Maravi

Comesa advisor calls for unity over EPAs

Comesa advisor calls for unity over EPAs
Written by Kabanda Chulu
Wednesday, August 26, 2009 5:05:52 PM

COMESA chief technical advisor Dr Moses Tekere has said the decision
by some countries not to sign interim EPAs with the European Union will undermine regional integration and cohesiveness in the Eastern and Southern Africa (ESA) region.

Announcing the decision of six countries out of the 16-member ESA configuration that would sign interim Economic Partnership Agreement (EPAs) with the EU in Mauritius this Saturday, Dr Tekere said Europe was a major trading partner for the region and accounts for 40 per cent of total trade.

“But we cannot have trade without a proper regime to guide us and also we want to move away from dependency to partnership so that we can be able to negotiate on our terms and with what we have,” Dr Tekere said.

“But the biggest challenge is that some countries are not signing and this undermines regional integration and cohesiveness because it shows that we are not united as a group but those countries not signing have given reasons of various strategic national interests.”

He said the interim EPAs would allow 100 per cent market access for all goods from the ESA region but with temporary exceptions for rice and sugar, adding that the EU would provide about two billion euros for costs of adjustment and development assistance.

“We need about 30 billion euros for development assistance and to meet costs of adjustments but we have not secured these funds, anyway we should not put our lives in the hands of Europe but we should decide our own destiny hence the need to look for alternative resources within the region,” Dr Tekere said.

Despite the proposed signing of the Interim EPAs with the EU this Saturday, a lot of contentious issues still remain unresolved.

For instance, the EU has not agreed with ESA on many issues such as export taxes to protect infant industries whereby taxes can be imposed on raw materials to encourage value addition. The EU also has insisted on inserting into the EPAs a standstill clause that would lock the ESA region not to negotiate any other agreement with other concerned parties and the most favoured nation clause (MFN) which would entail the ESA countries extending to the EU whatever trade agreement they might enter into with any other countries or regions.

But Dr Tekere said the list of issues not agreed upon had now been reduced.

“We have agreed to modify tariffs and we shall not open up sensitive industries which we think are critical to our economies and on the MFN clause we shall only open up to 80 per cent market access,” said Dr Tekere.

Labels: COMESA, EPAs, MOSES TEKERE, REGIONAL INTEGRATION

posted by MrK @ 4:03 PM