Karnal Bunt

Background on the Disease Measures taken in U.S Measures taken regarding exports U.S. - Mexico regulatory interaction U.S. - Canada regulatory interaction What we have learned

Disease Background

Fungal Disease (Tilletia Indica Mitra) First discovered 1931, Karnal, India (Punjab) Exists in Pakistan, Iraq, Nepal, Afghanistan,

Mexico and United States (others?) No human health risk Yield Impact - Minor Quality Impact – fishy odor to flour

Discovery in the U.S.

Arizona – March 1996 – in durum seed Traced to fields in AZ, NM, TX, CA Quarantines imposed September 1997, San Saba County, TX – in

grain May 2001 – 4 counties in north Texas

U.S. Domestic Measures

Quarantine regulations have evolved over time Regulated areas reduced by testing Compensation measures National survey started in 1996 Spores vs. bunted kernels Overarching export objective – export

certification requirements

U.S. Export Maintanence

Initially, 37 countries with known Kb requirements, including Mexico and Canada

17 MMT of exports affected Requirement list grew to 48 countries Bilateral negotiations commenced within days Not known to occur Additional Declaration By mid-April, Certification resolved on 98% of

trade

#2 HRW Ordinary FOB Gulf

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Jun '87 Jun '89 June '91 June '93 June '95 June '97 June '99 June '01

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Rank Importer Quantity(‘000MT)(Wheat Equiv.)

Rank Importer Quantity(‘000MT)(Wheat Equiv.)

1. Egypt 4,322 14. Yemen 497

2. Japan 3,101 15. Russian Federation

495

3. Philippines 1,888 16. Peru 494

4. Mexico 1,822 17. Sri Lanka 466

5. Korea South

1,552 18. Pakistan 433

6. EU 1,297 19. Bangladesh 407

7. Nigeria 1,271 20. Jordan 384

8. Taiwan 958 21. Morocco 330

9. Israel 754 22. Thailand 313

10. Colombia 643 23. Ethiopia 298

11. Indonesia 575 24. Dominican Republic

271

12. Venezuela 556 25. Canadian Trans. 241

13. Algeria 515

Top 25 Importers Importers of U.S. Wheat3 Year Average (1998/99-2000/02)

Kb in Mexico

1983 U.S. prohibited Mexican imports due to Kb Early 1990s Mexico domestic quarantine Mexico began surveys 1998 U.S. recognized Mexicali Valley as free

Mexico’s Actions

March 20, 1996 closed border to U.S. wheat Certification negotiated (testing and fumigation) Current A.D.: “Wheat grain in this shipment

did not originate from Arizona, California, New Mexico and the regulated counties in Texas.”

Measures Regarding Canada

Two issues, Imports and Transit Initially, Imports prohibited for the 4 states, lab

test negative for all others Seaway transits - non-stops OK Seaway transshipments - no durum initially

other wheat tested Requirement eased since 1996, but 4 states still

banned Area freedom certification for other states

What We Have Learned About the Science of Kb

Research on Kb limited prior to 1996 More known today, but still preliminary Seed borne, mainly Infection at flowering Needs cool humid weather at heading Spore survival in soil B 5 years? Production loss < 1%, typically APS position B insignificant pest

Latest Developments

After 4 year absence, discovered in North Texas in 2001

Unlike 1996 no concern expressed by other countries, except one

Strategic reassessment prompted Changed objectives? From containment and eradication to deregulation

(domestic and international)

Latest Developments, Con’t

Development of Kb Strategic Plan underway Focus: Trade Management

Compensation

Pest Risk Assessment

Best Management Practices

Research

Economic impacts

What are the Trade Policy Lessons?

No substitute for good science Openness and transparency pay off Good lines of communication B technical and

policy - are vital Changing the status of Kb will be long and difficult North American cooperation will be valuable