Joint Assembly of the Convention concluded between the African, Caribbean and Pacific States and the European Union (ACP-EU) - Resolutions adopted on the impact of subsidized EU beef exports (ACP-EU/2135/97/fin.)

The ACP-EU Joint Assembly,

- meeting in Brussels from 17 to 20 March 1997,

A. recognising that the promotion of rural development and poverty alleviation has been a central objective of EU development policy in Southern Africa under successive Lomé Conventions,

B. recognising the importance of the livestock sector to the rural economies of Namibia, Botswana and Swaziland, and the central importance of the South African market for all sub-sectors of the cattle industry, particularly in Namibia,

C. commending the EU for the extensive development assistance which it has extended to the development of production and marketing of cattle and cattle products in Namibia, Botswana and Swaziland, which has contributed to improving rural incomes,

D. in the light of

- the tenfold increase in EU beef exports to South Africa since 1991,

- average landed prices for EU frozen boneless beef of Rand 2,66 per kg (which in 1996 was 51 % below the domestic South African wholesale price),

- the provision of export restitution payments of Rand 6,18 per kg on exports of EU frozen boneless beef to South Africa,

E. viewing with extreme concern the rapid expansion of EU beef exports to South Africa which benefit from extensive export refunds,

F. believing that this massive expansion of subsidised EU beef exports to South Africa has resulted in income losses to South African, Botswanan, Swaziland and Namibian cattle farmers totalling hundreds of millions of Rand,

G. believing that the application of the EU export restitution scheme for beef exports to South Africa constitutes a fundamental incoherence between EU development cooperation policy objectives in favour of rural development in livestock dependent economies and the current application of this particular instrument of the Common Agricultural Policy,

H. in the light of:

- the request of the South African government of 29 August 1996, for immediate reclassification out of eligibility for export restitution payments,

- the October 1996 appeal by the Meat Producers Association of Namibia to EU Foreign Ministers to end export subsidies on beef exports to South Africa,

- the recent appeal of the South African Minister of Agriculture to the EU President-in-Office for assistance in halting subsidised EU beef exports to South Africa,

1. Calls on the EU Council of Agricultural Ministers to instruct the appropriate departments of DG VI to take immediate steps to reclassify South Africa such that export restitution payments on EU beef exports to South Africa are ended;

2. Calls on the EU Development Council to take an immediate initiative to establish an ongoing dialogue with the EU Agricultural Council and appropriate departments of DG VI, to ensure that the application of the various instruments and mechanisms of the CAP do not undermine the promotion of the objectives of EU development cooperation policy in various regions of the developing world;

3. Calls for the Commission to draw up an annual report on the achievement of coherence between EU development policy objectives and the application of the various policy instruments of the CAP, with particular reference to cases involving appeals from developing countries;

4. Instructs its Co-Presidents to forward this resolution to the ACP-EU Council, to the Commission and the EU Agricultural Council.