EPA deadline likely to be missed: NMA

The new trade deal between southern Africa and Europe is not likely to meet its deadline of December, the Namibia Manufacturers Association (NMA) has said.

Speaking at the NMA annual general meeting in Windhoek on Wednesday, NMA Chairman Koos Ferreira said one of the challenges facing Namibia was the fact that the Economic Partnership Agreement (EPA) with the European Union appeared headed towards failing to meet its deadline. “The EPA with the EU appears to be a relentless struggle, which would in all likelihood not be in place by end December 2007 – despite tireless efforts on various fronts.This would impact negatively especially on the meat industry, and affecting all exports to the EU,” said Ferreira.Namibia is part of a seven-member SADC bloc negotiating a new trade deal with EU, as are other ACP countries, which have divided into regional negotiating partners.The African, Caribbean and Pacific (ACP) countries have been in talks with the EU to come up with the new deals to take over from the existing preferential trade deals.This week West Africa asked the EU for a two-year extension of preferential trade terms, saying it would not meet its EPA deadline.EU Trade Commissioner Peter Mandelson is on record saying the EU would not waiver nor tolerate any delays or missing of deadlines.In the same vein during the AGM, the issue of globalisation was under the spotlight again.Ferreira told local manufacturers who gathered for the meeting to position themselves on the international scene.”We live in a world where no country or nation can escape the effects of what is happening around the world – we are part of the global village, whether we want to be or not,” he said.Ferreira cited a number of global issues that were affecting local manufacturers like international crude oil prices, global warming, and the bio-fuels drive, which is pushing up the prices of wheat, maize and rice.”The question can be asked; so what can we do about it? It is a matter of swim or sink.We need to address the issues we can do something about and counteract, or take evasive action where possible.”Ferreira also highlighted other challenges facing Namibia like high unemployment rate, shortage of skills and HIV-AIDS.The guest of honour at the event, Prime Minister Nahas Angula, said local manufacturing was under-performing when measured against the Vision 2030 target.”During the past five years the average growth rate of the Namibian economy and that of the manufacturing sector was less than five per cent per annum,” adding that these should be at least above six per cent for the desired growth to be realised.He rolled out a number of initiatives being undertaken by the Government specifically his office in conjunction with the Ministry of Trade and Industry through a strategy to improve the performance of the manufacturing sector.”The EPA with the EU appears to be a relentless struggle, which would in all likelihood not be in place by end December 2007 – despite tireless efforts on various fronts.This would impact negatively especially on the meat industry, and affecting all exports to the EU,” said Ferreira.Namibia is part of a seven-member SADC bloc negotiating a new trade deal with EU, as are other ACP countries, which have divided into regional negotiating partners.The African, Caribbean and Pacific (ACP) countries have been in talks with the EU to come up with the new deals to take over from the existing preferential trade deals.This week West Africa asked the EU for a two-year extension of preferential trade terms, saying it would not meet its EPA deadline.EU Trade Commissioner Peter Mandelson is on record saying the EU would not waiver nor tolerate any delays or missing of deadlines.In the same vein during the AGM, the issue of globalisation was under the spotlight again.Ferreira told local manufacturers who gathered for the meeting to position themselves on the international scene.”We live in a world where no country or nation can escape the effects of what is happening around the world – we are part of the global village, whether we want to be or not,” he said.Ferreira cited a number of global issues that were affecting local manufacturers like international crude oil prices, global warming, and the bio-fuels drive, which is pushing up the prices of wheat, maize and rice.”The question can be asked; so what can we do about it? It is a matter of swim or sink.We need to address the issues we can do something about and counteract, or take evasive action where possible.”Ferreira also highlighted other challenges facing Namibia like high unemployment rate, shortage of skills and HIV-AIDS.The guest of honour at the event, Prime Minister Nahas Angula, said local manufacturing was under-performing when measured against the Vision 2030 target.”During the past five years the average growth rate of the Namibian economy and that of the manufacturing sector was less than five per cent per annum,” adding that these should be at least above six per cent for the desired growth to be realised.He rolled out a number of initiatives being undertaken by the Government specifically his office in conjunction with the Ministry of Trade and Industry through a strategy to improve the performance of the manufacturing sector.