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Title: Implications of a Customs Union for Mauritius discussed in Port Louis
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(Date Posted:03/03/2009 10:48:20)

Mauritius wants to stay in both SADC and COMESA and it is inconceivable to make the painful choice of staying in one economic bloc and withdrawing from another, stated the Secretary for Foreign Affairs, Ambassador A.P. Neewoor, on March 02, while opening a brainstorming session at the Sir Harilal Vaghjee Hall in Port Louis.

Ambassador Neewoor underlined the need to think creatively on an appropriate model of Customs Union that will maintain linkages with SADC and COMESA.  He also said that Mauritius has inherited a larger market of around 530 million people and a combined GDP of about US $361 billion by joining SADC and COMESA.

Mauritius has put a lot of its political capital in advancing the market integration agenda of both SADC and COMESA and has completed the process of a Free Trade Area (FTA) in both these regional blocs, added Ambassador Neewoor.  According to him, while the consolidation of the two FTAs is still under process there is now a move within SADC and COMESA to shift to the next phase of economic integration which is the Customs Union.  “It is here where matters get complicated”, he further stated.

For his part, the Chairman of the Mauritius Chamber of Commerce and Industry, Mr. A. Parkar, said that the decision of the Tripartite Summit between COMESA, SADC and the EAC (East African Community) in October 2008 to set up of a free trade area among the three regions with the ultimate objective of achieving one single customs union is judicious.  It will ensure that the region remains united and that countries do not have the difficult decision of choosing which Customs Union to belong to and the benefits already acquired in terms of preferential market access under the various trade agreements are not lost as we go into deeper regional integration, he added.

The theme of the brainstorming session was Implications of a Customs Union for Mauritius and had as objective to enable stakeholders, both from the public and private sectors, to understand the intricacies of the Customs Union and to be able to take informed decision on Mauritius’ stand on the issue.  Moreover, a presentation was made by Mr. Mathew Stern consultant at Development Network Africa. 

The presentation focused on the regional integration process, that is, the Preferential Trading Arrangement, the Free Trade Area, and the Customs Union process; technical issues to be addressed in the formation of a Customs Union; realities in the region, that is, members having dual membership of SADC and COMESA; likely implications and challenges for Mauritius; and, the tripartite initiative of SADC-COMESA and EAC.


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