FOREIGN Affairs Minister, Carolyn Rodrigues-Birkett, who is attending the Ministerial Meeting of the African, Caribbean and Pacific (ACP) Group in Equatorial Guinea, reported Tuesday to the ACP Ministerial Council on the deliberations of the 4th ACP Ministerial Committee on Sugar. Minister Rodrigues chaired the latter Committee on December 10, in the absence of her colleague from Mauritius. Following were the main points of the Minister's report:
* The Committee discussed the European Union's Common Agricultural Policy (CAP) reform and the devastating impact which the abolition of EU sugar quotas and increased duty-free imports from third world countries from October 1, 2015, would have on ACP sugar-producing countries.
* Most studies conducted so far point to the fact that the abolition of the EU quotas will result in market volatility and uncertainty, resulting inter alia from the link between domestic prices and world market prices. The European Commission's own impact study predicts a 45 percent fall in prices compared to the market prices reported in September, 2012. Another study concludes that ACP countries stand to lose 850 million euros over the period 2019/2020. Such a situation would jeopardise ACP countries’ efforts and investments to render their industries more competitive and call into question the coherence of EU policies in the fields of agriculture, trade and development. Indeed, most, if not all, ACP countries would be unable to supply the EU market if prices were to fall to such low levels.
3. The ministers agreed that it was important to ascertain that the traditional supply needs remain at 2.5 million, and that broader measures, such as an appropriate tariff, be maintained to protect the value of ACP preferential access. It was also agreed to oppose calls for an increase in the current EU quotas.
* Ministers mandated the Sugar Sub-Committee to scale up its discussions with the EU Parliament and Council.
* The ministers expressed concern that the budget for the Accompanying Measures Support Programme (AMSP) had been scaled down for 2012 and 2013, and mandated the Sugar Sub-Committee to follow up the matter with the European Commission, as a decrease in allocations would make the adaptation process unsustainable and difficult. Similarly, there was need to ensure that the Commission promptly re-allocates any unutilised funds. Some delegations also complained about the unilateral manner in which the EU delegation, in their respective countries, was selecting projects.
* The ACP Secretariat was requested to initiate discussions with the European Commission on ways and means by which an Integrated Commodity Development Programme could be designed and funded under the next Multiannual Financial Framework, at the end of the current Accompanying Measures Support Programme.
* The ministers noted that the Mid-Term Workshop on the ACP Sugar Research Programme had offered the opportunity to review ongoing projects, to define the activities to be conducted during the forthcoming period (2013-2014) in the centres, and to discuss prospects for a possible ACP Sugar Research Programme II after 2014.
The ministers agreed that it was imperative that the sharing of data and information under this programme be extended to all ACP States.
Minister Rodrigues' report from the ACP Ministerial Committee on Sugar was accepted by the ACP Council of Ministers.
