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REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the Regulations.)
Amendment | Regulatory Impact Analysis Statement

Description:

The purposes of the Health of Animals Act (the "Act") and the Health of Animals Regulations (the "Regulations") are to prevent the introduction of animal diseases into Canada, to prevent the spread within Canada of diseases of animals that either affect human health or could have a significant economic effect on the Canadian livestock industry, and to provide for the humane treatment of animals during transport.

Bovine Spongiform Encephalopathy, or "mad cow disease", is a progressive, fatal neurological disease in cattle. It is part of a group of diseases known as transmissible spongiform encephalopathies (TSEs) which group also includes scrapie in sheep, chronic wasting disease in deer and elk and variant Creutzfeldt-Jakob disease (vCJD) in humans. Research into BSE is ongoing, but this disease has been associated with the presence of an abnormal prion protein and, to date, there is no effective treatment or vaccine.

On December 23, 2003, the United States Department of Agriculture reported the discovery of a potential case of a dairy cow infected with Bovine Spongiform Encephalopathy (BSE) in Washington State. Subsequent testing confirmed the initial finding.

The Health of Animals Act (Section 14) grants the Minister of Agriculture and Agri-food authority to make regulations prohibiting the importation into Canada of an animal or any other thing from any place for a specified period of time for the purpose of preventing a disease from being introduced into or spread within Canada.

The CFIA implemented, under this authority, a broad restriction on US animals and their products through an emergency direction based upon the belief that the discovery of a US-based case of BSE presented public and animal health threats to Canada. These restrictions were formalized through the Animals of the Family Bovidae and their Products Importation Prohibition Regulations on January 21, 2004, and then, in response to the continuing evolution of the situation, modified by the Animals of the Family Bovidae and their Products Importation Prohibition Regulations, No. 2 on April 23, 2004.

Current Prohibition regulation

The current importation prohibition regulations represent a partial prohibition on the importation of the animals and their products from the United States, which animals and their products may carry an unacceptable risk of carrying BSE. It prohibits importation of

i) live animals of the family Bovidae, which includes cattle, bison, water buffalo, sheep and goats

ii) meat or meat products from the animals of the family Bovidae and things containing such meat or meat products

iii) animal food containing ingredients derived from animals of the family Bovidae

iv) fertilizer, excluding manure, containing ingredients from animals of the family Bovidae

v) specified risk material

Examples of exempted animals and products included feeder calves (bob calves), animals for temporary stay in Canada (less than 30 days), meat of animals of the sub-family Bovinae–which includes cattle, bison and water buffalo, but does not include sheep and goats– under 30 months of age, as well as boneless meat from sheep and goats under 12 months of age. Commercial petfood containing ingredients derived from animals of the sub-family Bovinae provided that the product is derived from animals from which the specified risk material has been removed, or that is derived from animals from Argentina, Australia, Brazil, Canada, Chile, New Zealand or Uruguay, and meat products destined for cruise ships temporarily docked in Canada are also exempted from the prohibition.

Proposed New Prohibition Regulation

Since the prohibition had to be reviewed prior to its expiry date, the requirements were looked at with a view to achieving greater consistency with standards of the World Organisation for Animal Health and to reflecting appropriate changes in the risk-management approach. The new prohibition regulations would alter the restrictions in several ways.

With respect to live animals, the new prohibition would only apply to animals of the sub-family Bovinae born before January 1, 1998, which marks the first full year after the implementation of the US feed ban. Imports of younger cattle and of live goats and sheep would no longer be prohibited. In addition, new exemptions from the Import Regulation would include bulls destined for animal semen production centres.

As the removal of specified risk materials (SRM) from the food supply is now viewed as the single most effective measure to protect public health, the importation of meat from animals of all ages would be permitted, and only meat from animals of the sub-family Bovinae from which the SRM has not been removed is prohibited.

With respect to ingredients in fertilizers and animal foods, the restriction would be broadened to prohibit the importation of these products if they contain ingredients derived from any ruminants. This is in line with the recommendation from the World Organisation for Animal Health, which states that ruminant-derived meat-and-bone meal or greaves, or any commodities containing such products should not be imported.

A number of additional exemptions for specific animals and animal products would be added and some would be carried over from the previous prohibition because they are regulated by other means such as the requirement for an import permit or a certification or because they are considered a low risk .

Although the situation has evolved to the point where the restrictions can be relaxed somewhat, it is important that certain import controls on animals and products imported from the US remain in place because of the ongoing risk factors. It is, therefore, proposed to extend the operation of the importation prohibition regulations, but to narrow the prohibition where it has been determined that the risk would be minimal.

Alternatives

Status Quo

Not enacting the amendment to the importation prohibition regulations is unacceptable as the current regulations will expire on March 31 and importation restrictions are necessary to maintain protection against the importation of animals and their products constituting a significant risk for carrying BSE.

Enact Prohibition Regulations (preferred option)

By prohibiting the importation of the animals and other things set out in the proposed regulations, the CFIA will continue to protect Canadian livestock and consumers against exposure to BSE in a manner that is not unnecessarily restrictive. The proposed regulation will introduce exemptions for animals and products for which the risk does not justify an ongoing prohibition against importation.

Benefits and Costs

Benefits

Implementation of these regulations assists in the prevention of additional cases of BSE in Canada and minimizes the risk of the transmission of BSE to the human food supply.

Furthermore the implementation of science-based regulations commensurate with international standards will increase both domestic and international confidence in the integrity of the Canadian system.

Costs

These regulations will not affect the current costs to industry given that an import prohibition is already in effect.

Consultation

Health Canada, Agriculture and Agri-Food Canada and International Trade Canada have been kept apprised of CFIA actions. Affected stakeholders have continued to express their views on the prohibition and the evolving situation to the CFIA.

Compliance and Enforcement

Section 16 of the Health of Animals Act requires anyone importing any animal or thing into Canada to present the animal to an inspector, officer or officer of the Canadian Border Services Agency.

Section 65 of the Health of Animals Act, S.C. 1990, c. 21 establishes offences for refusing or neglecting to perform any duty imposed by or under the Act or its Regulations.

Contacts

Ms. Linda Morrison
Animal Health and Production Division
Canadian Food Inspection Agency
59 Camelot Drive
Nepean, Ontario K1A 0Y9
Tel: (613) 225-2342
Fax: (613) 228-6614