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The New Food Safety Regime in the US: How Will it Affect Canadian Competitiveness

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  • Nakuja, Tekuni
  • Akhand, M.
  • Hobbs, Jill E.
  • Kerr, William A.

Abstract

The Food Safety Modernization Act (FSMA) which was signed into law in January, 2011 represents a major initiative to improve food safety in the US. The legislation mandates the US Food and Drug Administration with developing a regulatory system to implement the Act. As yet, the full effect of the Act cannot be evaluated because the regulatory requirements are yet to be developed. There is little doubt, however, that those firms, both domestic and foreign, that wish to supply US consumers with food will face a considerable increase in regulatory costs. This paper outlines the major requirements of the FSMA and suggests how the regulatory burden may fall on foreign versus US domestic suppliers. Areas where Canadian firms may be disadvantaged relative to US firms are outlined. Opportunities that may arise from the FSMA for Canadian agri-food firms are discussed, as are the areas where the FSMA may not conform with the international trade commitments of the United States.

Suggested Citation

  • Nakuja, Tekuni & Akhand, M. & Hobbs, Jill E. & Kerr, William A., 2011. "The New Food Safety Regime in the US: How Will it Affect Canadian Competitiveness," Commissioned Papers 116847, Canadian Agricultural Trade Policy Research Network.
  • Handle: RePEc:ags:catpcp:116847
    DOI: 10.22004/ag.econ.116847
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    References listed on IDEAS

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    1. Unknown, 2006. "Agrifood Regulatory and Policy Integration Under Stress," 2005 NAAMIC Workshop II: Agrifood Regulatory and Policy Integration under Stress 252451, North American Agrifood Market Integration Consortium (NAAMIC).
    2. C. J. Bruce & W. A. Kerr, 1986. "A Proposed Arbitration Mechanism to Ensure Free Trade in Livestock Products," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 34(3), pages 347-360, November.
    3. Sawka, Alison L. & Kerr, William A., 2010. "Challenging US Country of Origin Labelling at the World Trade Organization: The Law, The Issues and The Evidence," Commissioned Papers 95806, Canadian Agricultural Trade Policy Research Network.
    4. William A. Kerr & James D. Gaisford (ed.), 2007. "Handbook on International Trade Policy," Books, Edward Elgar Publishing, number 3521.
    5. Jill E. Hobbs & William A. Kerr, 1992. "Costs of monitoring food safety and vertical coordination in agribusiness: What can be learned from the British Food Safety Act 1990?," Agribusiness, John Wiley & Sons, Ltd., vol. 8(6), pages 575-584.
    6. Kerr, William A., 2004. "Homeland Security and the Rules of International Trade," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 5(1), pages 1-10.
    7. Kerr, William A. & Cullen, Susan E. & Sommerville, Margot F., 1986. "Trade Barriers and the Western Canadian Livestock Industry," Working Papers 243934, Agriculture and Agri-Food Canada.
    8. Anonymous & Meilke, Karl D. & Knutson, Ronald D. & Ochoa, Rene F. & Rude, James, 2005. "Agrifood Regulatory and Policy Integration Under Stress," 2005 NAAMIC Workshop II: Agrifood Regulatory and Policy Integration under Stress 163858, North American Agrifood Market Integration Consortium (NAAMIC).
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    Cited by:

    1. Nakuja, T. & Kerr, William A., 2013. "Protectionism or Legitimate Regulations: What can Trade Partners Expect from the New US Food Safety Regime?," Commissioned Papers 165920, Canadian Agricultural Trade Policy Research Network.
    2. Nakuja, Tekuni & Kerr, William A., 2013. "Was Food Safety Declining?: Assessing the Justification for the US Food Safety Modernisation Act," Commissioned Papers 145969, Canadian Agricultural Trade Policy Research Network.

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    Keywords

    Agribusiness; Agricultural and Food Policy; Food Consumption/Nutrition/Food Safety; International Relations/Trade;
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