Mary Upton (Dublin South Central, Labour)
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Question 348: To ask the Minister for Enterprise, Trade and Employment if the SADC EPA region, in signing an interim goods-only free trade agreement has expressed that it wishes not to commit itself to future negotiations in services and investment which are not suitable to its economic, social and environmental development priorities (details supplied); if he will take the constructive proposals into account; and if he will make a statement on the matter. [30699/07]

Micheál Martin (Cork South Central, Fianna Fail)
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At the Africa Caribbean Pacific (ACP)-EU Joint Council of Ministers in May of this year, all 6 ACP regions, together with the EU, reaffirmed their intention to conclude full EPAs (including provisions on services and investment) before the deadline of the 31st of December 2007. After that date the current trading arrangements under the Cotonou Agreement must end if the EU and our ACP partners are to meet our international obligations in the World Trade Organization.

However, some of the ACP regions have since indicated that it will be difficult for them to agree the terms of a full EPA by that deadline. In those cases, the EU is proposing to put in place new arrangements to deal with trade in goods after the 31st of December and to continue with negotiations for all other aspects of a full EPA into next year.

At the EU General Affairs Council of the 21st of November last, the Development Ministers considered the current state of the negotiations for EPAs and issued Conclusions. In those Conclusions, the Council noted the right of all ACP states and regions to determine the best policies for their development and acknowledged that the ambition for the scope of an EPA may differ from one region to another. The Council continues to support the inclusion of provisions on trade in services, investment and other trade related areas in EPAs, as it believes that such provisions fulfil the objectives of economic and trade cooperation as set out in the Cotonou Agreement and contribute to the release of the full development benefits of EPAs. As far as the negotiations of services provisions go, the Council has said clearly in the Conclusions that it supports a flexible and phased approach.

Ireland agrees that the negotiations must be conducted in a spirit of goodwill, flexibility and understanding. We have always said that any resulting agreements must be supportive of ACP countries development needs and their poverty reduction strategies. Accordingly, any proposal from an ACP region, such as the one from the SADC region, should be considered.

In the case of trade agreements such as the EPAs, it is the Commission who have the competence on behalf of the EU to negotiate, and not the individual Member States. As far as the SADC region is concerned, I understand from the Commission that it remains optimistic that agreement on an EPA can be reached with at least some of the countries in that region by the deadline of the 31st of December 2007.