Declaration F CES5103-2009 REV DECL EN
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/ CONCLUSIONS OF THE 10th REGIONAL SEMINAR OF ACP-EU ECONOMIC AND SOCIAL INTEREST GROUPSGaborone, 28 to 30 June 2009
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The European Economic and Social Committee (EESC), representing the economic and social components of organised civil society in the European Union, organised the 10th Regional Seminar of ACP-EU Economic and Social Interest Groups in Gaborone, Botswana, on 28 to 30June, in accordance with the mandate conferred on the EESC by the Cotonou Agreement. Under the aegis of the ACP-EU Joint Parliamentary Assembly, the regional seminar brought together delegates from the economic and social interest groups of the 15 SADC countries, in addition to ACP and European members of the ACP-EU Follow-up Committee of the EESC. EU and ACP institutions, Economic and Social Councils, the diplomatic corps, international and regional socio-professional organisations and representatives of wider civil society from Botswana also attended. The representatives of the ACP-EU economic and social interest groups adopted the following declaration:
FINAL DECLARATION
Executive SummaryLimiting the impact of the financial and economic crisis on Africa:
The delegates stress that the financial and economic crisis has seriously undermined Africa's growth and development and that it will impact the poorest and most vulnerable in particular. In order to reduce the impact of the crisis the delegates callfor the following:
Existing aid commitments towards Africa to be fulfilled and possibilities for additional funding to be explored
Greater policy coordination at all levels to be ensured, with a view to reviving private investment and prioritising infrastructure,
Implementation of the ILO Global Jobs Pact and in particular the promotion of job creation, social dialogue, decent work and social protection schemes
Prioritising good governance in the fiscal areas and anti-corruption measures
Seizing the opportunity of the crisis to create greener and more sustainable economies in Africa and to encourage investment in research and development
Continuing the negotiations on the Economic Partnership Agreements, but under certain conditions:
The delegates take note of the Interim EPAs already initialled. They ask for EPA negotiations to continue towards comprehensive EPAs, under the following conditions:
Negotiations to take place at an appropriate pace for the capacities of the SADC countries
The negotiations should include economic, social and environmental provisions which will maximise the developmental dimension of the EPAs
Accompanying measures to ensure the successful implementation of the EPAs and their contribution to development should include the restructuring of ACP industries, product diversification, the development of infrastructure, the modernisation of the agricultural sectors, human resources development, fiscal reforms and good governance
Sufficient financial resources from the 10th EDF and from the "Aid for Trade" programme should be made available
Non-state actors must be regularly informed and effectively involvedas the negotiations on the EPAs continue
Institutional provisions for the participation of non-state actors in monitoring the implementation of the EPAs (Civil Society Consultative Committees) should be introduced in future comprehensive EPAs, following the model of the CARIFORUM-EC EPA. In this context, non-state actors should create regional networks along socio-professional lines and subsequently platforms of these networks.
The delegates consider that the above recommendations on the EPAs could constitute the basis for future discussions and actions of non-state actors and of their regional networks, in the context of the forthcoming negotiations.
Recognising food security as a human right:
The ACP-EU economic and social interest groups welcome the renewed international interest in food security in Africa and highlight the pivotal role of agriculture and of integrated rural development in the sustainable development of their countries. The delegates call for:
Food security to be considered a human right and for a reflection to be launched on the treatmentof the agricultural sectorin international trade negotiations
Agricultural policy and integrated rural development to be placed at the centre of national and international development strategies, focussing on support to local and regional markets and on the well-being of the rural population
Infrastructure, technology transfer and ensuring the availability of factors of production to be prioritised
The capacities of farmers' organisations, women's and consumers’ associations to be reinforced, and for these organisations to be regularly consulted and effectively involved in agricultural policy and decision-making processes
Progress on Cotonou, but challenges remain:
The ACP-EU economic and social interest groups welcome recent progress on involving non-state actors in implementing the Cotonou Agreement, but call on their national authorities and on the European Commission to:
Step up efforts to disseminate information on the Cotonou Agreement
Organise effective consultations with a wide spectrum of non-state actors with the objective of effectively involvingthese actors, rather than simply informing them on policy decisions
Urgently launch the non-state actor capacity-building programmes
In order to better contribute to the consultative process, non-state actors should:
Organise themselves into representative platforms at the national and regional level
Develop contacts with their national authorities and EC Delegations
The delegates call for the 2010 Revision of the Cotonou Agreement to:
Review the priorities of ACP-EU cooperation and provide sufficient resources, in order to mitigatethe consequences of the food, energy and financial crisis and the challenges of climate change
Actively contribute to regional integration and to reinforcing the regional networks of non-state actors
Take steps to effectively implement existing provisions for the involvement of non-state actors
Involve national parliaments and local authorities in the implementation of the Agreement
Take into account the views of economic and social interest groups on the 2010 Revision
The impact of the financial and economic crisis on Africa: challenges and opportunities for the future
Africa's development undermined
1.The ACP-EU economic and social interest groups recall the high levels of economic growth in Africa prior to the financial and economic crisis. They highlight the negative impact of the crisis on Africa's trade volumes, the foreign direct investment and private financial flows to the continent, in addition to important reductions in income from remittances and tourism.
2.The delegates strongly regretthe negative impact of the crisis on the progress made by Africa towards attaining the Millennium Development Goals. They stress that the crisis will impact the poorest and most vulnerable sections of society in particular.
Overcoming the challenges of the economic and financial crisis
3.The ACP-EU economic and social interest groups call on the EU and other international partners to fulfil their existing aid commitments towards Africa and to explore possibilities of additional funding. Moreover, they ask for the disbursal of aid to their countries to be accelerated.
4.The delegates call for aid to be more effectively implemented, through greater policy coordination at all levels. Donor countries should respect their international commitments on aid effectiveness and promote aid predictability.
5.The participants highlight that OfficialDevelopment Aid alone, is insufficient to overcome the challenges of the economic and financial crisis. They stress the necessity of reviving private investment and of supporting the private sector. To this end, they welcome the EC proposal for the European Investment Bank to increase its support for the African banking sector and microfinance institutions, through the provision of credit facilities and guarantees for investment.
6.The participants call for growth and job creation to be promoted byincreasing consumer demand through stimulus packages, by prioritising infrastructure and by developing sustainable medium and long term strategies to increase the capacities of the agriculture sector. The delegates welcome the EC proposal to accelerate the Mid-Term Review of the Country Strategy Papers, with a view to reflecting these priority sectors. Within this context, the delegates call for non-state actors to be consulted on policy formulation and on the programming of such policies and to be involved in their implementation and monitoring.
7.The ACP-EU economic and social interest groups stress the potential for socio-political instability, as a result of the current crisis and emphasise the need for recovery and growth. Investment in social protection, notably health, education, vocational training and retraining should be continued and stepped up by international donors and African authorities.
8.The delegates fully support the recently adopted ILO Global Jobs Pact and call for its full implementation. In particular, they call for the promotion of social dialogue and of decent work, and for efforts to continue towards increasing the levels of employment in the formal sector.
9.The participants stress the necessityof establishing National Committees in all African countries, with a view to monitoring the impact of the crisis. Economic and social actors should be fully involved in these National Committees.
10.The delegates ask for additional efforts to be made to promote good governance, including the fight against corruption. Good governance in the fiscal areas is particularly important in the current environment, for example in the tax and expenditure area, in order to increase African financial resources for development. Efforts should also be made to enforce transparency and accountability in financial transactions in developed countries, in order to deter the illegal transfer of funds from African countries.
11.The ACP-EU economic and social interest groups note that the crisis provides the opportunity to re-orient policy priorities and funding towards the creation of greener and more sustainable economies in Africa. To this end, the funds of the EU's Energy Facility should be rapidly and effectively disbursed on renewable energy projects in Africa. Moreover, innovative funding to combat the negative effects of climate change in African countries should be actively promoted, for example, using some of the EU Member States' funds from emissions trading, to finance climate adaptation programmes in Africa.
12.Future policies should also encourage foreign and local investment in research and development in Africa, thus making use of the creative potential and young age of the African population. Such measures would promote innovation, productivity, competitivenessand market liberalisation on the continent.
On the negotiations and implementation of the Economic Partnership Agreements
The disparities in SADC-EU trade relations
13.The ACP-EU economic and social interest groups recall the original objectives of the EPAs, notably, the promotion of sustainable development and poverty eradication, via regional integration and the gradual inclusion of ACP countries into the world economy.
14.The delegates note the current situation with regard to the relations between the SADC and EU countries, characterised by trade under four different regimes (Interim Economic Partnership Agreements, when they enter into force, the Generalised System of Preferences, "Everything-But-Arms" and the Trade, Development and Cooperation Agreement with South Africa). The SADC countries are also negotiating EPAs under four different geographical configurations.
15.The participants note the SADC countries' longstanding membership of overlapping regional integration initiatives (SACU, COMESA, EAC and ECCAS), which have the potential to hinder effective regional integration of the SADC countries as a whole. Within this context, the participants welcome the programme for trade harmonisation agreed upon by the three Regional Economic Communities in Kampala in 2008.
16.To this end, the delegates consider that the interim EPAs are stepping stones towards comprehensive EPAs. The delegates recognise the interim EPAs already initialled and call for the negotiations towards comprehensive EPAs to continue, at an appropriate pace for the capacities of the SADC countries. However, in order for the SADC members to be able to take full advantage of the opportunities provided by the EPAs, a number of economic, social and environmental pre-conditions and accompanying measures are necessary.
Ensuring EPAs are effective instruments of sustainable development and poverty eradication
17.The participants note that the interim EPA agreementswill provide legal certainty of quota and duty free access to the EU market.
18.The delegates recognise that certain trade instruments relating to the EPAs have the potential to contribute to the development of the SADC region. For example, simplified rules of origin should promote the development of industries in SADC countries, notably the textiles, fisheries and agriculture sectors, thereby enhancing employment creation.
19.The ACP-EU economic and social interest groups note that for some SADC countries, the discussion on the inclusion of investment, intellectual property, public procurement and services in the EPA negotiations have begun. The delegates stress that for those SADC countries where negotiations on these items are still ongoing, they must have the possibility to reject or to postpone their inclusion within the EPAs. For example, if they consider that regional capacity to implement these provisions is currently insufficient.
20.The delegates call for continued restructuring of SADC industries, in order to help improve production and competitiveness, with a view to attracting foreign and local investment. Sufficient protection of infant industries should also be ensured. Within this context, the delegates welcome the negotiator's agreement to increase the maximum period of application of protective tariffs for the infant industries of the SADC EPA Group of countries, and call for similar provisions to be agreed upon for the remaining countries of the region.
21.The participants call for flexibility in the implementation of the "Most Favoured Nation" clause and for a review of the provisions of this clause within the context of the negotiations of the comprehensive EPAs. It is hoped that such a review will enable the development concerns of the region to be better integrated into the EPAs.
22.The delegates welcome the decision to add a food security article to the future comprehensive EPA with the SADC EPA Group of countries, which will include safeguard measures to protect local food security. The participants consider that each citizen has a right to food security, call for a review of the impact of the EPAs on food security in the SADC countries and ask for farmers' organisations to be actively involved in this process.
23.The ACP-EU economic and social interest groups also welcome the inclusion within the 10thEDF SADC Regional Indicative Programme of significant funds for EPA support. The delegates note the provision of the 10th EDF funds to all SADC countries, irrespective of their decision on signing the EPAs, and call for funds to be allocated for social policy. They call for the amounts to be speedily and effectively disbursed. In the event where the funds from the 10th EDF and the EU's "Aid for Trade" (including "Regional Aid for Trade") programmes are insufficient, additional funds should be provided by EU Member States.
Creating a favourable economic environment for the implementation of the EPAs
24.In order to enhance their capacity to trade, the participants stress the urgency of diversifying local production in SADC countries, fostering the production of higher value goods and increasing exports, which will contribute to employment creation. The delegates call for the greater involvement of non-state actors in the definition of these strategies.
25.The ACP-EU economic and social interest groups emphasise the importance of modernising the agricultural sector in many SADC countries, in order to increase production levels and to ensure food security. Moreover, the participants ask for EU support, technical and financial, to help local agricultural producers to adhere to the strict EU health standards for food exports to the EU.
26.The ACP-EU economic and social interest groups express their concerns regarding the anticipated loss of revenue from the elimination of customs tariffs. The delegates note that in the medium-term, this revenue loss is likely to be balanced by increased economic activity within the region. They ask that SADC countries take steps to introduce progressive fiscal reforms.
27.The participants stress the necessity of investing in human resource development, notably in the education of women and of the young, and in the vocational training and retraining of workers.
28.The delegates stress the links between regional integration and the promotion of infrastructure, within and among the SADC countries. The emergence of a reliable infrastructure system will directly contribute to trade creation and to the promotion of growth and employment. Within this context, the delegates welcome the North-South Corridor project of COMESA, EAC and SADC, which is partly funded by the EU.