European Economic and Social Committee

REX/177
9th Euromed Summit Agriculture and food safety

Brussels, 6 October 2004

INFORMATION REPORT
of the Section for External Relations
on
Agriculture and food safety in the context of the Euromed partnership
(Euro-Mediterranean Summit)
Rapporteur: Staffan Nilsson

REX/177 - CESE 731/2004 fin SV/WGR/KH/ym

99 rue Belliard, B-1040 Brussels. Tel. +32 (0)2 546 90 11 Fax +32 (0)2 513 48 93 Internet

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On 29 January 2004 the European Economic and Social Committee, acting under Rule 31 of its Rules of Procedure, decided to instruct the Section for External Relations to draw up an information report on

Agriculture and food safety in the context of the Euromed partnership (Euro-Mediterranean Summit).

The preparatory work was carried out by the following members and experts, in collaboration with the rapporteur and the Groups:

President:Ms CASSINA (II)

Rapporteur:Mr NILSSON (III)

Members:Mr CABRA DE LUNA (Rule 62 for Ms SIGMUND) (III)

Mr CARMENTRAN (II)

Mr CONFALONIERI (III)

Mr DIMITRIADIS (I)

Mr DONNELLY (III)

Mr KÖLTRINGER (Rule 62 for Ms HOVE) (I)

Mr LADRILLE (II)

Mr MORENO PRECIADOS (II)

Mr PESCI (I)

Ms SHARMA (Rule 62 for Ms St HILL)

Experts:Mr Roland AXELZON (for the rapporteur)

Ms Nora OURABAH (for Group III)

The group met three times, on:

–23 March 2004,

–9 June 2004,

–13 July 2004.

The section adopted the information report unanimously on 23 September 2004.

1.Summary and recommendations

1.1 The summit meeting for economic and social councils and similar institutions in the EU and the Mediterranean countries held in Malta on 6-7 November 2003 decided that the subject of one of the reports planned for the next summit would be "Agriculture and Food Safety" against the background of the Euromed partnership. The information report was drawn up by the European Economic and Social Committee (EESC) in cooperation with the Greek Economic and Social Council (OKE); the Israeli Economic and Social Committee, the Italian CNEL, the Palestinian delegation and the Turkish delegation to the Joint Consultative Committee (JCC).

1.1.1 The EU's cooperation effort with the Mediterranean countries (EU-MPC[1]) is known as the Barcelona Process, and was relaunched in 1995. The aim is to develop peace and stability, a free trade area with significant liberalisation of trade in agricultural products, development of human resources and cultural exchanges. The Barcelona Process also expressed the need for civil society to be involved in the process.

1.1.2 This is an ongoing process, carried forward through mutual agreements. The implementation instrument is an economic programme known as MEDA II, with a budget of EUR5.35 billion for the period 2000-2006. A very limited share of MEDA programme resources are allocated for the development of agriculture, the food industry and trade, which are not a political priority.

1.1.3 The focus of this information report is on Food Safety and, in part, on Food Quality, but, for the sake of clarity, it also defines other important expressions such as Food Security, Food Sovereignty, Food Traceability and HACCP.

1.1.4 The report stresses the need for Food Safety to apply throughout the various links of the food chain. Agriculture is of particular importance in the production and processing links. It is important to develop existing control mechanisms and standards.

1.1.5 Production in the Mediterranean region has many similarities in terms of the type of crops that can be grown, climate and water limitations, and so on. This information report highlights the fact that there is also a socio-economic dimension to agricultural development, as regards farmers and workers.

1.1.6 Mediterranean countries are the EU's second most important export market for agricultural and food products, the bulk of which is accounted for by cereals and dairy products. EU imports essentially comprise some 20 products, with fruit and vegetables being the most important.

1.1.7 The report highlights in various ways the need for agricultural organisations, the food industry, consumers and workers to be able to be part of the development process, and for the organisations to be strengthened and play their own independent role.

1.1.8 If the Barcelona Process is to result in a significant liberalisation of trade in agricultural products, there must be a substantial increase in initiatives and priorities.

1.1.9 Applied research, training and advice could make a positive contribution.

1.2 The following horizontal measures could support this process:

  • The EESC could harness its structure and networks to organise a conference on Cooperation for enhanced Food Safety, open to regional farmer's representatives, the food industry, and the International Federation of Agricultural Producers' (IFAP) Mediterranean Committee, to discuss cooperation issues and trade agreements. The aim would be to set up various horizontal and vertical networks.
  • Harmonisation of common quality standards for foodstuffs and trade in foodstuffs.
  • In accordance with the Barcelona Process objectives, provide agricultural, farming and farming industry-related organisations with access to the EU's MEDA programme for technical cooperation with civil organisations.
  • Support coordination between farmers in the South, and for capacity building for regional and South-North cooperation.
  • Quality assurance work through ISO standards in order to create fairer conditions for international business accords and agreements.

1.2.1 In order to achieve the desired development and results for food production and Food Safety, it is recommended that a number of areas should be identified and explored:

  • an advice and training needs update for farmers and workers;
  • the need for research in cooperation with GFAR[2] and its network organisations;
  • the need for financial support and development loans for agricultural holdings and the processing industry;
  • the need for advice and training in the fields of transport, processing and distribution;
  • production and marketing advice on organic products;
  • support and development of consumer organisations and consumer information.

1.3 A basic premise for all the above is that they should be a political priority for the Barcelona Process objectives, so that the MEDA programme can also create the right climate for agricultural development and food safety. The MEDA programme should be the main instrument for economic development. This requires very different decisions to those that currently apply.

2.Foreword and background

2.1 The "Euro-Mediterranean Partnership" signifies the cooperation between the EU and the other countries bordering on the Mediterranean Sea. Following the recent enlargement, this cooperation involves the existing 25Member States of the EU together with the partner countries Morocco, Algeria, Tunisia (Maghreb countries), Egypt, Israel, Jordan, the Palestinian Authority, Lebanon, Syria (Mashreq countries) and Turkey. Libya has observer status and will become a full participant when the relevant agreement is ratified. Former EU President Romano Prodi met President Muammar Gaddaffi on 27February 2004. The joint message which emerged from this meeting was that Libya will start to play a full part in the Barcelona Process as soon as possible.

2.2 Cooperation received fresh impetus from the agreement reached at the meeting of foreign ministers held in Barcelona in 1995. The agreement marked a new stage in cooperation and includes bilateral, multilateral and regional cooperation.

2.3 The declaration issued by the foreign ministers' meeting, known as the Barcelona Declaration, has three main pillars:

  • to establish an area of peace and stability based on fundamental principles of respect for human rights and democracy;
  • to develop a free trade area between the EU and the partner countries and between the partner countries themselves (economic and financial partnership);
  • to develop human resources and promote understanding between different cultures and traditions (social, cultural and human partnership).

2.3.1 One of the objectives of the Barcelona process is to establish free trade in industrial goods between the EU and the partner countries by 2010. For agricultural products, the objective is a significant increase in free trade. Such a market will be the largest in the world following EU enlargement, with up to 800 million consumers. Achieving this goal will involve building on the association agreements between the EU and the partner countries. Such an agreement has been signed with Turkey, and negotiations on agreements have been completed with Tunisia, Morocco, Israel, Jordan, Egypt, Algeria and Lebanon. Some of these have also been ratified: with Tunisia, Morocco, Jordan, Israel and on an interim basis with the PLO on behalf of the Palestinian Authority. Negotiations are underway with Syria.

2.4 The MEDA programme, which provides technical and financial support, is the EU instrument for implementing the partnership. Prior to 1995, initiatives were carried out by means of technical cooperation protocols. The first MEDA programme, MEDA I, was launched with the Barcelona Process, and covered the period 1995-1999. The MEDA II programme has a budget of EUR 5.35 billion for the period 2000-2006. Available funds have not been exploited to the full due to reasons such as the lack of administrative resources and the way the programme was designed.

2.4.1 There are currently 16 agricultural projects altogether. Nine of these date from before 1995, and six of them will expire in 2004 in Morocco, Egypt and Tunisia. In 2004 two new projects are to start in Egypt and Lebanon. No new initiatives are planned for the coming years. Agri-food initiatives are not a MEDA programme priority, and are not deemed to be strategically useful by policymakers.

2.5 The Barcelona Declaration also expressed for the first time the need for civil society to be involved in the process and thereby make an important contribution to improving understanding and rapprochement between peoples. In the declaration, the conference of ministers gave the EESC the task of developing links with the 27 interested countries' economic and social interest groups and of acting as a motor for cooperation between the EU and the Mediterranean countries. Since 1995 the EESC has helped to organise summit meetings for economic and social councils and similar institutions.

2.6 On 27 November 2003, the 27 Ministers of Agriculture met for the first time in the framework of the EU partnership. The final declaration underlined the importance of proceeding with the liberalisation of trade in agricultural products up to 2010. The meeting also had on its agenda a discussion on food safety. The Agriculture Ministers particularly stressed quality and safety questions, the development of environment-friendly agriculture, and water issues. It was proposed that a project on quality issues and ecological methods be set up in the framework of the Council's MEDA programme with the purpose of ascertaining any possible approximation to EU standards.

2.7 The conclusions of the Euro-Med foreign ministers' meeting of 5-6 May 2004 in Dublin confirmed the decisions taken by the agriculture ministers, stressing that the objective was to achieve a free trade area – including for agricultural products – by 2010. They also covered non-trade matters such as rural development, organic farming and geographical indications.

2.8 This information report will be presented for discussion at the next summit meeting of Economic and Social Councils and similar institutions in Valencia in November 2004. As part of the final preparations, the report was discussed at a hearing involving various organisations in Istanbul, Turkey, on 13 July 2004. At the meeting, the EU Commission representative reported on ongoing projects in Turkey, particularly in relation to a new Food Law as part of a Food Safety Programme. The question of accessible, accredited test laboratories was discussed. Turkish producers expressed particular concern and resistance to the use of GMOs. The report was also presented and discussed with representatives from various organisations during an EESC delegation trip to Syria and Jordan, with a view to boosting attendance at the Valencia meeting.

2.9 The aim of the document is to help raise awareness of the importance of all Food Safety and Food Quality issues and how they inter-relate. Hopefully, this information report will add to our understanding of important consumer requirements, the need for farmers, farmers' organisations, the food industry and stakeholder employees to be involved and trained, and the importance of environmental protection. Another important objective is to avoid using requirements and expressions to create trade barriers, but rather to provide information about the different parts of the food chain so that trade can be facilitated and knowledgeable active players can enjoy the benefits of competition.

3.Introduction - important concepts

3.1 Food safety is a general term, which needs to be defined in its various contexts. The following six terms are in common use:

–"Food Safety" denotes food chain quality requirements, based on hygiene rules, freshness and quality.

–"Food Security" gives information on the food supply's fitness for use, its stability and accessibility.

–"Food Quality" denotes a product's content, its special features.

–"Food Sovereignty" covers the right of people and countries to determine for themselves their own agricultural and food policy.

–"Food Traceability" denotes a system with the ability to trace materials from raw material source to finished product and from finished product back to raw material source. This is often known as "from farm to fork". Such documentation provides for traceability throughout the various production stages.

–“HACCP (Hazard Analysis Critical Control Points)" is a food safety control system. HACCP provides a systematic, comprehensive, fully implemented and maintained control system for potential hazards and critical control points. It is supported with monitoring procedures, records and evaluations cross-referencing with relevant legislation, codes of practice and guidelines. It is a legal requirement within the European processing industry to prove due diligence and protect the consumer at all times.

3.2 All the above six concepts are closely interconnected. This report, which deals with production of and the market for foods, concerns mainly Food Safety and Food Quality. However, this does not mean that a discussion of the right to a national agricultural and food policy is regarded as less important. It means, rather, that the two expressions are essential to achieving both safety and quality.

3.3 "Food safety" cannot, of course, be considered in isolation. It is linked with all the questions concerning agriculture and the whole food supply chain. Better expertise and guidance, along with better trained and better informed players, can also give direct benefits in terms of production yield, supply and economic results. Above all, however, it will give agriculture a better chance of supplying people with good, safe food whether the supply is for themselves, for the local market or for export.

3.4 Different requirements and rules also make demands on the trade in food. It is also a fact that food safety has received increased global attention through scandals, food scares and infectious diseases which can sometimes also be directly transmitted to human beings. Rules and standards must be compatible with established WTO rules, and be based on scientific facts.

3.4.1 Certain international conventions in connection with GATT/WTO agreements play a special part in ensuring that Food Safety rules are commensurate with scientifically established risks:

–TBT – Agreement on Technical Barriers to Trade, in which WTO members have the right to establish technical and quality standards, and which lays down, but also restricts non-discriminatory principles.

–SPS – Agreement on Sanitary and Phyto-Sanitary Measures, which lays down rules to protect humans, animals and plants, while respecting the need to avoid distortions of competition.

–The Codex Alimentarius Standards, which are referred to when applying the SPS. They were established by the Member States and the Joint FAO/WHO Committee, and are intended to bring together best practice in an international "Food Code" comprising food production standards, guidelines and recommendations. These have sometimes been interpreted as representing maximum rather than minimum rules.

4.Production of and trade in agricultural products in the Mediterranean area

4.1 Agriculture plays a very important role for the countries of the Mediterranean and is an important factor in macroeconomic stability in the southern Mediterranean area. Employment in the sector is generally high. The agricultural sector employs up to 35-40% of all workers in countries such as Turkey, Egypt and Morocco, and between 25-35% in many others, whereas a few countries have considerably lower agricultural employment figures: Lebanon and Israel 3%, Libya 6% and Jordan 11%, according to the available FAO country statistics[3].

4.2 While structure – i.e. the number of agricultural holdings and their size – varies in terms of tradition, economy and geographical features, it does tend to be on a small-scale. To put it simply, it can be said that there are two different types of agricultural holding: one run by farmers for their own needs or for a very limited local market; and one in which farmers are more commercially-oriented, producing for both the domestic and export markets. This report focuses chiefly on production intended for the market, whether domestic or export.

4.3 Every year the EU-25 shows a major shift towards fewer agricultural holdings, but with an increase in production and acreage. Consequently, total output remains unchanged. The Mediterranean Partner Countries (MPCs) also show the same trend in the way agricultural employment figures are developing. Over the last 20 years, several countries have halved the number of workers employed in agriculture, although the process is slower in those countries that still have a large proportion of agricultural workers.

4.4 There is no denying that agriculture is closely linked to rural development. Many MPCs have high unemployment, and any further agricultural restructuring from smaller to larger holdings with fewer workers would, in the short term, lead to even more unemployment and rural flight to towns and cities. Consequently, there is also a social dimension to rural development.

4.5 The agricultural production of southern EU countries and MPC countries around the Mediterranean basin is, in many ways, similar. The region has a fairly uniform climate. Water supply for human consumption and for agricultural production is restricted. Heavy droughts hit the area from time to time. MPC agriculture is estimated to use at least two-thirds of the available water supply. The water issue is the single most important factor in food production. In some partner countries, voluntary organisations play an important role in devising water-use methods and solutions.