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    Assembly/AU/Res.1(XXV)

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    Decision on the Report of the High Level African
    Trade Committee (HATC) on Trade Issues

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    Assembly Special Declaration on Illicit Financial Flows

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  • February 16, 2015

    Assembly/AU/Dec.555(XXIV)

  • July 26, 2014

    Decisions, Declarations and Resolution of the Assembly of the Union Twenty-Third Ordinary Session, 26-27 June 2014, Malabo, Equatorial Guinea

  • June 24, 2014

    Decision on the Report of the Extraordinary Session of the AU Conference of Ministers of Trade (CAMOT)

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    Decision on the Report of 3rd CAMRMRD

  • June 24, 2014

    Decisions of the Executive Council Twenty-Fifth Ordinary Session, 20 – 24 June 2014 Malabo, Equatorial Guinea

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  • January 31, 2014

    Decision on the Report of the High Level African Trade Committee on Trade Issues

  • October 25, 2013

    8th ORDINARY SESSION OF THE CONFERENCE
    OF AU MINISTERS OF TRADE
    21ST – 25TH OCTOBER 2013
    ADDIS ABABA, ETHIOPIA

    AU/TI/TD/CAMoT-8/EPA.DECL/FINAL
    Original: English

    DECLARATION ON THE ECONOMIC
    PARTNERSHIP AGREEMENTS (EPAs)

    DECLARATION ON EPAs

    We, the Ministers of Trade of the Member States of the African Union, meeting in Addis Ababa, Ethiopia on 24th-25th October 2013 in our Eighth Ordinary Session ;

    RECALLING the objectives for Economic Partnership Agreement (EPAs) are the achievement of sustainable development of African countries, their smooth and gradual integration in the world economy and the eradication of poverty;

    TAKING NOTE of the conclusions of the High-Level Meeting between the African Union Commission (AUC) and the European Commission (EC) held in Brussels, Belgium, on 3 July 2013, particularly the need for a political decision to resolve the contentious issues in EPA Negotiations;

    FURTHER TAKING NOTE of the Report of the African Union/Regional Economic Communities (AU-RECs) Coordination Meetings on the EPA negotiations held in Libreville, Gabon, and Brussels, Belgium, respectively on 24-25 July 2013 and 4-5 October 2013;

    REAFFIRMING that EPAs should be development-oriented instruments and should not undermine Africa’s economic integration and ensure meaningful market access and policy space;

    HAVING RECOGNISED that EPA is supposed to be a WTO compatible agreement and need not include WTO plus Commitments

    HAVING adequately assessed the state of play of EPAs Negotiations in Africa after a long period of negotiation, reemphasize the need to strengthen political dialogue between the EU and Africa at the appropriate level with a view to finding solutions to Africa’s common concerns on EPAs;

    RECALLING the past Declarations of AU Ministers of Trade on EPAs;

    BEING AWARE of the challenges faced by some African Union Member States that are Implementing Interim EPAs;

    RECALLING the latest call for High Level Dialogue on EPAs made by the ACP Summit held in Malabo, Equatorial Guinea in 2012;

    FURTHER RECALLING the Decision AU/MIN/CAMRMRD/4(I) of the 1st Ordinary Session the AU Conference of Ministers responsible for Mineral Resources Development 13-17 October 2008; Calling-on AU Member States to work together to ensure that international agreements that they enter into enhance rather than undermine Africa’s policy space for integrating mineral resources development into their economies and in this regard, Urging them and the Regional Economic Communities (RECs) to ensure that the ongoing Economic Partnership Agreements (EPA) and World Trade Organisation (WTO) negotiations do not limit this space;
    BEARING IN MIND the upcoming Fourth Africa-EU Summit scheduled to take place in Brussels, Belgium, on 2-3 April 2014;

    Hereby:

    1. REAFFIRM our commitment to continue the negotiations in order to conclude an EPA that promotes the development of African countries and promotes regional and continental integration programmes;

    2. EXPRESS OUR DISAPOINTMENT on the factthat after a decade of EPA negotiations, the process has not produced the desired results due to the lack of progress in resolving the differences between the parties on a number of contentious issues;

    3. NOTE WITH CONCERN that the current situation of the EPA negotiations are further complicated by many factors such as the amendment to the EC Market Access Regulation 1528/2007 which withdraws some AU Member States from the benefits therein; the introduction of new issues in the EPA negotiations by the EU; the proliferation of EU regulations and legislations on non-tariff measures that serve as technical barriers to trade as well as the EU negotiations with third parties.

    4. CALL ON the EU to demonstrate meaningful flexibility in its EPA negotiating demands particularly regarding contentious issues and not to use the withdrawal of regulation 1528/2007 to force countries to conclude EPAs that do not meet African development aspirations.

    5. STRESS the need for accompanying measures including additional resources which allow the implementation of the commitments reached in the EPAs and also enable the African states to be competitive.

    6. CALL UPON the EU to ensure that the EPA negotiations do not impose WTO Plus commitments on African Countries and that the outcome is WTO compatible.

    7. STRESS the need to include the EPAs on the agenda of the Fourth Africa-EU Summit to end the current impasse in the EPA negotiations. We strongly believe that the Africa-EU Summit provides a good opportunity for Africa and Europe to engage in political dialogue at the highest level, and together find lasting solutions to the challenges in the EPA negotiations.

    8. CALL UPONthe EU to work closely with the AU to ensure that the EPAs are prioritized at all the stages of preparation and be part of the Fourth Africa-EU Summit Agenda.

    9. NOTE the Joint Matrix on the contentious issues in the EPA negotiations with proposals for their resolution and request Africa EPA negotiating regions to use it as a guide to harmonize their positions in the negotiations.. Re affirm the principle that the most favorable provision in any one EPA configuration would be extended to the others.

    10. CALL UPON the AU Members states and all other relevant stakeholders, in particular, the RECs, AU EPA configurations, private sector, and civil society to work closely to ensure that unity, cohesion and solidarity are maintained and strengthened, in order to secure the best possible outcome in the EPA Negotiations.

    11. CALL UPON the EU to agree to provisions on Rules of Origin and Cumulation across the various EPAs that support Africa’s integration objectives and promote intra-Africa trade;

    12. URGE the EU to fully take into account our above fundamental concerns in this regard, in order to preserve and not undermine the current processes for economic integration in Africa.

    13. EXPRESS deep concern that the EU Raw materials Initiative (RMI) will impact negatively on the extraction, beneficiation and trade in the natural resources of Africa and hinder achieving our industrialization and development goals. We are also concerned that this initiative is also reflected in EPA and could undermine the EPA negotiating process.

  • October 25, 2013

    CONFERENCE OF THE AFRICAN UNION
    MINISTERS OF TRADE
    24th - 25th October 2013
    ADDIS-ABABA (ETHIOPIA)

    AU/TI/TD/CAMoT-8/WTO/DECL.FINAL
    Original: English

    ADDIS ABABA DECLARATION ON WTO ISSUES

    We, the Ministers of Trade of the Member States of the African Union meeting in Addis Ababa on the 24thand 25thOctober 2013 in the Eighth Ordinary Session of the AU Conference of the Ministers of Trade in order to review the progress made so far in the WTO negotiations in the lead up to the 9th Ministerial Conference of the WTO (MC9) from 3 to 6 December 2013, in Bali, Indonesia;

    Taking note of the recent developments in the Multilateral Trading System and the changes which occurred at the leadership of the World Trade Organization(WTO), we pay tribute to the outgoing Director General of the WTO, Mr. Pascal Lamy, for his personal commitment and the sterling achievements during his tenure, and congratulate Ambassador Roberto Carvalho de Azevêdo for his appointment as the 6th Director General of the WTO and commend his efforts in intensifying negotiations on the Bali package in pursuit of the mandate from the 8th WTO Ministerial Conference held in 2011. In this connection, we pledge our full support to the efforts of the Director General and further pledge our constructive role in ensuring that the negotiations leading to MC9 and beyond are successful;

    Recalling the Doha Ministerial Declaration adopted by the 4th WTO Ministerial Conference in 2001 and the succeeding Ministerial Declarations and the July package which engendered the development agenda at the heart of the WTO`s work program;

    Underscoring that the inception of the DDA negotiations and their focus on the development imperative was, amongst others, premised on the need to redress the imbalances inherent in the Uruguay Round Agreements;

    Taking note of the ongoing consultations on Trade Facilitation, Agriculture and Development issues including LDCs issues which have been prioritized for delivery by the MC9;

    Convinced that development should be the primary feature of the outcome of the MC9 on all the deliverables;

    Aware that the MC9 is not an end in itself, but rather a crucial step in the process of defining a post Bali work program, particularly in areas of interest to African countries;

    Cautious that the MC9 is key to preserving the credibility of the multilateral trading system in particular the rule making part of the WTO`s work;

    Concerned by a growing trend by some key WTO Members to devolve concentration of their negotiating efforts away from Doha Development Agenda to the ever proliferating plurilateral agreements;

    Further concerned that the devolution of concentration away from the DDA will erode modest progress made in integrating African countries into the multilateral trading system through trade related interventions particularly in pursuit of developmental objectives of Africa;

    Aware of the positive contribution that the multilateral trading system could have on the African Union`s agenda on boosting Intra-Africa Trade and the realisation of the Continental Free Trade Area (CFTA);

    Determined to work towards a balanced multilateral trading system in order to secure a meaningful share of growth of international trade;

    Hereby,

    1. Reaffirm the positions adopted in the Addis Ababa Declaration on WTO Issues of 2012;

    A. WTO DECISIONS
    2. Welcome the adoption of the General Council’s Decision of 25th July 2012 on Accession aimed at strengthening, streamlining and operationalising the 2002 LDCs Accession Guidelines, pursuant to the MC8 Decision, with principles and benchmarks in goods and services, and transparency in accession negotiations, Special & Differential Treatment (S&D) and transitional period and the need for enhanced technical assistance and capacity building to help acceding LDCs to complete their accession process, implement their commitments and to integrate them into the Multilateral Trading System. In this regard, we urge the full implementation of all aspects of the Decision by all WTO Members with due consideration to the specific circumstances and development objectives of acceding LDCs.

    3. Further welcome a Decision on the extension of the transition period under article 66.1 of the TRIPS Agreement for least developed country members as adopted by the TRIPS Council on 11 June 2013;

    B. GENERAL PRINCIPLES

    4. Stress the importance of the DDA negotiations and re-commit to conclude them in accordance with the existing mandates and on the basis of progress achieved so far, according to the principles of Single Undertaking and Special and Differential Treatment;

    5. Restate our continued call for a fair and balanced outcome of the DDA including in the context the Bali package, which must prioritize development as its main deliverable, preserve negotiated flexibilities beneficial to developing countries all anchored on the principles of inclusiveness, transparency and bottom-up approach;

    6. Strongly caution against attempts to undermine the spirit of cooperation inherent in the multilateral approach to negotiating the DDA and call on Members of the WTO to exercise due restraint in engaging in plurilateral arrangements with the potential effect of undermining the DDA;

    7. Strongly object to any attempt to link non-trade issues or add new issues to the DDA, before development issues such as agriculture (including cotton), LDC issues, S&D and implementation related concerns are satisfactorily addressed and the DDA is fully exhausted and successfully concluded;

    8. Stress the importance of ensuring that the outstanding agenda items of the DDA particularly in the areas of agriculture, LDCs related flexibilities and S&D and Implementation issues are prioritized for the post Bali work program;
    9. Reiterate that the DDA negotiations must be premised on development including incorporating adequate and targeted demand-driven financial and technical assistance and sustainable capacity building commitments as an integral part of S&D treatment under all areas of negotiations;

    10. Underscore that agriculture remains central to Africa’s trade objectives at the WTO. We therefore emphasize the urgency and the need for addressing tariff peaks and tariff escalation in Agriculture, which inhibit amongst others, value addition and job creation and overall development in Africa. We reiterate our concerns regarding food security in the continent, and support efforts by Net-Food Importing Developing Countries (NFIDCs) in respect of Agriculture related rule-making at the WTO;

    11. Reaffirm the integrality and importance of Special and Differential Treatment provisions in the WTO agreements and agree that in line with para 44 of the Doha Ministerial Declaration, all S&D provisions have to be reviewed with a view to strengthening them and making them more precise, effective and operational. We also attach equal and utmost importance to the expeditious completion of the S&D work programme set out in para 12.1 of the Decision on Implementation-Related Issues and Concerns endorsed in para 44 of the Ministerial Declaration;

    12. Urge WTO Members to focus their attention on finding appropriate solutions in following up the commitment contained in para 12 of the Doha Declaration setting out Members’ resolve to negotiate all outstanding implementation issues as part of the Single Undertaking;

    C. DEVELOPMENT AND LDCs ISSUES
    13. Strongly object to current attempts to reduce the scope of the Monitoring Mechanism by limiting it to the review of implementation of S&D provisions including the erosion of the original intention of the Monitoring Mechanism.

    14. Underscore that the Monitoring Mechanism shall propose appropriate actions, including to the General Council with a view to strengthening S&D provisions and have the mandate to regularly review the operation, utilization and effectiveness of S&D provisions,

    15. We recall para 44 of the Doha Ministerial Declaration and express our concern on the lack of progress. We request the MC9 to provide further guidance on Development issues.

    16. Call upon all the WTO members to fully commit themselves to the successful conclusion of the DDA as the only agenda for the WTO`s post Bali work program;

    17. Recognise the proposals put forward by the LDC Group for the decision at the MC9 to advance a consolidated LDC package covering duty-free quota-free market access for LDC’s, simplified and flexible rules of origin for exports that qualify for duty-free, quota-free treatment, the operationalization of the LDC Services Waiver, and outstanding proposals on Cotton. In this regard, we urge the MC9 to reiterate its commitment toward the greater integration of the LDCs into the multilateral trading system and to take all possible steps towards realising this commitment in line with the respective mandates on LDCs issues.

    18. Reaffirm the importance of cotton in the economy of the African Continent and call for a final solution of this matter on the basis of the achievements of the draft modalities on Agriculture of 6 December 2008 and call on all the WTO members for the timely resolution of this matter, pursuant to the Hong Kong mandate of December 2005.

    19. We call for, on an interim basis, the adoption of a decision in Bali on the cotton issue, on the basis of proposals made by the C-4 on behalf African producers and exporters of cotton, without prejudice to the interests of African cotton producing countries.

    D. TRADE FACILITATION

    20. Reaffirm the importance of Trade Facilitation where our priorities include enhancing infrastructure and boosting productive and trade capacities, in addition to reducing transaction costs, barriers, incentivizing the undertaking of reforms and improvements to the customs regulatory systems as well as boosting intra-African trade;
    21. Re-emphasize the positions held by the WTO African Group on Trade Facilitation specifically that it is not a self-balancing, win-win and a monolithic pillar in the DDA negotiations. We call for an internally balanced agreement, providing developing countries and LDCs with policy space and flexibility to adopt and implement commitments commensurate with their capacity to do so. We stress the need for achieving balance with other issues on the agenda of MC9, with a view towards fulfilling the development dimension of the Doha mandate. In this regard, the Bali outcome should result in substantive outcomes in the area of Agriculture and Development issues. Where a balance is not attained, negotiations on Trade Facilitation shall continue post-Bali, with a view to attaining a balanced agreement that fully and effectively reflects the principles of special and differential treatment under Annex D of the 2004 July Package;

    22. Further re-emphasize that obligations and measures being negotiated under the Trade Facilitation consolidated text must include binding, effective and operational rules on Special and Differential Treatment. The obligation on developing countries and LDCs to implement the Trade Facilitation Agreement should be based upon their acquisition of capacity to implement, including through fulfilling, by developed countries, the obligation of delivering binding, new and long-term technical and financial assistance and capacity building necessary for African countries to achieve full implementation capacity. We underline the importance of the principles of self-designation and self-assessment under Section II of the Draft Trade Facilitation Agreement by developing countries and LDCs in determining the acquisition of capacity to implement;

    E. ACCESSION

    23. Reaffirm our full solidarity with all African countries in the process of accession into the WTO and urge all WTO members to facilitate and accelerate their accession in line with their level of development and the contours of the current WTO rules. In this regard, acceding African countries should not be required to give concessions beyond their level of development.

    24. Invite WTO members to adopt measures and decisions aimed at simplifying accession procedures and enhancing the existing institutional mechanisms including the definition of transparent rules for the implementation of the provisions of Article XII of the Agreement establishing the WTO, with the objective of providing the opportunity to acceding African countries to express their views on the conduct of their accession

    25. Urge WTO members, WTO Secretariat and relevant international organizations to provide technical assistance and capacity-building prior to and during and in the follow-up to the accession process in line with their needs and development priorities.

    F. OTHER ISSUES

    26. Take note of the holding of 8 to 10 July 2013 in Geneva of the Fourth Global Review of Aid for Trade and emphatically reiterate our desire to see this initiative usefully support the efforts of the African Union, namely the implementation of its action plan to enhance intra-African trade and the creation of CFTA;

    27. Express our deep concern over declining trends in Aid for Trade flows in particular financial resource allocations and disbursement. In this regard, call upon development partners to fulfill their commitments by providing predictable, additional financial resources with the effect of integrating the developing African countries into the multilateral trading system, in particular LDCs, Land-Locked Developing countries (LLDCs) and small and vulnerable economies (SVEs) in Africa by aligning their assistance to the regional and national priorities outlined by the Members;

    28. Recall the decisions of the 8th WTO Ministerial Conference (MC8),particularly on TRIPS Non-Violation Situation complaints, the Work Program on Electronic Commerce, Work Program on Small Economies, Preferential Treatment to Services and Services Suppliers of LDCs and Trade Policy Review Mechanism and urge Members to ensure that requisite and decisive follow up actions are taken during the MC9 with a view to achieving their legitimate aims and objectives as stated therein;

    29. Urge Members to refrain from making increasingly frequent recourse to the use of Non-Tariff Measures which are in ascendency, predominantly in markets of key export interest to Africa, at high costs and with a technical complexity in compliance with these meeting international standards;

    30. Strongly Call on Members to design and strengthen existing tailor-made programs of assistance aimed at improving the capacity of developing countries, in particular, the African countries which face huge challenges in areas such as standards infrastructure including testing in general, the areas of conformity assessment, mutual recognition of standards and meeting technical regulations and international standards in key markets

    G. CONCLUSION

    31. Commit ourselves to speak with one voice on all the above issues.

    Done in Addis Ababa, 25th October 2013

  • October 25, 2013

    CONFERENCE OF THE AFRICAN UNION
    MINISTERS OF TRADE
    24th - 25th October 2013
    ADDIS-ABABA (ETHIOPIA)

    AU/TI/TD/CAMoT-8/AGOA/DECL.FINAL
    Original: English

    DECLARATION ON THE AFRICAN GROWTH AND OPPORTUNITY ACT

    DECLARATION ON THE AFRICAN GROWTH AND OPPORTUNITY ACT

    WE, the Ministers of Trade of the Member States of the African Union, meeting in Addis Ababa, Ethiopia, on October 24-25, 2013 in our 8th Ordinary Session;

    Taking into account Africa’s international trade relations and economic partnerships particularly in the context of Sub-Saharan Africa-U.S. Trade and Investment Relations and its cornerstone policy, the African Growth and Opportunity Act (AGOA);

    Welcoming the US Administration’s renewed engagement and the strong Congressional bi-partisan support to bolster partnership with Africa, spur economic growth, support regional integration, and encourage US companies to trade with and invest in Africa;

    Expressing appreciation of President Obama’s announcement to host the next Summit of Heads of State from sub-Saharan Africa in the US, as a platform of engagement in a greater political dialogue on issues of common interest and concern, including AGOA at the bilateral, regional and international levels;

    Commending also President Obama’s recent new initiatives: Trade Africa and Power Africa intended to boost trade with sub-Saharan Africa and which have an important potential to usher in a new model of collaboration that could be replicated across the continent in the coming years;

    Taking into consideration the positive contribution of AGOA since its enactment in 2000 on economic growth, job creation, improvement of the business environment and stability in Sub-Saharan Africa, its transformation of the way Africa and the U.S. engage on trade and economic issues as well as the need for scaling up efforts in order to harness its full potential;

    Welcoming the positive outcomes of the 12th AGOA Forum, held in Addis Ababa, Ethiopia on August 12-13, 2013, under the theme “Sustainable Transformation through Trade and Technology” marked by a dynamic discussion on how AGOA can be better utilized to sustain Africa’s future growth, development and global economic integration and how to move Africa up the global value chain;

    Referring to the recommendation of the Ministerial Consultative Meeting of the 12th AGOA Forum which underscored that AGOA should be reauthorized for at least 15 years for all eligible countries and that additional African countries should be offered eligibility;

    Reaffirming the need for greater predictability and certainty in unilateral trade preferences schemes, as a necessary condition for sustained investment and growth;

    Reiterating the high importance attached to the timely and seamless reauthorization of AGOA by 2014, and the major contribution it could make in supporting Africa’s economic transformation and deepening regional integration processes in order to enhance regional economies of scale, integration into global production chains and intra-African trade;

    Hereby adopt the following as a consensus position, henceforth called “Declaration on the African Growth and Opportunity Act”, and:

    1. Recommend the development in eligible countries of a national AGOA Export Strategy and the setting-up of a mechanism that can monitor and evaluate the implementation of AGOA as well as the outcomes of its annual Forum at the national level on a voluntary basis, and establish an annual evaluation report at the continental level that could serve as a valuable tracking tool for decision makers;

    2. Direct the African Ambassadors Group in Washington, D.C., to continue engaging actively the U.S. Administration and members of Congress on the way forward for a timely, seamless and meaningful reauthorization of AGOA by October 2014 for a period of at least 15 years to ensure that trade with the U.S takes place on a predictable, reliable and legally secure basis in order to inspire investors’ confidence;

    3. Recommend that the Third Country Fabric provisions should be made coterminous with AGOA since undue delay of the extension of that provision has devastating effects on loss of orders, jobs, business and investment in both the U.S. and Africa;

    4. Also direct the African Ambassadors Group in Washington, D.C to mobilize the support of key stakeholders in the U.S. Administration, the Congress, private sector, civil society and think-tanks on the importance of developing an AGOA compact for the Eligible countries which have effectively developed and implemented a National AGOA export strategy, while underscoring the importance of the inclusive aspect of any project in order to allow the expansion of AGOA ‘s benefits to more countries;

    5. Call upon the U.S. Congress to reauthorize the extension of AGOA by October 2014 for at least another 15 years, in an integrated and all-inclusive approach, so as to guarantee the predictability and certainty required for long-term investment and economic growth both in the U.S. and across the African continent, based on mutually reinforcing U.S.-Africa relations;

    6. Deeply concerned by any development (including any possible studies) that undermines the seamless renewal of AGOA by 2014, and negatively affect the benefits to eligible countries, Call Upon the US to fast-track the seamless renewal of AGOA by October 2014;

    7. Welcome the US Power Africa Programme and call on the US to use this as a model to support broader infrastructure development in Africa;

    8. Also Call upon the U.S Administration and Congress to maintain and expand U.S trade preferences to ensure that African products remain competitive and improve rules of origin for some products with high export potential, and that AGOA preferences are not eroded in the context of bilateral or multilateral trade negotiations;

    9. Further Call upon the U.S. Administration to integrate AGOA into an inclusive, predictable and sustainable framework that would promote industrial, commercial and agricultural development in the beneficiary countries, expand targeted tradecapacity building and technical assistance in quality assurance and standards, simplify compliance requirements, improve trade-related infrastructure and trade facilitation; enhance trade support and trade finance; and strengthen the regional integration processes in Africa;

    10. Recommend the provision of higher visibility for AGOA in the U.S. Congress through the organization of Congressional Delegations to African Regions;

    11. Suggest the establishment of a special fund, with the support of African Institutions, to finance advocacy efforts of the African Ambassadors Group in Washington D.C. in respect of AGOA-related trade and investment opportunities and regional integration;

    12. Reaffirm our commitment to remain actively seized with this matter which has important implications for the establishment of a sustainable and mutually beneficial economic partnership between the U.S. and Africa based on shared values and common interests; and

    13. Commend the strenuous efforts of the African Ambassadors Group in Washington, D.C., in particular the co-Chairs of the Ambassadors’ Working Group, Ethiopia and Mauritius, for their valuable contribution in developing a set of recommendations which have become an important roadmap for engagement with the U.S. side.

    Done in Addis Ababa, 25th October 2013

  • September 13, 2013

    5th ORDINARY MEETING OF THE AU SUB-COMMITTEE OF DIRECTORS GENERAL OF CUSTOMS

    12 – 13 September 2013
    Cotonou
    Benin Doc. CCD/5.AUSC.DG/R1
    Original. English

    REPORT

    REPORT OF THE 5TH ORDINARY MEETING OF THE AFRICAN UNION
    SUB-COMMITTEE OF DIRECTORS GENERAL OF CUSTOMS
    12-13 SEPTEMBER 2013, COTONOU, BENIN

    Introduction

    1. The 5th Ordinary Meeting of the African Union Sub-Committee of Directors General of Customs was held from 12 to 13 September 2013 at the Palais des Congres in Cotonou, Benin. The theme of the meeting was ‘Towards a Trade Facilitation Strategy for the Continental Free Trade Area’.

    Participation
    2. The following Member States attended the meeting: Algeria, Benin, Cameroon, Democratic Republic of Congo, Republic of the Congo, Côte d’Ivoire, Ethiopia, Gabon, Guinea, Gambia, Ghana, Kenya, Liberia, Malawi, Mali, Mozambique, Niger, Nigeria, Senegal, Seychelles, South Africa, South Sudan, Sudan, Swaziland, Togo, Tunisia, Uganda and Zimbabwe. The Regional Economic Communities and International organizations present were CES-SAD, COMESA,EAC, ECOWAS, FEWACCI,IOM, SADC, UNECA, WCO-ROCB ESA, CCES and WCO. List of participants is attached as Annex I.

    Agenda Item 1: Opening of the Meeting

    3. The Director General of Benin Customs and Excise, Colonel Paul Lafia Tabe welcomed his counterparts to Cotonou, Benin, the venue of the 5th Ordinary Session of the AUSCDG of Customs. He expressed his gratitude to H. E. Dr. Thomas Boni YAYI, the President of the Republic of Benin for his support in hosting the meeting.

    4. In his remarks, the Director General bemoaned the low level of intra African Trade, which currently is estimated to be 12 %, a figure which is far low compared to other regions of the world. He concluded his remarks by recalling the Theme of the WCO for 2012, ‘Borders Separates, Customs Unites’ and urged Africa’s Customs Administrations to work hand and glove with trade so as to support Africa’s Regional Integration Agenda and establishment of a Continental Free Trade Area (CFTA).

    5. The Secretary General of the World Customs Organization (WCO), Mr. Kunio Mikuriya, expressed his gratitude to the African Union Commission for inviting him to the 5th Ordinary Session of the AUSCDGC, and the Government and People of Benin for hosting the meeting. He pointed that the Theme of the meeting also reflects a shared vision of the WCO, and that Customs administrations world over are the engines of Trade Facilitation who play a very important role in the movement of people and goods across national borders.

    6. Mr. Mikuriya highlighted the 2014-2017 WCO Strategy and how Customs can use some of the provisions therein such as the Economic Competitiveness Package, the Data Model and the RKC to improve the efficiency of the Customs Administrations. He reiterated the commitment of the WCO to support AU’s programmes in the area of Customs reforms and modernization and concluded by urging the Directors General of Customs to exchange ideas and share their experiences so as to come with sound ideas in support of the envisaged CFTA.

    7. In her opening remarks, Her Excellency, Mrs. Fatima Haram Acyl, Commissioner for the Department of Trade and Industry at the African Union Commission thanked the Government and People of Benin for hosting the meeting. H.E. Commissioner Acyl recalled the Decision of the AU Heads of State and Government during the 18th Ordinary Session of their Assembly held in Addis Ababa, Ethiopia in 2012 to Boost Intra African Trade and Establishment of the Continental Free Trade Area by 2017, as an indicative date. She also pointed that work is already ongoing and various structures of the Architecture are being put in place and to the realization of the Decision requires commitment of all stakeholders, especially from the AUSCDGC.

    8. H.E. Commissioner Acyl pointed that trade facilitation is important for Africa to realize its position in the global arena, but also faces a lot of challenges in the process. Such challenges vary from existence of poor and, at times obsolete telecommunications services, poor physical infrastructure and that almost one third of African Countries do not have access to oceans or seas to facilitate movement of their goods to overseas markets. She concluded by sharing with the Directors General the African Group’s position on the WTO Trade Facilitation Negotiations and the Round scheduled for Bali, Indonesia towards the end of 2013.

    9. Her speech is attached as Annex II to this Report

    10. The Minister of State, H.E. Francois Abiola on behalf of H.E. Dr. Thomas Boni YAYI, the President of the Republic of Benin welcomed the Directors General to Cotonou and wished them a pleasant stay. He thanked the Commission of the African Union for having chosen Cotonou as the venue of the 5th Ordinary Session of the AUSCDGC and also for the work done since the Decision to fast track the establishment of the CFTA was taken.

    11. H.E. Francois Abiola highlighted on Africa’s low trade levels and urged the meeting to come up with sound decisions on the removal of Non-Tariff Barriers so as to facilitate legitimate trade. He also pointed on some of the challenges encountered in the movement of goods across national borders, which range from the existence of poor physical infrastructure to unethical behavior by some border officials, and the need to address them. H.E. the Minister of State concluded his opening remarks by urging the Directors General to come up with policies that also promote small scale traders, especially women and thereafter, he declared the meeting officially open.

    Agenda Item 2 : Election of the Bureau

    12. The Bureau of the meeting was constituted as follows:-

    • Chair - Benin
    • Vice Chair - South Africa
    • Rapporteur - Cameroon
    Friends of the Chair
    • WCO West/Central Region Nigeria
    • WCO East/Southern Region Malawi
    • WCO Northern Region Algeria

    Agenda Item 3 : Adoption of the Agenda and Organization of Work

    13. The agenda was adopted without amendment and is attached as Annex III.

    14. The meeting adopted the following as its working schedule as suggested by the Commission:-

    • Morning: 09.00 – 13.00
    • Afternoon: 14.30 – 18.00

    Agenda Item 4 : Presentation of the Benin Customs and Excise

    15. In their presentation, the representatives of Benin Customs and Excise underscored the important role that Customs play in the overall economy of Benin. They elaborated the various milestones that the Customs achievements through its reform and modernization program such the introduction of ASYCUDA ++. The presentation also highlighted the Single window System that enables traders to accomplish clearance formalities electronically. In addition to the introduction of the single window, the meeting was informed that Benin Customs has also established a risk management system and Valuation data base, revised the customs code, introduction of pre-clearance controls and post clearance audit.

    16. These reforms have yielded considerable benefits notably the reduction in clearance time, simplification of clearance procedures which have led to the overall increase in Customs revenue. This has also improved relations between Customs and other stakeholders in the logistics chain.

    17. In the discussions that ensued the meeting demonstrated interest on the issues covered by the presentation especially, the single window, the valuation certification system and the use of scanners to ameliorate customs controls.

    Agenda Item 5: Consideration of the Report of the Customs Experts Meeting

    18. The Chairperson of the Meeting of Experts presented the Report of their Meeting. In the discussions that ensued, the Directors General raised the following issues;

    i. There is need to seek clarification from the High Level African Trade Committee on the mandate of the Customs Technical Committee under the continental free trade area Architecture vis-à-vis the continued existence of the Meeting of AU Sub-Committee of the Directors General of Customs;

    ii. While Customs Administrations have a role to play on the development and negotiation of rules of origin, in most countries this is a responsibility of Ministries of Trade;

    iii. Economic Partnership Agreements (EPAs) between some African countries and the European Union are threatening regional integration programmes in African countries.

    19. Thereafter, the Directors General made the recommendations which are attached as Annex IV.

    Agenda Item 6: Exchange of views on The Trade Facilitation Strategy for
    Boosting Intra -African Trade (BIAT) and Establishment of a
    Continental Free Trade Area

    20. The Director General of Swaziland Revenue Authority made a presentation on a proposal for the development of a common Single Window system for Africa. The Directors General considered the proposal and made the following observations:

    I. The WCO has already developed a comprehensive package from which Customs Administrations can borrow from

    II. Single Window systems world over are complex and diverse and it may be difficult to have a ‘one size fits all approach’

    III. Member States are at different levels on the development and implementation of Single Window systems, and as such, the proposal could be a challenge to some countries to embrace

    IV. Some countries lack capacity to implement the proposed measures and may require some assistance in this regard

    V. The approach to the implementation of Single Window System may vary from one country to the other; some would wish to engage the private sector through PPPs, while for others, the respective Governments would want to own it

    21. The Directors General recommended that the Experts meeting should examine the proposal for the development of a common single window system for African taking into consideration the WCO Single Window Compendium and best practices from countries that have already implemented such systems, and report to the 6th meeting of the Directors General of Customs.

    22. With regards to the discussions on the proposed CFTA, the Directors General noted that it will be important to carry out studies at the national and regional levels as may be appropriate to assess the impact of the CFTA on customs revenues, the establishment of a compensation fund for revenue loss and other issues related to rules of origin and competitiveness.

    23. The Directors General then recommended that the AUC in collaboration with UNECA should commission an impact study in the establishment of the CFTA in order to provide Member States with a good base for engagement in the negotiations.

    Agenda Item 7: Date and Venue of the 6th Ordinary Meeting of the African
    Union Sub-Committee of the Directors General of Customs

    24. The 6th Ordinary Session of the AUSCDGC will be held in 2014 in Congo Brazzaville, Republic of Congo

    Agenda Item 8: Any Other Business

    25. No issues were raised under this agenda item

    Agenda Item 9: Approval of the Record, the Recommendations and the
    Framework of Action for the year 2013-2014

    26. The report and recommendations were adopted as amended

    Agenda Item 10: Vote of Thanks

    27. A representative of the Togo delegation delivered a vote of thanks on behalf of the Directors General of Customs. He thanked the Government and People of Benin for hosting their 5th Ordinary Session.

    Agenda Item 11: Closing Ceremony

    28. The Director General for Benin Customs and Excise thanked the African Union Commission for having chosen Benin as the host of the meeting. He also expressed his gratitude to the Secretary General of the WCO, the RECs and international organizations for having been able to attend the meeting. He wished his counterparts safe journeys to respective countries.

    29. In his closing remarks, the Secretary General of the WCO expressed satisfaction in the manner the meeting was held. He urged the Directors General to take advantage of the various WCO tools and practices available to support the establishment of the CFTA.

    30. The Head of Customs Cooperation division of the African Union Commission thanked the hosts for the sound preparations done to enable hosting the meeting. He also thanked the Directors General for having been able to attend the meeting, and for the high quality of their contributions. He informed the Directors General that the recommendations of their meeting were going to be submitted to the 8th Conference Ministers of Trade scheduled to be held at the Commission Headquarters in Addis Ababa, Ethiopia in October 2013.

    30. The Minister of State of Benin Government thanked the Experts, the Directors General, AUC and staff from Benin Customs and Excise for the various roles they played to make the meeting a success. He complimented the Directors General for the high quality of their work and had no doubt that the recommendations made would be acceptable to the Policy Organs of the African Union.

    31. The Minister of State recalled the role played by Customs Administrations in both collecting revenue for respective Governments and the need to facilitate legitimate trade. He congratulated the Republic of Congo for having been chosen as the host of the 6th Ordinary Session of the Directors General of Customs, before formally closing the meeting.

    ANNEX IV

    RECOMMENDATIONS OF THE 5TH MEETING OF THE AFRICAN UNION
    SUB-COMMITTEE OF DIRECTORS GENERAL OF CUSTOMS

    On the activities of the Customs Cooperation Division of the African Union Commission

    I. That AU Member States are urged to consider seconding Customs Attaches to the Customs Cooperation Division through their respective Diplomatic representations in Addis Ababa, Ethiopia. The AUC should within 3 months provide Member States with information for secondment and skills set required for areas requiring support;

    II. That the AU is urged to maintain the AU Sub-committee of Directors General of Customs despite the endorsement of a Customs Technical Committee under the CFTA architecture;

    III. That the AUC is urged to take action in regard to the official recognition of the AUC-ECA-AfDB Sub-Committee on Customs Cooperation;

    IV. That the AU Commission is urged to initiate the process of developing the draft Protocol on Customs Cooperation in accordance with Article 39 of the Abuja Treaty.

    On the interconnectivity of Computerized Customs Information Systems

    I. That the Directors General endorse the Road Map and Strategy for the continental Interconnectivity of Computerized Customs Information Systems in Africa;

    II. That Member States in collaboration with the RECs are encouraged to put in place the necessary legal framework and other arrangements for the interconnection of their computerized Customs Information Systems to facilitate exchange of data;

    III. That Member States in collaboration with the RECs are urged to harmonize their data on the basis of the WCO Data Model in order to facilitate electronic exchange of information.

    On the outsourcing of core Customs functions

    That Member States are encouraged to provide Customs Administrations with the necessary resources to enable them acquire the appropriate capacity in view of gradually phasing out intervention of pre-shipment inspection companies and other similar private operators in core Customs functions.

    On Rules of Origin

    I. That the Technical Working Group should continue its work on Rules of Origin especially in relation to the proposed Draft Framework on Rules of Origin for the CFTA and the Matrix on Road Map for Rules of Origin Negotiations;

    II. That in the forthcoming TFTA negotiations on Rules of Origin, due consideration should be given to the draft negotiating text proposed by the African Union Technical Working Group on Rules of Origin.

    On the Revised Kyoto Convention

    I. That when drafting CFTA negotiating texts at the continental level, the RKC provisions could be included in the texts such that any Party that would have agreed / signed the texts will be bound to implement the elements of the RKC;

    II. That Regional Economic Communities are urged to formulate their legislation on the principles of the RKC to facilitate accession by Member States;

    III. That the AUC and the RECs in collaboration with the WCO endeavor to promote the advantages linked to accession and the implementation of the RKC at the country level;

    IV. That Members States are encouraged to accede to the 10 Specific Annexes in addition to the General Annex;

    V. That Member States are urged carry out self-assessment of their national legislation in comparison with the RKC, where necessary with technical assistance from the WCO;

    VI. That Member States are encouraged to put in place change management policies where they do not exist to support implementation of the RKC;

    VII. That Customs Administrations are encouraged to lobby other relevant national institutions on the need to fast track pending national processes for accession to the Convention;

    VIII. That Members States are encouraged to utilise the RKC toolkit developed by the WCO and to continue to work with the WCO on the development of other RKC tools to facilitate implementation of the RKC.

    On Coordinated Border Management

    I. That the AU Commission, with the assistance of RECs and technical partners, should develop a continental policy framework, on Coordinated Border Management and submit for adoption by the Policy Organs of the Union;

    II. That Member States are urged to consider raising awareness and pursuing strategies to formulate clear national policies on Coordinated Border Management in Member States and institutionalize such practices in the African Union drawing inspiration from regional policies on CBM;

    III. That the AUC should organise multi-sectoral workshops at national, regional and continental levels with a view to building the capacity of institutions as well as enhancing their coordination mechanisms;

    IV. That AU Member States are urged to consider using the WCO Project Map Database to facilitate donor agency interventions in CBM efforts in order to avoid duplication and ensure efficient utilization of resources in line with the Paris, Busan and Accra Declarations on aid effectiveness.

    On the Implementation Matrix for the CFTA

    That the AUC should take all necessary steps to ensure continued collaboration with the RECs to ensure their full participation into the CFTA process.

    On International Trade Agreements Issues

    I. That Customs Administrations are urged to continue to engage effectively on trade facilitation aspects of the WTO Negotiations in collaboration with Ministries of Trade and the Geneva based African Group;

    II. That Customs Administrations are urged to support the African position on the necessity of equally binding provisions on technical / financial assistance and capacity building.

    On other matters

    That the AUC is urged to prepare a draft proposal to review the Rules of procedure of the Sub-Committee of Directors General of Customs with a view to institutionalizing the meeting of Experts proceeding the session of the Sub-Committee.

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