CTO and regional bodies meet to discuss current negotiations on services

The Caribbean Tourism Organization (CTO) has been holding talks with strategic regional partners on the implications for the tourism sector of a series of trade negotiations which Caribbean member states are currently involved in and which deal with tourism services.

All CTO member states are involved in the World Trade Organization/ General Agreement in Trade in Services (WTO/GATS) and the Free Trade of the Americas (FTAA) negotiations. CARIFORUM member states are currently participating in three sets of international trade negotiations, all dealing with tourism services. These are the WTO/ GATS, FTAA and the African, Caribbean and Pacific – European Union (ACP-EU) negotiations for Economic Partnership Agreements (EPAs).

CARIFORUM consists of the countries of the Caribbean Community, including Suriname and Haiti, and the Dominican Republic. However, the Dominican Republic is not involved in the CARICOM-Canada negotiations.

Additionally, CARICOM member states are involved in the CARICOM – Canada enhanced trade agreement and in talks among themselves for a Caribbean Single Market and Economy (CSME).

In an area where tourism is both the major services sector and major industry, the Caribbean’s position in these negotiations is critical to their economic development.

CTO met with representatives of the Caribbean Hotel Association (CHA), Caribbean Latin American Action (CLAA), and the Caribbean Regional Negotiating Machinery (CRNM) on Wednesday 5th February to discuss these trade talks and the challenges for the region in international negotiations in services.

The Caribbean Tourism Organization has its headquarters in Barbados and marketing operations in New York, London and Toronto, is the Caribbean’s tourism development agency and comprises membership of 32 governments and a myriad of private sector companies.

Among other things, the February 5th meeting looked at the Terms of Reference for a study to be completed by May 2003,which will look at implications for the region. The study is being commissioned by CRNM and will provide the information against which a regional policy can be formulated.

“I believe that the current negotiations on services will fundamentally affect how the tourism industry is conducted. The Caribbean is very exposed and needs a great deal of skill and information to defend it´s position in the several fora such as FTAA, GATS, ACP/EU and Canada/Caribbean negotiations,” said Jean Holder, secretary general of CTO. “Our negotiators who are responsible for making commitments in the tourism sector need to have a thorough grasp of what is at stake.

“The real challenge for the region is to find the right balance between protecting a number of services, especially where jobs are concerned, while looking to take advantages that are opened up for our own people in other countries’ markets through the process of liberalization.”

Mr. Holder said the CTO has a responsibility to educate its membership, private sector tourism entities and others, about both the process and the tourism issues, and to assist in formulating the policy.

He compared being unprepared for these meetings to “persons who are about to be struck by a hurricane but had no prior information that it was on its way.”