Lima, 17 November 2016 – A thicket of costly red tape,
opaque administrative processes and arbitrary food-trade rules pose a risk to the
lasting food security of the three billion people in the APEC region, a new
study commissioned by the APEC Business Advisory Council suggests.
ABAC
commissioned the report, entitled ‘Non-Tariff
Barriers in Agriculture and Food Trade in APEC: Business Perspectives on
Impacts and Solutions’, from the University of Southern California’s
Marshall School of Business. It draws on
interviews with over four hundred business people, experts and officials from
around the region.
“Food insecurity
exacerbates the misery of stagnating global economic growth,” said Juan Raffo,
ABAC Chair for 2016. “Food security is a
fundamental building block of lasting and inclusive prosperity for our region.”
“Food trade is a
critical part of the food security equation.
It helps to match up supplies of safe, nutritious and affordable food
with demand from around the region. But
this study shows that NTBs and other forms of protectionism mean that food
trade is more difficult and expensive than it should be,” Mr Raffo added.
The study found
that non-tariff measures, including NTBs, are increasing in prominence and
complexity. NTBs include opaque rules, arbitrary standards
that are not based in science, and Customs and other import procedures that are
slow, costly and excessive. The research
showed that these barriers can raise food prices, undermine food quality, impact
on food availability and impose extra burdens on small businesses.Over half the
businesses interviewed considered that the trading environment for food and
agriculture products remains highly restrictive.
The report stressed the need for a concerted and sustained effort across many fronts to address NTBs. “This study suggests that what’s needed is greater transparency, clearer timeframes and better processes for food trade before, at and behind borders. Measures should be designed to avoid impeding trade. Greater harmonization or mutual recognition of standards for labelling and food safety would help. Digital channels hold a lot of promise, too,” Mr Raffo added.
“APEC economies have a big task ahead of them in addressing these NTBs,” commented Mr Raffo. “But the business community is committed to helping deliver lasting food security in partnership with governments, for the benefit of all,” he concluded.
ABAC was created by APEC Leaders in 1995 to be the primary voice of business in APEC. Each economy has three members who are appointed by their respective Leaders. They meet four times a year in preparation for the presentation of their recommendations to the Leaders in a dialogue that is a key event in the annual Leaders Meeting. ABAC was created by APEC Leaders in 1995 to be the primary voice of business in APEC.
For further information please contact:
Ms. Jessica Luna, ABAC Executive Director 2016, Tel: (511) 625 7700, Email: jluna@comexperu.org.pe
Mr. Antonio Basilio, Director, ABAC Secretariat, Tel: (63 2) 845 4564, Email: abacsec@pfgc.ph
