ANSC 100

• productivity losses
• market disruptions
• livelihood risks

• Globalization
• (now more prominant than 60 years ago because we trade so much)

• The changing face of consumer demand! (what we like and when we like it)
• regulation of food safety, animal health in international trade
• Economic measures of trade and market effects

• high economic value that has increased in value and volume of amount exported in the last few years
• lots of money at stake and disruption give a giant loss

• identifies and explains why individual producers and market behave in a certain way (incentives and cost)
• Justify the need for international regulation and standard in farm animal husbandry and trade
• measure the impact of disease spread and regulation
• Advise policy makers at home and abroad about feasible solutions and way to get there

• the need to create and international body to reguklate trade in animals and meat products (control movement etc..)
• therefore the OIE was founded in 1924 by 28 countries: the world organization for animal health  (Global body that governs elements of mvmnt between countries, set standards)
• mandate: disease info system, disease surveillance and control, regulation of international trade (to allow ppl to take precautions)

• WTO- world trade organization
• governs the economics of trade (economic counterpart of the OIE) fair and equal trade
• agreement on the application of sanitary and phytosanitary measures (SPS): lays out rules of trade and trade products that can be affected by sanitary and phytosanitary issues
• Agreement on the application of technical barriers to trade (TBT)

• OIE is responsible for drafting the international animal health
• standards while the WTO lays out the economic side of rules and fair
• trade

• Tells not what to do but what not to do
• facilitate global trade in agri-food products avoid the use of SPS measures to restrict trade (close boarders)
• recognize the right to protect human, animal and plant health based on scientific background (OIE)\
• scientific evidence needed to allow SPS border measures (import restrictions, border closure etc)
• Harmonization, equivalence, transparency must be met  when implementing trade measures (=build trust)

• SPS allows countries to take measures to protect citizens against public health safey and threasts!
• AI and BSE are proven cases
• Economic literature reports widespread misuse of SPS measures to protect markets and "stabalize" prices
• Severe negative effects for countries depending on food exports, especially developing countries dependant on agri foods

• measures used to control disease outbreaks:
• -widespread culls of live animals in infected areas = costs to farmers, current/ futrue loss of income
• -vaccination of surrounding stock= added cost to healthy livestock populations
• -tight controls on animal (meat) movement domestically and international = loss of business and/or trade

• 1. Globalization of food markets makes them more vulnerable to shocls from animal disease outbreaks somewhere in the world (ie AI and BSE)
• 2. WTO and SPS Agreement, OIE surveillance and scientific evidence support fair and just regulation of livestock trade and policy measures
• 3. BUT countries also resort to domestic SPS policies to protect agi markets from foreign competition (cheaper imports)--> barrier to trade

economics shows that barriers to trade hurt exporters and importers

exporters and importers dependent on trade loose the most economically

consumer response to animal heatlh incidences can contribute to economic losses in livestock sectors

R&D, global monitoring system, technical assistance to assure fair trade competition and protection of human/ animal health