Malta may relaunch bid for Union membership

Date: 04/12/1997

By Mark Turner

THE tiny island state of Malta may reactivate its application for EU membership in 1998, former Foreign Minister Guido de Marco claimed this week.

"The upsurge of support for the EU has never been so strong," he told European Voice after a meeting with MEPs. "The federation of industry, the chamber of commerce, one of the most important trade unions, students, and ordinary men and women all realise that Malta's future depends on the European Union."

Furthermore, De Marco argues that recent abstentions from key budget votes by veteran Labour politician Dominic Mintoff herald the beginning of the end for the incumbent government and its opposition to full membership.

If he is right, it would cause some agitation in Brussels.

Since Malta, which was previously the EU's leading candidate, froze its membership application this spring, the Union has all but discounted the island from its enlargement preparations.

A newly activated bid, which would entail launching accession negotiations with the country early next year, could cause particular difficulties for the European Commission, already facing talks with at least six other applicants. "A fresh Maltese bid would certainly cause a stir," commented a northern European diplomat.

But diplomats from the island's mission to the EU are downplaying the likelihood of a U-turn. "There is no indication at all of any change by the government in terms of its relationship to the Union. The prospect of an early election is also wishful thinking by those in opposition," said Malta's ambassador to the EU Victor Camilleri.

Nonetheless, things seem to be moving. The Labour government, elected on a pledge to end EU-style fiscal policy and value added tax, is finding it harder to make ends meet in practice than in theory.

New taxes on water, electricity, and fuel are threatening to hit the poorer elements of society hard, which is ostensibly why Mintoff - whose influence stems from his personality rather than his position - abstained from the budget vote last month.

Although Mintoff says he does not intend to bring the government down, De Marco claims there is now a growing call for a more open trade policy and a VAT-style taxation. "There is a high possibility that these developments will draw the political parties closer together than the result of the elections indicated," said De Marco. "We should start talks with the EU now and decide whether to join later in a referendum."

For the time being, however, the government will continue to push for an industrial free trade zone with the EU. Diplomats are hoping one could be fully in place within five to seven years.

Following technical talks in October, the Commission is expected to draft proposals for EU governments by the end of the year and to be given a negotiating mandate by mid-1998.