Brussels, 16/05/2012 (Agence Europe) - The first economic partnership agreement (EPA) between the European Union and an integrated African regional body - Eastern and Southern Africa - has become reality. The trade and development agreement concluded by the EU and Mauritius, Madagascar, Seychelles and Zimbabwe took effect on Monday 14 May, much to the satisfaction of EU Trade Commissioner Karel De Gucht.
While the agreement on the gradual liberalisation of trade between the EU and the four countries is only interim, partial (for the moment, it relates only to goods and applies only to the four countries which have ratified it) and much delayed - it comes ten years after talks were opened on EPAs between the ACP (Africa, Caribbean, Pacific) Group of countries and the EU and five years after the 2007 deadline set by the WTO for their conclusion - the European Commission is greatly relieved.
“This is excellent news and I salute the hard work of negotiators and colleagues on all sides. With this trade deal we hope to accompany the development of our partners in Eastern and Southern Africa and open up better and lasting business opportunities”, De Gucht said in a press release.
The interim EPA provides duty and quota free access to the EU market for exports from the four countries. In return, these countries will gradually open their markets to European exports over the course of 15 years, with exceptions for certain products the countries consider sensitive.
The agreement covers provisions on rules of origin, development cooperation, fisheries, trade defence instruments and dispute settlement.
At the end of 2007, Comoros, Madagascar, Mauritius, Seychelles, Zambia and Zimbabwe concluded an interim EPA with the EU. Only four countries (Madagascar, Mauritius, Seychelles and Zimbabwe) went ahead and signed it in August 2009. Once the six countries and all 27 EU member states have ratified the agreement, it will officially come into force.
In 2011, total EU imports from the four Eastern and Southern African countries amounted to about €2 billion. The main imports were processed tuna, coffee, cane sugar, textiles, tobacco, cut flowers and metals. In the same year, EU exports to the four countries amounted to €1.7 billion and were made up mainly of machinery, vehicles, pharmaceutical products and chemicals.
To date, the only full EPA (covering both goods and services) concluded by the EU with an entire ACP region is with the Caribbean. (AN/transl.rt)