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ESA-EPA negotiations still lack substance and direction
By Richard Kamidza
The third Regional Negotiating Forum (RNF) meeting to define the future of Eastern and Southern Africa (ESA)-the European Union (EU) trade regime was held in Antananarivo, Madagascar from 18th to 20th October this year. This meeting followed hard on the heels of the Dedicated Session on Fisheries, in which the ESA coastal or island member-states had agreed on a compromise on Marine Fisheries Rules of Origin. But more of this later.

The progress of the National Development Policy Trade Forums (NDPTFs) remains almost the same as reported in the Entebbe meeting. The Secretariat reported that it had not received any written reports on the activities of NDTPFs and that only five countries had submitted copies of their impact assessment studies . SEATINI’s presentation further exposed inherent weak consultations and involvement of all key stakeholders in the process. For example, the failure to respect the ESA-EPA roadmap guidelines such as submission of written progress reports to the meeting. It was further argued by SEATINI that anything short of written reports makes it very difficult for interested parties to assess the level of consultations and involvement in each ESA member-state. Unfortunately, some members feel it is not important to reveal the weaknesses being observed. This is really a major worry to those keen to see a fair and just EPA outcome in this configuration. We feel it is high time governments officials understand that as long as the laid down criteria is not followed, particularly on effective engagements, then the process will go nowhere. In the subsequent discussions, SEATINI not only reminded the meeting about the danger of not consulting and involving widely, but also queried why ESA institutions (governments and regional secretariat) seem to be afraid of close scrutiny by stakeholders, particularly civil society. Interestingly in an effort to exonerate themselves from SEATINI’s pointing finger, some delegates went on to inform the meeting that so and so was from the non-state actor as well as quoting the invitation letter as in line with the spirit of ensuring that countries delegation include non-state actors. Close observations noted that some delegations only included the private sector without the civil society organisations, non-governmental organisations and some social movements, which was the central thesis of SEATINI’s presentation. However, SEATINI is mindful of the fact that such countries like Kenya, Uganda, Zambia and Zimbabwe had included members of the civil society in their delegations. In fact, Kenya had a member of parliament in their delegation. It is imperative in future for delegations to inform the RNF meeting of their composition, especially given lack of written progress reports that inform national activities, processes and developments.

The above clearly show weak preparedness on the ESA member-states to begin to meaningfully talk of the configuration’s positions. As argued above, only five countries – namely - Madagascar, Mauritius, Seychelles, Uganda and Zimbabwe have submitted their National Impact Assessment (NIA) studies. Indications are that the rest of the countries need at least two months to finalise their studies assuming that all the logistical problems, particularly the finalisation of the terms of reference and the disbursement of funds receive urgent attention. This development has profound impact on sequencing of negotiating positions of the configuration. Despite this major setback, which is largely of the EU making, the newly established Regional Preparatory Task Force (RPTF) during its July meeting went on to prioritise fisheries, development issues and market access for the period July 2004 and March 2005 . The RPTF is an informal body of experts, which allows each side to get better technical understanding of the other side’s position so as to smoothen negotiations. This illustrates why the ESA configuration process, if not checked, may result in a bad deal. Interestingly it was reported that even the European Commission (EC) felt the need to further discuss how to prepare discussions and negotiations in each cluster in detail bearing the need to focus on region’s integration efforts . Some delegates wondered why already agreeing to sequence cluster negotiations when NIA studies are yet to be completed as well as wondered who prioritises the sequencing of cluster negotiations. “We are hearing this for the first time. …,” remarked the Zambian delegation. Agriculture is at the pinnacle of negotiations under the Doha Development Agenda, and such, should be treated with the importance it deserves. This prompted others to wonder why agriculture, which is also the backbone of many ESA economies is not being prioritised? This emerged again as a potential area not only to confuse the process, but may also create divisions within the configuration, a development that may result in a bad EPA outcome. In addition, one of the Ambassadors argued that RPTF should be more organised for the EU could not wait for ESA to prepare its positions. A critical reflection of this leads to the question “why are our ambassadors eager to negotiate when the capitals are not ready?” All these developments leave one pondering, “who is really in charge of this process?” Is this another repeat of the fisheries cluster?

A review of the roadmap allows ESA member-states to build markets first for themselves, a development that cements the South – South trade cooperation leading to stronger economic ties and deeper regional economic integration. This is a political leverage, which ESA can use to slow down the process with the view to adequately prepare itself for an “EPA” with a human face that will address the needs of the people. Only if ESA players proceed with this route can the EPA process minimise negative implications to the economies and the socio-political ramifications to its citizens. A focus on South-South first will also enable the process to take care of specific situations of island member-states as well as issues of competitiveness and proper sequencing of clusters as advised by studies. Failure to heed this may lead to frustration, as EU is likely to adopt a near abroad strategy, which invariably benefits its new member-states than the ESA region.

The process now seems to be firmly under the directions of the COMESA secretariat and Ambassadors in Brussels with governments and private sector to some extent guessing what to do. Other non-state actors – civil society, media and MPs are still restricted to the periphery of engagement. This is despite the South African and Egyptian experiences, which were shared to the participants in Entebbe and Antananarivo, respectively. In Entebbe, ESA was advised to effectively use the civic bodies in this process both at the national and regional levels. Similarly in Antananarivo, the Egyptian Ambassador presented some lessons including:
• The complexity of the process which resulted in 40 rounds of negotiations and 10 draft position documents that were concluded after four and half years. The lesson for ESA is to ensure more time is needed in order to reach some agreements within the configuration so as to aim for a win-win situation;
• ESA should refuse political conditionalities on any particular issue, which may end-up compromising the process. It is thus imperative for the configuration to clearly define and understand its defensive and offensive interests;
• ESA was reminded that negotiating with such a powerful economic block is very difficult, and thus it becomes imperative to identify certain issues, which are not subject to negotiations. In difficult situations, it is even beneficial to the configuration to suspend the negotiations as a strategy to refocus the process;
• It is imperative to have one chief negotiator supported by different cluster negotiators with adequate backing from the capitals. It is also imperative for ESA to prepare adequately for these negotiations while at the same time ensuring good relationships between and/or among Brussels, Geneva, capitals, COMESA and ACP Secretariat. In this way, ESA should always follow up issues as well as coordinate various efforts employed in this process. It is also imperative for the configuration to understand one another. In addition, the configuration should intensify training courses for negotiators as well as blending this with experience;
• ESA should ensure that the transitional period of opening up their industries to EU products is not too short, a development that protects jobs while avoiding social unrest and political instability. In the same vein, ESA should ensure that the process adequately address the supply-side constraints currently inhibiting ESA member-states from enjoying the EU market;
• ESA to ensure that adequate provisions of financial support are guaranteed in the new trade pact well before reaching the final agreement; and
• ESA should ensure that the rules of the origin are identical across the region as well as monitoring the gap between exports and imports between ESA and EU. This indicates the direction of benefits and losses to the configuration. Other issues to consider include safe guards measures and non-trade barriers.

It is important for ESA therefore to understand that it is dealing with a very strong, powerful, united and more integrated region, which is already aware of its defensive and offensive interests. Moreover, ESA economies are vertically linked to the EU and for centuries have remained providers of raw materials and consumers of their finished goods. All this suggests taking into account the political dynamics of this process, which unfortunately is missing at the moment. It also suggests a strong spirit of consulting and involving widely.

Is ESA process going to achieve a common goal? It is important to note that unity of purpose which is largely a product of proper coordination between and/or among capitals, ambassadors and regional secretariat; clear roles and respect of governments as the main driving force in the process; wide consultations and involvement of all non-state actors; and slowing the process if ESA toolbox is lacking vital instruments such as studies. Only if the above is obtained will ESA become firm and well focused to negotiate an EPA as a formidable force. Most economic policies and paradigms including trade regimes (both bilateral and multilateral) in the past have failed to extricate ESA economies from the colonial economic bondage that has continued to subject its citizens to abject poverty.

Marine Fisheries Framework Agreement

The Dedicated Session on Fisheries attended by ESA coastal or island member-states on the 15th October in Madagascar agreed on a compromise on Marine Fisheries Rules of Origin. This gave birth to the final version of the Marine Fisheries Framework Agreement, ready to be used by those countries wishing to negotiate a national Fisheries Framework Agreement with the EU . “The Marine Fisheries Framework Agreement is available in both English and French”, the COMESA secretariat informed the participants.

While this framework excluded the ESA inland countries, the new agenda also excluded the ‘inland fisheries’ their only hope to ensure that the process in this cluster addresses the interests of all member-states of this configuration. This exclusion did not go well with such countries like Zimbabwe, which had come well prepared, with all the intellectual support to engage on this issue. “Mr Chairman, my delegation strongly urged the meeting to bring back the inland fisheries back on the agenda because we have already brought an expert on fisheries to lead us in engaging this meeting,” the leader of the Zimbabwean delegation said. Subsequently, Malawi and Zimbabwe presented a paper entitled “The need for inland fisheries industry to form an effective and reciprocal trade between ESA and EU” which then formed the basis for discussing this issue. However, the above development left some participants wondering as to who between the ESA governments and the COMESA secretariat is driving the negotiating process. Rightly so, the Ugandan delegation during the plenary session queried why the COMESA Secretariat seemed to be creating some ‘green rooms’ in this process. “Already Mr Chairman, the coastal countries have developed and agreed on the fisheries agreement framework while the inland fisheries studies are still underway,” remarked the leader of the Ugandan delegation. What is more worrying so far in this process is the emerging divisions on arriving at an ESA-EPA cluster outcome within a month of substantive preparations to negotiate as a block with the powerful EU partner. This illustrates ESA’s failure to consult and involve widely all key stakeholders, particularly civil society, media and members of parliament (MP) in the process. Adequate checks and balances are thus crucial to avoid such a dual development of positions. Even the African-Caribbean-Pacific (ACP) delegate advised that ESA should not hurry to negotiate and sign any cluster positions, for once signed, it becomes very difficult to get out of it.

The RNF meeting then agreed to hold the Dedicated Session on inland fisheries in January 2005 in Malawi. It is thus hoped that the progress of this meeting will give indications and directions as to when the common position on fisheries cluster between the marine and inland countries would merge. Until then, it remains a guess to some religious followers of this process if the outcome of the inland fisheries will have any bearing (positive or negative) of the new Marine Fisheries Framework Agreement.

*Richard Kamidza is the Programmes Coordinator, Senior Policy Analyst and Research Fellow

            
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