15 Market access for European exporters
| (28575)
8753/07
COM(07) 183
+ ADDs 1-2
| Commission Communication — Global Europe: a stronger partnership to deliver market access for European exporters
|
| Legal base | — |
| Document originated | 18 April 2007
|
| Deposited in Parliament | 26 April 2007
|
| Department | Trade and Industry
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| Basis of consideration | EM of 3 May 2007
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| Previous Committee Report | None, but see footnotes
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| To be discussed in Council | June 2007
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| Committee's assessment | Politically important
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| Committee's decision | Cleared
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Background
15.1 According to the Commission, today's global economy means
that European companies have never been more dependent on effective
access to the markets of other countries. It also drew attention[39]
in 2006 to the key contribution which trade policy can make to
growth and jobs by ensuring that European companies remain competitive,
and have genuine access to the markets they need. It has accordingly
set out in this Communication ways in which the Community can
help to achieve these aims.
The current document
15.2 The Commission notes that an EU Market Access Strategy[40]
was launched in 1996, with the aim of enforcing multilateral and
bilateral trade agreements and ensuring that third country markets
are open to Community exports, notably by providing exporters
with information on market access conditions and a framework within
which to tackle the barriers to trade in goods, services, intellectual
property and investment. It points out that this led to the creation
of a Market Access Database, providing a free, on-line service,
which it says has been well used and generally very popular. However,
it adds that, as a result of the priority given to multilateral
efforts to reduce trade barriers, the focus has to some extent
shifted away from the removal of specific barriers.
15.3 The Commission notes that the nature of those barriers has
changed, being concentrated now, not so much on tariffs, but on
non-tariff and other barriers.[41]
It recognises that a clear distinction has to be made between
those which are unnecessary and those which fulfil legitimate
policy objectives, such as security and the protection of human,
animal and plant health and the environment, and it also says
that, where it is necessary to regulate trade, this must be done
in a transparent and non-discriminatory manner. It adds that the
new types of barrier are more complicated, technically challenging
and time consuming to detect analyse and remove, and that many
problems also arise because the existing rules are not properly
enforced. Furthermore, it suggests that, although the World Trade
Organisation has been effective in removing tariff barriers, there
are still many areas where its rules need to be developed.
15.4 The Commission notes that an evaluation study carried out
in 2006, together with consultation with stakeholders, led to
the conclusion:
● that
the Community needs to improve its mix of policy instruments for
securing and preserving market access;
● that,
although export promotion rightly remains the essential role of
Member States, many companies work on a European, and increasingly
global, scale, and that the Commission, Member States and business
need to work more closely together to maximise the leverage available
to tackle and prevent barriers;
● that
the Community needs to be better at prioritising action against
barriers in order to achieve the greatest economic impact for
the Community; and
●
that the Community needs a more efficient and transparent service
for businesses.
15.5 In order to deliver the objectives, the Commission
suggests that there should be the right mix of policy instruments,
using multilateral and bilateral, as well as formal and informal,
instruments. Thus, it notes that, in addition to seeking a successful
conclusion to the Doha Round of negotiations within the WTO, there
is a need to launch a new round of bilateral free trade agreements
with regions such as ASEAN, Korea, India, Andean countries, and
central America, as well as ongoing negotiations with Mercosur
and the Gulf Cooperation Council. However, the Communication points
out that a clear focus must also be maintained on enforcement,
and that rights under the WTO Dispute Settlement Understanding
should be pursued actively, and others encouraged to follow the
Community in making greater use of the notification procedures
under the Agreements on Technical Barriers to Trade. It also suggests
that enforcement depends on an effective technical and administrative
system, which many developing countries lack, and that this can
be addressed by trade-related assistance, with political contacts
and trade diplomacy playing an increasingly important role.
15.6 The Communication identifies the establishment
of a new relationship between Member States and business as an
important element. It highlights the central role of the Commission
itself, but also recognises the importance of establishing a new
partnership with the Member States and business, involving more
systematic contact and cooperation at all levels, both within
the Community and more particularly in third countries. It proposes
the creation of Market Access Teams in third country markets,
initially in a number of pilot countries, and that the Market
Access Advisory Committee should become more technically focussed
on market access issues, including consideration of particular
cases and exchange of best practices, and with a renewed emphasis
on co-ordination. It adds that, in view of the strong desire from
business for more active participation in barrier removal, there
should be more regular trilateral discussions, and it proposes
the establishment of a specific forum, possibly linked to meetings
of the Market Access Advisory Committee.
15.7 The Commission points out the need to make best
use of resources in tackling these issues, and that priorities
should be established according to the potential economic benefits
for Community business as a whole in the short and medium term;
to whether a barrier represents a serious infringement of bilateral
and multilateral agreements; and to the likelihood of the problem
being resolved within a reasonable time. Similarly, priorities
in terms of outcomes would depend on the nature of the country
involved, the sectors concerned, and the category of problem.
15.8 The Communication also highlights the importance
of preventing new barriers coming into effect through an "early
warning" approach, taking steps to remove any barriers quickly,
and improving the Market Access Database, notably by quicker response
times to enquiries, regular updates of the information available,
and the development of new sections covering services, enforcement
of intellectual property rights and investment.
The Government's view
15.9 In his Explanatory Memorandum of 3 May 2007,
the Minister for Trade, Investment and Foreign Affairs at the
Department of Trade and Industry (Mr Ian McCartney) says that
the Government's overall aim remains a successful conclusion to
the Doha Development Agenda, and that it wishes to establish that
the Community's next steps are consistent with maximising the
prospects of an ambitious and pro-development outcome to these
negotiations, as well as demonstrating the Community's continuing
commitment to multilateralism. He adds that, whilst the Government
welcomes the promise of a more effective strategy to help tackle
and remove trade barriers in the export markets, it believes that
the Community's continuing and increasing openness to trade and
investment is fundamental to this policy, and that the goals of
European competitiveness and encouraging economic development
and poverty reduction should not be mutually exclusive, it being
important to achieve a single integrated approach.
Conclusion
15.10 This document suggests some more specific
ways in which the Community can pursue the aims set out in the
Communication we considered in November 2006 outlining the way
in which trade policy can contribute to growth and job stimulation.
As with that earlier Communication, we think it right to draw
this latest document to the attention of the House, but, since
most of the measures proposed appear to be uncontentious, we do
not think it requires any further consideration. We are therefore
clearing it.
39 (27896) 13715/06: see HC 34-xlii (2005-06), para
13 (7 November 2006). Back
40
(17100) 6116/96: see HC 51-xviii (1995-96), para 16 (8 May 1996). Back
41
Such as burdensome customs procedures, technical standards which
do not conform to WTO rules, misuse of health measures, restrictive
procurement rules, and unfair use of state aids and subsidies. Back
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