No lesson from AGOA!
Nov 06, 2006
SIR — It is interesting the Chinese president has promised Uganda that three to five trade and economic co-operation zones in Africa are to be established for the next three years. It is on this promise that I wish to focus my comment.
SIR — It is interesting the Chinese president has promised Uganda that three to five trade and economic co-operation zones in Africa are to be established for the next three years. It is on this promise that I wish to focus my comment.
All that have cared to follow the developments in the world of trade are only very familiar with the situation in light of the Doha impasse.
Trade lawyers and economists will go to great detail to explain what is at stake at that level. Those who have taken greater trouble to follow trade development at the regional level are aware of the ongoing negotiations between Africa and the EU for Economic Partnership Agreements (EPAs).
It is in this context, African countries are glad to welcome the promise of free trade zones with China, never mind the fact that no one is learning lessons from what the chinese are doing to south africa’s textile and tyre industries.
What is Africa’s trade agenda, if any? Is it really feasible for a country like Uganda to rush into the EAC at the supersonic speed with which the process is being taken, negotiate an EPA with the EU and at the same time fall for a free trade zone with China all at the same time? Granted, free trade has its advantages but it also has its shortcomings especially if it is not approached with caution. The AGOA situation is a shame for Uganda, to say the least. What lessons have we learned?
It seems we have chosen to emulate the bourbon monarchs of ancient France who learned nothing and forgot nothing from the French revolution! I am aware that a trade policy is in the offing and perhaps some will say my remarks are ill-timed. But what institutions are there to implement such a policy? Why has it taken so long? Why negotiate without policy?
Robert Kirunda
Cape Town, South Africa
All that have cared to follow the developments in the world of trade are only very familiar with the situation in light of the Doha impasse.
Trade lawyers and economists will go to great detail to explain what is at stake at that level. Those who have taken greater trouble to follow trade development at the regional level are aware of the ongoing negotiations between Africa and the EU for Economic Partnership Agreements (EPAs).
It is in this context, African countries are glad to welcome the promise of free trade zones with China, never mind the fact that no one is learning lessons from what the chinese are doing to south africa’s textile and tyre industries.
What is Africa’s trade agenda, if any? Is it really feasible for a country like Uganda to rush into the EAC at the supersonic speed with which the process is being taken, negotiate an EPA with the EU and at the same time fall for a free trade zone with China all at the same time? Granted, free trade has its advantages but it also has its shortcomings especially if it is not approached with caution. The AGOA situation is a shame for Uganda, to say the least. What lessons have we learned?
It seems we have chosen to emulate the bourbon monarchs of ancient France who learned nothing and forgot nothing from the French revolution! I am aware that a trade policy is in the offing and perhaps some will say my remarks are ill-timed. But what institutions are there to implement such a policy? Why has it taken so long? Why negotiate without policy?
Robert Kirunda
Cape Town, South Africa