Establishing trust in the multilateral trade system through transparency and international standards implementation monitoring

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PANEL DISCUSSION with International Organisations having signed a cooperation agreement with the OIE Establishing trust in the multilateral trade system through transparency and international standards implementation monitoring

Céline Kauffmann, Deputy Head Regulatory Policy Division Organisation for Economic Co-operation and Development OECD perspective on good regulatory practices Towards evidence-based, inclusive rule-making at domestic and international level

The importance of good regulatory practices at domestic level 2. Adhere to principles of open government, incl. transparency & participation in the regulatory process to ensure that regulation serves the public interest and is informed by the legitimate needs of those interested in and affected by regulation 4. Identify policy goals, and evaluate if regulation is necessary and how it can be most effective and efficient in achieving those goals 5. Review to ensure that regulations remain up to date, cost justified, cost effective & consistent & deliver the intended policy objectives 9. Apply risk assessment, risk management, and risk communication strategies to the design and implementation of regulations 12. Give consideration to all relevant international standards & frameworks for co-operation in the same field ( ) World Organisation for Animal Health Protecting animals, Preserving our future 3

The (trade) costs of regulatory divergences Information costs Specification costs Conformity assessment costs Other costs (not covered) Obtaining & processing information on regulatory requirements Adjusting products & services to different requirements Demonstrating compliance with requirements Costs of customs procedures (at the border) The more opaque & complexe the system, the higher the costs May include extra labour and input costs, reduced economies of scale May include costs of additional lab testing, certif, inspection, audits Costs to regulators & inspectors Source: Based on OECD (2017), International Regulatory Co-operation and Trade: Understanding the Trade Costs of Regulatory Divergence and the Remedies, OECD Publishing, Paris World Organisation for Animal Health Protecting animals, Preserving our future 4 4

International regulatory cooperation Unilateral Bilateral Regional Multilateral Adoption of good regulatory practice Adoption of international standards Formal Partnerships Mutual recognition Regulatory provisions in trade agreements Regional and multilateral platforms for cooperation among regulators Agreement or organisational arrangement, formal or informal, between countries to promote some form of coherence in the design, monitoring, enforcement, or ex post management of regulation Source: OECD (2013), International Regulatory Co-operation: Addressing Global Challenges, OECD Publishing, Paris World Organisation for Animal Health Protecting animals, Preserving our future 5

Adoption of international standards can drive regulatory convergence if they meet regulators confidence Benefits Challenges Support globalised production and markets Reduce costs for countries of their development International platforms can help anticipate on new regulatory fields Potential of standards is under exploited International dimension & appropriateness to local needs Potential quality issues Need to work with domestic regulators Need to work with international organisations World Organisation for Animal Health Protecting animals, Preserving our future 6

The partnership of international organisations for effective international rule-making Voluntary structured framework of >45 IOs for exchange of experience on effective rule-making, cross-cutting and beyond IGOs Annual plenary meetings, with rotation of hosts Working groups on 5 focus themes led by focal points (UNECE, OIE, WHO, OECD, SIECA) Academic Friends of the IO partnership: a flexible and open advisory group of some 20 dedicated academics Collection of practices through a survey exercise leading to evidence-based analytical work Studies of specific IOs World Organisation for Animal Health Protecting animals, Preserving our future 7

Key focus 1: the variety of international instruments - Soft law rather than binding agreements 0 5 10 15 20 25 30 35 40 45 50 Non-binding guidance/best practices document 47 Recommendation 43 Political declaration 29 Technical standards 23 Legally binding decision 21 Treaty for ratification by states 19 Model treaty or law 16 Source: OECD (2016), International Regulatory Co-operation: The Role of International Organisations in Fostering the Rules of Globalisation, OECD Publishing World Organisation for Animal Health Protecting animals, Preserving our future 8

Key focus 2: The development of instruments rather than on their implementation Source: OECD (2016), International Regulatory Co-operation: The Role of International Organisations in Fostering the Rules of Globalisation, OECD Publishing. World Organisation for Animal Health Protecting animals, Preserving our future 9

Focuses 3 & 4: ensuring the quality of IO instruments through stakeholder engagement and evaluation Systematically Occasionally Frequently Never 0 5 10 15 20 25 30 35 40 45 50 Opportunity for stakeholder groups to comment on proposed actions 23 14 10 3 Opportunity for the general public to comment on proposed actions 9 4 10 27 Ex ante regulatory impact assessment (including cost-benefit analysis) 8 8 15 19 Ex post evaluation of implementation and impacts 11 13 9 17 Review of the overall stock of regulatory norms in the organisation 7 13 13 17 Source: OECD (2016), International Regulatory Co-operation: The Role of International Organisations in Fostering the Rules of Globalisation, OECD Publishing. World Organisation for Animal Health Protecting animals, Preserving our future 10

Focus 5: Room for growing cooperation among IOs Exchange information Observe relevant actions of other bodies Joint meetings that provide forums for coordination MOU or other agreement Participate in co-ordinating institution Develop joint instruments 12 29 28 45 42 37 26 14 15 4 6 11 7 7 12 1 2 2 Observation Co-ordination 0 5 10 15 20 25 30 35 40 45 50 Yes Occasionally Never Source: OECD (2016), International Regulatory Co-operation: The Role of International Organisations in Fostering the Rules of Globalisation, OECD Publishing. World Organisation for Animal Health Protecting animals, Preserving our future 11

Many thanks! Background information: The Regulatory Policy Committee was created by the OECD Council on 22 October 2009 to assist countries in implementing government-wide policies to promote regulatory policy and governance. Information about OECD work on regulatory policy is available at: www.oecd.org/gov/regulatory-policy Our work on international regulatory co-operation is available at: www.oecd.org/gov/regulatory-policy/irc Contacts: celine.kauffmann@oecd.org World Organisation for Animal Health Protecting animals, Preserving our future 12

Dr Karen Bucher Project Manager OIE, Standards Department OIE s Observatory project on the implementation of OIE International Standards

The OIE contributes to a fairer rules-based trading system by supporting harmonisation of international rules to animal health and welfare. World Organisation for Animal Health Protecting animals, Preserving our future 14

How does the OIE contribute to establish trust in the multilateral trade system? International standard setting process Science-based Inclusiveness Consensus-based Transparency Mechanisms to support Members to implement OIE standards Mechanisms to establish trust between trading partners Mechanism to encourage the use of OIE standards PVS Pathway Training activities WAHIS OIE official disease status Self-declarations Observatory project Monitoring and Evaluation World Organisation for Animal Health Protecting animals, Preserving our future 15

The Observatory project - Objectives Monitoring Collection of information on the implementation of OIE standards by Member Countries Analysis Greater understanding of challenges to the implementation of standards Evaluate the effectiveness and the practicability of OIE standards Strategy Enhancement of the standard setting process. Identification of tools to help Member countries overcome the challenges Help to ensure that OIE and donors investments in capacity building meet their goals. World Organisation for Animal Health Protecting animals, Preserving our future 16

The Observatory project A challenging project (1) Stakeholder engagement What are the relevant data to monitor? Are these data available? Are these data easily accessible? Integration with existing mechanisms Monitoring How to collect these data? Confidentiality policy World Organisation for Animal Health Protecting animals, Preserving our future 17

The Observatory project A challenging project (2) Developing a robust analysis taking into account different factors such as level of development, regional specificities, etc Scientific / statistical methods Defining criteria to evaluate OIE standards : relevance, effectiveness, efficiency, practicability, etc Analysis Tracking the overall level of implementation at global level to identify challenges World Organisation for Animal Health Protecting animals, Preserving our future 18

The Observatory project A challenging project (3) Uptake of results Coordination with other international organisations Proposing solutions at international, regional and national level Strategy World Organisation for Animal Health Protecting animals, Preserving our future 19

How can OIE Member Countries contribute to establish trust in multilateral trade system? At domestic level At international level Use of international standards Consultation of stakeholders Engagement in international standardsetting procedure Notification to WTO Communication Notification to WAHIS Publication OIE official disease status Review and Evaluation Self-declarations on OIE website PVS reports on OIE website World Organisation for Animal Health Protecting animals, Preserving our future 20

Conclusions PRIORITIZATION EVALUATION The future MONITORING OIE STANDARDS IMPLEMENTATION More transparency = Better data Better standards Better implementation = More harmonisation = Lower costs Economic opportunities World Organisation for Animal Health Protecting animals, Preserving our future 21

Conclusions Benefits OIE Member Countries Private sector Civil society Donors Effective and inclusive multilateral rules-based system Increased trust between trading partners Level playing field and stable environment Increased trust in public action and multilateralism Impact assessment of investments World Organisation for Animal Health Protecting animals, Preserving our future 22

Thank you for your attention

PANEL DISCUSSION with International Organisations having signed a cooperation agreement with the OIE Establishing trust in the multilateral trade system through transparency and international standards implementation monitoring