The Nation Newspaper

Tag: EU

  • ‘Nigeria’s problem with ECOWAS, EU deal self-inflicted’

    The noise over perceived negative effects of the Economic Partnership Agreement (EPA) between the European Union (EU) and ECOWAS (Economic Community of West African States) on the Nigerian economy particularly the manufacturing sector is self-inflicted because Nigeria failed to do what it ought to do during the negotiations, T. Ademola Oyejide, Emeritus Professor of Economics, University of Ibadan, has said.

    The EPA is an EU-sponsored Free Trade Agreement (FTA) designed to create free trade area between the EU and Africa, Caribbean and Pacific (ACP) countries, in which duties on goods imported and exported between the parties are reduced and eventually removed.

    The goals of EPA are to promote economic growth and development, reduce poverty in the partnering countries, expand and diversify trade and increase domestic and foreign investment. However, manufacturers have been literarily up in arms, insisting that the EPA would hurt the economy and the manufacturing sector in particular.

    Citing Nigeria’s weak manufacturing base caused by lack of supportive infrastructure and hash operating environment, manufacturers consistently opposed the endorsement of the deal. Their argument is that if Nigeria signs the agreement most industries will close down, as local manufacturers cannot compete favourably with goods from Europe and other developed economies.

    But Prof Oyejide said Nigeria did not do what it ought to do as far as EPA negotiations are concerned. “The negative impacts were known prior to negotiations, but there were gaps in Nigeria’s preparations for and actual negotiation of the EPA,” Oyejide, who is also Chairman, Centre for Trade and Development Initiative (CTDi), Ibadan, said.

    Prof. Oyejide who spoke on the sideline of the 44th Annual General Meeting (AGM) of Apapa Branch, Manufacturers Association of Nigeria (MAN), said the negative effects of the EPA that Nigeria is talking about now were well known prior to the negotiations in 2004.

    According to him, several studies commissioned by the EU showed the negative effects of the partnership agreement, and Nigeria never raised any issues regarding them until Ghana and Cote d’Ivoire ratified the deal.

    The EPA negotiations between EU and ECOWAS took off in August 2004, but the most important milestone was the adoption by ECOWAS of a Common External Tariff (CET) on October 25. After one round only of post-CET discussions, negotiations were concluded in February 2014 in Ghana.

  • UN, AU, EU raise alarm on Burundi crisis

    The United Nations, African Union and European Union warned on Thursday that political division in Burundi threatened to create a deep and violent regional crisis and called on both sides to meet for mediated talks.

    “Alarmed by the widening divisions, the threat for many more lives and a deep regional crisis, we pledged to work closely together and to mobilise all our means and instruments to prevent a further deterioration of the situation,” Reuters quoted senior officials of the three bodies as saying in a joint statement.

    UN Deputy Secretary-General, Jan Eliasson, who met EU foreign policy, chief Federica Mogherini and African Union Commission chair, Nkosazana Dlamini Zuma, at an EU-Africa summit on Malta, told Reuters that the institutions were not setting deadlines for talks but wanted to “raise the level of concern.”

    In their statement, they spoke of the “urgency” of a meeting between President Pierre Nkurunziza’s government and the opposition, either in Addis Ababa, where the AU is based, or in the Ugandan capital Kampala, where President Yoweri Museveni would chair talks. “No effort can be spared to achieve an end to the violence and to foster a political solution.”

    The statement was released four hours before the UN Security Council was due to vote on a French-drafted resolution that would ask UN Secretary-General, Ban Ki-moon, to report back on options for boosting the UN presence in Burundi.

  • Two million voters disenfranchised, says EU report

    Two million voters disenfranchised, says EU report

    The Speaker of the House of Representatives, Rt. Hon. Yakubu Dogara, has disclosed that the fourth constitution amendment bill would be re-transmitted to the president for assent.

    The Speaker spoke when he received the report of the 2015 Elections European Union Observer Mission in Nigeria from the Chief Observer, Mr. Santiago Fisas, in his office.

    He said the constitution alteration bill was forwarded to former president Goodluck Jonathan, adding that it was not assented to before he left office.

    Dogara said, the bill was still very much alive in the National Assembly as both chambers have provided savings for such legislation after amending their standing rules and that they will not commence afresh.

    “I wish to inform you that some of the recommendations by the Mission such as independent candidature has received the support of the National Assembly,” he said.

    Dogara told the EU delegation that the 4th Constitution Alteration Bill in the 7th Assembly, not only approved independent candidacy but was also supported by overwhelming vote of 2/3 majority of the State Houses of Assembly in Nigeria.

    He however, regretted that “it is one of the casualties of the non signing of the Bill by the former President. I want to assure you that we will definitely revisit that amendment as it increases the democratic space and more citizen participation in the electoral Process.”

    Nigeria, according to the Speaker, “is committed to the growing of a robust democracy that not only meets domestic aspirations but indeed that which stands the test of International best practices in a world that has been reduced into a global village.”

    He commended the EU for supporting the growth of democracy in Nigeria, especially through the committed participation of its Observation Mission in Nigeria’s 2015 General Elections.

  • EU issues ultimatum on contaminated foods

    EU issues ultimatum on contaminated foods

    The European Union (EU) has handed Nigeria a June 2016 deadline to put a system in place to reduce exported pesticide contaminated food products or export rejection.

    The Director General of National Agency for Food Drug Administration and Control (NAFDAC), Dr. Paul Orhii, disclosed this in Abuja when the Comptroller General of Nigerian Customs Service (NCS), Col Hameed Ali (retd), visited the NAFDAC office in Abuja.

    The NAFDAC boss explained that Nigerian food products are rejected at the international market because of their high pesticide residue, which actually is what Nigerians consume at home.

    According to him: “This high pesticide residue could explain the increased level of cancers, kidney failures and different other diseases in the country.

    “The agency will henceforth deploy mobile laboratories that will go from farm to farm and markets to identify at what point the contaminants get into the food products.”

    He also stated that the agency will try to put a system in place so the products are tested by NCS before they leave Nigerian shores for the international markets.

    Orhii said: “When we came in, Nigerian cocoa beans were being rejected at the international market because of pesticides residue but we held workshops with cocoa growers in Akure and since then, our cocoa exports have improved.”

  • Germany to speed up asylum process

    Germany has unveiled plans to speed up the asylum process, after the governing coalition resolved a rift on the issue.

    Chancellor Angela Merkel said they would create up to five special centres for asylum-seekers deemed to have little chance of staying.

    Mrs. Merkel’s Christian Democrats and junior coalition partners the Social Democrats have quarrelled for weeks over the issue, the BBC reports.

    Germany said it expects to receive at least 800,000 asylum seekers this year.

    Earlier, the European Commission said that three million migrants were likely to arrive in Europe by the end of 2017.

    The huge influx of asylum seekers has caused political turmoil across the European Union with member states disagreeing about how to deal with the crisis.

    “We took a good and important step forward,” said Mrs. Merkel, whose open-door refugee policy has come in for strong criticism in Germany.

    The five special centres would hold migrants from countries deemed safe, those barred from re-entering Germany, and those refusing to co-operate.

    In an accelerated asylum process, cases could be heard in a week, not months, and appeals would take only a further two weeks. Most could expect to be deported.

    At a news conference, Mrs. Merkel and Social Democrat leader Sigmar Gabriel also stressed the importance of tackling the reasons causing people to flee their countries and of securing the EU’s external borders.

    The United Nations said the onset of bad weather has failed to stem the flow of migrants risking perilous sea journeys to Europe.

  • We’ve no offensive economic agenda, says EU envoy against Nigeria, says envoy

    We’ve no offensive economic agenda, says EU envoy against Nigeria, says envoy

    • €6.5 billion trade development grant coming 

    The European Union (EU) has no offensive economic agenda against Nigeria on the implementation of the Economic Partnership Agreement (EPA) between the EU and West Africa, the EU Ambassador/Head of Delegation to Nigeria & ECOWAS Ambassador, Micheal Arrion has said.

    Rather, the EU’s mission in Nigeria and West Africa, he said, is to ensure the advancement of the sub-region as well as the enhancement of the competitiveness of its various economic segments.

    Arrion made the clarification in Lagos while announcing the fourth EU-Nigeria Business Forum (EUNBF) with the theme Unlocking Opportunities for Diversification.

    The EPA seeks to create a Free Trade Area (FTA) between the EU and the African, Caribbean and Pacific Group of states (ACP). Under the scheme, the EU would immediately offer the 15-member ECOWAS and a non-member state, Mauritania, full access to its markets. In return, ECOWAS would gradually open up 75 per cent of its markets – with their 300 million consumers – to Europe over a 20-year period.

    But the EPA has been largely criticised by some members of the business community particularly manufacturers who raised concerns over perceived potential negative impact of the deal on the nation’s industrial sector if certain products were allowed tariff-free entry into the Nigerian market. The thinking was that the EPA would not be in the overall interest of the Nigerian economy over the long term.

    But the EU envoy noted that most of the arguments against the EPA were wrong, bordering on emotions than facts. He said in pushing for EPA, investors from EU’s 28-member states see Nigeria as a place they can invest and so had no hidden agenda whatsoever. “We have no offensive agenda for Nigeria because we believe that Nigeria and ECOWAS are very important places where European or other non-European businesses could invest because there is enough room for investment,” he said.

    Arrion, however, assured that in investing in Nigeria and other ECOWAS member states, the EU would not invade the West African market with products that could compete with domestic products which Nigeria and other countries in the region would be producing, pointing out that the EU has removed all its export subsidies to the West African market.

    Arrion stressed the importance of the EUNBF, which started in Lagos yesterday and ends tomorrow, noting that it would bring together business leaders and policy makers from both the public and private sectors in the EU and Nigeria to discuss business opportunities and impediments to investments. Specific sessions have been designed to address obstacles to the effective development of the agricultural value chain and the opportunities which exist in the framework of the EPA between the EU and West Africa.

    “The forum will aim to increase domestic and foreign investments particularly in agribusiness, in line with Nigeria government’s diversification efforts,” he explained, announcing €6.5billion financial trade related development assistance for Nigeria’s growth and development for every five years till 2035. He said the gesture was to demonstrate the EU’s strong belief and confidence in the Nigerian market.

    “Every five years, we are committed to giving grants and development assistance. The EU and its 28 member states have agreed to give a minimum of €6.5billion for every five years. We are very comfortable to provide this development assistance,” he said, adding that since 2012, EUNBF, a collaborative effort of the EU and its member states in Nigeria, has served as a platform for private sector participants to gather essential market information, identify business opportunities and connect with key players.

    Noting that EU’s economic relations with Nigeria have been robust, with the EU being the top destination for Nigeria’s oil and non-oil exports, Arrion said the volume of trade between Nigeria and EU stood at €34.4billion in 2013, accounting for 29.6 per cent of Nigeria’s total trade in that year.

    He stated that the forum will build on these strong relations to deepen understanding of the role that EPA can play in supporting the diversification of Nigeria’s economy. “It will also strengthen EU-Nigeria business relations through identification of opportunities in agribusiness and forging of partnerships, while also addressing bottlenecks related to the effective development of agribusiness in Nigeria,” he added.

    Arrion however, pointed out that many of Nigeria’s economic policies are at variance with the basic rules of ECOWAS trade operations in the sub-region. He said, for instance, that since January 2015 when the new ECOWAS Common External Tariff (CET) came into force, giving member states 14 months to comply, Nigeria is yet to comply in clear disregard for agreements and conventions of ECOWAS.

    “Nigeria is maintaining import bans against ECOWAS. You can do this outside ECOWAS but not within. You are part of the same community and bound by some rules relating to free movement of goods and people,” he stated.

  • Polio: EU commits N4b to immunisation in Nigeria

    Polio: EU commits N4b to immunisation in Nigeria

    THE European Union (EU) has spent N4 billion on the country’s immunisation programme for this year, it was learnt yesterday.

    The support came under the EU Support to Immunisation Governance in Nigeria (EU-SIGN).

    Training, Contracting Adviser and Procurement Expert for the EU-SIGN, Aminata Sidibe, explained that the support was part of EU’s determination to ensure that Nigeria overcome the disease and obtain the World Health Organisation’s (WHO) certification as a polio-free nation by 2017.

    Sidibe, who spoke at the Bi-annual Review Meeting of 23 states and the FCT, which benefited from the fund in Abuja, said: “The EU is committing €150 million into the programme. For this specific programme estimate, N4.3 billion has been committed.”

    Anna McAthur, director, CONSEIL SANTE, an organisation through which the EU funds the SIGN programme in Nigeria, said: “The EU-SIGN actually came in at real good time for Nigeria because we’ve just got to the elimination of polio, and we are working towards eradication of polio. Government has set up state primary health care agencies and has advisory body in each state.

    “It is good for Nigeria to strengthen its primary health care agencies and strengthen its immunisation, which will help to make polio eradication in Nigeria a success.”

    The Director of Department of Logistics and Health Commodities at the National Primary Health Care Development Agency, Dr. Mustapha Zubair Mahmud, said the nation must maintain the de-listing for the next two years to enable it get certification.

    “We must do all we can to maintain a polio-free country up to 2017, so that we are certified free of polio,” he said.

    Focal Person for the EU-SIGN in Nigeria Dr. Adamu Dawud said the highlight of the meeting was to re-emphasise on the nation’s routine immunisation.

    The WHO recently delisted Nigeria from the three polio-endemic nations. The others remaining are Afghanistan and Pakistan.

  • EU ban on Nigeria’s food exports: NAFDAC’s rescue measure

    EU ban on Nigeria’s food exports: NAFDAC’s rescue measure

    The recent ban on Nigeria‘s value-added agricultural exports to Europe hangs precariously like the sword of Damocles threatening to imperil our already battered economy. President Muhammadu Buhari‘s concerted efforts to restore the lost glory of agriculture as the mainstay of our economy faces a major obstacle from the suspension order by the European Union.

    In June this year, the EU placed a temporary ban on export of some food products such as beans, sesame seeds, melon seeds, dried fish, meat, pea nuts and palm oil. Even cocoa, cashew nuts and some other food products were rejected in Japan, USA and other countries on the ground of poor quality. The temporary ban which ends on 30th June 2016 may be extended by the European Union Commission if urgent and decisive actions are not taken by concerned government agencies. This is obviously bad news in the wake of decline in foreign exchange earnings from oil and tell-tale signs of economic recession.

    Political pundits have blamed the problem on international food politics by Western powers trying to undermine Nigeria‘s efforts to diversify her monolithic dependence on oil as source of foreign exchange earnings. Some quality control exports within the regulatory authorities believe that unscrupulous exporters of foods who circumvent quality control procedures put in place by NAFDAC, SON, and quarantine services contributed immensely to the avalanche of international rejections of foods exported from Nigeria to Europe and other countries.

    The international rejections were predicated on non adherence to global standards, presence of contaminants (mycotoxins and pesticide residues) poor packaging. NAFDAC‘s record showed that in the last two years, Nigerian food exported to European Union border suffered more than 50 rejections as a result of unacceptable level of pesticide dichlorvos contaminant contrary to European Food safety standard. It is estimated that Nigeria loses over $4billion annually from rejections of our non-oil exports at international markets. Poor quality and low standard of over 60% of our exported food products has denied Nigeria‘s inroad to the heavily untapped trillion dollar food product markets in Europe, America and Asia. This is apparently a gold mine which previous bad agricultural policies and lack of strong political will have prevented Nigeria from exploring.

    As Nigeria‘s leading Quality Control Authority, NAFDAC has risen to the challenge with the current move by its Director-General, Dr. Paul Orhii to deploy cutting-edge technology as part of the Federal Government‘s rescue package.

    Dr. Orhii is spearheading government’s intervention with a robust plan of acquiring 100 mobile motorised laboratories that will traverse remote farm and produce markets centres all over the country.

    The one-stop multi-purpose mobile laboratories will be deployed to all the 36 states of the federation and FCT, Abuja with special consideration for states with high volume of agricultural activities. The mobile laboratory testing will also encompass intensive training of farmers and produce marketers on food storage, packaging and other quality control issues.

    Apart from tackling headlong the problem of food contaminants, analysis of medicines and packaged water will also be undertaken by the mobile laboratories which Chinese state Food and Drug Authority had already deployed to revolutionise its control and regulation of food and pharmaceutical products. The proposed on the spot quality assessment and monitoring of value chain agricultural exports will boost quality of food consumed in Nigeria and also save us from the embarrassment of a permanent ban on our non-oil exports by a European Union and other countries next year.

    One may ask why is NAFDAC worried and avowedly committed to the deployment of new technologies to address frontally the issue of poor quality and standard militating against non-oil exports to international markets?

    NAFDAC has cause to be perturbed by scary and mind boggling statistical data revealing Nigeria as net importer of food products where the nation even has comparative advantage.

    In 2012, Nigeria imported N356billion worth of rice (N1billion daily), N271billion sugar and spent N50billion on importation of frozen fish when the country had capacity of producing and exporting N200billion worth of frozen fish.

    Nigeria spends a whopping sum of N11.7billion annually to import 65,809 tonnes of tomatoes and N168billion worth of fruits while Nigeria naturally should be one of the largest producers of citrus.

    This despicable and deplorable trend is what President Buhari has decided to reverse in order to restore production and export of value added agricultural products to its prestine position as number one foreign exchange earner to the nation before the discovery of oil in 1956. NAFDAC is equally conscious of the fact that President Buhari wants to use agriculture as a Trojan horse to jump start the economy. The desired outcome and multiplier effect of Mr. President‘s renewed agricultural transformation and revitalisation are multi-dimensional.

    In addition to the reversal of Nigeria‘s dependence on food imports, the twin problem of youth unemployment and mass poverty as well as food in security would have been addressed. We cannot also gloss over the ultimate quantum leap in our Gross Domestic Product (GDP).

    This is why the current effort of Dr. Orhii to acquire and deploy 100 mobile motorised laboratories to remote farm centres and produce markets in the 36 states of the federation and FCT Abuja must be supported overwhelmingly by the presidency, stake holders in agric-business and the Economic Management Team. A stitch in time saves nine as the clock of the one year European Union moratorium to address the issues of poor quality and standard confronting our non-oil exports is ticking.

    Jimoh is Director (Special Duties), NAFDAC

  • EU has no offensive economic agenda against Nigeria, says envoy

    EU has no offensive economic agenda against Nigeria, says envoy

    • €6.5 billion trade development grant coming 

    The European Union (EU) Ambassador/Head of Delegation to Nigeria & ECOWAS (Economic Community of West African States), Ambassador Michel Arrion, has said the EU has no offensive economic agenda against Nigeria on the implementation of the Economic Partnership Agreement (EPA) between the EU and West Africa.

    Rather, the EU’s mission in Nigeria and West Africa, he said, was to ensure the advancement of the sub-region as well as the enhancement of the competitiveness of its various economic segments.

    He made the clarification in Lagos while announcing the fourth EU-Nigeria Business Forum (EUNBF) with the theme Unlocking Opportunities for Diversification as its theme.

    The EPA seeks to create a Free Trade Area (FTA) between the EU and the African, Caribbean and Pacific Group of states (ACP). Under the scheme, the EU would immediately offer the 15-member ECOWAS and a non-member state, Mauritania, full access to its markets. In return, ECOWAS would gradually open up 75 per cent of its markets – with their 300 million consumers – to Europe over a 20-year period.

    But the EPA has been largely criticised by some members of the business community particularly manufacturers who raised concerns over perceived potential negative impact of the deal on the nation’s industrial sector if certain products were allowed tariff-free entry into the Nigerian market. The thinking was that the EPA would not be in the overall interest of the Nigerian economy over the long term.

    But the EU envoy noted that most of the arguments against the EPA were wrong, bordering on emotions than facts. He said in pushing for EPA, investors from EU’s 28-member states see Nigeria as a place they can invest and so had no hidden agenda whatsoever. “We have no offensive agenda for Nigeria because we believe that Nigeria and ECOWAS are very important places where European or other non-European businesses could invest because there is enough room for investment,” he said.

    Arrion however, assured that in investing in Nigeria and other ECOWAS member states, the EU would not invade the West African market with products that could compete with domestic products which Nigeria and other countries in the region would be producing, pointing out that the EU has removed all its export subsidies to the West African market.

    Arrion stressed the importance of the EUNBF, which holds in Lagos from November 5 and 7, noting that it would bring together business leaders and policy makers from both the public and private sectors in the EU and Nigeria to discuss business opportunities and impediments to investments. Specific sessions have been designed to address obstacles to the effective development of the agricultural value chain and the opportunities which exist in the framework of the EPA between the EU and West Africa.

    “The forum will aim to increase domestic and foreign investments particularly in agribusiness, in line with Nigeria government’s diversification efforts,” he explained, announcing €6.5billion financial trade related development assistance for Nigeria’s growth and development for every five years till 2035. He said the gesture was to demonstrate the EU’s strong belief and confidence in the Nigerian market.

    “Every five years, we are committed to giving grants and development assistance. The EU and its 28 member states have agreed to give a minimum of €6.5billion for every five years. We are very comfortable to provide this development assistance,” he said, adding that since 2012, EUNBF, a collaborative effort of the EU and its member states in Nigeria, has served as a platform for private sector participants to gather essential market information, identify business opportunities and connect with key players.

    Noting that EU’s economic relations with Nigeria have been robust, with the EU being the top destination for Nigeria’s oil and non-oil exports, Arrion said the volume of trade between Nigeria and EU stood at €34.4billion in 2013, accounting for 29.6 per cent of Nigeria’s total trade in that year.

    He stated that the forum will build on these strong relations to deepen understanding of the role that EPA can play in supporting the diversification of Nigeria’s economy. “It will also strengthen EU-Nigeria business relations through identification of opportunities in agribusiness and forging of partnerships, while also addressing bottlenecks related to the effective development of agribusiness in Nigeria,” he added.

    Ambassador Arrion however, pointed out that many of Nigeria’s economic policies are at variance with the basic rules of ECOWAS trade operations in the sub-region. He said, for instance, that since January 2015 when the new ECOWAS Common External Tariff (CET) came into force, giving member states 14 months to comply, Nigeria is yet to comply in clear disregard for agreements and conventions of ECOWAS.

    “Nigeria is maintaining import bans against ECOWAS. You can do this outside ECOWAS but not within. You are part of the same community and bound by some rules relating to free movement of goods and people,” he stated.

  • Migrant Balkan path blocked

    Tensions are building among thousands of migrants heading north through Balkan states as their route to Western Europe is stalled by new controls.

    Croatia had asked its northern neighbour Slovenia to accept 5,000 migrants daily, but Slovenia said it would only take half that number.

    The move has led to a build-up of people on Croatia’s border with Serbia.

    An official told the BBC that Croatia could run out of room in its transit camps within days.

    Buses crammed with people were backed up in Serbia on Sunday, and tempers flared between frustrated migrants and overstretched police officers.

    Overnight, many were forced to wait in the cold and the rain.

    Thousands of asylum seekers are travelling north through the Balkans, with most aiming to reach Austria, Germany and other European Union states.

    Hungary, citing security concerns, has closed its borders with Serbia and Croatia, forcing migrants to switch to a slower route via Slovenia.

    Explaining Slovenia’s new restrictions on Sunday, Interior Ministry State Secretary, Bostjan Sefic, said its northern neighbour Austria was only accepting a maximum of 1,500 people a day.

    He said that Slovenia “cannot accept unlimited numbers of migrants if we know that they cannot continue their journey.”