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Al-Ahram Weekly 1 - 7 July 1999 Issue No. 436 
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Published in Cairo by AL-AHRAM established in 1875 |
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Al-Ahram Weekly 1 - 7 July 1999 Issue No. 436
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| Published in Cairo by AL-AHRAM established in 1875 |
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Egypt Region International Economy Opinion Culture Profile Features Special Interview Travel Living Sports Time Out Chronicles People Cartoons Letters Egypt-EU partnership
Niveen Wahish
enters final stageAfter over four years of negotiations and repeated announcements that the partnership agreement between Egypt and the European Union (EU) was close to signing, it appears that the process of drafting the accord has entered its final stages.
Last week, during a regular monthly meeting, the European General Affairs Council, which is made up of the foreign ministers of the EU, endorsed the results of negotiations with Egypt for establishing a free trade area between it and the EU.
The endorsement followed a round of negotiations in Brussels which settled a number of controversial issues.
However, according to Gamal Bayoumi, Egypt's chief negotiator, the agreement has yet to reach its final form. He pointed out that the European foreign ministers endorsed the 10th draft of the agreement rather than the latest version. Bayoumi said that there are around 15 clauses which remain to be dealt with, but added that "the hard part of the negotiations is done." He also explained that the agreement will not be finalised until both sides approve it. According to him, "Egypt has not yet said its word," but will do so in the next few months.
It is not only the talks which require some extra work. There are also logistics to be taken care of. When the negotiations with the EU reach the last stages, the final version of the agreement will have to be submitted to the cabinet. The foreign ministry is acting in these negotiations on behalf of other ministries such as those of trade, agriculture and industry. These ministries will also have to declare satisfaction with the accord. The next step will be for Prime Minister Kamal El-Ganzouri to make an overall assessment of the document before it is sent to President Hosni Mubarak for a final seal of approval.
Regardless of the work ahead, Bayoumi is pleased with the achievements of the past few days. He welcomed the endorsement by the European Council because it covered the latest agricultural offer made by the EU -- an offer that is satisfactory to Egypt. Bayoumi said that negotiations had made great strides, especially in the area of agriculture, after Germany assumed presidency of the European Union. He cited the raising of Egypt's quota of orange exports from 7,000 tons to 50,000 tons and at the last meeting to 60,000 tons.
Agriculture has been one of the sticky issues hampering progress in the negotiations. Egypt had demanded that agricultural and processed agricultural products be granted similar rights to those afforded to industrial goods which under the agreement will be allowed into the EU tax and quota free. However, the EU did not agree to this because of its Common Agricultural Policy (CAP) that imposes strict protectionist measures on agricultural imports.
Neither was industrial liberalisation plain sailing. Just as Egyptian products will be allowed free entry into the EU, equal treatment will be granted to EU products. Some believe that Egyptian industry will not withstand the competition. Those who support the partnership agreement point out that there will be a 12-year transitional period during which liberalisation will take place gradually, which means that Egyptian industries will have enough time to adjust and upgrade production quality.
The thrust of the agreement is the shift in Egyptian-EU relations towards a more interactive relationship of partnership and away from traditional donor-recipient ties.
Although it primarily aims for the establishment of a free trade area, providing for the free movement of goods, capital and services, the accord also promotes political dialogue between the two sides and joint cooperation in issues of common interest such as terrorism and money laundering.
Another issue tackled by negotiators was the residency of Egyptians in EU countries. The EU agreed that Egyptians living legally in the EU will be treated fairly and without discrimination. In return, Egypt agreed to cooperate in ensuring the repatriation of all Egyptians living illegally in the EU.
