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Food trade

Exports of food and agricultural products (crops, livestock and livestock products) total over US$288 billion each year (average 2000-2002, FAOSTAT), of which about 45% originates in developing countries. The food trade is both an important source of foreign exchange earnings and a crucial component of food security.

Food safety and quality have become increasingly important in international trade over the last few years. Agreements reached during the Uruguay Round of Multilateral Trade negotiations and the establishment of the World Trade Organization (WTO) brought agriculture and food products under global trading rules for the first time. The inclusion of international food standards in the WTO's Agreement on Sanitary and Phytosanitary Measures (SPS) and the Agreement on Technical Barriers to Trade (TBT) provided a level playing field for countries involved in food and agricultural trade. The SPS and TBT Agreements have also created new opportunities for developing and transition countries to stimulate economic development through increased food and agricultural exports.

However, weak capacity seriously limits many countries from taking advantage of these opportunities. Responsibility for food safety is sometimes divided among several agencies with overlapping authority, which can lead to disjointed food safety strategies. In the most extreme cases, exports from developing country have been banned because they fail to meet food safety standards. However, even when exporters can meet the requirements of export markets and the SPS Agreement, compliance costs can be prohibitively high.

FAO's Food Quality and Standards Service is involved in a wide range of activities and programmes to meet these challenges. We support governments and food enterprises to become more competitive in international trading markets, and promote economic development through increased food and agricultural exports through:

  • Policy advice on specific issues related to food safety and trade;
  • Harmonization of food regulations and standards with Codex and other international and regional regulatory instruments;
  • Seminars and workshops to raise awareness and knowledge among officials in government agencies and the private sector about the importance of food quality and safety for food trade and economic development;
  • Support to upgrade the capacity of food analysis laboratories and inspection services so that they meet Codex standards, conform to accreditation requirements, and/or comply with other relevant international and regional trade agreements;
  • Assistance to food enterprises and exporters to obtain accreditation of their quality assurance and HACCP systems;
  • Studies and applied research on specific subjects related to food safety and trade.

 

See also

Integrated food control systems > Managing food control systems

Integrated food control systems > Good practices and quality assurance

 
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Related information

Standards and Trade Development Facility (STDF)

WTO - Sanitary and phytosanitary measures (SPS)

WTO - Technical barriers to trade (TBT)

WTO Agreements and public health: a joint study by WHO and the WTO Secretariat (2002)
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