Failure to grasp and comply with the technical requirements of the importing country will create "potholes" for businesses on the export path.

Dragon fruit waiting to be irradiated for export to the US. Photo: N.H.

"One bad apple spoils the bunch"

At the conference to disseminate SPS regulations in the EVFTA and RCEP Agreements held last weekend, information on the number of notifications and draft notifications of food safety and animal and plant disease safety (SPS) measures from many key markets with a high increase has raised many issues to ponder. Notably, the European market sent 57 notifications to Vietnam in the first 6 months of 2024, while there were only 67 notifications in the whole year of 2023.

Notably, the majority of the warned shipments weighed less than 1 ton. Dragon fruit alone had 7 shipments weighing from 444kg to 1.8 tons; chili had nearly 10 shipments weighing from 38 to 6.37 tons and Europe has increased the frequency of inspections for these two items. It can be said that, in terms of the total export volume of agricultural products and food of Vietnam, the violating shipments only account for a small proportion, but just one shipment being warned can affect the entire industry. The story of “one bad apple spoiling the barrel” is not new, but it has left many valuable lessons in recent times.

The project "Improving the effectiveness of the implementation of WTO SPS and SPS commitments within the framework of FTAs" aims to have 70% of technical regulations on the quality of agricultural, forestry and fishery food safety in harmony with international standards by 2025; 80% of key commodities and markets will have developed a handbook to guide compliance with SPS measures; 100% of localities will have completed contact points for questions and answers on market SPS regulations; and the National SPS Information Portal will be completed. The target by 2030 is that the rate of national standards and national technical regulations on the quality of agricultural, forestry and fishery food safety equivalent to international standards will reach 100%; 100% of food safety management officers and animal and plant quarantine officers at all levels will be trained and updated annually on professional knowledge.

Ms. Hoang Thi Lien, President of the Vietnam Pepper and Spice Association, also admitted that with small-scale production, farmers and businesses have not fully grasped the standards of the import market, so the pepper and spice industry still has some limitations. Recently, businesses have been warned by the EU for some indicators related to drug residues, microorganisms, heavy metals, etc.

Ms. Nguyen Thi Hong Hoa, Department of Quality, Processing and Market Development (NAFIQPM) also informed that Vietnam's seafood shipments are often warned by the EU about the increase in antibiotic chemicals and Vietnam has not yet overcome the "yellow card" in the regulations on combating illegal, unreported and unregulated (IUU) fishing. The EU has high requirements for food safety, including imported seafood, and requires certification and control along the entire production chain.

Mr. Ngo Xuan Nam, Deputy Director of the Vietnam SPS Office, pointed out that exporting enterprises have not really complied with the regulations of importers because the MRL (regulations on pesticide residues) for each active ingredient in each country is different. This requires in-depth research and understanding of science and technology. In addition, according to previous habits, producers in some places do not have measures and plans to use pesticides, antibiotics, and fertilizers in accordance with instructions. For example, a survey in Thua Thien - Hue in 2020 showed that 95% of shrimp farming households used antibiotics.

The responsibility for inspection and supervision is also a reason for the increase in the number of warnings. Mr. Nam said that the monitoring rate of growing area codes and packaging facilities has not been achieved. For example, durian is only monitored in 52% of growing areas and 47% of packaging facilities. Vietnamese law also does not have strong enough regulations and sanctions to handle violations of food safety.

Know to comply

Mr. Luong Ngoc Quang, Department of International Cooperation and Communications, Plant Protection Department, said that quarantine measures are introduced by countries to prevent dangerous pests or food safety hazards, while avoiding risks at ports in the importing country, promoting customs clearance speed. Each country has its own regulations on plant safety and quarantine standards. Compliance helps export goods to be accepted in the importing country, avoiding warnings or import restrictions.

According to Mr. Quang, Vietnam's largest export market in RCEP is China, which requires negotiations to open up each type of product and sign a protocol. Exporting enterprises must register according to Orders 248 and 249, and declare the growing area code and packaging facility. Meanwhile, the EU is particularly concerned about pesticide residue levels. For pesticides for which an MRL has not been established by the EU and which are not in the database, a default level of 0.01 mg/kg will be applied.

Mr. Dang Phuc Nguyen, General Secretary of the Vietnam Fruit and Vegetable Association, acknowledged that if the technical barriers of importing countries are not fully understood and complied with, they will turn into “potholes” for enterprises on the export path, and can even wipe out efforts in opening the market, which is very difficult and arduous. Therefore, understanding and complying with the regulations of each market is the only way for goods to be exported smoothly.

Ms. Hoang Thi Lien also recommended that, in addition to monitoring and updating information on the websites of the State data management agency, enterprises should pay attention to the SPS website from the EU to update information on all products. From there, enterprises can refer to shipments with the same competitive advantages from countries that have been warned to learn from experience. In the case of Vietnamese shipments being warned, Ms. Lien proposed that there should be more effective coordination between the focal management agency, enterprises, and associations to handle issues such as returned shipments, difficulties of enterprises related to SPS...

According to Mr. Ngo Xuan Nam, the Project "Improving the effectiveness of WTO SPS implementation and SPS commitments within the framework of FTAs" was approved by the Prime Minister on June 19, 2024. In parallel with the project implementation, there needs to be synchronous participation of growing and breeding areas; enterprises, packaging and processing facilities; industry associations; management agencies and localities. Along with that, the Central management agency needs to strengthen negotiations to remove difficulties with importing countries on SPS measures; sign and upgrade FTAs; promote market opening; build a database and regularly update food safety measures in key export markets. At the same time, update the regulations of importing countries to promptly disseminate to agencies and units for appropriate adjustments; Enhance the compilation and publication of documents and handbooks on technical standards, food safety, SPS regulations of the Chinese, EU, Korean markets, etc.

Source: Hai Quan Online Newspaper