Caribbean Trade Law and Development

Tag: Belize

  • CARICOM Heads to tackle wide range of issues at Meeting in Belize

    CARICOM Heads to tackle wide range of issues at Meeting in Belize

    (CARICOM Secretariat, Turkeyen, Greater Georgetown, Guyana – Friday, 25 February 2022)  –  Caribbean Community (CARICOM) Heads of Government will deliberate on several major issues, including the Region’s post-pandemic economic recovery, when they gather on San Pedro in Belize for their Thirty-Third Inter-Sessional Meeting on 1-2 March 2022.

    The Meeting, under the Chairmanship of Prime Minister Mr. John Antonio Briceño of Belize, is also expected to address advancing the implementation of the CARICOM Single Market and Economy (CSME), regarded as the Region’s most practical option for responding to current economic challenges, and building a more resilient Caribbean Community.

    The situation in Member State Haiti, including the current political impasse and security and socio-economic challenges, will also be examined. Heads will also discuss the regional security situation including any new challenges from the period of the pandemic.

    The Meeting is expected to advance the CARICOM Agri-Food systems agenda with recommendations for regional food and nutrition security.  The Heads are also expected to engage representatives of the Private Sector, Labour and Civil Society.

    Climate Change, an existential threat to Caribbean small island and low-lying States is also before the Meeting, which will assess the outcomes of COP26 – the last global Climate Change conference in Glasgow, and begin to outline the Region’s plan of work for COP27.

    The Meeting begins on Tuesday at 9:00 a.m. Belize Time with an Opening Session which will be addressed by Secretary-General Dr. Carla Barnett; Out-Going Chairman Prime Minister Mr. Gaston Browne of Antigua and Barbuda; and the Chairman, Prime Minister Briceño.  There will be a Closing Press Conference on Tuesday at 5:00 p.m. Belize Time. 

    This will be the first in-person CARICOM Heads of Government Inter-Sessional Meeting for the Secretary-General and new Deputy-Secretary General Dr. Armstrong Alexis who took up their positions last August and November respectively.  Two new Assistant Secretaries-General – Ambassador Donna Forde who heads the Foreign and Community Relations Directorate and Ambassador Wayne McCook who heads the Single Market and External Trade Directorate, are also attending their first Heads of Government Meeting.

    Following the Inter-Sessional Meeting, CARICOM Heads of Government will join their Central American counterparts for the Fourth CARICOM-SICA summit on 3 March, also on San Pedro, Belize, where the two Regions will seek to build on common interests and challenges, including the current pandemic and Climate Change.  United Nations Secretary-General Antonio Guterres is expected to address the gathering.

    Editor’s Note:
    CARICOM Secretary-General Dr. Carla Barnett provided a preview of the major issues in this interview:   https://vimeo.com/681489890

  • Belize v Trinidad & Tobago: Caribbean Court of Justice dismisses claim for lack of evidence

    Belize v Trinidad & Tobago: Caribbean Court of Justice dismisses claim for lack of evidence

    Alicia Nicholls

    In its ruling delivered on February 1, 2022, the Caribbean Court of Justice (CCJ) has dismissed the original jurisdiction claim filed by Belize against Trinidad & Trinidad over the latter’s alleged failure to apply the Common External Tariff (CET) on extra-regional imported brown sugar.

    In its claim filed on September 30, 2020, Belize contended that Trinidad & Tobago had over the period November 2018-July 2020 failed to apply the CET rate of 40% on extra-regional imported brown sugar from Honduras and Guatemala. This, Belize argued, had adversely impacted prices and sales made by Belize Sugar Industries Ltd, a State-owned entity which exports sugar to Trinidad & Tobago. In light of this alleged breach by Trinidad & Tobago of the Revised Treaty of Chaguaramas, Belize sought declarations and damages.  Inter alia, Trinidad & Tobago argued in its defense that it had not allowed for the importation of brown sugar from Guatemala and Honduras without applying the CET of 40% on that item.

    In dismissing Belize’s claim, the CCJ cited “severe shortcomings” in the evidence offered by Belize, in respect of the alleged failure of Trinidad and Tobago to apply the CET, and that these shortcomings “were not cured by reference to circumstantial evidence”.

    In its nearly fifty page judgment, the CCJ also took time to reaffirm and reiterate the importance of the obligation on Member States to impose and maintain the CET on the importation of extra-regional goods. Simply put, a CET refers to the uniform tariff rates applied by members of a customs union against imports from third countries, that is, non-parties to the customs union. Such a measure protects the exports of the members of the customs union within the union and aim to make them more competitive vis-à-vis products outside the customs union. Article 82 of the RTC requires member states to establish and maintain the CET, while Article 83 outlines the only ways in which the CET on an item may be altered or suspended.

    Citing its previous case law on the matter, the CCJ emphasized that the CET was a “fundamental pillar” in the establishment of the CARICOM Single Market and Economy (CSME) and its importance in encouraging and promoting the production of goods within the community.

    With regard to the specific case at hand, the CCJ noted at paragraph 122 of the judgment as follows:

    “In the present circumstances, this Court re-emphasises the importance of maintaining the CET especially in respect of a product such as brown sugar which is of demonstrable importance to Member States such as Belize which manufactures that product. No one disputes that Belize has made very significant investment in its agricultural sector in general and in sugar cultivation and production specifically. The CET does not guarantee producers of sugar in Belize an assured market, but those producers are entitled to the protection of the market that the tariff is intended to provide.”

    Additionally, the CCJ went on to urge the Community “to superintend the conclusion of the Monitoring Mechanism for Sugar as quickly as possible to ensure that the benefits intended to ensure to the regional sugar producers are not frustrated and impaired”.

    The CCJ in its original jurisdiction has compulsory and exclusive jurisdiction to hear and determine disputes concerning the interpretation and application of the RTC between Member States parties and between the Member States parties and the Community.

    The full judgment may be read here.

  • Belize undergoes third WTO Trade Policy Review

    Belize undergoes third WTO Trade Policy Review

    Photo credit: Alicia Nicholls 2016

    Alicia Nicholls

    Belize underwent its third World Trade Organisation (WTO) mandated Trade Policy Review over the period April 24th and 26th, 2017. Trade Policy Reviews are a mandatory exercise under the WTO’s Trade Policy Review Mechanism. Each WTO member country’s national trade and other trade-related policies are peer-reviewed by the Trade Policy Review Body (the WTO General Council acting under special rules and procedures).

    The frequency of the reviews depends on the country’s share of world trade. The purpose of the trade policy reviews is to help to ensure transparency of member countries’ trade policies. Belize has previously undergone reviews in 2010 and 2004.

    Some key findings from Belize’s 2017 review

    These findings were taken from the WTO Secretariat Report and the Chairman’s concluding remarks.

    The Report noted that several issues had affected Belize’s economy during the review period, including the decline in oil prices, disease outbreaks affecting its agriculture sector and the impact from the loss of correspondent banking relationships due to the de-risking practices of major global banks.

    Areas of praise

    Members praised Belize for the following:

     

    • Its diversification into tourism which is now the major driver of the country’s economy, and the adoption of the country’s first National Trade Policy Framework.
    • Belize’s participation in the WTO. Some members also suggested that the country establish a permanent mission in Geneva.
    • Belize was commended  for being among the first Members to ratify the Trade Facilitation Agreement and for having notified its Category A commitments.  Belize also recently established a National Committee on Trade Facilitation
    • Members commended Belize’s efforts to modernize its trade regime and customs procedures.
    • Reduction by half of the number of products subject to import licensing, but some members noted that this was followed by tariffication, resulting in some applied MFN tariffs exceeding their bound rates.
    • Noting Belize’s membership of the Caribbean Community (CARICOM), Members encouraged Belize to continue engagement in regional integration and trade liberalization schemes.
    • Belize was commended for its acceptance of the Protocol amending the TRIPS Agreement; while some Members encouraged Belize to join the WIPO treaties.
    • The establishment of Belize’s first Internet Exchange Point to reduce the costs of local internet traffic.
    • Members acknowledged the recent reforms to Belize’s financial services regulatory framework.
    • Some Members welcomed Belize’s efforts to improve its air transport infrastructure and air links, and encouraged Belize to replicate such efforts to enhance land and maritime transport.

    Areas of concern

    • Members, however, were concerned that Belize had not submitted notifications in a number of areas, and urged for compliance with the WTO requirements.
    • Several Members highlighted Belize’s three incentive programmes granting export subsidies which should have been eliminated by 31 December 2015. However, they acknowledged Belize’s ongoing efforts to amend the relevant legislation.

    As noted by the Chairman, Belize was commended for providing prompt and helpful answers to all written questions submitted in advance by members, as well as to all that came after the deadline.

    Belize is the fourth WTO member country to undergo review so far for the year, following Sierra Leone, Japan and Mexico. The other CARICOM member state to be reviewed this year is Jamaica which will undergo its review on September 13 & 15.

    The documents from Belize’s review, including the full WTO Secretariat Report and the Chairman’s Concluding Statement, may be viewed here.

    Alicia Nicholls, B.Sc., M.Sc., LL.B., is a 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.

  • Belize accepts TRIPS Amendment

    Alicia Nicholls

    Belize has become the latest member of the Caribbean Community (CARICOM) to accept the amendment to the World Trade Organisation’s (WTO) Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) which seeks to improve poorer members’ access to affordable medicines.

    This  amendment to the TRIPS Agreement formalises and makes permanent the waiver provided by paragraph 6 of the Doha Declaration on TRIPS and Public Health, known as the “Paragraph 6 System” in 2003. The amendment was approved by the WTO General Council on December 6, 2005, and permits exporting countries to grant compulsory licenses for the manufacture and export of pharmaceutical products to poorer countries.

    The protocol is not yet in force and will only enter into force upon acceptance by two-thirds of the WTO’s membership. The original deadline for acceptance was December 1, 2007 but has been extended to December 31  2017 by the General Council in November 2015.

    So far the following CARICOM countries have accepted the amendment: Grenada (2015), St. Kitts & Nevis (2015), St. Lucia (2016), Trinidad & Tobago (2013).

    More from the WTO’s press release here.

    Alicia Nicholls, B.Sc., M.Sc., LL.B. is a 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.