EPA may force some countries to exit CFTA

Coordinator of the Third World Network Dr. Yao Graham

The Third World Network is warning that the African Continental Free Trade Area (CFTA) risks failing if African countries that signed the Economic Partnership Agreement (EPA) with the European Union(EU) do not renegotiate the terms.

The network, argued that African countries that have signed the EPA have already given so much to the European Union, making the CFTA ineffective before it starts.

The group also pointed out that a major participant, the UK, which has exited the EU will affect signatories of the EPA, hence the agreement must be reviewed.

Parliament last week ratified the CFTA framework agreement under an emergency sitting.

Speaking to Citi Business News, the coordinator of the Third World Network Dr. Yao Graham cautioned that some African countries may soon opt out if other nations do not renegotiate the EPA.

“We have argued that for us to have a CFTA which is meaningful for our people and also evolves in a way which win-win for everybody we should be doing more than we give to outsider,” he said.

Dr. Graham argued that it is time to reassess the EPA after the CFTA since its success will depend it.

“We should be asking questions whether in fact what we gave to third parties are justifiable. In the case of the EPA, Britain which is a major market for many African countries is leaving the EU, so the condition precedent which informed the negotiations and expectations have changed post the agreement in the light of Brexit. This is critical and it creates a situation where the EPA signatories should be demanding a renegotiation of the EPA,” he stressed.

Reacting to a question if it would be appropriate to renegotiate the EPA, Dr. Graham stated that partners in an agreement can always renegotiate once the precedent is altered.

Source: citibusinessnews.com