The
Kisumu Declaration
on Sugar
Preamble
1. Ministers representing the ACP States signatory
to the EU-ACP Sugar Protocol and the LDC sugar supplying states under
the EBA initiative met in Kisumu, Kenya, on 22nd - 26th September,
2005, during the 9th ACP Ministerial Conference on sugar to discuss
strategies for promoting the sustainable development of their sugar
industries, in particular in the light of the European Commission’s
radical proposals to reform the EU Sugar Regime.
2. Ministers noted the ACP and LDC states have always remained ready
to work with the European Union in all appropriate fora to discuss strategies
designed to promote their sustainable socio-economic development through
trade, in particular sugar, in line with the Cotonou Agreement and other
binding instruments. They regretted the lack of progress so far and observed
that an opportunity to achieve sustainable development is currently slipping
away, with deep negative consequences.
3. Ministers are mindful of the need for reform of the EU sugar regime,
but they regret that so far the concerns of the ACP and LDC states have
been completely ignored.
4. Ministers acknowledge the fact that ACP and LDC sugar industries
must reform to become more competitive.
5. They however consider the EU proposal for
reform is disproportionate and discriminatory vis-à-vis the
ACP. The incoherence of EU policies undermines their capacity to use
trade as a vehicle to achieve the Millennium Development Goals.
6. Ministers registered their concern that
the Commission’s proposal
in its present form has far reaching consequences including the destruction
of their sugar industries, with devastating consequences of ACP and LDC
states. In particular, it will impact negatively on their social fabric,
employment and security, and the achievement of the MDGs to which the
ACP and EU member states attach the highest priority.
7. Ministers consider that certain aspects of the Commission proposal
are not compatible with the provisions of the Sugar Protocol and urge
the EC to ensure compliance.
8. Ministers regrettably register that the European Commission's offer
of accompanying measures for the ACP states, amounting to €40m
in first year and an unspecified amount in subsequent years, is utterly
inadequate to provide the ACP states with bankable assurances necessary
to modernize, restructure and improve their competitiveness. In this
regard, Ministers further note that the United Kingdom has suggested
that €100m would be required in the first year and thereafter €500m
annually.
9. Ministers rejected the contention of the Commission that the opening
of the EU market to LDC countries under the EBA initiative would require
the proposed radical price cuts. They also noted that such deep price
cuts go far beyond the requirement to meet the EU's likely WTO commitments.
The Ministers further registered their concern at the lack of accompanying
measures specific to LDCs under the EBA initiative.
10. Ministers regretted that the mini-summit on sugar in New York requested
by the President of Mozambique, in his capacity as Chair of the ACP Summit,
did not take place.
11. Ministers registered their appreciation for the solidarity and support
of the many MEPs, certain EU Member States, NGOs and civil society which
have also strongly objected to the Commission's reform proposals.
Decisions
12. Ministers noted that St Kitts & Nevis, an ACP State signatory
to the Sugar Protocol, had been compelled to cease sugar production for
export, since the EU Commission’s proposed reduction in the sugar
price by 39% would render sugar production uneconomic. Ministers strongly
urged the EU Commission to provide St Kitts & Nevis with immediate
budgetary support for the 2006 financial year, which is required to assist
both the transition process and broader diversification and adaptation
as set out in its Action Plan. Ministers agreed to pay close attention
to the manner in which the EU addresses the issue.
13. Ministers agreed on the need to restructure their sugar industries,
but this must be achieved at their own pace taking account of the specificities
of each industry and country. Ministers reiterated their sovereignty
and ability to take their own decisions for the good of their people
and request a clear mandate from the EU to their country delegations
to play a supportive role within the context of their mandate and in
the spirit of the ACP-EU partnership whilst discussing the accompanying
measures.
14. Ministers reiterated their commitment to support intra-ACP cooperation
regarding the restructuring and development of their sugar industries.
Ministers decided to mandate the Sugar Consultative Group to consider
the proposal by Development Commissioner Michel for the appointment of
a consultant to review the ACP proposals on intra-ACP cooperation in
research and development.
15. Ministers considered that it would be desirable to have an agreement
on sugar reform after the Hong Kong ministerial. Ministers decided that
the ACP and the LDC countries will engage in intensive and effective
participation in the WTO negotiations both prior to and after the Hong
Kong ministerial. Ministers decided that the ACP and LDC countries will
pursue an active alliance building strategy in the WTO and that they
will work with the interested parties to relaunch the G90.
16. Ministers recognize the efforts of the ministerial lobbying missions
and of ACP and LDC Ambassadors. They therefore unanimously agreed that
an urgent meeting is necessary at the highest level between ACP and LDC
Heads of State, Commission President Barroso, EU Council President Rt.
Hon. Tony Blair, and the President of the European Parliament, with a
view to arriving at a solution acceptable to all stakeholders in the
EU sugar regime.
17. Ministers greatly appreciated the offer of the Vice President of
the Republic of Kenya, Hon. Dr. Moody Awori, to bring the Kisumu Declaration
to the urgent attention of His Excellency Mwai Kibaki, President of the
host country of the 9th ACP Special Ministerial Conference on Sugar,
to intercede in consultation with the President of the ACP and all ACP
and LDC Heads of States, to facilitate immediate dialogue at the highest
level.
18. The Chair of the 9th ACP Special Ministerial Conference on Sugar,
Minister Arvin Boolell, on behalf of all delegations, thanked the Government
and People of the Republic of Kenya for their warmth and generous hospitality
and excellent arrangements for the conference.
Kisumu, Kenya, 25th September 2005
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