
The Economic Partnership Agreement for Eastern and Southern Africa (ESA) Council of Ministers has hit a deadlock over the implementation of the most favoured nation (MFN) clause, which is critical to the launch of the Comesa Customs Union (CU) slated for Sunday next week. ESA has stated that the MFN clause which favours certain developed Countries trading with COMESA member states be reviewed or excluded in its application to all developing Countries as it contravenes the World Trade Organisation rules that provide for South to South Cooperation. But Zambia’s Commerce and Industry Minister Felix Mutati has urged COMESA to unblock the deadlock on the conditions of the MFN clause if the Launch of the Customs Union was to succeed. Mr Mutati who is also the Chairperson of ESA was speaking in an Exclusive Interview with ZANIS in Zimbabwe’s Resort Town of Victoria Falls. He said the member states must unite and come up with a common stance that is comprehensive and support regional Integration. “Time has come for us to conclude and implement the Economic Partnership Agreement (EPA) as we have been discussing and far to long hence the need to conclude quickly to alleviate the Poverty levels in our various Countries” Said Mr. Mutati. He said Zambia’s exports to the European Union (EU) rose to US$5 billion , indicating the country’s significant economic development. Mr. Mutati called for the removal of all trade barriers between COMESA and the European Union. The European Union is the biggest importer of Zambia’s none traditional products, such as vegetables and flowers, hence the need to conclude the implementation of the Economic Partnership Agreement. Some Member States who are massively exporting to Asian Countries have strongly objected to the implementation of the MFN clause saying the MFN would injure the bilateral relationship exiting with these Countries. Others were agreeable to the implementation of the clause saying it would improve trade among the member states.[quote] Meanwhile Mr Mutati has revealed that a quarter of Zambia economic growth was as a result of the intra COMESA trade. He said COMESA was the bridge of the International Markets and urged member states to work towards achieving the regional integration through the Customs Union. He added that 70 % of Zambians growth was generated through exports with COMESA. 19 COMESA member states are expected to launch the CU on Sunday at a Summit under the theme Consolidating Regional Economic Integration Through Value Addition Trade and Food Security. ZANIS