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  • Caribbean Trade & Development News Digest – June 16-22, 2019

    Caribbean Trade & Development News Digest – June 16-22, 2019

    Welcome to the Caribbean Trade & Development News Digest for the week of June 16-22, 2019! We are happy to bring you the major trade and development headlines and analysis from across the Caribbean Region and the world from the past week.

    THIS WEEK’S TRADE HIGHLIGHTS

    The US and China announced they have resumed trade talks. Mexico became the first of the three parties to ratify the USMCA. ASEAN is holding its two-day summit (June 22-23, 2019) in Bangkok, Thailand. EU leaders fail to agree top job candidates in Brussels talks. A new summit will now be held on 30 June.

    REGIONAL NEWS

    Africa-Caribbean Trade: What are the prospects?

    Barbados Today: President Akufo-Addo’s visit presents an opportune occasion to consider the prospects for deepening Caribbean-African trade and economic ties, particularly in light of the recent entry into force of the African Continental Free Trade Area (AfCFTA) which will transform 52 out of 55 African countries into the world’s largest free trade area. Read more

    New system to make it easier to do business

    Barbados Today: Within the next six months the Barbados Electronic Single Window (BESW) should be up and running. That is according to Minister of Small Business, Entrepreneurship and Commerce Dwight Sutherland, who has said the initiative will reduce the cost of doing business on the island. Read more

    Trade Facilitation Efforts To Bring Ease

    GIS: The national consultation on trade facilitation is expected to be the catalyst for bringing about an expansion of domestic exports, new investment flows and stronger economic growth in Barbados. Read more

    Fisheries Ministers underscore need for urgent response to Sargassum scourge and IUU fishing

    CRFM: Caribbean Fisheries Ministers who met for two days last week in Saint Kitts and Nevis have underscored the need for the region to take urgent action to address the ongoing Sargassum scourge, as well as Illegal, Unreported and Unregulated (IUU) fishing—two of the most pressing challenges responsible for multimillion-dollar losses to the regional economy. Read more

    Bahamian Deputy Prime Minister Hails 42% Rise In Fdi Equity Inflows

    Tribune242: The deputy prime minister yesterday hailed a 42 percent year-over-year increase in foreign investors’ equity investments as confirmation that “The Bahamas’ economic turnaround has begun”. Read more

    OECS Director-General formulates groundwork

    Caribbean News Now: Director General of the Organisation of Eastern Caribbean States (OECS), Dr Didacus Jules, speaking at the opening ceremony of the 67th meeting In Antigua and Barbuda stated that, “More than ever before diplomacy matters and the outreach to non-traditional partners that we have started in the thrust to Africa, the strengthening of our diplomatic coordination in the entire European theatre and the heightening of our battles against economic dictation, arbitrary blacklisting and de-risking will be intensified” under the chairmanship of prime minister of Antigua and Barbuda, Gaston Browne. Read more

    TT leads charge for economic sustainability for artists

    Newsday: TT is leading the charge in encouraging exploration of export opportunities for our cultural assets as a way of acquiring economic sustainability for local artists. Read more

    Mango Export Shows Untapped Agricultural Potential, Says Williams

    Jamaica Gleaner: Describing the sector as chock-full of untapped potential, Montego Bay Deputy Mayor Leeroy Williams is imploring the nation’s youth to give serious thoughts to a career path in agriculture. Read more

    Progress of Cuban Economy Analyzed by Council of Ministers

    Prensa Latina: The Cuban Council of Ministers analyzed critically the progress of the national economy, the execution of the 2018 budget, foreign investment and programs in various regions of the country, reports today Granma daily. Read more

    60,000 Acres Of Former Cane Lands For Other Crops

    JIS: Minister of Industry, Commerce, Agriculture and Fisheries, Hon. Audley Shaw, says some 60,000 acres of former sugar-cane lands are to be placed into other areas of agricultural production. Read more

    Barbados Tourism numbers from UK on the up

    Nation News: Barbados’ tourism numbers from the United Kingdom are up, despite the uncertainties of Brexit and the recent levies imposed on the sector as part of the Barbados Economic Recovery and Transformation (BERT) plan. Read more

    Green leading trade mission to Cuba

    Jamaica Observer: Minister of state in the Ministry of Industry, Commerce, Agriculture and Fisheries, Floyd Green, is leading a Jamaican delegation at the 16th Expo Caribe International Trade Fair. Read more

    UK insists on trading with Cuba

    CGTN: Cuba and the UK are moving to expand cooperation and trade despite U.S. opposition. A British delegation has been in Cuba this week exploring new business and investment opportunities. CGTN’s Luis Chirino has the details. Read more

    INTERNATIONAL NEWS

    Global money laundering watchdog has crypto in its sights

    Al Jazeera: The Paris-based Financial Action Task Force will tell countries to tighten oversight of cryptocurrency exchanges. Read more

    Harmful subsidies should go – Pacific fisheries ministers

    Radio New Zealand: Pacific fisheries ministers want to see negotiations to end harmful fisheries subsidies. Meeting this week in Pohnpei, the ministers and senior government officials say the subsidies can be a constraint on the ability of small island states to develop their own fisheries. Read more

    India to push for reforms at WTO during G20 meet

    Livemint: India will push for reforming and strengthening the World Trade Organization (WTO), amid stresses and strains over free trade among key global economies, at the upcoming G20 meeting in Japan. Read more

    EU releases latest Trade and Investment Barriers Report

    EU: The latest edition of the Trade and Investment Barriers Report (TIBR) identifies 45 new trade barriers put in place in countries outside the EU in 2018, bringing the total number to a record high of 425 measures in 59 different countries, costing EU businesses billions of euros every year. Read more

    EU asks for a panel with Ukraine on wood export ban

    EU: The EU requested yesterday the establishment of an arbitration panel under the EU-Ukraine Association Agreement on Ukraine’s export ban on unprocessed wood. Read more

    Macron, 3 other leaders warn Mercosur deal could ‘destabilize’ farm sector

    Politico: They demand that the quotas for beef, poultry, pork, sugar and ethanol must not be increased anymore. Read more

    Africa’s Output Grew 3.4 Percent in 2018, Afreximbank’s Trade Report Shows

    AllAfrica: The African Trade Report 2019: African Trade in a Digital World, launched in Moscow, Russia during the 26th Afreximbank Annual Meetings, indicates that Africa’s total merchandise trade in 2018 had a value of over $997.9 billion, noting that the continent remained one of the fastest growing regions in the world. Read more

    Trump Plan Seeks to Double U.S.-Africa Two-Way Trade

    Bloomberg: The U.S.’s Prosper Africa strategy plans to double two-way trade and investment between the world’s biggest economy and the continent in the coming years. Read more

    Latin America could expand annual trade to India by 42 percent, report finds

    Caribbean News Now: Trade between Latin America and India has been multiplying in recent years but has potential to expanding much more, a new study by the Inter-American Development Bank and the Export-Import Bank of India shows. Read more

    China, US trade teams to hold talks

    Economic Times: Top Chinese and US officials will hold trade talks following instructions from their leaders, the Chinese commerce ministry said on Thursday, adding that Beijing hoped Washington would create the necessary conditions for dialogue. Read more

    Canada making progress in efforts to reform World Trade Organization, trade minister Jim Carr says

    Toronto Star: Canada is making some progress mustering international consensus to reform the World Trade Organization as the clock ticks down on a dispute that could paralyze the trade organization’s ability to arbitrate disagreements, federal trade minister Jim Carr says. Read more

    Unlocking The Potential Of Africa’s Historic Trade Agreement

    Forbes: At the end of May, Africa’s landmark free trade deal came into effect, accompanied by widespread optimism that it could usher in a new era of intra-African trade possibilities and prosperity for the continent’s citizens. Read more

    Thailand urges speed on RCEP

    Nation Multimedia: Prime Minister Prayut Chan-o-cha plans to make a strong push for early conclusion of negotiations over the Regional Comprehensive Economic Partnership (RCEP) – which promises to become the world’s most influential economic bloc – while chairing the Asean summit on Saturday and Sunday. Read more

    The ASEAN-Hong Kong China Free Trade Agreement and Vietnam

    Vietnam Briefing: The ASEAN-Hong Kong, China Free Trade Agreement (AHKFTA) came into effect on June 11 for Vietnam, Laos, Myanmar, Singapore, and Thailand. The remaining ASEAN member states will complete the ratification process later this year. Read more

    Apple warns US against imposing additional China tariffs

    Al Jazeera: Apple Inc. urged the Trump administration not to proceed with tariffs of as much as 25% on a new slate of products imported from China, saying it would reduce the company’s contribution to the U.S. economy. Read more

    Huge Boost For AfCFTA As Nigeria Nears Ratification

    KT Press: The Africa Continental Free Trade Area (AfCFTA) could receive a big boost before it is officially launched in July this year – following news that Nigeria – the continent’s economic power house, is reportedly finalizing the process to ratify the agreement. Read more

    Kenya roots for harmonized quality standards for enhanced intra-Africa trade

    Xinhua: Kenya on Wednesday called for harmonized quality products standards across African countries in order to enhance intra-Africa trade. Read more

    AU urges African businesses to take lead in continental free trade area

    The New Times: The African Union Commission (AUC) on Wednesday urged African businesses to take the lead in exploiting trade and economic opportunities in the African Continental Free Trade Area (AfCFTA) which entered into force in May. Read more

    US places new restrictions on China’s supercomputers

    Al Jazeera: Citing a threat to national security, the US blacklists several Chinese technology firms and a government institute. Read more

    WTO chief says states preparing for trade court shutdown

    France24: The head of the World Trade Organization said Thursday that member states are preparing for a shutdown of the body’s dispute settlement system, following months of deadlock triggered by the United States. Read more

    WTO chief hopes Trump and Xi meet at G20 to resolve trade issues

    Al Jazeera: World leaders meeting in Japan next week must take real action on trade and not simply renew their call for easing of trade tensions, World Trade Organization Director-General Roberto Azevedo told reporters on Thursday. Read more

    Trump and Trudeau discuss USMCA finalisation at White House

    Al Jazeera: US President Donald Trump and Canadian Prime Minister Justin Trudeau sought to project a united front on Thursday in the uphill effort to get the replacement for the North American Free Trade Agreement past the finish line. Read more

    Whisky and salmon boost Scottish exports to record £1.4 million

    Gov.uk: Total exports for Scottish food and drink worth £1.4 billion in first quarter of year as whisky and salmon continue to play vital role in UK’s exporting success. Read more

    Mexico becomes first country to ratify USMCA trade deal via Senate vote

    CNBC: Mexico on Wednesday became the first country to ratify the United States-Mexico-Canada Agreement (USMCA) agreed last year by the three countries to replace the 25-year-old North American Free Trade Agreement (NAFTA). Read more

    Canada becomes the first G20 country to ban shark fin trade

    BBC: Canada has become the first G20 nation to ban the import and export of shark fins, in an effort help preserve a predator under threat. Read more

    The cost of South Africa’s illegal gold trade

    The Citizen: A new report on illegal mining suggests that South Africa is losing upwards of R14 billion a year to the illicit gold trade. This is substantially more than previous estimates of about R7 billion. Read more

    WTO NEWS

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  • Prospects for deepening Caribbean-Africa Trade and Economic ties

    Prospects for deepening Caribbean-Africa Trade and Economic ties

    Caribbean and African countries share an extensive history forged from the scars of the egregious 300-year long Trans-Atlantic slave trade, the abuses of colonialism and the anti-colonial/independence struggle. As such, Africa’s imprint on the Caribbean is not just phenotypical, but its unmistakable genetic markers course through many of the rhythms, music and culinary delights which characterise the Caribbean cultural DNA.  

    Last week, President of Ghana, His Excellency Nana Akufo-Addo, visited five Caribbean countries: Barbados, Guyana, St Vincent and the Grenadines, Trinidad and Tobago, and Jamaica. Aiming to build on the shared historical and cultural ties between his continent and the Caribbean, President Akufo-Addo took the opportunity to sign bilateral cooperation agreements with these countries and to encourage Afro-Caribbean descendants to take part in Ghana’s Year of Return which marks 400 years since the commencement of the Trans-Atlantic slave trade which officially ended in the early nineteenth century.

    President Akufo-Addo’s visit presents an opportune occasion to consider the prospects for deepening Caribbean-African trade and economic ties, particularly in light of the recent entry into force of the African Continental Free Trade Area (AfCFTA) which will transform 52 out of 55 African countries into the world’s largest free trade area.

    Current Caribbean-Africa trade

    The Caribbean Community (CARICOM) comprises 15 Member States and territories in the Caribbean. Africa is one of the few trading partners with which the region enjoys a trade surplus. According to data from ITC Trade Map, CARICOM countries exported US$449 million worth in goods to Africa in 2017, representing 2.6% of CARICOM’s total exports to the world. Whereas, the region imported US$258 million worth of goods from the continent in that same year. Africa’s exports to CARICOM represented a mere 0.06% of its total world exports in 2017.

    On an international relations front, CARICOM countries and many African countries are both members of the Africa, Caribbean, Pacific (ACP) grouping and the Commonwealth of Nations and cooperate in multilateral fora, such as the World Trade Organisation and the United Nations. While CARICOM currently does not have a free trade agreement with any African country, some individual CARICOM Member States have bilateral investment treaties (BITs) and double taxation agreements (DTAs) with individual African States, not all of which are in force.

    Tourism between Africa and the Caribbean remains underdeveloped due to the lack of direct air links. Getting to Africa from the Caribbean or vice versa requires going through a major international gateway, usually London or New York City.

    Prospects for deepening Caribbean-Africa trade

    There are several developments which are promising for an expansion of Caribbean-Africa trade.

    1. Caribbean push for export partner diversification

    Caribbean countries have stepped up their attempts to diversify their export partners, particularly through promoting south-south trade. Thus far, among CARICOM Member States, Guyana, Haiti, Jamaica, Trinidad & Tobago and Suriname have a diplomatic mission in at least one African country. Barbados may soon join that list after announcing an intention to establish an embassy in Ghana by the end of 2019.

    Maintaining a diplomatic presence is often a costly exercise for small resource-constrained countries. Establishing a joint diplomatic mission in strategic African capitals, similar to what the Organization of Eastern Caribbean States (OECS) has done in key international capitals, is something CARICOM may wish to consider. Trade and investment liaisons could be attached to the missions to assist in promoting business and investment. Since it is firms which trade and not countries, building linkages between chambers of commerce and investment promotion agencies in the Caribbean and African countries would also be key.

    • Africa is on the rise

    Africa is home to some of the world’s fastest growing economies and according to the United Nations (UN), the world’s youngest population, comprising one fifth of the global youth population (aged 15-24). Despite challenges related to unemployment, Africa’s youth has the potential to unleash positive change and are an asset in a rapidly digitalizing global economy. The perceived lack of opportunities for youth in Africa may be the Caribbean’s gain leading to the export of high skilled services. Ghana, for example, which has a surplus of nurses, has agreed to assist Barbados with its nurses shortage. Indeed, there is already a small but growing ‘recent’ African diaspora in many Caribbean countries making sterling contributions in diverse fields, such as education, medicine, law and the like. There are also prospects for Caribbean-Africa trade and economic cooperation and sharing of expertise, particularly in the areas of education, renewable energy and health. Deepening and expanding links between universities in the Caribbean and those in African countries would allow for student and faculty exchanges.

    •  Increased Caribbean-African awareness

    Caribbean people are becoming better aware of the continent through for example, Nollywood/Gollywood movies, African music, traditional African dance and the Africa Channel broadcast in the US and the Caribbean. The potential exists for collaboration in the creative industries, particularly in film production, dance, the visual arts and music. Caribbean musical genres such as reggae, dancehall and soca are becoming quite popular in some African cities. For instance, renowned Nigerian artiste Timaya and famous Trinibagonian soca artiste Machel Montano have collaborated on several songs.

    In the area of tourism, Caribbean persons of African descent are increasingly interested in travelling to West African countries like Ghana, from which the majority of persons enslaved during the Trans-Atlantic slave trade were derived, in order to trace their ancestral roots and explore the Motherland.

    Barbados recently announced visa waivers for several African countries, including Ghana, which would facilitate greater tourism and investment. The lack of direct air or modern day sea links between the Caribbean and the African continent is a challenge. It is therefore refreshing to hear the current Barbados Prime Minister speak to the possibility of negotiating an air services agreement with Ghana. President Adufo-Addo and Prime Minister Mottley also spoke of Barbados being a gateway for Africa-Caribbean trade. Barbados, because of its location as the most easterly island in the Eastern Caribbean, was one of the first stops in the Trans-Alantic Slave Trade, the island would geographically make a logical hub for any direct Caribbean-Africa air links.

    • AfCFTA – a single African market

    At a time when some major world powers are retreating to protectionism and isolationism, all but three countries on the African continent (except Benin, Eritrea and Nigeria) have formed a continental-wide single market, a step towards a continental customs union.

    The AfCFTA was signed in March 2018 and entered into force on May 30, 2019, thirty days after The Gambia became the 22nd country to sign. It represents the world’s largest free trade agreement with a collective GDP of $2.5 trillion and a population of 1.2 billion people. The AfCFTA will eliminate tariffs on 90% of goods trade within the countries party to it. Once implemented, the AfCFTA is estimated to boost intra-African trade (which currently remains less than 20% of total African trade), promote economies of scale, industrialization, improve the competitiveness of African companies and lead to wider welfare and income gains.  

    While there is still much unfinished work to be done, as well as political, legal and regulatory hurdles to overcome before the ambitious agreement can be rendered operational, some of the potential benefits of the AfCFTA are apparent. Firstly, it aims to transform what is currently a disjointed and fragmented grouping of disparate regional markets and spaces with a maze of regulatory and legal barriers into one single continental market, making for a potentially more appealing and navigable market for investors. A company which establishes in one African State would not have to navigate a perplexing labyrinth of complicated rules of origin, regulations and other non-tariff barriers in order to trade across the continent.

    Secondly, the vast African continent currently has several regional economic groupings based primarily on geographic region and with varying levels of integration. Though these groupings are not replaced by the AfCFTA, the AfCFTA means that CARICOM and other third parties seeking to secure a free trade agreement with Africa could negotiate with one grouping as opposed to several.

    Thirdly, the AfCFTA and the Protocol on the Free Movement of Persons are potentially welcomed news for third parties seeking to establish a business in Africa as it could make sourcing inputs and hiring staff from other parts of the continent easier and much cheaper.  

    Additionally, both Africa and the Caribbean, which each comprise countries separated by language and geography, are in the midst of creating regional integration movements. CARICOM, and in particular the OECS sub-grouping which has evolved into a deeply integrated sub-region, can share its own experience as it seeks to consolidate its own CARICOM Single Market and Economy (CSME). It can also learn from any successes of the AfCFTA.

    In summary, Caribbean-Africa trade is small but there is potential for growth given Caribbean countries’ export partner diversification efforts, Africa’s economic rise and increased Caribbean-African cultural awareness. Additionally, the single African market contemplated by the AfCFTA is an exciting development which makes the prospects all the more alluring for deepened Caribbean-Africa trade based on a shared history, friendship and the potential for mutual benefit.

    Alicia Nicholls, B.Sc., M.Sc., LL.B., is an international trade and development consultant with a keen interest in sustainable development, international law and trade. You can also read more of her commentaries and follow her on Twitter @LicyLaw.

    DISCLAIMER: All views expressed herein are her personal views and do not necessarily reflect the views of any institution or entity with which she may be affiliated from time to time.

  • Caribbean Trade & Development Digest – June 9-15, 2019

    Caribbean Trade & Development Digest – June 9-15, 2019

    Welcome to the Caribbean Trade & Development News Digest for the week of June 9-15, 2019! We are happy to bring you the major trade and development headlines and analysis from across the Caribbean Region and the world from the past week.

    THIS WEEK’S TRADE HIGHLIGHTS

    UNCTAD released its World Investment Report 2019 noting that “global foreign direct investment (FDI) flows slid by 13% in 2018, to US$1.3 trillion from $1.5 trillion the previous year – the third consecutive annual decline”. Read the World Investment Report 2019.

    G20 Trade and Digital Economy Ministers for the first time met together. Read the Ministerial statement here.

    CARICOM Ministers of Foreign Affairs of the Caribbean Community (CARICOM) and the Republic of Cuba, met in Georgetown, Guyana, on June 14th, 2019, on the occasion of the Sixth CARICOM-Cuba Ministerial Meeting. Read the Declaration here.

    REGIONAL NEWS

    Joint Communique: Barbados and Ghana

    Nation News: The following Joint Communiqué was issued on the occasion of the Official Visit to Barbados by Nana Akufo-Addo, President of the Republic of Ghana.President of the Republic of Ghana, His Excellency Nana Akufo-Addo, paid an official visit to Barbados from June 14 to 15, 2019, during which he held talks with Prime Minister Mia Amor Mottley. Read more

    Ghana to help Barbados with nurses soon

    Nation News: Barbados’ acute nursing shortage could soon be a thing of the past.Thanks to the government of the Republic of Ghana, the island should soon have more than enough registered nurses to fill the void that has been a bugbear for the medical health sector for decades. Read more

    CARICOM reaffirms great value of relations with Cuba

    CARICOM Today: Even as the Caribbean Community (CARICOM) on Friday reaffirmed the great value it attaches to ties with Cuba, it reiterated its call for an immediate and unconditional end to the economic, commercial and financial embargo imposed by the United States on Cuba. Read here

    Gov’t Taking Action to Mitigate Climate Change Impacts

    JIS: Foreign Affairs and Foreign Trade Minister, Senator the Hon. Kamina Johnson Smith, says the Government is taking steps to reduce and manage the effects of climate change across all sectors through national and international partnerships. Read more

    Norway to fund mega solar farms in Guyana

    Amsterdam News: Norway’s government has approved grant aid worth $80 million to help the largest Caribbean Community nation build a number of mega solar farms to provide energy to several communities located near the jungle close to the borders with Venezuela and Brazil, officials have said. Read more

    Caribbean women entrepreneurs export ready

    MENAFM: Nineteen Caribbean female entrepreneurs have completed the WE-Xport programme, an initiative geared at helping them to start exporting or to increase exports of their products and services. Read more

    Pushing exports

    Barbados Advocate: WITH Barbados’ goods exports languishing in the region of Bds$510 million over the last two years, there is a concerted effort by the current administration to push exports to help grow the economy. Read more

    Ghana to help Guyana’s energy sector

    Demerara Waves: Ghana’s President, Nana Akufo-Addo has agreed that his country would help Guyana’s energy sector, Director-General of the Ministry of the Presidency, Joseph Harmon said. Read more

    12,000 Pounds of Mangoes Exported from Jamaica to US

    JIS: Twelve thousand pounds of mangoes were exported on Thursday (June 13) to the United States (US).The mangoes – ‘Julie’ and ‘East Indian’ – were the first set to be exported to the US in 20 years. Read more

    Jamaica Dealers Object To New Directive To Sanitise Imported Autos

    Jamaica Gleaner: The Jamaica Used Car Dealers’ Association, JUCDA, says it is strongly opposed to a new directive by the Trade Board for importers of used motor vehicles to pay a Jamaica government agent based in Japan to sanitise each auto at a cost of up to US$150 before they are shipped. Read more

    INTERNATIONAL NEWS

    India is hitting the United States with more tariffs

    CNN: India just increased tariffs on US exports, dealing another blow to fragile global trade. Read more

    Trade tensions boosted international role of euro, ECB reports

    Euractiv: Trade tensions, challenges to multilateralism and unilateral sanctions might be bad for the economy but they have helped boost the global use of the euro, the European Central Bank reported on Thursday (13 June). Read more

    Europe wants to replenish UN Green Climate Fund

    Euractiv: EU member states want to replenish a UN fund aimed at supporting developing nations cut carbon emissions and adapt to climate change, according to draft conclusions from next week’s EU summit. Read more

    Indian, Chinese officials hold dialogue to break deadlock in RCEP trade negotiations

    Hindu Business Line: In a renewed attempt to break the stalemate in the ongoing Regional Comprehensive Economic Partnership (RCEP) negotiations involving 16 countries, senior officials from India and China met in New Delhi this week to try and reach a common ground on market opening commitments. Read more

    13 RCEP nations oppose India’s strict country of origin norms

    Economic Times: India wants strict rules of origin to prevent Chinese goods from flooding the country through member countries that may have lower or no duty levels. Read more

    Trade Policy Review: Canada

    WTO: The eleventh review of the trade policies and practices of Canada took place on 12 and 14 June 2019. The basis for the review is a report by the WTO Secretariat and a report by the Government of Canada. Read more

    Egypt’s exports to Africa rise $4.7B in 2018

    Egypt Today: Egypt’s exports to the African continent are expected to reach $4.7 billion in 2018, compared to$3.6 billion in 2017, with an increase of 30 percent, according to the Commercial Representative Office. Read more

    China issues new guidelines for its commercial space sector

    China Knowledge: China has introduced its first guidelines to regulate its commercial space sector in order to guide the health development of commercial space rockets manufacturing and test flights. Read more

    Customs fraud is thriving thanks to Trump’s trade war

    The Hill: As one would expect, and as Trump intended, the value of U.S. imports from China has dropped off considerably. But what may not have been anticipated is the growth in imports from other countries or, for that matter, the increased incentive to commit customs fraud. Read more

    Public Hearings on Proposed Section 301 Tariff List

    USTR: The Office of the U.S. Trade Representative (USTR) will hold public hearings from June 17 to June 21, 2019 and, the following week, from June 24 to June 25, 2019, regarding proposed tariffs on approximately $300 billion worth of Chinese products. Read more

    Rare earths give China leverage in the trade war, at a cost

    Economist: If China cuts off exports, it would hurt America but also undermine its own long-term economic goals. Read more

    No hope of avoiding tariffs in ‘no deal’ Brexit – EU’s Malmstrom

    Reuters: Supporters of Brexit are “completely wrong” if they think recourse to an obscure trade rule will stop tariffs springing up overnight if Britain leaves the European Union without a deal, EU Trade Commissioner Cecilia Malmstrom said on Friday. Read more

    Brazil asks for WTO investigation of Indonesia on poultry trade

    CNA: The Brazilian government has formally asked the World Trade Organization (WTO) to open a panel to investigate Indonesian policies on Brazil’s poultry exports, the Agriculture Ministry said on Friday. Read more

    Liam Fox warns WTO is ‘in crisis’ as businesses told to brace for no-deal Brexit

    Telegraph: The US-China trade war, industrial strife and political deadlock all threaten to overwhelm the World Trade Organization, putting the future of the institution and the system of free trade in mortal danger, Liam Fox has warned. Read more

    UK signs post-Brexit free trade deal with South Korea

    BBC: The UK and South Korea have signed an outline free trade agreement (FTA) that seeks to maintain existing trade arrangements post-Brexit. Read more

    Taiwanese companies hit by US-China trade war lured back home by Taipei

    South China Morning Post: ‘Invest Taiwan’ offers low-cost loans, help finding workers and even rent-free accommodation for firms struggling to make a profit on the Chinese mainland. Read more

    Representatives from India and Latin America Call for More Trade

    Prensa Latina: Options for enhanced economic cooperation in India and Latin America were discussed by diplomats from that region and officials of the Indian Government, banking entities and the National Federation of Chambers of Commerce and Industry. Read more

    China ready for trade talks with East Africa bloc: ambassador to Kenya

    Reuters: China is ready to negotiate a trade deal with the six-nation East Africa Community (EAC) to address Kenya’s complaints about a huge trade imbalance in favor of the Asian economic giant, China’s ambassador to Nairobi told Reuters. Read more

    EU: No strategy yet if China halts critical exports in U.S. trade war

    Reuters: The European Union on Thursday said it had no clear strategy on how to ensure continued supplies of critical raw materials if China, the world’s leading supplier of rare earth minerals, used such exports as leverage in the escalating U.S.-China trade war. Read more

    EU asks for formal consultations with Southern African Customs Union on trade in poultry

    EU: Today, the EU requested formal consultations – a first step in a dispute settlement process – with the Southern African Customs Union (SACU) over safeguard measures affecting imports of frozen chicken cuts from the EU. Read more

    No trade action against India as of now: USTR

    The Hindu: The office of the United States Trade Representative (USTR) said it had no announcement of a trade action at the moment but continued to raise market access concerns with India, reacting to media reports last week that the U.S. was considering launching a 301 probe against India. Read more

    U.S. Asks WTO to Temporarily Pause Its IP Dispute With China

    Bloomberg: The U.S. asked the World Trade Organization to suspend its dispute over China’s intellectual property practices for six months, according to a notice published Friday on the WTO website. Read more

    PM Modi slams protectionist, unilateral trade moves

    Economic Times: Prime Minister Narendra Modi on Friday criticised unilateral and protectionist decisions in trade, seeking instead a rules-based, anti-discriminatory and WTO-led inclusive system that would address the needs and aspirations of stakeholders globally. Read more

    Australian rare earth miners push development deals to counter China grip

    Reuters: Rare earth developers in Australia say they are edging closer to signing deals with new customers that would drive forward their projects amid mounting global supply concerns over the minerals that are crucial to high-tech industries. Read more

    WTO NEWS

    NEW ON CTLD BLOG

    The Caribbean Trade & Development Digest is a weekly trade news digest published by the Caribbean Trade Law & Development Blog. Liked this issue? To read past issues, please visit here. To receive these mailings directly to your inbox, please subscribe to our Blog below:

  • CARICOM and Cuba reiterate solidarity and cooperation at Sixth Ministerial Meeting

    CARICOM and Cuba reiterate solidarity and cooperation at Sixth Ministerial Meeting

    Alicia Nicholls

    Foreign Ministers from Caribbean Community (CARICOM) Member States and the Republic of Cuba held their Sixth CARICOM-Cuba Ministerial on June 14, 2019 in Guyana. Agenda items for the one-day meeting included: climate change, the 2030 Agenda for Sustainable Development, the impact of natural disasters on development, security and hemispheric developments.

    CARICOM countries and Cuba share a long friendship reinforced by cooperation in a myriad of areas, including trade, sport, agriculture, culture, education and health. For example, many Caribbean students have benefited from scholarships offered by the Cuban government to study at Cuban universities. Cuba and CARICOM also have a Trade and Economic Cooperation Agreement (TECA) signed in July 2000.

    In his remarks at the Opening Ceremony of the meeting, CARICOM Secretary General Ambassador Irwin Larocque reiterated that CARICOM and Cuba “have forged a deep and meaningful relationship based on solidarity and cooperation”. He further praised “Cuba’s contribution to the Community’s human resource development, its health sector, agriculture and in the area of sports and culture has been of major significance to our Member States”. Specifically on the area of trade, Ambassador Larocque highlighted the Second Protocol to the TECA with Cuba signed in November 2017 which expanded preferential access to both Parties.

    The current US Administration has sought to tighten sanctions on Cuba, a sharp reversal of the rapprochement which had occurred under the administration of former US President Barack Obama, in order to pressure regime change in Cuba and to stop its support for Venezuelan President Nicolas Maduro. Recent US aggression includes, for example, the enforcement of Title III of the Helms-Burton Act and banning cruise ships to Cuba.

    Ambassador Larocque noted that “the Community reiterates its call for an immediate and unconditional end to the economic, commercial and financial embargo imposed by the Government of the United States of America against Cuba”. He further stated that “CARICOM also rejects, especially the unilateral and extraterritorial nature of these actions”.

    In his address (text in Spanish), Cuba Foreign Minister Bruno Rodriguez Parilla expressed gratitude on behalf of the Cuban government, noting that “we feel that we have a permanent debt of gratitude to CARICOM for its historic and brotherly support for Cuba”. He further observed that Cuba and CARICOM “share a common history and similar challenges” and reiterated Cuba’s commitment to share its “modest successes with the Caribbean”. He also revealed that only a few weeks ago, Cuba unveiled a monument in memory of Caribbean National Heroes in a park in the Havana city centre as a symbol of friendship and Cuban recognition of the men and women who turned this group of countries into a “worthy community and independent foreign policy”.

    At the end of their meeting, the Ministers released a declaration. The main parts which speak specifically to trade are at paragraphs 7-9:

    In this regard, we reaffirm our commitment to continue promoting the implementation of projects to improve air and sea ports, infrastructure and connectivity between our countries and broaden our economic and trade relations through the implementation of the Revised Trade and Economic Cooperation Agreement between CARICOM and Cuba;

    Commit to complete the required internal legal procedures with a view to giving effect to the Second Protocol to the Agreement on Trade and Economic Cooperation, which will contribute to the strengthening of trade relations;

    Reiterate the importance of trade for the Region’s sustainable development and reaffirm the necessity of appropriate policy space and special and differential treatment for small vulnerable economies like those in the Caribbean. In that context, we welcome the hosting by Barbados of UNCTAD XV in October 2020, which will be the first time that an UNCTAD quadrennial conference has been held in a Caribbean country;

    The full Declaration may be read here.

    Alicia Nicholls, B.Sc., M.Sc., LL.B., is an international trade and development consultant with a keen interest in sustainable development, international law and trade. You can also read more of her commentaries and follow her on Twitter @LicyLaw.

    DISCLAIMER: All views expressed herein are her personal views and do not necessarily reflect the views of any institution or entity with which she may be affiliated from time to time.