REPA Booklet - Stop Epa

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Preface In 1996 the European Commission released a Green Paper on future relations with Europe’s former African, Caribbean and Pacific (ACP) colonies. This signalled its intention to replace 30 years of one-way preferential trade and aid arrangements that had been provided through a series of Lomé Conventions with two-way free trade treaties that are euphemistically called Economic Partnership Agreements. The Commission predicted that: The future partnership will fit into a long transition process which will transform not only the economic organization of the country but also society itself. The framework for this radical transition is set out in the Cotonou Agreement 2000 and ties some of the poorest countries in the world to a market-driven model of ‘development’ that has manifestly failed them. This report was commissioned by the World Council of Churches, Office in the Pacific, to examine the negotiations between the European Union and the Pacific ACP states for a Pacific regional Economic Partnership Agreement that have resulted from the Cotonou Agreement. These negotiations were formally launched in September 2004. The terms of reference reflect the church’s commitment to transformation from the ‘development’ model of neo-liberal globalisation that is being promoted by the European Union - one which serves powerful governments and mega-corporations - to an agenda for development that is sourced in the values and ethics of social justice and solidarity with people and earth. That vision is articulated in the Pacific Churches Islands of Hope. A Pacific Alternative to Economic Globalisation and the preparatory documents for the World Council of Churches Assembly in 2006 God’s AGAPE - Alternative Globalisation Addressing Peoples and Earth. This report uses a question and answer format to provide churches, NGOs, unions, politicians and other activists with the knowledge to intervene critically and effectively in the process, which they can then translate into more accessible and creative forms for their own communities. The report draws on documents that were available to me, supplemented by interviews, to provide a critical assessment of the current negotiating strategies with particular attention to key sectors of sugar, fisheries, tourism and temporary migration of workers. I am acutely aware that this critique could be used as a justification for governments to say ‘no’ to an EPA and PACER, and do nothing. To the contrary, it urges governments to develop a Pacific-centred response to the very real challenges that face the region. At the same time, it has been written for use beyond the Pacific, as a further antidote to the European Commission’s move to divide and conquer by isolating the Pacific from the African and Caribbean countries that are also involved in the Cotonou negotiations. A People’s Guide to the Pacific’s Economic Partnership Agreement should also be read as a companion to A People’s Guide to the Pacific Agreement on Closer Economic Relations (PACER) (2004). The agendas and impacts of the Pacific EPA and PACER are inextricably linked and their combined effect could determine the future of the South Pacific and its people. Part I examines the historical backdrop to the Pacific negotiations, from the Lomé Conventions through to the Cotonou Agreement, and the largely unsuccessful attempts of the ACP countries to cement in a common baseline position during Phase 1 of the negotiations. Part II focuses on the Pacific Islands. The Cotonou negotiations are one of many hugely burdensome trade treaties and negotiations that threaten to submerge the Islands. The most ominous is the prospect that negotiations with the European Union may trigger a parallel process with Australia and New Zealand, whose effects could be devastating. Drawing on documents and interviews, the report examines some of the strategic options that are available to the Pacific Islands with particular attention to key sectors of sugar, fisheries, tourism and temporary migration of workers. Part III highlights the failure, once again, of the Forum Secretariat and national governments to conduct genuine, locally informed social impact studies before they decide on their negotiating positions and table their proposals. It stresses the importance of open, informed and vigorous debate that goes beyond the current ineffectual consultations with ‘non-State actors’ and calls on governments to empower the people whose lives are most directly affected to express their views. An equally urgent challenge faces the ecumenical church in the Pacific to educate, mobilise and inspire its congregations, not simply to reject EU-style globalisation, but also to spell out what genuine transformation means for their lives. I would like to thank those who have offered their knowledge and insights to assist in this research and those who reviewed drafts of the text. Professor Jane Kelsey January 2005 4 A People’s Guide To The Pacific’s Economic Partnership Agreement
Table of Contents Foreword Preface The Church’s AGAPE – Alternative Globalisation Addressing Peoples and Earth 3 4 8 Part One: From Lomé to Cotonou and the EPAs Page 10 1. The Pacific Islands, the European Union & Lomé 2. The Lomé Convention 3. African, Caribbean & Pacific Solidarity 4. An Old Wolf in New Clothes 5. Europe’s New Plan for the ACP 6. Clearing a Path for Free Trade 7. Recasting the ACP in Europe’s Image 8. The European Union’s Base Line 9. The ACP on the Back Foot 10. The Cotonou Agreement 11. An Open Door to the EU? 12. WTO Rules 13. A Threat to Food Security 14. Capturing the ACP’s Services 15. ‘New Issues’ through the Back Door 16. A Charter for Europe’s Investors 17. Phase 1 Negotiations 18. Unequal Partnership in Practice 19. Learning from Others’ Experience 20. Europe’s Quest for Legitimacy 12 13 15 16 17 19 20 21 23 24 26 28 30 31 33 34 35 37 39 41 Part Two: The Pacific’s Regional Economic Partnership Negotiations Page 43 21. The Pacific Negotiating Context 22. The Domino Effect of a Pacific EPA 23. Avoiding PACER’s Triggers 24. Common Cause: Australia/NZ & the EU 25. A Lack of Capacity 26. The Joint Road Map 27. ‘The Way Forward’ 28. (No) Goods 29. Sugar 30. Fisheries 31. Services 32. Tourism 33. Temporary Migration 34. Foreign Investment 45 47 48 50 52 54 56 57 58 60 62 63 64 66 A People’s Guide To The Pacific’s Economic Partnership Agreement 5
Page 1 and 2: A PEOPLE’S GUIDE TO THE PACIFIC
Page 3: Foreword One of the callings of the
Page 7 and 8: Abbreviations ACP African, Caribbea
Page 9 and 10: Spirituality, family life, traditio
Page 11 and 12: The description of reciprocal trade
Page 13 and 14: 2 The Lomé Convention Did the same
Page 15 and 16: 3 African, Caribbean & Pacific Soli
Page 17 and 18: 5 Europe’s New Plan for the ACP W
Page 19 and 20: 6 Clearing a Path for Free Trade Wh
Page 21 and 22: 8 The European Union’s Base Line
Page 23 and 24: 9 The ACP on the Back Foot When and
Page 25 and 26: compromise ‘good governance’ wa
Page 27 and 28: Is there another way of interpretin
Page 29 and 30: That sounds pretty watertight. It i
Page 31 and 32: 14 Capturing the ACP’S Services W
Page 33 and 34: 15 ‘New Issues’ through the Bac
Page 35 and 36: 17 Phase 1 Negotiations It sounds l
Page 37 and 38: 18 Unequal Partnership In Practice
Page 39 and 40: 19 Learning from Others’ Experien
Page 41 and 42: 20 Europe’s Quest for Legitimacy
Page 43 and 44: PART TWO The Pacific’s Regional E
Page 45 and 46: 21 The Pacific Negotiating Context
Page 47 and 48: 22 The Domino Effect of a Pacific E
Page 49 and 50: to establish probable coverage, con
Page 51 and 52: unskilled services workers into the
Page 53 and 54: sector acting ‘in their personal
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Is the Commission prepared to come
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28 (No) Goods What might a Pacific
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will probably approve this, especia
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PART FOUR of Origin that have to be
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32 Tourism What kind of tourism do
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contracts. They are usually paid th
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PART THREE Another Way Forward KEY
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“Studies ‘confirm the absence o
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“It is not true that ACP countrie
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$ We strongly support the stand of
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“The power of the churches’ spi
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Appendix I: Regional Pacific ACP Ne
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Appendix III: Pacific Island Forum
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Appendix VI: Selected References Ac
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Nalunga, Jane, ‘Eastern and South
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A People’s Guide To The Pacific
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REPA Booklet - Stop Epa

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