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			Resolution N°1/LXVII/98 of the 67th Session of the Council of ACP Ministers held in Bridgetown (Barbados)  from 5 to 6 May 1998

BANANAS

The Council of ACP Ministers

REAFFIRMING its resolutions on bananas adopted by the 66^th Session of the ACP Council of Ministers held in Libreville (Gabon) on the 3 November 1997;

RECALLING the resolution on bananas adopted during the 26^th Session of the ACP-EU Joint Assembly held in Port Louis (Mauritius) from 20 - 23 April 1998;

RECALLING the complaint lodged in 1996 by the United States and four Latin American countries against the Community banana import regime,

EXTREMELY CONCERNED that the WTO Panel has ruled that certain aspects of the banana regime are not compatible with international trade rules since such a ruling threatens to undermine the economic and social progress of the producer States and regions which depend on the regime to safeguard access to the EU market,

CONCERNED also about the implications of the WTO ruling for the wider ACP and the future of their preferential trading under the Lomé Convention,

CONSIDERING that any major modification to the regime could disrupt the banana trade and result in the loss of a very large number of jobs, a fall in export earnings and the collapse of some economies with severe social and economic consequences for the countries and regions concerned,

WHEREAS, following the outcome of the WTO appeal, the Commission by way of compliance with the ruling proposed an amendment to the regulation setting up a common organization of the market in bananas (EC 404/93) and whereas these amendments substantially alter marketing conditions for ACP suppliers,

WHEREAS the Commission's proposals do not provide for any compensatory measures to absorb the effects of the abolition of 'B' licences arrangement,

HAVING REGARD to the second part of the Commission's proposal, which aims to provide financial and technical aid to traditional ACP banana suppliers to help them to adapt to the new system on the basis of a phased reduction over a period of ten years,

NOTING that the US and the other complainants in the WTO have proposed the replacement of the tariff rate quota by a single tariff which would be contrary to the provisions of the Lome Convention and would deny the ACP of the market advantages required to safeguard their access to the EU market.

URGING that consideration be given to the ACP's position on the proposed modification to the regime and that pursuant to Article 12 of the Lome IV Convention, full consultation be held with the ACP before a final decision is taken on the matter,

RECALLING that when it was introduced, the COM for bananas was based on a compromise which respected the interests of the various sources of supply, while taking into account the Union's previous commitments, namely Community preference, preferential access for the ACP countries and the rules of GATT with regard to third countries,

REMINDING the Commission that the European Union is bound by commitments entered into with the ACP countries under the Convention of Lomé, and in particular, Protocol No. 5 thereof, which aims to guarantee to the ACP states the preservation of their advantages on the European market, access to that market on terms which cannot be less favourable than those which they enjoyed previously, and the improvement of production and marketing conditions for ACP bananas,

WHEREAS existing distortions in terms of social ad environmental standards are giving rise to substantial competitiveness gaps between ACP or European producers on the one hand and Latin American producers on the other,

Calls on the European Union to honour its commitment to the ACP countries by providing better protection for the legitimate interests of ACP banana producers;

Proposes the setting up for the ACP countries, including non-traditional suppliers, of a regime endowed with suitable resources which can be swiftly mobilized and is capable of covering operating costs, over a period sufficiently long to enable them to adjust to the new market conditions ;

Recalls that the ACP countries have difficulty in competing with third country suppliers on the EU market and that the tariff on the autonomous quota should therefore be maintained at zero for ACP supplies;

Rejects and condemns the proposal made by the US and the other WTO complainants for the EU to replace the tariff rate quota with a single tariff;

Notes that the ACP accepts the proposal for a global quota but insists that there be a guarantee of access for all traditional suppliers as listed in the annex of Regulation (EEC) No. 404/93.

Urges the Commission to consider the ACP's position on the proposed modification of the regime and ensure that consultations be held with the ACP on the matter in accordance with Article 12 of the Lomé IV Convention;

Calls on the Union to argue within the WTO that the Community banana regime and the relevant trade preferences are real development instruments for the relevant ACP countries and for the outermost regions of the Union;

Calls on the Council and the commission to propose the revision of the WTO's mechanisms and disputes settlement procedures in order to take greater account of development, health and environmental issues and the specific characteristics of the ACP States;

Instructs the President of the ACP Council of Ministers to bring this Resolution to the attention of the ACP-EU Council, EU Member States, the Commission, the European Parliament and all other institutions of the ACP-EU Convention.

Resolution N°2/LXVII/98 of the 67^th Session of the Council of ACP Ministers

held in Bridgetown (Barbados) from 5 to 6 May 1998

SUGAR

The Council of ACP Ministers

• REAFFIRMING its resolution on sugar adopted by the 66th Session of the ACP Council of Ministers held in Libreville (Gabon) on the 3 November 1998;
• RECALLING the resolution on sugar adopted during the 26th Session of the ACP-EU Joint Assembly in Port Louis (Mauritius) from the 20 to 23 April 1998;
• CONSIDERING the relationship between the ACP States signatory to the Sugar Protocol and the EU cane sugar refining industry and the ACP commitments to guarantee its supply of required quantities of raw sugar to EU refineries;
• CONSIDERING further that the ACP supplying states have been reliable suppliers of significant supplies of raw sugar to the EU cane sugar refineries.
• ACKNOWLEDGING that the revenue earned from sugar exported under the Sugar Protocol contributes to the development of the ACP supplying States and hence assists in reducing the economic disparity between the two partners;
• ALSO ACKNOWLEDGING the major role played by sugar revenue in the socio-economic development pf ACP sugar supplying States and the maintenance of an active and dynamic rural life;
• NOTING that the ACP sugar supplying States are net food importing developing, least-developed, land locked or island states with peculiar economic and social difficulties and frequently beset by adverse climatic conditions;
• NOTING also that ACP countries have been using the earnings from exports to the EU in their rationalization programmes to improve efficiency, increase productivity, optimise the use of by-products and generally enhance their level of competitiveness;
• RECOGNIZING that the viability of ACP industries is dependent on a reasonable return on the ACP's investment in their industries and concerned that since 1996 the price in sterling terms has gone down by as much as 18%, thereby jeopardizing the profitability of this activity;
• REAFFIRMING that the ACP supplying States are committed to the rationalization of their industries to become globally competitive and recognize that there is a need to ensure that the peculiar situation of developing countries is taken fully into account in the globalization process;

• acknowledge the organic link between the Sugar Protocol and the socio-economic and political fabric of the ACP sugar supplying States;
• recognize the multi-functional role of agriculture in the ACP sugar supplying States whereby, socio-economic and political development are fostered protection and preservation of environment is ensured and rural life is safeguarded;
• constitute a common front with the ACP Sugar Supplying States to oppose in the WTO attempt by proponents of unbridled trade liberalisation to undermine the Sugar Regime;
• acknowledge the essential role of ACP sugar in the EU cane refining industry and recognize the mutual benefit for all parties concerned which is derived from the Protocol and Special Preferential Sugar Agreement;
• note that the ACP have demonstrated their ability to supply the EU's raw cane sugar requirements through the Sugar Protocol and teh SPS Agreement;
• recognize the efforts made by the ACP at rationalizing their industries to improve their competitiveness and ensure that the price offered for ACP sugar takes fully into account all relevant factors in order to contribute positively to the viability of these industries;
• give due consideration to make good the losses sustained in the take home price by the ACP sugar supplying States due to international inflation and the significant drop of the sterling price.

Décision N°1/LXVII/98 de la 67è^me session du Conseil des ministres ACP

tenue à Bridgetown (Barbade) les 5 et 6 mai 1998

REQUETE DE CUBA EN VUE D'ADHERER AU GROUPE ACP ET DE PARTICIPER EN QUALITE

D'OBSERVATEUR AUX SESSIONS DES CONSEILS DES MINISTRES ACP ET ACP-UE

Le Conseil des ministres ACP,

CONSIDERANT la requête de la République de Cuba en vue d'adhérer au Groupe ACP et de participer en qualité d'observateur aux sessions des Conseils des ministres ACP et ACP-UE;

TENANT COMPTE de la déclaration commune figurant à l'Annexe I de l'Accord portant modification de la Convention ACP-CE de Lomé et concernant l'adhésion d'Haïti et de la République dominicaine à ladite Convention;

RAPPELANT les dispositions du dit Accord, en particulier son article 363;

AYANT A L'ESPRIT la recommandation faite par le Bureau du Conseil des ministres, sur avis du Comité des ambassadeurs;

RAPPELANT la nécessité d'affirmer la solidarité ACP;

DÉCIDE :

• que la qualité d'observateur soit accordée à Cuba pour la 67ème session et les sessions à venir du Conseil des ministres ACP;
• que la recommandation du Groupe ACP à l'effet d'accorder à Cuba la qualité d'observateur pour la 23ème session et les sessions à venir du Conseil des ministres ACP-UE soit communiquée à l'Union européenne;
• que la question spécifique de l'adhésion de Cuba à l'Accord de Georgetown soit examinée conformément aux procédures en la matière, notamment aux critères définis à l'article 363, paragraphe 1 de la quatrième Convention de Lomé révisée.

S.E. M. Jean PING

Ministre du Plan, de l'Environnement

et du Tourisme de la République gabonaise

Président du Conseil des ministres ACP

Decision N°2/LXVII/98 of the 67^th Session of the Council of ACP Ministers

held in Bridgetown (Barbados) from 5 to 6 May 1998

MONITORING THE IMPLEMENTATION OF SANITARY AND PHYTOSANITARY MEASURES

The Council of ACP Ministers,

HAVING REGARD to the ACP States' commitment to the protection of the health and life of people, animals and plants;

CONCERNED that the introduction of sanitary and phytosanitary measures without prior adequate consultations and at times without scientific justification are contrary to internationally agreed norms and standards;

CONCERNED that the applications of these measures could constitute non tariff-barriers to ACP trade and exports;

CONSCIOUS of the need for adherence by all parties to the provisions of the WTO Agreement on Sanitary and Phytosanitary Measures and the established guidelines of CODEX Alimentarius;

NOTING that the EU proposed SPS measures on aflatoxin in groundnuts as well as on other products of export interest to the ACP require heavy investments on the part of the ACP States.

HEREBY DECIDES to

• mandate the Committee of Ambassadors to investigate, with the cooperation of CODEX Alimentarius, COLEACP and other institutions the level of scientifically detectable limits of substances allowable in groundnuts and other foods and materials exported by the ACP States;
• instruct  the Secretariat to monitor the implementation of the WTO Agreement on sanitary and phytosanitary measures, and through appropriate studies, determine the implications of these measures on ACP States including the need for technical assistance to facilitate ACP compliance with the SPS agreement;
• request the Committee of Ambassadors to report to Council on the implementation of this decision at its next session.

Hon. Jean PING

Minister of Planning, Environment

and Tourism of the Gabonese Republic

President of the ACP Council of Ministers

Decision N°3/LXVII/98 of the 67^th Session of the Council of ACP Ministers

held in Bridgetown (Barbados) from 5 to 6 May 1998

STAFF CONDITIONS OF SERVICE

The Council of ACP Ministers,

HAVING EXAMINED the Committee of Ambassadors' report on the improvement of conditions of service of ACP Secretariat staff;

CONSIDERING the ACP States' limited financial capacity.

WHEREAS the Financing Agreement between the ACP Group and the EU is due to be signed by the end of June 1998 at the latest;

NOTING that extremely difficult negotiations will be held between the ACP and the EU between 1998 and 2003.

Hereby decides to instruct the Committee of Ambassadors to finalize its consideration of the Secretary General's recommendations and put forward the relevant proposals for adoption by the Bureau of the Council of Ministers scheduled for 29 and 30 June prior to the signing of the Financing Agreement between the Secretariat and the Commission of the European Union.

Further instructs the Committee of Ambassadors to ensure that the decisions of the Bureau of Council are implemented prior to the signing of the Financing Agreement.

Hon. Jean PING

Minister of Planning, Environment

and Tourism of the Gabonese Republic

President of the ACP Council of Ministers

Decision N°4/LXVII/98 of the 67^th Session of the Council of ACP Ministers

held in Bridgetown (Barbados) from 5 to 6 May 1998

EXTENSION OF THE CHIEF LEGAL COUNSEL'S CONTRACT

The Council of ACP Ministers,

RECOGNIZING the impending attainment of the age of retirement of the Chief, Legal Counsel to the ACP Secretariat;

BEARING IN MIND that the ACP Group is preparing to embark on critical negotiations with the European Union on a successor agreement to Lome IV;

CONSCIOUS OF THE NEED to avoid disruptions in the provision of vital legal services to the Group;

DECIDES THAT:

• the Committee of Ambassadors be instructed to take the necessary measures to ensure that the services of the Chief, Legal Counsel continue to be available to the ACP Secretariat until the end of the negotiations.

Hon. Jean PING

Minister of Planning, Environment

and Tourism of the Gabonese Republic

President of the ACP Council of Ministers