South Africa has initiated a dispute with the World Trade Organisation over phytosanitary trade regulations imposed by the European Union on SA citrus. Picture: Zanele Zulu / Independent Newspapers
South Africa has initiated a dispute with the World Trade Organisation (WTO) over regulations imposed on South African citrus by the European Union (EU).
This is according to an announcement by the Department of Agriculture, Land Reform and Rural Development (DALRRD) and the Department of Trade, Industry and Competition (DTIC).
The DALRRD and the DTIC said that South Africa has requested consultations with the EU in the World Trade Organisation in relation to phytosanitary trade regulations on Citrus Black Spot (CBS) imposed on SA citrus by the EU.
CBS is a fungal infection that can result in cosmetic blemishes on the affected fruit.
The DALRRD and the DTIC said that despite scientists proving that CBS cannot be transmitted through the actual fruit as a pathway, the EU has continued to enforce measures on South African citrus growers.
The National Agricultural Marketing Council has cited the sanitary and phytosanitary regulations as a major challenge for South African agricultural exporters.
Thoko Didiza, Minister of DALRRD said that currently, the industry cannot afford the almost R2 billion that is needed to comply with the EU’s restrictive trade regulations.
Justin Chadwick, the CEO of the Citrus Growers Association of Southern Africa (CGA) stated that “the industry welcomes government's actions and the industry is hoping for efficient resolution of the matter in view that the consultations are initiated as this year's citrus export season commences”.
Chadwick said that projections show that if all industry stakeholders come together, the industry will be able to produce an additional 100 million 15kg cartons over the next eight years.
"This can create 100,000 more jobs and generate an additional R20 billion in annual revenue, but this potential will surely be lost if the EU market narrows," he said.
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