Trade Negotiations Insights • Volume 7 • Number 5 • June 2008
Monitoring and evaluating the EPA in Mauritius: setting up mechanisms
As the majority of African, Caribbean and Pacific states did not meet the December 31 2007 deadline to sign a full Economic Partnership Agreement (EPA) with the European Union, several individual countries have provisionally signed interim agreements - one such being the developing country of Mauritius. Many developing and leastdeveloped countries in Africa—like Mauritius—need access to European markets in order to stay afloat; the EPA is thus a necessary way forward for governments to achieve their development objectives.
Necessary monitoring
Many African policy makers feel that the interim agreement needs to be monitored in order to evaluate any achievements accruing from the initiative. But this cannot be the responsibility of an ACP government alone: economic operators, civil society and business communities all contributed toward the attainment of the agreement, initialled with the European Union in a bid to bolster trade. As with all intercontinental initiatives of this magnitude, proper checks and balances are needed to measure the implementation and impact of the agreement on the economies and standard of living of those involved.
To further buttress the point, Mauritius, which fares well in international trade and economic programmes, must begin to count its successes in order to know what steps need to be taken to correct areas where there has been little progress. Monitoring is useful as a guide for good policy formulation, as well as for ensuring accountability and implementation. This sort of self-reflection and evaluation can help a country continue on the path of economic growth and sustain general regional and international trade participation in the long-term.
Quantifying gains by diversifying production
Economic stakeholders are key actors in this bid to evaluate interim gains accruing from the endorsement of the EPA. Proper control mechanisms would inform the government of any deviations, derogations or difficulties encountered in the discharge of their activities. But—perhaps more importantly—they would also serve as a guide when considering the option to initial a full EPA in the future as per EU wishes. Various control mechanisms thus need to be implemented in order to effectively monitor and analyse the agreement.
Mauritius needs to quantify its gains in terms of what can be achieved from the EPA. Diversifying production of sensitive products would be one way Mauritius could measure its gains from the agreement. Yet, expanding this production would mean exposing vulnerable economies to stiff competition which could result in devastating economic hardship, specifically for the Mauritian sugar and textiles industries.
Problems with expansion
For Mauritius, development cannot be overlooked given that previous strides to bail most developing economies out of poverty have not yielded the desired fruits. Mauritius is one of the highest rated developing economies in Africa, and as such, needs to clearly identify the sectors that would benefit from a full EPA. Stakeholders are very useful in this sense, and can contribute enormously towards the achievement of these objectives. Involving—and educating—the private sector and civil society on key issues of the EPA negotiations is essential.
Building capacity is just as important as the economic gains that accrue from trading with the EU under the terms of the EPA. In the case of Mauritius, the country benefits from an already well structured private sector that can involve and educate a large audience on the complexities of the EPA, thereby improving the implementation of a final agreement (See Box). Waiting until a final EPA is signed for such mechanisms to be put into place is dangerous, as it may become cumbersome for some stakeholders to catch up with the partnership. Yet, despite the fact that Mauritius may be properly informed about international trade operations, problems with implementation may not have been fully accounted for in the negotiations. To better maximise the benefits, all these measures need to be considered within the framework of the current negotiations, taking careful note of sustainable development concerns.
Sustainable development?
The emphasis on monitoring gains from the interim agreements is applicable not only to Mauritius, but to other ACP countries involved in the EPA negotiations as well. Early stages of EPA implementation show some positive involvement at local levels which, if sustained, may be beneficial to the entire country. There may also be further benefits for ACP countries considering Mauritius’ role and contribution to the regional frameworks to which it belongs: SADC and COMESA.
While this is a summary of what can be done to achieve greater results from the EPA, the key elements that must not escape reflection should encompass all sectors of national, political, economic and social life in the country.
Mauritius has a very structured private sector with strong economic operators and guilds that coordinate economic activities. These bodies work in collaboration and coordination with the International Trade Division of the Ministry of Foreign Affairs, which negotiates international trade and other economic agreements touching on the economic life of the country.
Emmanuel Chesami Mbah is an international trade consultant with the Hub and Spokes Project under the Ministry of Foreign Affairs in Mauritius.