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EPAs are development-friendly trade agreements between the European Union (EU), its member states and African, Caribbean and Pacific countries (ACPs). EPAs were established to provide a WTO compatible trade agreement between the EU and ACP countries that is safe from legal challenges. They provide:
• duty and quota free access to EU markets
• long transition periods for developing countries to open up their markets
• safeguards that allow countries to protect vital products
EPAs also encourage regional integration by reducing trade barriers within the ACP regions.
To ensure that the trade relationship between the EU and ACP is in line with current World Trade Organisation (WTO) rules. Since 1976 an agreement between the EU and ACPs (which include 77 developing countries) had allowed ACP countries one way access to EU markets. This meant that while ACP producers were able to export to the EU, they had remained protected from European competition at home.
However, under WTO rules, developed counties – such as those in the EU – can only give this kind of one way access to two groups. It must either be available to all developing countries or only to the very poorest group, known as “Least Developed Countries”. As a result, several developing countries outside the ACP regions successfully challenged the EU to comply with this rule. The EU and the ACP were given until the end of 2007 to implement new arrangements that would fit in with WTO rules.
The UK Government continues to stand by the commitments we made in our position paper in 2005. (The position paper can be viewed by clicking on the related documents link). These agreements will only work if they are development focused and in the interests of the ACP countries negotiating them. We have always been clear that ACP countries should decide upon the scope of their EPA including whether deeper integration provisions, for example in services and investment, should be included.
The UK Government continues to work closely with the European Commission (who have been negotiating these agreements on behalf of the EU), EU Member States and ACP countries to ensure that these agreements are truly development focused and designed to deliver long-term development, economic growth and poverty reduction in ACP countries.
The Department for International Development (DFID) is providing support to strengthen the trade policymaking process in the ACP countries through a number of programmes. In addition DFID has undertaken a considerable programme of research on key development issues within EPAs, such as reciprocity, inclusion of investment and competition and transitional assistance.
At a meeting in May 2008 the General Affairs and External Relations Council adopted the Council Conclusions on the Economic Partnership Agreements. These conclusions have the support of all member states. For full details of these conclusions see attached paper in the external links.
For the latest news on the EPA negotiations please use the link on the right.
EPA contact:
Andy Brady
Tel: 0207 023 1650
E-mail:a-brady@dfid.gov.uk
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