EU-Asean meeting to tackle trade barriers
Business Mirror | Friday, 10 October 2008
EU-Asean meeting to tackle trade barriers
Written by Estrella Torres, Reporter
THE Sixth Joint Committee Meeting (JCM) by European Union (EU) and Association of Southeast Asian Nations (Asean) trade officials in Hanoi on October 13 and 14 is expected to focus on technical barriers to trade (TBT) and how to manage the impact of technical regulations on business that has resulted in the failure of several attempts to access developed markets such as the EU.
In view of this emphasis on trade barriers, officials of both blocs see a possible TBT agreement as part of the proposed free-trade pact between these two of the world’s biggest regional blocs.
Gabriel Munuera Vinals, head of political and economic affairs of the delegation of the European Commission to the Philippines, said the 6th JCM is also a continuation of the discussions of the main sectors to be covered by the free trade agreement (FTA) between the EU and Asean.
An agreement on TBT is prescribed in the World Trade Organization rules to ensure that regulations, standards, and testing and certification procedures do not create obstacles to international trade.
Technical regulations may be intended to protect human health and safety, but many developing nations such as the Philippines view these rules as protectionist barriers by rich economies.
In any event, a TBT agreement will enable the EU and Asean economies to get acquainted with the technical regulations and conformity assessment procedures being applied by both parties.
Vinals said the proposed free-trade deal, meanwhile, also seeks cooperation on emerging issues like sustainable development, climate changes and corporate social responsibilities that have not been covered in the existing agreements between the two blocs.
Individual Asean members will first need to sign a partnership cooperation agreement (PCA) with the EU to be able to qualify for the FTA. A PCA seeks to cover cooperation on wide-ranging issues that include trade, promotion of human rights, good governance, as well as the commitment to ratify the 1998 Rome Statute of the International Criminal Court (ICC).
So far, only Indonesia has concluded negotiations for a PCA with the EU, while Singapore and Thailand are in advance stages of negotiations. Vietnam, Malaysia and Brunei are about to begin negotiations.
The EU has not included Cambodia, Laos and Burma in the proposed FTA and may negotiate at a latter stage with the first two countries. It has excluded Burma because of concerns about the human-rights situation in that military junta-ruled Asean member.
The Philippines, on the other hand, had expressed serious concerns on the proposed PCA because it requires commitment to sign the Rome Statute. Manila has not ratified the statute owing to concerns of military and police authorities they may face possible harassment suits from rights groups at the ICC, since both are still trying to put down the communist insurgency and the Islamic secession rebellion.
Foreign undersecretary for international economic affairs Edsel Custodio is currently discussing with senior officials of the EU in Brussels the Philippine concerns on the proposed PCA.
