Ethiopia and EPA Negotiation 2008 - FES Ethiopia
Ethiopia and EPA Negotiation 2008 - FES Ethiopia
Ethiopia and EPA Negotiation 2008 - FES Ethiopia
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internal<br />
taxation <strong>and</strong><br />
regulation<br />
Article 18.6<br />
Bilateral<br />
safeguards<br />
Article 21.5 b)<br />
Economic <strong>and</strong><br />
Development<br />
Cooperation<br />
Fisheries<br />
national treatment for<br />
infant industries <strong>and</strong><br />
also more broadly for<br />
development needs.<br />
There is a bias in favour<br />
of LDCs - so that they<br />
can apply safeguards<br />
to protect infant<br />
industries for 15 years<br />
instead of 10 years.<br />
ESA has 16 dedicated<br />
articles on specific<br />
development<br />
cooperation aspects.<br />
The texts are identical<br />
caveats.<br />
There is no distinction<br />
between LDCs <strong>and</strong><br />
non-LDCs in the EAC<br />
text.<br />
EAC has one article<br />
that states broad areas<br />
of cooperation - such<br />
as sustained growth,<br />
regional integration,<br />
fostering structural<br />
transformation,<br />
addressing supply<br />
capacity, etc.<br />
Paragraph 2 also spells<br />
out funding will come<br />
from the EDF, Aid for<br />
Trade <strong>and</strong> the EU<br />
General Budget.<br />
The ESA text better reflects<br />
the needs of <strong>Ethiopia</strong>.<br />
There is very little in terms of<br />
attention being paid to<br />
development needs in the<br />
EAC text. The ESA text has<br />
little of financial value<br />
either but the areas<br />
covered make it more<br />
comprehensive.<br />
AREAS FOR<br />
FUTURE<br />
NEGOTIATIONS<br />
Rendez-vous<br />
Clause<br />
Article 53 ESA,<br />
Article 37 EAC<br />
DISPUTE<br />
AVOIDANCE<br />
AND<br />
SETTLEMENT,<br />
INSTITUTIONAL<br />
AND FINAL<br />
PROVISIONS<br />
General<br />
exception<br />
clause<br />
Article 40 EAC,<br />
Article 56 ESA<br />
g) mentions current<br />
payments <strong>and</strong> capital<br />
payments<br />
i) mentions good<br />
governance<br />
No extra paragraph.<br />
Neither of these areas<br />
are included in the EAC<br />
text for future<br />
negotiations.<br />
Paragraph h) gives an<br />
extra exemption to the<br />
EAC countries. This is<br />
where practices are<br />
inconsistent with<br />
Articles 17 on National<br />
Treatment, provided<br />
that the difference in<br />
treatment is aimed at<br />
ensuring the effective<br />
or equitable imposition<br />
or collection of direct<br />
taxes in respect of<br />
<strong>Ethiopia</strong> may wish to review<br />
the content of the future<br />
negotiations very carefully<br />
as it includes TRI <strong>and</strong><br />
services. The inclusion of<br />
these topics may not be<br />
commensurate with the<br />
ambitions of <strong>Ethiopia</strong>.<br />
This allows an exemption in<br />
relation to tax policy,<br />
perhaps this should be<br />
included in the ESA text.<br />
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