acids and alkalis

(18) non-ferrous metals and their products

(19) fertilizer

(20) essential oils - (21) industrial raw materials

(22) fuel

(23) paper and allied products

(24) textiles

(25) iron and steel

(26) construction materials and machinery

Tests are carried out in accordance with Chinese standards, developed

by representative committees reaching consensus, or with tentative

standards, or even by buyers' standards or specifications. Procedures

generally involve five steps! vendors' application, rapid response

sampling, inspection, certification, and loading port check.

In its proud history BCIQ has not been made aware of a single defect

of its certification for freedom of animal disease or plant insect

pest. If anyone wishes to learn more about the service of BCIQ I will

be happy to discuss other features such as how we assure a 24-hour

inspection response to export applications, how we adjust certificates

to differences in origin, any tariff preference or other bilateral

agreements, or how we ensure that for items, for which strict in-plant

hygenie or quality control systems have to be applied, only suitably

qualified manufacturers are authorized to request certification.

Perhaps here I should simply stress the importance of sound national

standards, revised at intervals, and harmonized to international

standards to the greatest extent possible. This, in the Republic of

China, is the responsibility of my agency, the National Bureau of

Standards of the Republic of China (NBS/ROC). It also has an important scheme for quality marks which may be granted for

products conforming to the Chinese National Standards (CNS) . This

marking scheme is not only assisting BCIQ but it is finding increasing

acceptance by local consumers, I believe that it could form the

basis for reciprocal recognition with mutual confidence in other

national commodity testing and certification authorities. This type

of arrangement to foster I regard as the high aim of this Seminar.

Clearly one must start from modest beginnings and as such I proudly

show you two items on which NBS/ROC is authorized to place the

standards mark of Australia, as agents of the Standards Association of

24
Australia, side by side with our own. These items are tempered glass

plate and protective helmets for use in general traffic for instance

by motor bicyclists.

In conclusion, Mr, Chairman, permit me to offer a few general remarks.

Along with the rapid development of science and technology the

assurance of product quality is becoming ever more complex. As the

standard of living of our peoples rises, so the form, quality and new

demands for consumer goods become a more serious, delicate,

technically based concern than ever before in the history of mankind.

How to achieve and maintain the best quality of export products from

my country and how to win the optimum market reputation at home and

abroad has become a prime national concern. The improvement by

evolution of our relevant systems and perhaps the establishment of new

modem organizational structures are constantly under review. The

increasing problems and challenges we realize must also rest on the

sophistication of our home market. In the United States of America

and Japan product quality is aggressively sought by the entire

society. I submit that we all should realize that effective export

product inspection is everyone's business who has heart and mind on development and prosperity of all of our nations.

25
Mr, Paton:

Professor Werner Nintr, could you tell us some of the criteria used for one of your points here about suitably qualified manufacturers - how

you judge who is a suitably qualified manufacturer?

Dr. Ning ;

The National Bureau of Standards, Ministry of Economic Affairs of the

Republic of China is in charge of the CIIS Certification Mark.

The license can only be granted to the manufacturers vrliose factory is

located within the boundary of the Republic of China and whose product

is in conformity with the National Standard in question. TJhen the

factory is considered as qualified through inspection and test, the

Certification Mark Section of the National Bureau of Standards will

submit a report to the Director of the Bureau for approval of issuing

the Certification Mark license. After issuing license, a periodical

inspection will be conducted once every six months.

Mr. Paton ;

Did you mean the company that you certify can make a request that they

have to follow these ASTM standards? These are companies that you...

Dr. Nlng ;

The granting of a license is based upon an undertaking bv tho

manufacturer to conform to the National Standard in question. An

application for a license to use the Certification Mark can only be

made in relation to a published National Standard of the Republic of

China.

Dr. Probine ;

I was particularly interested in the fact that the Australian

Standards Association had given approval for its mark to be ptit on the

various goods r- a sort of reciprocal recognition arrangement. I wondered whether the Australian Standards Association does this in

other cases, and whether this is at least a partial answer to some of

the problems of getting CERTICO "off the ground". Could I direct this

question to John Paton?

Mr. Paton ;

Yes, Mr. Probine. As I said earlier we do have bilateral arrangements

with countries on specific products against specific standards. In

the case of the Republic of China, Dr. Ning's organization acts as our

26
apent with respect to motor cyclists helmets and safety ?tlass nade to

Australian standards. ^Te have similar arrangements with many

countries including; Canada, ?5outh Africa, New Zealand, United Kinp;don,

France, and so on. It is not a matter of recopinizin^'z; the certification

mark of these countries, it is purely a matter of mutual cooperation

with regard to particular standards,

'fr. Hopper ;

Could I iust ask Dr. Min'^ if his system in the Republic of China is

continued surveillance?

Dr. Ning ;

Yes.

Mr. Sumantrt ;

More questions or comments? F^hall we now proceed with the next

presentation? But l^efore we start with the next one I would like to

thank Dr. Nin^ for his presentation. Dr. Uijewantha, the floor is

piven to you.

27

PRE-EXPORT TESTING & CERTIFICATION IN SRI LANICA

Dr. Ronald T. Wijewantha

Director

Bureau of Ceylon Standards

Colombo 3, Sri Lanka

INTRODUCTION

Pre-export testing and certification are becoming increasingly popular

in developing countries, Turkey, Iran, Ecuador and India have

achieved significant progress resulting in increased export earnings

and stabilization of their national trade image. Today, products of

developing countries face heavy competition from those of developed

nations. In this climate every effort should be made by developing

nations to withstand the pressure of competition by measuring up to

the exacting requirements of the sophisticated modern consumer. To

achieve and ensure this, measures are needed to prevent sub-standard

goods from entering foreign markets. One established method towards

this end is by the mandatory imposition of pre-export inspection.

Such a scheme not only ensures a third party independent guarantee of

the quality of the product exported, but also precludes the export of

sub-standard goods.

The decision to enforce pre-export inspection in Sri Lanka arose due

to the increasing number of complaints that were received from abroad over the quality of our exports. These complaints were naturally of

great concern to us especially at a stage when Sri Lanka had begun to

place high priority on the promotion of exports. The damage resulting

from such trade complaints is undoubtedly detrimental to our foreign

trade.

At the end of 1973, it became possible for the Bureau to take the

initiative in planning for the setting up of an effective pre-export

inspection scheme in Sri Lanka to be administered by the Bureau of

Ceylon Standards as the responsible controlling agency. Towards this

end the Bureau held meetings with all interested parties including the

Chambers of Commerce and all Government Agencies concerned to work out

a strategy for the pre-export inspection, initially of minor

agricultural products which are cinnamon, cocoa beans, whole black

pepper, whole cloves, whole cardamoms, nutmeg and mace. This was followed by meetings aimed at evolving a suitable methodology. The

accepted methodology was then submitted for further scrutiny and

comments to a panel of experts with the Director of Commerce as chairman, and finally to the Council of the Bureau of authorization

and approval. The next step was to obtain formal Government approval

which was received in a matter of a few days.

29
MECHANISM

The Export Inspection Scheme that is operative in Sri Lanka is one of

export license control, whereby exporters of specified commodities are required to obtain an export license prior to shipment. The authority

for the grant of the export license is the Controller of Imports and

Exports. One of the conditions for the grant of this export license

from the Controller of Imports and Exports is for a certificate of

quality issued by the Bureau on a particular consignment to be

obtained. This Scheme is operated under the provisions of the Imports

and Exports Control Act No. 1 of 1969,

l-IETHODOLOGY ADOPTED FOR AGRICULTURAL C0MJ40DITIES

(Table 1)

The exporter has first to grade and pack his produce for export. He

is then required to have his consignment certified as conforming to

the appropriate Ceylon/ Sri Lanka Standard by a surveying organization

recognized by the Bureau for this purpose. Simultaneously, the

exporter notifies the Bureau that the services of the surveyor have

been sought for the initial survey of the consignment and that the

said consignment would in turn be ready for inspection by the Bureau

officers. Once the surveyor has surveyed the consignment he is

required to send a copy of the survey certificate to the Bureau. On

receipt of this survey certificate the Bureau inspection personnel

will visit the same stores of the exporter and draw samples of the

commodity representative of the consignment. This drawn sample will

then be divided into two, one for examination and the other for

referee purposes. Once the requisite samples have been drawn by the

Bureau personnel, all components of the sampled consignment will be

sealed appropriately. Back at the Bureau the sample for examination

will be further inspected for compliance with the relevant

requirements and a certificate of quality will be issued to the

exporter who will have to annex it to his application for the export

license. l-Jhen the export license is granted by the Controller of

Imports and Exports, shipment can be effected. At the Customs a check

will be made on the intactness of the seals already placed on the

consignment. If the consignment does not conform to the Ceylon/ Sri

Lanlca Standard, the exporter will be notified by the Bureau of its

non-conformity, with reasons for same, in which case the exporter

could either appeal to the Director of the Bureau x^ithin 24 hours of

receipt of notice of non~conformity of his consignment or agree to

regrade his consignment and start all over again. In case of an appeal, further investigations will be carried out by the Bureau and

the verdict that is given will be final (refer Table 1 for flow-chart

on methodology).

30
METHODOLOGY ADOPTED FOR MARINE PRODUCTS

(Table 2)

The second major sector of export commodity inspection is frozen

shrimp and lobster products. In the execution of such a scheme for

consumable food items which deteriorate rapidly except under rigidlycontrolled conditions, the need for adequate safej^uards ap;ainst

spoilage and decomposition are absolutely essential. Therefore, the

first step in the stepwise Scheme of Pre-export Inspection has been to

register establishments processing lobster products and frozen shrimp.

Such processing establishments are inspected by a team of personnel

drawn from the Department of Commerce, the Department of Fisheries, and

the Bureau of Ceylon Standards, for conformity to the standard Code of

Hygienic Practice for the processing of frozen prawns and lobster

products. This Standard Code of Hygienic Practice (C.S,208),

formulated by the Bureau, lays down conditions in regard to hygienic

standards that should be operative in the plant, to processing

methodology to raw materials, freezing conditions, storage and to

transport,

A list of establishments for processing of frozen prawns and lobster

tails thus registered will be compiled and sent to the relevant

Government Institutions such as the Department of Import and Export

Control, the Central Bank of Ceylon and the Department of Commerce, so that export of this commodity, by non-registered organizations will be

prevented.

The next step in the methodology of this Scheme is to maintain a continuous check on processing in each of these registered

organizations. This is provided by inspecting officers paying random

monthly routine visits to each processing unit. Samples from the

production line would be drawn and examined for confonnlty to standard

and a check will also be made as to whether the Standard Codes C.S,

208 is being adhered to.

The third and final requirement is to check every processed

consignment or batch (depending on the requirements of individual

exporters) for conformity to the standards laid down by the Bureau

(C,S,10 and C,S,188), For purposes of testing these marine products

the Bureau has recognized the laboratories of the Department of

Fisheries, The Department of Fisheries issues a test report to the

Bureau on the basis of which a certificate of quality will be issued

to the exporter who will obtain clearance for shipment from the

Controller of Imports & Exports, After obtaining the required

clearance, shipment of the consignment could be effected. Here, too,

there is provision for appeal in case an exporter disagrees with the

assessment relating to a particular batch or consignment. The

Director of the Bureau will in such instances authorize an

31
investigation by a competent authority whose verdict shall be final

(refer to Table 2 for Flow-chart on methodology).

FEES

Routine sampling and sealing of consignments and issuance of

certificates of quality is a free service by the Bureau. A fee of

Rs.lOO/- is charged only in the case of a re-test.

EXPORT INSPECTION INSTITUTIONS

The Government of Sri Lanka has recognized the Bureau of Ceylon

Standards as its Central Certifying Authority for the purpose of preexport inspections. Hence, there are no other certifying authorities

for this purpose. The Bureau, however, intends to recognize

laboratories under Governmental control to carry out tests and

analyses of samples on behalf of the Bureau.

NUMMARY

The Bureau of Ceylon Standards operates a National Pre-export

Inspection Scheme on behalf of the Government of Sri Lanka. The

mechanism adopted for the export inspection for different specified

commodities is essentially the same, i.e., one of export license

control. The methodology for different commodities however, differs

due to inherent differences in the nature of the commodities. The

Bureau intends to extend this Scheme to cover fruit juices, cordials,

jams, jellies and canned fruit during the course of next year and in

the years to come to semi-industrial and industrial products. The

constraints in regard to the last is the non-availability of suitable

test facilities.

Although \7e have been faced with numerous teething problems in the

implementation of the Scheme, we are confident of its smooth operation

due to the co-operation and enthusiasm shown by the relevent

Government institutions concerned and also by the trade circles

involved.

32
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34
DISCUSSION

Mr, Hussaln ;

I have a few questions for my colleap;ue from Sri Lanka. I\Tiat are the

qualifications for the appointment of surveyors? Are there any

special enforced standards for the national standards that are applied

for pre-shipment? In case national standards are applied, what

practices are adopted for a lengthy test? Number three: TTio

prepares national standards for food and agricultural produce and who

enforces them? Are the authorities safe? The last question on which

I would also like some enlightenment from my Indian colleague is: For

the food and agriculture produce, is it the national standards board

who produces, or who prepares and establishes the standards, and who

enforces them? I would also like to have this information from both,

from Ceylon as well as from India.

Dr. T-Tijewantha ;

Thank you, Ilr. Hussain, The first question is in regard to the

qualifications of the surveyors. Well, having surveyors to carry out

this preliminary inspection is something which is unique to Sri Lanka.

You see, before v/e brought this scheme into operation, the Chambers of

Commerce had experienced hands who were called "surveyors" to assess each consignment before it was shipped out. This was the limit of

pre-shipment assessment. Uhen we came into the scene, while we have

our own qualified staff to do a final assessment, we did not want to

do away x^^ith the surveyors. We wanted them also to have a place in

the sun to start with, otherwise we felt there could be resistance

from the Chambers of Commerce and so on. To answer your question,

surveyors are experienced hands in grading but they do not necessarily

have a degree behind their name, ^'e find that in most of their

assessments, i.e., in at least 70% to 80% of their assessments, there was agreement with our o\.m gradings. I might mention that there is

nov7 agitation that we do away XvJith tlie surveyors. This in effect Is

actually a vote of confidence in us since exporters feel tliat a single

check by us alone is sufficient. The second reason whv we retaine^l

surveyors was that we wanted to see that the time of my oxm peonle was

not ill spent. Our earlier experience v/as tl\at exporters have a habit

of just getting their produce together and asking the Bureau to

certify it. T>y having the surveyors we at least ensured that there were minimal chances of consignments not being properly graded, before

notification is sent our office.

The second question I think was whether implementation of the scheme

is by the national standards. Tlie answer is yes.

35
Mr, Fiissaln ; ;

, • -

IJhat happened with lenp;thy tests? Because the national standards

involve very exhaustive tests.

Dr. Wijewantha: • ; . .

•,

No, most of the tests are not lengthy and can be performed within the

24-hour limit given by us. In the case of bacteriological tests v/hich are applicable in the case of marine products, there is the incubation

period which takes more than 24 hours, that is why I say that for

marine products we need a minimum of about 4 to 5 days before we could

issue a certificate of conformity. The next question was: Wlio

prepares the national standards? Ne follow the usual procedure in

standards writing as adopted by all national standard bodies.

Representatives of the trade, representatives of government

organizations, experts in the field, all tlie usual people who are involved in the preparation of standards, serve on the particular

drafting committee.

Mr. Hussain ;

•

; . , . ,. <

.

My point was particularly about the agricultural produce and food

products. Perhaps you knov; this.

Dr. Uijewantha ; , . ;

In this case, too, \<!e are very particular that there is representation

by all parties concerned. And, you wish to know x-;ho imposes this?

Our Bureau of Sri Lanka will be implementing some of the agricultural

standards. This will be in respect to certification of export

consignments. Thank you very much.

Mr. Htissain t :

I would like my colleague from India to respond also. You know, we happened to be partners in the practice of lav; once.

In the matter of food and agricultural products v/e have the laMS of

the Ministry of Agriculture, and also an Agricultural Marketing

Advisor's office with laboratory facilities for essential tests. By

agreement V7ith the Agricultural Marketing Advisor, standardization in

agricultural and food products in areas where the national or international interests predominate is controlled by the national

standards body. In areas where such interests are not involved, it is

the Agricultural !tarketing Advisor. The Export Inspection Council

Mr. Rao:

36
also comes into the picture from the year 1963 or 1964 onwards, and

they have also certain a.tjreement with this Ministry for inspection of

exported food and a.^riculture items. The endorsement, therefore, in

these fields, rests with three authorities. For instance, the export

of agricultural produce like bananas has been entrusted to the Exnort

Inspection Council, and so are frozen marine products. There are many

items on which you would find what is called an AO'^IARK - by the

Agricultural Marketinj^ Advisor's Office, and those relate to a number

of items includinf^ agricultural commodities, essential oils, edible

oils, and many other items, IJliere we the Indian Standards Institution

come into the picture is \^±th our certification of certain

manufactured products, like biscuits, macaroni, infant foods,

breakfast foods, condensed milV; and so on. So, our fields of activity

are quite well defined and implementation, I must say, is reasonably

good and without conflict. Does that answer your question, Mr.

Hussain?

Mr. Hussain ;

There is one point. Is the distinction between the Food and

Agriculture producers based on manufactured or non-manufactured poods?

Mr. Rao :

Well, it is both. For instance, an essential oil is not quite an agricultural produce; it's a manufactured product. Therefore,

specifications, though dravm up by the National Standards Institution

have been adopted by the Agricultural Marketing Advisor. This kind of

agreement has been going on for years now, and we didn't want to

change the status of such an agreement.

Mr . Uij ewantha ;

\^ha.t about the edible oils?

Mr. Rao ;

Edible oils, by and large, are also AG^iARKed.

Mr. Wij ewantha ;

If I may ask one question of Dr. Rao. Referring to the AGMARI' scheme

- we have all studied it a bit - we find that in the case of marine

products there is a variation between standards, the export standard

laid down under the AGMARK scheme for micro-biological limits is

different from that in the national standard. Now, this fact is

quoted very much, by our trade circles, against the position which we have taken of only having the national standard. They say, "l-Jhy

37
can't you have two standards? One an export standard and the other a national standard as in the case of India."

May I pose the question. Do you think that is advisable to have

tv70 standards? An export standard as opposed to a national standard?

Nr. Rao ;

Well, to say that we should have two standards is probably much too

much. We could have two grades, rather than two standards, ^Jhen we

talk of standards, each is much more comprehensive, ^The.n we have two

grades under the same standard it should be better. All along, in our national standardizing activity, we have been in consultation with our overseas buyers, be it micro- biological limits, be it moisture content

of grain, be it any other requirement, our overseas buyer's

preferences are guiding us in fixing the grades. For instance, on

tea-chest plywood, U.K. and their Ministry of Food, have their

regulations, regulations on the tea, regulations on its packing... we were mostly guided by their regulations and the fixation of timbers,

the interlining of the tea-chest with certain materials like aluminum

foil, paper, or so on, was to satisfy their requirements. Similarly,

in our national standards on food products we are guided by the

American regulations because - though they are very high, we felt that

if we satisfied them in micro-biological and other requirements, ve would satisfy a lot of others and that particular grade within the

national standards all right, and there is no separate standard. Now, our Export Inspection Council does adapt some of the national

standards and comply with them. Therefore, we cannot say that they

are different , they are part of the same standard, either higher

grades or extracted from the national standard. Does that answer you,

Mr. Wijewantha?

Mr. Hussaln ;

Excuse me, one more question. .. if you don't mind. Dr. Rao has just

recommended sort of a grading system for pre-shipment inspections.

Perhaps this would not provide the complete answer because the

national standard, by and large, gives the normal standard (what shall

I say) the lox^est acceptable tolerances, you know. And when you

prescribe the grade, you know, the test will remain the same, and only

the tolerances would be changed. So perhaps, in my opinion, the

grading system would not solve the difficulty for perishables. It

might be that we would have to cut down the number of tests and some special standard would have to evolve for perishables, cutting down

all the lengthy tests. That is my opinion. Thank you very much.

38 -
Mr . Rao

If this still requires an answer from me, well: for export, grading

standards are an essential part because, I will cite an example of our exports of walnuts to U.K. Walnuts of some sort of mixed grade have

been exported and then there were complaints. Then the walnuts were

graded very high and only the high grade walnuts were exported, then,

a reverse complaint came to us and that was "^Tio wants the highest

grade of x.7alnuts? You send us the mixed grades and we will grade then

according to the consumer market about which you do not know."

Therefore (laughingly) we went back to the old practice o^ a mixed

grade being sent to the U.K. Now, in certain countries, still, a high

grade of walnuts, a second grade of walnuts, a third grade of walnuts

are still required. Perhaps in your exports from Pakistan in many

items like dates, grapes, and so on, a similar situation would arise.

For instance, the grades that come to us from you are of mixed grade

and our wholesalers grade them to different varieties and si^es and

sell them. So it depends on what your customer or our customer

requires, and we have to go accordingly. Therefore, I still feel that

the gradation or rather specification of various f^rades would be

essential unless otherwise required by the customer.

Mr. Hussain :

I have never disputed grading. That was not ny gripe. Grading is

very frequently essential. And we also do provide it in our national

standards. But, the question is the export standard ... should there be some special standard or the national standard? Or the national

standard, if you observe all the tests, the material tests,

performance test, die tests, all would be needed. So if you provide

grading, and grades, the dollars might be reduced, btit the number and

nature of tests v/ould remain the same. For pre-shipment dispatch what

you need actually is to clear a consignment in the minimum possible

time. For that very purpose, it is quite essential that the number of

tests, particularly those lengthy tests, should be reduced. That was my point. Mot degrading grading. . .grading is quite essential, I do

agree there.

Mr. Rao t

As far as the length of the tests are concerned, I don't knox-; if we could reduce the duration of the tests because of certain

requirements. For instance; if you are iust testing the moisture

content of wood or ply\rood or somethings like that, it is fairly easy.

But if you are to test the micro-biological content of food, it is

lengthy because you have to incubate the item and take it out and see

the population of the fungus and other micro-biological elements, so the test has got to be a little long and dra\-m out. I'm afraid on

that issue we cannot compromise.

39
Dr. Probine:

I wonder if I could direct a question to Mr. Tli-jewantha of Sri Lanka.

The scheme you outlined was of great interest. The question is this:

Havinp; fixed the standard which you will use in Sri Lanka, do you have

any problems at all in meeting standards of specific countries which

may be at variance with one another? Does the fact that you have

established a proper inspection procedure mean that goods are being

accepted almost without question?

Dr. Wijewantha ;

We find that the standards which we had laid dox^n for agriculture

commodities at a quite high level. And, as such, there has been no question of the non-acceptance at the other end. To start with, v;hat we are trying to do, actually, is to insure that anything leaving our country meets with the minimum requirements as set doT«m in our Sri

Lanka standard. Ve have found that at the same time it has been at an acceptable level to all importing countries.

Dr. Probine ;

Thank you very much.

Prof. Stephens ;

I would like to extend that question a bit more. Perhaps in two

parts. Are there exports from Sri Lanka not covered or not yet

standardized by the Bureau of Ceylon Standards, and, if so, hov; are those export products inspected and to what standard? And the second

question is; Is there in operation a certification program for

domestic products, excluding exports?

Dr. Wljewantha :

Now, in regard to the first part of that question, lie have not laid

down Sri Lanka standards specifications for all agricultural items,

commodities which we produce in Sri Lanka. To start with, our scheme covers only the items specified in my paper. During the course of

this year we will be including fruit, juices, cordials, jams and

jellies for which two Sri Lanka standard specifications have been laid

down. We have already prepared our standards for some essential oils

and other commodities, but we will not be Imposing the pre-export

inspection scheme until about next year because of questions of

personnel and laboratory facilities for testing. As for the second

part of the question about the certification program,, we have found

that in Sri Lanka, although we have tried our level best to get the

certification marking scheme going, because of lack of internal

competition and being a seller's market, it is very difficult to get

manufacturers to join in our certification mark scheme. There is also

the difficulty that a large number of our products are produced in

AO
government manufacturing organizations, you see, and they do not think

of joining our scheme because it is, again, a monopoly. I wonder

whether this answers you.

Mr. Hopper ;

I would like to question the gentlemen from India, Pakistan and Sri

Lanka. My personal belief is that grading is not very successful, and

in fact, not desirable. From a practical point of view, this ratlier

bewilders ne as to how these three countries manage to put it into

effect. A certification scheme that covers one product is difficult

enough. Lord knows; that is, with the money that developing countries

have for these standards bodies and for certification teams. TJlien you

split these up into grades you're tripling or doubling your methods of

testing, your grading and your surveillance which is the worst part,

perhaps, the most difficult part of this certification. I am against

it but I'm quite willing to change my mind... I'd like to know hov;

these three standards bodies manage to achieve this grading but above

all, how they've managed to produce the staff, the testing, the time

to grade effectively into a certain number of grades. There is iust one final point. From our experience in Thailand, grading would have

positive dangers. I'll give you an example of this: the British

Standard, and I think many other standards, on lead content in

glazing. There are clearly defined admissions going down to the two

parts per million where the lead is likely to be consumed, and I think

something like 20 (I can't remember exactly) allowed for such things

as ashtrays. In Thailand the standards have been set at two parts per

million for everything simply because the differences in preparation

among what is largely an expanded cottage industry, are so full of

pitfalls that we simply cannot allow this variation to take place in

the industry and the standard is set for all things, regardless, at

two parts per million. It is this sort of com.plexity, this sort of - how do you really control your industry when you're grading? How can

you trust them so much, how can you form the certification teams and

the surveillance to survey these various grades ? I'd be very

interested to hear from these gentlemen exactly how they control this

grading.

Mr. Rao ;

Uell, Dr. Uijewantha x^ants me to ansv7er first. In a standard we cover quite a number of grades and there is no difficulty in isolating the

testing of one grade from the other. For Instance, the export of

aluminum ware from India required that we should be on grade one.

Now, our national body has given a certification mark for altiminum,

grade one for exports, '^e do not find any difficulty in the export of

that item under grade one. And our buyers abroad are satisfied in

receiving this high grade aluminum with only a fevr traces of other

41
elements. For internal consunption, we have the next grade, vrhich we

find good enough and therefore we do not find any difficulty in making

that grade and using that grade, I cannot off hand give other

examples but there are many where the gradation has been helpful to our export trade. Referring to the examples of glazing for certain

items, which Mr. Hopper has raised, probably no problems arose in our country with our exports but surely there are similar requirements in

food items and so on, which do not bother us at all.

Recently, the survey team visited one firm in Manila where certain

food items, like beer, ice cream, milk and other things are being

produced and this firm had set upon itself a zero limit for microbiological requirements. It is a very high grade. Perhaps for local

consunption they could have the micro-biological limit to the extent

that the Food and Drug Administration of the Philippines and others

permit, but still they had zero limit. And they had no difficulty at

all. They felt no difficulty in achieving it, either in testing or in

production. Therefore, I for one feel the grading system in a standard, other requirements being common, should not present any

difficulty at all.

Mr. Hopper ;

How do you ensure that grade three is not sent out as grade one?

Mr . Rao ;

Oh, now I understand your questioni How do we ensure that having

grade one, a grade two or a grade three does not go out? Hell, that

is an intrinsic requirement of quality narking everywhere, and, if

somebody wants to cheat, he can cheat once, twice, but not all the

tine. . .because not only the quality marking scheme would be vigilant,

the receiver at the other end would also be vigilant. And, hov; long can the cheating go on? At one stage or another the mark would be

cancelled or suspended and the biisiness stopped. Therefore, we do

not, at least in India, we do not foresee any difficulties.

Dr. I^ijewantha ;

I would like to add a few words briefly to what Dr. Rao has said. If

I may take as an example one agricultural product, say pepper, we

have only one grade of pepper and assessment is on the basis ot ash

content, moisture content, extraneous matter and enzymatic activity,

and these are ascertainable by laboratory test. Once a consignment is

ready for shipment we have a scheme whereby we can drau out a sample,

do the test, seal up our consignment and thereby ensure that the

quality of the consignment that goes out conforms to that particular

grade xdiich is being shipped out. The same thing applies over and over again to the other agriculcural products. If we use pepper as

42
another example, then we would have a grade one, two, three, and four,

depending on the moisture content, amount of extraneous matter and the

amount of immature berries. The exporter or the producer is expected

to grade according to what is required by the buyer and then assess it

according to the Sri Lanka standards specification so that he can say,

that his consignment is conforming to grade one, two, three or four.

We would be drawing the appropriate number of samples on a statistically laid down method of sampling, testing the sampling and

assessing the consignment before we pass it for shipment.

Mr. Sumantri ;

I think that the purpose of this seminar is to exchange information,

ideas and experiences, I thank you very much for your participation

and I thank Dr. Wijewantha for his presentation.

*3
H SESSION ON METROLOGY and TESTING

Prof. K, S. Stephens, Chairman

Prof, Stephens ;

We will call this second day's session to a start. It may be

significant to note that exactly one year af>o today a conference of

similar nature was convened in this very same room. We beat that one

by one day yesterday but just one year ago today a conference

sponsored by UNIDO on the subject of quality control and certification

marking of products convened here. We enter into the second day's

activities and this morning's session on metrology and testing.

Before we get under way we'll have Mr, Peiser give a few announcement s

.

Mr. Peiser ;

Thank you, Mr, Chairman. In view of the fact that you have just

reminded us about what happened one year ago, I also wish to remind

you of what happened exactly one hundred years ago today. And that is

that the Treaty of the Meter was signed, which is the oldest

international treaty in existence in current operation. Obviously, we here, a hundred years later, are, in a sense working to make it a more effective document than it was 100 years ago.

Mr. Chairman, thank you very much. ' '

' "

Prof. Stephens ; v..-,.

You're welcome. We'll get under way right away with the first talk by

Dr. Merwyn Probine, Director of the Physics and Engineering

Laboratory, of the Department of Scientific and Industrial Research of

Nev; Zealand, speaking on evolution of a national measurement system.

Dr. Probine.

44
DEVELOPMEHT OF A NATIONAL INFRASTRUCTURE

OF SUPPORT SERVICES FOR QUALITY CONTROL FOR EXPORT

Dr. Merwyn Problne

Director

Physics and Engineering Laboratories

Department of Scientific and Iildvistrial Research

New Zealand

INTRODUCTION

When I was asked to give this talk, I gave a lot of thought

as to what I might say that would be of value to you. Rightly

or wrongly, I finally decided that I would say something about

the way in which we were tackling this question of quality

control, quality certification marking, and standards, in New

Zealand

.

I decided to do this, not because we do this any better

than other people (we don't), but because, although we are a relatively wealthy country, we are nevertheless a developing

country in the sense that we are at present trying to develop

our export of manufactured goods. Our successes and failures

may, therefore, be of interest to you. Furthermore, we are

a small country (population 3 million) with a relatively short

history of manufacturing, and our present experience may not

be veiry different from that being experienced by other developing countries.

Some of what I have to say will, I am sure, be irrelevant

to your situation to some degree, but I hope that some of it

will be of value to you.

The paper is divided into two parts. In the first part,

I will deal with some background to the New Zealand Economy

and some of the infrastructure services we have introduced

with a view to encouraging better quality in New Zealand

Manufacturing; and in the second part I have dealt with some

of the steps we are taking to strengthen our national measurement organisation.

In talking about quality control, quality certification

marking, and standards, what we are really talking about is

the production of manufactured goods which both local and overseas people can buy - confident that they are of good quality.

One can, of course, make good quality articles without

formal quality control systems. The sculptor, the artist,

and the individual craftsman can, and does, produce objects

of exquisite beauty and of very high quality, without the need

for formal quality control systems. This is because the

craftsman sets his own personal standards, checks the quality

45
of his ovm work and, when he leleases it for sale, gives his

own personal "Certificate of Approval".

But the "personal approval" system used by the crafts- man cannot be carried over into large-scale production. Mass

produced products are not made by one person but by many

people; there are usually a large number of individual

components which have to fit accurately together so that the

product can function as a whole; and the making of the

individual components may involve the use of a large number

of separate technologies.

Because interchangeable parts are the key to mass production, they must be measured accurately to fit together.

To design the complex technological systems, the physical

and chemical properties of a wide range of materials must be

accurately known. Materials must be selected to meet a wide

range of operating conditions and to make such selections,

the engineer depends on accurate data on the characteristics

and properties of materials.

For these reasons, as the industrial technology of a country increases in sophistication, so too does the need for

making accurate reproducable measurements. We could say,

therefore, that good measurement is one of the keys to the

development of an advanced industrial economy. , At an early stage of a country's development, when it

still has a strong agricultural bias, and when it is producing such products as, say, meat, wool, dairy products, leather,

rubber, palm oil, tea, etc., it has a more modest precision

measurement requirement than does a highly industrialised

country producing, say, machine tools, scientific instruments,

automobiles, communications equipment, computers, etc.

In the highly industrialised country, there is a need

for very advanced measurement, testing, and quality control

methods, to a degree which is not necessary in a primarily

agricultural country. To provide the less developed agrcultufal country with the measurement and testing facilities which

are necessary for the advanced industrialised country, is

unnecessary, and it would be a waste of valuable resources if

it were attempted.

The first major point I wish to make, therefore, is that

it is sufficient to provide facilities which are matched to the country's needs and to ensure that the measurement and

testing facilities are kept constantly under review and

strengthened as and when necessary , so that the real needs of

the country can be met as industrial development places greater

and greater demands on accuracy of measxirement and on advanced

quality control procedures. In this way, the resources which

are allocated will be utilised to the full and employed so as

to give the maximum benefit to the country's science and

technology.

Good measurenients are, o the total services required fo

Industrial development needs a covering the whole spectrum of

through from training in the s

f course, only a small part of

r industrial development,

well-educated work force

skill and knowledge right

implest "bench" skills, to the

46
100-

UL

FIG .1

% of N.Z. export earnings from Agricultural Exports and

Manufacturing Exports. The dates of introduction of

some significant infrastmcture services are siiown.

47
training of professional sciej'tists and engineers; it

requires business institutions with skdlls in finance,

management, and marketing; and it requires highly competent

government departments and institutions to support government policies aimed at assisting business development.

Although these latter topics are outside the scope of

this talk, they are mentioned here because some of the broader

aspects of industrial development will be touched on as I discuss our experiences in New Zealand.

PART I SOME BACKGROUND INFOI^MATION

ON THE NEW ZEALAND ECONOMY

The New Zealand economy has been, and still is, based

on the production and export of agricultural products - mainly

meat, wool, and dairy products. In Figure 1 it will be seen

that 20 years ago, in 1955. agricultural exports comprised

989^ of the total export earnings. 10 years later, in 1965,

they still comprised 96?^ of the total; but since then there

has been a marked rise in the export of manuf?i c bured goods,

(including forest products such as pulp and paper) so that

today the export earnings of agricultural exports are only

about 80Y0 of the total, whereas manufacturing which was only

2?^ in 1955s has risen to about 20/^' at the present time.

This dramatic increase in earnings from the export of

manufactured goods is sho^vn in Figure 2. It will he noticed

the export earnings of manufactured goods (excluding forest

products) has been increasing at the rate of 27^ per annum

since 1969» and the export earnings of forest products have

been increasing at the rate of almost 1 5?o per annum. Manufacturing has been actively encouraged in New Zealand

since the early 19^0' s, and it was initially developed under

the protection of import control and tariff barriers. During

the 1950's and early 1960's, the production of manufactured

goods increased rapidly until it was supplying a substantial

fraction of the home market; but although some of our manufactured production was exported, it was a very small

proportion of the total exports (see Fig. I), During this

time when manufacturers were producing goods for the highly

protected home market, I think it would be true to say that

there was little real attention to quality control or testing

by New Zealand manufacturers.

This dramatic swing towards export of manufactured goods

'since I968, however, has meant that manufacturers are now producing for the highly competitive international market where

not only is there no protection, but they actually have to compete in many instances against goods which themselves enjoy

tariff protection. This change in the marketing situation has

meant that there is now very much more empliasis on qviality

control and testing to meet the needs of discerning overseas purchasers

.

The shift towards manufacture for export has also meant

that we have had to strengthen and develop an infrastructure

of services which are designed to increase the quality and

technical excellence of our manufac tiired goods, and to increase

the productivity and efficiency of our industry.

48
200

1969 7 0 71 72 73 7i 1975

YEAR (Ending August)

FIG. 2

OUTLINE OF THE "SUPPORTING SERVICES" INFRASTRUCTURE

There are a very large number of services which can give

valuable aid to manufacturers - particularly to the small and

medium-sized manufacturers - to make it possible for them to

produce better products, products which employ more advanced

technologies, products which are well designed, products which

are produced efficiently, and products which have been

adequately tested.

So that you will obtain some idea of the extent of these

advisory services, a small booklet produced by the New Zealand

Productivity Centre will be available for distribution. Some

of the services which are relevant to this seminar, however,

are listed below together with a brief summary of their

principal functions. Services will undoubtedly be improved

and expanded as time goes by; but you will see that there is

developing in New Zealand a valuable core of services to aid

majiufacturers in their export drive (the phasing in of these

seirvices is shown in Fig. 2).

49
standards Association of New Zealand (SANZ)

(object s to produce national 'Consensus' Standards)

- standards specifications

- codes of practice ' r - certification mark scheme

Testing Laboratory Registration Council (TELARC) '

. (object ; to promote good measurement practices

throughout the cotontry)

- assessment and registration of laboratories

- directory of testing and calibration facilities

.- assistance to achieve good laboratory practice

and management

New Zealand Inventions Development Authority (IDA)

(object : to promote the development of N.Z. inventions)

- advisory service on patenting

- technical and commercial assessments of patents

- assistance with launching patented equipment

- financial assistance

Industrial Research & Development Grants Scheme (iRDGS)

(Object : to simulate research and development in New

Zealand industry)

- cash grants based on salary, plant and miscellaneous

research expenditure to firms undertaking eligible

industrial research and development

- contract research let by firms to approved laboratories

may also qualify for grants.

N.Z. Industrial Design Council (NZIDC)

(object : to promote good industrial design)

- information and advice on product and graphic design

- liaison between those who supply designer services

and those who supply them

- evaluation of products for the award of "Designmark"

to well designed products.

Productivity Centre (PROD.C.) -

(object s to improve the productivity of N.Z. industry)

- promotion of improved productivity in manufacturing

and servicing industry

- advice on productivity improvement

- interfirm comparisons

- productivity groups

- productivity improvement teams -

50
Consiimer Institute ( CONS . INST . ) (object : to protect the consumer and promote good products)

- testing ajid evaluation of consumer goods and

publication of results

- evaluation of services to the consumer

- submissions on consumer legislation

- information service to consumers

- consumer complaints service

The ways in which these organisations can improve the

quality of goods of N.Z. manufacture will be obvious from their

objects. One of them, the Consumer Institute, deserves further

comment because its effect on quality control and testing may

not be immediately obvious. The Consumer Institute has about

126,000 members (l975), which is k3 members per 1000 of

population. This is the second highest membership per capita

in the world. 'Consumer' magazine is read monthly by between

400,000 and 500,000 people (in a population of 3,000,000),

Products which are tested by 'Consumer* are reported on by

brand name and price, and critically evaluated for their

performance under the following general headings - safety,

efficiency, reliability in use, durability, appearance,

convenience, and price. Manufacturers whose products are rated poorly, suffer a significant drop in sales, and make

every effort to improve their product so that they will not be

•caught out' again. If they have not tested their products

previously, they certainly will do so in the future. In the

16 years it has been in operation, the Consumer Institute has

dor a great deal, indirectly, to change manufacturers'

attitudes to testing ajid to quality control.

In discussing infrastraacture services to assist manufacturing, the work of two government departments should also be

mentioned. They are : Department of Trade & Industry

Information, advice and assistance to manufacturing

and servicing industry is available from the department

on :

- opportunities and requirements for industrial

expansion or development

- availability and cost of industrial land, power,

labour, transport and other services

- availability and sources of supply of raw materials,

components and finished goods

- government and private services available for

assistance to industry

- price stabilisation and control regulations

- regulations concerning trade practices, consumer

protection, monopolies, mergers and takeovers

- import licensing

- industry protection

- productivity

- exporting and export incentives ., - resource conservation

- industrial research and development grants

- regional development aJid regional development

incentives

.

51
Department of Scientific & Industrial Research (DSIRj

Broadly speaking, the DSIR objective is to initiate,

plan, and implement research calculated to promote the national

interest of New Zealand.

It is Government policy ^or nSIR to encourage industrial

development through co-operation with industry in the development of New Zealand resources, and in the manufacture of new

products, designed and/or developed in New Zealand, and which

may have export potential for commercial applications.

More specifically, DSIR helps industry by the following:

- advice to Government on specific technological

matters

- research on natural resources and on methods of

exploiting these resources

- introduction of new methods and new technologies

to the New Zealand scene

- provisj.on of scientific and technical advisory

services to industry

- provision of national testing, calibration and

analytical .facilities and services - with the

proviso that DSIR should not imdertake work

that could satisfactorily be done by available

private organisations

- scientific ctnd technical advice to such bodies as the Inventions Development Authority, Consumer

Council, Design Council, Industrial Research &

Development Grants Act Committee, Testing . Laboratory Registration Council, etc.

- research and special development programmes aXtned

at building up a pool of skill and knowledge in

techniques, processes, and methods, of importance

to industry - with a view to making this knowledge

available through advisory sexwices

- provision of special facilities, such as pilot plant

facilities, testing facilities, etc.

- making grants, and letting contracts, to universities

and technical institutes, for research and

development projects which are important from

an industrial point of view

- funding research associations.

PART II

DEVELOPMENT OF MEASUREMENT AND TESTING SERVICES

New Zealand has for many years haa a standards association

(standards Association of New Zealand) which produces

'consensus* standards, or 'standard specifications', and

codes of practice. Without such consensus standards,

components could not be interchanged readily, and such things

as communications systems, television systems, etc., could

not be fully utilised or operated, on a national or on a world basis. Consensus standards also ensure safety, performance levels, methods of test, and so on. The value and

purpose of consensus standards is so well known that I will

not pursue the matter further here.

52
What I would like to do is to trace the way in which we are at present developing our measurement and testing

services to meet the needs of manufacturing for export.

In order to do this, I would first like to describe the

type of organisation which is used in a number of developed

countries to ensure its measurement system is uniform throughout the country and uniform with measurement systems used

throughout the world.

The 'National Measurement Standards Laboratory'

Type of Organisation

The organisational details differ from country to country;

but a fairly general type of pattern is that which is

illustrated in Figure 3 by means of a block diagram.

In this diagram we have represented the situation in

which there is one national body which has the responsibility

for custody, maintenance, and devebpment of national standards

of measurement, and for the provision of means and methods of

making measurements consistent with those standards. In the

diagram we have called this body the 'National Measurement

Standards Laboratory'

.

In the field of international standards, the Bureau

Internationale des Poids et Mesures was created with the

principal task of providing uniformity of measurement in

science, trade, and industry for the whole world. Thus, through

this international organisation, and with the help of international collaboration, xmiformity and improvement of measurement is made possible. In the "international" part of the

diagram, international standards are shown by a single block

indicating that the standards of measurement in the National

Measurement Standards Laboratory can be referred back to international standards, either directly to the International Bureau

of Weights and Measures, oir through another National Standardizing Laboratory.

It is customary, in many countries, for the body which is

responsible for "Weights and Measures" used in common trade to

be a separate organisation from the "National Measurement

Standards Laboratory". The "Weights and Measures" organisation

has the responsibility of administering an Act, which provides

for the regulation, administration, and control of weights

and measures used in commerce and trade. Such an organisation

employs inspectors to ensure that the provisions of the Act

are adequately policed; and ensures that the standard measures

used by the "Weights and Measures" Inspectors are regularly

or periodically verified, and that there is an approved

system of checking the standard measures against measures of

higher quality, up to the level at which the higher quality

measure is the accepted national standard.

53
INTr.RNATlONAL INTIBNATIllNAI.

INTERNATIONAL

STANDARDS

LABORATORY

PARENT COMPANY PORflGN

STANDARDS

INTKRNATFONAL

FIGURE 3.

In the diagram, the "Weights and Measures Organisation"

is therefore shown as relying for calibration of its highest

quality measures on the standards facilities provided by the

National Measurement Standards Laboratory.

Local companies, research institutes, universities, and

government laboratories within a country, can refer to the

National Measurement Standards Laboratory for calibration of

their highest quality measurement standards. This reliance

on the National Measurement Standards Laboratory for calibration of the highest quality instruments is illustrated in

the diagram by arrows leading from each type of institution

to the national body.

In almost all countries throughout the world there will

be companies which are subsidiaries of overseas companies,

and it is quite usual for these subsidiary companies to rely

on their parent company for such measuring equipment, gauges,

etc., as the> require to ensure that the parts produced locally

are interchangeable and uniform with the company's products

produced elsewhere. In the diagram the "subsidiary" company

is therefore shown as having its main route to international

standards through the parent company whose standards, in turn, are traceable to "international stamdards" through a foreign

national standards laboratory.

5A
The organisational pattern described here is not the

only one possible. Sweden has built up a very advanced

industrial economy without having a "National Measurement

Standards Laboratory". Responsibility for the precision

measurement is shared by a number of complementary laboratories concerned with specific fields of measurement.

The "National Measurement Standards Laboratoi^"

supported by "Approved Laboratories"

It is the personal opinion of the author, that the

question of linking precision measurement in the national

standards organisation, to the needs of the industry, has been

tackled most successfully in Australia through an organisation

called The National Association of Testing Authorities (NATA).

New Zealand has recently set up a similar organisation called

the Testing Laboratory Registration Council ( TELARC ) . NATA

in Australia, and TELARC in New Zealand, are organisations which

run voluntary approval and registration schemes for testing

laboratories

,

Briefly, the idea behind the laboratory registration

scheme is that firms and institutions which are capable and

willing to undertake calibration and testing work, are first

examined by assessors chosen for their knowledge of the field,

to see whether they have the appropriate equipment, whether it

is installed in suitable premises, and whether the operators

are experienced in measurement and in reporting the results of

measurement. If these and other conditions are fulfilled,

the laboratory is registered as an "approved" laboratory in

the measurement field in which it has the necessary skills.

It has the right to use a standard mark on its test documents

which guarantee to the industrial user of the service that the

calibrations have been carried out by a laboratory competent

in this field of measurement.

The interrelations between organisations requiring

calibration work to be done, and organisations offering to do

calibration and testing work in cotintries where this type of

scheme operates, is shown diagramatically in Figure h. The principal difference between the organisational scheme

illustrated in Fig. 3 and that illustrated in Fig. k, is that

a number of local companies, research institutes, universities,

and Government laboratories can, if they wish, have their own laboratories assessed and registered as "approA'"ed laboratories"

for carrying out both their own calibration and testing work,

and for carrying out calibration and testing on behalf of

other organisations. The standards used by these "approved"

laboratories must be directly traceable back to the national

standards held by the National Measurement Standards Laboratory

in order to qualify for approval.

The advantages of the scheme are many. Industry benefits

from the improvement which takes place in laboratory practice,

and from the better testing, which leads to better quality

control and higher quality products. NATA and TELARC

endorsed documents become a reliable basis for the purchasers

acceptance of the suppliers test results, and this avoids

lonnecessary duplication of test work and speeds acceptance

of goods supplied under contract. It therefore conserves scientific and technical manpower.

55
INTERNATIONAL INTtRNATIONAL

INTERNATIONA I.

STANDARDS

NATIONAL

MEASUREMENT

STANDARDS

LABORATORY

APPROVED

LABORATORY

APPROVED

LABORATORY

LOCAL COMPANY

RESEARCH

INSTITUTE

COVI RNMI NT LABORATORY

LOCAL COMPANY

Rl. SI ARCH

INSTITUTE

UNIVERSITY

APPROVED I LABORATORY I

APPROVED

LABORATORY

GOVERNMENT

LABORATORY

SUBSIDARY

COMPANY

INTERNATIONAL

FIGURE k.

The fact that laboratories can be approved wherever they

are in the covmtiry, means that precision measurement and testing work can be carried out in regions well removed from the

locations of the National Measurement Standards Laboratoiry;

but in such a way that measurements made in the regions are directly traceable to National Measurement Standards.

Assessment and re-assessment of their laboratories,

provides management in industrial firms with an independent

measure of laboratory performance.

Finally, publication of lists of testing and calibration

facilities, provides industry with a list of facilities which

are available to it for calibration and test work, so that

the industrial firm knows exactly where to go for the type of

measurement or testing service it requires.

I think that most people would agree that the existence

of a laboratory registration scheme of this sort is a valuable aid to good quality control in industry.

56
The Present Organisational Situation in

many Under-developed Coiintries

The pattern of organisation of precision measurement

facilities as found in many under-developed countries, is

shown diagramatically in Figure 5, This diagram does not

aim to represent the situation in einy particular coiintry.

In this case there is no single body which is responsible

for precision measurement and national standards. In other

words, the National Measurement Standards Laboratory does not

exist. The body responsible for "weights and measures" has

its principal standards directly verified by the International

Bureau of Weights and Measures; or by a foreign National

Measurements Standards Laboratory. The subsidiary company

can still have its equipment, gauges, etc., supplied and

verified through the parent company, and its standards are,

therefore, traceable to international standards through a foreign National Measurement Standards Laboratory.

Local companies, research institutes, universities, and

government laboratories are not so fortunate. It is true

that the imported measuring equipment of these organisations

is traceable to international standards at the time of purchase,

by virtue of the fact that the instrument supplier can trace

his standards back to international standards.

In Figure 5j however, it may be noted that a gap has

been shown between the local company, research institute,

laniversity or government laboratory, and its respective instruments supplier. This gap is inserted to indicate that, while

these various bodies have their measurement facilities traceable back to international standards through the route indicated

at the time of purchase, they do not maintain this link to the

international standards because they do not submit their

equipment for recalibration

,

Many of the companies ajid institutes which do not have

calibrations updated, recognise the need for recalibration;

but, because the amount of money made available for maintenance

is so small, they cannot afford to meet the costs involved

in transporting the equipment to a foreign National Measurement

Standards Laboratory and meeting the test fee involved.

A POSSIBLE PATTERN OF DEVELOPMENT OF TESTING SERVICES

The standard of measurement and testing facilities, and

therefore of facilities or good quality control, varies widely

among the so-called "under-developed" countries. In some under-developed countries, facilities are very elementary

indeed, and quite inadequate to support even a modest industrial

development. All of the countries of Southeast Asia which I have visited are, however, making strenuous efforts to improve

their measurement facilities because of their importance to

their industrial development programme.

It would be presumptious of me to make any specific

suggestions as to how individual countries should tackle the

general problem of developing their measurement and testing

services. There are, however, some general comments that one could make in the hope that they may be helpful.

57
Repair and Calibration

Effective testing and analytical services, and industrial

efficiency generally, depend on equipment which is not only

competently used but which is maintained in proper working

order. There can be no doubt at all that the general state

of equipment servicability in \jinder-developed countries is a serious problem. It is typical that there is a shortage of

money for repair and maintenance; low stocks of spare parts

are held by instrument suppliers; and there is a shortage of

servicing skills. The problem of instrument servicability is

often compounded by environmental factors such as high temperatures and high humidities, which lead to rapid deterioration

of instruments even when they are not in use (contacts corrode,

mould grows on the optics of microscopes, electronic components

and circuits break down, and so on).

For these reasons, laboratories have been set up to

Tondertake the repair and recalibration of instruments in

several imder-developed countries by UNESCO, and by other

agencies. In general, these small groups are performing an extremely worthwhile service, and it may be, that by gradually

building up these groups, one can provide for at least some of

the precision measurement needs of the coixntry.

The availability of facilities for repair gives these

institutions a very valuable link with users of such equipment

58
and, because equipment must be recalibrated after repair,

these laboratories have a core of instruments which can be used

for calibration purposes. For the very reason, therefore,

that such groups have good contacts with users, and must have

precision measuring equipment for calibration work, they could,

with suitable strengthening, provide for some of the measurement needs which are presently lacking.

Where there are laboratories within a country which have

special skills and equipment for precision measurement in

particular fields, a good deal could be achieved by strengthening the measurement skills of these laboratories and by giving

them specific responsibilities for meeting the measurement

needs of the coimtry in the areas where they have specific

skills.

These laboratories and institutes could be given increased

government and international support for improving their

laboratory accommodation, and adequate maintenance grants

to provide for periodic recalibration of existing instruments

and funds for the purchase of new and approved equipment as the need arises. The equipment and skills built up in this

way could become the nucleus of a national measurement standards

laboratory at a later stage, and in the meantime the needs of

the country in various areas of measurement, could be met in

a reasonably adequate way.

Directory of Precision Measurement Facilities

In many countries of the region, user groups are unaware

of facilities which could be used to assist them with instrument repair and calibration problems. User groups are also unaware of the location of testing and analytical facilities

which already exist.

It would therefore be extremely valuable if, for each

coixntry, the facilities available could be summarised in a suitable document which would be a ready reference to the

available facilities. We have done this in New Zealand, and

it has been carried out in a preliminary wa,y in Indonesia. A

tabulation of equipment available in Hong Kong has also been

compiled by one of the staff of the Royal Observatory.

Although the possession of precision measuring equipment

does not necessarily imply that the equipment is well housed,

or that it is operated by skilled operators, the existence of

a list of facilities would nevertheless be extremely valuable

in many cases. I include below two brief extracts from the

New Zealand Directory, and from a draft Directory I compiled

for Indonesia (see Annex I).

Education in Precision Measurement

We are often told of the great need for university

graduates in developing coiintries. While this need undoubtedly

exists, and while under-developed coiontries undoubtedly need

to increase their output of skilled professional engineers,

scientists, there is also a very great need to provide training in the "bench" skills, needed for instnament repair and

calibration.

59
There is a great need in many under-developed countries

for elementary and advanced training courses for instrument

technicians and repair men. This training should include

training in workshop skills, such as fine mechanics,

electronics, glass blowing, etc. ^

I cannot stress too strongly the need for training in

these basic skills, because without the people to repair,

calibrate, and use advanced analytical and testing facilities,

there will be no adequate quality control, and standardisation

for export.

Laboratory Management Training

Precision measurement demands good management skills as well as good technical skills. I believe that many groups

involved in testing and analytical servicing work, could be

improved if selected senior laboratory staff were given

laboratory management training in suitable foreign laboratories

Most of the training which has so far been supplied under the

auspices of UNESCO, and other agencies, seems to have been

directed towards improving the technical skills of the people

selected for training. The need for laboratoi-y majiagement

training should not be overlooked, as it is of very great

importance in this field as it is in any other.

Technical Education

I have already mentioned the subject of education in

precision measurement above. It is also extremely important

that, if a country wishes to increase its industrial and

manufacturing base that it should have a good educational

system - particularly in technical education. In my opinion,

we in New Zealand, concentrated for too long on building up a strong university system at the expense of advanced technical

education. I would hope that under-developed countries

would not make the same mistake. Training of professional

engineers, scientists, etc., by ixniversities is extremely

important in a national development scheme; but many of the

fruits of professional training in university cannot be

harvested unless there is also a strong base of technical

education to carry out the multitude of technical tasks

required by industry.

60
ANNEX I

METROLOGY — FIELD 1 ENGINEERING METROLOGY

1.00 EXAMINATION OF ENGINEERS' LIMIT GAUGES

Name of Availability Name of Organisation Location R—Restricted Contact G=General

Air Nen Zealand Ltd Auckland G Manager, Engineering Customer Services

Auckland Technical Institute, Mcchaoical and

Production Engineering Department

Auckland R G. 1 1. Vervoort, Head of Department

Automotive Instrument

Services Ltd Auckland G P. R. Goodwin

Univcrsit)' of Canterbury, Department of Mechanical

Engineering

Christcliurch G M. Rodger, Senior

Lecturer

Ministry of Defence, HMNZ Dockyard

Auckland R Deputy Engineer

Manager (Marine)

Ficldnir Ltd Palmcrston North R Engineering Manager

Fletcher Steel, Technical

Service Centre Auckland G S. Hill

New Zealand National Airways Corporation

Christcliurch G P. AUard, Customer

Services Engineer New Zealand Government

Railways, Chief Mechanical Engineer's Olfice

Wellington R

Rcpco Engineering (N.Z.) Ltd Auckland R Marketing Manager

DSIR, Auckland Industrial Development

Division

Auckland G W. R. Reaslcy

DSIR, Physics and

Engineering Laboratory Lower Hutt G D. Astcraki, Section Head, Metrology

John Shaw (N.Z.) Ltd Auckland G J. Parsons

Wakefield Laboratories Ltd Auckland R D. A. Ncwcomb,

Engineer

Extract from a Directory of "Testing Facilities

in New Zealand"

61
ANNEX I (Continued)

TEMPERATUTRE MEASUREMENT

LIMITED FACILITIES at National Institute for Instrvunentation, Materials

Testing Institute, and Garuda Indonesian Airways

THERIitAL CONDUCTIVITY

NO CAPABILITY

NON - DESTRUCTIVE TESTING

RADIOGRAPHIC EXAMINATION <F METALS AND NON METALS

6.01/14 Materials unspecified - Materials Testing Institute

- Garuda Indonesian Airways - Barata (planned) - Metal Industries Development Centre

RADIOGRAPHIC EXAIvlINATION OF COMPONENTS

6.21 Aircraft structures

6.22 Components and assemblies

- Garuda Indonesian Airways

- ffaterials Testing Institute

- Garuda Indonesian Airways

- Barata (planned) - Metal Industries Development Centre

ULTRASONIC EXAMMTION OF METALS

6.31/33 Metal s unspecified - Garuda Indonesian Airways - Baraxa (planned)

- Metal Industries Development Centre

- }4aterials Testing Institute

- Institute for Research, Development

and Industry and Posts and Telecommunications

Extract from a list of testing facilities in

Indonesia compiled by the author in 1973.

62
DISCUSSION

T-lr. Andrus ;

Dr. Probine, I would like first to certainly endorse what you say

about the need for approved laboratories. And, we are, in the United

States, facing the question of laboratory accreditation today. The

Department of Coninerce is taking the initiative in setting; up a laboratory accreditation system, I would like to ask you if the same

type of a system could be in being in the foreign country where the

parent company is?

Dr. Probine ;

Yes, For example, when we buy equipment from the United Kingdom, it

is often supplied with a calibration from a laboratory approved by the

British Calibration Service. T7e accept such certificates in the same way that we used to accept certificates from the National Physical

Laboratory. Provided that we have confidence in the approval system

in the country of origin, we in New Zealand would be very pleased to

accept calibrations from approved laboratories in foreign countries.

Mr. Wexler ;

Do you run into any difficulty in the way of conflict of interest when

a given company has an approved laboratory and another company xrishes

to have tests made and that is the only company that is available and

they are competitors on the open market?

Dr. Probine ;

Tliat is a very good question. Let me reply by way of example.

>Ianuf acturers of refrigerators may not wish to use an approved

laboratory of a company in the same line of business, particularly if

they're developing a new model. In that case, of course, they could

come to us, and we would test their products in complete confidence.

In such circumstances, however, when we accepted goods for tests, vze vjould point out to them that if they were really going to develop good

products they ought to be doing this testing in-house; and perhaps

they ought to be thinking about obtaining good laboratory facilities

themselves.

Mr. Hopper ;

Well, first of all I would like to congratulate Dr. Probine on an extremely interesting talk. I v7onder how you x>rould get on vrLth the

multitude of equipment, various types of equipment, and methods, and even the sort of competence of the staff that exist in most developing

countries. Ue had thought in Thailand, because we had a number of

problems along this score, that setting up a collaboration nanel of

all the laboratories, all the leading laboratories, anyxray, could iron

63
out differences in standards, methods, possible equipnent. And in one

way, if one laboratory possibly has more skill, to brin<;r up in these

discussions, the differences, results, etc., could raise the

competence of those less skilled. And, so far we haven't ^,one

anywhere with this one but I would be extremely interested to know

whats happening in New Zealand on this question.

Dr. Probine :

First of all, in order to get the New Zealand scheme off the ground,

and because the Australian scheme has been so successful, we recruited, as director of the Mew Zealand Laboratory Ref!;istration

Council, a member of the HATA staff from Australia. Secondly, for our initial assessments, we are using NATA assessors. This is because New

Zealand trades with Australia, and we would wish Australian importers

to be confident of TELARC registrations and accent tests and

calibrations from TELARC approved laboratories in the same way that

they accept test and calibrations from NATA registered laboratories.

So we are using Australian assessors to assist with the registration

of our laboratories in the first instance. The aim is to have

reciprocal recognition of approvals by the two organizations in

Australia and New Zealand.

So far as underdeveloped countries are concerned, I think that one has

to move slowly. A national laboratory "approval scheme" is a very

sophisticated stage in the development of a national measurement

system, in the sense that you have to have a good national standards

laboratory on which to base the scheme, and you have to have a high

degree of competence in the laboratories seeking approval. The method

of registration does allow for a spread of ability, both in accuracy

and range. A laboratory is only registered for the particular type of

measurement, or range of measurements, over which that measurement can

be made, and to the accuracy to which it can be made. If a laboratory

undertakes work outside of the terms of its assessment, it cannot use

the TELAC mark. It can only use the TELAC, or the NATA mark, in those areas of measurement for which it has been assessed and reassessed.

In developing countries the stage of development might requirfe a different approach. With Mr. Sumantri's permission, I might mention

the situation in Indonesia, There are a number of laboratories that

have good basic facilities in particular fields of measurement. The

National Instrumentation Laboratory has a high degree of competence in

certain areas, particularly in relation to what we might call the

classical physics area. The National Electronics Laboratory has

competence in the field of high frequency electrical measurement. The

Power Research Institute has competence in the high voltage and heavy

current area. And all of these have quite good basic facilities. A

possible suggestion would be that each of these laboratories take

responsibility for that area of measurement in which it is competent.

64
Further, one might have one central laboratory, which was at the heart

of the net^rork, and it might be responsible for coordinating the vrork

of all of the laboratories involved. Through the publication of a list of testing facilities, organizations would know where to go to

get calibration or testing done, A registered laboratory scheme would

be a later development. I think that is the direction in which to .., move ultimately.

Prof. Stephens ;

Lets see, V7e'll entertain one more question. Dr. Choi. And then Mr,

Peiser wants to make a comment and want to make a comment about

this. With that schedule we'll have to close this particular session

and we'll move on to the next one, Dr, Choi,

Dr, Choi ;

•

I would like to ask a few questions. The first one is; \"Jhat is the

main source of staffing for the National Standard Laboratory? And the

second question is; How many staff have they? And the third one is;

Are they busy all the time? If busy, what main policy of the . . government made this laboratory such a busy organization?

Dr. Probine ; ,

..

It will vary, of course, from country to country. In Australia the

National Measurement Laboratory has a staff of about 250 devoted

almost entirely to measurement and standards development. In our own

case, in New Zealand, we have a staff of 258 at the Physics and

Engineering Laboratory; but only about 30 of those are working

directly in the measurement and standards field. We have a wide

program of research and development in other areas of physics and of

engineering. In New Zealand we have adopted the policy of developing

our measurement facilities only to the stage that we can meet the

needs of the country now, and for a few years into the future. This

means that we have to have a good idea of the needs of industry. We

don't try to join what I call the "World Standards Club", We do not

seek to compete with the NBS, the National Measurement Laboratory, or

the National Physical Laboratory, We have only three million people

and must use our manpower or scientific resources to best advantage.

Our National Measurement Facilities are being developed rapidly at

present because manufacturers need greater measurement sophistication

as the New Zealand economy develops into export of manufactured

products. We are financed wholly by government, and we charge a fee

for calibration work. That fee, however, does not come back to us -

it goes directly back into government revenue and we can't use it.

65
Mr. Peiser:

I also would like to congratulate Dr. Probine on an interesting and

very useful paper. The only point on which I would slightly disagree

with him is that a large country that is highly industrialized can afford to x^7ork in topics within wiiat the French call la haute

TTietrologie - "high metrology" - for which there is no direct need in

the country. Our analysis in the USA is certainly that the days have

long gone when we can do that kind of work for its oim. sake. Ue, wiMi

some 200,000,000 people, feel we should stick to the same restraint

which Dr. Probine has suggested. In answer to the question "How do

you iron out common problems between test laboratories?", I should

explain that we have, in the United States, an organization that calls

itself the National Conference for Standards Laboratories. This

Conference is not really part of the National Bureau of Standards but we do supply a secretariat for it. Representatives of the 3,000 odd

test laboratories of the country meet once a year to discuss with

each other and x-rith the National Bureau of Standards the problems in

measurement and testing that arise from time to tine. Many problems

are, of course, in very high technology, and perhaps not every country

would be interested in sending a delegate to the annual meeting of

NCSL. However, I have been trying, in the United States, to persuade

NCSL, although it calls itself "National", to be host to

representatives from other countries. For the first time, this year,

they are having a drive to invite people from abroad, who wish to join

those discussions between experts from test laboratories. This

meeting is to take place in the fall, during the first three days of

October,

Prof, Stephens ;

This is obviously a topic of great interest to many and perhaps a topic that you would want to pursue during the various coffee breaks,

lunch breaks and the like, I'm just going to take my prerogative as Chairman to read a paragraph from my paper that I'm going to deliver

here this afternoon but which touches on this particular point and

which Mr, Hopper alluded to a little bit. I think its more relevant

here than it would be this afternoon. This is just a paragraph, and

you will all receive a copy,

"The testing program associated with TISI (that is, the Thai

Industrial Standards Institute) certification will grow rapidly and to

large proportions. In planning for this, it has been recommended that

Thailand seriously consider the formation of a testing and calibration

working committee consisting of top level representatives from some of

the main testing laboratories, from TISI, and even from interested

industries, to map out a program of tests and coordination of testing

facilities. In such planning, it may be recognized that certain

laboratories concentrate on testing in certain major fields,

eliminating the duplication of very expensive testing apparatus and

raising to a high performance level the tests within these major

66 ,
fields. Coordination of deliberate overlapping of tests for

scheduling purposes can be planned. Coordination of calibration can

also be planned. And, it is perhaps possible that the cooperative

work of such a group may be more successful in obtaining equipment

grants from the various sources that are available for these." That

is a comment we have made in connection vzith Thailand. Mrs. Phani can well ponder this and the paper by Dr. Probine can be a very good source of information in this area.

Prof. Stephens

All right. ^Te'll move on to the next Session which represents a change in your schedule. We're happy to report that the von Ranke

paper has arrived but we had made some previous adjustments in the

scheduling of these papers and we will next hear from Dr. Kim,

Director General of the National Industrial Standards Research

Institute of Korea, and he will give a paper on the metrology plan for

Korean Industrial Development at this time and you will also have a copy of that in front of you, I believe. Dr. Kim.

67
-J. A':
METROLOGY PLAN FOR KOREAN INDUSTRIAL DEVELOPMENT

Dr. Kim, Zae Ouan

Director General

National Industrial Standards Research Institute

Ministry of Commerce and Industry

Republic of Korea

I Introduction

Korea's basic strategy, which has been employed so effectively in the

past, is to promote strong export oriented heavy and chemical

industries to generate a high overall economic growth rate. Within

the context of social and political development, this basic strategy

is dictated to Korea because of relatively poor endowment of natural

resources: Korea must "export to live". Korea recognizes that

successful pursuit of this strategy will require a significant

broadening of the technological base and a deepening of the qualitycontrol consciousness of the economy. Fuller development of Korea's

national standards system (NSS) is a very important element in the

country's plans to strengthen the overall industrial base. A

developing country without an effective NSS is handicapped for trade

in the international market place.

II The National Standards System (NSS )

A critical consideration for Korea is to define an "acceptable"

standards system for its particular needs.

In 1967, a NBS survey team in x^rtiich Mr. H. Steffen Peiser participated

recommended the strengthening of the NSS. Again, in 1972, a second

NBS survey was conducted. The experts involved concluded that Korea's

standards system can be judged no better than fair in relation to

other countries at a similar level of development, Korea's NSS must

be improved in time.

We recognize that it is inadequate to serve industry's current need.

The inadequacies of the system are due mainly to lack of investment in

its improvement mostly because those responsible for resource

allocation formerly believed that such investments were relatively

unproductive in comparison with other possible resource uses. Their

view has been reversed, and all authorities in Korea are now convinced

that the potential payoffs from investment in the NSS are so high,

given the present level of Korean development, that they cannot be

postponed any longer. These payoffs will come from improved product

quality, reduction of waste, and more efficient production methods.

69
In September 1974, a feasibility study was undertaken to make

comprehensive recommendations on ways to strengthen the NSS and to

eliminate its present inadequacies. It was concluded that the

existing standards system is basically well-organized and coordinated

by function. However, its most critical requirement is a strong

central organization to coordinate metrology standards activities, to

supply technical guidance and instruction on measurement j, to ensure

that these activities are efficient and effective, and to link the

Korean metrology system to the international one.

Our present institution, the National Standards Research Institute

(NISRI) , which is currently charged with the responsibility for

national metrology standards, has neither the staff nor the facilities

to carry out this responsibility effectively. The Weights and

Measures Department of NISRI has a staff of only 38, of whom 30 are full-time employees. Of these, only 13 are regular employees.

Moreover, the Department has little chance of attracting scientists

and technical personnel with higher educational qualifications and

broader experience because of the low salary structure dictated by

civil service regulations.

The present physical facilities of the Weights and Measures Department

are also inadequate in terms of both layout and environmental control

for the needs of a national metrology standards institution. Despite

the fact that NISRI is supposed to be the primary standards

organization, most of NISRI 's instruments have only secondary and

tertiary standards capability. NISRI *s service is mostly for legallyrequired inspection of measurement instruments. Calibration service

for the supply of standards is severely limited,

III Autonomous Research Institute

To remedy the primary defect in our NSS, it was recommended and our Government has endorsed the establishment of the Korea Standards

Research Institute (KSRI) , which will be the immediate and principal

output of our efforts over the past decade in the standardization

sector. We feel in particular that KSRi's establishment makes more

sense than the other major alternatives available including that of

strengthening various existing elements of the NSS,

In essence, the judgment arises from the conviction that strengthening

the already fairly good present system without providing the requisite

70
71
metrology functions and scientific leadership of KSRI would prove to

be wasteful, because the basic measurement capabilities on which the

rest of the system depends would still be lacking. It is recognized

that this strategy will result in a period during which the high-level

capabilities of KSRI will be somewhat overdeveloped technically in

relation to most of the other elements of the NSS which are already

operating and in relationship to the subsidiary elements in the

national metrology standards sub-system, but it is felt that ours is

the only strategy which will lead to a system of the quality and depth

required by Korea. (Fig. 1)

With substantial agreement on the need to establish KSRI, it was

decided that it should be an autonomous organization. The autonomous

status of the Institution will allow it more freedom of action than

would be possible in case of a line organization within the

Government. This status will allow KSRI to pay salaries above those

offered by the ROKG's civil service scale, a necessary feature, if

KSRI is to recruit and retain staff of the quality needed to carry out

its mission. Personnel will be recruited not only within Korea but

also from among Koreans now working in Europe or the United States.

The autonomous status of KSRI will effectively ensure that any income

it is able to generate from seirvices will remain in its own coffers.

The decision to set up KSRI as an autonomous organization is primarily

the result of the success achieved by other organizations established

in this fashion in Korea over the past ten years. There are numerous

such organizations but the one most often cited is KIST, the Korea

Institute of Science and Technology. KIST was organized to undertake

advanced research projects for industry and Government in Korea. It

has been in operation since 1966 and is considered an outstanding

success in its ability to perform its functions well and efficiently.

In the past we have had many fruitful cooperations with the National

Bureau of Standards in studying standards and quality control

practices in domestic and export industries, and in examining the

national measurement system and the mechanisims by which it could be

made more readily available to the Korean economy. Our two

institutions have agreed to collaborate in support of international

programs for standards and measurement practices. We expect to

exchange experiences and personnel to benefit KSRI and to strengthen

our declared "sister relationship".

The remaining decision needed is on the location for KSRI. Strong

preference has been expressed by both the Ministry of Commerce and

Industry and the Ministry of Science and Technology (MOST) for

72
73
locating KSRI in the huge proposed Dae Duk Science Town, which is being

constructed near Taejon in central Korea (Fig. 2),

Recognizing that effective research, development, and technical support

will be prime factors in the expansion of heavy and chemical industries,

the ROKG has decided to establish, in one well-planned complex, new

specialized industrial research institutes such as for shipbuilding,

oceanography, mechanical engineering, petrochemical products, electronic

communications, etc. The advantages for KSRI offered by the Science Town

are that it will provide an environment conducive to research, foster

interdisciplinary contact and cooperation, and facilitate joint use of

expensive central facilities such as an electronic data processing center

and an extensive technical library.

The location of KSRI among this constellation of institutions is viewed as almost necessary to facilitate scientific interactions. Another equally

important factor is KSRI's hoped-for support for the other institutions at

Dae Duk in metrology, standards and measurement systems.

IV Implementation Plan

(1) Construction Schedule

KSRI will be formally created in July 1975, following

authorization of a foreign loan and the associated

domestic fund appropriation. The scheduled completion date

of the facilities at the Dae Duk Science Town is July 1977.

Six months are projected for the installation and testing

of most of the basic equipment. The following are the

principal events and the dates of completion:

Execution of design contract - July 1975

Execution of construction contract - January 1976

Completion of laboratories,

including environmental controls - July 1977

Beginning of operation - January 1978

74
Capital Investment

The proposed investment in KSRI and projected recurring

costs are substantial, as itemized below:

Capital Costs

o Initial foreign exchange cost of USAID

loan in establishing and equipping KSRI $ 5,000,000

o local currency cost of establishing

KSRI and constructing its facilities $ 6,500,000

o Creation of a special endowment fund for KSRI $ 6,250,000

$17,750,000

Recurring Costs

o Annual Government subsidy for KSRI

operation (average for 1979 - 1983) $ 700,000

o Recurring foreign exchange costs for operation

(average for 1979 - 1983) $ 300,000

$ 1,000,000

Organizational Structure

The attached figure 3 illustrates the proposed organizational

structure of KSRI. Figure A shows our staffing plan, with anticipated

staff requirements by position, age, educational qualification, and

professional experience. The organizational structure calls for

three divisions: Metrology, Programs, and Support. The Metrology

Division is organized into six departments according to metrological

discipline: mechanical, electrical, thermal, radiation, chemical and

materials

.

The Programs Division consists of only three departments; research and

development, metrology propagation, and instrument development. Only

the departmental heads are permanently assigned to the division. The

programs of the division are to be carried out through "matrix

management" whereby the department head recruits personnal to

collaborate on a specific task from the Metrology Division and, if

appropriate, from the Support Division. The Support Division, as

75
the name suggests, provides technical and administrative services to

assist the work of the other two divisions.

The staff requirements for each division and section were estimated

on the bases of anticipated workloads throur^h 1980, and assumptions

concerning the amount of staff time necessary to perform the

essential services of KSRI. The staffinrj pattern assumes a balance of workload whereby personnel devote half of their time to

service functions and the other half to the activities of the

Programs Division.

KSRI's Role in the Economy of Korea

In essence, the function of KSRI would be to bring about conditions

in Korea that would promote the widespread use of measurements of

the desired accuracy and to ensure all-round compatibility of these

measurements in the fullest sense of the word, so as to ensure traceability of all Korean measurements to one central point at

KSRI and through KSRI to the world master station at the International Bureau of Weights and Pleasures in Sevres, 'P'rance.

For discharging this function KSRI will have to asso'^ble a multi-disciplinary team of scientists, engineers, and technologists, who V7ill have to be of higli enough calibre and accomplishments, on the one hand, to command the confidence of industrial and

commercial leaders of Korea and on the other hand, to be fully

qualified to lead the Korean measurenent systen in a manner required

under Korean conditions and for worldwide recnfT;nition.

The efficiency and speed with which KSRI is able to assume and

continue to discharge these roles and the nroner functioning of the

Korean measurement system Xirill lead to the nroper judgment on its

contribution to the advancement of the Korean economy.

76
oJ<oM1o

:ical

itry f -1 a o « ^ c c ^ c x < o n -1

COOM

77
Proposed Staffing Plan of KSRI

Serial

No. Designation

Approx

EPB Level Number Required

Mln. Educ'n

Degree

Disci- ExperienceIn Years AgeE Skills

f

robable

lenue

tecruit pline Research

& Profs 'nal Management

1 President 1 Ph.D Sci.Eng 10 10 45-55 Highleadership

2 Vice President-M Ph.D Sci.Eng 10 5 40-50

3 Vice President-P 1 Ph.D Sci.Eng 10 5 40-50

A Vice President-S Ph.D Eng.Adm 10 5 40-50

5 Dept. Chief -Mech RCM 1 Ph.D Sci.Phys 5 30-45 Leadership

6 Dept. Chief -Elec RCM 1 Ph.D Sci.Phys ' 5 30-45

7 Dept. Chief -Ther RCM 1 Ph.D Sci.Phys! 7 5 30-45

8 Dept. Chief -Rad RCM 1 Ph.D

i : Sci.Phys 7 j 2-3 30-40

80Z Abroad

9 Dept. Chief -Chem RCM 1 Ph.D Chem . 7 2-3 30-40 „ Recruited(excluded

No. 14, 15 10 16,17)

1 Dept. Chief -Mat | RCM 1 Ph.D Chem 7 ; 2-3 30-40

11 Dept. Chief -Prob RCM 1 Ph.D ' Sci.Eng ! 7 2-3 30-40

12 Dept. Chief -TD , RCM 1 Ph.D Sci.Eng 2-3 30-40 :

13 ; Dept. Chief -RD RCM 1 Ph.D Sci.Eng 7 2-3 30-40

14 Dept. Chief -Sec ; ACM 1 MA Adm 2-3 30-40

15 Dept. Chief -GS TCM 1 MS ' Eng 7 2-3 '< 30-40

16 Dept. Chief -IS i ACM

'U , MA Adm 1 7

1 2-3 i 30-40 1

17 Dept. Chief -Insp i TCM ^-i MS Eng 7 2-3 30-40

i Senior Researcher

18 (Section Heada) RCM ^38 , Ph.D Sci.Eng 5 25-40 j Research

19 Junior Researcher RM 02 MS Sci.Eng 4 25-35 ; Research

20 Senior Engineer TM 7 BS Eng 5 30-45 Korea Admin

.

21 Section Heads AM 6 BA Adm ! 4 2-3 30-45 Korea

22 Research Ass't i RAM . 85 BS Sci.Eng 3 25-35 Korea

23 Junior Engineer rAM 8 BS Eng 3 25-35 Korea

24 Adciin. Clerks AAM 7 BA Adm 2 25-35 Korea

25 Technicians 16 3 25-40 Korea

26 Ass't Clerks 7 1 25-35 Korea

27 Others 57 1 TOTAL 288

RCM: Research Co-ordinating Member ACM: Administrative Co-ordinating Member

RM: Research Member AM: Administrative Member

RAM: Research Ass't Member AAM: Administrative Ass't Member

TCM: Technical & Co-ordinating Member

TM: Technical Member

TAM: Technical Ass't Member FIGURE 4

78
DISCUSSION

Dr. Problne i

I just have one question of detail. In Section IV where you detail

the capital costs and the recurring costs, there is an item here

"recurring foreign exchange". Would that be mainly for the purchase

of instruments and equipment and for calibration and recalibration

external to the country?

Dr. Kim ;

Yes.

Mr. Hopper ;

^"Then your new KSRI is established as an autonomous, independent

organization do you anticipate any difficulty ^^ith an independent body

dealing with remaining government bodies?

Dr. Kim ;

No, we don't think so. The autonomous status will allow it more

freedom of action than it would have operating as a government agency.

It is expected that more rational metrology functions will be

conducted by this new institute.

Hr. Hopper ;

Do you anticipate a problem because of differences in pay, differences

in status, perhaps, internal jealousies betv/een one and the other?

Dr. Kim ;

I don't think we will have any difficulties in this kind of relation,

because v/e have already such autonomous organizations which are established by the government. They are already hiiithly paid, just

like the private institutions. They have excellent internal

operations and harmonious cooperation with the government bodies,

Hr. Hopper ;

I see, then you have a comparable situation. I see. Fine.

Mr. Rao ;

In planning the metrology division of the .lational Standards System

the Korean body seems to have listed primary standards, secondary and

79
working standards, working and calibrations of all these. This,

compared to Dr. Probine's suggestion that each country should have

facilities matched to its needs, seems to me to be a little

overplanned in the sense that Korea may not be able to afford the

luxury of having primary standards in all the measurements: length,

mass, volume, temperature, electrical current, luminous intensity, and

so on. I was toying with an idea of having such primary standards on

a regional basis so that the countries within a region could perhaps

trace their secondary standards, or different standards, to the

primary standards of the region. May I have your opinion on this,

please?

Dr. Kim ;

Yes. It is a very hopeful direction to have the regional primary

standards organization to have all the required standards. But, there are all sorts of problems. We have planned to cover our needs but not

the instruments that are seldom used in Korea. Because of this

budgetary limit some special calibration services which are needed in

Korea will depend on such high quality calibration from some older

international bodies such as BIP, NBS and so on. So, anyway, the

equipment that we plan to install in Korea is needed, not only in

Korea but also in the other countries too.

Mr . Rao ;

Mr. Chairman, that brings us to one point, and that is, whether

national standards, reference or secondary, or things like that, could

be called primary in that country though they may not be generally

recognized as such. It is very hard to define a primary standard and

decide whether to call a national prototype a primary standard, or

not.

Mr. Peiser ;

I would like to comment on Mr. Rao's question and, with Dr. Kim's

permission, I would like to point out that in the short time he had

available for his paper he may not have been able to give details of

what I consider to be one of the most thorough investigations in Korea

of the real industrial needs for various types of standards. This has

been conducted over the past year and a half and it is really a remarkably fine study so that Dr. Kim and Dr. Choi in planning KSRI

have had the opportunity of making sure of what Dr. Probine stressed

earlier, that this new organization, KSRI, will be there to serve real

needs of industry,

I am doubtful about the answer to Mr. Roa. Is the word "primary"

really applicable in all cases mentioned? I think if you say "primary

national standards" you would probably be in order.

80
Dr. Probine:

Dr. Peiser has stressed the fact that a very careful initial study was made which resulted in this particular proposal. Is there any

mechanism of conti^iually remaining in contact with industry and the

national needs? Is there any form of advisory committee, or anything

of that kind, to ensure that this very good contact, which you had in

the initial study, is kept up as you develop?

Dr. Kim ;

For example, in the Board of Directors of the new Institution, we have

industrial representatives numbering one third of the xdiole

membership. And, also, there are representatives of the heads of the

secondary calibration institutions. So, in the governing body, vre have already harmonized the relationship with industry and other

institutions also.

Prof. Stephens ;

All right, ladies and gentlemen, we will again call this meeting to

order. We have moved a paper up from the morning by Mr. Joseph

Hilsenrath of UBS. Mr. Hilsenrath.

81

CAN DATA COLLECTION AND ANALYSIS REDUCE

THE REJECTION OF EXPORTED PRODUCTS?

Mr, Joseph Hilsenrath

National Bureau of Standards

Washington, D.C. 20234

1. Introduction

When Mr. Peiser asked me what I could contribute to this

Conference, I was reminded of an offer made six or so months ago by an official of our Food and Drug Administration to supply me with

information and data concerning the certification and inspection

system employed by that agency which I shall refer to now as FDA, It seems that FDA keeps detailed records of each shipment of food, drugs,

and related Items that have been rejected and/or detained because it

did not measure up to standards.

Mr, Benjamin A, Gutterman, the Assistant Director of the Bureau

of Foods under FDA, to whom I am greatly Indebted for the substantive

content of my report, offered to supply me with copies of their

monthly detention reports. He offered and indeed delivered to me

copies for distribution. At the time of his offer, Mr, Gutterman

thought that these reports were computerized so he volunteered to have

the data sorted down by country for those countries represented at

this Seminar.

It was on the strength of that offer that I committed myself to

give this report on the role of data collection and analysis viz-a-viz

exports. Since FDA could supply me with very complete and highly

relevant data, the data collection portion of my title was assured.

The analysis portion could then be my own contribution as we have a very facile data analysis program at NBS which I am always eager to

apply to new situations.

Well, it turned out that the detention reports were actually not

available in computerized form. Nevertheless, Mr, Gutterman kept his

word and had his staff do a laborious, but complete, hand tabulation

country-by-country of shipments detained by FDA for the years 1973 and

1974,

Before we take up the FDA data in detail, let me digress a few

minutes to discuss the certification and inspection of meat and meat

products which are the responsibility of our Department of

Agriculture,

83
2t The UaSoDoAo Meat Inspection Program ' '

.

"

I also made inquiries at our Department of Agriculture which has

the responsibility of administering the Federal Meat Inspection Act,

for the purpose of assuring the quality of imports of meat and meat

products. I found that unlike FDA, they do not disclose details of

their rejected shipments. They do, however, present in their annual

report to the Congress, summaries by country and by product of both

total imports and totals refused or condemned.

That report describes the inspection and certification policy

and operations and lists:

a) all plants authorized to ship meat and meat products to

the U.S. from 45 countries

b) total pounds passed for entry in 29 categories from each

of the countries

and c) total pounds refused entry and/or condemmed in each of the

29 categories for each country

Of the countries represented here, only Australia and New Zealand export

meat to the U.S. so it will be of interest that in 1974 about 4.7 million

pounds of meat had been refused entry from Australia and nearly 1.4 million

pounds had been refused from New Zealand. These figures represent a re- jection rate of 11 in the case of Australia and 1/2Z for New Zealand. While

the rejection rate for a few countries exceeds 2%, the overall rejections

comprise about 1% of the total imports for the year. . •

Dr. Probine, the Chairman of the session in which this report was originally scheduled, suggested that it would be useful for me to give a brief

account of the U.S. meat inspection program. So, I shall now read a few

excerpts from "Foreign Meat Inspection 1974? A Report of the Secretary of

Agriculture to the Committee on Agriculture (of the] House of Representatives

(and the] Committee on Agriculture and Forestry [of the] U.S. Senate" issued

March 1975 by the U.S. Department of Agriculture:

"Only those countries which have meat inspection systems with

standards at least equal to those of the U.S. meat inspection

program are permitted to ship meat to the United States. In

1974, there were 45 such countries. Approval of a foreign

country's meat inspection system is based on an evaluation of

the particular country's laws and regulations governing its

inspection program and on-site survey of the system in operation. Recognition is not accorded to any country without the

concurrence of the U.S. Department of State."

Further details are contained in the above cited report, a copy of

which has been left with the Chairman of this seminar for further reference.

84
"The Foreign Programs Staff in Field Operations of APHIS has the

responsibility to determine which foreign countries should be

officially recognized. The Staff reviews operations in certified

foreign meat plants and coordinates the activities of U.S. import

and export inspectors. In calendar year 1974, 20 veterinarians

were assigned to conduct the foreign plant review function of the

Staff. Twelve of these employees were stationed overseas. The

remaining reviewers are stationed in Washington, D.C, and travel

to their assigned countries on a rigorous schedule. In total,

about 100 domestic field inspectors are engaged in the inspection

of meat at the point of entry into the United States."

"Plants exporting large volumes and other plants of special concern

are visited at least four times annually. All other certified plants

are visited at least twice a year. No claim is made that the visits

are unannounced, but the Foreign Programs Officers are trained to

consider this factor when making evaluations. They conduct an independent, in-depth survey of every feature requiring inspection in the

foreign plant."

"In doing this, they check the same items that supervisory inspectors

look for in U.S. plants. For example, the U.S. veterinary reviewer

insists on careful examination of the animals both before and after

slaughter, clean operative practices, sanitary maintenance, and con- struction of facilities, necessary sampling for laboratory analysis,

accurate labeling, inspectional controls over materials leaving and

entering the plant, safe water supplies, and effective supervision

of inspectors."

"Foreign Programs Officers are not permitted to order changes or take

other definitive action until their findings have been evaluated by

the Administrator, Animal and Plant Health Inspection Service. However,

the Foreign Programs Officer is delegated authority to issue a product

segregation order if, in the officer's opinion, the Administrator will

probably remove the authority for a plant to export to the United States."

3. The FDA Monthly Detention Reports

In returning to the data supplied for this Seminar by the U.S. Food and

Drug Administration, I should like to read to you a brief statment of policy

also provided by the FDA.

"The Food and Drug Administration has a policy of fostering the

mutual recognition of equivalent regulatory activity by means of

85
bilateral agreements with counterpart agencies in other nations.

FDA will endorse reciprocal recognition of inspections with any

nation which has established a system that is fully equivalent to

that it has established here in conformity with the FD&C Act and

the applicable Good Manufacturing Practice regulations."

"FDA has negotiated agreements on reciprocal recognition of drug

plant inspections with Switzerland in 1968 and with Sweden in

1972 and on the sanitary control of shellfish production with

Canada in 1948, Japan in 1962, and Korea in 1972."

"Other agreements, or understandings, have been signed with

France, and The Netherlands on the sanitary quality of dry milk;

and, with India on the sanitary quality of frozen frog legs.

Each lot of these products exported to the U.S. must be

accompanied by a certificate of production under sanitary

conditions and a report of analysis. FDA audits the shipments to assure that all requirements are being met."

"FDA has an agreement with Mexico to exchange information and to

train Mexican analysts with particular reference to pesticide

examinations. Once their laboratories are in operating

condition, they will examine fruits and vegetables intended for

the U.S. market and certify that legal residue tolerances are not

exceeded. Again, FDA will audit shipments."

"FDA and Canada have agreed to exchange information and to

consult with one another in the development and implementation of

regulations designed to control radiation emission from

electronic products."

"Agreements of this nature assist in achieving the primary goal

of providing increased protection to the consumer. In addition,

each side gains — the exporting country does not face the

serious economic loss of a refused entry and FDA gains by the

reduction in expenditures of our limited resources of funds and

manpower. FDA feels that this is not only good law enforcement,

but is also good citizenship in the world community."

I have brought along a copy of each of six representative

memoranda of understanding which I will leave with Mr, Soon to make

available to those members of the Seminar who might wish to see them.

As important as these are, the reports of more immediate interest are

the detailed detention reports issued monthly by the FDA.

If the report for March 1974 is at all representative, nearly 400

shipments are detained each month for dozens of reasons ranging from

soiled bags to salmonella; from dented cans to detined cans; from

inadequate marking to insect infestation. There are even a number of

86
shipments of acupuncture needles which were rejected for lack of

instructions on their use.

Each of you has been given a sample copy of a detention report

which will give you a good picture of the state of affairs in 1972.

While these data are not secret, they are rather sensitive. Thus, the

distribution of information four or more years old should prove less

embarrassing since presumably the situation has improved during the

intervening four years. In any case, I have left with the Secretariat

of this Seminar, copies of more current reports to be used at the

discretion of SISIR.

In addition to the typical monthly detention report which you have, I have placed into the hands of the representative from five of the

countries (Korea, Philippines, Singapore, Sri Lanka, and Thailand)

represented here today, a two-year summary of shipments detained by

FDA. Included is a classification of reasons for detention under the

main headings: Standards, Labeling, and Adulteration/Other. These

reasons, shown in Attachment A, showed up in approximately 781

separate FDA actions during 1973 and 1974 involving 10 countries; the

five countries mentioned above, plus the five other countries (Brazil,

Ecuador, Indonesia, Jlalaysia, and South Vietnam) which were scheduled

to be represented at this Seminar.

For those who have received a country breakdown. Attachment A

serves to identify the number and letter codes used in the analysis.

For the rest. Attachment A provides a catalogue of reasons for

detentions reported by the FDA field personnel during the period 1972-

1974.

I had hoped to be able to demonstrate to you the advantage of a more detailed analysis of these detention reports. Had the data been

available in machine-readable form, we could have sorted them down in

a variety of ways: by product, by port of entry, by dollar value,

etc. We could have struck totals and subtotals at will. Vie could

have identified more easily the major causes for these detentions and

the responsibile shippers or manufacturers.

A number of you have already indicated to me how useful, and

indeed how important, such data are for your work. I am sure that

these data can be made available to you via appropriate official

request to the U.S. Food and Drug Administration.

For my part, I will, upon my return to VJashington, relay your

interest in the data to Mr. Gutterraan. I will also undertake to

advise the FDA on the value of having the detention Information in

computer-readable form so as to make their data more timely and useful

to the inspection and certification programs of the exporting

countries.

87
COMMERCIAL BIPORT DETENTIONS

REASONS FOR DETENTIONS*

CODE FOR TABULATIONS — 1973 and 1974

LABELING

1, Product does not conform to the FPLA

2, Inconspicuous labeling

3, False labeling: (a) Label misleading; (b) Misbranded

4, Identity of product missing

a. No common or usual name for product

5, Mandatory labeling omitted

6, Short weight

7, Inaccurate ingredient (contents) statement

(a) No list of ingredients

(b) Undeclared ingredient added

8, Identity of product misrepresented

9, Inadequate directions for use

10, False claims

11, Lacks net weight

12, Net weight declaration not properly located; type size requirement

STANDARDS

1. Identity

2. Quality

a. Excessive core

b. Blemish limitation exceeded

3. Fill of container

ADULTERATION/OTHER

1. Contains filth and/or other extraneous materials

2. Contained in insect contaminated bag

* Reported by FDA Field personnel during 1972, 1973 and 1974

88
3. Contains Insects

4« Contains animal (rodent, bird, etc.) filth, hair, etc,

5. Contained in stained bags (oil, other)

6. Mold

7. Decomposed

8. Unfit for food

9. Held under insanitary conditions; packaged under insanitary

conditions.

10. Damaged containers

11. Containers dented, rusted/leaking

12. Unregistered "low acid" canned food manufacturer

13. Bacteriological contamination:

(a) Unspecified, (b) aflatoxin (c) salmonella

(d) E, Coli (e) coagulase positive staphylococcus

14. Unsafe additive

15. Heavy metals: (a) mercury (Hg) , (b) Lead (Pb), (c) Cadium (Cd)

(d) zink (Zn), (e) Unspecified

16. Pesticide: (a) DDT, (b) Endrin, (c) Unspecified

17. Other, (a) No effective NDA, (b) Hazardous product, (c) Does not

comply with RCHS Act (d) a prescription required, (e) Does not

comply with FHSLA

89
DISCUSSION

Prof, Stephens ;

Well, I think the only answer to the question that Joe raised in the

title of his talk is an emphatic yes, and I hope that in the future we will be able to make use of the information that he has discussed to

assist us in putting the proper pressures or getting the proper

information to the right channels to help improve the quality of

exports. But, are there any questions that anyone would like to

direct to Mr. Hilsenrath? Yes, Mr. Hopper,

Mr. Hopper ;

Well, I think it's apparent, with certification schemes being

assurance schemes and not 100% guarantees, that information like this

- and we've said it so many times over the last day or two - is

absolutely vital to our countries. Certainly in Thailand, as a backup

check that the quality assurance scheme is operating, and certainly in

any punitive action that they might take, this is extremely useful. I can't emphasize how useful this will be. We've had certain

cooperation from the Commercial Attache in Bangkok on the main

importers of canned pineapple and I can see some business reasons for

not divulging the FDA list. Quite obviously, it shouldn't be given

out to companies who might use it for attack against competitors. But

for official bodies, certainly government standards bodies, I would

hope that officially, Steffen, you might, or Joe might, advise the FDA

of the enormous help that such information would provide for the

exporting countries. Of course, with an assurance that it would be

kept absolutely confidential,

Mr, Peiser ;

I am not sure how the Public Information Act in the United States vrill

deal with such situations. In conjunction with Mr. Joe Hilsenrath'

s

statement, I wish to reemphasize what he has said, in the paper. The

Food and Drug Administration has to guard the health of the consumers

in the United States, to make sure that they receive only wholesome

and nutritious foods. This applies just as strictly to food

manufactured within the United States as to food imported from outside

the United States, FDA is, perhaps, among U.S. agencies one of the

most thoughtful in terms of international relations. The programs

cost something to the countries that want to make use of these

services, I would like to expand on this very slightly because I think our delegates may be interested. It may be difficult to collect

the money to engage in these programs. If the countries concerned

benefit, so that the loss due to denial of entry of food products into

the United States is smaller, the chief beneficiary is the private

exporter, A private exporter, hov/ever, would not like to hand to his

government money for losses he has not suffered. The Food and Drug

Administration offers two services. One is for suitably qualified,

English speaking specialists, from abroad. Under certain conditions
they may work side by side with qualified inspectors in the United

States, to see the program as it is applied in the United States,

There is no training fee. It is simply a question of visiting

specialists paying for travel and subsistence v/hile in the United

States, Secondly, the Food and Drug Administration is prepared to

send selected experts to visit a requesting country to explain in that

country the requirements of the Food and Drug Administration in

implementing the U.S. Food and Drug and Cosmetic Act. Tlie host

countries have to pay travel, subsistence and salary of the visiting

specialists. However, very experienced specialists are sent on such

assignments. If the country concerned then shows capability and

application of the United States standard procedures, the Food and

Drug Administration applies less inspection at the port of entry.

Now, the Food and Drug Administration, by law, is not allowed to

delegate their inspection responsibilities to another country, but it

may quite openly increase the speed of inspection and reduce the

amount of sampling that is applied to produce from countries that have

taken the trouble to invite that type of cooperation.

For low acid canned fruits and vegetables, the Food and Drug

Administration both in the United States and abroad, is obliged to

certify individual suppliers based on inspection of the premises, as Joe has mentioned. Under those circumstances, the Food and Drug

Administration is prepared to work with the national standards body, or inspection authority, to apply licensing and supervision of the

canning operations.

I am sorry that Ben Gutterman, or other experts from FDA are not here

on this occasion. I refer, you, however, to Ben Gutterman' s papers on these topics, both at the IIBS-AID workshops and for the La Paz,

Bolivia, Seminar,

Dr. Probine t

If this information could be analysed it would be a great deal of help

in developing a cost benefit analysis for an inspection service. I'n sure that many people are in the position of having to sell the idea

of an inspection service to their governments, and, if this material

were readily available, and well analyzed, I'm sure it vroiald help

people to put up a good case, I think it would be a real service to

have information available in the way Dr, Hilsenrath has suggested.

91
Prof» Stephens :

Dr. Choi, of Korea.

Dr. Choi ;

I appreciate very much your candid opinion and the detailed data shox^m on the papers distributed. And if we can j^ct this kind of information

from an agency in the United States it would be a great help to

correct and readjust the export situation in Korea and also in other

countries. I read an example of such a problem in the newspaper .iust

before I left Korea four or five days ago. One of the Korean shopping

bags made of straw reef, which is supposed to be inspected by the

Ministry of Agriculture and Fisheries v;as exported without inspection.

As a result it proved defective. So I took action to correct that.

If you can give us such information constantly, it would be very

helpful.

Prof. Stephens ;

Mr. Hilsenrath has dealt with that matter a bit in his paper and in

fact there isn't at the moment. But if this becomes computerized it

would be that much more readily available.

Dr. Choi ;

. ,^

'

To whom do we have to x^nrite to get this kind of specification from the

United States? FDA?

Mr. Pelser ;

Please feel free to write to the -lational Bureau of Standards and

consider them as a mailbox to pass on such requests to the appropriate

authorities.

Mr. Hilsenrath ;

If I may just have a couple of minutes more to show something about

the value of analysis. I happen to have here a report from the

Philippines and what sticks out here are all the X's in these columns

and I dare say that 50% of the rejections are a result of the

m.lshandllng of the shipments after they left the shippers. Broken

cases, soiled bags, oil soaked, and so on. Even without a computer a simple tabulation of causes hits you in the face. You don't have to

spend much time studying it.

92
Prof. Stephens ;

Of course, we would apply a Pareto analysis to such data. (That V7as just a plug for quality control techniques.) Mr. Rao,

Mr. Rao ;

I have been able to see, in a few of these reports distributed, that sone of these observations would be of special interest to ny

government, who could tighten their regulations about food packing.

Specifically report No. 73.10 of FDA records that frogs legs have boen

very highly infested, though other food products are not that serious.

If my government had received any report of this kind they would have

tightened the sanitation conditions of those factories. I will, on my

own, draw attention of my government to this serious situation. I would also like this conference to record that such an obsorvation may

be brought to the notice of governments and, I assure you, we would

take it in the right spirit, and improve the conditions, since we are

not only involved in the losses but we are involved in the health of

the people we are supplying. Therefore, it vzould be a right step that

the FDA should inform the respective governm.ents . If they inform the

individual factories, it would not be enough because the individual

factories, for reasons well known, may try to hide the observations,

whereas at the government level we would take appropriate actions.

And, not only that, the individual certification authorities, like in

my country, the Agricultural Marketing Advisor, or the Export

Inspection Council, will be able to take a serious view of things.

Prof. Stephens ;

Thank you. I believe that we would all agree that it is almost

axiomatic that the schemes that are being practiced in the countries

for export inspection and certification of producers, by no means constitute a quality control of that individual commodity. The major

responsibility for quality is still \<rith the manufacturer and ours is an audit, it is a check. Information of this sort can help pinpoint

the areas in which v/e can make that inspection service more efficient

and essentially achieve a bit of management by objective here, through

this information.

As I mentioned earlier, we were pleased to report that the paper by

Felix von Ranke, of Brazil, did arrive and Mr, Peiser has kindly

agreed to read or comment or otherwise give this paper to us. This is

entitled "The Institution of a Worldwide System of Testing

Facilities". Mr. Peiser,

93
;Ir, Peiser:

I must say that I am very sad, Mr, Chairman, that Felix von Ranke is

not with us. lie is not only a leader of technical standardization in

Brazil, but he has participated with great distinction in regional and

international standardization bodies, Felix von Ranko cabled at the

very last moment that he was unable to cone to Singapore because of

orfranizational chanr^es at the Brazilian Association for Technical

Standards, He has sent Notes to us on the remarks he vzanted to nak.e,

and as Bill Andrus pointed out yesterday, we really know a little bit

about the very attractive way in which he puts across his particular

viewpoint. Rather than just reading his 'Jotcs, I v/ill also comment to

the best of my ability and I hope that Bill Andrus \7ill correct me or help me in interpreting von Ranke 's Ilotes,

As you know, the timing was good. We were watching the post office

here in Singapore as carefully as we could, and five minutes before

the start of this session von Ilanke's Ilotes arrived. Here follov; the

Notes

94
Lecture Notes on

THE INSTITUTION OF A WORLDWIDE INTEGRATED SYSTEM

OF TESTING FACILITIES (WISTF)

Mr. Felix von Ranke

Executive Secretary General

Brazilian Association of Technical Standards

Brazil

1. A worldwide certification of quality is forecast. A start has

been made in the field of electronic components by the International

Electrotechnical Commission (lEC), The necessity to get such service

at a low price, requires the establishment of a worldwide integrated

system of testing facilities (WISTF).

2. In the schematic figure 1, such a WISTF is shown as proposed at

the Regional Seminar organized by the Directorate General of

Standardization and Technology in cooperation with the National Bureau

of Standards in La Paz (1974-06-25).

3. The WISTF shall operate in close association with the

standardization operation at all levels (CS - Company, AS - Association, NS - National, RS - Regional and IS - International

Standardization). This interaction should apply to the first phase of

the development and establishment of standards, as for the basic

reference document for certification and also to the improvement by

revision of the standards,

4. The WISTF may also be used eventually for research and teaching.

5. The establishment of a WISTF is required for avoiding parallel

work, for reducing unused testing capacity and for enabling technical

specialization to proceed to optimum advantage.

6. The WISTF will be very important in the transfer of technology,

7. It would be convenient to have all testing facilities adjusted as much as possible to the requirements stated in international standards

of the International Organization for Standardization (ISO), lEC,

Codex Alimentarius, the International Organization for Legal

Metrology, (OIML) etc., resulting in a maximum of Harmonized Testing

Facilities, TF (H) at all levels that is ITF (H) , RTF (H) , ATF (H)

,

NTF (H), CTF (H), with a reduction to a minimum of the Not Harmonized

Testing Facilities TF (NH) , that is ITF (NH) . NTF (NH) , ATF (Nil) and

CTF (NH) , where I,R,N, A, and C again refer to intematonal, regional,

national, association, and company, respectively.

95
8, For avoiding inessential differences in Testing Facilities for the

pioneering field in ITF (P), RTF (P) , NTF (P) , ATF (P) , CTF (P) , it is

very necessary to arrange good channels of communications between CTF,

ATF, NTF, RTF and ITF activities.

9. ITF (NH), RTF (NH) , NTF (NH) , ATF <NH) and CTF (NH) may be used in

restricted fields, transitorily or permanently as for instance in

teaching or when conversion is no problem,

10, Somebody should be charged with the organization of the WISTF,

An existing organization would be preferable,

11. The WISTF should be provided with an administrative mechanism for

planning, coordination and control of its activities.

12. All the Testing Facilities existing in a country should be

integrated by the NTF.

13, The establishment of the WISTF will improve the relations between

all countries of the world and stimulate development for mankind.

96
WORLDWIDE INTEGRATED SYSTEM OF TESTING FACILITIES

(WISTF)

1 1^

'ITF CH) ITF (NH) ITF (PD

( for international utilization ] Example: NBS, PTB. LNEC

RTF CH] RTF (NH) RTF CP)

[for regional utilization ) Exanple: ITAL, INST. A. LUTZ

NTF (H3 NTF (NH) NTF CP3

[for national utilization]

Exarrple: INT, IPT. CTA. VDE,

UNDERWRITERS LAB.

ATF (H] ATF (NH) ATF (P)

(for association utilization)

Sxample: ABCP

CTF (H) CTP CNH) CTF CP)

(for coirpany utilization)

Exarrple: GE, JM, BOSCH, CSN, ETERNIT

TESTING FACILITIES (TF)

TF (H) - HAR^IONIZED WITH I.S. PROVISIONS

TF (NH)- NOT HARM.

TF (P) - OF PIONEERING CHARACTER

TECHNOLOGICAL TRANSFER ;

1 - IF THERE IS A WORLDWIDE INTEREST

2 - IF THERE IS ONLY A REGIONAL INTEREST

3 - IF THERE IS ONLY A NATIONAL INTEREST

4 - IF THERE IS ONLY AN ASSOCIATION

INTEREST

FIGURE 1

97
Mr. Peiser ;

Basically, von Ranke makes 13 points. The principal point is that a worldwide certification of quality is expected to become operative.

Logically, there then exists a need for testing services at a low

price which can be obtained only through the establishment of a worldwide integrated system of testing facilities. The scheme of

interacting facilities is best understood by Figure 1 which shox^/s what

I can almost call a von Ranke type chart because his charts for

standardization and training are very similar. At the top of the

chart he has an international box going to a regional box to a national box to an industry association box and finally to another for

company level. He sees an interacting system which ought to be

harmonized as far as it is possible \d.thout taking away initiatives

for pioneering work or a mechanism for work which is so clearly

limited to one area, such as for one company alone, that a separate

testing facility, appropriate to that particular product in that

particular company, is all that is needed. In general, however, he

always feels that one should work towards a harmonization

progressively towards the top of this chart,

I realize that is is always difficult to present somebody else's paper

and I am obviously not particularly well able to answer questions bvit

V7ill try, I believe I understand some of the points, or perhaps most

of the points that von Ranke wants to make and perhaps we can seek

comments from the audience, I will also pass questions and comments

on to von Ranke so that perhaps he can give us the benefit of his

responses for the proceedings. Thank you.

Dr, Probine ;

Could I refer to the diagram on the board? It seems to me that the

arrow indicating the communication route should not lead directly from

the companies, and from the associations, directly to the

international body, but rather through the national body. It is a detail but I think that is how communication would actually be routed

in practice,

Mr, Peiser ;

I would like to make a comment on what I think the answer of von Ranke

might be to this particular point, lie xwuld agree that, in general,

you should go up or down the chain, but in some Instances an international organization might greatly benefit from the experiences

or opinions of a company or trade association. This will be

particularly important if the country does not adhere to the

international organization, I would like to illustrate my response

with one example. In the case of 0IT1L to which the United States did

98
not belong until one and a half years ago, the raeinbers of the

petroleum industry in the United States, especially through their

association, interacted directly with the International Organization,

I think it was a beneficial interaction. Yet, I agree x-7ith Dr.

Probine that these would be exceptional cases, where you would jump

all the way in your arrow to the highest level,

Mr, Andrus ;

I would like to make just a few coimnents. I have to disagree with Dr.

Probine on one point, but I will get to that in just a moment. First, one

thing I think I appreciate most first is the use of testing

facilities. We have to recognize, I think, that testing is not

limited to a laboratory. It can be an individual who is licensed as an inspector, such as a licensed elevator inspector, or in one specific case of testing for the oil content of cottonseed, in the

United States an individual is licensed and is tested on his o\m

merits to perform the test and to issue the certificates, so Felix von

Ranke has used the term "facility" to include not only laboratories,

but all kinds of testing activities.

The second point that I would like to make is that a testing facility

exists someplace in the world and therefore it is either company,

association, or national. To my knowledge, there are no testing

facilities that are either regional or international. The closest

one would be the BIPM in which they really don't test, but the

countries test their standards against the standards at BIPM and

maintain the difference between the national standard and the

international standard. So that, first, the testing facility is

limited to either company, association, or national. The regional and

international talk is about systems of accreditation, or systems of

recognition of these testing facilities. This is what Felix really

means here, Ue have in the regional area - first, let me say that in

the international area, to my knowledge, there are no truly

international systems of accreditation or recognition of testing

facilities. The closest we are coming is the CERTICO activity of ISO

and the lEC program dealing with electronic components, at the moment.

In the regional area we have one that has been operating for 20 odd

years or more, and that is the GEE program in Western Europe v/hich is

the Committee for the Approval of Electric and Electronic Equipment

(I'm not sure of the name). But, their system., very simply is, that

under the signatory countries in Western Europe, if the home country,

and one other country laboratory approves a product, then all other

members of the CEE accept approval of the product. And the

laboratories, themselves, through the CEE system are recognized as being the laboratories to grant that approval. You see, under the new

regional system of laboratory accreditation coming up, in the EEC, the

Common Market, they are building into their system of product

approval, a system of recognized laboratories, I-That Felix has here I

99
think is a concept which is a long terra need. What it really is is a multi-national recognition of testing facilities in which products

which are tested by those facilities and recieve the national nark are therefore accepted throughout the world as having met the product

requirement

.

Now, I have to go back to where I disagreed with Dr. Problne on the

association. Perhaps the United States is unique in this matter, but

we have to recognise that certain association type laboratories and

the certification of products by those laboratories are recognized

internationally. In the case of UL, which doesn't fit in any of these

since it is a third party private activity, we know that IIL products

are accepted under the UL label in many countries. In the association

area, specifically, because of the system in the United States, we do

not have a national certification system or a national accreditation

system at this point in time. Therefore, products that - take as an example, plywood, on which have a grading and labeling system on grades of plywood, which is handled by the American Plywood

Association, Its a very, very good program. Products that are graded

by that association under their testing facilities are acceptable in

many countries of the world. So that the association can, in the case

of one country, at least, go directly to the international arena

without going through the national system,

Mr. Hopper ;

Well, Bill Andrus is stealing the thunder from the Europeans,

However, for the moment this proposal - which I think everyone has

been talking about for some time - is a pipe dream, Mr, Andrus was

talking about the CEE scheme which requires both the country of origin

and one other country, probably the importing country - to approve.

It has gone a stage further though. The CB scheme for domestic

electrical equipment covering I think, something like 29 countries has

eliminated the two-lab system and approved laboratories in the country

of origin of the product. This is the CB seal on domestic electrical

eqviipment. It comes under the CEE with something like 29 countries - Europe and associates - where they've progressed to the stage now that

they've eliminated the two lab system with all its drawbacks of

shipping things and people out and back, with the proviso, of course,

that the customer or the country can demand that second check within

his own country. This international proposal may appear to be a pipe

dream, when, in fact, there is already a framework on which

international development along these lines could take place. I don't

see it coming off yet,,. for example, you get practical difficulties

with Lloyd's of London who still battle with the British Standards

Institute in that they tend to want to specify, particularly on safety

and pressure vessels, to their own specifications and they are

reluctant, sometimes, to accept the British standard as the national

specification.

100
Against such formidable obstacles in each country, you're faced with

the assessment that this could never come about... you could never do

this. But, we've got the international assurance scheme on electronic

components beginning to take shape. As you know, the BS 9,000 was a base for the European scheme which is taking some shape, anyi^/ay, now. Perhaps through the chap who gave the paper one m.ust begin at least to

put down some detailed administration. Without such a program, which

is written in great depth, covering many obstacles that will arise,

it's not much use our proposing an international scheme that we all

vjant, the international facilities and the recognition, unless

somewhere someone is going to do that in detail. Perhaps you might

write back to the author of this paper and say, "Please now, we want

to see how its going to work in detail". But, I think then certainly,

lEC might well begin to move on it.

Dr. Probine ;

I wonder if Mr. Peiser could just say what the nature of the

international approval might be. I think the examples that Mr. Andrus

gave were regional rather than international,

Mr. Peiser ;

I would really like to pass this one to Bill Andrus, if I may.

Mr, Andrus ;

I think that in the remarks I made that the testing facility is

located someplace. Its in a country, a company maybe, an association,

or a national testing facility. !vhat is international here is not an international testing facility. It is a multi-national accreditation

of the other national-association-company testing facilities. That is

the concept that he is considering, not the formation of an international testing facility. The same thing applies to the

regional case. He is not proposing that a regional testing facility

be established. He is merely saying that there are regional

accreditation programs of testing facilities within that region so

that, I think, we have to differentiate between the companyassociation-national talk about facilities and the regional and international talk about the accreditation of those facilities. Does that

explain the point?

Dr, Probine ;

That clears it up in part, but I'm still uncertain as to whether there

would be an international body that would put its seal of approval on

the operation.

101
Mr. Andrus:

That is what he is proposing. That there be a multi-^national, or an international accreditation facility.

Dr. Probine ;

Thank you very much. .

• -

Mr. Peiser ;

Yes, I agree with this interpretation, but I do think that von Ranke

does talk also about possible regional facilities and international

facilities. So it is at least possible that he is talking about some international test laboratories which themselves have capability, not

unlike the International Bureau of Weights and Measures. This is

what I originally had in mind when I read his Motes, but I think Bill

Andrus' interpretation may be superior. The word facilities to me

suggests that some physical laboratory could be backing up the

accreditation system.

Prof. Stephens : /

So, if its any consolation to our third country participants here, if

you have been concerned whether or not the national standards body of

your country should, in fact, go into testing, now we've raised the

whole thing to the level of whether ISO should go into testing. And I might just comment that we have enough problems in some of the

developing countries, to get some idea what test facilities are going

to be made available within that country for their own program, that

this is at a more advanced and much higher level of discussion here.

Yes, Bill.

Mr. Andrus :

If I might just make one comment. Having been a very active

participant in lEC and the ISO Council work over a number of years

now, I can assure you that neither lEC nor ISO have any intentions of

establishing a test facility of any nature.

Prof. Stephens ;

Well, we are approaching the lunch hour and we are very thankful for

the excellent papers that have been given this morning and the

stimulating discussion. I'm sure the discussion is not finished but I encourage you to get together with the speakers and continue the

discussion during lunch and through the afternoon breaks. We'll call

the meeting adjourned.

102
Ill SESSION ON PRODUCT MARKING AND CERTIFICATION

Dr. Merwyn Probine, Chairman

Dr. Problne ;

We have three papers in the session before our afternoon tea break.

The first is by Professor Stephens on the certification and quality

marks program in Thailand. We also ha\ e a paper by Dr. Choi of

Korea, and a paper by Dr. Ranoa of the Philippines. We will begin

be hearing the paper by Professor Stephens. I understand that the

paper has been circulated to you and Professor Stephens is therefore

proposing to give a more general presentation rather than go through

it word by word. Professor Stephens.

Prof. Stephens :

Thank you very much, Mr. Chairman. Ladies and Gentlemen. First

of all, let me give a little word of thanks to TISI, now here

represented by Mrs. Phani and also Mr. Hopper, for the excellent

opportunity I have had to work with them for two and a half years. I served in Thailand on a UNIDO project with TISI from March of '72 to

August of '74 and it was during that period of time that the certification program which Thailand has now implemented was developed.

103

THAILAND'S CERTIFICATION AND QUALITY MARKS PROGRAM

Professor Kenneth S. Stephens

Georgia Institute of Technology

Atlanta, Georgia

INTRODUCTION

Some enlightening results were obtained in a recent British national

survey of public awareness of quality seals or quality marks. Among

other things, 33 1/3% of adults surveyed claimed that they looked for

quality marks on products when shopping. Another 43% said they would

look for quality marks if they knew more about the marks and what they

represented in the assurance of quality. The strong influence which

quality marks can have on consumers is indicated by these results.

In Japan's rise to international recognition as a manufacturer of

quality products, licenses to use the JIS (Japan Industrial Standard)

quality mark have been issued to 10,919 factories (up to 31 March

1972), In 1949, the Industrial Standardization Law was established.

One of the key characteristics of this law was the certification

labeling system (the JIS mark). By the law, through Statistical

Quality Control audit, the Ministry of International Trade and

Industry permitted manufacturers to put JIS certification marks on

their products. This program, together with an extremely active

program of Quality Control education, implementation and public

promotion, is credited with giving Japan its major thrust to its

present position of industrial and economic leadership.

Historically, in the earlier developed industrialized countries,

national certification marks programs proceeded (or are proceeding)

from already mature standardization efforts. It took (or is taking)

many years to achieve the overall benefits of standardization together

with the implementation of standards through a certification program.

The developing countries, Thailand especially, have an excellent

opportimity to shorten the period to achieve a significant degree of

industrialization (of quality goods appreciated on the international

and domestic market) by simultaneously developing their

standardization and certification programs.

THAILAND'S PROGRAM

The Thai Industrial Standards Institute (TISI) established by the

Industrial Products Standards Act of 1968 and the governing Standards

Council has launched the standardization and certification programs

which can greatly assist this acceleration of quality

industrialization in Thailand. UNIDO has supported this effort with a

105
major project by providing three advisors to TISI in standardization,

certification and quality control and information and public

relations. The project has also included equipment and training

fellowships. With broad and active industry and government support,

these programs have the potential to achieve significant results.

TISl's certification program includes a legal base, technical and

administrative procedures, an organizational entity and staff, and has

progressed rapidly in the number of investigations and issuances of

licenses to certified producers. The program has already contributed

significantly to an awareness and upswing of quality among Thai

manufacturers and large scale consumers.

Documents, Procedures and Related Activities

The basis for TISl's certification program is set down in the Thai

Industrial Product Standards Act of 1968 and in Ministerial

Regulations 1 thru 8. English language copies of these documents have

been prepared and are available for study.

In addition to the above, procedures and guidelines have been

established to assist the implementation of TISl's certification

program. One of the first developments in the project was the

preparation, reproduction and distribution of the document,

"Certification Marking Procedures - General." It presents some stepby-step instructions and explanations to manufacturers interested in

certification as to how they can proceed in making application and

what they can expect in the way of factory visits, obligations, etc.

English language copies of this document are available.

Somewhat later in the course of the project, but of related interest

in the sequence of procedures developed, preparation of instructions

for importers in certification was undertaken. Importers become

involved in certification on products under compulsory standardization

which many are importing in Thailand. The document, "Grant of License

to Import for Sale in the Kingdom the Industrial Products Required by

a Royal Decreee to be in Conformity with a Standard," was prepared,

reproduced and distributed in Thai and English. It was first applied

to ballasts for fluorescent lamps and sent to importers of ballasts as well as local embassies. Like its counterpart document for indigenous

certification it contains some step-by-step instructions and

explanations to importers required to obtain certification on their

products under compulsory standardization by TISI.

Briefly stated, upon application, certification involves the following

major activities: (1) a factory inspection visit (s) to study the

manufacturing operations, organizations and management, overall

quality control, and final product tests and inspection.

106
(2) selection of a sample of products from the factory, (3)

submission of these samples to a test laboratory (limited to

government labs- by the IPS Act) for testing to the TISI standard,

(4) evaluation of the test results with feedback to the factory on acceptance or necessity for improvement, (5) assistance to the

factory when necessary, (6) preparation of a report to the Standards

Council for their approval, (7) preparation of a surveillance

inspection scheme and schedule, (8) upon issuance of the license,

factory surveillance inspection visits, market sampling and related

-activities

.

An activity pursuant to the above program is the location of adequate

testing Ibaoratories (with the referenced limitation) and the

necessary arrangements for submitting samples for test. This includes

determination of the cost of testing, rationalizing these costs among

different laboratories, summary and publication of the testing costs

in the government Gazette for public notification. Due to its

importance, additional discussion on this activity is given in a separate section later in the paper.

For purposes of training the certification staff as well as for

information to manufacturers, instructions were prepared in the form

of, "Guidelines to a Program of Quality Control and Assurance." It

provides flexibility to the TISI staff making the factory inspection

and motivation to manufacturers to develop or otherwise improve their

controls.

It is appreciated that, with all the variables of different standards

for different products, of different price and grade designations and

all the other factors involved, the manufacturers' concepts and

attention to the business of quality control will vary considerably.

It is recognized that manufacturing and quality control details will

differ from factory to factory. Therefore, it is not TISl's intention

to suggest a rigid set of standards for quality control programs.

There are, however, some basic areas which are of general industrywide concern and which are evaluated by TISI in its investigation and

surveillance. Briefly, these are: (1) control of manufacturing

information, (2) control of incoming materials and storage, (3)

control of manufacturing processes, (4) control of final product

inspection, (5) control of measuring instruments and test equipment

and, (6) control of corrective action quality assurance.

To assist in the factory inspections, a "Checklist of Questions for

Factory Inspection" was prepared. For reporting the results of the

factory inspections to TISI management and the Standards Council, a report format was developed. This includes (1) name of applicant,

factories, and products, (2) specific product varieties to be

certified, (3) summary of factory inspection (s) , (4) summary of

107
±ii.'a<.-iy:'.uta.-i<x [.eats on samples dra\m from the factory (ies),, (5) TISI*s

recommendation, and (6) expected surveillance inspection and testing.

Another significant document in the overall procedures developed is

the scheme for surveillance inspection and testing which is dravm up

by TISI to inform the factory what is expected of them for continued

use of the quality mark after receiving the certification license.

These schemes, for each company and product are treated

confidentially. However, a sample copy showing format and general

content is included in Annex A.

Surveillance inspection by TISI is an essential feature of the Thai

certification program. It serves as a reminder to the factory of

their obligation to produce a product in conformity to the applicable

TISI standard. Some policy by way of a working program for

surveillance inspection is included in the document entitled, "Minimum

Program of Factory Surveillance Inspection Procedures." This is

included in Annex B.

With the increase of licenses and certified factories with locations

ranging from Northern Thailand, greater Bangkok, and Southern

Thailand, scheduling of surveillance inspection becomes a crucial

element in the overall certification program. In this connection a calendar of randomly distributed visits within the planned number x^as

developed after several licenses had been issued. Some policy used in

the development of this calendar and subsequent scheduling is as follows: (1) combining trips where possible, visiting two or three

neighboring factories, minimizing the number of trips, time duration

and personnel, (2) initially using surveillance visits for training of

new personnel in accompanying experienced personnel, afterwards

reducing the number of personnel to a minimum of two on each visit,

(3) avoiding long periods between visits in order to keep before the

factory personnel a fairly constant reminder of their obligation to

continually produce a quality product in conformity to the applicable

TISI standard, (4) reducing the frequency of visits based on good

quality performance as well as some reduction in independent testing

by observing tests in the factory, (5) sampling a reduced number of

the licensed varieties and/or sizes on each visit and/or market sample

where there is sufficient evidence that the quality of different sizes

is not independent, and (6) using a calendar layout by licensee to assure that timing is reasonably spaced.

Another significant activity undertaken in support of surveillance

inspection was receiving applications for certification on those

products. Emphasis was placed in the review on the quality

requirements of the product, tests easily conducted on the factory

premises by the certification staff, tests to be conducted by

laboratories and the number of product units to be sampled for tests.

108
An Important principle is related to the latter item. The tests and

sampling procedures as specified in the standards are primarily

directed to be performed by the manufacturer. They are generally

related to lots of consignments of products to provide some assurance

(within the statistical validity and outcomes) to the producer and/or consumer that the current production is in conformity with the

requirements of the standard. Certification by TISI is not a guarantee, nor is it an integral part of the factory's quality control

program. It is an independent form of quality assurance providing a periodic check on the adequacy of the manufacturer's production,

controls, and tests. It is an audit of the manuf actuer' s operations

and product. Therefore, sampling by TISI does not necessarily follow

the same program as outlined in the standard.

In most cases sampling of reduced portions is applicable. On the

other hand, especially where the sampling procedure in the standard is

inadequate (for numerous reasons) for lot-by-lot inspection and even

for audit sampling, TISl's sampling program may exceed that of the

standard. In these cases certification helps to provide an adjustment

valve to correct inadequacies in the standardization process.

While most of the product tests, as specified in the standards,

require laboratory test equipment, simple product quality requirements

such as lengths, diameters, other dimensions, weights, visual

properties, etc., can be checked immediately in the factories by the

TISI certification team. For this purpose a small budget for

certification equipment was included in the project. A review has

been made of those standards applicable for certification to identity

tests which can be performed in the field or readily in the office by

the TISI certification teams. Equipment and instruments useful for

these tests have been listed and orders placed to obtain these devices

for the certification program.

Applications for Certification, Status, and Licenses Issued

TISl's certification program, as alluded to earlier, includes both

voluntary and compulsory standardization. The voluntary program was launched first with an application dated 5 June 1972. As of mid 197A,

50 applications had been received under the voluntary certification

program. This resulted in the issuance of 24 licenses to use the Thai

Quality mark. The applications included Portland Cement, asbestos

cement sheets, PVC pipes, round steel bars, electric cable, dry cells,

ballasts for fluorescent lamps, silverware, lead acid storage

batteries, monosodium glutamate, deformed steel bars, toilet soap,

toothpaste, fish sauce, concrete building blocks, and pozzuolana type

cement.

109
The first TISI license was issued on 19 October 1972 for Type I Portland Cement. Additional licenses on Portland Cement followed in

addition to asbestos cement sheets, round steel bars, electrical

cable, silverware, MSG, toilet soap, deformed steel bars, and fish

sauce.

Compulsory certification was launched by the publication of the Royal

Decree defining ballasts for fluorescent lamps which are to be

manufactured in conformity with the TISI standard. This Decree was published in the Government Gazette, dated 7 December 1973. The

Decree contained a 120 day grace period bringing compulsory

certification on ballasts into force on 10 April 1974. Twelve

applications from ballast manufacturers and fifteen from ballast

importers were received. This resulted in the issuance (by mid 1974)

of six licenses to ballast manufacturers and thirteen to ballast

importers.

Subsequently, compulsory standardization (hence certification) has

been set on two additional products, namely tapioca and canned

pineapple. Nine applications from canned pineapple producers were

received by mid 1974,

The program on tapioca is unique due to the large number of processors

involved. Some 900 applications were received and 172 licenses

processed by mid 1974. To facilitate this program, teams of TISI

certification staff have traveled to the tapioca producing areas to

assist in completing applications, inspect the factories, and draw

samples of the product for testing.

Acceptance of the TISI certification program by local manufacturers

and consumers as measured by the number of applications for voluntary

and compulsory certification is encouraging, indeed. There has been a good beginning. But as with most good beginnings the pace cannot be

slackened, but rather accelerated, to realize the full potential in

progress.

Certification Testing Program

Included in the certification activities discussed above is the

testing of product samples by laboratories selected by TISI. Some

discussion was given concerning the selection of the test labs,

coordination of testing costs, etc. The subject of actual testing, and

ramifications thereof, has been reserved for this section. Testing

is of crucial importance to the overall certification program. It

might even be referred to as the "backbone" of the entire effort. The

following observations, based on TISI experiences, are recorded here

for general information on the program and to serve as a guideline for

the development and implementation of other testing programs for

110
certification. In the following, "TISI" might denote any certifying

institution.

Implementation of the certification program is dependent on accurate

and competent tests of product quality characteristics at the

factories and at the independent testing laboratories used by TISI to

carry out tests on their samples. This is an extremely important part

of the overall program and requires a great deal of cooperation and

attention by all parties concerned.

TISI is in the middle of the certification program between the factory

and the independent testing laboratory. Therefore, measurements

supplied to TISI on the quality characteristics of the applicable

standard must be as complete as possible. Average values or calculated quantities are generally not adequate.

TISI must have detailed test information as part of its overall

evaluation of the quality (which includes variability as v/ell as average value) of the manufactured product. This is especially

important in the event of any discrepancies in measured values between

the factory tests and the independent testing laboratory tests. It

should not necessarily be considered unusual for some discrepancies to occur. There are many causes of differences in measurement, namely,

different test equipment, different methods of calibration, different

test methods, and even minor techniques of preparing and handling the

test specimens. Possible errors in calculation and even in

transcription from rough test notes to test notebooks cannot be

ignored.

Especially during the early stages of the certification program, close

cooperation in testing should be maintained between the factory, TISI,

and the associated test laboratory. Each can learn from the other,

resulting in greater knowledge and understanding of the tests and more

accuracy in test values. Test personnel from test laboratories might

accompany the TISI certification team during the factory inspection

visits to become more familiar with the factory procedures of testing.

Close cooperation involves an open sharing of test results, test

methods, test equipment, etc. Confidentiality of testing needs to be

understood. Tests are confidential only with respect to an unethical

sharing of such results with a company ' s competitor, organizations, or persons using the results contrary to the interests of the factory

under investigation. The diagram in Figure 1 illustrates the nature

of the cooperation, communication and confidentiality of the testing

program.

Ill
Y/////

/

/y^/^/ /^ Confidential Barrier//V////^///V

-7 Factory (ies)

Company Central Laboratory

(if present in company

organization)

TISI

I

J

Independent Testing Laboratory ^ I

Confidential Barrier

FIGURE 1 — Diagram of Certification Communications

The solid lines represent the main flow of communication between the

parties. TISI deals directly with the factory (ies) and/or a central

company laboratory (if such exits). TISI also deals directly with the

independent testing laboratory engaged by TISI to carry out the tests

and report the results.

The dashed lines inside the confidential barrier indicate the

possibility of the independent testing laboratory dealing directly

with the factory(ies) and/or the central laboratory, but only with

knowledge and approval of TISI. Such contacts may be necessary to

calibrate equipment, check methods of test, calculations, etc. to

achieve the greatest possible accuracy of results. These contacts may

also be necessary for carrying out the tests on company owned

equipment, when not available elsewhere. In this respect, it is

recognized that tests for one company's products may have to be

carried out on equipment owned by another company (and probably a competitor) by personnel from the independent testing laboratory. In

these cases extra care must be taken to guard the confidentiality of the

results.

112
The dashed lines outside the confidential barrier represent the

company's right to share the quality of their product with others as they may choose.

In submitting the product sample or test specimens to an independent

testing laboratory for testing and reporting the qxiality

characteristics, TISI may need to design and submit an appropriate

data sheet to indicate the detail desired in the test results. Other

information may also be submitted including special techniques of

handling and testing, charts to aid calculations, some average values

and ranges which may be expected in the test results and which if

deviated significantly from may indicate the necessity to study the

tests prior to reporting final values, etc.

For TISI, and its associated testing laboratories to be the certifier

of manufactured quality for industrial firms desiring certification,

it is necessary to give some assurance to these companies that the

quality of the test and evaluation process is held high and subject to

controls and improvements itself . In our factory visits we were met

with an open atmosphere of cooperation and willingness to examine and

improve, if necessary, the quality of their products. In several

instances quality improvements were necessary and work on these was

fast and effective. This type of cooperation must be continued and

extended to all organizations involved in the certification program.

The testing program associated with TISI certification will grow

rapidly and to large proportions. In planning for this, it has been

recommended that Thailand seriously consider the formation of a testing and calibration working committee consisting of top-level

representatives from some of the main testing laboratories from TISI

and even from interested industries to map out a program of tests and

coordination of testing facilities. In such planning, it may be

recognized that certain laboratories concentrate on testing in certain

major fields, eliminating the duplication of the very expensive

testing apparatus, and raising to a high performance level the tests

within these major fields. Coordination of deliberate overlapping of

tests for scheduling purposes can be planned. Coordination of

calibration can also be planned. It is perhaps possible that the

coorperative work of such a group may be more successful in obtaining

equipment grants from the various sources.

This should have top priority in Thailand and be actively supported by

industry and government leaders.

Akin to testing problems is the matter of clear specification on the

required quality characteristics. And in this matter the problems are not by any means restricted to the developing countries alone. During

113
the duiduiuun of the U. N, assignment, the writer had frequent

opportunity to read standards prepared in developed countries and by

international organizations. Many contain vague, inadequate, and/or

incorrect specifications of quality requirements and sampling

procedures. To pursue this in sufficient detail will require another

paper.

Process and Product Improvement Program

Another area of activity discussed earlier is that of assisting the

factories when necessary to make improvements in the product or process to meet the requirements of the TISI standard. In every case

of investigation under the certification program the mere process of

factory and product inspection is bound to uncover some, at least

minor, areas of possible improvement. When product samples fail under

test to meet one or more quality requirements, indications of

necessary improvements are almost immediate.

There have been some outstanding examples of product and process

improvements which have been brought about by the TISI certification

program. Some others, involving relatively long range improvements

are presently underway, having been uncovered or highlighted by the

certification effort. Due to the proprietary nature of this

information, the accomplishments in this area of activity are not

documented. However, for some degree of def initiveness, a number of

experiences are included here.

Investigation of an application for certification on cement revealed

an amount of SO3 in excess of the standard requirement. Follow-up

visits and investigation by factory personnel uncovered an inadequate

flushing of the conveyor belt to the storage silos when changing

between types of cement.

In addition to the solution of testing specifications and problems

undertaken by TISI on asbestos-cement sheets, some specific

improvements were necessary in the formulation of the asbestos-cement

slurry and the associated company undertook a major change in the

replacement of the main belt on the sheet forming machine.

For initial investigation of an application for certification of

toothpaste, the TISI certification team was invited to visit the

factory on one day to observe the formulation and mixing of the

product and on the following day to observe the filling and packing

operations. A requirement of the toothpaste standard, reflecting

viscosity of the product, is that when the toothpaste is squeezed from

the tube held in an inverted vertical position, a 10 mm. column of

toothpaste shall hold for at least 15 seconds before separating from

the tube. Several tubes were selected from the filling machine and

114
checked for this requirement. The failure to meet the requirement was

dramatic. Company personnel immediately recognized this problem and

the certification study was discontinued pending correction of the

product.

It should be noted here that the company under investigation is a reputable pharmaceutical house with many successful products. Not

only did the simple test described above highlight a product quality

deficiency, it helped to explain lack of sales experienced in

toothpaste in the past. The problem has been corrected and

certification is proceeding,

QUALITY CONTROL — A BROADER VIEW

Something needs to be said here concerning the broader aspects of

quality control and its importance to the present and future Thai

industrialization and economic progress, I-Hiile statistical quality

control is an essential part of the certification program, we must be

careful that we are not lulled into thinking that certification is

quality control. In Thailand, as in other countries of the world,

there needs to be a parallel program to complement and supplement the

Certification Marks Program in motiviating and achieving the

manufacture of quality products at economical costs. There are at

least three major reasons why application of quality control

principles and techniques cannot be limited to a certification

program,

1. Certification (as carried out in most developing countries) itself

is an adjimct to a national standardization program. It is therefore

limited to those products for which standards are prepared and

published, SQC is not so limited. Standards preparation is also a relatively slow process. Then too, (even without the usual limited

resources) standards cannot be prepared on all products

simultaneously, lower priority products are bound to be delayed.

Furthermore, the application of statistical quality control to the

manufacture of products, before or during the preparation of national

standards on those products, can improve the standard by an inherent

improvement in the quality of the products,

2, Not all products (processes, procedures, etc) for which standards

are prepared are suitable for certification. Yet statistical methods

may be employed to improve and /or control these products, processes,

procedures, etc.

115
3. Manufacturers undergoing investigations for certification have a natural tendency to avoid discussion of quality problems on their

products or processes, whereas the crux of the matter on quality

control investigations, assistance and applications lies at

highlighting major problems and directing detailed study where it will

count the most. Of course, test failures under certification have a similar effect. But it is possible for a manufacturer to obtain

certification on his products (demonstrating conformity to the

standard) while still plagued with relatively high internal scrap

losses, excessive repair or rework, poor delivery and other related

ills. It Is possible to miss the greatest benefits of SQC, if

limiting quality efforts to a certification program alone.

Many papers have been written on quality control in developing

countries. All of them include, at least in part, the following

recommendations for developing an effective quality control program;

1, Establish strong national leadership through one or more

influential national organizations

2, Adopt an active national plan through participation by industry

government, academic and other professional groups.

3, Effect some government compulsion through required quality levels

for government and/or military purchases, export quality

requirements, etc.

4, Promote industrial applications of quality control through

seminars, inplant training programs, consultative assistance,

etc,

5, Communicate successes in seminars and journals through the

establishment of national language technical media, etc,

6, Train personnel at all levels through an active program of

seminars, short courses, fellowships, etc.

7, Promote public awareness of quality through radio, television,

newspaper publicity, consumer seminars and exhibitions, etc.

Training cannot be over-emphasized. In one U.S. factory of

approximately 4000 employees some 23,000 man hours of quality control

training was conducted for personnel from top management to inspectors

and key shop workers in a period of seven years. This was during a concentrated period of process studies using quality control

principles and techniques (1952-1958). Over this same period savings

in production waste and excessive inspection amounted to $27 million.

The above factory was visited by many Japanese industrial study teams

in the mid-to-late fifties. : ^

The importance of training in Japan's rise to international fame in

quality manufacture is summarized in several papers. It is estimated

116
that the total number of participants in the education courses outside

companies reached more than 100,000 for the period from 1949 to 1968.

With the in-company training programs, several million have been

trained. In more than 2000 companies training has been completed for

all employees including top management and workers.

Significant improvements have been realized among several producers of

ballasts for fluorescent lamps. Product design changes, mainly on improved insulation, have been brought about by highlighting the

voltage breakdovm requirement. Several producers have installed test

equipment where, prior to certification, no tests on the safety or performance of ballasts were made. Some low quality brands of

ballasts have been discontinued.

The above examples indicate positive benefits in this area from

certification. However, there is within the TISI certification

program a tendency to de-emphasize assistance to manufacturers with

quality problems, especially prior to certification and even after an initial investigation and test resulting in product failures. It is,

of course, a correct premise that the manufactuer is responsible for

the quality of his product. Any assistance rendered should be so organized to emphasize this premise. However, many manufacturers need

assitance in quality control methodology, test information and design,

and in understanding the benefits of lower costs and better delivery

capability from improved quality of products and processes. TISI is

in an excellent position to learn where this assistance is most

needed, on products related to standardization and certification (more

is said about this matter in a later section) . The capability to

render this assistance, however, must be developed through proper

emphasis in policy, training, recruitment of staff, etc. At present

TISI's situation is such that recruitment of new staff is almost

entirely restricted to recent university graduates with no industrial

experience. Industrial personnel are generally older, more

experienced and highly respected by the more junior members of TISI's

staff, a situation not conducive to providing industrial assistance

without a great deal of concentrated training of these junior staff to

provide them with a respected commodity not available in industry.

There is, of course, the additional problem of losing these staff

members to industry (at considerably higher salaries) once they are well trained.

It is entirely possible, however, to make this a deliberate national

and institutional policy, accepting the associated inefficiencies

within the institute. TISI needs to strengthen the program of

assistance to industry and may well be aided in this effort by future

UN and other multi-lateral or bi-lateral assistance.

117
Objectives

One of the principle purposes of TISl's Certification and Quality

Marks program, in conjunction with its standardization efforts, is to

encourage and assist the manufacture of quality products in Thailand,

a prelude to economic growth and stability. In this, TISI recognizes

the importance and need for manufacturers to establish and/or maintain

an adequate program of Quality Control and Assurance. In the

preliminary investigation for initial grant of license, as well as in

the surveillance inspection and testing, for continuance of license,

TISI tries to determine if the factory (ies) has an adequate program

of control of production so as to assure continued conformity to the

standards (s)

.

Then in addition to the Manufacturer's efforts. Certification by TISI

provides an independent, 3rd party form of Quality Assurance, in

general. Certification that goods are being manufactured in conformity

with £ standard . However, it is not a guarantee! The quality of

manufactured product is primarily the responsibility of the producer . Since it is economically Impractical to provide for 100% assurance, a system has to be devised, product by product, which will provide the

desired assurance within practicable and economic limits. This can be

achieved under a system of Quality Control and Assurance at the

manufacturing plant, backed by regular inspections by an independent

inspectorate and independently verified tests. In consonance with

this principle TISl's Certification program has the following

objectives:

- Implementation of Industrial Standards with Their Many

Production Benefits.

- Encouragement of Quality Manufacture, Exports and Imports.

- Protection of the Consumer from Misrepresentation of Product

Quality.

- Protection of the Producer from Improper Competition,

- Reduction in the Multiplicity of Quality Certificates

(which reduces sampling, testing, time, and costs) . Assistance to the Producer's Advertisement and Marketing.

- Improvement in the quality of the Standards by locating

errors and/or outmoded practices for feedback to technical

cotmittees or the Standards Council for revision of Standards.

The Japanese Standards Association, since 1953, has been conducting

seminars on Quality Control and Standardization. Every year the

association holds 17 seminars of about 160 hours duration each.

Above 1,100 attendants were trained in 1972 and more than 18,000 in

total.

118
Dr. W. Edwards Deming, honored by the Japanese for his lectures and

consultations on statistical quality control, has said, "I am firmly

of the opinion that nothing can happen in the improvement of quality

or in economy of production without active support and continued

interest of management. Moreover, people in management must learn

something about their own responsibilities, I find in my own practice

here (U.S.) that management too often takes refuge in other problems

as soon as they learn from the charts that they themselves must take some action to reduce the common causes. Management in Japan was

different: they listened, learned, observed, and did something about common causes when they were indicated," This quotation sums up the

action necessary to reap the benefits of statistical quality control,

SQS, correctly applied with an awareness of the importance of quality,

can provide the active ingredient needed to achieve domestic and

export quality and the resulting good reputation for products, "made

in Thailand" (or anywhere). SQC is now widely used in almost every

type of industry in most countries of the world. It has proved to be

most effective (1) in improving the quality of products, (2) in

raising the productivity of manufacturing processes, (3) in reducing

manufacturing and other costs, and (4) in determining the

marketability of products or services.

However, many developing countries, including Thailand, have yet to

promote, utilize and benefit from SQC on a national scale. Most are receiving some assistance and interest in developing. Understanding

the principles and benefits and placing them in proper perspective

will surely help. It must also be understood that the commonly heard

resistance to quality implementation such as, "Our problems are different.", "It will cost too much,", "Management will not accept

it," etc, have been voiced before most successful applications,

regardless of degree of development and/or scope of application.

For example, in Thailand it is conceded that price dominates the

domestic market for many products at present. However, Thai

consumers, bolstered by a relatively loose control on quantities of

imports, continue to spend huge amounts (price plus large custom

taxes) for quality imports. If Thai manufacturers are to capture a greater share of this capital, they will have to shift their emphasis

to quality, at the lowest possible price. "Buy-Thai" movements are underway but they are mostly promotional. In addition to the domestic

market, the export market continues to demand quality products,

although they don't always get them as evidenced by the many and

varied complaints, requests for controls, etc, SQC can provide the

substance needed to make these programs effective,

Thailand, like many developing countries around the world, stands on

the threshold of rapid industrial development. If this development is

119
to be successful in achieving domestic and export acceptance of

locally made products quality, price and delivery must be placed in

proper perspective and continually improved. Management personnel in

government departments, private industry, management and industry

associations, academic institutions, etc. must develop a genuine and

growing interest in the use of Statistical Quality Control to achieve

these results, which, if properly applied, will yield economic

prosperity.

BIBLIOGRAPHY

Deming, W, Edwards, "What Happened in Japan?", Industrial Quality Control,

Vol. 2A, No. 2, August, 1967, pp. 89-93.

Deming, W» Edwards, "Some Statistical Logic in the Management of

Quality", Proceedings of the All India Congress on Quality Control,

New Delhi, March 17, 1971, pp. 98-119.

Higashi, H., "Qijality Control in Japanese Small-Scale Manufacturers",

Proceedings of the International Congress on Quality Control,

Tokyo, October, 1969, pp. 485-488.

Hopper, Rohn, and Kenneth S, Stephens, "Standards and Certification in a Developing Country", BSI News , April, 1973, pp. 8-9.

Ishikawa, Kaoru, "Education and Training of Quality Control in

Japanese Industry", Proceedings of the International Congress

on Quality Control, Tokyo, October, 1969, pp. 423-426.

Ott, Ellis R. , H, P. Andrews, W. L. Gore, and K, S, Stephens,

"Statistical Quality Control and Aid in Industrial Development",

United Nations Report, Commissioner for Technical Assistance,

June 15, 1963.

Ott, Ellis, R., "The National Development of Industrial Applications

of Quality Control", Proceedings of the International Congress on Quality Control, October, 1969.

Schin, Robert, "Can Quality Control Pay Its Own Way?", Transactions

of the Rutgers All-Day Quality Control Conference, Rutgers - The State University, New Brunswick, New Jersey, September 12, 1959,

pp. 107-125.

Stephens, K.S., "Process Capabilities - Small and Large", Transactions

of the 1st Pan American Congress on Quality Control and

Statistics in Industry, Mexico City, May 12, 1965.

120
ANNEX A

Thai Industrial Standards Institute

Certification Marking Procedure

Scheme for Surveillance Inspection and Testing

XYZ Company, Ltd.

This procedure applies to TISI's certification of (name of product),

manufactured by the XYZ Company's (location of factory), factory

in conformity with the Standard TIS (number of TISI standard).

License to use the Standards Mark was approved by the Standards

Council on ... (date of approval) ...following a satisfactory

preliminary investigation of the factory by TISI,

1.1 Certification by means of the TISI Standards Mark is

regulated by the Industrial Product Standards Act, B.E.

2511. It is further regulated by Ministerial Regulations

1 thru 4, B.E. 2515 and future Regulations.

1.2 This procedure regulates the continuance of certification

including surveillance inspection and testing and thus

supplements the Standard and other related documents.

The factory laboratory, where the tests are carried out, shall be

maintained, equipped, and staffed in at least its present approved

condition in order to continue to determine the products

conformity to the Standard.

2.1 Records of tests shall be kept on suitable forms as attached.

2.2 Copies of any test records or charts that may be required

by TISI shall be made available at any time on request.

Information obtained by TISI will be treated as confidential,

(In this and its sub-paragraphs a detailed program of final product

testing to be carried out by the manufacturer is outlined. The

tests included are designed to verify that the final product meets

the requirements of the standard. Each company and factory is

considered separately in developing the program of tests).

It is recommended that, as far as possible, statistical quality

control (SQC) methods shall be used for controlling the quality during

production. These same methods may result in reduced costs and Increased through - put of production, (In the associated subparagraphs a detailed program of in-process controls to be

carried out by the manufacturer is outlined. The specified controls

121
are designed to assure that the products are consistently made

to meet the requirements of the standard. In many instances, these

process controls will be those already carried out be the manufacturer

prior to certification. Otherwise additional or alternative

procedures will be specified with emphasis on defect prevention and

thus cost reduction and increased good production, and improved quality),

5, The TISI Standards Mark shall be printed on each (unit of product)

as per Ministerial Regualtion No. 2 B.E. 2515, provided always that

the product conforms to the requirements of the Standard.

(In the associated sub-paragraphs additional marking requirements

as set forth in the standard are specified. An approved marking

layout incorporating the TISI mark is often included),

6, A separate record shall be maintained giving information relating to

the rejection of production lots which do not conform to one or more

specifications of the Standard, The disposition, action taken, and/

or method of disposal of this product shall be indicated clearly.

Tests as required by the Standard, shall be completed so as to make

it possible to take corrective action on non-conforming product

prior to its marking with the Standards Mark,

7, If at any time, there is some difficulty in maintaining the conformity

of the product to the specifications, or the test equipment goes out

of order, or if advised to do so by TISI, the marking of the product

shall be ceased. The marking may be resumed as soon as the defects

are removed, or when TISI advises to do so. The information regarding

resumption of marking shall also be sent to TISI,

8, The licensee shall supply, free of charge, from his factory or go downs

the samples required by TISI for its certification surveillance,

(Provision for samples taken from the open market will also be

specified)

.

9, The licensee shall send to TISI a statement of quantity produced,

marked and exported by him and the trade value thereof during the half

year ending, ... and, ,,, for the preceding half year,

10. TISI*s surveillance inspection and testing will include periodic factory

visits, as well as samples for testing drawn from the factory and from

the market, or in transit from the factory to the market. Testing

expenses, as they are incurred, shall be paid by the company. To

permit fiscal company planning, the maximum expenses under normal

quality are not expected to exceed. .. .Excellent quality perfoinnance, as demonstrated on subsequent audits, will reduce the inspection

frequency and ensure an expense considerably lower than the expected

maximum.

122
ANNEX B

THAI INDUSTRIAL STANDARDS INSTITUTE

MINIMUM PROGRAM OF FACTORY SURVEILLANCE INSPECTION — PROCEDURES

The following is designed to supplement the Certification Program

Procedures, esp.ecially with regard to Surveillance Inspections.

Upon issuance of a license to use the Quality Mark, after a successful

preliminary factory inspection and product tests, the certification

program calls for periodic surveillance inspection of factories

including sampling and testing of finished product. This is designed

to provide a continuous motivation to the manufacturer to produce a quality product in conformance to the applicable Thai Standard.

Each surveillance inspection, based on the findings of the last

previous inspection and/or pre-license inspections, can be made very

efficient in time and effort. It need not be as thorough as the prelicense inspections. However, for effectiveness of the certification

program, surveillance inspections should include the following minimum

program which can serve as a guide to certification officials and

company personne] ^

1. Review the process control section of the surveillance inspection

scheme with responsible factory personnel. Look for conformance to

the program of process control. Review process control records to

observe if tests are being made at the agreed upon frequency and if

the product or subproducts are meeting prescribed specifications.

Note any discrepancies or alternative procedures adopted since the

last inspection (including pre-license investigation). If necessary,

observe the process for execution of the process controls.

2. Review the final product testing section of the surveillance

inspection scheme with responsible factory personnel. Look for

conformance to this program and review factory testing records at

least covering the time period from the present back to the last

inspection visit. Note if final product has been meeting the

requirements of the Standard. Particularly note periods of nonconformance and actions taken to correct substandard product.

3. Review the marking of the final product in accordance with the

marking section of the surveillance inspection scheme. Note any

discrepancies or modifications.

A. Obtain a sample of the finished product representative of current

production over at least several hours (or days) of production by

sampling, if possible, finished product being produced during the

visit as well as final product in the factory's immediate go-downs.

123
This may require recognition of a factory's production pattern and

scheduling of the surveillance visit (but still unknown to the

factory) to include periods of production.

5. Review overall results of surveillance inspection visit with TISI

certification officer and arrange for testing of the finished product

sample. Analyze test results (observe tests if necessary) and note

approval or prepare recommendations for improvements. Communicate

findings with responsible factory personnel.

6, Maintain an up-to-date file on each license, containing materials

from the pre-license inspections, each surveillance inspection and

other materials which will be helpful in carrying out subsequent

inspections.

124
Dr. Probine:

Thank you very much, Professor Stephens, Professor Stephens has given

us some insight into progress of Thailand's industry; particularly with

reference to the certification and quality marks program. Because we made a slightly late start, we're a little short on time for

discussion, and I therefore propose that we take Professor Choi's

paper now, and also now the paper by Mr, Ranoa of the Philippines; and

then perhaps we could have discussion on all three papers at that

stage, I will now call on Dr, Choi of Korea to give his paper, which

has just been circulated to you, Dr, Choi,

125

BASIC EXPORT INSPECTION POLICY IN KOREA

Dr, Choi, Jong Wan

Administrator

Industrial Advancement Administration

Republic of Korea

I. History of Export Inspection System in Korea

Export inspection in Korea started in 1949 simply to ensure the

quality of primary goods, such as agricultural and mineral products

and other raw materials. However, a formal inspection system was only

inaugurated in 1962 in accordance with the Export Inspection Law

enacted to meet needs for increasing trade volume which has continued

since then.

Export items which are subject to inspection are designated by decree

of the Ministry of Commerce and Industry for manufactured products,

and of the Ministry of Agriculture and Marine Affairs for agricultural

and marine products. The total number of items under inspection now

amounts to 216 as detailed in Table 1.

Table 1 - Number of Items Subject to Export Inspection

(A) Manufactured Products 179

Chemical 14

Textile 45

Electric, Metal and Machinery 105

Other General Merchandise 14

Not Classified I

(B) Agricultural and Other Products

TOTAL

The inspection is implemented either by public or private agencies in

accordance with quality standards and testing methods established for

each item. The list of items subject to inspection and inspection

standards is frequently adjusted, amended, and supplemented to meet

changing situations in export trade.

The public agencies are the National Industrial Standards Research

Institute and five provincial testing stations; the private

organizations are nine professional testing laboratories; all are listed in Table 2. The private agencies were established by a

127
judicial process. They conduct their work with delegated authority

from and under the auspices of the Industrial Advancement

Administration and other authorities concerned. To obtain this

authority, an organization must be equipped with testing facilities

and staffed with qualified inspectors as required by the Law.

Table 2 - Inspection Agencies

Public

National Industrial Standards Research Institute

Chungnam Industrial Inspection Station

Chungbuk Industrial Inspection Station

Chonnam Industrial Inspection Station

Kyeongbuk Industrial Inspection Station

Pusan & Kyeongman Industrial Inspection Station

Private

Korea Textile Inspection & Testing Institute

Korea Fabric Inspection & Testing Institute

Korea Knitted Goods Inspection & Testing Institute

Korea Chemical Products Inspection & Testing Institute

Korea General Merchandise Inspection & Testing Institute

Korea Electric Apparatus Inspection & Testing Institute

Korea Exports Packaging Laboratory

Korea Mineral Inspection Laboratory

Korea Register of Shipping

II, Description of Inspection System

1, Purpose of Export Inspection

The main purpose of export inspection is to Improve the

quality of export products in general and to maintain the worldwide

reputation of goods made in Korea. It is not necessary that all

industrial products should be subject to mandatory inspection by

authorized agencies. The criterion for inspection standards are set

up to satisfy the minimum requirement to accomplish the abovementioned purpose

9

Export inspection in Korea can be classified into three categories.

Products whose quality is fully guaranteed by manufacturers under a complete quality control system are exempted from mandatory

inspection. Products whose quality is assured by manufacturers who

are relatively well-disciplined but lack a complete quality control

system, are also exempted from direct inspection, but plants of such

products are subject to periodic surveillance by qualified inspectors

128
from an authorized agency. All the other designated products are subject to full mandatory inspection by authorized agencies.

Products whose quality does not meet with national inspection

standards, are prohibited from exportation by the Law even if

prospective foreign buyers have agreed to purchase them,

2, Operation of Inspection Agencies

Export inspection agencies must perform their inspection

duties in accordance with procedures established by the Law and

Regulations, However, the ultimate in quality guarantee of export

goods cannot be achieved only through inspection of finished products.

An inspection method relying on rejecting finished products with

defects can also not contribute in general to export promotion which

is the final goal for the export inspection system. Therefore, it is

most desirable that a quality control system is built into the entire

process by all processors and manufacturers. The purpose is to

prevent defects being introduced anywhere, or at least to recognize

such defects where they occur.

In order to fulfill this final goal, the inspection agencies are assigned additional tasks to be performed besides their regular export

inspection duties. Firstly, statistical data concerning defects of

products are accumulated and classified so that the information is

disseminated to manufacturers through meetings, such as round table

conferences, seminars, or workshops. Secondly, if any technical

difficulty is involved that is causing defects in the products, the

concerned agency extends technical consulting service to overcome the

problem. Short-term research often has to be performed by the

agencies to provide needed technical assistance for eliminating such

problems. Thirdly, educational activities and general guidance for

quality control are provided to manufacturers by the agencies.

Constant improvement in available facilities and competences at each

concerned agency is a pre-requisite for achieving this goal. The

conduct of self-educational programs is, therefore, imposed on these

agencies. In addition to these educational programs, necessary

equipment and facilities are expected to be supplemented in line with

improved services.

To implement the above policy, about 50 seminars, workshops, and

meetings are scheduled to be held this year by the respective

agencies. Technical extension services are given, such as a campaign

for textile plants for the "Elimination of Slub", another for metal

works on "Improvement of Surface Treatment", and 13 other similar

campaigns. All the inspectors are asked to take quality control

129
training courses for obtaining professional quality control licenses

issued by the Government.

Ill, Progressive Policy for Inspection System

1. Quality Control is a Practical Philosophy

It is a worldwide practice for efforts to be made by the

states and companies to intensify international competition, develop

new products, and explore new markets. Korea's export has grown

rapidly due to success in carrying out the 5-year economic development

plans in three consecutive periods. Further efforts are being made to

pass $10 billion in the value of exports early in the 1980' s. For

this target, we are now endeavoring to re-align our industrial

structure, renovate our industrial technology, strengthen managerial

capabilities, and engage in extensive training of our workforce, etc.

These endeavors will doubtlessly be facilitated by the development of

industrial quality control systems which will play a vital role in the

nation's industry. The Total Quality Control System is to be carried

out and implemented by all persons ranging from top managers down to

factory workers, from the time a new product is introduced, to and

throughout the time it is marketed from any of our industrial bodies.

This is Korea's fundamental position; it is our quality control

policy, I recognize that the present export inspection system is not

yet sufficient to respond adequately to the planned expansion of the

Korean economy and its role in the world export market.

2, Function of the Industrial Advancement Administration (lAA)

Since the ultimate aim of export inspection is not merely the

rejection of products with defects by inspection, the basic policy tor

export inspection of lAA is to recommend to export manufacturers the

adoption of the T.Q.C. system for their managerial system. To

supplement this policy, lAA is endeavoring to establish a nationwide

infrastructure for quality control of industrial products.

One of the prominent elements of this infrastructure is the Korea

Standard Research Institute (KSRI) , which is in process of

establishment. The KSRI project will be financed by a USAID loan

which amounts to U.S. $5 million coupled xd.th counterpart Korean funds

valued at about U.S. $8 million. The function of this new Institute

is to maintain the national physical standards and do research in the

field of metrology, educate and train weights and measures

specialists, and extend calibration services to industry for quality

control.

130
3. Nationwide Campaign for Quality Control

lAA is presently conducting a nationwide quality control

campaign to improve quality control of industrial products, increase

industrial productivity, and advance industrial competitiveness. The

scope of this campaign ranges from the creation of the right

atmosphere for the promotion of a quality control awareness among

industries to the practical adoption of the total quality control

system suited to all industrial organizations. For the success of

this campaign, the concept of quality control has been widely

publicized through mass media, including TV, radio, and newspapers.

Manuals and other printed materials are distributed and general

meetings of licensed quality control specialists are held to activate

the proper role of professionals.

The Korea Standards Association is given the task of carrying out

educational and training courses for top managers, middle managers,

and factory workers numbering about 2500 in this year. Prominent

foreign quality control experts are invited to hold seminars and

deliver speeches throughout the nation. The national quality control

conference will be held during the latter part of this year to

evaluate and re-assess our quality control campaign.

To perform the leading role in the campaign, about 500 state-run and

private companies are designated model QC organizations by the

Government, These companies are to adopt voluntarily the total

quality control system. Fortunately, the initial stage of the QC

campaign has been warmly received. Industrial companies, traders' and

manufacturers' organizations, and various economic and financial

establishments have favorably responded.

If we, in this stage of our developing economy, are provided with

international understanding and co-operation, our campaign for quality

control will be accelerated and achieve earlier and more concrete

results. It is in this spirit that we are enthusiastic participants

in this Seminar.

131
Dr. Probine:

Thank you very much indeed. Dr. Choi, for a very interesting paper.

It brought up and emphasized some points that have been made by

Professor Stephens. One of the interesting points that come out

clearly was the difference between voluntary and compulsory standards.

Dr. Stephens referred to this distinction earlier, I notice that, at

least for some products, Korea has compulsory standards; but it is

also encouraging the use of total quality control in other areas. However, even within the area where Korea has compulsory standards,

there is some flexibility in the way in which these are employed,

depending on the competence of the company to police its o^^n products.

There were also some very interesting points raised about licensing

quality control inspectors, and also training top managers in quality

control in order to get the importance of quality control understood

throughout industry. However, with those few remarks, I think we will

stick to the arrangement of having the discussion after the paper by

Mr. Ranoa of the Philippines. Mr. Ranoa. . .

132
TESTING AND CERTIFICATION OF PHILIPPINE EXPORT PRODUCTS

Mr, Vidalito F, Ranoa

Off icer-in-Charge

Philippines Bureau of Standards

Republic of the Philippines

My presentation will be very brief. Every time Steffen asks me to

make a presentation, he always emphasizes to make it brief. This

afternoon I will talk on procedures of testing and certification of

export products which pertains to the Philippines Bureau of Standards

only. We have other government agencies that also conduct testing and

which also certify certain export commodities. The assurance of the

quality of Philippine export products is one of the major aims of the

Philippines Bureau of Standards. This responsibility is provided for

by law, specifically Republic Act 4109, which, among other provisions,

stipulates that no customs entry, declaration, release certificate,

manifest, clearance, import entry, import permit, or permit to ship

abroad and/or discharge shall be issued for any of the specified

products and/or imported commodities unless they are first inspected.

No product of the Philippines for which a standard has been

established and promulgated by virtue of this Act shall be sold or disposed of in any manner or exported unless its standard shall have

been certified by the Director of Standards or his duly authorized

representative as conforming to the standard set, either for local

distribution or for export. In order to carry out this function

effectively, the Bureau maintains inspection units in all ports of

entry and exit in the country.

Considering that the Philippines exports a variety of agricultural,

forest, fish, mineral and industrial products and that these are produced by industries ranging from small enterprises without a good

quality control system to giant conglomerates and multi-national

industries whose operations and control systems are highly

sophisticated, the use of different inspection schemes, each of which

is designed to suit a particular export commodity, has to be adopted.

1. Pre-shipment product Inspection:

Under this system, a commodity projected for export is presented for

inspection at least five days before the probable loading date. An

ocular inspection of the lots is made, after which random sampling

follows. The composite sample drawn is tested in a reputable

laboratory duly commissioned by the Bureau for conformance with the

relevant Philippine Standard in the case of standardized commodities,

or against company standards or buyer specifications for

unstandardized products. If the lot under inspection is a standardized commodity and the sample meets the established quality

specifications, a certificate of inspection and standard is issued.

133
For unstandardized products passing buyer specifications, the

information to that effect is stamped on the shipping documents.

Should the lot under inspection fail to pass the requisite test, a letter of desistance from disposing of said lot in any manner is given

to the exporter. An inventory of the lot is made. This commodity is

then disposed of in the local market under the supervision of the

Philippines Bureau of Standards for purposes other than that for which

it was manufactured, -

For example, the rejected lot of steel reinforcement bars may not be

allowed for use as such, but may be disposed of as raw material for

fabrication.

2, Philippine Standard Certification Mark Scheme;

Under this scheme of certification, a manufacturer /exporter, if he so qualifies, is issued a license to use the Philippine Standard

Certification Mark. This is pursuant to Executive Order No. 101 of

the President of the Philippines which reads in part:

"Whereas, the Bureau of Standards, created for

the setting of standards of Philippine commodities

finds it more practicable to leave the technique and

know-how of production to the producers/manufacturers,

subject to a well-defined inspection, quality control and

marking of goods with standards certification mark

established by the Bureau;"

and

"Whereas, such marking of standardized goods or commodities will serve as a guarantee that such

goods or commodities conform to established

standards, ...".

Under this scheme, a manufacturer who desires to use the standard mark

must ascertain that his product meets the quality specifications of

the Bureau. His manufacturing process and quality control systems are placed under inspection by the Bureau. Testing facilities are checked

for adequacy at the different levels of control during production.

The testing and inspection scheme of the manufactuer is evaluated to

determine if he is capable of producting goods under controlled

conditions and has capacity to maintain and implement his testing and

inspection scheme in the production chain. Samples are drawn as these come out of the production line. These are then tested in reputable

laboratories for conformance with established standards.

13A
Manufacturers qualified under this system are licensed to use the

Philippine Standard Certification >Iark on their products. Such mark

serves as a guarantee that the product conforms with the rele\fant

Philippine Standard since the license to use it was based on a rigid

in-plant inspection of the manufacturer's plant facilities, process

and quality control systems. Spot inspection of the licensee's

premises is made from time to time as an additional safeguard for the

quality of the products produced. Oftentimes, the Philippines Bureau

of Standards conducts market sampling to see to it that relevant

standards are complied with,

3. The Commodity Clearance Certificate:

Another mode of inspection adopted and implemented by the Bureau is

the Commodity Clearance Certificate. This document, when presented by

a manufactuer/exporter to our export units at any port of loading in

the Philippines, serves as a permit to load and as a certification

that the commodity which is covered by such clearance but which is not

yet under government commodity standardization, was manufactured

according to company standards or to buyer specifications as described

in the shipping documents. This is in pursuance to Executive Order

No, 286 of the President of the Philippines which was issued with the

end in view of simplifying our export procedure. Towards this end,

the Bureau devised an inspection scheme, the Semes tral Commodity

Clearance, which is based on in-plant inspection of companies

(registered with the Board of Investments) with adequate testing

facilities, and quality control and inspection schemes which guarantee

the production of quality goods. The qualifications for the issuance

of this clearance similar to those required for the grant of the

license to use the Certification Mark, and similar spot inspections of

plant facilities are made from time to time.

135
DISCUSSION

of papers by Stephens, Choi and Ranao

Mr. Andrus ;

I have two questions, both of them directed to Dr. Stephens. The

first has to do with the terminology. I have become increasingly

concerned, in the last 48 hours, over the term "specification" which

seems to be used predominately rather than the term "standard". The

definition which Professor Stephens had on the board is rather a classical definition of a standard. I would like to ask Dr. Stephens

if he might define for us his differentiation between a standard and a specification.

Prof. Stephens ;

I suppose I might, in a very simple sense, say a standard is a set of

specifications,

Mr. Andrus ;

I have a second question. I think this is a very good response.

However, there has been a great deal of discussion for the past few

years on trying to differentiate between these two and what I'll do

when I return to Washington is send you a set of NBS definitions which

tries to differentiate between a standard and a specification by

indicating that a standard has broad application and is established by some kind of an authority x^^hereas a specification is of limited

application and is used primarily for procurement or for manufacturing

processes. That is the point that bothered me and I hope there is not

the confusion in other" minds that there is in mine.

The second point that I would like to ask is this. Your last view

graph showed the manufacturer, the manufactuer *s testing facility, the

certification agency and a third party testing facility, all

encompassed in a confidential barrier. My concern is the credibility

of such a system, the confidential arrangement. I might say that my

concept is that the certification agency should not be within that

barrier. There may be a confidential arrangement between the testing

facility and the manufacturer during the course of the testing and

changes to the product to make the product conform, but at some point

in time that confidential barrier has to be broken by recording the

results of the tests as a basis for certification. Did I misunderstand the meaning of this confidential barrier or was what I just related within the concept of what you were considering?

136
Prof. Stephens ;

To explain this cle?rly would require tracing a little bit of the

history and of the nature of the testing facilities and the

relationship of TISI as the certifying body to the testing

laboratories but, very simply, TISI, as a certifying body, as you

indicate, must have that information. Therefore, if it is on the

outside, then the confidential barrier must be violated to give it to

them. If they're on the inside, then there is no necessity to violate

that barrier in the sense that TISI, as a certifying body, or we could

just speak of certifying bodies in general, should have the integrity

to maintain the confidentiality of test results. The important thing

is that they have got to have detailed test reports of the quality of

the products that they submit for tests, so that a proper evaluation

of certification can be made. In fact, one of the reasons why that

diagram came into existence is the fact that there was considerable

difficulty with certain laboratories in turning back results. In

fact, TISI would go out to the factory, do the inspections, bring back

the samples, submit them to the test laboratory, and then after some

time for the testing, get back a report that said something like "Pass

- Fail... this one passed, this one failed" and that's all. .. .that's

all the information they would get. And, especially in the case of a number of failures where there has been some doubt as to whether the

product, in fact, can be ligitimately certified, depending upon the

degree of that failure, TISI was in absolutely no position to make any

evaluation. So it was necessary for us to go through quite an educational process for the personnel in some laboratories to make it

clear to them that TISI had to have detailed information on test

results. And, in fact, a number of memoranda, the memoranda that I read in connection with various products, show that when I did, in

fact, get into some of these test laboratories and get detailed

results I found things like miscalculations, for example, a strength

test on asbestos cement sheets where they measure thickness and width

and then breaking load, and then throw it into a formula for actually

computing the stress. Many times I found that even the calculations

of the breaking stress were in error. And, there were all kinds of

problems associated with not performing the test correctly, even a problem vrLth orientation of the piece in the test device. So, that

diagram was created to emphasize the fact that there had to be a very

good relationship between the factory, between the certifying body and

the independent testing laboratory. And, of course, the factory is an integral and important part of this whole problem, too, because those

results need to be fed back to the factory since they need to have an opportunity to defend their case. Another point that I'll make in some of the detailed discussion of that diagram, is that everybody

benefits from that flow. The factory can learn from the test

laboratory. The test laboratory can learn from the factory. Because

in many instances the factory is at a much more advanced level - much

better equipped - than the test laboratory. And the test laboratory

can learn a lot from the factory.

137
Mr . Andrus

I think that Professor Stephens and I are probably really not that far

apart on concepts here. But 1 think 1 can discuss this better later

this evening.

Prof. Ermer ;

At the risk of saying that one professor helps another to keep on

talking, two questions, Ken. One, what was the training and maybe

education of standard institute officers who went out and observed the

test? Did they have the technical training to discern what was taking

place? The related question is, is Thailand able to attract

technically qualified people to the institute to do this, who have

the background to observe tests and to look at the results?

Dr. Probine ;

Professor Stephens, I wonder if you could be fairly brief on that

reply because we're running short of time.

Prof. Stephens ;

Well, the answer is yes and no. They have some and they don't have

enough

.

Dr. Probine ;

That was a brief reply I Thank you. I'm sorry that I will now have to

close the session because time has run out.

138
CERTIFICATION MARK AND EXPORT INSPECTION IN INDIA

Mr. A. B. Rao

Deputy Director General

Indian Standards Institution

India

At the national level in India, certification can be said to be done

mainly by the Indian Standards Institution and the Agricultural

Marketing Adviser of the Government of India, both in clearly

demarcated areas. Some States, through their departments of industry,

have quality marks of their own in the fields in which the States

specialize.

Export inspection of materials and products is controlled by the

Government of India.

The relationship between certification by the Standards Institution

and export inspection by the Government is discussed in this paper.

The Indian Standards Institution, (ISI) since its inception in the

year 1947, planned to have industrial standardization under its orbit,

with emphasis on the voluntary nature of adoption of standards,

certification of products conforming to standards which again is

optional for the manufacturer to adopt, and testing applicable to both

the activities. The voluntary character of standards and choice of

certification mark is in accordance with accepted principles of the

International Organization for Standardization (ISO) and also in tune

with the activities of a number of sister organizations in many

countries. A manufacturer in India chooses the ISI certification on

his own volition but once he comes under this scheme he will be under

obligation to the Indian Standards Institution (Certification Marks)

Act of 1952. The Certification Marks Act confers a lot of important

duties and responsibilities on the Institution, such as establishment

of standards, recognition of standards from other bodies and

countries, prescribing the Standard Mark and its application, granting

renewal, suspension and cancellation of a license to use the Mark,

inspection procedures by the manufacturer and the Institution, and

recognition of laboratories, etc. The Act also prescribes the duties

of the inspector, actions in case of improper use of the Mark,

penalties for offences, appeals and related items.

When a manufacturer voluntarily applies for the certification mark on an available Indian Standard the ISI arranges to inspect the factory

in order to ascertain the capability of the manufacturer to produce

the particular product and from this and the evidence available from

the manufacturer a preliminary assessment is made. To check on the

139
required quality the product Is tested In the laboratory of the

Institution or In other well established and recognized laboratories.

This and other actions satisfying the Institution of the ability of

the manufacturer to produce and, more Important, to maintain the

quality, enables the manufacturer to obtain a license to use the Mark.

He uses the Mark under a scheme of testing and Inspection provided by

the Institution and keeps a record of the quantity produced.

Inspection and testing data, rejections and their disposal etc., under

the aegis and overall control of the IS I. The IS I maintains a supervisory control with several inspections, testing samples from

production as well as the market. By and large, the Certification

Scheme underlines a great trust that the manufacturers enjoy while

coming under the orbit of the law and supervision of the Institution.

For purposes of Inspection, the Institution has a large number of

inspectors qualified in all fields of engineering and science. The

inspections are controlled by regional and branch offices situated

throughout the country. Activities of the inspectors are strengthened

by a well equipped central laboratory and smaller versions of it in

regional offices. In addition, the Institution depends for its

voluminous testing on more than 100 laboratories which have been

recognized both on account of their own standing as well as for

recognition of competence for the job. Certain measuring tools are also available to inspectors going for Inspection and surprise checks , and under some limitations they use the facilities available with the

manufacturers also.

Over 4,000 licenses have so far been granted for the ISI Certification

Mark covering a wide range of products amounting to about 700

different articles. The Scheme can be said to be very fair in

operation.

The Government of Indifj has made the ISI Mark compulsory for some exports. Pure aluminum utensils and plywood tea-chest are examples of

compulsory certification for the purposes of export. Other marked

goods are also exported. Particular mention may be made of jute

goods, cables and food items. For internal use also the mark has been

compulsory in the fields of LPG cylinders, food colors and similar

safety areas.

For sound export trade, the quality pronouncements of the ISI Mark,

the Agricultural Marketing Department's Mark (AGMARK) , the Quality (Q)

Mark of various States no doubt provide a strong basis of quality but

to regulate the numerous exports of the country the Government of

India enacted a law, the Export (Quality Control and Inspection) Act

of 1963. Under this Act an Export Inspection Council was appointed

under the Ministry of Commerce with well dispersed Directorates of

Inspection and Quality Control at all points of export. Under the

140
Act, the Government, from time to time, notifies producers and

manufacturers of the commodities which would be subjected to quality

control and inspection, specifies the type of quality control and the

applicable standards and also recognizes other inspection agencies,

approves test houses and laboratories to help inspections and

establishes an export inspection mark.

The export inspect ion covers a lot of commodities including food items

like shrimps, bananas, etc. The Council, no doubt, recognizes the

certification marks, especially the Standard >Iark of ISI and the

AGMARK for export purposes but it has developed its own inspection

procedures and expertise. Cooperation with the existing certifying

departments provided ample liaison and also helped development of

facilities and personnel of the Council, The Council, besides having

its own testing facilities, recognized a number of laboratories for

tests and inspection agencies like the ISI for augmenting export

inspection.

In this seminar with limitation of time, presentation of more details,

perhaps, would be out of place. Clarifications needed can always be

requested and our Government would be very willing to share

information and offer facilities for study of its schemes. Our

Government would also welcome any views which would contribute to

Improved quality of exported goods and certification that is relied

upon for exports.

* * * * *

Brief but enthusiastic closing statements, especially by the Seminar

President, Dr. Lee Kum Tatt, and other formalities concluded the

SISIR/NBS/AID Seminar.

141

QUALITY CERTIFICATION IN DEVELOPING COUNTRIES

Mr. Raul Estrada

General Director

Institute Ecuatoriano de Normalizacion

Quito, Ecuador

I. The Quantity and the Quality in the Economy

An old saying that "the poor man wants more and the rich man the

best", applies also to countries. In the countries that are more

developed and prosperous, the markets are very critical with respect

to the quality of products, while in poor countries, which are underdeveloped, the price market rules. This last fact is highly

restrictive to the general development of the economy and particularly

of industry. Competition among producers, in a market sensitive only

to quantity and price, results in a continuous degradation of quality

and becomes a serious impediment to improving it.

This situation contributes also to widening of the disparity between

the poor and the rich, because the wealthy have always greater means

for obtaining quality products which they want (either in the internal

market or by importation) while the person with small resources does

not obtain the necessary advantage from the products that he buys. He

spends more in replacements or adaptations and becomes poorer and

poorer.

Consequently, AN APPROACH TO A PRACTICAL LEVEL OF QUALITY IS A SOCIAL

necessity.

II, The Relativity of the Quality Concept

Contrary to the concepts of many, quality is external to the product.

In its true sense, quality is the degree to which that product

satisfies the necessities of the consumer, in other words, it is its

FITNESS FOR USE, Consequently, quality depends upon the user whose

necessities are circumscribed among certain social, economic, and

political aspects. These necessities are not static; they change

according to the evolution of the person and the society. The concept

that the user has about quality depends not only upon the fitness for

the use of the product, but also, upon the value that the monetary

unit has for his economy or his capacity for buying, and upon the

related advantages that are derived from his own analysis of the

alternatives. Many times, the capacity of the consumer to make

judgments and decisions is influenced by the level of his education

and his understanding of how the characteristics of the product may

satisfy his necessities. Rarely the consumer, especially in

developing countries, is in a position to judge adequately the

143
characteristics of a product. He is strongly influenced, many times,

by fraudulent advertising, or by discovery of imitations, or by

confused analysis of his necessities,

III. The Circuit of Quality

The quality of a product should be expressed in terras of all the

necessities of the consumer that can be recognized; this quality can

be formulated in engineering terms and then, during the production

process, built into the product with the intention of satisfying those

necessities. For this reason, the product is necessarily the result

of a series of decisions which can be visualized as being in the shape

of a closed circuit. As, however, we are dealing with an evolutionary

process, a spiral shape is a better representation.

The primary BASIC DECISIONS are made in relation to the market sector

whose needs the product tries to satisfy; then they have to be

formulated in coherent qualitative and quantitative terms, that

require a great number of FUNCTIONAL AND DESIGN DECISIONS that result

in the DEVELOPMENT OF THE PRODUCT.

In the PRODUCTION PHASE, MORE DECISIONS ARE TAKEN. These decisions

are related mainly to the economy of the production techniques that

will be utilized for the fabrication of the product. Costs have to

permit entry of the product into and competing in the market during

certain times. Prices also have to guarantee returns for the

investment.

The sale of the finished product also requires DECISIONS RELATED TO

DISTRIBUTION, which, if they are correctly made, will allow the

product to reach the consumer for whom the product was designed in

adequate quantities with opportunity, and from a sufficient number

of outlets. Any failure in the distribution system may affect the

quality of the product, whether it is by deterioration or through

misuse if the product goes to a different kind of consumer or to a consumer who uses it in a different way from that for which it was designed. The product then will not have "FITNESS FOR USE", it will

invite claims and require replacements, and its sale may even stop

with consequent loss to productive efforts,

A satisfied consumer generates good DECISIONS OF SERVICE after

selling. These relate not only to teaching the consumer the correct

use of the product, so that he does not reduce its quality, but also

to providing for the fact that no system of economic quality control

can avoid the occurrence of an occasional defective product passing

through all controls and reaching the consumer. A policy of quick

replacement and attention to claims is, consequently, part of the

circuit of quality.

144
IV. The Quality "Dilution"

During the manufacture of a product and in all steps of the circuit of

quality, there occurs a "dilution" of the original good intentions.

Many times the air to satisfy specific necessities of a defined sector

of the market is lost because the MINIMUM SCALE OF PRODUCTION and

economic factors demand a large production that consequently has to

reach a wider sector of the market. The definition of the parameters

of quality of the product are diluted by the necessity to adapt to a group of consumers and necessities that are very changeable and

subject to extraneous influences that are difficult to identify. Good

decisions for distribution are confronted by established systems,

difficult to change, and lacking the versatility required for modern

large-scale distribution. Lastly, good service policies are penalized

by limitations of education, experience, and initiative of the user who can spoil the final quality of a product. All these circumstances

point to the necessity for the enterprise to be aware that quality is

not entirely internal to production but depends largely on external

factors, which depend mostly on the consumer.

V, The Moment of the Purchase Decision

The modem consumer faces greater difficulties than before in making

the final decison on which product to buy. He has to decide between

many alternate products that appear to have the same FITIIESS FOR USE,

but entail properties, intrinsic value, declared characteristics, and

advantages that are difficult to evaluate.

The considerations of a consumer, even though many times intuitive,

refer always to his individual judgment and measurement of the

products' characteristics, properties, and advantages, without having

at his disposal in many cases technical standards that were used for

its fabrication. The standards can provide a description in

qualitative and quantitative terms, objectively, that will give all

the necessary elements for a good comparison. Without having more

appropriate means for measurement than his unassisted senses, he has

to judge the APPEARANCE, or to believe in the advertisement, the

prestige of a trademark, or to the monetary value that he assigns to

the product in relation to that of the currency, a judgment that is

influenced by his earnings, social position, education, etc. The

consumers' decision often is not right. And this situation is

extremely important not only because it can affect adversely good

trade of a quality product, weakening the finances of the producers'

enterprise, but also because in macroeconomic terms a product that

does not yield FITNESS FOR USE to its consumers represents a loss to

the general economy of the country, because it means a waste of always

limited resources.

145
VI. Quality Certification Comes to the Scene

Quality certification, made by a responsible organization

(standardization body) is Introduced to give to the consumer the

technical help that he needs for making a sure judgment about the

quality of a product. The certification assures that the product

satisfies the minimum requirements that were established in the

relevant technical standard that was used for its design and

fabrication. This standard at the same time is the result of

thorough, objective, and scientific analysis of the parameters that

assure at least the fitness for use of the product. The fact that the

certification comes from an independent, in many cases "official" organization, without compromises with the producer, assures that the

consumer can trust the certification as the best means for obtaining

confidence in judgments relative to the intrinsic properties, declared

characteristics, advantages, and the value of the product. Only the

second part of the judgment remains for the purchaser to make and that

is to balance these values with his particular monetary purchasing

power. The consumer decides if the value which the currency has for

him, which depends on his own judgment, balances the cost. In any

event, the decision of the consumer has been helped because he can relate the price of the product with its properties, characteristics,

value, and benefit in rational terms that separate facts from

illusions of advertisement.

VII. Difficulties in Quality Certification

Quality certification systems, operated by public or private

organizations not directly related to the manufacturers, are largely

based on an analysis of the finished products with the aim of

establishing whether they stand up to the requirements of technical

standards. These systems work satisfactorily in highly Industrialized

countries where factories have their own highly developed quality

control systems based on their own laboratories where tests and

research can be carried out. Another related factor is that, in such

countries, the market is quality oriented and highly competitive. In

developing countries, however, these conditions generally are lacking.

Quality control methods are often inadequate. Available scientific

and technical infrastructure is usually insufficient to provide the

necessary technical aid. Besides, such countries are facing markets

oriented towards quantity and price rather than quality criteria.

Therefore, the application in underdeveloped countries of conventional

certification systems, based on an analysis of the finished product,

either does not work or, at the best, is effective only for a small

part of industrial output without any real significance for the

general economy.

1A6
In Ecuador, a different system has been in use since 1974, based on certification of the industrial output, i.e., a type of auditing

system of the manufacturer's quality control system. This auditing is

the task of the Ecuadorian Institute of Standardization (INEN) , under

which the Institute signs a contract with the manufacturer. In it, an INTEGRATED QUALITY CONTROL SYSTEM is specified. The manufacturer

takes part in the decision making and execution of the control in all

stages of production. Inspection methods as well as information

analysis are decided. External (official) laboratories carry out

independent analysis. Independent inspections and other suitable

practices are established.

Such a system offers several advantages. It supplements the

manufacturer's technical capabilities in quality control. It provides

additional means of analysis and assurance, periodic calibration of

measuring instruments in the government metrology laboratories

attached to INEN, a service of Standard Reference Materials, Training

is made available for personnel. Technical consultation is provided

and, perhaps even more importantly, the means of ascertaining

consumers' requirements is given. The system also has the inherent

capability of establishing or modifying the parameters of technical

standards (norms) in question, using the services of INEN in order to

reach a carefully considered agreement of all sectors involved

(producers, consumers, and general interests). However, it must not

be forgotten that the technical norm, for the time it is in force,

must give assurance to investors, in the sense that, at least for a certain time, the parameters of the norms will not be capriciously or suddenly modified, and that, therefore, the characteristics of design

will not have to be changed (especially as far as machinery,

materials, and production methods are concerned). Good management of

norm development and revision thus provides a guarantee that capital

equipment can be reasonably amortized. The manufacturer is given an assurance that a good economy will prevail,

ym. Effects of Economics on Quality Control and Its Certification

Developing countries always face very difficult decisions in the

choosing of technological alternatives which are the most appropriate

for their development. On some occasions, when highly sophisticated

technology is used, this choice may cause distortions of the economic

and social environment, causing political serfdom. It may even increase the degree of dependency on foreign industry, when the home

environment offers only an unsatisfactory scientific and technical

infrastructure.

Other alternatives, based on obsolete or old-fashioned techniques,

must be rejected because they lead to low efficiency in production and

a product quality which does not satisfy the requirements of present

day constnners who are greatly influenced by products imported from

147
highly industrialized countries. With regard to this kind of

conflicts, my concept of ''MODERN TECHNOLOGY" means a technology which

has to satisfy the PRESENT NEEDS of the consumer.

Standardization must transform these needs into concrete (qualitative

as well as quantitative ones) requirements demanded of the product.

Industry has to satisfy these needs, producing items by efficient use

of production equipment available in a given country. Technology must

be chosen according to availability of the elements of the

microeconomics (material, manpower, methods, and raw material) , as well as to adequacy in terms of the macroeconomics (social and

political factors). , . , Quality Certification can contribute to guarantee a market, and to

establish the necessary vertical and horizontal interdependencies on material used as well as on other unfinished and finished products.

Thus, social and economic conflicts can be avoided to a large extent.

At the same time, help is given to the process of creating a pyramidal

industrial structure. Foreign dependence is reduced through domestic

rationalization of commerce and industry.

Analyzed in this way, the technological problem loses many of its

rigidities and adapts in a better way to evolution of a man's education, economic, political, and social. This analysis also provides a place in decision making processes where necessary importance can be

given to the improvement of the QUALITY OF LIFE,

148
PRE-EXPORT QUALITY CONTROL SCHEME FOR CRUMB RUBBER:

PILOT PROJECT AND EXPERIENCE OF INDONESIA

Mr. Sumantri

Deputy Chairman for Technology

Indonesian Institute of Sciences

Jakarta, Indonesia

It is my great privilege to be accorded this opportunity of participating in this SISIR/NBS/AID Regional Seminar on "Testing and

Certification for Export Products" in Singapore. I would like to take

this occasion to express my sincerest thanks and gratitude to the

U.S. National Bureau of Standards and the U.S. Agency for

International Development for inviting me to this Seminar, and to

SISIR for the hospitality accorded to me.

Allow me now to present a short note on my country's experience in the

field of "Testing and Certification for Export Products", the topic of

this Seminar, My country has been doing some experimentation in

looking for a Pre-export Quality Control Scheme, best suited to our particular circumstances. The experimentation started in 1968 and the

export commodity chosen for the experiment has been Crumb Rubber,

bearing in mind that it is still one of our important foreign exchange

earners and that quite a lot of our people find their living in rubber

plantations and processing plants.

Various factors have to be considered in setting up the above

mentioned Pre-export Quality Control Scheme, such as:

a. Rubber plantations and crumb rubber factories in Indonesia

are located in different areas at great distances from one

another,

b. Shipment of crumb rubber for export is done from a great

number of harbors at distant locations from one another,

c. Good transportation and communication facilities are not

always available,

d. Test facilities are still very limited, in terms of the

equipment, manpower, the number of testing institutes,

and the number of sampling inspectors.

In view of these factors under my country's Pre-export Quality Control

Scheme for Crumb Rubber, much is left to the discretion and integrity

of all those working in the production units. The Government function

149
is just to inspect to see that everything is running properly. The

surveillance could be lessened or tightened as deemed necessary.

Before the scheme could work satisfactorily, a number of preconditions

had to be met, such as:

a. Old crumb rubber factories were upgraded or modernized and

a number of new factories established. The total number

of factories is now about 80, producing around 400,000

tons SIR (Standard Indonesian Rubber) a year, or about

50% of our country's annual production,

b. Old test laboratories were upgraded or modernized and a number of new test laboratories established. The total

number of laboratories is now 11, of which 9 act as com*-

mercial test laboratories, one is a so-called "standard laboratory" responsible for the periodic calibration

of test equipment, and the remaining one is a so-called

"control laboratory" which controls whether the testing done by the various commercial test laboratories

is carried out properly and uniformly,

c. A campaign has been launched from the very beginning

to improve the quality mindedness of all concerned,

d. Each crumb rubber factory is provided with a Process

Control Laboratory,

My country's Pre-export Quality Control Scheme for SIR (Standard

Indonesian Rubber) is very much streamlined, and is working as follows

s

1, Every producer of SIR is registered and licensed by

the "Working Committee for Crumb Rubber", which was appointed by the Indonesian Government in 1968 to

establish a standard for technically specified

natural rubber produced in Indonesia, and to set up

a program for production, development, and marketing

of the product,

2, Every producer of SIR is responsible for sending product samples to the nearest commercial test laboratory

to obtain a quality certificate, A factory process

control laboratory with good reputation may be licensed and authorized by the "Working Committee for

Crumb Rubber" to issue a quality certificate, which

has to be countersigned by a commercial testing laboratory. For this purpose the factory process control

laboratory has to send a 10% sample of each lot to the

150
nearest coTiiinercial test laboratory for inmediate cross

check. Samples have to be taken according to prescribed

procedures,

3. Export of a lot of SIR must be accompanied by a Quality

Certificate issued or countersigned by an authorized

commercial test laboratory.

Our experiment up to the present could be considered successful.

Claims are fewer than one percent of the total number of consignments

exported. Preparations are now being made to extend our Pre-export

Quality Control Scheme to other export commodities.

151

APPENDIX I

SISIR/NBS/AID REGIONAL SEMINAR ON

"TESTING AND CERTIFICATION FOR EXPORT PRODUCTS IN INDUSTRIALIZING COUNTRIES"

May 19 - 20, 1975

LIST OF PARTICIPANTS

Name

ANDRUS, William E.

CHOI, Jong Wan (Dr.)

ERMER, Donald (Prof.)

Designation/Address

Program Manager

Office of Engineering and Information Processing Standards

National Bureau of Standards

Washington, D.C. 20234

U.S.A.

Administrator

Industrial Advancement Administration

Ministry of Commerce and Industry

Yeong Deung Po

Seoul

REPUBLIC OF KOREA

Associate Professor

University of Wisconsin-Madison

College of Engineering

Mechanical Engineering

1513 University Avenue

Madison, Wisconsin 53706

U.S.A.

HILSENRATH, Joseph

HOPPER, R.

Physical Scientist

Data Systems Design Group

National Bureau of Standards

Washington, D.C. 20234

U.S.A.

UN Adviser

Thai Industrial Standards Institute

Ministry of Industry

Rama VI Road

Bangkok

THAILAND

153
Name Designation/Address

HUSSAIN, Khawaja Ainmar

KIM, Zae Quan (Dr.)

LEE KuTTi Tatt (Dr.)

NING, Werner Y. F. (Dr.)

PATON, John

PEISER, H. Steffen

PHANI Na Rangsi (Mrs.)

Director

Central Testing Laboratories

Pakistan Standards Institution

Block 77

Karachi

PAKISTAN

Director General

National Industrial Standards Research

Institute

Ministry of Corrmerce and Industry

199 Dong Sung-Dong

Chong Ro-Ku

Seoul

REPUBLIC OF KOREA

Chairman

Singapore Institute of Standards

and Industrial Research

179 River Valley Road

Singapore 6

REPUBLIC OF SINGAPORE

Director

National Bureau of Standards

Ministry of Economic Affairs

61-1 Sung-Chiang Road

Taipei, Taiwan 104

REPUBLIC OF CHINA

Technical Director

Standards Association of Australia

Standards House

80 Arthur Street

North Sydney, NSW

AUSTRALIA

Chief

Office of International Relations

National Bureau of Standards

Washington, D, C. 20234

U.S.A.

Senior Scientific Officer

Thai Industrial Standards Institute

Bangkok

THAILAND

154
Name Designation/Address

PROBINE, Merwyn (Dr.)

RANOA, Vldalito F.

RAO, A.B.

SOON, Freddy H. C.

STEPHENS, Kenneth S. (Prof.)

SUMANTRI

WEXLER, Arnold

Director

Physics & Engineering Laboratories

Department of Scientific & Industrial

Research

Lower Hutt

m,^ ZEALAND

Off icer-in-Charge

Bureau of Standards

Department of Commerce & Industry

P.O. Box 3719

Manila

REPUBLIC OF PHILIPPINES

Deputy Director General

Indian Standards Institution

••Manak Bhavan"

9 Bahadur Shah Zafar Marg

New Delhi 1

INDIA

Executive Secretary

Singapore Institute of Standards

and Industrial Research

179 River Valley Road

Singapore 6

REPUBLIC OF SINGAPORE

Head

Adaptive Technology Group

Industrial Development Division

Georgia Institute of Technology

Atlanta , Georgia

U.S.A.

Deputy Chairman for Technology

Indonesian Institute of Sciences

Jl Teuku Tjhik Ditiro No 43

Jakarta

INDONESIA

Chief

Humidity Section

National Bureau of Standards

Washington, D.C. 20234

U. S. A.

155
Name Designation/address

WIJEWANTHA, Ronald T. (Dr.) Director

Bureau of Ceylon Standards

53 Dharmapala Mawatha

Colombo 3 SRI LANKA

YEOW Chee Tlong Deputy Director

Singapore Institute of Standards

and Industrial Research

179 River Valley Road

Singapore 6

REPUBLIC OF SINGAPORE

COUNTRIES REPRESENTED

Australia

Brazil

Republic of China

Ecquador

India

Indonesia

Republic of Korea

New Zealand

Pakistan

Republic of Philippines

Reoublic of Singapore

Sri Lanka

Thailand

United States of America

156
APPENDIX II

PROCEEDINGS OF THE REGIONAL SEMINAR ON

"TESTING AND CERTIFICATION FOR EXPORT PRODUCTS IN INDUSTRIALIZING COUNTRIES"

19-20 May 1975, Singapore

Seminar President: Dr. Lee Kum Tatt

PROGRAM

Monday, May 19

9:00 a.m. OPENING SESSION

Welcoming Remarks by Mr. H. Steffen Peiser,

Chief, Office of International Relations, NBS.

Address by Mr. Henry A. Engelbrecht, Chief,

Economic Commercial Section, US Embassy, Singapore,

Welcome Address by Dr. Lee Kuun Tatt, Chairman,

SISIR.

9:30 a.m. Reception

10:00 a.m. INTRODUCTORY SESSION (Session I)

(Chairman, Mr. Sumantri, Deputy Chairman for

Technology, Indonesian Institute of Sciences,

Indonesia)

.

"Export Testing, Labeling and Certification - an Overview", Mr. W. E. Andrus, Program Manager,

Office of Engineering and Information Processing

Standards, NBS.

"Testing and Certification for Export Products

in the Republic of China", Dr. Werner Y. F. Ning,

Director, National Bureau of Standards,

Republic of China.

"Pre-Export Testing and Certification in Sri

Lanka", Dr. Ronald T. Wijewantha, Director,

Bureau of Ceylon Standards, Sri Lanka.

2:15 p.m. "Quality Control and Allied Program in Support of

Economic Development and Industrialization - A briefing by Dr. Lee Kum Tatt, Chairman, SISIR,

on the Institute's Program and Services.

Tour of SISIR*s facilities.

6:30 p.m. Reception

157
Tuesday, May 20

9:00 a.m. SESSION ON METROLOGY AM) TESTING (Session II)

(Chairman, Mr. K, S, Stephens, Head, Adaptive

Technology Group, Industrial Development

Division, Georgia Institute of Technology,

Georgia)

.

"Development of a National Infrastructure of

Support Services for Quality Control for Export"

Dr. Merwyn Probine, Director, Department of

Scientific and Industrial Research, New Zealand.

"Metrology Plan for Korean Industrial Development",

Dr. Kim, Zae Quan, Director General, National

Industrial Standards Research Institute, Korea.

"Can Data Collection and Analysis Reduce the

Rejection of Exported Products" Mr. Joseph Hilsenrath,

Physical Scientist, Data Systems Design Group,

U.S. National Bureau of Standards .

"The Institution of a Worldwide Integrated System

of Testing Facilities (WISTF)", (Lecture Notes),

Mr. Felix von Ranke, Executive Secretary General,

Brazilian Association of Technical Standards,

Brazil Presented in the author's absence by

Mr. H. Steffen Peiser).

2:00 p.m. SESSION ON PRODUCT MARKING AND CERTIFICATION

(Session III)

(Chairman, Dr. Merwyn Probine, Director,

Department of Scientific and Industrial Research,

New Zealand)

"Thailand's Certification and Quality Marks Program"

Professor Kenneth S. Stephens, Head, Adaptive

Technology Group, Georgia Institute of Technology,

U • S • A •

"Basic Export Inspection Policy in Korea"

Dr. Choi, Jong Wan, Administrator, Industrial

Advancement Administration, Korea,

"Testing and Certification of Philippine Export

Products" Mr. Vidalito F. Ranoa, Officer-inCharge, Bureau of Standards, Republic of Philippines.

158
"Certification Mark and Export Inspection in

India", Mr. A, B, Rao, Deputy Director General,

Indian Standards Institution, India.

CLOSING SESSION

Remarks by Mr. H. Steffen Peiser, Chief,

Office of International Relations, NBS.

Concluding Remarks by Dr. Lee Kum Tatt,

President of the Seminar.

Dr. Lee Kum Tatt, host at dinner

159
Appendix III

Visit to the Laboratories of the

Singapore Institute of Standards and Industrial Research

In the afternoon of May 19 the Seminar participants were received at

the laboratories of the Singapore Institute of Standards and

Industrial Research (SISIR) by Dr. Lee Kum Tatt, Chairman of SISIR's

Board of Management, and SISIR staff.

Enthusiastic personnel described impressive ongoing laboratory

projects, their opportunities and problems. Before these laboratory

tours Dr. Lee himself gave an oven^iew of the SISIR organization and

its aims. For inclusion in the proceedings, SISIR has kindly provided

a brief write-up, which is reproduced here with minor changes and a very few omissions:

160
SINGAPORE INSTITUTE OF STANDARDS AND INDUSTRIAL RESEARCH (SISIR)

(Established by an act of Parliament, the SISIR Act 1973)

Origin and Genesis

Singapore's rapid industrialization program in the sixties brought

about an increasing demand from industries for specialized technical

services. The Singapore Institute of Standards and Industrial

Research was formed in 1969 to help the Government provide this

assistance to industries, especially those which formed the infrastructure of economic development.

SISIR* s history dates back to 1963 when the Industrial Research Unit

(IRU) was set up as an affiliated division of the Economic Development

Board with technical assistance from the New Zealand Government under

the Colombo Plan. Its aims then were to provide technical advice and

services to industry. This involved mainly trouble-shooting and

testing activities. In 1969 as industrial development entered a new

phase, the IRU was re-organized into SISIR. The emphasis on the

setting up of labor intensive industries to combat unemployment was

then being replaced by a preference for capital intensive and more

sophisticated types of industries. The Institute therefore embarked

on a new program of activities based on standardization and quality

control, testing, engineering and consultancy services to cater to the

immediate needs of industry.

Today SISIR' s role as a national standards-cum-technological institute

encompasses a diversity of operations and a growing tendency towards

greater involvement of science and technology with national economic

and socio-economic priorities such as pollution, upgrading of

technology and inculcation of a national qtiality consciousness.

SISIR became a fully autonomous body on October 1, 1973.

Aims and Obj ectives

SISIR' s main objectives as defined in the SISIR Act include the

following:

(a) To promote and undertake industrial research and

upgrade local skills and technology in industry

(b) To promote standardization in industry and trade

with a view to improving the quality of Singaporemade products as well as Industrial efficiency and

productivity

161
(c) To provide for schemes of quality control in order

to promote and improve the export trade of Singapore

(d) To issue from time to time, national standards and

codes of practice that may be required

(e) To provide engineering, testing, consultancy and

other technical services as may be required by

industry.

Organization

SISIR operates as an independent statutory body directly responsible

to the Ministry of Finance. It is headed by a Chairman who manages

SISIR with the advice and guidance of a Board of Management, a Finance

Committee and an Establishment Committee,

SISIR* s Chairman is Dr. Lee Kum Tatt who agreed to serve as President

of this SISIR/NBS/AID Seminar and our principal host at the SISIR

laboratories.

Activities

As SISIR exists to serve industry, the management believes in

identifying the problems and needs of industry and gearing its

resources to suit these needs.

To meet the increasing demands for applied research and technical

services and to help upgrade the level of technology of industries,

SISIR offers an integrated range of services which covers support for

innovation, specialist service work, consultancy and applied research

and development work as follows:

Consultancy ; This includes advice to industry in the

various fields as well as technical feasibility studies.

Research and Development : Research is not so much basic

research as mission-oriented, involving product and process

development and technical investigation work. Contract

Research and Development is undertaken on a problem-solving

basis and this is gradually assuming a more important role

in SISIR' s service to industry constituting 30-35%

of the total workload. In carrying out these projects, the

emphasis is on a multi-disciplinary approach whereby the

technical resources from diverse fields are pooled together

to tackle industrial problems. These services are backed by

a team of about 250 engineers, graduates, technical and

supporting staff and extensive scientific and engineering

laboratories and workshops.

162
Specialist Service Work ; Analysis, testing, calibration,

hazardous waste control, product design, quality control and

plant and process investigations.

Support for Innovation : Co-operation with industry or other

organizations in the development of new products, pilot

plant or prototype development.

SISIR's areas of operations have expanded considerably from the more

routine testing, engineering and calibration services,

standardization, quality control and technical information, to the

more innovative fields such as Instrumentation, Non-destructive

Testing, Enviroiimental Control, Food and Microbiology, and Industrial

Design.

Administratively, these activities have been organized under the

following Technical Divisions:

(1) Engineering Services

(2) Scientific Services

(3) Standards and Extension Services

with the Secretariat forming a separate division providing

administrative supporting services. The Engineering and Scientific

Services Divisions provide a combination of both testing and Research

and Development services, while at the same time they provide the

supporting facilities for various quality control schemes organized by

SISIR.

Engineering Services

This group of services are provided by four specialized sections,

namely:

(a) Mechanical/ Civil Engineering : The Section concerned conducts

tests and inspections on engineering and building materials

such as hollow blocks, cement, concrete, pipes and metals.

It also offers calibration facilities.

(b) Air Pollution : With the passing of the Clean Air Act in

1971 to keep check on industrial air pollution in Singapore,

air pollution services have assumed a new importance. Air

pollution has become a national problem and SISIR assists in the

abatement of such pollution problems through provision of

consultancy services to industries. Some of the interesting

projects include dust pollution control at granite quarries which

involve designing of suitable control systems and equipment.

163
(c) Electrical Engineering ; The Section concerned offers a comprehensive range of testing facilities for electrical products

such as ballasts, cables, fluorescent lamps, ceiling fans,

refrigerators. Besides providing testing and inspection services

to industries through SISIR's various Quality Certification

Schemes, it also undertakes the repair, calibration and maintenance of instruments.

(d) Instrumentation ; Instrumentation Service is an area established

in 1973 to provide consultancy to industries in the field of

instrumentation technology, and to undertake special development

projects. SISIR helps to calibrate and maintain equipment for

industries. It also develops and constructs custom-made

equipment for industries and government, including schools.

A Batch Production Unit has been set up to undertake the

construction of such equipment. Special services involving

instrumentation for the oil and oil exploration industries are

also available.

Scientific Services

(a) Chemical Technology ; Services provided range from technical

advice to industries on improvement of processes, quality

evaluation and miscellaneous analyses of various products

such as asphalt premix, ores, cement, floor tiles and

vitreous china sanitary ware, to testing of products under

the Government's Pioneer Status and Control of Manufacture

Schemes.

A special Paints Laboratory conducts the testing of all types

of paints, mainly emulsion, enamel and cement wall paint,

including studies on their durability and their resistance

towards attack by micro-organisms under different conditions.

The prevention of algae growth in buildings is one example of the

projects undertaken.

A Rubber Testing Laboratory has also been set up with facilities

for the testing of rubber as well as to serve the needs of the

rubber and plastic industries of Singapore,

(b) Food and Industrial Microbiology ; Besides rendering

consultancy services and conducting quality control and

regular testing of foodstuffs for firms under SISIR's

Certification and Marking Schemes, the Section undertakes

research into food technology involving the development

of new products and processes as well as in industrial

microbiology.

16A
With the aid of a Mobile Training Laboratory, the Section

is able to extend its services to the various food

establishments in Singapore and familiarize them with

modern canning and other processing techniques.

(c) Materials Science and Non-destructive Testing : This

Section offers services in the fields of acoustics and

vibration, non-destructive testing and radioisotopes

applications, besides the testing of textiles, helmets,

footwear and other products. Among these services, NDT

is a high priority area that is being further developed

by SISIR to meet the increasing demand from the shipbuilding

and repairing and building construction industries. Projects

include inspection of pipe lines and welds for shipbuilding

industries.

(d) Environmental Pollution (Water) and Trouble Shooting : To

help industries reduce and control pollution, SISIR conducts

investigations into problems of industrial effluent management

and helps devise ways and means to combat this problem. The

development work involves the design of plants and processes

for the treatment and disposal of industrial effluents and

trade wastes and the recovery or reutilization of process

materials.

Standardization and Extension Services

Quality Control and Certification : IJhile the Engineering and

Scientific Services Divisions concentrate on providing technical and

consultancy services to industry, SISIR is also simultaneously engaged

in standardization and other promotional activities which complement

the former. In helping government promote its manufacturing

industries and the image of the Singapore-made product, it is

imperative that SISIR upgrade the quality of locally made products to

international level. Then only will local products be able to compete

in quality and price with foreign goods. To achieve this, SISIR

introduced its Quality Certification Scheme in 1969 followed by the

Certification Marking Scheme in 1971. Under these Schemes, products

which are found to meet with international standards will be awarded

the SISIR Quality Certificate while products that conform to Singapore

standards V7ill be awarded a license to use the SISIR Mark.

The SISIR Mark serves as a third party assurance to consumers that the

goods have been tested and found to conform to established standards.

The Government on its part supports these Schemes by encouraging its

departments and the people at large to bviy products bearing the SISIR

Mark.

165
Establishing £ Liaison with Industry: To date a total of 115 firms are participating In the Quality Control Marking Scheme. While

serving to promote quality consciousness among firms, these Schemes

also provide a means through which SISIR engineers and scientists

could learn of the problems of Industries and thereby help provide

remedial action. To further promote quality consciousness, SISIR also

conducts training courses In quality control for both management and

factory personnel in Industry.

Recently, testing and inspection services have been extended to cover export inspection of products under the Canadian Standards Association

(CSA) Scheme. SISIR has also launched a Good-Housekeeping Scheme to

help maintain good sanitary conditions at food establishments and

upgrade their technology, SISIR also has working arrangements with

Arab, German, British, Japanese and Australian inspection authorities.

Standardization ; Tied up with the above activities, Singapore

Standards have also to be drawn up for testing of the products. In

this again, SISIR obtains active participation and support from the

Government, business and Industrial sectors. Standards are drawn up

by the various technical committees and Industry standards committees

for final approval by a Standards Council which comprises members from

Government, the manufacturing sector and various professional bodies,

A total of 126 standards have been published since 1969.

Promotion - PQR Campaign and related activities ; SISIR is a serviceoriented organization. Besides developing its technical services on

the one hand, the management realized and decided that concurrently,

promotional efforts must be stepped up to publicize SISIR and its

increasing number of activities. SISIR set about dong this in many

ways

1. The PQR Campaign

As the manufacturing and industrial sector constitutes

the major portion of its market the promotional activities

are chiefly aimed at helping them Improve their products

and making their management and workers more quality

conscious. In conjunction with the Singapore Manufacturers'

Association therefore, SISIR organized a year-long nationwide Prosperity, Quality and Reliability (PQR) Campaign in

1973 to promote quality consciousness, project an image of

quality and reliability in Singapore-made goods. Inculcate

in workers a sense of pride in their work as well as to

upgrade skills and attract investment. Activities organized

for this purpose Included courses and seminars on quality

control for senior and production personnel, Worker-of-theMonth Competition, issue of commemorative stamps and first

166
day covers depicting the PQR theme and advertising through

TV and other mass media. Promotion of quality consciousness is a continuing activity of SISIR.

2. Publications

SISIR' s quarterly bulletin - the Industrial News and Research

(INR) - keeps members abreast of the latest technological

developments in research and of SISIR' s activities. This is

supplemented by occasional write-ups on SISIR in the press.

3, Projecting the Institute's Image Abroad

To project its image abroad as well as to establish and

maintain useful contacts with overseas institutions,

senior personnel actively participate in relevant

seminars and conferences, both regional and international.

Technical Information Service and Industrial Design ; Other

promotional and extension services include Technical Information

Services and Industrial Design Services,

Technical Information; SISIR has an effective

technical information network and is able to obtain

relevant data through contacts with overseas organizations and provide an efficient Question and Answer

Service to industries. It also has a computer which

helps the section to store and retrieve the required

information. A well-stocked library serves as the

store-house of technical information to clients.

Industrial Design ; The Industrial Design Section offers

advice and services in Product Design and Packaging

which are becoming increasingly important in enhancing

the quality of products.

Staff

Experienced professional and technical staff constitute the vital

resource in a technological institute like SISIR. SISIR today has a total workforce of about 250 professional engineers and scientists and

technical supporting staff. Recognizing that expertise resides only

in man, SISIR has a very active program for staff development. This

involves the award of generous grants for research and of training

fellowships to upgrade staff capabilities. There are also available

schemes through which special staff could be taken in from time to

time to augment local expertise in the new areas. This is usually

done through bilateral agreements with foreign agencies.

167
Finance

SI SIR has an annual operating budget of around $4 (Singapore) million

($(U.S.)1,782,531) for the financial year 1974/75. Government

contracts constitute 42% of the overall operations while the remaining

58% covers the other services for industry and development operations,

SISIR is a non-profit making organization. Any excess revenue that

may be earned however is channelled to the Reserve Fund which is

utilized for research projects, staff development and further

development of SISIR.

The measure of SISIR* s success however does not rest solely on the

amount of revenue earned. Rather, its strength lies in the capability

of its highly trained experienced staff and in winning the confidence

of industry through providing them with practical solutions to their

problems. In this SISIR can be said to have done remarkably well.

The total number of jobs handled for the public and private

increased considerably both in number and in degree of sophistication.

168
NBS-114A (REV. 7-73)

U.S. DEPT. OF COMM. BIBLIOGRAPHIC DATA

SHEET

1. PUBLICATION OR REPORT NO. NBS SP-4382. Gov't Accession

No.

3. Recipient's Accession No.

4. TITLE AND SUBTITLE

TESTING AND CERTIFICATION FOR EXPORT PRODUCTS IN

INDUSTRIALIZING COUNTRIES

5. Publication Date February 1976

6. Performing Organization Code

7. AUTHOR(S)

Editors: H. Sfeffp.n Pplspr Rr.hpr^ MariHr.

8. Performing Organ. Report No. PASA TA (CE) 5-71

9. PERFORMING ORGANIZATION NAME ASfD ADDRESS

NATIONAL BUREAU OF STANDARDS

DEPARTMENT OF COMMERCE

WASHINGTON, D.C. 20234

10. Project/Task/Work Unit No.

11. Contract/Grant No.

12. Sponsoring Organization Name and Complete Address (Street, City, State, ZIP)

Agency for International Development

Department of State

Washington, D.C. 20523

13. Type of Report & Period Covered Final Report

14. Sponsoring Agency Code

15. SUPPLEMENTARY NOTES

Library of Congress Catalog Card Number: 76-608023

16. ABSTRACT (A 2 00- word or less factual summary of most si^ificant information. If document includes a significant

bibliography or literature survey, mention it here.)

A regional seminar sponsored by the Singapore Institute of Standards

and Industrial Research, the National Bureau of Standards, and the

Agency for International Development was held in Singapore in May of

1975. The participants represented most of the countries in south

Asia concerned with increasing their exports, and concentrated on

various problems connected with the testing and certification of such

exports. Most of the prepared papers reviewed the practice and

future plans of these countries. During the discussion a number of

specific problems and issues were raised, with a good deal of

attention focused on the extent to which the standards and

certification of goods by an exporting country can be and are recognized by the importer. This report includes both the prepared

papers and a mildly edited version of the discussions following each.

17. KEY WORDS (six to twelve entries; alphabetical order; capitalize only the first letter of the first key word unless a proper name; separated by semicolons) Certification; developing countries; exports; industrializing

countries; labeling; seminar; south Asia trade; testing.

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