Joint Assembly of the Convention concluded between the African, Caribbean and Pacific States and the European Union (ACP-EU) - Resolutions adopted on sugar (ACP- EU/2131/97/fin.)

The ACP-EU Joint Assembly,

- meeting in Brussels from 17 to 20 March 1997,

- reaffirming its resolution on sugar adopted during the 23rd Session held in Luxembourg from 23 to 27 September 1996,

- recalling the resolution adopted in this regard by the 64th Session of the ACP Council held in Brussels from 13 to 15 November 1996,

A. stressing the importance to ACP signatory States of sugar exported to the EU under the Sugar Protocol and the Special Preferential Sugar (SPS) agreement and the contribution of their sugar industries to socio-economic development, the furtherance of democracy, good governance and political stability,

B. reiterating the ACP's commitment and ability to supply the EU raw cane sugar requirements under the terms and conditions of those agreements,

C. recalling the mutual benefit accruing to the contracting parties from these preferential trading agreements,

D. considering that the signatory States are rationalizing operations and have undertaken investment programmes to increase efficiency and competitiveness, optimise the use of by-products while ensuring compliance with environmental standards,

E. concerned that the EU's restrictive pricing policy has continued to adversely affect socio-economic development in the ACP sugar supplying States,

F. concerned also that there is still no commitment from the EU regarding assistance in alleviating the burden of the high cost of inland transport and ocean freight as well as the problems associated with inadequate off loading facilities at European ports of discharge,

G. noting with concern that sugar imported through the OCT has the potential of disrupting the delicate balance of the sugar regime and EU commitment in the WTO,

H. acknowledging that this matter should be treated separately from other ACP products imported through that channel,

1. Calls on the European Union to:

i)

acknowledge the importance of the sugar industries to the economies of the ACP States concerned and the contribution made to their socio-economic development;

ii)

ensure that the price offered for ACP sugar takes fully into account the socio-economic factors including the efforts at rationalization as highlighted in the annual memorandum on economic factors;

iii)

acknowledge that the ACP has demonstrated its ability to supply the EU's raw cane sugar requirements through the Protocol and Special Preferential Sugar Agreement and the mutual benefit derived therefrom by all the parties concerned;

iv)

take appropriate action to assist the ACP in alleviating the burden of high transport costs and the inadequate off loading facilities at European ports of discharge as highlighted in the findings of the 1992 sugar transport cost study;

v)

ensure that appropriate corrective measures are taken to prevent the importation of OCT sugar into the EU, while not affecting the ACP/OCT trade in other commodities;

2. Instructs its Co-Presidents to forward this resolution to the ACP-EU Council, the Commission and the signatory states of the Lomé Convention.