The former version: EPAs must ensure a real impact on development
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. [...] MEPs reminded the Council and Commission that neither the conclusion nor the renunciation of an EPA should lead to a situation where an ACP country may find itself in a less favourable position than it was under the trade provisions of the Cotonou Agreement.
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. MEPs reminded the Council and Commission that neither the conclusion nor the renunciation of an EPA should lead to a situation where an ACP country may find itself in a less favourable position than it was under the trade provisions of the Cotonou Agreement.
Aid for trade
The former version called that only strong accompanying measures will enable the ACP countries to benefit from the opportunities available under EPAs. Such measures must offset any net loss in customs revenue and be invested in order to diversify export production and produce more higher added-value export goods, says the Development Committee’s report.
Review clause and regional integration The former report stressed that EPA agreements should include a clause requiring a review within five years of the date they are signed. National parliaments, the European Parliament and civil society should be involved, according to the report. This five year period should allow an assessment of the impact of the EPAs on the economies of the ACP states and on the ability of these agreements to strengthen regional integration. A revision of the content of these agreements should be possible.
To prevent EPAs concluded with individual ACP countries or with groups of countries that do not cover an entire region from hindering the regional integration process, MEPs call on the Commission to redefine its approach and ensure that the conclusion of EPAs does not undermine this process.
Of the 15 countries of the Pacific region (including East Timor), where the 16th session of the ACP-EU Joint Parliamentary Assembly was held from 24 to 28 November 2008 (in Port Moresby, Papua-New Guinea), only Papua and Fiji have signed provisional agreements. The erosion of trade preferences - sugar for Fiji and tuna for Papua-New Guinea - prompted these countries to sign a provisional accord in November 2007.
Parliamentary scrutiny of the implementation of EPAs
The implementation of the EPAs should be monitored by a parliamentary body, says the report. In each case, this body should derive from the ACP-EU Joint Parliamentary Assembly.
Parliament’s assent The European Parliament will have to give formal approval (known as its “assent”), probably in spring 2009, to enable these agreements to enter into force. Since the accords have a significant trade component, this procedure will be the responsibility of the EP’s International Trade Committee.
The negotiations with ACP states were opened in 2002, following the adoption by the Council of the negotiating brief on 12 June 2002. The negotiations are being conducted with six regions (Caribbean, West Africa, Central Africa, Eastern and Southern Africa, Southern African Development Community, Pacific). Procedure: Own-initiative (assent for the agreements themselves) Committee vote: 15 in favour to 13 against. Plenary vote: February 2009.
In the chair : Josep BORRELL FONTELLES (PES, ES)
REF.: 20081208IPR43988
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