| AUGUST 20, 2008 issue |
Guyana |
EPA: Not what it's cranked up to be |
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As with the CSME, Caribbean countries are facing another roadblock – largely due to their initial myopic vision when they agreed to enter into an Economic Partnership Agreement (EPA) with the European Community (EC) last December.
While some countries are preparing to sign the EPA on September 2 – a date that might be rescheduled – others, including Guyana which has been most vocal against the EPA, are now realizing that it was folly to agree to the EPA in the first place. At the outset, it would appear as though the Caribbean negotiators of the EPA bore “Caribbean for Sale” signs on their foreheads, typical of the days of colonialism when some politicians were willing to “sell” their country’s future to their colonial masters.
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Put simply, the EPA will replace the Africa Caribbean Pacific (ACP) – EU Partnership Agreement (also known as the Cotonou Agreement), including the Sugar Protocol, which allowed for preferential tariff concessions on the trade of a large number of goods between the two regions.
Many of these concessions were recently phased out over three years, leaving the region’s agricultural based economies – especially those dependent on sugar and banana – to either modernize their traditional industries or abandon them altogether. |
While some countries are preparing to sign the EPA others are now realizing that it was folly to agree to the EPA in the first place. |
The agreement comes at a time when Caribbean countries have expressed concerns about high food import bills and increasing food prices; and when countries like Guyana are revamping their agriculture sectors to increase production for regional consumption.
The truth is: the EPA can bring tremendous benefits to the Cariforum countries – which include the 14 Caricom nations and the Dominican Republic – in the areas of trade, investments, and potential foreign assistance. However, the potential harm to the smaller Caribbean countries appears to far outweigh the perceived benefits.
Ironically, since the EPA negotiations were concluded, the debate over the benefits of the agreement has intensified among politicians and academics. Perhaps, Guyana’s President Bharat Jagdeo has been the most vocal in criticizing the benefits that will be derived by the Cariforum countries, concluding that the region lost in the negotiations with the EC.
"I resent the characterization that we won from these negotiations. We did not win anything whatsoever," Jagdeo is reported saying in a manner critical of those who claim “that region got the best it could get out of a bad situation.”
Agreement on the EPA came on the back of a real threat that the region's exports would be disadvantaged by the introduction of a European tariff regime on January 1, 2008. Faced with this threat, the Caribbean negotiating team accepted “convenience over principle” in mid-December 2007 to avoid regional exports being subject to non-preferential tariffs.
Jagdeo claims that the region was forced into an untenable situation which amounted to a "well thought-out ploy by Europe to dismantle the solidarity of the ACP by effectively dividing the ACP into six negotiating theatres - that is six EPAs - and playing one off against the other which they did very effectively."
He went on to say that Europe acted in bad faith in the negotiations, using sugar as an example to illustrate that the EC had not kept its commitments made in several agreements including the Sugar Protocol, the Lome Conven-tion and the Cotonou agreement.
At the core of the debate is the question of reciprocity whereby Caribbean countries will benefit from duty and quota-free treatment for all goods entering Europe as of January 1, 2008, except for rice and sugar. In the case of sugar and rice there will be a two-year transition period and increased quotas before they also benefit from quota-free and duty-free status.
For instance, Guyana will initially get a small increase in its EC sugar quota. Of the 60,000-tonne increase in allocation to the region, the Dominican Republic will benefit from a 30,000-tonne allocation, while Guyana, which already has a quota of 161,000 tonnes will share the rest of the new allocation with Belize and Jamaica.
In return the Cariforum countries will remove tariffs from eighty per cent of EC imports into the region over a 15 year period, with sensitive goods receiving protection for up to 25 years or indefinitely.
The Cariforum countries will have a three-year moratorium during which they will continue to charge customs duties on all items other than vehicles and gasoline. Cariforum retained the right to maintain other duties and charges that make up an important part of government revenues for up to 10 years.
Europe will also immediately open more than 90 per cent of its services sector to EC businesses, while Cariforum countries will open up between 65 and 75 per cent, except in the case of the Dominican Republic which will open more than 90 per cent. In the case of investment, the EC has liberalized almost all sectors for Cariforum firms, and has agreed to grant temporary access for Caribbean professionals in 29 sectors. There are no quotas on the number of service suppliers that can enter the EU market. In addition, 25 European states will liberalize entertainment services.
Essentially, there has been a departure from the principle of preferential access to one of reciprocity, argues Jagdeo. He claims that although the impact of reciprocity might not surface immediately, it would result in reduced revenue earnings since goods from Europe would now enter the markets of Cariforum countries duty free, affecting the revenue base of those countries which depend on the duties. The impact would not necessarily be immediate since implementation of reciprocity will take place in a phased manner.
He also said problems will also arise in negotiating similar agreements with countries such as Canada and the United States which would want the same arrangements as the region has with Europe.
In as much as the benefits of the EPA appear substantial, various academics including some who support Jagdeo’s position argue that although trade can be the engine of growth for the region, the potential gains are not as significant as they appear. Dr. Clive Thomas, for example says: The potential gains from trade cannot be causally linked to the claim that liberalizing trade, in all circumstances and under all conditions, including those between regions with vastly unequal development levels will invariantly realize these potential benefits. The underlying concern that emerges is that the EPA is facilitating trade between two regions with vastly different economic potential. Arguably, EC countries have a comparative advantage which will be enhanced by the region’s affinity for imported goods. Many emerging and less competitive businesses will find it difficult to survive in the wake of potentially cheaper EC imports. In as much as the EPA safeguards certain industries, they might not be sufficient to afford them the necessary protection to survive.
Thomas goes on to say: trade liberalizing gains are more likely among partners at roughly similar levels of development and economic capacity, such as Caricom. As a collection of small, vulnerable states, Cariforum is relatively disadvantaged in the EPA for most areas where market-based trade competitive solutions are expected.
To reap the full benefits of trade with Europe, the agreement has to be crafted with developmental and adjustment considerations at the forefront, not as a reaction to unpredictable fall-out from adjustment to trade-based reciprocity between the two regions.
At the end of the day, the Caribbean may lose more than it gains from the EPA. One government official puts it over subtly: “It’s back to days of colonialism; we’re becoming mere workers and slaves in our own countries.”
Ironically, some Caribbean leaders seem to prefer it that way.
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New forensic tools should help police fight crime |
Georgetown — Crime Chief Seelall Persaud announced that the Guyana Police Force has received the parts for the gas chromatograph/mass spectrometer (GC/MS) that the force had acquired several months ago from funds provided by the Government. The GC/MS is considered one of the most valuable forensic tools, since it can be used to analyse substances found at crime scenes, such as flammable liquids, bomb residue, saliva, fire debris, blood, semen, explosives, body fluids, cosmetics, scalp hair, urine, body tissue, stomach contents, fingernail scrapings, faeces, maggots and poisons.
This will boost the capabilities of the force in solving crime as at present it depends mainly on lifting fingerprints, conducting ballistics tests, detecting gunpowder residue on suspects, confession statements, as well as eyewitness testimonies to solve crimes. These limitations are believed to be a major reason for the large number of unsolved cases over the years which include the kidnapping, torture and beheading of businessman Farouk Kalamadeen; the gunning down of Marcyn King, sister of wanted man Rondell Rawlins; and the murder of a Diamond, East Bank Demerara resident who was strangled and stuffed into the trunk of his car. Guyana also had to seek forensic assistance from its Caricom counterparts following the recent killing of eight miners at Lindo Creek.
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Repairs to collapsed bridge to be completed soon |
Georgetown — Public Works Minister Robeson Benn is reported to have said that repairs to the New Providence Bridge which collapsed on July 28 when a truck was crossing it, are to be completed within two weeks at a cost in excess of $8M.
According to a report, the minister said that a contractor has already been recruited, and works have started on the bridge. The minister added that the ministry will be contacting Toolsie Persaud Limited for assistance in the construction. He noted that at present there is no alternative system in place for vehicles to get in and out of New Providence but added that there is a pedestrian walkway and vehicles are being parked outside the community.
Meanwhile residents in New Amsterdam fear that the old New Amsterdam Hospital which has been vacated since November 2004 is a fire hazard and could collapse at any time. The ‘new’ New Amsterdam Hospital which is located obliquely opposite the Psychiatric Hospital was officially opened by President Bharrat Jagdeo on February 20, 2005. The Ministry of Health had promised to “transform” a part of the building into a nursing school and dormitory after it ceased operations in 2004.
There is a call for the preservation of the building as a heritage site. It is described as “a timber architectural masterpiece that was designed by world renowned architect, Cesar Castellani in 1881 and officially opened in 1884.”
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CJIA landing lights restored |
Georgetown — The landing lights at the Cheddi Jagan International Airport have been restored on August 15, following the installation of portable lights that were loaned by Barbados. With a few days to go before the grand opening of Carifesta X, the runway at the airport is now being operated on solar lights.
Public Works Minister, Robeson Benn told the media that it will take a number of weeks before the regular system at the airport is fully restored and at least 12 weeks before Guyana can get the replacement lights from Australia. He explained that a lightning strike at the airport on July 29 caused extensive damage to a number of electrical items, including the runway light circuits and the situation worsened after the back-up generator went down when a flight was about to land at the airport.
According to Kaieteur News, efforts of technicians and controllers stationed at the airport averted a near disaster when an approaching Sky Services aircraft almost ran off the runway.
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Police shoot, injure bandit |
Georgetown — The police fired and injured a bandit who robbed a man at Church and Wellington Streets on August 15, but the bandit escaped.
According to Stabroek News (SN) the bandit came up to his victim and relieved him of money and a chain at around midday and ran away. The victim then called a friend in the police force, and ranks responded quickly. The police reportedly fired about eight rounds apparently hitting the bandit in the left shoulder. The apparently injured man ran into yards that adjoined Globe Cinema and disappeared after apparently jumping over a fence leaving a trail of blood in the area where he ran. The police were unable to catch the injured man.
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CRIME WATCH |
Armed robberies |
Georgetown — Jermaine Langevine, a businessman of Kiskadee Drive, South Ruimveldt was robbed by four gunmen around 1:30 am on August 13.
According to the police Langevine left his place of business at Hadfield and John streets and was climbing a stairway at his home when the suspects held him up and robbed him of jewellery valued $620,000, $1,200 US currency and $860,000 cash. The police said that they have recovered two metal fragments from the scene after the gunmen reportedly discharged a round while fleeing.
Meanwhile in another incident on the same day, Beethdial Balram, a 74-year-old businesswoman and Joy Khan, 53, of Herstelling were robbed by two men both armed with handguns. According to the police Beethdial was in her shop which is located on the ground floor of her two-storey home chatting with Khan also of Herstelling, when the gunmen held them up and demanded money and jewellery. One of men stood guard while the other relieved the women of jewellery valued $66,000 and $6,000 cash before fleeing north into the village.
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Loaded gun in prison |
Georgetown — Prison officers found a prisoner at the Camp Street jail with a .38 revolver and eight matching rounds of ammunition at around 3 pm on August 15 after a prisoner alerted a prison officer about the presence of the gun.
According to Stabroek News (SN) the police were called in after the gun was found and a search of the entire complex was conducted. Home Affairs Minister Clement Rohee told SN that the discovery had been made based on information and a subsequent search, but he did not identify the particular part of the prison where the inmate in whose possession the gun and ammo were found was housed.
SN also said that it was reliably informed that eleven cellular phones and 23 sharpened metal spoons and forks as well as a bag with ganja were discovered during the search operation. The report noted that the phones and implements were discovered in the prisoners’ cells while the ganja was found hidden between some wood and cloth in the Tailor Block. According to media reports the prisoner who had the weapon is on remand for attempted murder and robbery under arms while the implements and cell phones were found in the cells of prisoners who are incarcerated for serious offences such as murder.
This incident raises fresh concerns about security at the prisons as a few weeks ago, prisoner Edwin Niles was found at Camp Street jail with ammunition in his pocket after a cleaning assignment at GDF Headquarters. He was interrogated and apparently beaten and died several days later of blood clot caused by burns on his back. It is suspected that he was tortured by prison officers. Meanwhile another prisoner, Aubrey Goodluck of East Bank Essequibo who was being treated at the Georgetown Public Hospital for injuries he received while imprisoned at Camp Street in relation to a simple larceny matter died on August 13.
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Youth chopped on neck |
Georgetown — Leon Calder, 18, of Enterprise was rushed to hospital after receiving a chop in his neck.
According to Stabroek News Calder’s older sister had just sprayed perfume on her brother who was dressed for a wedding reception when he went a few yards away from his home to check to see if his friend who was accompanying him was ready. His attacker, a well known ‘troublemaker’ in the area, reportedly stood at the gate to his friend’s home, and refused to allow him to pass. He reportedly raised a cutlass and dealt Calder a severe blow to the neck. Up to time of writing, the police are still looking for the attacker.
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Taxi driver shot, car stolen |
Georgetown — Linden taxi-driver, Kerwin Morris, 28, is in a critical condition at the High Dependency Unit of the Georgetown Public Hospital (GPH) suffering from two gunshot wounds he received after being robbed of his car at about 10:30 pm on August 16. An ex policeman has been detained as prime suspect in the shooting.
A release from the police stated that the suspect hired Morris to take him to Georgetown, but at Millie’s Hideout, Linden, the suspect requested Morris to stop and asked him to help him put a bag in the car. The suspect then shot the driver in his abdomen and left side head and drove the car away. The police said that the car has not yet been recovered.
Meanwhile the police have detained three other persons including a 19-year-old ex-soldier in connection with the robbery. According to the media, the men were found in a house at Retrieve, Linden, and are reportedly friends of another taxi driver who was previously attached to the base, from which Morris works.
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Armed robbery in mall |
Georgetown — An armed bandit staged a robbery on Anew Essentials in the Court Yard Mall on August 16 and locked the store before escaping.
According to Stabroek News (SN), the man came into the store shortly before 11:00 am and enquired from a sales girl about magnetic earrings. She told him that they were not sold there and he left but returned minutes later and made a purchase. While she was getting his change, the man, who had a gun at his waist, snatched her by her top and pulled out a knife.
The man reportedly pushed her under the table she was sitting at and instructed her not to scream. He took her engagement and wedding rings, a laptop bag which contained a laptop computer and some cash and also money representing sales for the previous two days amounting to just over $40,000.
The man then took the store keys and locked the woman in the store. He escaped leaving the keys on the door. The woman then pressed the panic button and summoned help from a nearby store.
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Robbed by impersonators |
Georgetown — Two men showed up at the Mohan’s residence in Diamond at around 2:00 pm on August 16 saying that they were employees of the Guyana Water Incorporated (GWI) and were there to check the colour of the water. One of them was allowed to enter the residence by Kamwattie Mohan, who was at home with her 29-year-old daughter. The other man waited outside. After pretending to check the tap the bogus GWI employee suddenly drew a handgun and pressed it to Mohan’s body.
The other man joined him and they bound the woman and her daughter, placing them on the floor and threatening to kill them if they failed to hand over their valuables. The bandits then located a canister containing an estimated $3M in jewellery and also grabbed $350,000 in local currency. One of them fled through the back door with the booty while the other remained and tied up the father when he arrived home. He later fled with a video camera.
Meanwhile a man who pretended to be a customer staged a robbery on the On-The-Go Service station, at Nismes, West Bank Demerara. According to reports, at about 7:20 am on August 12, a man, who was armed with a handgun walked into the business place and pretended that he was there to purchase oil and as the pump attendant went to get the oil, the man pulled out the gun and relieved the pump attendant of $25,000. The bandit then forced the attendant at gunpoint into the mini-mart and took another $10,000 from the cash register there. The bandit also gun-butted the attendant while demanding more money and grabbed a cellular-phone top-up machine before escaping.
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Guyana gets ready to host Carifesta X |
Georgetown — Minister of Culture, Youth and Sport Dr. Frank Anthony said that Guyana will be ready to host the Carifesta X celebrations which will run from August 22-31, despite a few glitches and fears among some that the country is not adequately prepared for the event.
Speaking to Stabroek News (SN), Dr Anthony pointed out that planning an event of this magnitude is challenging and although the organisers were set back by the late communication by several of the overseas delegations every effort is being made to put the finishing touches to the preparations
The Minister offered assurance that the Government and the Carifesta Secretariat are working hard at addressing many areas of concerns including security and said that the Minister of Home Affairs has played an important role in mapping out an efficient and effective security plan. He said that the public can expect a strong presence of security forces both in Georgetown and in other areas, especially in and around the venues hosting the various Carifesta activities. He added that special arrangements are also being made to ensure the safety of visiting delegations.
Meanwhile the police department will not be accepting applications for passports, police clearances, and firearm and traffic licences during the hosting of Carifesta, as all ranks will be deployed on the streets to provide adequate protection for citizens and foreigners.
To beef up the security in the country, a four-man bomb squad from Trinidad and Tobago will be arriving in Guyana on August 20.
In the meantime, negotiations are ongoing with the Government of Trinidad and the Regional Security System (RSS) for additional support in the area of air protection
Other areas of concern that were addressed include cleanliness of the city, transportation, traffic control, parking arrangements and the airport runway lights.
The Minister said that an exciting opening ceremony featuring over 3,300 performers will be televised live both locally and in the rest of the Caribbean with a possibility that it will be shown live on big screens outside of the grounds, as well as in other regions of Guyana. Almost 500,000 tickets have been printed for Carifesta X and free tickets for entry in all venues that will host events will be made available to the public.
Dr. Anthony said he expects over 1,500 people will be coming as part of overseas delegations including people from the Guyanese Diaspora. He noted that the departure tax for members of the delegations has been waived as a gesture of kindness, since the expenses for airfare, accommodation, and food will be undertaken either by the respective governments or the individuals themselves.
One of the highlights will be a special laser show to be done nightly in the vicinity of St. George’s Cathedral. This will be put on by the Austrian delegation featuring lights of different colours and intensity and will be used to convey messages as well as to beautify the cathedral. He said that after Carifesta the equipment will be left in the care of the Ministry of the Culture, Youth and Sport.
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