Japan plans to institute a law to meet requirements in implementing a mutual recognition agreement with the European Union on standards and inspections for such goods as electronic appliances.

The government plans to notify the EU of its plans at a Japan-EU summit scheduled for July 19 in Tokyo, and aims at concluding the MRA with the EU at that time.

It would be the first MRA Japan has entered into.

The accord would allow exporters to have safety and other inspections usually required by the importing country be conducted in the exporting country instead, thereby reducing formalities and costs.

At last year’s Japan-EU summit, a basic agreement was reached with the aim of concluding an MRA on trade in electrical appliances, telecommunications equipment, chemicals and pharmaceuticals.

Japan and the EU have nearly completed harmonizing screening standards for inspection and certification.

But Japanese officials discovered that Japanese certification agencies set up under existing domestic law would not be able to meet some standards required by the EU.

The EU already has an MRA in place with the United States and Canada.

Government ministries and agencies have consulted and agreed to institute a law that would enable domestic certification authorities to conform to EU standards.

The planned legislation will include a provision to disqualify certification agencies if they are found to have conducted inadequate inspections.

It will be presented to the Diet early next year with the aim of being put into effect in the summer of 2001.