Forum Encouraged By Outcome Of PACP Meet With Ec
Forum Encouraged By Outcome Of PACP Meet With Ec
Press Statement 21/07
9th March 2007
The Pacific Islands Forum has welcomed the outcome of the meeting between Ministers from the Pacific ACP (PACP) countries with the European Commission (EC) in Brussels last week.
The Pacific ACP Ministerial delegation is led by the PACP Acting Lead Spokesman and Samoa’s Associate Minister for Trade Negotiations, Hon. Hans Joachim Keil, and includes the Hon. Wilkie Rasmussen, Minister of Foreign Affairs and Immigration of the Cook Islands, the Hon Martin Tofinga, Minister of Trade of Kiribati, and the Hon John Silk, Minister of Natural Resources and Development of the Republic of the Marshall Islands.
The EC was represented by Mr Peter Mandelson, Commissioner for Trade, and Mr Louis Michel, Commissioner for Development.
The PACP Ministerial delegation is currently on a tour of several European countries to gather support for the Pacific’s positions in the various areas within the proposed Economic Partnership Agreement (EPA) with the European Union (EU).
“We are encouraged by the recognition by the two sides of the importance of a regionally owned mechanism such as an adjustment facility for financing adjustment costs arising from the EPA,” said Greg Urwin, Secretary General of the Forum.
“Addressing such costs, as well as translating opportunities into benefits, will be essential if the EPA is to assist the region in pursuing sustainable development,” he added.
Welcoming this shared recognition, Minister Keil reiterated the imperative “that resources for adjustment must be over and above those allocated from the European Development Fund (EDF). They must also be delivered timely and effectively, and that can best be done through a regionally-owned adjustment facility.”
On market access and related issues, Pacific Ministers welcomed the EC's commitment to offer duty-free and quota-free access. At the same time, they questioned the need for any restrictions in the case of sensitive products.
Minister Keil observed that it was difficult to imagine how, given the minute amounts exported from the Pacific to Europe, that there could possibly be any real risks for the EU from Pacific exports.
Similarly, recognising the special and unique circumstances of the Pacific, the two parties committed to further examine not only the EC’s proposed ‘Value Added’ approach to rules of origin, but also the PACP countries’ proposed ‘Change in Tariff Sub-Heading’ approach for determining the origin of products exported from the Pacific.
“For the EPA to benefit our region, it is essential that we see a meaningful improvement in the rules of origin. While the EC’s proposed approach may constitute an improvement for those countries in Africa that are close to the EU and other ACP states, the value-added criteria places our region at a distinct disadvantage,” said Mr Urwin.
Adding to this, Minister Keil said: “A value-added rule of origin simply will not bring developmental benefits to the Pacific because few inputs can be sourced locally and at competitive prices and quality.”
“The result,” he continued “would be to lock the PACP into existing patterns of trade as exporters of a few basic commodities to the EU and inhibit the development of our small manufacturing sector. The EPA simply must do more.”
On fisheries, the EC and PACP Ministers agreed to prioritise the advancement of this issue within the context of the EPA, underscoring the fact that the development of the fishing industry, along with improved market access including rules or origin needed to be important components of an EPA.
On trade in services, the EC reiterated its readiness to offer the PACP countries greater access to the EU market, including in the essential area of temporary movement of PACP nationals to the EU for work purposes. This access is recognised by the region as offering one of the greatest potential benefits arising from the EPA for many PACP countries.
“The meeting that we had with Commissioners Mandelson and Michel was positive and suggested that we could make progress at the technical level on various topics with a view to concluding the negotiations,” Minister Keil observed.
“At the same time, however, much hard work remained to be done over the coming months. It will be necessary for PACP Ministers to meet with EC Commissioners later in the year to review progress in order to reach agreement on an EPA by the end of the year.”
Agreeing with the Minister, Mr Urwin committed the Forum Secretariat to provide the greatest possible support to PACP Ministers in their EPA negotiations within the limits of available resources.
(Ends)
For more information on the outcomes of the meeting, please contact
Roman Grynberg, Director Economic Governance, Pacific Islands Forum Secretariat, via email or T: (679) 331 2600.
Press Statement 21/07
9th March 2007
The Pacific Islands Forum has welcomed the outcome of the meeting between Ministers from the Pacific ACP (PACP) countries with the European Commission (EC) in Brussels last week.
The Pacific ACP Ministerial delegation is led by the PACP Acting Lead Spokesman and Samoa’s Associate Minister for Trade Negotiations, Hon. Hans Joachim Keil, and includes the Hon. Wilkie Rasmussen, Minister of Foreign Affairs and Immigration of the Cook Islands, the Hon Martin Tofinga, Minister of Trade of Kiribati, and the Hon John Silk, Minister of Natural Resources and Development of the Republic of the Marshall Islands.
The EC was represented by Mr Peter Mandelson, Commissioner for Trade, and Mr Louis Michel, Commissioner for Development.
The PACP Ministerial delegation is currently on a tour of several European countries to gather support for the Pacific’s positions in the various areas within the proposed Economic Partnership Agreement (EPA) with the European Union (EU).
“We are encouraged by the recognition by the two sides of the importance of a regionally owned mechanism such as an adjustment facility for financing adjustment costs arising from the EPA,” said Greg Urwin, Secretary General of the Forum.
“Addressing such costs, as well as translating opportunities into benefits, will be essential if the EPA is to assist the region in pursuing sustainable development,” he added.
Welcoming this shared recognition, Minister Keil reiterated the imperative “that resources for adjustment must be over and above those allocated from the European Development Fund (EDF). They must also be delivered timely and effectively, and that can best be done through a regionally-owned adjustment facility.”
On market access and related issues, Pacific Ministers welcomed the EC's commitment to offer duty-free and quota-free access. At the same time, they questioned the need for any restrictions in the case of sensitive products.
Minister Keil observed that it was difficult to imagine how, given the minute amounts exported from the Pacific to Europe, that there could possibly be any real risks for the EU from Pacific exports.
Similarly, recognising the special and unique circumstances of the Pacific, the two parties committed to further examine not only the EC’s proposed ‘Value Added’ approach to rules of origin, but also the PACP countries’ proposed ‘Change in Tariff Sub-Heading’ approach for determining the origin of products exported from the Pacific.
“For the EPA to benefit our region, it is essential that we see a meaningful improvement in the rules of origin. While the EC’s proposed approach may constitute an improvement for those countries in Africa that are close to the EU and other ACP states, the value-added criteria places our region at a distinct disadvantage,” said Mr Urwin.
Adding to this, Minister Keil said: “A value-added rule of origin simply will not bring developmental benefits to the Pacific because few inputs can be sourced locally and at competitive prices and quality.”
“The result,” he continued “would be to lock the PACP into existing patterns of trade as exporters of a few basic commodities to the EU and inhibit the development of our small manufacturing sector. The EPA simply must do more.”
On fisheries, the EC and PACP Ministers agreed to prioritise the advancement of this issue within the context of the EPA, underscoring the fact that the development of the fishing industry, along with improved market access including rules or origin needed to be important components of an EPA.
On trade in services, the EC reiterated its readiness to offer the PACP countries greater access to the EU market, including in the essential area of temporary movement of PACP nationals to the EU for work purposes. This access is recognised by the region as offering one of the greatest potential benefits arising from the EPA for many PACP countries.
“The meeting that we had with Commissioners Mandelson and Michel was positive and suggested that we could make progress at the technical level on various topics with a view to concluding the negotiations,” Minister Keil observed.
“At the same time, however, much hard work remained to be done over the coming months. It will be necessary for PACP Ministers to meet with EC Commissioners later in the year to review progress in order to reach agreement on an EPA by the end of the year.”
Agreeing with the Minister, Mr Urwin committed the Forum Secretariat to provide the greatest possible support to PACP Ministers in their EPA negotiations within the limits of available resources.
(Ends)
For more information on the outcomes of the meeting, please contact
Roman Grynberg, Director Economic Governance, Pacific Islands Forum Secretariat, via email or T: (679) 331 2600.
