Europe’s trade negotiations with Pacific island countries

Last Updated on Monday, 7 May 2012 03:22

For immediate release

Washing its hands of its former colonies – Europe’s Economic Partnership Agreement negotiations with Pacific islands countries

The Pacific Institute of Public Policy (PiPP) today released a briefing paper on the Pacific lessons from the Economic Partnership Agreement (EPA). The paper was launched at the Solomon Kitano Mendana Hotel, in Honiara in front of audience of invited government officials, public servants, private sector and civil society representatives.

The briefing paper points out that after six years of negotiations (2002 to 2007) the Pacific should have a free trade agreement with the European Union like an Economic Partnership Agreement or EPA. Yet no deal has been reached. Fiji and Papua New Guinea have signed individual agreements to maintain preferential access to European markets. The deadline for negotiations has been extended by a further 12 months to December 2008, but there is no end in sight for the deadlock with the other 12 island nations.

Europe pitched EPA as a continuation of a historic partnership that would facilitate development, but many observers suspected neo-colonial intentions. Executive Director of the Pacific Institute of Public Policy, Mr Nikunj Soni, argues that a more nuanced understanding of EPA negotiations would suggest:

‘Although the EPA was couched as a Development Agreement, as negotiations progressed, it became clear that Europe no longer wished to keep defending special treatment for the African, Caribean, Pacific group of countries at the World Trade Organisation. Washing its hands of its former colonies would help the EU go after bigger, fast-growing markets like India, China and Brazil’.

The EU was always going to be in a strong position at the bargaining table, with access to numerous trade experts, professional negotiators and huge financial resources. As argued in the PiPP briefing paper, the Pacific island countries were unable to sway their EU counterparts on deal-breaker issues such as labour mobility, fisheries, investment and services. Instead the EU pushed for uniform economic liberalisation.

Mr Soni says that the briefing paper released today will help Pacific island countries learn from the EPA experience in preparation for the upcoming trade negotiations with Australia and New Zealand, adding ‘it is always easy to blame the big players when negotiations don’t fall the right way, but for the Pacific, exploiting opportunities as they arise requires a more realistic and sophisticated approach.’


ENDS

For more information or interviews please contact

Mr Derek Brien, Communications Director

+678 26579

pipp@ Pacificpolicy.org

Notes to Editor

About PiPP

The Pacific Institute of Public Policy (PiPP) is the only not-for-profit, independent and non-partisan think tank in the Pacific. The institute is based in Port Vila, Vanuatu and is a leading provider of information and knowledge exchange across the region. We stimulate and support policy debate in Pacific island countries.

About the briefing paper

The paper Pacific Lessons From The Economic Partnership Agreement released today by PiPP is the first in a series of five briefing papers on trade policy issues in the Pacific. The papers draw on extensive research and consultation with key Pacific trade experts and practitioners, and will be released over the coming months.

The briefing paper as well as a longer background paper can be found online at www.Pacificpolicy.org.


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