Comesa should tap technology to grow

Lack of convergence

We cannot talk about regional integration without looking at what is taking place globally, including in the multilateral trading system.

It is now common knowledge that the Doha round of talks might not be concluded this year due to lack of convergence on important issues for developing countries in the areas of agriculture, non agriculture market access, and services, among others.

As we undertake our regional integration programmes, we need to have multilateral rules that support the process.

We can only have these rules if we make serious input in the rule making processes.

We therefore need to adopt more strategic approaches and thinking on multilateral processes to make them reflect our interests and be beneficial to our region.

Comesa will be upscaling its work programmes in the area of the WTO and other trade negotiations.

As Comesa, there is need to work out strategies for effectively engaging in multilateral processes.

As regards the introduction of the additional band of five per cent to the Common External Tariffs (CET) structure under the Comesa Customs Union, the Secretariat has undertaken studies on revenue and competitiveness.

Some member states have a substantial number of tariff lines at five per cent and in terms of incidence the five per cent tariff rate is concentrated on raw materials and capital goods, which have zero per cent rate under the CET.

Introducing five per cent band will, therefore, raise the cost of capitalisation and production, but would in turn have the potential to raise revenue.

The Secretariat is available to work closely with member states that have difficulties in generating lists of sensitive products.

However, the five per cent issue should not impede the implementation of transition.

Ngwenya is Comesa secretary general.