The EU-CARIFORUM EPA: Regulatory and Policy Changes and Lessons for Other ACP Countries

Abstract

This analytical note assesses the state of play of EPA implementation in the CARIFORUM region. It shows that the regulatory, legislative and policy changes necessary for EPA implementation in the areas of trade in goods and services are at varying stages of implementation among member states, with many countries being very far from fully implementing the agreement. No country is near completion with regards to these changes. A major reason for the slow implementation is that CARIFORUM countries are not receiving the financial and technical support which was anticipated for implementation in 2008 when the Agreement was signed. They are therefore facing debilitating financial and human resource constraints. To compound their already weak financial positions, the European Union's proposed differentiation policy will further reduce bilateral financial assistance to these countries. CARIFORUM states will therefore continue to strain under the weight of EPA implementation, which will only further delay the process by way of the regulatory and policy changes necessary for the EPA to be fully implemented, and therefore fully operational.