Thursday, August 26, 2010

WTO Panel Report Submitted in Australia Apples Case

WTO Panel submitted report in the Australian Apples case, where Newzealand lodged a complaint against the phytosanitary measures practised by Australia against the imported apples from Newzealand. On March 2007, the Australia’s Director of Plant and Animal Quarantine had stated that the importation of apples from Newzealand should be subject to the Quarantine Act of 1908 and ‘final import risk analysis report for apples’ from Newzealand, brought out in November 2006. Newzealand had claimed that Australia’s policy was violative of the Sanitary and Phytosanitary Agreement. Though attempts were sought to initiate panel discussions in 2007, ultimately the constitution of the panel saw the light of the day on January 2008. The nature of the dispute along with the panel’s decision to seek expert scientific and technical advice in accordance with Article 11 of the SPS Agreement and Article 13 of DSU consequently resulted in the delay of more than 2 years from the normal timeline of six months. The panel report that was circulated on August 9, 2010 addressed 16 phytosanitary measures used by Australia as not based on proper risk assessment and thereby inconsistent with article 5.1 and 5.2 of the SPS Agreement and by implication inconsistent with Article 2.2 of SPS Agreement, which requires maintaining of SPS measures based on scientific principles. Out of the 16 measures, 13 are pest-specific ones and the panel found those measures as trade restrictive and inconsistent with Article 5.6 of the SPS agreement. The latest reports say that Australia will appeal against the ruling.

Ann Thania Alex
LL.M. IInd year
NALSAR, Hyderabad