Greening Trade in Viet Nam
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GREENING TRADE IN VIET NAM Edited by Dr. Veena Jha UNITED NATIONS 2 GREENING TRADE IN VIET NAM Note Symbol of United Nations documents are composed of capital letters combined with figures. Mention of such a symbol indicates a reference to a United Nations document. ! ! The designations employed and the presentation of the material do not imply the expression of any opinion whatsoever on part of the Secretariat of the United Nations concerning the legal status of any country, territory, city or area, or of its authorities, or concerning the delimitation of its frontiers or boundaries. Similarly the views expressed in the papers of this volume do not necessarily reflect the opinions of the organisations to which the authors are affiliated in Viet Nam, nor to the UN or its member states. ! ! Material in this publication may be freely quoted; acknowledgement, however, is requested (including reference to the document number). It would be appreciated if a copy of the publication containing the quotation were sent to the Editorial assistant, UNCTAD, Division on Globalization and Develop- ment Strategies, Palais des Nations, CH-1211 Geneva 10. Analytical studies on Trade, Environment and Development UNCTAD/DITC/TED/8 UNITED NATIONS PUBLICATION Published on 8.6.2001 Copyright @ United Nations. 2001 All rights reserved GREENING TRADE IN VIET NAM 3 PREFACE T he project on “Trade, Environment and Development: Policy Im- plications for Viet Nam” (VIE/98/036), funded by UNDP, was jointly imple- mented by UNCTAD and the Directorate for Standards and Quality (here- inafter STAMEQ). The project was designed to enhance understanding of trade and environment linkages, with a view to facilitating Viet Nam’s integration into the global economy. In order to meet this objective, infor- mation has been collated regarding the impact of environmental require- ments on trade, and the impact of trade regulations on the environment. This project builds on two earlier events that provided important inputs to the project, namely: # A Workshop on Trade and Environment organised in Ha Noi in April 1998 by STAMEQ, in collaboration with UNCTAD; and # The Conference on International Trade and Environment, organised in Ha Noi in April 1999 by the project on Strengthening the Environmental Management Authority of Viet Nam (SEMA), implemented by the National Environment Agency (NEA) with the financial support from the Swedish International Development Agency (Sida). In exploring the challenges and opportunities in moving towards greater integration of trade and environment policies, two interesting aspects have been brought to light. The first is the use of traditional knowledge in Viet Namese medicine and the second is the practice of different forms of or- ganic agriculture in Viet Nam. Both issues are of key interest to Viet Nam and have also generated a lot of interest at the international level. One of the mandates originating from the tenth session of the United Nations Conference on Trade and Development was to study ways to en- hance the income-generating capacity of traditional knowledge holders, by ensuring that the commercial benefits of traditional and herbal medi- cines accrue to developing countries where to a large extent they origi- nate. The commercial exploitation of alternative systems of medicine is likely to yield substantial gains. These systems environment- and health- friendly require a whole package of measures. Through the course of the project and through intensive discussions on these issues, the contours of such policy initiatives may be emerging. Similarly, in the case of organic agriculture, the project tried to link up with ongoing initiatives to develop a scheme for a wider initiative on the promotion of organic food. A pilot scheme on ISO 14000 was already in operation, and the present project makes some recommendations on the basis of the lessons learnt from its implementation. 4 GREENING TRADE IN VIET NAM The experiences acquired from the project has led to suggestions for the formulation of various policy initiatives and their implementation, which are included in this volume. Lessons learnt from other countries have also provided valuable inputs. It is hoped that these suggestions will be de- bated and used by the relevant government bodies, as they have been developed in consultation with all levels of government and the private sector. It is equally hoped that this volume will be of value to the donor community, working in similar areas in Viet Nam. The book also identifies areas for further work, especially as regards traditional medicine and organic agriculture. This may be particularly in- teresting to the Governments and the donor community, as the sugges- tions for future work are backed by substantive research. Almost all the articles contained in this book have been written by local researchers, consistent with the capacity-building objectives of UNCTAD, UNDP and the Government of Viet Nam. National consult- ants, have put in a commendable effort, without which the book would not have seen the light of the day. Mr. Edouard A. Wattez Dr. Bui Manh Hai Mr. Rene Vossenaar UN Resident Coordinator Vice-Minister, Chief, TED, DITC, UNDP Resident Representative Ministry of Science. UNCTAD, Geneva Viet Nam Technology and Environment Viet Nam GREENING TRADE IN VIET NAM 5 ACKNOWLEDGEMENTS A ll the authors and the different Ministries, the provincial govern- ments, staff members of UNDP, UNCTAD and IUCN are gratefully ac- knowledged in facilitating the conduct and finalisation of the studies con- tained in this volume. Special mention should be made of Mr. Hugh Benevides (B.A., LL.B.) who copy edited the entire volume and made language corrections as well as gave valuable comments on all the papers contained in the volume. He was a legislative assistant to the Chairman of Canada’s House of Commons Standing Committee on Environment and Sustainable Development, where a major focus was amendment of the Canadian Environmental Protection Act. Being an environment specialist as well as an eminent scholar in his own right, this book benefited greatly by his inputs. The untiring efforts of Ms.Anne Vehvilainen of UNDP, Ms.Nicole Casellini of IUCN, and Mr.Tran Van Hoc of STAMEQ in com- piling this book is also gratefully acknowledged. The overall guidance provided by Ms. Nguyen Ngoc Ly, Unit Head, Environment and Natural Resources Unit of UNDP, Viet Nam was valuable through out the book. Ms.Jayashri Mahesh helped in not only coordinating this exercise, but also in putting together the whole book, contacting the authors, the printer and in keeping the whole exercise moving smoothly. 6 GREENING TRADE IN VIET NAM LIST OF ABBREVIATIONS AI Active Ingredient AFA F Agro-Forestry AFTA ASEAN’s Free Trade Area APEC Asia-Pacific Economic Community ASEAN Association of South East Asian Nations BCSB C S Microbial Rodenticide BPHB P H Brown Planthopper BT Bio Technology CBDC B D Convention on Biological Diversity CIEM Central Institute for Economic Management CTE Committee on Trade and Environment DAP A Fertilizer DATD A T Days After Treatment DBMD B M Diamond Back Moth DMD M Deutsche Mark DRVN Democratic Republic of Viet Nam ECO-ECO Ecological Economy EHS Environment Health and Safety EME M Environment Management EMSE M S Environmental Management System EUE U European Union FAOF A O Food and Agriculture Organisation FDI Foreign Direct Investment FFS Farmers Field School FPR Farmers’ Participatory Research FYMF Y M Farm Yard Manure GATS General Agreement on Trade in Services GATT General Agreement on Tariffs and Trade GCG C Guide Committee GDPG D P Gross Domestic Product HCMCH C M C Ho Chi Minh City HDI Human Development Index IFOAM International Federation of Organic Agriculture Movements IK Indigenous Knowledge IMF International Monetary Fund IPC Inter-country Programme GREENING TRADE IN VIET NAM 7 IPM Integrated Pest Management IPRs Intellectual Property Rights ISO International Standards Organisation IUCN The World Conservation Union JVs Joint Ventures KC1 A Fertilizer LDCs Least Developed Countries LUC DIEP TO A fertilizer M.DM . D Million Viet Namese Dong MARM A R Maximum Allowed Residue MARD Ministry of Agriculture and Rural Development MEAM E A Multilateral Environment Agreements MFNM F N Most Favoured Nation MOSTE Ministry of Science, Technology and Environment MRAs Mutual Recognition Agreements MRLM R L Maximum Residue Level NEAN E A National Environment Agency NGOs Non Governmental Organisations NICN I C Newly Industrialised Countries NIPP National Institute for Plant Protection NO3N O 3 Nitrates NPKN P K Nitrogen, Phosphorous and Potassium NPVN P V Other Nitrates NTN T National Treatment OAO A Organic Agriculture ODAO D A Official Development Assistance PBRs Plant Breeders Rights PCP C Phytosanitary Certificate PEOP E O President’s Executive Order PGRP G R Plant Genetic Resources PIC Prior Informed Consent PPDP P D Plant Protection Department PPMs Production and Process Methods PPSD Plant Protection Sub-Department R&DR & D Research and Development S&T Science and Technology SAPP Safe Agriculture Pesticide Programme SAP Safe Agriculture Program 8 GREENING TRADE IN VIET NAM SCMS C M Subsidies and Countervailing Measures SCUS C U Specific Commodity Understanding SEMA Strengthening of the Environment Management Authority of Viet Nam SMEs Small and Medium Enterprises SOES O E State Owned Enterprises SPS Sanitary and Phytosanitary Measures SPUS P U Safe Pesticide Use STAMEQ Directorate for Standards and Quality SVP Safe Vegetable Production