Maravi

EPAs to affect trade among ACP countries – Kamayoyo

EPAs to affect trade among ACP countries – Kamayoyo
By Fridah Zinyama
Thu 27 May 2010, 04:00 CAT

ECONOMIST Kelvin Kamayoyo has said trade amongst African, Caribbean and Pacific (ACP) Countries is likely to reduce due to trade diversion if the Economic Partnership Agreements are signed. Ideally, EPAs are expected to promote regional integration due to expanded market coverage for either party.

Zambia is currently negotiating EPAs under the Eastern and Southern Africa (EAS) countries and among all six negotiating groups, by 2008 only the Caribbean Forum had concluded a full or comprehensive EPA covering trade in goods and services and a host of other trade-related areas such as competition policy and intellectual property.

Kamayoyo who gave his personal views on EPAs said the ability of the manufacturing industry to grow shall also be threatened.

He said EPAs were no longer a free trade arrangement because individual countries were forging ahead to sign the EPAs contrary to their regional visions of customs union agenda and by so doing the agreement would not breed a free trade but a bilateral trade agreement in nature based on single state and not territorial customs union.

“ACP countries and in particular African countries must hasten regional integration processes to build and consolidate supply side capabilities before opening up to the EU,” he said.

Kamayoyo said if the EPAs were to be supportive of development and regional integration in Africa, this would require extensive technical and financial support from the EU and other co-operating partners.

“As for the EU, they have to ensure that both EDF and EPAs development envelopes are timely disbursed and properly utilised,” he said. “Therefore some transitional protection (safeguards) for local producers should be negotiated, for longer transitional periods (30 years) beyond current proposals,” he said.

Kamayoyo said the EU should face the reality and appreciate the fact that the EPAs were not going to create a fair and enabling environment capable of buttress flying regional integration for most ACPs regional economic communities for as long as they continue to offer subsidies to their industries.

Labels: EPAs, KELVIN KAMAYOYO

posted by MrK @ 2:40 PM