Slow progress in trade talks set to overshadow Mandela’s visit

Date: 04/06/1998

By Mark Turner

FEARS are growing that South African State President Nelson Mandela's visit to Cardiff later this month may only serve to highlight ongoing difficulties in his country's trade talks with the Union.

Although the UK presidency insists his trip is more of a farewell to European leaders than a high-profile attempt to inject fresh impetus into the talks, it seems unlikely that Mandela will miss the chance to call for greater European support for South Africa's transition.

Three years after the European Commission promised Pretoria a fast-track accord, negotiations on a wide-ranging EU-South Africa trade and cooperation agreement are inching towards a deal which would satisfy World Trade Organisation rules.

Some officials warn that if talks drag on for another three or four months despite high-level promises at the 15-16 June Cardiff summit, the entire process could become politicised and suffer as a result. But others suggest that a little top-level goading is exactly what is needed.

The Commission recently proposed opening 95% of its markets to South Africa over 10 years - a substantial increase on its previous offer of around 90%.

But South African diplomats say that even the latest offer is excessively 'back-loaded', with many of the benefits coming into play towards the end of the transition period. They add that much of the EU's apparent new flexibility is, in practice, of little help to South Africa as it does not take account of the country's most promising sectors for growth, such as agriculture.

Meanwhile, European negotiators are growing increasingly frustrated at Pretoria's apparent reluctance to improve on the offer it made last November. Although South African politicians have said they can open as much as 85% of their country's market, they have been reluctant in practice to offer much more than 80%.

Diplomats say that the ball is still in Europe's court and they are waiting to see more products taken off a 'no-go' list of agricultural produce.

The Commission recently suggested allowing access to out-of-season South African citrus fruits and cut flowers. But its new offer has yet to receive the formal seal of approval from EU governments.

Foreign ministers have given their tacit approval for the Commission to negotiate beyond its original mandate, but France and others remain adamant that no deal can go ahead without their eventual consent.

Pretoria says it is unwilling to move until it sees evidence that Europe's offer is genuine, as it has heard big promises from the Commission before only to see them broken later by member states.

While officials believe substantial progress on market access can be made in time for the summit, they admit that getting agreement on the whole package could take considerably longer. "There is still a long way to go," said one.