Ministry of Commerce And Supplies - Enhanced Integrated ...

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