7. The costs for an audit shall be borne by the importing Party unless the Parties agree otherwise.
8. A measure taken as a consequence of an audit shall:
(a) be proportionate to the risk or risks identified;
(b) be supported by objective evidence which shall be provided to the exporting Party on request;
(c) take into account the importing Party's knowledge of, relevant experience with, and confidence in, the exporting Party; and
(d) not be more trade restrictive than necessary to achieve the importing Partyâs appropriate level of protection.
9. The Parties shall:
(a) each ensure that procedures are in place to prevent the disclosure of confidential information that is acquired during the audit process; and
(b) jointly determine how and to whom any report is made available.
Article 5.10. Trade Conditions
1. Neither Party shall use sanitary and phytosanitary measures to disrupt existing trade in a commodity, except in accordance with Article 5.8 (Risk Analysis) or Article 5.11 (Emergency Measures).
2. The importing Party shall make available its general sanitary and phytosanitary import requirements for all commodities.
3. For the purposes of establishing the specific sanitary and phytosanitary import requirements, the exporting Party shall, at the request of the importing Party:
(a) provide all relevant available information required by the importing Party; and
(b) give reasonable access to the importing Party to conduct an audit of the approval procedures undertaken by the exporting Party, in accordance with Article 5.9 (Audit).
4. Where a risk assessment is required to enable the commencement of trade in a new commodity, the importing Party shall avoid unnecessary or unduly burdensome information requests. An information request shall be limited to what is necessary and shall take into account information that may already be available to the importing Party. The importing Party shall, within a reasonable period of time following the date of receipt of the required information for importing the product, make available the risk assessment it conducts as part of the approval procedure.
5. Without prejudice to Article 5.11 (Emergency Measures), Article 5.12 (Import Checks and Fees), and Article 5.9 (Audit), the importing Party shall:
(a) accept the inspection and official controls applied by the exporting Party for trade; and
(b) where it has sanitary and phytosanitary approval processes for establishments or facilities for commodities within the scope of this Chapter, accept without subsequent processes, those establishments or facilities that are approved by the exporting Party for trade.
6. Except as provided for in Article 5.7 (Recognition of Pest Freedom), each Party shall apply its phytosanitary import conditions to the entire territory of the other Party where the same pest status prevails.
7. With regard to import requirements for plants and plant products, each Party shall follow the principles set out in the relevant ISPMs developed under the IPPC.
8. Without prejudice to Article 5.11 (Emergency Measures), the importing Party shall not refuse or prevent the importation of a commodity of the exporting Party solely for the reason that it is undertaking a review of its sanitary or phytosanitary measure if the importing Party permitted the importation of that commodity of the other Party when the review was initiated.
Article 5.11. Emergency Measures
1. A Party shall notify the other Party of an emergency sanitary or phytosanitary measure as soon as possible after its decision to implement the measure and no later than 24 hours after the decision has been taken.
2. Ifa Party requests technical consultations pursuant to Article 5.17 (Technical Consultations) to address the emergency sanitary or phytosanitary measure, the technical consultations shall be held as soon as possible, and in any case within 14 days of the request. In addressing the emergency measure, the Parties shall consider any information provided through the technical consultations.
3. The importing Party shall provide its objective and rationale for its emergency sanitary or phytosanitary measure at the request of the other Party.
4. The importing Party shall consider the information, which was provided promptly by the exporting Party, when it makes its decision with respect to a consignment that, at the time of adoption of the emergency sanitary or phytosanitary measure, is being transported between the Parties.
5. If the importing Party applies an emergency measure, it shall commence a science-based review of the measure as soon as possible. The importing Party shall then review the need for the emergency measure as required and if it remains in place provide, on request, the justification for maintaining the emergency measure.
Article 5.12. Import Checks and Fees
1. The importing Party shall have the right to carry out import checks based on the sanitary and phytosanitary risks associated with imports. These checks shall be carried out without undue delay and with minimum trade disrupting effects.
2. If import checks reveal non-compliance with the relevant import requirements, the action taken by the importing Party shall be based on an assessment of the risk involved and not be more trade restrictive than required to achieve the importing Party's appropriate level of protection.
3. A Party may collect fees for the costs incurred to conduct import checks, which shall not exceed the recovery of the costs.
Article 5.13. Official Certification
1. In respect of phytosanitary certification for plants and plant products and other regulated articles (4), each Party shall apply the principles laid down in ISPM No. 7 Export Certification System and ISPM No. 12 Guidelines for Phytosanitary Certificates.
2. The SPS Sub-Committee established under Article 30.9 (Sub-Committees - Institutional Provisions) may agree to specify further guidance, procedures, and requirements in relation to export certification.
3. The Parties shall promote the implementation of electronic certification to facilitate trade and deter fraud.
4. The Parties recognise:
(a) their existing laws and regulations do not require certification for trade in low risk food commodities within the scope of this Chapter; and
(b) the introduction of a new certification requirement for trade in these low risk foods would be based on a risk assessment.
5. Nothing in paragraph 4 shall preclude a Party from requiring phytosanitary certification for trade in food within the scope of this Chapter.
Article 5.14. Cooperation on Antimicrobial Resistance
1. The Parties recognise that AMR is a serious threat to human and animal health and that the agricultural and aquaculture sectors are capable of contributing to this health threat.
2. The Parties recognise that the nature of the threat requires a transnational and multidisciplinary approach, acknowledging the interdependencies between animal health, human health, food safety, food security, and the environment.
3. The Parties shall explore initiatives to promote the reduction or prohibition of unnecessary use of antibiotic agents in the rearing of animals for food production.
4. For the purposes of this Article, "unnecessary use" means any use of antibiotic agents in animals other than use which is necessary for safeguarding animal health, when there is no effective alternative option such as:
(a) availability of an effective vaccine;
(b) availability of an effective alternative treatment;
(c) improved animal management systems; or
(d) improved infection prevention and control measures.
5. The Parties acknowledge that:
(a) their respective strategies and policies are designed to deliver comparable outcomes in reducing the development and spread of AMR; and
(b) protecting the efficacy of antibiotic agents that are critical to human and animal treatment and health are a core focus of their respective AMR strategies.
6. Consistent with the Parties' commitments in this Article and the serious threat presented by AMR, the Parties shall promote collaboration in all relevant multilateral fora, in particular in the OIE, the Food and Agriculture Organization of the United Nations, and the Codex.
7. The Parties shall facilitate the exchange of information, expertise, data on AMR surveillance, and experiences in the field of combatting of AMR, and identify common views, interests, priorities, and policies in this area with the aim of implementing this Article.
8. The exchange of information, experiences, and expertise under paragraph 7 may include exchanging information which would support the implementation of national action plans, such as:
(a) guidelines for veterinarians and animal producers and experiences or expertise in the application of these guidelines;
(b) experiences with quality assurance programmes for antimicrobial stewardship; and
(c) where appropriate, information on their respective domestic approaches to harmonisation of surveillance and data collection.
9. The Parties shall cooperate in (5) and follow, where practical and economically feasible, existing and future guidelines, standards, recommendations, and actions developed in relevant international organisations, initiatives, and plans, aiming to promote the prudent and responsible use of antimicrobial agents.
10. The Parties shall support the implementation of agreed international action plans (6) and strategies on AMR.
11. Any working group established under paragraph 2 of Article 30.2 (Functions of the Joint Committee - Institutional Provisions) relating to AMR shall be composed of government representatives of each Party responsible for AMR matters and act as a forum for cooperation under this Article.
12. Any working group relating to AMR shall address matters referred to it by the SPS Sub-Committee and make recommendations to the SPS Sub-Committee on these matters. In cases where the working group is unable to agree on a recommendation, the working group shall report this fact to the SPS Sub-Committee.
Article 5.15. Transparency, Notification, and Information Exchange
1. Each Party shall promptly notify the other Party of a:
(a) significant change to pest status; and
(b) significant food safety issue related to a product traded between the Parties.
2. The Parties shall exchange information on other relevant issues including:
(a) changes to a Party's sanitary and phytosanitary measures that may affect trade between the Parties;
(b) significant changes to the structure or organisation of a Party's competent authority;
(c) on reasonable request, information on matters related to the development and application of sanitary and phytosanitary measures, including the progress concerning newly available scientific evidence that affects, or may affect, trade between the Parties with a view to minimising their negative effects; and
(d) any other pertinent information for the adequate implementation of this Chapter.
3. Unless the SPS Sub-Committee decides otherwise, when the information referred to in paragraphs 1 and 2 has been made available via notification to the WTO or to the relevant international standard-setting body, in accordance with its relevant rules, or on publicly available websites of the Parties, the requirement in those paragraphs is deemed to be fulfilled.
4. In addition, and with regard to plant pests:
(a) the Parties shall exchange relevant information on the pest status in their territory in accordance with applicable standards agreed under the IPPC;
(b) the Parties shall, at the request of the other Party, provide the justification for pest categorisation and related phytosanitary measures;
(c) each Party shall establish and update a list of regulated pests for products for which a phytosanitary concern exists. The list shall contain:
(i) the quarantine pests that are not present within any part of its territory;
(ii) the quarantine pests present but not widely distributed and under official control; and
(iii) where applicable, the regulated non-quarantine pests.
Article 5.16. Technical Working Groups
1. A technical working group established under paragraph 2 of Article 30.2 (Functions of the Joint Committee - Institutional Provisions) shall function on an ad hoc basis.
2. Technical working groups shall be co-chaired by expert level representatives of the Parties and shall address matters referred to it by the SPS Sub- Committee and make recommendations to the SPS Sub-Committee on these issues. In cases where a technical working group is unable to agree a recommendation, the technical working group shall report this fact to the SPS Sub-Committee.
3. A technical working group, when addressing an issue agreed by the SPS Sub-Committee in accordance with paragraph 2, may:
(a) engage, at the earliest appropriate stage, in technical exchange and cooperation regarding these issues;
(b) consider any sanitary or phytosanitary measure or set of measures within the scope of this Chapter identified by a Party that is likely to affect, directly or indirectly, trade, and provide technical advice with a view to facilitating the resolution of specific trade concerns relating to that measure or set of measures;
(c) serve as a forum to facilitate discussion and consideration of specific risk assessments and possible risk management options;
(d) provide an opportunity for the Parties to discuss developments relevant to the work of the technical working group; and
(e) report to the SPS Sub-Committee on progress of work. A technical working group may recommend to the SPS Sub-Committee that it be continued or dissolved.
Article 5.17. Technical Consultations
1. In the event that a Party considers that a measure or draft measure within the scope of this Chapter, or its implementation, is inconsistent with this Chapter, it may, through its contact point, request that technical consultations be held.
2. Unless the Parties agree otherwise, the technical consultations shall be held as soon as possible and, in any case, within 30 days of the request. Consultations may be conducted by electronic or any other means, as mutually determined by the Parties.
3. The purpose of technical consultations is to share information and increase mutual understanding, with a view to resolving any concerns about the specific measure that is the subject of the consultations within a reasonable period of time.
4. If the Parties have already established other mechanisms than those referred to in this Article to address the concerns, they shall make use of them to the extent practicable in order to avoid unnecessary duplication.
Article 5.18. Sanitary and Phytosanitary Measures Sub-Committee
1. The SPS Sub-Committee established under Article 30.9 (Sub-Committees - Institutional Provisions) shall be composed of the responsible competent authorities of each Party. Any SPS Sub-Committee decision shall be made by mutual agreement of the representatives of the Parties.
2. The functions of the SPS Sub-Committee within the scope of this Chapter include serving as a forum:
(a) to monitor the implementation of this Chapter, to consider any matter related to this Chapter, and to examine all matters which may arise in relation to its implementation;
(b) to provide direction for the identification, prioritisation, management, and resolution of issues;
(c) to consider any request by a Party to modify the modalities of import checks;
(d) to provide a regular forum to exchange information that relates to each Party's regulatory system; and
(e) to maintain a written record of the discussions between the Parties on their work and decisions made by the SPS Sub-Committee.
3. The SPS Sub-Committee may, within the scope of this Chapter, among other matters:
(a) identify opportunities for greater bilateral engagement, including the temporary exchange of competent authority officials;
(b) discuss, at an early stage, a change or proposed change to a measure being considered;
(c) promote cooperation between the Parties on sanitary and phytosanitary issues under discussion in multilateral fora, including the WTO SPS Committee, the Codex, and the IPPC, as appropriate;
(d) identify and discuss, at an early stage, regulatory initiatives that would benefit from cooperation;
(e) refer any relevant matter to a working group or technical working group reporting to it under this Chapter;
(f) consider any recommendation or report from a working group under paragraph 12 of Article 5.14 (Cooperation on Antimicrobial Resistance);
(g) consider any recommendation or report from a technical working group under paragraph 2 of Article 5.16 (Technical Working Groups) in order to reach a resolution that is mutually acceptable to the Parties; and
(h) consider any recommendation from a technical working group under paragraph 4 of Article 5.16 (Technical Working Groups) and make a recommendation to the Joint Committee that a technical working group be continued or dissolved.
4. A Party may refer any matter within the scope of this Chapter or Chapter 6 (Animal Welfare) to the SPS Sub-Committee. The SPS Sub-Committee shall consider the issue as expeditiously as possible.
5. If the SPS Sub-Committee is unable to resolve an issue expeditiously, including an issue relating to any recommendation or report from a working group or technical working group reporting to it under this Chapter, it shall, at the request of a Party, report promptly to the Joint Committee.
6. Recognising that the Joint Management Committee established under Article 16 of the Sanitary Agreement (the "Joint Management Committee") may have relevant knowledge or experience in relation to matters which may arise between the Parties in relation to the implementation of this Chapter or Chapter 6 (Animal Welfare), the SPS Sub-Committee may:
(a) invite the participation of members of the Joint Management Committee in its meetings;
(b) exchange information with the Joint Management Committee which arises under this Chapter or Chapter 6 (Animal Welfare) and may be relevant to the implementation of the Sanitary Agreement; and
(c) receive reports from and consider information shared by the Joint Management Committee in relation to any matter that may arise under the auspices of the Sanitary Agreement which may affect the implementation of this Chapter or Chapter 6 (Animal Welfare).
7. The functions of the SPS Sub-Committee shall also include supervision of the working group reporting to it under Chapter 6 (Animal Welfare) and, in this regard, the SPS Sub-Committee may:
(a) refer any relevant matter to the working group reporting to it under Chapter 6 (Animal Welfare);
(b) consider any report, recommendation, or matter referred to it by the working group reporting to it under Chapter 6 (Animal Welfare);
(c) report any matter referred to it under subparagraph (b) to the Joint Committee; and
(d) consider any other implementation matter within the scope of Chapter 6 (Animal Welfare).
8. Unless the Parties agree otherwise, the SPS Sub-Committee shall meet and establish its terms of reference, work programme, and its rules of procedure no later than one year following the date of entry into force of this Agreement. The SPS Sub-Committee shall modify its own rules of procedure, if the SPS Committee deems it appropriate.
9. Following its initial meeting, the SPS Sub-Committee shall meet normally onan annual basis. Additional meetings may be held at the request of a Party or the Joint Committee. The SPS Sub-Committee may decide to meet by electronic means and it may also address issues out of session by correspondence.
10. The SPS Sub-Committee shall report as required on its activities and work programme to the Joint Committee.
Article 5.19. Dispute Settlement
Neither Party shall have recourse to dispute settlement under Chapter 31 (Dispute Settlement) for a matter arising under this Chapter.
Chapter 6. ANIMAL WELFARE
Article 6.1. Objectives
The objective of this Chapter is to enhance cooperation between the Parties on animal welfare of farmed animals.
Article 6.2. General Provisions
1. The Parties recognise that animals are sentient beings. (1) They also recognise the connection between improved welfare of animals and benefits to food production systems.
2. The Parties recognise that the protection and improvement of animal welfare may, in accordance with their WTO commitments, be an interest in the context of a Party's trade objectives.
Article 6.3. Right to Regulate and Improvement of Farmed Animal Welfare
1. The Parties affirm the right of each Party to set its policies and priorities for the protection of animal welfare and to adopt or modify its laws, regulations, and policies in a manner consistent with each Party's international commitments, including this Agreement.
2. The Parties recognise that it is inappropriate to encourage bilateral trade or investment by weakening or reducing the protection afforded to farmed animal welfare in their respective animal welfare laws and regulations. Each Party reaffirms its commitment to improving and advancing the protection afforded to the welfare of farmed animals in its animal welfare laws and regulations.
3. Each Party shall use its best endeavours not to weaken or reduce the protection afforded to the welfare of farmed animals in its animal welfare laws and regulations, in a manner materially affecting trade or investment between the Parties.
4. Neither Party shall waive or derogate from its animal welfare laws and regulations in a manner materially affecting trade or investment between the Parties.
5. The Parties recognise that their farming practices are substantively different but that each Party affords a high priority to animal welfare in its farming practices and that in multiple areas their respective animal welfare laws, regulations, and policies provide comparable outcomes.
Article 6.4. Cooperation
1. The Parties shall exchange information, expertise, and experiences in the field of animal welfare with the aim of improving understanding of each other's regulatory systems, policies, and strategic approaches, and enhancing animal welfare standards.
2. The Parties shall cooperate in international fora to promote the development of scientifically based animal welfare standards. In particular, the Parties shall cooperate to reinforce and broaden the scope of the World Animal Health Organisation (OIE) animal welfare standards with a focus on farmed animals.
3. The Parties shall continue, strengthen, and build on their existing cooperation in the field of farmed animal welfare. To this end, the Parties shall:
(a) encourage cooperation on research in the field of animal welfare; and
(b) encourage non-governmental bodies of the Parties to exchange views, experiences, and information as part of wider collaboration in the field of animal welfare.