How will the Lome Convention be revised when it comes up for renewal? The 26th ACP-EU Joint Assembly, which meets twice-yearly and brings together MEPs with MPs and delegates from 71 African, Caribbean and Pacific (ACP) countries, met from April 20th to 23rd in Mauritius to consider this very question. At issue are the options for change in terms of relations in a global economy, when the present treaty expires at the end of the century. The EU, which through the Member States provided some $31 billion in aid for 1996, is still the world's largest aid donor. Serious talks on the new arrangements will begin in September, but it became clear from the meeting that the ACP states were wary of the EU's intention to negotiate four or five regional or free trade agreements with specific areas. This, they believe, will undermine the solidarity of the "Seventy-one" and its ability to negotiate as a block.
Also, the ACP states fear that exposing fragile economies to free trade and competition will threaten fledgling local industries. Furthermore, countries dependent on single crops, such as rum and sugar, look to the EU's guaranteed market as a means of ensuring survival; they are not convinced that the answer lies in diversification.
Mauritius is a case in point. A tiny island in the Indian Ocean with a population of just one million, its economy, based on sugar, fisheries, textiles, tourism and now financial services, has prospered over the past 20 years with the help of EU assistance.
It has a per capita GDP of $3,500, and there is no poverty, visible hardships or unemployment. But the Prime Minister, the Honourable Navinchandra Ramgoolam, felt that, like many other ACP states, it needed the security of steady flows of aid to contribute to long-term development and guaranteed markets at fixed prices for the sugar crop.
It is difficult to justify the exclusion of developing countries in Asia, such as India and Bangladesh, from preferential relations with the EU. Member States agree that it is just not practical to extend Lome benefits and the Ecu 13.3 billion aid package to such a large population area, though there is an understanding that special provisions will apply to the poorest countries in Asia. Nevertheless, there is recognition that, postLome aid policy in the next century will have to change.
One idea under consideration is for EU finance to actively promote closer contacts and co-operation between neighbouring countries in Africa.
Taking up these concerns, Glenys Kinnock (Wales, PES) pointed out that excluding "middle income" countries from EU preferences could seriously jeopardise the ability of such countries to progress further. It could also lead to confusion if a neighbouring, poorer country were able to enjoy such benefits. Development Commissioner Pinheiro insisted that preferential trade arrangements should also be seen as a last resort; exceptions for individual countries would require the agreement of all Member States.
John Corrie (UK, EPP) who is drawing up a report on the issue, believes regional cooperation in Africa, especially in the areas of energy and transport, would promote economic development and help defuse political crises and wars on the continent. The EU is an example of what could be achieved. At present too many African countries are thinking along national lines. The sovereignty question is just as much a concern in Africa, as in Europe, said Mr Weldegiorgis from Eritrea.
Bureaucratic rules on project approval are another problem encountered. A switch in emphasis will prioritise the eradication of poverty and the effectiveness of EU aid programmes. Mr Foulkes, President-in-Office, underlined the support of the British government for a new initiative to cancel or drastically cut Third-World debts. As Lord Plumb pointed out, poor countries in sub-Saharan Africa were faced with crippling repayment problems on debts amounting to £130 billion or 80 per cent of GNP. A "Jubilee 2000" campaign is now taking off to secure a one-off remission of unpayable debts by the year 2000 for the worst cases.
Political questions will be another important aspect of the new Convention, particularly finding an effective means of responding to current conflicts in ACP states, not to mention coups. Council accepts the need to strengthen political dialogue as a means of defusing conflicts, said Mr Foulkes. The new British initiative for a Code of Conduct to limit arms sales could also make a positive contribution, he added. The question now to be considered was under what circumstances a decision should be taken to freeze aid. One country that could well be added to the "Seventy-one" however is Cuba, with Lord Plumb leading the way in calling for a strengthening of ties with the island. He expressed his concern at the role of the US in leading the campaign in the WTO (World Trade Organisation) for the removal of ACP preferences on bananas. There was a danger that this approach could spread to other sectors. His other concern was to see a new initiative to tackle the debt problem. The Joint Assembly called for the release of Cuban political prisoners held without trial since June 1997, and reaffirmed its opposition to the US economic boycott. It invited Cuba to send observers to the next meeting to be held in Brussels in the autumn.