John Moloney (Laois-Offaly, Fianna Fail)
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Question 1101: To ask the Minister for Enterprise, Trade and Employment if the EU will offer least developed countries a round for free under WTO talks; if the EU is making trade liberalisation requests of LDCs under the EPA negotiations; and if he will make a statement on the matter. [43918/06]

Michael Ahern (Cork East, Fianna Fail)
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Since 2001, the EU provides duty and quota free access for all products from least developed countries. At the WTO Ministerial meeting in Hong Kong in December, 2005, it was agreed that all products exported by least developed countries into developed countries would receive this treatment.

As provided for in the Cotonou Agreement of 2000, Economic Partnership Agreements (EPAs) are trade agreements under negotiation between the EU and the Africa, Caribbean and Pacific (ACP) Group of states. They seek to replace current unilateral trade preferences into the EU under the Lomé Conventions, which are in contravention of World Trade Organisation rules. They are intended to foster the gradual and smooth integration of ACP states into the world economy, which will promote sustainable development and contribute to poverty eradication.

With this objective in mind, the EPAs comprise a package of measures encompassing trade liberalisation, regional integration, development assistance and co-ordination of new rules. The EPAs will require a degree of trade liberalisation, including LDCs, but Article 37.7 of the Cotonou Agreement states that negotiations shall take account of the level of development and the socio-economic impact of trade measures on ACP countries and their capacity to adapt and adjust their economies to the liberalisation process. It outlines that negotiations will be as flexible as possible in establishing the duration of a sufficient transitional period, the final product coverage, taking into account sensitive sectors and the degree of asymmetry in terms of the timetable for tariff dismantlement, while remaining in conformity with WTO rules then prevailing. I have been working closely with my colleague Conor Lenihan, Minister for Development Cooperation and Human Rights to monitor progress on these and other Cotonou commitments as the negotiations proceed and we have been actively raising issues on behalf of LDCs and the other ACP countries with a view to supporting a pro-development outcome to this process.

It should be noted that if LDCs ultimately decide not to opt for the EPA package offering security, rules, regional integration, larger markets and solidarity with regional neighbours it will be open to them to retain their current duty and quota free access to the EU.