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New EU REACH rules to raise export product cost

Jun '07
EU started to implement its regulation of Registration, Evaluation and Authorization of Chemicals (REACH), since June 1, 2007.

According to Xie Qiu Hui, Director of Identification and Management Services of Shanghai Im & Ex Inspection and Quarantine Bureau, it will impact Shanghai's exports to EU from industries of chemical, textiles, electronics and many other bulk products. Related enterprises must rapidly respond to it and set up plans to avoid their export products being 'shipped back'.

REACH regulation is not a separate decree or statute, but a comprehensive law covering chemicals production, trade and application safety. Chemical enterprises, which engage in production, operation and application of chemicals, must prove with experimental data that all the used substances are not harmful to human or environment.

According to REACH regulation, more than 30,000 varieties of chemical products on EU market must be re-registered in order to continue their sales.

Chinese exports of chemical raw materials and products to EU market are objects under safety monitoring, such as medicine, chemical fiber, rubber, plastics, textiles, light industrial products, electronics, automobiles, home appliances, paint.

At the REACH regulation training session held on May 29th in Shanghai, Dr. Chen Jun Shui, a key member of REACH expert group from the State Quality Inspection Bureau, said, exporting apparel to EU, enterprises should clearly mark the names of fabrics supplier, chemicals supplier and content of chemical substances.

Meanwhile, enterprises should thoroughly research who will be the final consumer of these clothing. Exporters should submit the required data and related documents of registered materials to EU authorities, only after which, they can be granted trade permission.

Export costs of export enterprises may increase by 5 percent due to larger charges of registration, testing and assessment.

Fibre2fashion, News Desk - China

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