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The acp-eu-trade.org newsletter -- No. 24/December 2008
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In this issue:
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I. Trade Negotiations Insights Vol.7, No.10
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II. News: Highlights of the month
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III. Selection from the acp-eu-trade.org Library
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IV. Resources from Recent Events
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V. Resources on Upcoming Events
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Dear readers,
Welcome to the December issue of the acp-eu-trade.org newsletter!
Because of the upcoming holidays, you are receiving this newsletter a bit earlier in the month than usual, covering a slightly shortened selection of press articles, recently added documents in the acp-eu-trade.org library and resources on events relevant to ACP-EU trade relations.
ACP-EU stakeholders are encouraged to participate in the various services provided via this website with the aim to exchange relevant information, build up trade negotiating capacity and facilitate networking activities. We therefore invite our readers to take an active role in www.acp-eu-trade.org by:
- Registering on-line as a trade and development expert to help mobilise the best expertise in ACP-EU trade and development matters and give interested parties easier access to information on relevant internationally recognized experts or consultants;
- Submitting relevant background and policy documents, news and links that will enrich the ACP-EU trade debate;
- Subscribing to our monthly newsletter as well as other partners' to be kept informed of latest developments in the ACP-EU trade realm;
- Sharing your views on the current ACP-EU Trade debate and providing feedback on the relevance and future focus areas of www.acp-eu-trade.org
We appreciate any feedback on this newsletter and look forward to your reactions. You may send your comments to acpeutrade@ecdpm.org.
Enjoy your reading!
Editors: Corinna Braun-Munzinger (cbm@ecdpm.org) and Stéphanie Colin (sco@ecdpm.org)
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I. Trade Negotiations Insights Vol.7, No.10
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The December/January issue of Trade Negotiations Insights (TNI), a joint monthly publication by ICTSD and ECDPM, will shortly be available online at: www.ictsd.org/tni/index.htm and www.acp-eu-trade.org/tni
Trade Negotiations Insights, Vol. 7, No. 10, December 2008/January 2009
• Surveying progress: An African perspective on EPA negotiations
• Editorial: The year ahead
• Sub-Saharan Africa and the global financial crisis
• Is SPS the silver lining? Economic Partnership Agreements
• Preferential Rules of Origin in Economic Partnership Agreements: Key features and changes
• Investing in East Africa : The role of negotiations in the EAC-EU EPA
• Turning mode 4 commitments into business: The CARIFORUM – European Community EPA
• Integrating into the global economy
• WTO update
• EPA update
• Calendar and resources
Eclairage sur les Négociations, Vol.7, No.9, décembre 2008/janvier 2009
• Examen des progrès : Une perspective africaine sur les négociations sur les APE
• Éditorial: l'année à venir
• L'Afrique subsaharienne et la crise financière mondiale
• Les SPS sont-ils le bon côté des Accords de partenariat économique?
• Règles d'origine préférentielles dans les Accords de partenariat économique : Aspects et changements clés
• Investir en Afrique de l'Est: rôle des négociations dans l'APE CAE-UE
• Transformer les engagements du mode 4 en activité commerciale: l'APE CARIFORUM-Communauté européenne
• Intégration dans l'économie mondiale
• Aperçu sur l' OMC
• Le point sur les négociations APE
• Calendrier et publications
** All-ACP **
* Economic partnership agreements: ensuring a real impact on development
Press release, European Parliamanet, 9 December 2008
Whether or not they sign economic partnership agreements (EPAs) with the EU, the countries of Africa, the Caribbean and the Pacific ( ACP ) should not be worse off than under the current system of preferences, says a report adopted by Parliament's Development Committee on Monday. Flanking measures in the form of aid for trade should be used to help the ACP countries, for example to offset any loss of customs revenue.
The report, drafted by Jürgen Schröder ( EPP-ED , DE ), urges the Council and Commission to accept any goods-only WTO-compatible proposals from ACP countries. The compatibility of the EPAs with WTO rules ( GATT Article XXIV) pertains only to trade in goods and requires a "substantial part of the trade" to be liberalized "within a reasonable length of time", says the report.
* New Commissioner addresses ACP Ambassadors
Press release, ACP Group, 8 December 2008
African, Caribbean and Pacific ( ACP ) Group last week had the opportunity to meet and express their concerns to the new European Union Commissioner for External Trade, Catherine Ashton at the ACP House, Brussels , Belgium . ACP Ambassadors were able to express their concerns on the current status of play of the Economic Partnership Agreement negotiations with the EU. [...] In her opening remarks, Commissioner Ashton said: "I come here to hear and understand your concerns."
-> see also Resources from Recent Events
** Caribbean **
* DR 'disses' Caricom
Nation News, 11 December 2008
The Dominican Republic is no longer interested in becoming a part of CARICOM. It has no faith in the CARICOM Secretariat's ability to either address pending agreements or to be the implementing authority for the CARIFORUM/EU Economic Partnership Agreement (EPA). [...] Cuello, who also served as Lead Negotiator on Investment and Trade in Services for CARIFORUM (CARICOM plus the Dominican Republic ) in the recently concluded EPA negotiations, called the conference to publicly present his country's Statement on Matters Related to Institutional Arrangements. That statement was tabled at the recently-concluded 26th meeting of CARICOM's Council for Trade and Economic Development (COTED) in Guyana and circulated among ambassadors in Brussels . It proposes options for an EPA implementing institution for CARIFORUM as mandated under article 234 of the EPA.
-> see also: * The Dominican Republic Shares Perspective on EPA Implementation
Press release, CRNM, 10 December 2008
H. E. Ambassador Federico Cuello, Ambassador of the Dominica Republic to Belgium
and the EU, in a press conference held on Wednesday November 10 2008 , articulated the urgency of implementing the CARIFORUM-EC Economic Partnership Agreement (EPA). [...]On [the] matter of regional implementation, the Ambassador emphasized that there is an urgent need for the region to decide on the institution which, in accordance with the provisions of Article 234 of the EPA, would coordinate EPA implementation. [...]According to the views of the Dominican Republic , in establishing an institution responsible coordinating EPA implementation, there are four alternatives:
1. Delegating responsibility to the CARICOM Secretariat
2. Establishing a new CARIFORUM EPA Implementation Authority
3. Delegating responsibility to the Caribbean Regional Negotiating Machinery (CRNM)
4. Delegating responsibility to the Caribbean Export Development Agency (CaribExport)
-> see also: -> see also: * Statement by the Dominican Republic , on matters related to institutional arrangements for the regional coordination of EPA implementation, 3 December 2008
* Draft Opinion of the Committee on Development for the Committee on International Trade on the proposal for a Council decision concluding the Economic Partnership Agreement between the European Community and its Member States, of the one part, and the CARIFORUM States, on the other part
Rapporteur Jürgen Schröder, Committee on Development, European Parliament, 19 November 2008 ; Meeting document for the committee session of 8 December 2008
Conclusion proposed by the rapporteur:
"The Committee on Development calls on the Committee on International Trade, as the committee responsible, to propose that Parliament gives its assent subject to ratification of the Economic Partnership Agreement by CARIFORUM States."
EN FR
** West Africa **
* Nigeria's request to enter the GSP+ scheme was not granted by the European Commission because Nigeria has not ratified the United Nations Convention on the Prevention and Punishment of the Crime of Genocide, which is part of the requirements to benefit from the GSP+ scheme according to the GSP regulation.
-> see Commission decision pursuant to Article 10(2) of Council Regulation (EC) No 732/2008 applying a scheme of generalised tariff preferences for the period from 1 January 2009 to 31 December 2011 in respect of Nigeria , European Commission, 9 December 2008
* Accord de partenariat économique avec l'Europe : l'ouverture du marché ouest-africain compromet l'intégration, selon un officiel sénégalais
Ouestafnews, 1 décembre 2008
L'ouverture du marché ouest-africain aux produits venant d'Europe comporte le risque de compromettre le processus d'intégration, avertit un inspecteur des douanes sénégalaises qui met en garde contre la possibilité de la disparition de l'économie de sous-région, a appris Ouestafnews de source informée.
''On est loin de réaliser l'union douanière de la CEDEAO et si nous ouvrons largement notre marché à l'Union européenne, il y a le risque pour nous de ne pas réaliser cette intégration parce que l'agression de l'Europe sera tellement forte que nous n'aurons même plus d'économie'', a prévenu samedi à Dakar l'inspecteur principal des douanes Doudou Diagne Diané cité par l'Agence de presse sénégalaise (APS).
* Les médicaments divisent le Nigeria et les pays de l'UEMOA
Afrique en ligne, 29 novembre 2008
La libéralisation des produits pharmaceutiques dans le cadre de l'Accord de partenariat économique (APE) avec l'Union européenne divise le Nigeria, soucieux de protéger son industrie et les pays de l'Union économique et monétaire ouest-africaine (UEMOA), a révélé ce samedi à Dakar, Cheikh Sadibou Seck, directeur du commerce extérieur du Sénégal.
"Il y a une position forte du Nigeria qui veut que l'on protège les produits pharmaceutiques, contrairement aux pays membres de l'UEMOA qui considèrent que les médicaments sont des produits sociaux sur lesquels, un taux zéro doit être appliqué", a affirmé M. Seck au cours d'une journée de réflexion sur l'Accord de partenariat économique en négociation entre l'UE et l'Afrique de l'Ouest. [...] Les divergences de façon générale portent sur 10% des produits sensibles de la région, a expliqué M. Seck, ajoutant que ces divergences concernent aussi certains produits comme le lait et le blé qui sont des intrants pour certains pays et des produits finis pour d'autres.
* Réunion des Ministres chargés du Commerce des Etats membres de l'UEMOA
La Semaine de l'UEMOA, N° 222, 24 - 30 novembre 2008
A l'initiative de la Commission, les Ministres chargés du Commerce des Etats membres UEMOA se sont réunis jeudi 13 novembre 2008 à Ouagadougou, pour une concertation sur l'évolution des principaux dossiers relatifs à la mise en oeuvre de la politique commerciale commune de l'Union, en vue d'en analyser les enjeux pour les intérêts des Etats membres de l'Union. [... ]Ils ont réaffirmé l'engagement des Etats membres de l'UEMOA à tout mettre en oeuvre, à l'instar des autres pays de la région Afrique de l'Ouest, pour conclure à la date convenue avec l'Union européenne un accord global régional qui doit se substituer aux accords intérimaires paraphés par la Côte d'Ivoire et le Ghana. Les Ministres ont réaffirmé la nécessité de la prise en compte de « la dimension développement » dans toute option qui sera définitivement convenue entre les deux Parties.
** Central Africa **
* Gabon 's request to enter the GSP+ scheme was not granted by the European Commission because Gabon has not ratified the International Labour Organisation Convention concerning Minimum Age for Admission to Employment No138, which is one of the conventions required to be ratified in order to benefit from the GSP+ scheme according to the GSP regulation.
-> see Commission decision pursuant to Article 10(2) of Council Regulation (EC) No 732/2008 applying a scheme of generalised tariff preferences for the period from 1 January 2009 to 31 December 2011 in respect of Gabon , European Commission, 9 December 2008
* Dutch trade is destroying West-African farmers
Barbara Bosma, ICCO Electronic newsletter, Issue #5, December 2008
What is the problem here? Europe is exporting pig parts which are rarely consumed at home, such as ears, trotters and heads. The Netherlands are the main exporter. This meat is sold in African markets at extremely low prices. Local pig farmers can no longer sell their meat at a commercially viable price. [...T]he European Union is busy negotiating free trade agreements with countries in Africa . Countries are retaining some options to temporarily shield parts of their markets from imports from Europe, for example by raising import tariffs. "But the opportunities to do so are far too limited. A country like Cameroon has to make tough choices regarding which sector to protect. If we support our chicken farmers, pig farmers suffer", says Bernard Njonga, the chairman of ACDIC, a Cameroonian organisation acting in support of local farmers by campaigning against the current free trade agreements.
** ESA **
* Following the initialling of the market access offer of Zambia on 30 September 2008, the Council of the EU adopted a regulation adding Zambia to the EPA market access regulation , which grants duty free and quota free access to the EC market (with transition periods for sugar and rice).
-> see the full text of the Council regulation EN FR
* EAC Common Market talks continue
Martin Tindiwensi, The New Times /tralac, 9 December 2008
The sixth round of negotiations for the East African Community (EAC) Common Market Protocol began on Tuesday, 2 December at the Serena Kivu Hotel in Gisenyi. The 10-day meeting has brought together members of the High Level Task Force (HLTF) from the EAC member states: Burundi, Kenya, Rwanda, Tanzania and Uganda.
-> * Tanzania's stance stalls integration plans in EAC
Jim Onyango, Risdel Kasasira, Business Daily /tralac, 5 December 2005
Regional integration plans in the East African Community (EAC) were dealt another blow when member states disagreed over key policy targets in talks this week.
* Mauritius to host COMESA Fund
Panapress, 9 December 2008
Mauritius will host the COMESA (Common Market for Eastern and Southern Africa) Fund that has been established as a vehicle to mobilize resources, PANA reported here Tuesday. One official from the Foreign Affairs, Regional Integration and International Trade Ministry [...] described the COMESA Fund as an instrument of Aid for Trade that addresses productive capacity and infrastructure needs, as well as adjustment costs associated with integration and economic reforms.
* East Africa: UK Pledges £20 Million for EAC Trade
Gashegu Muramira, The New Times / allAfrica.com, 6 December 2008
The United Kingdom has promised to provide £20 million to boost trade opportunities through improving transport links, streamlining border controls, and deepening regional economic integration in East Africa. [...] UK's Minister for Trade & Development, Gareth Thomas, launched a new regional aid for trade programme that will realize this vision. The money will be availed through a framework called the Regional East Africa Integration Programme (REAP) which is part of the Department for International Development (DFID)'s global aid for trade strategy.
* Mauritius committed to concluding EPA with EU
Afrique en ligne, 2 December 2008
Mauritian Foreign A ffairs and International Trade Minister Arvin Boolell told Parliament here Tuesday that the conclusion of the Economic Partnership Agreement (EPA) is is critical for Mauritius given that the EU is its main trading partner, accounting for two-thirds of its exports.
Answering a parliamentary question, Boolell said it was in the interest of Mauritius to enter into an ambitious, predictable, legally binding and WTO-compatible Agreement with the EU.
** SADC **
* Southern Africa under spotlight to thrash out region's trade policies
Nangula Shejavali, The Namibian, 12 December 2008
At a conference organised by the Centre for Training and Project Development, which was attended by the government and business, speakers said the implementation of a free trade area and the establishment of a SADC Customs Union by 2010 depended on a range of factors. The Namibian's Nangula Shejavali attended the conference and compiled the following reports.
* Lesotho and SACU
Ron Sandrey, tralac, 4 December 2008
Recently in a 'hot seat' comment Gerhard Erasmus highlighted the growing need for a public and transparent debate about the future of SACU and considered that 'the table is being set for a dramatic announcement'. Perhaps that announcement is the withdrawal of South Africa from the Customs Union. What are the issues that Lesotho in particular would face should this eventuate?
-> see also : * What to do about SACU, Gerhard Erasmus , tralac, 26 November 2008
* SA farm, fish sectors face EU exports
Mathabo le Roux, Business Day, 27 November 2008
Acrimony over the terms of the EPA saw SA breaking ranks when other members of the Southern African Customs Union (Sacu) - Botswana , Lesotho , Namibia and Swaziland (BLNS) - initialled an interim agreement at the end of last year. SA currently trades with the EU under a separate pact, the Trade, Development and Cooperation Agreement (TDCA).
But as SA sticks to its principles on policy issues in the text, it is market access differences that threaten the future of the customs union. If SA opts out and the BLNS countries sign the EPA, two different trade regimes with the region's major trading partner will be in place. While the regimes could be largely aligned, SA's chief trade negotiator Xavier Carim said earlier this week that different tariffs would prevail on 436 product lines.
* Botswana: Country Stands Up to South Africa On Sacu
Brian Benza and Wanetsha Mosinyi, Mmegi /allAfrica.com, 21 November 2008
The Minister of Trade and Industry, Neo Moroka has said Botswana can no longer allow South Africa to behave like Big Brother in the Southern Africa Customs Union (SACU).
" South Africa can longer do as they wish. Not anymore. We are going to see some significant changes coming either through or within SACU," Moroka said at a trade dialogue with the media about the ministry's operations in Gaborone on Monday. He stated that South Africa 's attempt to prescribe to everyone how to deal with the Economic Partnership Agreement (EPA) with the EU has caused huge problems.
** Pacific **
* Pacific Regional Economic Integration Programme (PACREIP) Provides Technical and Financial Support to FIC Trade and Private Sector Development
Press statement, Pacific Islands Forum Secretariat, 4 December 2008
The Pacific Regional Economic Integration Programme (PACREIP) funded by the European Union and coordinated by the Pacific Islands Forum Secretariat has provided invaluable technical and financial support to all the 14 Forum Island countries since it started in 2004. The support was outlined during a meeting of the PACREIP Programme Steering Committee held at the Forum Secretariat in Suva on Wednesday 3rd December 2008 .
* European Parliamentarian says Pacific EPAs must be changed
Pacific Islands News Association, 27 November 2008
A member of the European Parliament has told the African, Caribbean and Pacific ( ACP ) - European Union (EU) joint parliamentary assembly meeting this week in Port Moresby that free trade deals initialled between the EU and Pacific countries must be changed to reflect the development needs of the region.
Glyn Ford, the Member of the European Parliament responsible for reporting on negotiations for an Economic Partnership Agreement (EPA) with Pacific countries said he would recommend the European Parliament vote "no" to the interim agreement unless contentious issues in the interim EPAs are addressed.
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III. Selection from the acp-eu-trade.org Library
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* Analysis of Contents of the CARIFORUM and Pacific ACP Economic Partnership Agreements and Challenges Ahead
Christopher Stevens, Jane Kennan and Mareike Meyn, Final Report prepared for the Commonwealth Secretariat, Overseas Development Institute (ODI), December 2008
This report identifies the broad features of the Interim Economic Partnership Agreement (IEPA) that has been initialled by Fiji and Papua New Guinea ( PNG ) and the full Economic Partnership Agreement (EPA) that was signed formally by most of the states of the Caribbean Forum (CARIFORUM) on 15 October 2008 . The report provides a baseline analysis together with an indication of the broad country and region-wide effects.
* Article XXIV and Regional Trade Agreements (RTAs) : How much wiggle room for Developping countries?
South Center Analytical Note, December 2008
The issue of ‘WTO Compatibility' of regional trade agreements (RTAs) has been intensely debated ever since the days of the GATT . RTAs are governed by Article XXIV in the GATT . The Article however does not have a development dimension. This paper argues for the need to insert strong Special and Differential Treatment clauses into Article XXIV in order to be legally consistent with GATS V. It also looks at the ways in which some WTO Members, especially developed countries, have protected their markets in their RTAs. These are grounds for developing countries to legitimately open up less fully.
* UK Aid for trade strategy: Sharing the benefits of trade
DfID, December 2008
The overarching aim of the Strategy is "to help boost global prosperity and inclusive growth, by expanding capacity to trade within the poorest countries and to help them integrate into the global economy,while easing the costs of this adjustment." More specifically, "a priority will be working with EU partners to support successful implementation of the new EPAs,which we want to deliver sustainable benefits for ACP countries and regions. We will help to build the capacity of these countries to analyse and negotiate favourable deals. We will also explore options to promote EPA implementation and adjustment needs in line with the EU Aid for Trade Strategy."
* Economic Partnership Agreements and Intellectual Property Rights protection: challenges for the Southern African Development Community (SADC) region
Dorica Suvye Phiri, SAAIA,10 November 2008
There is a possibility that IPR provisions in the EU- CARIFORUM agreement may influence the negotiations of other EPAs. In that agreement, the EU has made provisions for higher IPR standards than what is provided in the WTO Trade Related Aspects of Intellectual Property Agreement (TRIPS Agreement). [...B]efore an IPR section can be included in the SADC IEPA, there is need to have an in depth analysis on those issues.
* Towards the African Template for Economic Partnership Agreements
Francis Mangeni, Africa Trade Policy Centre (UNECA), paper presented at the African Workshop on Economic Partnership Agreements - Reaping the benefits of the EPAs, 8-10 October 2008
This effort towards an African EPA template is meant and designed to assist the African Union member states in their negotiation of economic partnership agreements with the European Commission. It is produced as requested by the Conference of African Union Trade Ministers at their meeting of 1 to 4 April 2008. [...] What follows are recommendations that a final template should consider in the various areas under negotiations. Indications are given which among the interim-EPAs approximate the Common African positions as earlier agreed during AU Ministers of Trade Conferences. The provisions in the various chapters of the proposed inclusions to the African template are based on the explanatory notes and recommendations in the remainder of this brief.
-> Explanation and recommendations
* Fisheries Aspects of ACP-EU Interim Economic Partnership Agreements: Trade and Sustainable Development Implications
Liam Campling, ICTSD Series on Fisheries, Trade and Sustainable Development, Issue Paper No. 6, October 2008
In an effort seeking to provide a better understanding of the substance of the provisions contained in IEPA/EPA agreements and to assess their significance from a trade, livelihood and sustainable development perspective, the International Centre for Trade and Sustainable Development (ICTSD) has initiated a process of analytical review of negotiations on fisheries under the EPA negotiations. As part of this process, this study reviews and analyses relevant fisheries-related provisions contained in interim IEPAs. It is intended to be a practical tool/guidance for national and regional policymakers and stakeholders in negotiations towards the conclusion of comprehensive EPAs.
* Impact Assessments of Changing Agricultural Trade Agreements and Tariff Barriers between South Africa and the EU
Tamas I. Fenyes, Nicolaas G. Meyer, Marthinus C. Breitenbach, Bulletin of the Szent István University, special issue, part I, 2008
The aim of this study is to measure the competitiveness of the South African Agricultural Sector by analysing the effects of the Trade Development and Co-operation Agreement (TDCA). In broad terms the effects are expected to be twofold: (1) increased competition on the local market by the European Union (EU) products entering the market on a duty-free basis, and (2) improved access to the EU market for South African (SA) exports. These effects are analyzed by taking a closer look at the TDCA, performing an export impact assessment and performing an import impact assessment.
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IV. Resources from Recent Events
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* Meeting of ACP Ambassadors with European Commissioner Catherine Ashton
4 December 2008 , Brussels
-> ACP and LDCs Sugar Exporters Statement to Trade Commissioner , Delivered by H.E. Mr Patrick I. Gomes, Ambassador of Guyana, Chairman of the ACP Consultative Group on Sugar
-> Statement on Bananas , Delivered by H.E. Mr Gerhard Otmar Hiwat, Ambassador of Suriname , Chairman of the ACP Banana Working Group
* Hearing on the CARIFORUM-EU EPA, Committee on International Trade, European Parliament, Brussels
4 December 2008
-> Programme
-> Experts Statements
by Dr Mareike Meyn , Overseas Development Institute (ODI)
by H.E. Errol Humphrey , Ambassador of Barbados
by H.E. Patrick I Gomes , Ambassador of Guyana
by H.E. Havelock Brewster - International Trade and Finance Consultant, former Executive Director for the Caribbean at the Inter-American Development Bank, Washington DC, former Ambassador for Guyana to the European Union, Austria, Belgium and Germany
* EC/UK side event on Aid for Trade, Doha
1 December 2008
-> Speaking Points for European Commissioner Louis Michel
* Workshop on "Aid for Trade - from concept to action", 1-2 December 2008, Bonn
Organised by the German Development Institute (DIE) and CUTS International
-> Information on the DIE website
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V. Resources on Upcoming Events
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* 88th Session of the ACP Council of Ministers
16-18 December 2008, Brussels
-> ACP Press Statement , 17 December 2008
-> Update on the CARIFORUM-EU EPA , Caribbean Regional Negotiating Machinery
-> Photos from the opening
* Informal meeting of EU development ministers, Prague
29-20 January 20009