Trade Related Technical Assistance (TRTA) Interventions :

The TRTA/UNIDO programmed component undertook the following surveys and studies to determine the compliance challenges and constraints affecting exports from Pakistan with a view to instituting effective trade capacity building to alleviate the problem. 

Pakistan’s Agro-based Exports and SPS Compliance


 The Doha Round has opened global trade opportunities for both the developed and developing countries. However, sanitary and phytosanitary (SPS) issues have emerged as significant potential obstacles as other trade policy barriers are reduced under the WTO regime. Hence, the World Bank and UNIDO agreed with the Government of Pakistan to carry out a diagnostic exercise to identify problems, discuss policy options and propose priorities for public and private sector actions as well as regulatory and institutional adjustments for managing SPS standards.

Consequently, the World Bank and UNIDO joined their forces and produced, as joint product of the two institutions, a report entitled Pakistan’s Agro-based Exports and SPS Compliance focusing on horticultural products, fisheries and meat/livestock. UNIDO did the fisheries section of the report as well as other parts relevant to the fisheries sector. 


Trade Related Challenges Facing Exporters in Pakistan

The United Nations Industrial Development Organization (UNIDO) in cooperation with the Federation of Pakistan Chamber of Commerce and Industry (FPCCI) initiated the survey on Trade Related Challenges Facing Exporters in Pakistan. The main purpose of the survey was to identify the constraints faced by Pakistani exporters in meeting technical requirements of foreign markets, and focused on the four major export sectors of textile, leather, fisheries and agro-food processing.  The survey covered 157 selected enterprises in all regions of Pakistan and was undertaken by Pakistan Institute of Development Economics (PIDE).

The draft survey report was reviewed in cooperation with the University of Guelph, Ontario, Canada and finalized by PIDE.  The report entitled Trade Related Challenges Facing Exporters in Pakistan was published in April 2007.  The report analyzes the exporting behavior of firms and the challenges pertaining to supply side, standards capacity and trading policy.  It then provides possible options to alleviate them. 


Compliance Issues Affecting Enterprise Cluster in Punjab Province of Pakistan



UNIDO in collaboration with the Pakistani Small and Medium Enterprises Development Authority (SMEDA) and the UNIDO Cluster Development Programme initiated a cluster-based study aimed at identifying the needs of the following clusters in the Punjab region in addressing quality and conformity assessment issues and requirements:

•   Textile Cluster (Faisalabad)
•   Garments Cluster (Lahore)
•   Fan Cluster (Gujranwala)
•   Cutlery Cluster (Wazirabad)
•   Sporting Goods Cluster (Sialkot)
•   Mangoes Cluster (Multan)
•   Tangerine Cluster (Sargodha)

The study was completed and the report entitled Compliance Issues Affecting Enterprise Clusters in Punjab Province of Pakistan was published in August 2007. The main recommendations of the study pointed out the importance of creating awareness amongst exporters, value realization through branding, strengthening of sector specific laboratory infrastructure, specifically in the Mango (Multan), Cutlery (Wazirabad) and Tangerine (Sargodha) clusters, and disseminating information on the role and support to be provided by Government institutions such as PSQCA, PNAC, PCSIR, NPSL, PARC in meeting foreign buyers compliance requirements. The report also emphasized the relevance of facilitating timely access to testing, calibration and certification services and upgrading local safety and product performance standards to bring them at par to international requirements.

Metrology and Calibration

Manufacturing enterprises and testing laboratories in Pakistan need reliable and credible source to calibrate the instruments used to measure, produce and test export products. Hence, UNIDO under TRTA programme initiated, in cooperation with the Ministry of Science and Technology, Government of Pakistan, various activities to build the capacities of National Physical and Standards Laboratory (NPSL), which is the custodian of the national physical standards of measurement in Pakistan.

The support provided to NPSL by TRTA/UNIDO included:

•    The building modification work required at NPSL was assessed and the physical layout of work space in each metrology laboratory was established.
  
  
•    The conceptual designs for environmental conditioning system (ECS) of NPSL metrology laboratories for mass, dimensional, volume, pressure, temperature and electrical quantities including the TOR for the ECS were developed.
  
  
•    The installation of the environmental conditioning system (ECS) was completed and the six NPSL metrology laboratories complying with international good practices were commissioned.
  
  
•    A list of initial metrology equipment needed by NPSL was compiled in respect of the metrological quantities and measurement laboratories required for upgradation.
•    E1 Class Weights (national reference standard for mass) and state-of-the-art Mass Comparator were procured and supplied to NPSL. 

•    The quality documentation of NPSL were reviewed and presentations on quality issues were given to NPSL technical staff.

•    Skills development of senior management staff of NPSL through study tours abroad to acquaint them with ECS and operations of other metrology institutes in developing and developed economies.

Standards create common understanding and criteria on products and processes facilitating trade relations. In Pakistan, overall responsibility of standard
setting and certification lies with the Pakistan Standards and Quality Control Authority (PSQCA). The capacity building support provided to PSQCA under TRTA/UNIDO programme included:

• Technical advice in establishing a Consumer Liaison Office at PSQCA with a view to enhancing the participation of consumers in standards setting, comparative product testing and market surveillance.

• Technical advice in strengthening standardization and product certification activities of PSQCA and development of its business plan. 

• Support in establishing a National Enquiry Point (NEP) on standards and technical regulations at PSQCA enabling it to function as WTO national notifying body on standards and related subjects.

• Support in enhancement of PSQCA to participate expeditiously and effectively in international standardization work through development of the IT infrastructure of PSQCA and its linkage with the ISO system for online access to ISO work and information system. 

• Technical support in establishment and operation of a System Certification Center (SCC) at PSQCA.

• Skills development of management and technical staff of PSQCA through foreign training and study tours abroad. 

 CE Marking

CE marking gives access into the European market. It applies to certain manufactured products regulated by health, safety and environmental protection legislations in the EU.  The TRTA/UNIDO interventions included:

• Creating awareness among industry, government, and policy makers in
  CE marking through conduct of awareness workshop on CE marking.

• Development of strategy for CE marking scheme in Pakistan

• Training of staff drawn from cutlery, fan, sports goods, surgical instruments and home appliances manufacturing industries in development of technical documentation and Declaration of Conformity for CE marking.

• Expert advice in application of CE marking to 5 pilot companies producing home appliances, sporting goods and surgical instruments

Accreditation of Eighteen Testing Laboratories

• Pakistani exporters had to test their products abroad for international recognition of compliance, which was costly and time consuming. Such foreign testings were not only expensive but contributed to delays in receipt of test results thereby affecting adversely delivery times for exports from Pakistan. UNIDO/TRTA upgraded key testing laboratories to meet the requirements of ISO 17025 and attain international recognition of their testing services through provision of the following interventions: 

• Expert advice on laboratory layout and testing activities
• Elaboration of quality and technical documentation
• Local and foreign training of laboratory staff
• Provision of reference material, cultures and technical literature
• Participation of laboratories in proficiency Testing Schemes
• Initial and extraordinary assessments
• Accreditation to ISO 17025       

• Consequently, a total of 18 testing laboratories (6 microbiology testing,
  7 chemical testing, 3 textile testing, 2 leather testing laboratories and
  1 electrical testing laboratory) achieved internationally recognized accreditation to ISO 17025 for main testing services required by exporters. These accredited testing laboratories include the following: 

Pakistan Council of Scientific & Industrial Research (PCSIR), Lahore

• Microbiology Testing Laboratory
• Textile Testing Laboratory
• Leather Testing Laboratory
• Electrical Measurement & Testing Laboratory

Pakistan Council of Scientific & Industrial Research (PCSIR), Karachi

• Microbiology Testing Laboratory
• Chemical Testing Laboratory (Food Section)
• Chemical Testing Laboratory (Pharmaceutical Section)
• Chemical Testing Laboratory (Environment Section)
• Textile Testing Laboratory
• Leather Research Centre of PCSIR, Karachi

            Pakistan Standards and Quality Control Authority (PSQCA), Karachi
                  -     Microbiology Testing Laboratory

            Marine Fisheries Department (MFD), Karachi

• Microbiology Testing Laboratory
• Chemical Testing Laboratory

           Grain Quality Testing Laboratory - SARC, Karachi
                  -      Chemical Testing Laboratory

           Grain Quality Testing Laboratory - NARC, Islamabad

• Microbiology Testing Laboratory
• Chemical Testing Laboratory

           Pakistan Council of Research on Water Resources (PCRWR), Islamabad
                  -    Microbiology Testing Laboratory
                  -    Chemical Testing Laboratory

            National Textile University (NTU), Faisalabad
                  -     Textile Testing Laboratory

   Assessment of Laboratories for Accreditation to ISO 17025

Today, internationally accredited testing laboratories in Pakistan ensure that suppliers, buyers and consumers can have confidence in the safety and quality of goods exported from Pakistan

Accreditation Infrastructure in Pakistan

The Pakistan National Accreditation Council (PNAC) is the national agency for accreditation of conformity assessment bodies such as laboratories, certification bodies and inspection agencies. The TRTA/UNIDO interventions to strengthen PNAC included the following: 

• Assessment of the structure and operations of PNAC and drawing up recommendations to strengthen its capabilities to achieve international recognition. 

• Development of a Master Plan of PNAC outlining the capacity development needs of PNAC and areas of TRTA interventions.

• Capacity building in laboratory accreditation by conducting a series of technical and assessor courses in ISO 17025, where a pool of technical assessors in the priority areas of microbiology, chemical, textile, leather and electrical testing including metrology (calibration) laboratories were developed.

• Development of a pool of Pakistani laboratory assessors, from among those who passed the ISO 17025 Assessor Course examination, through attachments as observer trainees during the course of assessments of the Pakistani laboratories by the foreign Accreditation Body.

• Capacity building in accreditation of certification bodies through training of PNAC staff in ISO Guide 62 by UK Accreditation Services (UKAS).  The training was targeted to enable PNAC to develop its own systems and practices for accreditation of certification bodies operating in Pakistan.

• Capacity building in accreditation of inspection bodies through training of PNAC staff in ISO/IEC 17020 at RVA in the Netherlands. The training at RVA enabled the acquisition of knowledge and skills in elaboration of technical documentation required for PNAC operations relating to accreditation of inspection bodies.

• Capacity building in management of National PT Scheme through training of PNAC staff at the Proficiency Testing Australia (PTA) in Australia. The scope of the training covered topics and practicals, which would be useful to PNAC in establishing and managing a National PT Scheme in Pakistan as per the requirements of ISO Guide 43.

The activities outlined above were designed to eventually lead PNAC towards international recognition of its accreditation operations through
conclusion of Mutual Recognition Arrangements (MRAs) with International Laboratory Accreditation Cooperation (ILAC) and International Accreditation Forum (IAF).

 ISO 17025 Assessor Course

The Marine Fisheries Department (MFD), which operates within the Ministry of Food Agriculture & Livestock is responsible for ensuring management and development of fishery resources as well as inspection and certification of exports for compliance with international requirements. The MFD acts as the EU designated Competent Authority (CA) in Pakistan. The support that UNIDO provided, within the framework of the EU funded TRTA programme, to the fisheries sector consisted of:

• Development of a comprehensive Inspection Manual in accordance with international practice for purposes and use of MFD as the EU designated Competent Authority.

• Upgrading and accreditation of the microbiology and chemical testing laboratories of MFD by providing technical advisory services and provision of equipment, training and participation in PT schemes.

• Trainings in Standard Operating Procedures (SOPs), Good Manufacturing Practices (GMP), Good Hygienic Practices (GHP) and Hazard Analysis Critical Control Points (HACCP) and Traceability methods to staff of MFD, KFHA, FCS and fish processing plants.

• Training of fishermen, boat owners, mole holders and auction hall operators in SOPs (Urdu) and good operational management practices along the entire fisheries chain.

• Technical advice for improvement of fishing boats and landing sites.

• Technical advice and designs for upgradation of auction halls, K-1 and
  K-2, operating under Karachi Fisheries Harbour Authority (KFHA) and Fishermen’s Cooperative Society (FCS)

• Expert guidance in application of SOPs and Traceability methods along the fisheries supply chain to ensure good hygiene practices in handling of fisheries products and traceability from fishing at sea to processing for export.

• Expert guidance in development of HACCP Plans for fish processing plants and application of HACCP practices by processors.

• Provision of hand-held PC compatible traceability instruments to fish processing plants to record traceability of fisheries products processed for export. 
• Conduct of studies on value chain analysis and SPS mapping in the fisheries sector.
  
  

TRTA/UNIDO Support to Fisheries Sector