Oxfam dismayed by EU failure to lift trade threat on poor nations
Oxfam International Press Release
11 December 2007
International agency Oxfam today expressed grave concern that the EU is set to increase significantly import tariffs on poor countries' goods from next year, with a potentially devastating impact on economic growth and regional integration.
In a meeting yesterday to discuss new trade agreements due to be finalised between the EU and African, Caribbean and Pacific countries by December 31, EU Foreign Ministers confirmed that any countries failing to agree deals by the end of the year would face an increase in tariffs on goods they sell to the EU.
The decision was taken despite concerns raised by some Member States, including the UK, the Netherlands, Denmark, and Ireland.
Luis Morago, Head of Oxfam International's EU Office, said: "The cost of this could be enormous. In Namibia, for example, exports of beef, fish and grapes worth €45m will be lost overnight if they don't sign – this is equivalent to four times the amount the EU gives them in aid each year.*
"The EU has forced countries to choose between the devil and the deep blue sea. Countries either sacrifice their current exports, which provide hundreds of thousands of jobs and vital revenue, or they sign up to deals which will undermine future industrial growth and expose vulnerable subsistence farmers to unfair, subsidised European competition."
So far, fewer than 20 of the total 76 countries have initialled deals, but the remainder are under enormous pressure to fall in line before the deadline.**
Oxfam is urging EU Member States to challenge the European Commission's position and argue for more time for the negotiations. In 2000, when negotiations began, the EU promised that no country would be left worse off by signing an Economic Partnership Agreement, but that does not look likely to be the case.
Countries that have signed interim deals should be give the opportunity to renegotiate problematic clauses that will prove detrimental to development.
Contact
For more information, contact Amy Barry on 07980 664397
ROI: Paul Dunphy, Media and Communications Executive, 01 635 0422, paul.dunphy [at] oxfamireland.org
NI: Phillip Graham, Media and Communications Officer, 028 9089 5959, phillip.graham [at] oxfamireland.org
Notes:
* Overseas Development Institute estimate, quoted in Financial Times, 10/12/07
** ACP countries initialled to date: 18; ACP countries not initialled to date: 58; Non-LDCs initialled to date: 9; Non-LDCs not initialled to date: 29. The non-LDCS that have not initialled yet are: Ghana, Nigeria, Namibia, South Africa, Cameroon, Congo, Gabon, Antigua & Barbuda, Bahamas, Barbados, Belize, Dominica, Dominican Republic, Grenada, Guyana, Jamaica, St. Kitts & Nevis, St. Lucia, St. Vincent & Grenadines, Suriname, Trinidad & Tobago, Cook Islands, Marshall Islands, Micronesia, Nauru, Niue, Palau, Tonga
Oxfam Ireland is an independent member of Oxfam International- a group of thirteen non-governmental agencies dedicated to fighting poverty and related injustice around the world.
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