RNM UPDATE 0305

April 15, 2003

Prepared by the Communications Division of the Caribbean Regional

Negotiating Machinery (CRNM), this electronic newsletter focuses on the RNM,
trade negotiation issues within its mandate and related activities.

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- WTO AGRICULTURE DEADLINE MISSED

- DEADLINE FOR WTO SERVICES NEGOTIATIONS MISSED
- WTO BRIEFING
- NEWS BRIEFS
- UPCOMING EVENTS

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WTO AGRICULTURE DEADLINE MISSED

The deadline for agreement on a framework for agriculture trade negotiations in the
World Trade Organization (WTO) has not been met. The failure to meet the deadline for
agriculture modalities constitutes a setback for realizing the Doha Agenda within its
original three-year timetable.

DEADLINE FOR WTO SERVICES NEGOTIATIONS MISSED

A critical deadline has been missed in WTO negotiations on Services. Other key
deadlines that have been missed include those in Agriculture, Special and Differential
Treatment (S&DT) and TRIPS/Public Health.

At the WTO's fourth Ministerial meeting, in November 2001, members agreed that initial
Services offers would be submitted by March 31, 2003. This would be followed by the
submission of initial Services requests for specific commitments by June 30, 2003. At
the end of March the WTO Council on Trade in Services (CTS) had received initial
offers mainly from developed countries. A majority of developing countries have not
presented their Services offers.

WTO BRIEFING

The March 31 deadline for establishing negotiating guidelines for cuts in agricultural
tariffs and subsidies in agriculture trade in the WTO has been missed. This was one of
the most important deadlines in the global trade round. An agreement on agriculture is
key to sustaining the momentum in, and securing the success of, the wider round of trade
liberalization negotiations.
WTO members had agreed at the fourth WTO Ministerial Conference in Doha, Qatar - in
November 2001 - that a framework for setting goals and timelines for achieving them in
agriculture negotiations would be completed by March 31, 2003. This framework would
be used as a basis for country-specific offers, for the liberalization of agriculture trade,
due by the fifth WTO Ministerial meeting in September.

The view from the Geneva-based WTO Secretariat and some WTO members is that
while there is no agreement on agriculture negotiating modalities, progress in global trade
negotiations can still be achieved.

Meetings in Geneva on March 31 marked the end of the last special negotiating session
of the WTO Committee on Agriculture (CoA), within the official modalities phase. The
CoA Chair, however, is expected to continue informal consultations on certain technical
issues. Further CoA special negotiating sessions have been set for June and July.

NEWS BRIEFS

Cotonou Agreement takes Effect

The Cotonou Partnership Agreement (CPA) came into force on April 1 on the occasion of
the fifth session of the Africa Caribbean Pacific (ACP)-European Union (EU) Joint
Parliamentary Assembly convened in Brazzaville, Congo from March 31 to April 3. The
CPA took effect following ratification by all EU member countries and most of the ACP
countries.

RNM DG Speaks on Competition Policy in the WTO

RNM Director-General, Ambassador Richard Bernal, was a featured speaker at a WTO

'Regional Workshop on Competition Policy' held in Jamaica from April 2 to 4.

The Ambassador commended the organizers for the seminar. He noted, however, that the
current debate in the WTO on competition policy does not address issues of major
concern to small developing economies. The Ambassador stressed that "given that these
discussions are at an early stage, it is not too late to incorporate the views of small
countries. These countries are particularly exposed to the abuses that can occur because
of the operation of international cartels and the dominance of multinational corporations
in international trade and investment".

RNM chief calls for Inclusion of Labour Mobility in Trade Pacts

On April 4 RNM Director-General, Ambassador Richard Bernal, addressed the

University of the West Indies First Caribbean Labour Policy Conference in Kingston,
Jamaica.

In his paper, entitled "International Trade and Global Labour Movements", the
Ambassador called for the inclusion of the movement of natural persons and of labour in
international trade agreements. He noted that such agreements establish rules for the
increase in mobility of everything except the movement of natural persons and labour.
"For small developing countries the benefits of participation in the global market are not
limited to attracting foreign investment and gaining market access for goods and
services", the Ambassador said. He noted that small developing countries such as those of
the Caribbean - that are labour exporting economies - must be allowed to take advantage
of the opportunity to share in the increase in jobs in developed countries that result from
the expansion of trade.

Caribbean Export Seminar Convened

The Caribbean Export Development Agency hosted a seminar on the "Negotiations for
Economic Partnership Agreements" on April 14 in Santo Domingo, Dominican
Republic. Representatives of a cross section of stakeholders from the public and private
sectors participated. RNM Senior Director, Mr. Henry Gill, represented the RNM at the
event and made a presentation on its behalf.

UN Urges Reduction in Agricultural Subsidies

Both the United Nations Secretary-General, Kofi Annan, and his Deputy Louise
Frechette called for developed countries to "drastically reduce" their agricultural
subsidies. Mr. Annan urged developed countries to give a "much needed boost" to global
trade talks by making immediate and dramatic cuts in agricultural subsidies.

Mr. Annan and his Deputy expressed these views on April 14 on the occasion of the
annual meeting of senior officials of the International Monetary Fund (IMF), United
Nations, World Bank, and WTO.

UPCOMING EVENTS

Private Sector Platform Meeting

The CARICOM Private Sector Platform for the Free Trade Area of the Americas (FTAA)
is convening a meeting on April 25 in Barbados. The meeting is a follow up to a
previous Private Sector Platform meeting in Port of Spain, Trinidad & Tobago on
February 8, 2003.

Chairs responsible for following each of the FTAA negotiating groups will present their
work programmes at the meeting.

RNM Senior Director, Mr. Henry Gill, will provide an update of ACP-EU negotiations.
The RNM's WTO Representative, Dr. Anthony Gonzales, will provide a similar briefing
updating on WTO issues with specific emphasis on possible areas for private sector
involvement in and contribution to the Region's negotiating efforts.

Caribbean Trade Experts Meeting

The RNM, in collaboration with the Commonwealth Secretariat, has organized a
Caribbean Trade Experts Meeting from April 28 to May 1, 2003, in Barbados. An update
will be provided on Phase I all-Africa Caribbean Pacific (ACP) negotiations. The
meeting will also consider issues to be covered in Phase II negotiations on a regional
Economic Partnership Agreement (EPA) and its work plan.

The objective of the meeting is to further develop a Caribbean position and strategy on
EPAs for consideration by Ministers and senior officials when they meet in Barbados
from May 2 to 3.

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For More Information Contact:

Nand C. Bardouille
Tel: (246) 430-1678
email: nbardouille@sunbeach.net