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Europe Daily Bulletin No. 9409
GENERAL NEWS / (eu) eu/trade

Commission proposes stronger partnership to improve access to third country markets for EU businesses

Brussels, 18/04/2007 (Agence Europe) - As part of a huge programme to pilot the EU trade policy, brought forward in early October 2006 and known as “Global Europe” (see EUROPE 9278-9279), the Commission, on Wednesday, adopted a dynamic strategy, in the form of a communication entitled “A Stronger Partnership to deliver Market Access for European exporters”, for access to foreign markets, particularly those of the emerging countries, for EU businesses. Based on the reaffirmation of the opening up of the Community market to the rest of the world, this strategy seeks to break down trade barriers abroad and create new opportunities for European exporters. The centre-piece of this new approach is a new decentralised partnership between the Commission, Member States and business on the ground in third countries where local expertise makes trade barriers easier to identify and tackle.

The Community's original Market Access Strategy, drawn up in 1996, aimed at enforcing multilateral and bilateral trade deals and at opening third country markets. This strategy had two pillars: providing information on market access conditions to EU business with the involvement of all relevant EU stakeholders; and creating a method on how to tackle barriers. A decade later, the new strategy proposed by the Commission is more adapted to the new requirements of the globalised economy, which is characterised by the emergence of new major trading partners, particularly among the emerging countries (South Africa, Argentina, Brazil, China, India, Mexico, Russia etc.) and changes in the types of trade barriers which are now more non-tariff and regulatory (regulations, standards, authorisations, certifications, permits etc.) and which, located behind borders, are more difficult to identify and more complex to address.

The new market access strategy, which aims to benefit the interests of both larger and smaller EU businesses, is built on: - closer and more action-oriented cooperation between the European Commission, Member States and business, including the establishment of EU Market Access Teams on the ground in countries outside the EU, both to identify trade barriers before they appear and tackle existing obstacles to trade; - better prioritisation of resources, focusing on certain target markets, key sectors or issues such as intellectual property rights (IPR); - better use of opportunities presented by negotiations - in particular in the Doha Round and the new generation of EU Free Trade Agreements (FTAs) - to make progress on non-tariff barriers; - tougher focus on the enforcement of global and bilateral trade rules - through institutional dispute settlement and Europe's trade barrier instruments; - a more efficient and transparent service to business, including more systematic registration and follow-up of cases and an improved Market Access Database.

Presenting the strategy to the press, along with BusinessEurope Secretary General Philippe de Buck, Trade Commissioner Peter Mandelson briefly set out the main aims and the stages of the action. The first stage will be a more operational pooling of information and means of action by the Commission, member states, and, for the first time, businesses, in order to increase their chances of entering even the most closed markets. This first phase is based on identifying new trade barriers - “superfluous regulations, discriminatory standards and infringements of intellectual property rights”, Mr Mandelson said - in a number of key areas. The means must also be taken to act be able to react more rapidly to major protectionist regulatory proposals before they are adopted by partner third countries, and use must be made of knowledge of local means to bring down quickly and effectively barriers blocking access to markets.

Once the barriers have been identified, they have to be lifted through the use of “diplomatic pressure” on the protectionist countries, particularly the emerging economies, which have reached high levels of growth through the international trade system but which maintain measures making it difficult to gain access to their markets. Alongside what he called the “active dialogue phase” and the instruction exercise which necessitates patience and stamina, Mr Mandelson suggested closer monitoring of adherence to WTO rules and adapting its dispute settlement mechanism, closer monitoring of the implementation of existing bilateral agreements and stronger EU representation on international standardisation bodies. “If the barriers resist, the EU will consider stronger measures to have them lifted,” Mr Mandelson said, without mentioning the phrase taking matters to the WTO, which would be the third stage in the new Community strategy.

Mr De Buck assured Mr Mandelson of Business Europe's support for the strengthened partnerships proposed by the Commission, which according companies a key place. He insisted that, “The Commission and the EU member states combined have several hundred diplomatic personnel in countries like China or Russia…but how many of them deal with the growing number of trade barriers…it needs to put serious resources into this important field”. He called on European company bosses to accompany the trade commissioner during this journey in third countries. (eh)

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