The Convention People’s Party (CPP) has added its voice to the call on the government to not sign the Economic Partnership Agreement (EPA) between the European Union (EU) and the African, Caribbean and Pacific (ACP) countries.
According to the party, the current EPAs were measures designed to dominate markets and control the productive resources of under-developed and post-colonial economies.
It added that signing the agreement could curtail development, impoverish economies and subordinate the economies of the ACP countries.
The Chairperson of the party, Ms Samia Nkrumah, made these observations when she addressed a press conference held at the party’s headquarters in Accra on Wednesday.
The conference, which coincided with the 42nd anniversary of the passing of Osagyefo Dr Kwame Nkrumah, was attended by representatives of the party and well-wishers.
It was also geared towards deliberating on the intricacies of the EPA and to brainstorm on measures to curtail its implementation.
The CPP’s position
According to Ms Nkrumah, the stance of the party to reject the EPA was born out of the challenge facing the country and Africa of achieving economic independence through industrialisation and agricultural modernisation.
She said what was of great importance to the continent was for it to grow its local industries to create employment, satisfy local demand and improve the living conditions of its people.
“If Ghana rejects the EPA, the country could still export at zero rates about 67 per cent of total export to the EU under the standard generalised system of preferences (GSP) or GSP+ and another five per cent under the most favoured nation (MFN) status. This means that 72 per cent of current exports will enter the EU market duty free. In effect, only 28 per cent will be subject to EU import tariffs,” she observed.
According to her, signing the EPA had the tendency to further de-industrialise the Ghanaian and West African economies, with its negative effects.
She, therefore, called on President John Dramani Mahama to conduct a comprehensive EPA impact assessment on the Ghana/ECOWAS economy, encompassing fiscal, industrial, agricultural and investment among other areas.
False hopes
Ms Nkrumah expressed disagreement with the prepositions advanced by some ministers and civil societies in support of signing the EPA.
She said in the absence of any EPA impact assessment on the Ghanaian economy, the perceived benefits for signing it could be dangerous.
“It is against this background that we agree with the Overseas Development Institute (ODI) study, which suggests that proponents of the EPA have failed so far to put forward a convincing argument in support of their case,” she said.
She observed that the EU’s proposal under the EPA to provide aid via the European Development Fund (EDF) to cover adjustment costs of implementing the EPA did not offer a solution towards the repercussions.
“Studies, including that of the World Bank, have shown that trade liberalisation beyond 65 per cent of the West African market will have a devastating effect on industry, in particular the manufacturing and agricultural sectors of the regional economy,” she added.
Commendation
Ms Nkrumah expressed the CPP’s appreciation to all civil society organisations and other bodies that had conducted various studies on the impact of the EPA on the country’s economy and that of ECOWAS.
The PNC, TUC’s perspective
In separate presentations advanced by the General Secretary of the People’s National Convention (PNC), Mr Bernard Mornah, and the acting Director of Research and Policy at the Trades Union Congress (TUC), Mr Prince Asafu-Adjaye, signing the agreement would be detrimental to the economic growth of the country, as well as ECOWAS.
They, therefore, called on the government not to put pen to paper to officiate the agreement, adding that the EPA was a threat to industrialisation and employment avenues in the country.
