STATEMENT BY THE PRIME MINISTER OF JAMAICA
MOST HONOURABLE P. J. PATTERSON, ON, PC,
Q.C., M.P.
AT THE LAUNCH OF NEGOTIATIONS FOR THE
CARIBBEAN/EU ECONOMIC PARTNERSHIP
AGREEMENT
AT
THE JAMAICA CONFERENCE CENTRE, KINGSTON ut-J:;
16 APRIL 2004 p-V~
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• Mr. Chairman
• Secretaries General
• Commissioners
• Honourable Ministers
• Excellencies, Members of the Diplomatic Corps and
International Organisations
• Distinguished Guests
• Ladies and Gentlemen
1
UWI LIBRARIES
It is a historic privilege to address so distinguished an
audience this morning as we enter this new phase of
negotiations in the longstanding and highly valued
relationship between the Caribbean Region and the
European Union.
May I also take this opportunity to join in extending a warm
Jamaican welcome to the European Commissioners,
Representatives of the EU and ACP Group who hail from
outside the Region, who have traveled to the Caribbean for
this Launch.
2
UWI LIBRARIES
On an occasion such as this, it is difficult to resist the
temptation for nostalgia - having been personally engaged
from the start in the negotiations between our two groups,
which led to the eventual signature of the first Lome
Convention.
Indeed it was here in Kingston that we made the historic
breakthrough in 1974 which resulted in one of the most
enduring models of North-South cooperation based on
partnership and collective solidarity. /In those pioneering
days, we negotiated as a single bloc. That constituted our
greatest strength. Although we are now obliged to
negotiate separate EPAs, we must preserve ACP solidarity
beyond these encounters.
3
UWI LIBRARIES
There is no doubt that the four Lome Conventions have
brought tangible benefits to ACP countries in general, and to
the Caribbean region in particular.
Sugar, Banana, Ri~um exports from the region to the
EU account for a large portion of the Region's export
earnings annually. These sectors have also contributed
tremendously to employment, both directly and indirectly.
Our agricultural sector and rural communities rely heavily on
these industries for their livelihood. We have also benefited
from comprehensive aid packages which provide financial
assistance by way of projects and Budget support under the
National Indicative Programme (NIP) and the Caribbean
Regional Indicative Programme (CRIP).
4
UWI LIBRARIES
At the same time, we must acknowledge that the
contribution of the Lome Conventions as vehicles for
stimulating growth and development and boosting new
exports have not completely met our earlier expectations.
Admittedly, preferences may have contributed to the
commercial success of some countries, but the overall share
of ACP countries' exports to the markets of the European
Union has fallen. Where there were successes, the use of
preferences was limited to some sectors and few countries.
The Lome Conventions have not proven adequate to assist
ACP countries in meeting the new challenges of globalization
and the more intense competition in an open world market.
5
UWI LIBRARIES
Indeed, there is some disappointment at the lack of a deep
transformative effect that was envisaged from this unique
instrument.
It is clear, however, that the Lome Conventions between the
EU and the ACP countries have been an enduring element of
global development cooperation, a model for developeddeveloping
country partnership that has stood the test of
time. All its promises may not have been fulfilled ]but it has
been a Partnership that has survived for nearly 30 years.
6
UWI LIBRARIES
The relationship has faced its share of challenges,
precipitated at times by outside forces. The strengthening of
global trade rules, through the establishment of the World
Trade Organization (WTO) and adherence to the principle of
non-discrimination has led to a growing resistance to the
continuation of non-reciprocal preferences to the ACP Group
by the European Union.
7
UWI LIBRARIES
The WTO ruling on bananas is one such example, exposing
the agricultural economies of very small islands and their
farmers in the Caribbean so as to favour unlimited access
for large transnational producers. The same is true of the
current challenge in the WTO against the EC's sugar regime
which threatens to erode the benefits derived by the Region
from another very important commodity.
V ?~ V'h F~ th ~ I}- ,A-,).~ ~ .
Four ( 4) years ago, a new twenty-year Partnership
Agreement was signed in Cotonou, Benin. The Cotonou
Agreement was concluded after lengthy negotiations. From
Lome to Cotonou reflects more than a change of name.
8
UWI LIBRARIES
The new Agreement is designed to address the inadequacies
of the Lome Conventions through the inclusion of a wide
range of innovative provisions for expanded cooperation,
political dialogue and in the areas of trade and economic
cooperation, including direct assistance to the productive
sectors. It was also agreed that new WTO compatible
arrangements governing trade between the ACP Group and
the EU would be put in place by 2008.
9
UWI LIBRARIES
So today's launch represents the enhancement of our
longstanding friendship, political cooperation, shared history
and economic partnership. This renewal is intended to
consolidate an enduring economic relationship as we
embark on a new dimension of our interaction, embracing
the full range of economic activities and trans-border
transactions.
The mutually agreed goals and principles, which will guide
the design of this new phase of our partnership, recognize
the fundamental differences in size, economic structure and
level of development. They also envision an expanded trade
regime that promotes sustainable economic development in
the CARIFORUM region.
UWI LIBRARIES
Such a trade-driven development strategy will enable the
small developing economies of the region to successfully
mediate the encounter with globalisation in a manner that
enhances their productive capacity. Simultaneously, these
economies will continue their proactive approach to
structural transformation, which will re-orient them towards
involvement in the most rapidly growing sectors of the
global economy.
11
UWI LIBRARIES
The launch of negotiations for EPA takes place in the current
global geopolitical context, characterized by social turmoil,
ethnic conflict, virulent terrorism and disrupted
multilateralism. These conditions, among other factors, have
contributed to the breakdown of negotiations in the
multilateral trading system, most notably the WTO
ministerial in Cancun last September.
12
UWI LIBRARIES
Despite the many efforts, including those by our European
partners, the prospect for a successful conclusion of the
Doha Development Agenda remains uncertain, given
entrenched positions on a range of substantive matters.
Despite reiterated commitments to break the deadlock, a relaunch
of negotiations has so far eluded WTO members.
13
UWI LIBRARIES
The EPA, which will be the outcome of negotiations between
now and 2007, will blend elements of continuity and
elements of change. The continuation of special and
differential treatment, including preferential marketing
arrangements, must be the basis which provides stability
and brings vitality that will facilitate a diversification of
exports, production structures and institutional reform.
Change must embrace dynamic sectors in which the region
has a demonstrated comparative advantage and induce the
volumes and character of private foreign investment that will
complement natural endowments, human resources,
inventive entrepreneurship and unique creativity.
14
UWI LIBRARIES
Our deliberations involve two of the longest continuously
operating integration movements - the European and
CARI COM. Both partners therefore understand that the
foundation for external relations must be the internal
process of integration .
This tenet of our philosophical approach to economic
integration and functional cooperation is fully recognized by
the emphasis in the Cotonou Agreement on strengthening
the integration process in the CARIFORUM Region.
15
UWI LIBRARIES
The CARICOM Single Market and Economy (CSME) is
scheduled for completion in 2005 and will contribute to the
region's preparation for the new relationship, which will be
engendered by the implementation of the CARIFORUM-EU
EPA. The CSME has an integral role as the platform for
negotiating positions in external trade agreements and is an
essential preparatory experience for firms and entrepreneurs
in the region.
16
UWI LIBRARIES
The CARIFORUM countries will continue to pursue positions
which are consistent and coherent across negotiating
arenas. We will not be pressured or induced into agreeing
to positions in the WTO or the FTAA which are not
consistent with the principles that inform our negotiations
with the European Union.
The Caribbean is therefore approaching these negotiations
focused on the opportunities that this new arrangement will
be able to provide in support of sustainable economic
development and poverty alleviation.
17
UWI LIBRARIES
The Lome Conventions broke new ground in establishing
structured development-oriented agreements between
developing and developed countries. Any new economic
partnership agreements must seek to establish asymmetrical
trade arrangements which recognize the differences in
development and size of economies.
18
UWI LIBRARIES
The Region will therefore be seeking to obtain provisions
that recognize the special situation of our small economies
and their peculiar trade and development needs. It will
involve issues such as specific provisions for special
treatment of sensitive products and sectors, and for
accelerated implementation of free access for CARICOM's
exports of services into Europe. The results of the
negotiations should provide time to allow the countries of
the Caribbean to take advantage of the enlarged markets
promised by the economic partnership agreement.
19
UWI LIBRARIES
In the past, our encounters have provided a platform for
political and economic deliberations. Let us resolve to
create a framework which will permit a much broader and
multifaceted interaction among our peoples. Our respective
private sectors have now to be brought on centre stage. In
an increasingly market-driven global economy it is the
private sector which must be the engine of growth. Of
equally importance, we must involve our workforce, the
producers of the goods and services, as active participants
in the partnership which we seek.
20
UWI LIBRARIES
Let us also remember that cultural interaction is of primary
importance if people of our respective countries are to
develop closer bonds of friendship and understanding. This
must be emphasised in light of the addition to the European
Community of new member countries with little or no
historical ties to the Region. I urge that in your future
deliberations you seek to establish a framework by which we
can introduce this new dimension of people to people
contact as an integral part of the objectives of the ACP - EC
partnership.
21
UWI LIBRARIES
We are embarking on a challenging process. In re-defining
our relationship, we build on a foundation of shared values
and aspirations and a tradition of partnership. It is this
tradition which will allow us to confront these negotiations
with confidence and with the conviction that we can craft a
mutually beneficial future.
The world today is entirely different from that which
existed when we first came together three decades ago.
The challenges were no less daunting then, but we
overcame them. As we launch these negotiations, let us
~
resolve to overcome the challenges of today's world. I
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am confident that we are equal to the task~ / .,.,. μ
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UWI LIBRARIES