Main instruments of CARICOM to be reviewed

A comprehensive review of the main trade instruments of the Caribbean Community (CARICOM) will be undertaken this week during consultation with regional stakeholders.

The main trade instruments are the Common External Tariff (CET) and the Rules of Origin.

In Guyana

The consultations to be held at the CARICOM Secretariat in Georgetown Guyana. They will target regional organizations that are interested in or likely to be affected by changes to the CET and the Rules of Origin. This include Academia, Sector Organizations, Industry Associations, Regional Policy Advocacy Organizations, and Institutions of the Community.

The Consultation is in keeping with the Community’s Policy to encourage the inclusion of key stakeholders in policy-making processes. It is supported by funding under the Spanish Agency for International Development Cooperation (AECID).

Approved in 1990

The CET and the Rules of Origin were approved by the Council for Trade and Economic Development (COTED) and the Conference of Heads of Government in 1990. Since then, the global and regional trading environments have changed significantly. Among those changes were the establishment of the World Trade Organization (WTO), the revision of the Treaty of Chaguaramas, the establishment of the CARICOM Single Market and Economy (CSME). There was also the negotiation of several free trade agreements including the Economic Partnership Agreement with the European Union (EU).

Revised Treaty of Chaguaramas

 In the Revised Treaty of Chaguaramas, Article 82 provides for the Community to establish and maintain a Common External Tariff for goods which do not qualify for Community treatment in accordance with the plans and schedules of COTED.

Article 83 (5) provides for COTED’s continuous review of the CET in whole or in part, to assess its impact on production and trade/ The article also serves to secure its uniform implementation throughout the Community.

It is against this background that the COTED mandated the Comprehensive Review.