Mutual Recognition Agreement (MRA) - ECONOMY

News: The Mutual Recognition Agreement (MRA) for organic products between India and Taiwan has been implemented w.e.f. 8th July 2024.

 

What’s in the news?

The Mutual Recognition Agreement (MRA) for organic products between India and Taiwan:

  • It was implemented during the 9th Working Group on Trade Meeting with Taiwan at New Delhi. 
  • The implementing Agencies for the MRA are Agricultural and Processed Food Products Export Development Authority (APEDA), Ministry of Commerce and Industry, India and Agriculture and Food Agency, Ministry of Agriculture (AFA), Taiwan.
  • government-to-government trade agreement that establishes conditions for accepting conformity assessment results from another party. 
  • MRAs can include testing, certification, and inspection results. They can also include lists of designated laboratories, inspection bodies, and conformity assessment bodies (CABs) in both parties.
  • MRAs can help facilitate market access, harmonize compliance standards, and protect consumer safety. For example, MRAs can reduce the need for duplicate inspections, allowing regulatory authorities to focus on higher-risk sites. 
  • They can also reduce costs for manufacturers by reducing the number of inspections and waiving re-testing of products upon importation

 

Benefit of the agreement:

India to Taiwan:

  • Indian agricultural products certified under NPOP (National Programme for Organic Production (NPOP) can be sold in Taiwan as organic, with the "India Organic" logo.
  • This is facilitated by an organic demonstration document issued by an accredited certification body.

Taiwan to India:

  • Taiwanese organic agricultural products certified under their regulations can be sold in India as organic, with the "Taiwan Organic" logo.
  • They must be accompanied by an organic demonstration document issued by an accredited certification body.

Importance of Mutual Recognition Agreement (MRA):

  • Reduces compliance costs and simplifies requirements by avoiding dual certifications.
  • Enhances trade opportunities in the organic sector by adhering to a single regulation.
  • Facilitates export of major Indian organic products like Rice, Processed Food, Green/Black and Herbal Tea, and Medicinal plant products to Taiwan.
  • The implementation of the MRA between India and Taiwan is a landmark achievement as it is the first bilateral agreement for organic products.
  • Source: https://pib.gov.in/PressReleasePage.aspx?PRID=2032060