REPA Booklet - Stop Epa

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26 The Joint Road Map What is a Road Map? The Pacific ACP - EC EPA Negotiations Joint Road Map sets out the agreed principles, processes and general content for the negotiations. It was released when regional negotiations between the European Commission and Pacific ACP States were formally launched in Nadi on 15 September 2004. The Islands also have their own Road Map based on their Regional Negotiating Strategy, Regional Negotiating Guidelines and Pacific Regional Action Plan. “The EU’s role in the new division of labour will be to act as the soft environmentally friendly and politically correct underbelly of the IMF/World Bank liberalisation policies.” (Grynberg 1997) Are there principles in the Joint Road Map that the Pacific Islands might use to their advantage? Cotonou is premised on a market-driven model of development. It is unrealistic to think the European Commission’s rhetoric can be twisted to achieve something different – especially when Pacific Island governments don’t have a clear alternative development model. Bearing that in mind, the main principles the governments might seek to rely on are: - the overall objectives shall be the sustainable development of the Islands, their smooth and gradual integration into the global economy and contributing to poverty eradication among their people; - the aims and objectives of economic and trade cooperation between the Pacific ACP States and the European Commission include enabling the Pacific Islands to play a full part in international trade, to manage the challenges of globalisation, and to adapt progressively to new conditions on international trade in a manner and at a pace that is conducive to their overall economic and social development; - the Economic Partnership Agreement must be an instrument for development and the development dimension must be reflected in all areas of negotiations; - the Economic Partnership Agreement will take into account the specific and special economic, social, environmental and structural constraints of the Pacific ACP States, as well as their capacity to adapt their economies to the regional economic integration process; - the negotiations will be designed to complement and support regional integration processes and programmes; - the pace of liberalisation of trade will reflect the degree of regional economic integration and be realised in a flexible and asymmetrical manner; - the Economic Partnership Agreement will preserve and improve the existing preferential access into the European market, and all Pacific ACP States participating in the Economic Partnership Agreement should be better off following the negotiations; - under the Economic Partnership Agreement, special and differential treatment should be provided to all Pacific ACP States. This should take into account the particular constraints of Least Developed Countries and the Smaller Islands States and their need for special treatment to enable them to overcome the serious economic and social difficulties that hinder their development; - the way in which special and differential treatment is incorporated in an Economic Partnership Agreement may go beyond existing WTO measures; - flexibility will be built into the broadly agreed framework to allow individual countries to adjust the pattern and schedules for implementation in ways that are consistent with their national circumstances, while still pursuing the objective of regional integration; - the Economic Partnership Agreement shall contribute to establishing specific provisions and measures to support Pacific ACP States in their efforts to overcome the natural and geographical difficulties and other obstacles that hamper their development. Is the Commission prepared to recognise the flow-on effects of PACER and the US Compacts? Yes, although it doesn’t name them. Rather surprisingly perhaps, the Road Map recognises the Economic Partnership Agreement ‘may have important implications’ that ‘will need to be reflected in all areas of the negotiations’ to ensure that the agreement in itself, and in the context of other trading commitments (PACER and the US Compacts), ‘constitutes a significant net contributor to the development of the Pacific ACP States’. 54 A People’s Guide To The Pacific’s Economic Partnership Agreement
Is the Commission prepared to come up with additional funding for the Pacific? In line with the all-ACP position, Pacific Islands want more funding than that provided in the European Development Fund for ‘adjustment’ costs. They have designed an integrated trade and development package that tries to put the development dimension at the centre. While the Joint Road Map recognises the Islands would need financial assistance to meet ‘significant adjustments’, it only says that all the existing Cotonou funds and complementary resources from European Union Member governments and other sources will be used. “Only when regional integration is well established, should we pursue a second phase where the objective involves reciprocal access for EU goods and services. Then, at the very end of this negotiating process, comes full integration into the global trading system – but only after lengthy periods of transition.” (Peter Mandelson, EU Trade Commissioner, December 2004) Is there a timetable for negotiations? They will be in 2 stages: (an interim, but already outdated, timetable is in Annex II) Stage I. October 2004 to December 2006 will aim to reach substantive agreement on the basic principles and elements to be integrated into an Economic Partnership Agreement, its structure and most points of detail; Stage 2: January 2007 to December 2007 will finalise any outstanding issues and translate Stage 1 into a binding legal text. Does the Road Map indicate how the Islands plan to avoid pulling PACER’s triggers? You have to read between the lines. PACER is only triggered by negotiations on trade in goods, and trade in goods is not explicitly mentioned. The ‘basic elements’ referred to in Stage 1 are ‘(e.g. investment, fisheries, services, etc.)’. This suggests a plan to negotiate services, investment and specific sectors like fisheries first and to leave any discussion on goods to last – if at all. Other ACP groupings are likely to have concerns about putting services and investment on the table now, as the Commission is likely to use it as a precedent. Has the European Commission agreed to that approach? The wording seems deliberately ambiguous. Because the Pacific approach is so different from the other ACP regions, the Commission will also be concerned not to create a precedent on goods for others to use. Indeed, it interprets Article 36 of the Cotonou Agreement as requiring the removal of barriers to trade in goods: The Parties agree to conclude new World Trade Organisation (WTO) compatible trading arrangements, removing progressively barriers to trade between them and enhancing cooperation in all areas relevant to trade. What if the Europeans say no to the Pacific’s plan? If the Commission rejects these proposals, the Pacific ACP strategy will be in trouble because all energies and resources seem to have been ploughed into developing this plan. How is the new European Trade Commissioner Mandelson approaching the Pacific negotiations? Peter Mandelson isTony Blair’s former right-hand man, and has a formidable reputation as a political dealmaker and spin-doctor. He has been making lots of speeches that stress development, but key Pacific players suspect he will be like his predecessor Pascal Lamy – the fine words go out the window when the EU’s interests are at stake. Has the Commission indicated that they have any base lines for the Pacific Negotiations? There appear to be three: - regional integration: in the words of one Commission official ‘we can’t go anywhere if we consider what is being proposed is negative for regional integration’. Their ultimate goal is to deal with each ACP region as a single entity. For that to happen the Islands would need to go beyond PICTA and to form a customs union in which all the Islands apply a common tariff to imports from all other countries. - sustainable development: this sounds benign, but it says the region will be guided by the best expertise and analysis possible on sustainability issues – from the IMF and World Bank on trade and poverty and the OECD on investment issues - and (less worrying) the Forum Fisheries Agency on fish. - WTO Compatibility: this was described by one Commission official as ‘a political mantra’ - but one on which the Europeans have a more moderate position than other countries, such as Australia. A People’s Guide To The Pacific’s Economic Partnership Agreement 55
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A PEOPLE’S GUIDE TO THE PACIFIC
Page 3 and 4: Foreword One of the callings of the
Page 5 and 6: Table of Contents Foreword Preface
Page 7 and 8: Abbreviations ACP African, Caribbea
Page 9 and 10: Spirituality, family life, traditio
Page 11 and 12: The description of reciprocal trade
Page 13 and 14: 2 The Lomé Convention Did the same
Page 15 and 16: 3 African, Caribbean & Pacific Soli
Page 17 and 18: 5 Europe’s New Plan for the ACP W
Page 19 and 20: 6 Clearing a Path for Free Trade Wh
Page 21 and 22: 8 The European Union’s Base Line
Page 23 and 24: 9 The ACP on the Back Foot When and
Page 25 and 26: compromise ‘good governance’ wa
Page 27 and 28: Is there another way of interpretin
Page 29 and 30: That sounds pretty watertight. It i
Page 31 and 32: 14 Capturing the ACP’S Services W
Page 33 and 34: 15 ‘New Issues’ through the Bac
Page 35 and 36: 17 Phase 1 Negotiations It sounds l
Page 37 and 38: 18 Unequal Partnership In Practice
Page 39 and 40: 19 Learning from Others’ Experien
Page 41 and 42: 20 Europe’s Quest for Legitimacy
Page 43 and 44: PART TWO The Pacific’s Regional E
Page 45 and 46: 21 The Pacific Negotiating Context
Page 47 and 48: 22 The Domino Effect of a Pacific E
Page 49 and 50: to establish probable coverage, con
Page 51 and 52: unskilled services workers into the
Page 53: sector acting ‘in their personal
Page 57 and 58: 28 (No) Goods What might a Pacific
Page 59 and 60: will probably approve this, especia
Page 61 and 62: PART FOUR of Origin that have to be
Page 63 and 64: 32 Tourism What kind of tourism do
Page 65 and 66: contracts. They are usually paid th
Page 67 and 68: PART THREE Another Way Forward KEY
Page 69 and 70: “Studies ‘confirm the absence o
Page 71 and 72: “It is not true that ACP countrie
Page 73 and 74: $ We strongly support the stand of
Page 75 and 76: “The power of the churches’ spi
Page 77 and 78: Appendix I: Regional Pacific ACP Ne
Page 79 and 80: Appendix III: Pacific Island Forum
Page 81 and 82: Appendix VI: Selected References Ac
Page 83 and 84: Nalunga, Jane, ‘Eastern and South
Page 85: A People’s Guide To The Pacific
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