Kenyan Exports of Nile Perch: The Impact of Food Safety Standards on an Export-Oriented Supply Chain
Over the past decade, exports of fish and fishery products from developing countries have increased rapidly. However, one of the major challenges facing developing countries in seeking to maintain and expand their share of global markets is stricte...
Main Authors: | , |
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Format: | Policy Research Working Paper |
Language: | English en_US |
Published: |
World Bank, Washington, D.C.
2013
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Subjects: | |
Online Access: | http://documents.worldbank.org/curated/en/2004/06/4986717/kenyan-exports-nile-perch-impact-food-safety-standards-export-oriented-supply-chain http://hdl.handle.net/10986/14184 |
Summary: | Over the past decade, exports of fish
and fishery products from developing countries have
increased rapidly. However, one of the major challenges
facing developing countries in seeking to maintain and
expand their share of global markets is stricter food safety
requirements in industrialized countries. Kenyan exports of
Nile perch to the European Union provide a notable example
of efforts to comply with such requirements, overlaid with
the necessity to overcome restrictions on trade relating to
immediate food safety concerns. Although food safety
requirements were evolving in their major markets, most
notably the European Union, most Kenyan exporters had made
little attempts to upgrade their hygiene standards.
Likewise, the legislative framework of food safety controls
and facilities at landing sites remained largely unchanged.
Both exporters and the Kenyan government were forced to take
action when a series of restrictions were applied to exports
by the European Union over the period 1997 to 2000.
Processors responded by upgrading their hygiene controls,
although a number of facilities closed, reflecting
significant costs of compliance within the context of excess
capacity in the sector. Remaining facilities upgraded their
hygiene controls and made efforts to diversify their export
base away from the European. Legislation and control
mechanisms were also enhanced. Hygiene facilities at landing
beaches were improved, but remain the major area of
weakness. The Kenyan case illustrates the significant impact
that stricter food safety requirements can have on
export-oriented supply chains. It also demonstrates how such
requirements can exacerbate existing pressures for
restructuring and reform, while prevailing supply and
capacity issues constrain the manner in which the supply
chain is able to respond. In Kenya most of the concerted
effort to comply with these requirements was stimulated by
the sudden loss of market access in very much a crisis
management mode of operation, illustrating the importance of
responding to emerging food safety requirements in a
proactive and effective manner. |
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