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Appendix 3Updated Legislative Action Plan for SPS, January 2010N T I S2010Table A3.1Updated Legislative Action Plan for SPS, January 2010No.Laws/Regulations/AdministrativeDecisionsWTO AgreementStatus of Draft/Intended ActionsExpectedApprovalDatePresent status tillDecember 200915.Plant ProtectionAct 1972(Amendment)Agreement on theApplication of Sanitary andPhyto-Sanitary MeasuresPreparation of draft amendment byJune 2004Endorsement by Council of Ministersby January 2005April 2005New Plant Protection Act enactedon September 13, 200716.Plant ProtectionRegulation 1975(Amendment)Agreement on theApplication of Sanitary andPhyto-Sanitary MeasuresPreparation of draft amendment bySeptember 2005Adoption by Council of Ministers byDecember 2005EnactedDecember2005Final Stage in the MoLJCAA16aRegulations underthe new PlantProtection Act of13 September2007Agreement on theApplication of Sanitary andPhyto-Sanitary MeasuresPreparation of regulations completedand still awaiting adoption by Councilof Ministers as of January 2010Not knownUnder consideration by Councilof Ministers17.Instrument ofInternationalPlant ProtectionConvention (IPPC)Agreement on theApplication of Sanitary andPhyto-Sanitary MeasuresEndorsed by Council of Ministers inAugust 2002December2005Approved membership since May8, 2006.18.Seed Act 1998(First Amendment)Agreement on theApplication of Sanitary andPhyto-Sanitary MeasuresEndorsed by Council of Ministers inAugust 2002August2004Amended on January 24, 200819.Decision on theestablishment ofEnquiry PointsAgreement on Sanitary andPhyto-Sanitary MeasuresGeneral Agreement onTariffs and Trade 1994Submission of proposal by WTODivision, MoICSby April 2003Adoptionby MoICS by June 2003June 2003MoAC maintains all the SPScontact pointsDFTQ control has beendesignated as an enquiry pointfor SPS and CODEX( January 1, 2004)DLS is the OIE contact pointDoA is the IPPC contact point20.EnvironmentAct 1997(Amendment)GeneralPreparation of draft amendment byMoPE by December 2004Endorsement by Council of Ministersby July 2005September2005Under consideration in MoEST24.Plant ResourcesAct*Agreement on Trade-Related Aspects ofIntellectual Property RightsEndorsed by Council of Ministersin 2002December2003MoFSC is going to initiate thetask43.Food Act 1966 –new replacementlawAgreement on theApplication of Sanitary andPhyto-Sanitary MeasuresPreparation of Draft Law/Amendmentwith Technical Assistance from FAOin 2004. The current Food Act hasbeen amended four times since1966 and there are 105 regulationsattached to itNot knownThere have been severalrevisions to the new draft FoodAct since 2004, which havedelayed its submission to thelegislative process44.Animal Healthand Livestock Act1998Agreement on theApplication of Sanitary andPhyto-Sanitary MeasuresPreparation of amendments by theMoAC, DLSNot knownPreliminary draft prepared andstill under discussion internally atthe MoAC/DLSNepal VeterinaryCouncil Act 2055(2000)Agreement on theApplication of Sanitary andPhyto-Sanitary MeasuresPreparation of amendments by theMoAC, DLSNot knownPreliminary draft prepared andstill under discussion internally atthe MoAC/DLSNEPAL TRADE INTEGRATION STRATEGY 2010BACKGROUND REPORT301

N T I S2010Appendix 4Good Agricultural Practices, Food Safety and Quality Management Systemsin the Context of Third Party Certification of Nepalese Food ExportsA. IntroductionThe most significant issue facing export of the potential agro-food exports identified in Chapter 2, namelycardamom, ginger, honey, lentils, tea (green and black), and uncooked pasta, is pesticide residue limits.Although a number of studies refer to a ‘problem’ of pesticide residues in Nepalese crops, there is reasonableevidence that, for the listed crops, the actual pesticide practice in Nepal is not necessarily a significant issue.However, demonstration of compliance with an internationally accepted standard is difficult at present, whichcurrently requires consignment testing of tea, honey, and lentil exports.A visit was made to smallholders in the Kathmandu Valley to identify quality, food safety, and other standardsrelatedchallenges and recommend the most appropriate practices and recommend a programme of technicalassistance (TA) for developing third party certification for agro-food exports from Nepal.B. Problem StatementIntroducing GAPs (such as GLOBALGAP) and Hazard Analysis and Critical Control Point (HACCP)-based systemsand certification into Nepal’s exports, so as to provide demonstration of compliance with importing countrystandards, requires trained staff, and come at a significant cost. Therefore, there must be both necessaryhuman resources and business case to obtain necessary certification. A further problem is the highlyfragmented nature of Nepalese agriculture. Quite simply it is not practical to individually certify large numbersof small farmers – a problem exacerbated when the traded product is aggregated and marketed without cleartraceability/provenance.Solutions to the SPS problem go beyond the technical issues and move into the realm of farmer organization,motivation, knowledge extension, and finance. These are socioeconomic rather than technical issues and inthe Nepalese context significantly lag behind technical knowledge and solutions. An important point thatcannot be made too often is that implementation of GAPs needs an economic driver. This can come in theform of a business and/or economic case, e.g. through better market access and thus potentially higher pricesand/or the delivery of a public good such as safer food. In the context of this study, it has not been possibleto look at a cost-benefit case for delivery of either improved marketing of safe food and/or higher prices.However, it is necessary for Nepal to look at the future in which compliance with world standards for foodsafety is merely a matter of when and not if. This appendix outlines a possible road map for attaining the finalobjectives through the phased introduction of a combination of public and market-driven GAPs. However,implementation of full GAPs is not all cost, as is discussed briefly in Appendix 7.C. Technical Best Practice in Food Safety: Quality Management Systems (QMS)in the Farming of Fresh ProduceThe risk of microbiological, pesticide, and gross contamination of agricultural produce is the major driverbehind the development of Quality Management Systems (QMS) for agro-food companies. A QMS sets outthe necessary policies, procedures, and recording systems in place to meet the requirements that a produce issafe and meets legal requirements for trade. Legal and technical requirements are identified in the QMS andthe necessary management information is provided. Controls of operations are through the application of a302NEPAL TRADE INTEGRATION STRATEGY 2010BACKGROUND REPORT

Appendix 3Updated Legislative Action Plan for SPS, January 2010N T I S2010Table A3.1Updated Legislative Action Plan for SPS, January 2010No.Laws/Regulations/AdministrativeDecisionsWTO AgreementStatus <strong>of</strong> Draft/Intended ActionsExpectedApprovalDatePresent status tillDecember 200915.Plant ProtectionAct 1972(Amendment)Agreement on theApplication <strong>of</strong> Sanitary andPhyto-Sanitary MeasuresPreparation <strong>of</strong> draft amendment byJune 2004Endorsement by Council <strong>of</strong> Ministersby January 2005April 2005New Plant Protection Act enactedon September 13, 200716.Plant ProtectionRegulation 1975(Amendment)Agreement on theApplication <strong>of</strong> Sanitary andPhyto-Sanitary MeasuresPreparation <strong>of</strong> draft amendment bySeptember 2005Adoption by Council <strong>of</strong> Ministers byDecember 2005EnactedDecember2005Final Stage in the MoLJCAA16aRegulations underthe new PlantProtection Act <strong>of</strong>13 September2007Agreement on theApplication <strong>of</strong> Sanitary andPhyto-Sanitary MeasuresPreparation <strong>of</strong> regulations completedand still awaiting adoption by Council<strong>of</strong> Ministers as <strong>of</strong> January 2010Not knownUnder consideration by Council<strong>of</strong> Ministers17.Instrument <strong>of</strong>InternationalPlant ProtectionConvention (IPPC)Agreement on theApplication <strong>of</strong> Sanitary andPhyto-Sanitary MeasuresEndorsed by Council <strong>of</strong> Ministers inAugust 2002December2005Approved membership since May8, 2006.18.Seed Act 1998(First Amendment)Agreement on theApplication <strong>of</strong> Sanitary andPhyto-Sanitary MeasuresEndorsed by Council <strong>of</strong> Ministers inAugust 2002August2004Amended on January 24, 200819.Decision on theestablishment <strong>of</strong>Enquiry PointsAgreement on Sanitary andPhyto-Sanitary MeasuresGeneral Agreement onTariffs and Trade 1994Submission <strong>of</strong> proposal by WTODivision, MoICSby April 2003Adoptionby MoICS by June 2003June 2003MoAC maintains all the SPScontact pointsDFTQ control has beendesignated as an enquiry pointfor SPS and CODEX( January 1, 2004)DLS is the OIE contact pointDoA is the IPPC contact point20.EnvironmentAct 1997(Amendment)GeneralPreparation <strong>of</strong> draft amendment byMoPE by December 2004Endorsement by Council <strong>of</strong> Ministersby July 2005September2005Under consideration in MoEST24.Plant ResourcesAct*Agreement on Trade-Related Aspects <strong>of</strong>Intellectual Property RightsEndorsed by Council <strong>of</strong> Ministersin 2002December2003MoFSC is going to initiate thetask43.Food Act 1966 –new replacementlawAgreement on theApplication <strong>of</strong> Sanitary andPhyto-Sanitary MeasuresPreparation <strong>of</strong> Draft Law/Amendmentwith Technical Assistance from FAOin 2004. The current Food Act hasbeen amended four times since1966 and there are 105 regulationsattached to itNot knownThere have been severalrevisions to the new draft FoodAct since 2004, which havedelayed its submission to thelegislative process44.Animal Healthand Livestock Act1998Agreement on theApplication <strong>of</strong> Sanitary andPhyto-Sanitary MeasuresPreparation <strong>of</strong> amendments by theMoAC, DLSNot knownPreliminary draft prepared andstill under discussion internally atthe MoAC/DLSNepal VeterinaryCouncil Act 2055(2000)Agreement on theApplication <strong>of</strong> Sanitary andPhyto-Sanitary MeasuresPreparation <strong>of</strong> amendments by theMoAC, DLSNot knownPreliminary draft prepared andstill under discussion internally atthe MoAC/DLSNEPAL TRADE INTEGRATION STRATEGY 2010BACKGROUND REPORT301

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