 The First Regional Agribusiness Association in the Caribbean |
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This bulletin by CABA is aimed to inform and update members on issues pertinent to the agribusiness sector. It will be produced perodically.
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The First Regional Agribusiness Association in the Caribbean |
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China's entrance into the WTO has created a great deal of stir in the international community. With an estimated population of 1.3 billion, China is seen as a key figure in world trade, particularly with the obligations and benefits to be gained from WTO membership. In 2000, it was the world's largest producer of meats, grains and vegetables. However, the majority of its products are targeted for domestic consumption. In 1999, it accounted for only 2.6 percent of global agricultural exports and 2.4 percent of imports. In addition, as a result of certain characteristics, China is considered a developing country.
Agricultural Policies and WTO Commitments
Food security is of vital importance to China and its agricultural sector and policies are focused on meeting this commitment. This is particularly the case for the management of the supply of and demand for grains. The ability of China to be such a large and successful producer rests heavily on the quantity of land made available for agriculture. It possesses the most agricultural lands in the world at 800 million hectares.
With respect to imports, China has agreed to base its agricultural import policies on trade considerations, and not maintain, adopt or re-establish administrative actionsi that regulate the quantity, quality and treatment of imports. It will reduce tariff rates and quotas. In addition, China will adopt the provisions of the WTO's Agreement on SPS measures. China will neither be able to implement import substitution measures nor other non-tariff measures. With respect to exports, the use or maintenance of export subsidiesi will be prohibited.
Price Controls
With its ascension into the WTO, China has agreed to allow marketk forces to determine the price of goods and services, in any sector, which are traded internationally. However, certain goods such as tobacco and table salt may still be subject to price controls. In addition, the state may provide counsel on price formation for goods, such as grains and vegetable oils.
CABA has embarked on a drive to improve the competitiveness of a number of regional industries. The pork industry is the first of such industries. In a recently held national consultation in Jamaica, a study of the Jaimaican pork industry was presented. The industry was well represented by input suppliers, producers, processors, supporting agencies and retailers.
The consultation led to the development of a number of industry development strategies. These strategies include:
These strategies should produce tremendous advancements in the Jamaican industry. With strategies to be developed for the other major pork producing countries and an eventual regional strategy, both pork producers and consumers in the entire region will benefit.
The DOHA Ministerial Conference of the World Trade Organisation (WTO) agreed to a new round of trade negotiations and produced a Ministerial Decision that addressed issues of great concern to developing countries. A key issue pertains to the recommendations for the implementation of the Agreement of Sanitary and Phytosanitary Measures.
The Decision allows for developing countries to have access to various tools that will support more effective advancement and implementation of the Agreement. The Decision speaks to the following:
The advancements made in this arena are indeed significant. However, without the will or the institutional structures in place to address and implement SPS measures, there will be no benefits to developing countries. The Caribbean is fortunate that measures are in place to establish a Caribbean Agricultural Health and Food Satefy Agency (CAHFSA). In addition, this should be supported by the introduction of national agencies to implement the various standards on the national level. With these measures being established, the region and its agriculture should be better equipped to function in today's global trade scenario.
Info on this article was taken from the website: Click here.
The President of CABA, Mr. Patrick Sibblies, recently attended a meeting in Washington with the Inter-American Development Bank (IDB). The objective was to obtain funding for the International BioFood Network Project for the International BioFood Institute (InBio) and CABA.
A primary focus of the InBio is to facilitate trade training on trade safety regulations and policies for the bio-food industry. Since the InBio will not be able to access grand funds for technical or institutional capacity building in the region, CABA can fill this void and collaborate with the IDB.
Generally, Mr. Sibblies seeks to develop greater synergy with multilateral funding agencies implementing development programmes. As such, his visit to the IDB is another step in this direction.
The Trinidad and Tobago Chapter of CABA recently participated in the regional Trade and Investment Convention (TIC) 2002. The TIC 2002 was held at the Trinidad Hilton Conference Centre from March 4-7, 2002. In addition to the Inter-American Institute for Cooperation in Agriculture (IICA), the Association also facilitated the participation of seven (7) private sector agribusinesses:
CABA, IICA and the agribusinesses benefitted tremendously from the trade exhibition hosted by TIC 2002. In fact, many of the companies reported that they had attained contracts even before they close of the exhibition. CABA itself generated interest among the participants of the TIC 2002 and added new members to its fold. In addition, participants from Suriname and Guyana were quite interested in the concept of CABA and sought to see CABA introduced in their respective countries.
Since its inception in 1998, CABA's activities have been supported by IICA, which provides Secretariat Services to the Association. As a result of this working relationship, it is prudent to keep abreast of current IICA activities. The IICA has recently restructured its institutional structure and operational activities. CABA members may find IICA's new strategic areas of interest.
The new areas consist of:
Agribusiness Development has been included in IICA's strategic areas. This will bring increased attention to an area that already is intensely focused on by the Institute. As such, the agribusiness community can look forward to increased attention.
Address:CABA Secretariat, c/a IICA in Trinidad & Tobago, #3 Herbert Street, Newtown, Port of Spain, Trinidad, W.I.
Telephone:868 628 4403; 4078/9 Fax: 868 628 4562 Email: caba@iicacarc.org
Printed by IICA in Trinidad & Tobago.
IICA and the CABA do not accept any liability for the use of any information contained in this publication.