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 My Opinion  
   
 

The EPAs: Is It Really Do or Die?

By Vijay Makhan

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

In September 2002, negotiations on Economic Partnership Agreements (EPAs) were launched with the European Union (EU) amidst much understandable anxiety and apprehension on the part of the African, Caribbean and Pacific group of states (ACP). Suddenly, the very foundations on which the ACP had built privileged trade relations with the EU shook to the point of collapse. Right from the word "go", the negotiations were skewed in Europe's favour.
 

Nevertheless, true to its way of doing things, the ACP did not dedicate enough time or thought to create viable alternatives to the Cotonou Agreement for these two grossly unequal cohorts.

The ACP, as far as one can remember, has always merely reacted to plans put forth by its 'partner', rather than giving suggestions of its own. The concept of EPAs is a fine example of the ACP following the path designed and desired by the EU. But the worst had yet to come.
 

The EU knew from the outset that unity and solidarity were futile words as far as the ACP was concerned and that it would not be too difficult to have the group sit at the negotiating table as broken components. Even the "A" of the ACP was sub-divided into four distinct negotiating clusters.
 

Needless to say, the ACP is largely responsible for the divisive nature of its negotiating make-up. For example, some members of the Western and Central African groups in Brussels allowed themselves to be convinced that they could do it separately and that, indeed, negotiating as discrete entities would be more advantageous than as a single group. As the then Economic Commissioner of the African Union (AU), I tried in vain to reason with ambassadors in Brussels and persuade them of the dire need for African countries to present a common front, rather than negotiate as four distinct sub-regional groups.
 

Much to my chagrin, they remained adamant that branching out was the only way forward, despite a decision by the Assembly of African Union Heads of State and Government for the African Group to negotiate as one.

 

For five years the 'negotiations' have continued with little to show in terms of progress. That is until now, as pressure mounts in the ACP regions to conclude these negotiations before the December 31 deadline. With a clear absence of shared purpose, a lack of coordination at all levels and procrastination to boot, one should hardly wonder why those African countries which signed the Cotonou Agreement find themselves in such a tight spot.
 

What is it that can be achieved in the final few weeks of 2007, which could not be accomplished in five years of talks?
 

According to EU Trade Commissioner Peter Mandelson the ACP has room for manoeuver.

"This deadline is not a bluff or some negotiating tactic invented in Brussels. It is an external reality created in the WTO in Geneva. We have given a binding multilateral commitment that was set and agreed seven years ago," Mandelson recently warned.

 

At stake is the question of the livelihood and well-being of millions of people - the vast majority of whom live on less than a dollar a day. It is a question of millions of people for whom the EU and the international community have set Millennium Development Goals, one of which is halving poverty levels by 2015. How does one reconcile this lofty objective with Mandelson's threat that "he has no hat and no rabbit to pull out of it"? So, is it do or die?
 

No agreement is better than a bad agreement, and at this point, the only way forward is political. The ACP would do well to avoid shifting or breaking configurations at the eleventh hour. If anything, these countries should adopt the political track and join with other like-minded countries to push for an all ACP Summit to address the outstanding issues. To start with, the ACP should convene an extraordinary session at the highest level and decide not to sign the agreements.
 

They should also push for a political solution - including the possibility of having the Cotonou regime extended as a transitional measure pending agreement on alternative trading arrangements. The ACP should then do one of two things: they should join with the EU to negotiate an extension of the WTO waiver for a minimum of one year. During that period, both parties should seriously explore alternative arrangements for a trade relationship, with the understanding that the EU would not place on the negotiating table issues which the ACP countries - under the umbrella of the G90 - have collectively and unanimously rejected at the WTO.

 

Or, with the help of the EU and other developing countries, the ACP should address the existing imbalances in WTO rules and change them to be more developing-country friendly.
 

The EU would probably reject both these options - especially the second. But adopting the first option is a genuinely viable political alternative to signing the EPAs. It is purely a question of political will and a sincere partnership.


 
 

Vijay Makhan is the former Commissioner of the African Union for Economic Affairs, Trade and Industry. This article was reprinted from ICTSD newsletter.

 
 
 
   
   
   
 
 
 

 

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