ESA asks Iceland to comply with EEA rules on veterinary import controls

The EFTA Surveillance Authority (ESA) has today sent a letter of formal notice to Iceland over the incorrect application of EEA rules concerning the import and transit of products of animal origin.

In 2017, ESA carried out a mission to Iceland to verify that official controls related to import and transit of products of animal origin, animal by-products and live animals were conducted in compliance with EEA legislation. Under EEA law, Iceland shares a common border with the EEA States for imports of such goods from third countries. Veterinary import controls are an important part of that system to safeguard public and animal health in the EEA.

Among the shortcomings identified by ESA was the lack of a system to ensure that consignments from non-EEA countries in transit and/or transshipment undergo veterinary checks when required by EEA law. Furthermore, ESA identified insufficient coordination and information-sharing between Iceland Customs and Revenues (Customs) and the Icelandic Food and Veterinary Authority (MAST). Similar shortcomings were highlighted in audit reports in 2010 and 2012.

Because of these shortcomings, the Icelandic authorities could not guarantee that products of animal origin in transit and/or transhipment had undergone the required veterinary checks before being customs-cleared.

In 2020, Iceland introduced a legislative amendment that made it compulsory for operators to include a numeric commodity code on the cargo manifest. The commodity codes are aligned with the Harmonised System (HS) used by customs worldwide and were to be assigned to products of animal origin originating outside the EEA. Using HS codes, Customs would have been better positioned to identify consignments required to undergo veterinary checks, and to notify MAST. ESA was also informed by Customs of plans to connect its IT facilities to the European Commission's Trade and Control Expert System (TRACES).

ESA considered that these action points, together with enhanced cooperation between the two authorities, would address the recommendations from the 2017 audit.

The amendment was, however, repealed in 2022 and Iceland has yet to provide updates on progress made to improve the cooperation between Customs and MAST. Neither has ESA received information to indicate that Customs has gained access to TRACES.

Based on the above and information provided by the authorities, ESA finds that Iceland has failed to fulfil its obligations under EEA rules concerning veterinary checks of consignments in transit or transhipment.

A letter of formal notice is the first step in infringement proceedings against an EEA EFTA State. Iceland now has two months to express its views before ESA decides whether to take the case further.

Read ESA's decision here.

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