SYMPOSIUM ON PREFERENTIAL TRADE AGREEMENTS AND INCLUSIVE TRADE Insights from the Private Sector

Transcription

1 Africa Africa Africa Africa SYMPOSIUM ON PREFERENTIAL TRADE AGREEMENTS AND INCLUSIVE TRADE Insights from the Private Sector Rooma PILLAY NARRAINEN Manager Trade Division Mauritius Chamber of Commerce and Industry Bangkok 14 December 2017

2 MAIN TRADE AGREEMENTS/ARRANGEMENTS USA - AGOA Europe - EPA Continental FTA SADC / COMESA / EAC/ TRIPARTITE /ECOWAS

3 PREFERENTIAL TRADE AGREEMENTS: IMPORTANCE OF TRADE PREFERENCES FOR MAURITIUS

4 MAURITIUS AT A GLANCE Population: 1.2 million Area: 2040 km 2 GDP per capita : +/-USD 9600 High reliance of exports on trade preferences

5 Evolution of the Mauritian Economy 1970s Lomé/Cotonou Convention - Secured market for Sugar - Development of the Sugar Sector - High Unemployment 1980s - Development of the Textiles & Clothing Sector - Duty-free and quota-free access - Employment of Women Consolidation of existing industries - Emergence of New Industries / Value Added - Preserved Tuna, Jewellery, Light engineering-

6 Evolution of the Mauritian Economy 2000 AGOA - Preferences to the US market - Market Diversification - New market for Garment Sector Regional Markets COMESA /SADC FTA - Access to new regional markets - New range of products exported (SMEs,..) African Integration - Tripartite FTA - Continental FTA

7 DIVERSIFICATION OF EXPORTS MARKETS Main Export Markets ( ) 61.7% 47.3% 11.8% 22.9% 8.3% 11.4% 18.1% 18.4% EU AFRICA USA OTHER

8 PREFERENTIAL TRADE AGREEMENTS: ECONOMIC BENEFITS

9 Sectoral Contribution to GDP ( ) Primary Secondary Tertiary

10 Employment of Women by Sector 80% 75% 70% 60% 50% 61% 60% 52% 40% 30% 20% 25% 26% 14% 14% 17% 31% 19% 10% 6% 0% Agriculture Textiles and Clothing Services

11 PREFERENTIAL TRADE AGREEMENTS: CHALLENGES FOR THE PRIVATE SECTOR

12 MAIN CHALLENGES Key role of the Private Sector Input in trade negotiations Ensure the effective participation of the private sector Enabling Framework Need to be established at national level to ensure effective and inclusive implementation of trade agreements Dynamic trading environment - Integration of new issues in trade agreements

13 EFFECTIVE PARTICPATION OF THE PRIVATE SECTOR

14 MAIN CHALLENGES FOR THE PRIVATE SECTOR IN AFRICA National Level No private sector coordination (one voice) No structured platform for public/ private dialogue Lack of capacity - Financial, Technical Experts, At Regional Level Lack of capacity in regional private sector institutions Lack of coordination Difficult to input in trade negotiations process

15 Public-Private Sector Interaction Input in Trade Negotiations (Industries, Rules of Origin, Sensitive products..) Strong and Structured Private Sector Institutions (Chambers, Industry Associations) Structured Public- Private Sector Dialogue Follow-up on Implementation Issues (NTBs, NTMs,..)

16 MAKING TRADE AGREEMENT EFFECTIVE AND INCLUSIVE: ENABLING FRAMEWORK

17 ENABLING FRAMEWORK AT NATIONAL LEVEL Industrial Policy Business Support Structures Trade Agreements Export Promotion Trade Facilitation

18 Enabling Framework Industrial Policy Investment Framework Industrial Policy (competitiveness, norms, technology, IP,..) Access to finance Export Promotion Facilitate access to markets Assistance to exporters Market Information

19 Business Support Structures Skills Development Demand Driven (required by industry) Legal/ Social Measures Social Measures Continuous training and upgrading of skills IT/Digital skills Labour Laws Support Structures (Working women, SMEs, Youth.)

20 Trade Facilitation Trade Facilitation Efficient clearance procedures Single Window E-Docs Transparency / NTBs /NTMs Port Efficiency Logistics/ Infrastructure Road/Air/Maritime Connectivity

21 WORLD BANK - EASE OF DOING BUSINESS 2018 Top African Countries Ranking Ease of doing business Trading across borders Index 1 Mauritius Rwanda Morocco Kenya Botswana South Africa Zambia Tunisia Seychelles Lesotho

22 PRIORITY ISSUES FOR PRIVATE SECTOR National Level - Enabling framework to support the implementation of PTAs - Business support structures to make trade more inclusive (women, youth, SMEs, ) New Issues to be included as Priority Areas: Go beyond traditional market access issues (tariffs, rules or origin, cooperation on other trade issues,...) - Implementation of the WTO Trade Facilitation Agreement - Mutual recognition Agreements on Standards and SPS issues - Trade in Services (Logistics, Communications, Professional Services, Financial Services, ) - Movement of Business Persons, Professionals, and Skilled Labour - Investment Facilitation and protection of investments

23 THANK YOU