1. THE POSSIBILITIES OF THE EPA FOR CARIBBEAN DEVELOPMENT
A View from the Experts
Kerrie-Ann M. Tucker
Introduction
Various points of view surrounding the weaknesses and viability of small Caribbean states in
the global political economy have had a significant impact on the way in which regional
development has been conceptualised. Academics and policy-makers have, over time,
fashioned a development framework hinged on a range of cooperation and integration and
strategies between and among the states located within the basin in overcoming concerns of
small size and openness, socio-economic fragility, patterns of decline and poverty and limited
access to technological and other resources. Studies have been commissioned by several
governments and agencies including the 1997 Commonwealth Secretariat’s A Future for
Small States: Overcoming Vulnerability which have indicated that the survival of small island
economies inherently lay in cooperative mechanisms which encourage partnerships with other
trade partners.
The CARIFORUM-EU Economic Partnership Agreement (EPA) signed 15th October 2008
marks the latest chapter in the trade and development cooperation relationship between the
Caribbean and Europe. The EPA is the follow-up to successive Lome Conventions which
were first signed in 1975, and the Cotonou Agreement signed in 2000. Lome I through IV, and
Cotonou were designed to facilitate preferential non-reciprocal European market access by
former colonies in Africa, the Caribbean and the Pacific (ACP). The agreements also
combined essential elements of development assistance- including technical and financial
support- to aid ACP states in mitigating and overcoming obstacles to economic and social
development. There have been ongoing discussions about and commentaries on the
negotiation and implementation of the EPA within CARIFORUM– Caribbean Community
(CARICOM) member-states and the Dominican Republic.
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2. The rise of newly industrialised countries (NICs) such as the Asian Tigers which includes
Singapore, and Brazil, Russia, India and China (BRIC) within the sphere of free trade and
capitalism is often cited as evidence in supporting the view trade liberalisation acts as a
stimulant to growth and development. There, however, has been very little evidence to
support this conception of free trade as a guaranteed solution to the development concerns of
LDCs which neither enjoy the advantages of vast territory, large populations and market, and
experienced extended periods of colonisation- as part of the Imperial and post-Imperial Age-
during which limited natural resources were utilised in an unsustainable manner and the
wealth derived repatriated to the homelands of the colonisers. It is proposed further, therefore,
that the rise of the ‘BRIC’ is an off-shoot- an unintended effect- of market capitalism and that
the increase in exports and productive capacity from foreign direct investment, in and of itself,
did not have a positive impact on development in these countries. Instead, liberal trade when
partnered with requisite social tools such as a high level of education and training, adequate
infrastructure and new technology, and placed within a context defined by past and present
realities and biases may yield positive results.
This research investigates the perspectives of several experts selected for study regarding the
potential impact of the recently concluded negotiations and the ensuing provisions of the on
Caribbean development. This study will examine texts- articles, presentations and elite
interview transcripts- which present the perceptions of persons who were involved in the
negotiation process and others who have embarked upon the critical assessment of the
agreement through scholarship of how the implementation of the EPA will affect the socio-
economic environment and future of the region as well as how regional stakeholders may take
advantage of the agreement’s provisions. We will examine the praxis of the Caribbean’s
developmental challenge and the underpinnings of international development standards.
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3. Traditional economic theory proposed by Adam Smith (1776) emphasises free trade and the
self-regulated market as a near panacea for underdevelopment and negative economic
growth. Particularly as it relates to developing economies, trade and access to foreign markets
has been advanced as the most pragmatic means to improve countries’ balance of payments
as well as earn much needed income by attracting foreign investment and expanding local
markets. It also propounded that small domestic markets limit productive sectors ability to take
advantage of economies of scale- the comparative lowering of unit costs experienced by
producers with increased output. The argument, which to some extent had been accepted in
the global South, holds that an increase in trade earnings was indicative of economic growth
which in-turn could be observed in a trickle-down effect in the areas of social services,
infrastructure and the general well-being of citizens.
The emphasis placed on production and consumption within the global marketplace has made
it more important for states to embark upon what former US Secretary of State Madeleine
Albright termed a ‘multilateralism’ in order to go beyond “factors and constraints of
development through a movement to expand and deepen relations with other states that have
shared priorities and objectives”(Serbin and Bryan 1996:92). Karl Falkenburg, the Deputy
Director General for Trade of the European Union has noted that the EPA would “consolidate
trade in goods between the European Union and CARIFORUM with an expanded relationship
into areas of services and investment”1. The EPA is envisioned to manage the liberalisation of
trade in goods and services between the Caribbean and one of its largest economic partners
through the removal, or reduction of tariffs and non-tariff barriers and the establishment of
reciprocal duty-free quota-free (DFQF) access.
However, claims put forward by free-market economists and development strategists of the
positive impact on development in less advanced countries have not been substantiated. This
1 Karl Falkenburg in “Caribbean Countries to evaluate EPA”, January 8, 2008, http://dr1.com/trade/articles/439/1/Caribbean-countries-to-evaluate-
EPA/Page1.html. (accessed February 15, 2008)
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4. may be noted on 3 main grounds. Firstly, less developed countries (LDCs) have limited
access to the technological and financial resources and, in some cases, the expertise
requisite for maximising output and in producing finished goods and services at a competitive
price. As such, LDCs often function as the first stage in the production process by providing
producers in the industrialised North with much-needed raw materials which fetch a
comparably lower price than finished or manufactured goods.
Secondly, the inability of small-island developing states (SIDS) to sustain high levels of
production due to the restrictions of small size and low economies of scale relative to their
larger competitors. Neither do markets in SIDS of the Lesser Antilles with small populations in
the tens of thousands such as St. Kitts and Antigua encourage or absorb high volume of
output, nor does the geography facilitate large-scale industries. Lastly, the high volume and
range of manufactured goods produced and exported under free trade arrangements by
developed states at low cost often marginalise domestic sectors in particular small farming
and cottage industries. For example, several quantitative studies conducted on the impact of
the asymmetrical Caribbean Basin Initiative (CBI) of the 1980s between the US and countries
of the region aimed at facilitating the growth of the “Greater Caribbean”, have revealed that
US$3.5 billion in CBI goods entered the US for the period January to September 2001 under
the 2000 expansion of the CBI- the Caribbean Basin Trade Partnership Act. That year, US
exports to CBI countries totalled US$20.7 billion in that year. As such, it has become
increasingly difficult to engender development as a direct product of market access- reciprocal
or preferential.
To this end, and being cognizant of the previous discussion, answers to the following
questions were sought:
1. What are the discourses surrounding the impact of the EPA on
Caribbean Development?
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5. 2. What, if any, are the implications of these discourses in preparing for
the impact of full implementation of the EPA on various regional
stakeholders including governments, businesses, skilled persons,
and consumers?
Background
The West Indian Commission recommended in its 1993 Time for Action report that the states
of the English-speaking Caribbean which form CARICOM should seek to “widen and deepen”
integration efforts towards a “transformation of perceptions of a Commonwealth Caribbean to
those of a Caribbean Commonwealth”2.
Since the collapse of the West Indies Federation in the 1960s and several piecemeal attempts
at economic integration through the Caribbean Free Trade Association (CARIFTA) and
CARICOM, the English-speaking Caribbean has continuously pursued regional co-operation
agreements including the Caribbean Single Market and Economy (CSME). However, these
have been aimed at creating a larger more profitable market as a sub-region by taking
advantage of better economies of scale to reduce the high cost of production, increase
international competitiveness and comparative advantage as well as to reduce the impact of
external shocks from fluctuations in overseas markets. It is proposed that the CSME which
promises the formation of a single and unified economic space characterised by the free
movement of Caribbean people, goods, services and capital which facilitate diverse and
improved opportunities will allow small producers to “consider more seriously Europe as a
niche market for their specialty products and build brand recognition and competitiveness
beyond the free trade area”.3
2 West Indian Commission, Time for Action Report, 1993 in Serbin and Bryan, Distant Cousins, 1996
3 Berridge. “The Economic Partnership Agreements: Opportunity or Threat?”, The Democrat Newspaper, February 15, 2008,
http://www.pamdemocrat.org/Newspaper/Details.cfm?Nz=$7GIJ2%20%20%20&Iz=$(BXK%20P (accessed February 15, 2008)
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6. Scholarship on Caribbean integration movements and regionalism as a mechanism to
promote sustainable development and confront globalisation (Bryan 1995; Bryan and Bryan
1999; Serbin and Bryan 1996; Serbin 1998; Pantin 1994), however, indicates that economic
cooperation between and among the small-island states of CARICOM would prove
inadequate- though creating a combined market somewhere in the region of 6 million people.
Additionally, these islands have remained largely dependent on a small export base
comprised largely of few agricultural products, tourism and raw materials, and whose
industries have been insufficiently infused with new technologies in order to boost production.
As such, it has been argued that by Serbin and Bryan that the English-speaking Caribbean
must place a higher value on hemispheric trade partnerships “as part of a process of erecting
a framework to move then from the protected inward-looking arrangements of the past that will
improve their chances in dynamic global markets in the Western Hemisphere, Western
Europe, Asia or elsewhere” [Serbin and Bryan 1996:123]
Junior Lodge, Technical Coordinator of the EPA Negotiations in the Caribbean Regional
Negotiating Machinery (CRNM) which took the lead position on behalf of CARIFORUM,
proposes that the “EPA should strengthen CARIFORUM regional integration in terms of
facilitating deeper ties with The Bahamas and Haiti – two states whose relationships with the
CSME are ill-defined”4. He further asserted that it is the entrenched right of every
CARIFORUM member-state to grant each other preferences that do not have to be awarded
to the EU. This strengthening of ties between CARICOM and its Latin American neighbours
has also been endorsed under the Revised Treaty of Chaguaramas as part of enhancing
socio-cultural linkages through shared space and experience as well increasing the scope and
opportunities available to regional people and business upon consolidation of the CSME.
4 Lodge “CARIFORUM EPA Negotiations: An Initial Reflection”,
.
http://www.crnm.org/documents/ACP_EU_EPA/epa_agreement/TNI_240108_FINAL.pdf (Accessed February 28, 2008)
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7. Multilateralism as conceptualised by Albright, upon which the notion of an EPA is founded,
has its epistemological roots in the mercantilist project which gave rise to the capitalist
industrial economies of Western Europe and North America. The bias of free trade is firmly
grounded in the Western- ‘Anglocentric’- experience from which industrialised states derived
substantial wealth from the global activities of their multi-national corporations throughout
Africa, Asia, Latin America and the Caribbean in mining, agriculture and other primary
productive areas. From this perception, one discerns the clear link between the rhetoric of
liberal trade regimes and the potential for capital expansion.
However, these gains may not be replicated and principles applied to developing nations of
the South as they will not be afforded a similar attempt at exploitation vis-à-vis neo-liberal
thought of interdependence and ‘partnering for development’ in the contemporary setting.
Furthermore, Eurocentric musings and notions of development often belie the fact that the
development of the British, French, Belgian and US economies occurred at the expense of
their former colonies- today’s Third World. Dr. Jessica Byron and Dr. Patsy Lewis of the
University of the West Indies have cautioned LDCs of CARIFORUM to critically assess the
implementation of the EPA and other similar agreements. They have suggested specific
benchmarks to ensure that the agreement does not have an opposite intended effect and that
“the liberalisation of trade should not be undertaken in such a way as to undermine the
regional integration process and negatively impact the production of the region’s economies
(Byron and Lewis 2007).
This argument leads us to the primary concept being explored- that of development. A post-
colonial postmodernist outlook suggests that in order to assess the circumstance, concerns,
expectations, aspirations and misgivings embroiled in the EPA debate one must conceive
development as a broad concept. It is essential to deconstruct development in an attempt to
isolate the ideals and measures defined by and relevant to a specific space from a more
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8. general or global value system. Having reconsidered the literature on Caribbean integration as
a response to correcting global imbalances, relieving the burden of fragility and alleviating the
persistent underdevelopment which has conditioned the region and its roles in the politico-
economic landscape, some reflections on the value-laden concept of development must
inform the study. For the purpose of this analysis, therefore, we will examine the variant
meanings of development- without and within the milieu of Caribbean economy and society.
What is Development?
Development is essentially a construct which is defined by a process of observation, analysis
and reporting of social interaction. It also derives and takes on value and meaning from the
particular space within which it is viewed and assessed, and from the observer. The term is
conceptualised according to a specific contextual truth and is grounded in specific or shared
experiences of the observers and the subjects within that setting. As such, it has come to
encompass a variety of constituent elements and interpretations which have had far-reaching
implications on decision-making and socio-economic policy. ‘Development’ is a fusion of a
variety of truths- knowledge, experience, suppositions, abilities, authority, values and biases-
and dominant opinions of governments, agencies and intellectuals surrounding what are
acceptable standards, targets.
Development is often identified through widespread ‘betterment’ and forward movement. In his
Notes on the Meaning and Significance of Development Girvan outlines the different notions
associated with and embodied in what we refer to as ‘development.’ He further posits that
“probably the most widely used concept of development” is that of sustained economic
growth. He contends that throughout the 1980s development was viewed as being
“synonymous with the population” as an increase in Gross National Product (GNP) coupled
with a lower rate of population growth would necessarily result in a nominal increase in
income per capita and improved standards of living (Girvan 1999:13 He emphasised that the
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9. dominant and traditional social science theory narrowly defined development as the presence
of economic growth in terms of wealth and projected increases in a country’s earning and
purchasing power. As such, development discourse was preoccupied with levels of production
across different sectors, income generating capacity and investment experience by a country
or geographical area.
This perspective is indicative of several fundamental assumptions of neo-classical economic
theory and analysis rooted in a distinctly patriarchal structure. The emphasis on the pre-
eminence of the state and its symbiotic relationship to economic wealth is one which has been
examined by feminist scholars as emerging from ontology of masculinity. Girvan, however,
proposes that distinctions may be made between development, within a strictly economic
perspective, as growth, the remodelling of the systemic relations between economic agents
and actors or as a dynamic multi-dimensional “process” in which all areas of human life and
activity – political, economic and social- undergo improvements and positive change (Girvan
1999:13). Contemporary trends in world politics and research into the area have ‘humanised’
the global agenda and debates on issues of human security including stemming inequalities
have become more relevant and has shifted some focus from concerns of war and security.
Post-modernist debates on development policy which emerged in the 1960s, which are being
particularly examined through feminist critiques (Sen 1999; Nussbaum 2000) sought to
expand development thought beyond economics towards a study of human development.
The 1996 United Nations Human Development Report proposed that “there is no link between
economic growth and human development, but when these links are forged with policy and
determination, they can be mutually reinforcing and economic growth will effectively and
rapidly improve human development.”5 As such, increases in GNP do not speak to socio-
economic disparities and qualitative analyses which of the distribution of wealth, consumer
5 United Nations Development Programme (UNDP). Human Development Report 1996, Retrieved 29 March 2008,
http://hdr.undp.org/en/media/hdr_1996_en.pdf
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10. spending and access to basic resources. The majority of citizens are not typically beneficiaries
of wealth created and quite often do not enjoy improved standards of living.
The redefinition and reconstruction of ‘development’ have taken further consideration of the
particular needs and state of the most vulnerable and marginalised such as women and the
poor- which includes poor states- in trade policy formulation, implementation and analysis.
According to the 1998 HDR, “the concept of human development provides an alternative to
the view of development equated exclusively with economic growth.” Human development is
defined as “a process of enlarging peoples choices” and is “achieved by expanding human
capabilities and functionings.”6 The development paradigm has not excluded quantifiable
measures such as GDP per capita from consideration but has been reconfigured to focus on
the individual and making the private concerns of these individuals integral to public policy.
The Research Process
This study of the potential impact of the EPA on Caribbean development, therefore, is aimed
at unearthing and opening up the intellectual closet on economic exploitation, small state
survival strategies and the meanings derived from trade agreements by political and civil
society actors. It aims at distinguishing the non-quantifiable values- welfare, capacity,
innovation etc.- which combine to give dimension to development approaches.
The research was conducted using a Discourse Analysis methodology. Discourse is
“language-in-action” (Bloomaert 2005:2) as conversations, texts, presentations and other
linguistic forms encode connotations and importance which may be observed and assessed
as data.
The analysis of discourse builds on a constructionist epistemology which privileges the
participants’ definition of specific concepts and themes, and inter-subjective understanding
6 UNDP. Human Development Report 1998, (New York: Oxford University Press, 1998)
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11. involved in the various processes of human interaction and activity. As such, discourses are
not stagnant and not merely reflective of an assigned meaning. The discourses on Caribbean
development and the potential effects of the CARIFORUM-EU EPA during and since the
negotiation process are located, assessed and understood within the current political,
economic and social reality. The study cannot proffer an explanation of what is, as the
perspective under analysis of projections and expectations are informed by the
implementation of free trade arrangements in other less developed regions and countries such
as CAFTA in Central America and NAFTA in Mexico. The perceptions were also heavily
nested within the state of the global economy and its vulnerability to high oil and food prices,
the decline of the US dollar against the Euro and the threat of a US recession, concerns with
food security and the paradigm shift in North/ South trade relations from preferences to
reciprocal DFQF market access.
The method focused on interpretation of the ways in which importance was attributed to
themes such as development- economic as well as social, competitiveness within the global
market, economic growth and institutional strengthening. The discourse analysis was carried
out using Grounded Theory techniques (Strauss and Corbin 1990).
The discussion of research findings revealed a critical analysis of the reality which framed the
negotiation of the CARIFORUM-EU EPA and the perspectives of the selected experts. Alfred
Schutz’s emphasis on recognizing and appreciating how reality is formed and represented
facilitated the “reconstruction” of the origins of the “objective meanings of action in the social
world” (Denzin and Lincoln, 2003:297).
Discourse analysis also proved most relevant as it relies upon an ‘interpretivist’ approach to
ideas. The analysis establishes the ‘intertextual’ relationship between and among discourses
(Titscher and Meyer et. al. 2000:146). As such, uncovering linkages between the
development, free trade, regionalism, viability and vulnerability, and institutional strengthening
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12. discourses within the Caribbean and internationally will reveal the meaning of the perspectives
on the potential impact of the EPA as a reflection of the specificity of that time and social
setting. Simply put, that the texts analysed were influenced by and influenced thinking on the
implications of the EPA for the region; the discourse is also influenced by the socio-economic
conditions being experienced.
The study hinged on expert opinion- the perspectives of those who were involved in the
negotiating process or who have done extensive work in the area of Caribbean progress or in
relation to the EPA. A clear challenge existed in collecting primary data using interviews and
other forms of field research due to this stipulation. All experts were not accessible for face-to-
face observation due to time and financial constraints in the data collection process. Firstly, a
population of 10 regional experts was identified within the relatively small population which fit
the necessary profile of having been involved in the process or having extensive knowledge of
the focus. A sample of 3 experts with whom face-to-face interviews could be conducted were
selected and approached to participate in the study. As such, a combined approach was
utilized as the sample involved elements of both judgment or purposive sampling and
convenience sampling. Of the three, two interviews were conducted.
The sample was further expanded to include presentations prepared by two other experts
using a maximum variation sampling strategy (Maykut and Morehouse 1994:56). The
phenomenon is explored using the views which are expected to be most divergent.
“Maximum variation sampling provides the qualitative researcher with a
method by which the variability characteristic of random selection can be
addressed, while recognizing that the goal of a qualitative study is not
generalisability. It is not our goal to build a random sample…it is our
working knowledge of the contexts of the individuals and settings that
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13. lead us to select them for initial inclusion in our study (Maykut and
Morehouse 1994:57)”
The interviewees selected were both female and have participated in the discourse on EPAs
and their application to asymmetrical arrangements between developed and developing
countries. Both elite interviews were transcribed into text for analysis. The documents
analysed were retrieved from online sources and selected on the basis of their authors’
location within the EPA discourse:
A. Will the EPA Enhance Our Development? April 14, 2004 authored by
Rosalea Hamilton, Trade Policy Consultant and CEO, Institute of Law and
Economics
B. CARIFORUM EPA Negotiations: Initial Reflections on the Outcome,
February 13, 2008 presented by Errol Humphrey, Vice-Dean of the
CARIFORUM College of EPA Negotiators
The 4 texts have come out of debates on whether or not the Caribbean stands to see any
tangible benefit from the EPA negotiated by the CRNM, or negotiators were pressured into
accepting an agreement which will allow the EU to exploit the region as an export destination
and exacerbate conditions of socio-economic decline on the developed North. There has also
been discourse of discontent and vulnerability with the limited consultations at the local levels
and investigation into the state of Caribbean societies and all possible outcomes of entering
into such an unbalanced agreement with a global power.
Regional heads of government have become embroiled in an underdevelopment and
dependence discourse in the sense that the Guyana Prime Minister has stated that the EPA
may be viewed as unfair mechanism which will further jeopardise regional development as
opposed to the arguments of the Jamaican Prime Minister which suggest that regional
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14. development has consistently been thwarted by an ideology of mendicancy on the part of
Caribbean in its relationship with the industrialised countries.
General concepts were identified and noted throughout the texts. This established the
credibility of the categories to be coded and categories for organising the information
discovered. The texts revealed the common concepts of asymmetry, paradigm shifts in trade
policy, regional integration, economic diversification, socio-economic decline and institutional
strengthening.
The discourses emphasised inefficiency in regional production, a lack of competitiveness,
sustainable development and the use of metaphors of movement from one level to another
(‘dragging our feet’, ‘jump’, ‘build up’, ‘a good vehicle to advance’, ‘take yourself out of the
hole’, ‘come up’, ‘got off the ground’, ‘repositioning’). There was also emphasis placed on
uncertainty and hesitance when considering any potential positive impact of the EPA on
Caribbean development (‘it depends’, ‘may’, ‘it could’, ‘if’, ‘I don’t know if’), preparation and
training, coping strategies, opportunity and the importance of strong leadership in guiding the
execution of the terms of the EPA. The discourses also reflected attitudes ranging from
pessimism to cautious optimism.
Discourses further referenced the successive Lome Conventions, Cotonou and other
asymmetrical partnerships involving Latin American and Caribbean as well as the EPA
negotiating process states in designating trade agreements as unfair rivalry rather than as a
‘partnership’: the powerful Europe Union, which will unload cheaper goods an displace local
products and businesses is represented as exploitative and self-serving. The Caribbean as
fragile, susceptible and desperate are presented as having had no choice but to capitulate
and sign on to the EPA in light of having done so in the past and as opposed to the
alternative- facing economic isolation.
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15. The data was finally interpreted at various linguistic levels- in particular orthography,
phonology and semantics- to interpret the space within which the different discourses are
located and the symbolic meanings which the texts are aimed at communicating. There is an
observable difference, therefore, between the discourses noted in the documents. The
document authored by Hamilton at the second phase of the EPA negotiation process revealed
what may best be considered a confrontation with negotiators and policy-makers to eke out
provisions that make the agreement meaningful and also to put in place a framework in which
the provisions may prove advantageous. The punctuation of phrases (‘Easier said than done!’,
‘It is imperative’) using exclamation marks for emphasis, for example, located the text within
the discourse on concern and anxiety. In contrast, distinctions may be made within
Humphrey’s text where pseudo-objective facts which place the EPA in a positive and
necessary light are highlighted and italicised (‘advance the region’s development’, ‘inject
much-needed resources’, ‘development-oriented EPA’, ‘CARIFORUM commitments are linked
to the delivery of EC support’).
Findings
The research pointed to possible negative as well as positive effects of the CARIFORUM-EU
EPA on Caribbean development. The construction of a theory of the impact of free trade
agreements on small, open economies, however, is limited by two realisations:
1. The inquiry was conducted on the basis of predictions, projections and informed
assumptions. The EPA has only recently been signed by the relevant heads of
government and there has been minimal progress in its implementation. The focus
was primarily on the ‘possibilities’ involved n pursuing this path to socio-economic
development.
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16. 2. The discourse on the EPA has evolved within an environment of severe economic
hardship for the region and the world. As such, the messages have been biased by
concerns that any proposition which has even the slightest potentially adverse
implication may meet with resistance out of simple human fear.
With these considerations in mind, we will commence discuss the findings under the broad
headings of new opportunities, engendering efficiency and competitiveness, assistance,
sustainable development, socio-economic instability and undermining Caribbean institutions.
New Opportunities
The DFQF reciprocal agreement presents several opportunities. The asymmetrical
liberalisation of trade in goods and services adopted under the EPA has accommodated less
extensive liberalisation within Caribbean states over longer periods than that of the EU. This is
most evident in the terms governing market access to CARIFORUM goods whereby the EU
liberalised all eligible imports as at January 1, 2008. The region, on the other hand, was
granted up to 25 years to liberalise much of its European tariff structure and special
exclusions were made on the importation of “sensitive” areas such as utilities, agricultural and
processed agricultural products and furniture. This period should be viewed as a chance for
Caribbean states to critically assess fiscal arrangements and make the necessary
preparations including the implementation of adequate tax reforms in order to reduce the
potential negative structural and economic fallout which accompanies a drastic change in
policy. Analysis revealed intonations of immediacy and un-avoidance (‘need’, ‘have to’,
‘imperative’) where the response to imminent change in itself holds potential.
The statement by Hamilton which suggests that the regional systems are not prepared-
through their institutionalised lethargy or failure- and will require a great deal of transformation
is that she sees the EPA as “another opportunity to get our house in order”. This intimates that
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17. the current policies, the capacity and efficiency in monitoring and collection, and training
programmes etc. are and have been lacking. The region will now be forced by the agreement
to fulfil a responsibility to itself which should have been previously addressed.
During the interview with Miss Harris she stated that “we have to have better control in respect
of customs and immigration” and that she was “worried about what it will mean in terms of
goods”. She further stated:
“It means far more monitoring. We been used to so much compromise
and hustling that that is going to leave the door open for all manner of
things.”
In both interviews an emphasis was placed on the need for restructuring the control
mechanisms in place, and retooling and reinvesting in equipment and training in the customs
and revenue agencies as well as the bodies, such as Jamaica’s Bureau of Standards, which
are mandated to stipulate and monitor the quality and safety of goods imported and exported.
Professor Brown in responding to the question on what steps should be taken to overcome
any weaknesses she perceived also indicated that the region’s governments had the
opportunity ahead of full implementation to asses the “institutional investments”.
The EPA Protocol on Cultural Cooperation goes well beyond the terms of Cotonou which was
limited to cooperation in cultural development to implementing a system of free trade in
cultural and entertainment services. The EPA has successfully liberalized services which
include the tourism sector, contract service providers and the movement of independent
professionals. There are further commitments to what Humphrey terms as “mutual recognition
of qualifications”.
These provisions are of contrasting importance in regional development. Firstly, it allows for
the free movement of artists and practitioners in music, dance, theatre, visual arts and access
and market access areas such as audiovisual production which has the potential to expand
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18. the entertainment industry exponentially. This will mean an increase in employment in the
sector, exposure to foreign audiences and new technologies, highlighting the region’s dynamic
culture and enhancing its influence in global culture and an expected increase in export
earnings from entertainment as a combination of all these factors. However, as pointed out by
Brown, many of the possible positive implications for Caribbean development under the EPA
are premised on “best-endeavour clauses” with which she sees as being “vague” and “diluted”
when compared to “clear and precise” rules on an equally involved process such as
“dismantling” of barriers to trade. She also stated “I wouldn’t have minded changing those a
bit.”
The terms and conditions of these ‘commitments’ having not been as clearly outlined and
indisputably stated as the timelines and responsibilities of states in the removal of tariffs may
suggest that Caribbean cultural industries may in fact be met with difficulties in exploiting this
perceived opening. Qualifications and the recognition of these are highly subjective concepts.
That which adequately qualifies, or fails to, an artist in Trinidad is most likely to differ from that
which qualifies him in France. Culturally-speaking, and returning to the UNDP definition of
development, it is the value which the society or community places on the arts and art-form
which validates his contribution and any project in creating guidelines to assess capability.
Hence, Caribbean cultural entrepreneurs could face non-tariff barriers within the European
services market including the denial of entry. How does one certify a Destra? A Rupee? A
Beenie Man? It does not prove to be an easy question to answer. According to Harris the
Caribbean “will have to look at how to define what our space is in the global agenda…at our
university courses, see how they compare with sister countries elsewhere and to see from
those comparisons how you fit in to the changed marketplace in respect of what you
produce…”These persons could become constrained within repressive, hegemonic
perspectives to which regional talent may become forced to subscribe which undermine
‘contextuality’ of human development.
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19. One must also acknowledge the negative spin-offs of the free movement of professionals and
talents who gain access- and acceptance- in Europe. The Caribbean is currently facing a
‘brain-drain’ of crisis proportions. The much-discussed shortage of medical professionals,
teachers etc. may be further aggravated and with the added dimension of ‘talent-drain’ would
have what may be seen as an unintended effect in hindering regional development. The best
and brightest could essentially be unavailable to build and promote the countries of the region
over the next 25 years.
Engendering Efficiency and Competitiveness
Within this transition period, new opportunities also present themselves through the
diversification within traditional areas of production. As previously indicated, market
economics places a higher value of finished, manufactured goods and knowledge-based
sectors such as Information Technology than on the raw materials used during the process.
Miss Harris indicated that the Caribbean will benefit from the EPA as it would encourage the
exploration of new exports as well as the potential to utilise development funds promised
under the agreement in skills and technical training.
Interviewer: Okay. How do you believe the Caribbean, and in particular Jamaica,
will benefit from the EPA?
Interviewee: From the development aspects of the EPAs. I believe that the value-
added that we need to put on our crops now meaning our primary- like
with sugar and what we are doing with ethanol- and the whole
changing energy atmosphere that we are in now and also in respect
of how our people can develop personally in terms of skills and
opportunities that can present themselves.
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20. In the analysis of Humphrey’s text this diversification discourse also indicated that there were
“classic disadvantages of relying on the exports of one or two primary agricultural products”. It
is therefore understood that whether or not the EPA was precipitated by the WTO ruling on
the incompatibility of market preference to international trade which is referenced by the
interdiscursive elements of paradigm-shifts and the requirement to meet changing global
realities, Caribbean producers would have to face the impracticality and weakness of pursuing
such a narrow path which has contributed to the region’s “state of survival poverty” (Beckford
1986; Manley 1986).
Interviewer: What are the potential negative effects on Caribbean development
that you have perceived?
Interviewee: I found people have always thought there is an export market and
there is a domestic market. And people have always thought that if
you are small you stick to the domestic market because that is where
you can survive. There is no domestic market or international market
there is one world market. And you can be displaced wherever you
are.
The focus of the post-colonial era has remained entrenched in the ideology of smallness and
as such it has sustained socio-political and economic self-constraints. The EPA should
therefore revolutionise modes of production but also the attitudes and philosophy which have
imposed limits and replace it with one geared towards viability, developing the capacity to
compete at any level and finally thriving rather than surviving.
Evidence supports the view that this economic overhaul will present a challenge but not an
insurmountable one (Commonwealth Secretariat 1997).
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21. Development Assistance
The Caribbean is among the most heavily indebted regions in the world. Limited financial
resources, and the region’s long relationship with lending agencies such as the World Bank
which has left us nursing substantial debt-servicing commitments, have restricted regional
governments in making adequate investments in social and institutional development. As
such, the EPA debates have highlighted development cooperation and assistance as the most
beneficial aspect of the negotiations. Europe, under the European Development Fund (EDF)
and Aid-for-Trade programme, is expected to provide financial assistance to regional
governments towards tax reform, marketing the region, enhancing productive capacity among
other areas.
Humphrey’s treatment of issues of social development support, reflect the broader handling of
the areas of development under the EPA that will be of concern to the most vulnerable
elements of society and contribute to everyday life. His only indication to the funding of
projects such as community empowerment programmes which may potentially stem urban
decay and have a positive impact in reducing the rates of violent crimes which have
skyrocketed in Jamaica, Guyana, Trinidad and increased in countries such as St. Vincent,
was “CARIFORUM was insistent that while supporting the implementation of this Agreement
shall be one of the priorities…these should not be the only sources of EPA-related support.”
The emphasis placed on the importance of the interconnectedness of the development
discourse and the free trade discourse within the EPA negotiations themselves may be seen
as unsubstantiated as the negotiators were neither clear on the conditions nor made any
meaningful, detailed statement on a programme of funding social development and thereby
mitigating the negative effects on societies, communities and individuals.
Interviewer: What are the strengths, if any, of the EPA which was initialled in
December 2007?
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22. Interviewee: It does come along with the ongoing development assistance in
the Cotonou Agreement- the development chapter of Cotonou. I
don’t know how much additional assistance there will be despite
all that is said. There will be assistance for those things which
the European Union has particular interest in such as tax reform,
customs and customs reform. Because those are the things they
want us to do. They make offers on security too because it
benefits them through their overseas territories, but it is not
embedded in the agreement.
The data collected therefore supports the view at the start of this discussion that free trade
must be seen for what it truly is- a tool which is most beneficially utilised by large,
industrialised economies and the search for new markets underlies the efforts to inculcate free
trade practices in the South. Development assistance representing only a small fraction of
projected European earnings- particularly financial aid- must be viewed as the most basic of
sweeteners in the EPA deal. A great deal of emphasis, as illustrated, is not placed on these
provisions as it is not of primary concern to the dominant actors in the international political
economy. Research also revealed that funding of the EDF is undertaken by the EU as best as
it can and there exists some confusion with how funding will be allocated to the region. The
reality is that Caribbean states may come away with much less in practice than they would
have appeared to have received on paper.
Interviewee: I know that we have been doing some training. I know within the
joint-Parliamentary Assembly we asked for more support to
come to our countries to do more training for our people so that
we wouldn’t face sanctions. Because part of that difficulty too is
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23. the new nations which are coming into the EU they are pulling
up on all the EU Development Funds which is making it harder
for us to have it. So anything that’s not used get’s cut down.
Interviewer: It goes back?
Interviewee: No no. It gets cut down
Interviewer: For the next year?
Interviewee: No it gets reduced and then they take off a portion and keep it
within EU. So that’s really what is happening. It makes it harder
for us to come in because of procurement guidelines,
registration of persons as contractors or providing professional
services, certification…all of those matters we will have to look
at now.
The Un-sustainability of EPA Development
Concerns surrounding the possibility of dumping of cheap European imports on local markets
have occupied a central place in the EPA dialogue. Europe has enjoyed a high level of output
for some time due to its technological advances and government subsidies under the EU
Common Agricultural Policy (CAP).
On the issue of negative effect of the EPA on Caribbean development an interviewee stated:
“Ahm…I believe that you will find there are certain types of small
businesses going out of business too as they are having more difficulties.
Remember that this agreement is going to sooner or later bring far more
European products into our market. It’s a reciprocal agreement. It’s the kind
Page 23 of 34

24. of agreement which eventually becomes reciprocal. So it some of our
businesses are not terribly efficient at what they do- we have a large
number of very small businesses that cannot even manage to export to
CARICOM.”
The collapse of specific industries such as sugar is a distinct possibility as actors may opt or
be forced to close operations when faced with direct competition from cheaper European
produce. The neo-liberal prescription posited as the solution to this problem- comparative
advantage- also poses a devastating threat to local industry. Comparative advantage
preferences specialisation in those areas where producers exhibit market dominance and
enjoy greater competitiveness. This theory, upon critique, represents another attempt to apply
the policies which succeeded in the global North to the South irrespective of its special
circumstances and divergent experiences.
The potential de-industrialisation of Caribbean economies within this difficult environment
would compromise rather than enhance regional economic growth and viability.
The Caribbean economies have the potential to become increasingly dependent on FDI and
utilized as mere processing zones as the bulk of support is expected to be channelled into
encouraging investment and enhancing economic capacity in the short to medium term. In an
environment where ‘hot money’ or temporary injections into an economy are commonplace,
the EPA may stimulate unsustainable ‘hyper-growth’ which produces dependence climate
economic instability. In the event that investments stimulated are no longer available-
investors opt to relocate in search of lower costs and so on- economic decline may pose
serious threats. Particularly where one considers the limited financial obligations made to
facilitate and assist with a programme of social development in areas such as education and
technology which are seen as the engines of growth. The sustainability of development under
the EPA is subject to a great deal of speculation.
Page 24 of 34

25. The International Confederation of Free Trade Unions (ICFTU) has also consistently criticized
the region’s governments for embarking on a “race to the bottom to attract foreign investors”
and argues that “the cost of a worker hired under the flexible terms that prevail today is
cheaper than the cost of buying, maintaining and disciplining slaves” during the region’s early
history.7 The EPA is likely to further marginalise the regions workers under conditions of low
wages which, in fact, has been used as a dubious marketing strategy by some Caribbean
heads of government8. As such, what is being proposed is a temporary and incomplete boost
to regional economies met with very little socio-economic gain or capabilities enhancement
within local communities.
Socio-economic Instability
As a result of the limited income-earning options available to the small economies of the
region, countries have become dependent on revenue earned from taxation which includes
import tariffs. Caribbean states “rely more heavily on foreign trade as a source of revenue via
import duties and licenses than their hemispheric neighbours” (Serbin and Bryan 1996:123).
These states will be forced to increase the levels of domestic taxation. In responding to the
question “What are the weaknesses, if any, of the EPA which was initialled in December
2007”, the interviewee posited that several aspects of the agreement and negotiations- the
vast differences in size between the parties and late preparation to name a few- concluded
that these weaknesses would increase the burden on domestic consumers:
“Our taxes are going to go up (nod). Tax internally (pause). Domestic taxes are
going to go up significantly (emphasis). Cost of living”
7 Fifteenth Continental Conference, International Confederation of Free Trade Unions, http://www.orit-ciosl.org/debate/basedoc.html, July 4, 2002.
8 Jamaica Prime Minister Bruce Golding emphasised in talks with the European Investment Bank (EIB) that European firms would “benefit from lower wage
rates” by relocating their operations to the Caribbean in Myers, The Daily Gleaner, 1 February, 2008.
Page 25 of 34

26. This will further constrain regional governments’ ability to provide social welfare services, and
necessary infrastructure. It is believed that a backlash in the face of socio-economic hardship
is imminent in Jamaica and across the wider Caribbean. The interview also introduced the
discourse of resistance (‘riots’, ‘frustration’) which has been examined in previous scholarship
by Bryan. He states, “further impoverishment of the masses through the fiscal inability of
governments could have dire consequences” (Bryan 1995).
Undermining Caribbean Institutions
The ongoing disagreement on various aspects of institutional strengthening within CARICOM
and the implementation of the CSME has brought regional governments to a virtual stand-still.
As Girvan points out, the decisions on EPA trade matters to be taken by the joint
CARIFORUM-EC Council are ‘binding on the Parties’ which ‘shall take all measures
necessary to implement them’. He contends that it endows the body with “greater legal
powers over member states than the Conference of Heads of Government of CARICOM,
CARICOM’s Council for Trade and Economic Development (COTED) or any other organ of
the Caribbean Community established by the Revised Treaty of Chaguaramas” (Girvan 2008).
It is commonplace in trade agreements that bodies such as the Council administer the
implementation of “dynamic” international agreements. However, it is the spirit of the
commitment which contravenes the regional process. CARIFORUM undertook an initiative
which regional Heads of Government are yet to agree upon. The study revealed they are
“signing away a lot of their ability to maintain that control.”
Also despite the direct involvement of the CRNM in the negotiation process, CARICOM and
other regional institutions will play no part in the implementation and monitoring of the trade
and development partnership it having been agreed with CARIFORUM. From a legal
standpoint CARIFORUM has not been institutionalised. It has often been aligned to
CARICOM and functioned through that mechanism. However, under the terms of the
Page 26 of 34

27. agreement the, CARICOM institutions such as the Caribbean Court of Justice (CCJ) will have
very little input into the way in which the relationship with the EU proceeds. The EU, however,
has the necessary institutional capacity to exert such influence as to secure its interest as a
group.
The data collected revealed a distinct emphasis on the need for leadership at the domestic
and regional levels from governments, organisation and civil society in ensuring that the
development of the Caribbean is given priority. Research spoke to “deliberate, proactive
policies and strategies” (Hamiltion), “quality of leadership” (Interviewee).
Coupled with the loss of momentum in finalising regional commitments due to lengthy
negotiations, the non-completion of regional arrangements prior to establishing external
linkages calls into question the commitment of regional government’s. The region’s stated
goals of unity, common action and integration may be illustrated through the joint negotiation
of the EPA vis-à-vis the CRNM. According to Byron and Lewis, the CARIFORUM proved
“disarticulate” in a negotiation process which lacked transparency for much of the region’s
stakeholders (Byron and Lewis 2007). The sheer difficulty in accessing draft texts of the
agreement up to this point and limited public consultations also contributed to a distinctively
un-integrated process for Caribbean people who will be expected to ‘own’ the EPA.
Conclusion
Perhaps the most telling utterance in this study came towards the end of the interview with
one UWI academic who was contrite in stating:
“…while I feel that some liberalisation is necessary, I am- I am not sure I
think complete trade liberalisation in very unequal circumstances is
necessarily thing for our economies. I am not certain that I think
globalisation (emphasis) is the best thing for everybody. Because I think
that it will benefit some parts of the world and some size economies more
Page 27 of 34

28. than others. But I don’t think it’s something that automatically benefits
everybody. And I think that our countries need to be able to retain some
control over their parliaments and over their development process, and
they’re signing away a lot of their ability to maintain that control. So if they
want to do something to nurture a particular sector or to preserve an
environmental…they would have signed away that. Probably unknowingly
because they would not have envisaged that this situation would arise at
some time. But these situations do arise.
And so there are possible benefits but they are not automatic and maybe
100% trade liberalisation is not really the best thing, what is interesting is to
see the debates on trade liberalisation in countries that formerly used to
benefit from it. For instance, the United States is no longer as rosy; it
doesn’t look through rose coloured spectacles at globalisation in the same
was as it used to. Because all of a sudden is on the scene and China is
reaping greater benefits and other players are more competitive in certain
sectors and you see people backing off from globalisation very fast.
So that’s when you realise that we’re fed a lot of- there’s a lot of
propaganda that we are fed to make us go along with things. That doesn’t
mean that it is the only truth that exists. It is somebody’s truth (emphasis)
because they want it to be the truth- it doesn’t have to be our truth (with
sarcasm).”
It is in international trade agreements and economy that self-interest is often most clearly
noted among states. The view of the developed world as benevolent and pacts as
partnerships is utopian at best and manipulation at worst.
Page 28 of 34

29. The development discourse is fraught with claims and counter-claims regarding the role of
free trade and the market in promoting and sustaining meaningful growth. Simply put, it has
not been proven that liberal trade by itself stimulates the kind of development which trickles
down to the majority and creates more options for empowerment and improves access to
these options on a large scale. However, there have been few studies done which disprove
the opinion that the economies of SIDS and LDCs pay a high cost for DFQF market access.
There have been even fewer qualitative studies undertaken to examine the social effects. It is
proposed by the findings of this study that Sen’s conceptualisation of development in
facilitating the ‘freedom’ of the smallest actors and marginalised peoples (Sen 1999) does not
find its way to the negotiating table. That the terms and conditions of development cooperation
embodied in agreements including the EPA focus primarily on markets, profit, production and
not enough on those areas which benefit people- health, housing, training and education, food
security and the environment.
The discourses surrounding EPAs highlighted above have been dominated by the
industrialised states in Europe and North America in terms of influencing the outcomes
(power). They also point to the Westernisation of development and the ‘othering’ of weaker
states. The trade paradigm has shifted according to the aims and circumstances of more
powerful economic actors. The paradigm shift has necessitated the negotiation of space-
uncomfortable and insufficient as it may be- by the ‘out-group’ of LDCs within the political
economy.
The specific discourse on the impact of the EPA on Caribbean development is firmly rooted in
conjecture at this point. The certainty with which its negotiators- Falkenburg, Bernal, Lodge
and Humphrey – have predicted the benefit is distinctly pitted against the thought observed
amongst the majority of Caribbean stakeholders’ inability to conceive of it as such particularly
within the current environment. This uncertainty has spurred the region into action and
Page 29 of 34

30. recently greater attention has been paid within regional Houses of Parliament, amongst
private sector representatives, training and accreditation agencies, within the academy as well
as at the grassroots to the EPA; what it could mean and how to prepare for the outcomes- be
they good or bad. One could say this is the positive impact noted.
Deliberate and integrated effort having previously proven elusive within the region, the EPA
may unite the region out of fear from threat. A compromise between the arguments has been
noted- the EPA may not have been ideal for the region at this time but it was required by more
influential global realities including the ideological shift towards free trade. We have also noted
that there will be ill-effects at the domestic level with increase in taxation and suppression of
wages, the collapse of local businesses and the inability of governments to reinvest in social
welfare due to financial constraints. However, there are potential benefits- but they are not
“automatic”. The most significant possibility of the EPA for Caribbean development, as a
result, is believed to be possibility itself.
Page 30 of 34

31. References
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Siftung, 1986
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Neuendorf, Kimberly. The Content Analysis Guidebook, Thousand Oaks: Sage Publishing,
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32. Nussbaum, Martha. Women and Human Development: The Capabilities Approach, New York:
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33. Internet Sources
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