Friday, October 26, 2007

Kenyan farmers ask court to block proposed EU trade agreement

from Yahoo News

NAIROBI (AFP) - Kenyan small scale farmers on Thursday asked the high court to block a proposed new trade agreement with the European Union that activists warn could strangle poor economies and industries.

The farmers said the new tariff system, the Economic Partnership Agreements (EPAs) set to replace a current preferential arrangement, will condemn hundreds of thousands in Kenya into joblessness and deeper poverty.

Kenya is among 78 African, Caribbean and Pacific (ACP) countries enjoying special access to the EU market, but the World Trade Organisation has ruled that the deal must end by January 1, 2008 to pave the way for free markets.

"The EPAs would unfairly obligate ... (ACP) countries to open their borders to duty and tariff-free goods and services from Europe, with the consequence of undermining the right to development," they said in court papers.

If they take effect, the EPAs "will contravene the petitioners (farmers) rights and freedoms; including the rights to life, to work, to earn a living and rights to basic services, such as provision of water, security, education, roads and infrastructure," it added.

The case was referred to the country's chief justice for direction.

Kenyan courts are empowered to block the country from signing bilateral and multilateral deals if they are deemed to affect the rights of its subjects.

If EPA fails to take effect in January, then somewhat wealthier African nations, including Kenya, South Africa and Nigeria, will automatically face a specific band of tariffs.

Nonetheless, 40 of the ACP countries considered least developed will still benefit from the preferential trade agreements.

In a recent statement, the ActionAid organisation charged that Europe's "use of strong-arm trade politics will deny food rights and undermine good governance in the world's poorest countries."

The preferential trade pacts between Europe and the ACP were initially designed to ensure a steady flow of supplies from former colonies, but Europe is now pushing to get a wider access to ACP markets.

Many poor countries argue that they will no longer be able to compete if they lose their special tariffs on exports to EU countries.

EU Trade Commissioner Peter Mandelson has upped the pressure on ACP countries to find a common position and press on with the negotiations to ensure there is a solution.

With the year-end deadline looming ever larger, the EU sought in April to boost the negotiations with an offer to scrap all tariffs and quotas on ACP countries' exports with the exception of sugar and rice.

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