59.  Products imported into Hungary must conform to technical regulations established by the Government to protect health and safety or to preserve the environment. Likewise, agricultural imports must comply with national sanitary and phytosanitary regulations, which are aimed at protecting human, animal or plant health from pests and diseases. Although Hungary is moving towards large-scale adoption of international or EU standards, 72% of national standards still differ from international norms

60.  Aside from fulfilling its obligations under the WTO Agreement on Technical Barriers to Trade, Hungary's main objective with regard to the setting of technical regulations and standards is to harmonize them in accordance with EU provisions. Under the Europe Agreement, Hungary is committed to achieving full conformity with EU technical regulations and with European standardization and conformity assessment procedures. Whereas the process of harmonization with EU regulations has largely been accomplished in the case of foodstuffs, harmonization has been slower for pharmaceutical and chemical products. In the case of the automotive sector, Hungary plans to implement fully European standards by the time it accedes to the EU. It is envisaged that Hungary's implementation of European standards will reach the levels similar to those of EU Member States by the end of 2001. Insofar as European standards are established on the basis of international standards, harmonization with European standards also involves the introduction of international standards in Hungary

61.  While the Ministry of Industry, Trade and Tourism (MITT) has general responsibility for the implementation of the Agreement on Technical Barriers to Trade, according to the Law XXVIII of 1995 on National Standardization, the Hungarian Standards Institution (Magyar Szabvnygyi Testlet) is the national standards body with overall responsibility for the national standards system. The responsibilities of the Hungarian Standards Institution (HSI) include the exclusive right to set national standards and publication of these standards.[38] Furthermore, it operates an information service, which involves, inter alia, publication of its official journal, the Standardization Gazette (Szabvnygyi Kzlny), in which draft national standards are announced and national standards published, and responding to comments and enquiries regarding national standards.[39] The National Accreditation Body is responsible for the accreditation of testing laboratories, of which there are more than 300. The HSI is the enquiry point for the purposes of the WTO Agreement on Technical Barriers to Trade

62.  The HSI is a member of the International Organization for Standardization (ISO) and the International Electrotechnical Commission (IEC). In addition, it is an affiliate member of the European Committee for Standardization (CEN) as well as the European Electrotechnical Committee for Standardisation (CENELEC), a member of the European Telecommunication Standard Institute (ETSI) and has applied for admission to the International Network of Quality System Certifiers (IQNet). It also cooperates on a bilateral basis with several countries' national organizations for standardization and quality certification. For example, upon request, it carries out joint certification in accordance with ISO 9000 standards. Such cooperation does not involve mutual recognition of certification, however, although negotiations in this regard concerning agricultural and industrial products have been initiated with CEFTA countries[40]. Negotiations between Hungary and the EU on the mutual recognition of technical regulations pertaining to processed agricultural products and pharmaceuticals are expected to begin in the near future

63.  At the end of 1997, 14,521 Hungarian national standards were in force, many relating to regulations adopted prior to the 1990s. The majority of these regulations are being revised, however, and others are liable to amendment in the next year or two. During the review period, over 2,000 European standards were introduced in Hungary (Table III.9), in addition to 1,344 ISO and IEC standards adopted during the same period. As a consequence, the proportion of Hungarian standards either similar or identical to international or European standards rose from 3% to roughly 27% between 1990 and 1997. According to the law, all technical regulations, standards and conformity assessment procedures apply to domestically produced and imported goods and services alike

64.  Marking, labelling and packaging of products are covered by Hungarian standards, which are, by and large, identical to those of ISO and CEN. Table III.9 Relation of Hungarian standards to international and European standards Note: In case of applying European standards, no deviation is allowed. Source: Hungarian Standards Institution

65.  While the regulation and certification of food and SPS standards in Hungary lies primarily within the jurisdiction of the Ministry of Agriculture, other bodies or ministries may have responsibilities in these areas too.[41] A new law on food control entered into force at the beginning of 1996 and new regulations concerning the execution of these controls are being formulated

66.  Ministry of Agriculture and Food Decree 5/1988 (IV.26) stipulates phytosanitary import regulations. These regulations, which the Hungarian authorities consider to be in accordance with international standards, are based on the recommendations of European Plant Protection Organization and the UN/FAO regional plant protection organization as well as the Office Internationale des Epizooties (OIE). The regulations do not discriminate against imported products. Approximately 60% of Hungarian phytopathological inspections are in harmony with the pertinent EU regulations. A new plant protection law together with its executory decree is currently being drafted in accordance with EU Directive EEC 77/93. This law is expected to enter into force in 1998-99. There is no difference between the fees for export or import inspections

67.  Hungary applies environmental and safety standards to domestic and foreign products alike, however, as observed above, importation of used cars over four years old is prohibited, ostensibly on environmental and safety grounds. This is tantamount to applying more stringent, prohibitive, standards to imported used cars over four years old than to domestic used cars of the same age. Environmental standards may also figure in government procurement practices and privatization tendering (sections (iv) and (v) below)