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News
BYRON BUCKLEY, Senior political reporter  
May 19, 2002

Private sector urged to help gov’ts prepare for world trade talks

JIMMY Moss-Solomon has reiterated the need for the Caribbean’s private sector to help pay for the studies which regional governments will need to inform their positions at a rash of international trade negotiations in which they must participate over the next few years.

A similar proposal emerged at a recent conference in Montego Bay of Caribbean business leaders, but Moss-Solomon, a Grace, Kennedy executive now seconded to the Mona School of Business, repeated the suggestion while giving testimony last week before a parliamentary committee hearing trade matters.

“I am trying to now bring to the forefront of the private sector that we don’t have time and we have got to put up our own money to have these technical studies done now… It is either we put up our money or we stand to lose everything,” he said.

World Trade Organisation (WTO) negotiations for the establishment of agreement in services begin as early as next month, while market access negotiations under the proposed Free Trade Area of the Americas (FTAA) are currently under way.

This September, the African, Caribbean and Pacific (ACP) and European Union (EU) groupings will launch trade negotiations, while Caricom states continue the process of phasing in the Caribbean Single Market and Economy (CSME) by 2005.

Said Moss-Solomon: “There is no doubt in my mind that there can be no separation of government and private sector within the region at this time, because time does not allow us the luxury of wanting to be difficult with each other.”

After his presentation, Moss-Solomon told the Observer that both sides are at fault. “But there is no room for disagreement now.”

The preparation of trade negotiating briefs is done by the Regional Negotiating Machinery (RNM) on behalf of Caricom countries and trade ministers, but Moss-Solomon doesn’t think the RNM has “the depth of support” and that, he said, is what is driving his proposal for the private sector to procure technical studies from private professionals and academics.

Moss-Solomon, in his presentation to legislators, rapped regional political leaders for being slow in implementing the CSME, an economic union, which, he argued, was a dress rehearsal for relatively small domestic firms and industries before they begin to compete against large firms in the 34-member FTAA.

This trade grouping, which will include large economies such as the United States of America, Mexico, Brazil and Canada, is set to come in force by 2005.

“The CSME is not a panacea,” noted Moss-Solomon. “It is, however, an important practice match. We are about to enter the world cup of international trade.”

He also chided regional governments for hesitating to implement the nine protocols or agreements to amend the Caricom Treaty (of Chaguramas) to transform the regional common market into an economic union that is free of trade barriers.

Moss-Solomon cited one protocol — the free movement of people across the countries of the region — as “still a thorny issue”. Regional governments have permitted the free movement of selected skilled personnel — sports personalities, journalists, artistes/musicians and graduates of the regional university. But Moss-Solomon regards this as “tokenism” and politically self-serving:

“The categories they choose are just political appeasements… It is not being treated as a matter of which there is great sensitivity for trade, but it is of great sensitivity for politics.

“I am not for the selective movement of people,” he stressed.

The business executive also expressed concern that frequent changes in government in the region could undermine trade negotiations and pointed to the need for political consensus on trade issues.

Said he: “This is not a factor that is playing out well with our ability to negotiate with the rest of the world, because every time we change governments we derail external negotiations.”

Moss-Solomon’s submission was welcomed by Canute Brown, chairman of the Internal/External Committee of Parliament.

“His words were quite encouraging, especially coming from a major player like Grace, Kennedy,” Brown told the Observer.

His committee has scheduled hearings with groups including the Jamaica Employers Federation, the Jamaica Confederation of Trade Unions and the Jamaica Bar Association.

“The committee is seeking to get a feel of how the man in the street feels about the CSME,” Brown explained, adding that hearings should be completed by July and the findings submitted to Parliament.

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