Common Market Negotiations Kickoff

From 19th to 21st February 2008, the negotiations of the Common Market began. The protocol is expected to facilitate free movement of labor, goods, services, capital and right of establishment.

The EAC Common Market is the next stage after the full implementation of the EAC Customs Union, and the Summit directed that the negotiations for the Common Market be done and must be completed by December 2008.

The report EABC received from the High Level Task Force (HLFT) highlighted the agreement which was reached on the Terms of Reference indicating what the team will do as well as the Program of activities.

The two above are yet to be approved by the coordinating team then ministers, but in EABC's experience what is agreed at the HLTF does not change significantly.

The Specific objectives of the HLTF team lay in the identification of areas which require support at regional and national level with a view to obtaining technical support to backstop the process. In addition, the HLTF will be required to prepare comprehensive reports and recommendations on the EAC Common Market negotiations for consideration by the Coordination Committee, as well as conduct and conclude technical negotiations on the EAC Common Market Protocol as specified in Article 76 (4) of the treaty which states that “For purposes of this Article, the Partner States shall conclude a Protocol on a Common Market.”

The HLTF in thus tasked with handling technical negotiations of all aspects on the Common Market Protocol as specified in Articles 76 and 104 of the Treaty; Development of a work plan for the negotiation process leading up to the conclusion and signing of the Protocol by the EAC Heads of State in December 2008 as well as studying and reviewing relevant literature on the Common Market including the Study on the Establishment of an East African Community Common Market .

The Program of activities agreed upon encompasses meetings of the HLTF, Multi Sectrol Coordination Committee and Multi Sectoral Council of Ministers in all the Partner States. These meetings will be held between April and August 2008 in the following manner: April— Rwanda ; May— Kenya ; June— Burundi ; July— Uganda ; and August— Tanzania .

Together with EABC , Stake holder's Consultation will be carried out in two day workshops in each capital between 24th and 28th march. During this period, Day one will be dedicated to targeting members of all the relevant committees of the national parliament plus members of the East African Legislative Assembly (EALA). Day two will target Judges from partner States and the East African Court of Justice.

The East African Business Forum on the Common Market Protocol will be held from the 2nd to 3rd May , at the Ngurudoto Mountain Lodge Hotel in Arusha , Tanzania .

Two day workshops in each capital will further be conducted from 2nd to 6th June , where by trade union organizations, employers' federations and manufacturers' associations among others will be targeted in day 1; academia, the press, security agencies, immigration and customs officials, day 2; and the services sector including insurance, banks, hotels and professional associations (lawyers, engineers, doctors, accountants etc), Day 3.

EABC acknowledges that this is an important exercise and the business community are advised to keep a keen interest on this issue. EABC will endeavor to keep you updated. We urge our members to make comments periodically so that your views are mainstreamed in the Protocol.

EPA Negotiations Continue

The 1st East African Community—European Union Senior Officials meeting of a Comprehensive Economic Partnership Agreement convened on the 6 th of March 2008 to deliberate ‘ the state of play regarding the Economic Partnership Agreement Framework Agreement (FEPA).'

This meeting addressed the ratification and notification to the WTO and implementation issues, as well as, discussion on negotiations in view of concluding a comprehensive EPA by 31st July, 2009 in accordance with Article 37 of the Framework Agreement.

Among others, the meeting took stock of the FEPA initiated in November 2007 that is yet to be signed. It was agreed that FEPA required cleaning up before the signing and eventual ratification. The meeting also reported errors in transposition of the EAC Market Access Offer from HS 2002 to HS 2007.

The Senior Officials also noted that implementation issues, such as formation of the EPA Council and establishment of the Special Committee on Customs Cooperation, would be addressed after the signing of the Framework EPA. In addition, the Officials agreed that negotiations would cover the following clusters: Market Access; Trade in Services; Economic and Development Cooperation; Trade Related Issues; and Legal and Institutional Issues.

The Senior Officials further adopted a broad road map to enable them conclude negotiations of the Comprehensive EPA as scheduled Subsequent to the above meeting, EU-EPA Negotiator Peter Thompson, accompanied by his colleagues paid a courtesy visit to the EABC secretariat. During this visit, deliberations were made on the further involvement of EABC in the negotiation process.

EABC highly commends the progress thus far and the commitment by both parties to conclude the negotiations by July, 2009.