Knight
ALMOST before the ink was dried on the Cotonou Agreement, which was signed in July 2000, the Everything But Arms (EBA) initiative emerged threatening to undermine the eight-year period of adjustment (ending in 2008) provided under the Agreement and the special commodity arrangements with African Caribbean and Pacific (ACP) countries.
After much lobbying and protest, the compromise reached means preferences for bananas will end in 2006 and for sugar in 2009.
Other events also threatened to undermine this period of adjustment. With a narrow interpretation of the European Commission's rules for entry of banana into Europe, market access for our exports of banana was temporarily refused in June.
In July, the European Union (EU) used the Convention on International Trade in Endangered Species (CITIES) to circumvent market access provided under the World Trade Organization (WTO) by barring access of our conch to Europe.
Although the barriers were removed for both our banana and conch exports, following the intervention of the Ministry of Foreign Affairs and Foreign Trade, these incidents illustrate the fragility of the current international trading arrangements and how rapidly changes are taking place. It also demonstrates that Jamaica has the capacity to protect its legitimate trading interest in the international market place.
In our efforts to reshape the global market in our interest, 2001 saw renewed recognition of our concerns of small economies in the Quebec Agreement, which set the date for completing negotiations in the Free Trade Area of the Americas (FTAA) for January 2005.
In July, Jamaica and other CARICOM countries signed the revised Treaty of Chaguaramas that provides the legal arrangements for the establishment of the CARICOM Single Market and Economy (CSME). December saw the entry into force of the CARICOM/ Dominican Republic Agree-ment.
A major highlight in the year was the fourth WTO Ministerial Meeting in Doha, Qatar, in November.
Among the decisions taken at this meeting was the granting of waivers upholding the preferential treatment for the group's banana exports to Europe until 2005 and other exports until 2008. The approval of the waivers will prevent the trade-related preferences granted to the ACP countries, including Jamaica, from being challenged in the WTO by countries, which are not beneficiaries.
This was good news for Jamaica, which earns inter alia over US$70 million per year from banana exports. In response to the rapid changes taking place in the global trading environment and the need to deepen and widen the consultative process on trade matters, The Jamaica Trade and Adjustment Team (JTAT) was formed in January 2001. Extensive consultations took place across the country in the process of shaping a new trade policy to more effectively confront the challenges of globalisation and the new trading environment.
Cabinet approved the new trade policy on September 24, 2001 and this was presented to Parliament at the end of the October. Effective implementation of this policy is expected to make a significant difference in Jamaica's ability to compete in the modern global environment and to engage the world in upcoming trade negotiations.
This year, the trade agenda promises even more activities than last year with the intensification of negotiations in CARICOM, the FTAA, the ACP-EU, compounded by a new round of negotiations in the WTO. It is also expected that the Cuba-CARICOM Agreement will enter into force this year.
K.D. Knight, the new Minister of Foreign Affairs and Foreign Trade, who replaced Dr. Paul Robertson (Foreign Affairs), and Anthony Hylton (Foreign Trade) in November 2001, will have his hands full.
The Ministry of Foreign Affairs and Foreign Trade through the courtesies of the Gleaner will keep you fully informed with these negotiations, deadlines, and all trade and trade related matters on a weekly basis. So check for it!
The Ministry of Foreign Affairs & Foreign Trade. Please forward your comments/questions to tradeconcerns@yahoo.com
