EPA Review Annex Documents - DFID

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counties in the EPA process. Moreover, the staff of the Trade Capacity Building Unit (TCBU), (four staff), of the EU Project also provided professional support in the negotiation process especially in the EPA process, for the last three years. In general, had it not been to the support of the NDTPF and support by the expatriate experts (the TPA and TCBU staffs), the challenge for Ethiopia’s EPA negotiation in the area of human resource, and relevant expertise would have been much critical and serious. As the NDTPF members have their own duties and responsibilities in their own institution/organisations; their contributions were limited only at their spare time and at a meeting once in a month. However, the diverse experience and expertise of the NDTPF members from various institutions has helped Ethiopia’s preparation for the negotiation. Of course, members of the NDTPF do not have equal understanding of all trade matters. But, continuous awareness creation programs provided through trainings, workshops, and seminars has contributed in narrowing the gaps in understanding. Lack of incentives for their additional contribution was one of the bottlenecks to fully utilise and take advantage of the expertise of the NDTPF members. Financial resources For all regional negotiations related to the EPA, each ESA state including Ethiopia has been sponsored from the regional project managed by the Inter Regional Coordinating Committee (IRCC) from the budget earmarked by the EC for the EPA negotiation. Each member state was sending three negotiators for the RNF negotiation. For the sake of continuity and institutional memory, the negotiation guidelines required the same three people to attend the entire negotiation permanently. But, in practice countries were changing people as deemed necessary. The RNF negotiations were held at least once in every three months and more frequently as and when necessary, especially during the beginning of the EPA negotiating process and in 2007 to meet the deadline for the WTO waiver. Ethiopia, as most countries in the ESA region, does not have a budget earmarked for the EPA negotiation to delegate more experts for the negotiation. Though issues negotiated at the RNF level to develop regional negotiating position were diverse and need expertise in each field, because of lack of a budget to send necessary additional experts from the NDTPF members to the RNF negotiation was not possible and was one of the challenges faced by Ethiopia. The Government of Ethiopia has been earmarking Birr 200,000 ($15,650) on average every year for the last five years for bilateral trade relation and negotiations and for attending permanent and known regional meetings like; COMESA Trade and Customs Committee meeting, COMESA Trade Ministers, ESA Council, AU Trade Ministers, ACP Trade Ministers, and WTO Trade Ministerial meeting. The Birr 200,000 budget was to cover all travel related costs. However, the budget fell far short of the real need to effectively participate in all regional and bilateral negotiations and meetings. NGOs like OXFAM GB and Friedrich Ebert Stiftung who are working in trade related areas have also supported the negotiation by earmarking budget on a demand bases. Summary of negotiating resources Summing up, Ethiopia has engaged in a very large number of trade agreement negotiations at bilateral, trilateral, regional and multilateral level in recent years. The 61
EPAs negotiation process is parallel with Ethiopia WTO accession process. These two negotiating processes clearly stretch existing insufficient human resources. Interestingly, however, the allocation of staff does not reflect the potential impact of each of the agreements. The clearest example is the fact that the same number of technical staff is deployed to cover an array of bilateral and trilateral “shallow” agreements as for more comprehensive regional agreements such as EPAs and COMESA, which are more likely to have impacts on Ethiopian economy. Despite this large negotiating burden on Ethiopian officials, it is important to highlight the fact that Ethiopia has still not signed any of the negotiating agreements: COMESA, EPA and WTO. Regarding EPA negotiations, the negotiating team has clearly benefited from the creation of the NDTPF, adding expertise from other ministries, and especially, from external consultants support funded by EU and Commonwealth projects. Finally, it is also important to emphasise that financial incentives for officials to travel to meetings and trainings are large, since per diems excluding hotel ($70) represent 17% of an average salary (i.e. an average technical staff will double his/her salary with 6 days of meetings and travelling in one month) Nigeria Trade negotiation structure The Department of Trade of the Federal Ministry of Commerce and Industry (FMCI) is the focal point for trade negotiations in Nigeria. The FMCI is divided into three main departments: multilateral, bilateral and domestic trade. The multilateral department is composed of units in charge of UNCTAD and WTO issues, and intra-Africa trade issues mainly related to EPA and regional integration. The domestic trade department deals with trade information and complaints as well as weights and measures, while the bilateral department has two units with responsibility for trade and investment cooperation with the Americas, Asia, Australia, Africa and Europe. Clearly most of the negotiating pressure occurs at the intra-African trade unit that deals with ECOWAS, EPAs and also GSP preferences, since Nigeria has been applying for GSP+ preferences. Three teams are in charge of trade negotiations, WTO, the EPA and third team dealing with all other bilateral trade and investment negotiations. The WTO team is structured to function at two levels, the Geneva-based negotiators and the capital based (Abuja) officials who provide directions and national positions for the multilateral negotiations. Human resources Table 2 summarises the main structure of the department for trade. It shows uneven proportional allocation of staff - eight staff cover EPA, ECOWAS and GSP, as compared to 28 for WTO, 14 for bilateral issues or seven for UNCTAD. EPA negotiations 62
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EPA Review Annex Documents by Insti
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Part Three: EPAs as Instruments for
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Part One: Literature Review 4
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countries demanded more precision a
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essential and fundamental of EPA (h
Page 11 and 12: EPA group. However, after phase II
Page 13 and 14: Disagreements also existed on other
Page 15 and 16: ules of origin as a basis for negot
Page 17 and 18: would not meet WTO provisions. Even
Page 19 and 20: is only just about to conclude an i
Page 21 and 22: The EC took almost nine months to a
Page 23 and 24: Caribbean The CARIFORUM EPA was the
Page 25 and 26: services, CARIFORUM countries commi
Page 27 and 28: 2006. Moreover, PACP countries cons
Page 29 and 30: Table 3 Main Problems and Divergenc
Page 31 and 32: 4. Final comments The EPA’s negot
Page 33 and 34: creation) but can also lead to impo
Page 35 and 36: preferences and hence are likely to
Page 37 and 38: 3. Impact of the EPAs by Region One
Page 39 and 40: Cape Verde (loss of 4.1% of GDP) an
Page 41 and 42: SSA ECOWAS CEMAC COMESA EAC Table 2
Page 43 and 44: Perez (2005) CGE, 2001 base year 80
Page 45 and 46: Whilst most studies appear to agree
Page 47 and 48: 7. Annex Literature Countries Metho
Page 49 and 50: Hinkle and Schiff (2004) "Economic
Page 51 and 52: Milner, Morressey and McKay (2008)
Page 53 and 54: Karingi et al (2005) “Assessment
Page 55 and 56: Greenaway and Milner (2003) "a grim
Page 57 and 58: Perez, R (2005) “ Are the Economi
Page 59 and 60: Case Studies Lessons 1. Introductio
Page 61: trade relation and negotiation matt
Page 65 and 66: • EPA team The EPA negotiating te
Page 67 and 68: - State Secretariat of Environment
Page 69 and 70: Technical Negotiation Group (TNG) m
Page 71 and 72: spent for these impact assessment s
Page 73 and 74: Other opportunity costs Another imp
Page 75 and 76: Since domestic constituencies tend
Page 77 and 78: Table 11 Negotiating Meetings and R
Page 79 and 80: • An estimated $214,000 in travel
Page 81 and 82: The main expectation of the process
Page 83 and 84: Commission was forced to take up th
Page 85 and 86: Therefore, while negotiators could
Page 87 and 88: System Improvement & Human Resource
Page 89 and 90: Ethiopia - List of RNF meetings Amo
Page 91 and 92: Nigeria Cost of EPA negotiation-rel
Page 93 and 94: Dominican Republic Distribution of
Page 95 and 96: 1. Overview of existing resources f
Page 97 and 98: The FTRD that was responsible for b
Page 99 and 100: The support of the NDTPF and the ex
Page 101 and 102: dedicated sessions during the year
Page 103 and 104: Mauritius, Seychelles, and Madagasc
Page 105 and 106: 3. Quantification of costs of count
Page 107 and 108: Ethiopia took a clear stance from t
Page 109 and 110: 4. Perspectives on EPA negotiations
Page 111 and 112: 5. Qns: Had you had more resources,
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) Basic knowledge on Cotonou Agreem
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Council of ESA Ministers Committee
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System Improvement & Human Resource
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List of RNF meetings 118 ANNEX VII
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EPA Review Study Nigeria December,
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contains the quantification of cost
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which appear to have crowded out ac
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Table 3 Resource Detail of Intra-Af
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Table 5 Capacity Building Programme
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Table 7 Cost of EPA Negotiation-Rel
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ADDRESSING THE LABOUR MARKET EFFECT
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Table 9 Annual Cost of Nigeria Trad
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Though the current negotiating stru
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• The simultaneous application of
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understand the changing environment
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7. Summary of Findings and Main Les
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opportunity cost could be quite sub
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• There is adequate technical adv
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5. Appendices Appendix Table 1 Rang
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EPA Review Study Dominican Republic
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c. Technical Level At a regional le
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2) From the ministers of trade of C
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The fact that the DR had previously
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- State Secretariat of Foreign Rela
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Table 1 Distribution of the Main Tr
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Figure 2 CARIFORUM Dimensions Diffe
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with the EU, in order to present a
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Table 4 Average Monthly Salaries EP
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In additional there were eight meet
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Per Diem Rate (US$) 500 A- Total of
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5. Perspectives of EPA negotiations
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usiness and political levels repres
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expectation of increases in exports
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8. Annexes Interviews Name Institut
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MAY o 05-06: WTO TWG on NAMA, Barba
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o 05-06: Joint Meeting of the Prime
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o 10-13: 12 th Meeting of CARIFORUM
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Trinidad & Tobago, 11-15 mayo 2007
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Reviewing services negotiations in
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Table 2 MMain differeences in serrv
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3. Services coverage in the CARIFOR
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In this exercise, it is important t
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196 ANNEX Provisions of the agreeme
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Tariff and Non-tariff barriers in E
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products could be extended until ye
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extended to the original partner. F
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than the rate applied on the proces
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RoO and the EPAs 1. Introduction Ru
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Table 1 Similarity of EAC countries
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that value added in ACP countries o
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The EU has yet to deliver a simple
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arrangements, are constrained by pr
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and non-oil exporting countries wit
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Common Market for Eastern and South
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to be seen. The Ethiopia case study
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fact that countries either export o
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development assistance in the EPA.
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References Bilal, S. and Stevens, C
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SPS Issues in EPA Negotiations 1. B
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The SPS committee provides an oppor
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of equivalence. Clearly, the Econom
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In the case of Ghana, where there i
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which relevant entities within thei
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Specific provisions While the final
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‘.....In addition, the Parties sh
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imparted to EPA signatories. In pra
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of the EC Party when these products
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So what have the EPA negotiations a
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Region/Country Year Total 2002 2003
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EAC CARIFORUM PACP Region/Country Y
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EAC CARIFORUM PACP Region/Country N
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EAS SADC EAC Country/Region Mycotox
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Country/Region West Africa CEMAC Co
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Development Finance and EPAs 1. Int
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evenues, one of the main sources of
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References Braun-Munzinger, C. ( 20
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