European Communities

 

Tanzania Cooperation with the European Union (EU) can be traced back to the time of the country's independence. Recent cooperation dates back to 1975 when, as a member of the African, Caribbean and Pacific (ACP) Group of states, signed Lome I Convention covering the period 1975 - 1980. This was followed by Lome II (1980 - 1985), Lome III (1985 - 1990), Lome IV (1990-1995), Lome IV and Revised Lome IV (1995 - 2000). Succeeding Lome Conventions is the ACP-EU Partnership agreement (referred to as the Cotonou Agreement) signed in Cotonou, Benin on 23 June 2000 to cover a twenty year period (2000-2020); providing for revision after every five years. Thus since 1975 Tanzania through the ACP-EU accords has been a beneficiary of the various cooperation instruments with the EU which at various stages have included (i) trade and commodity protocols (ii) consultations/dialogue on governance issues (iii) development financial assistance channelled through the European Development Fund (EDF): from the fourth EDF (1975-1980) to the Tenth EDF (2008-2013). The EDF consists of several instruments, including grants, risk capital and loans to the private sector provided under the Investment Facility (IF). In addition to the EDF funds which are processed through National Envelopes, Regional Envelopes, Intra ACP Programmes and joint ACP-EU Institutions, developing countries benefit from EU contributions to global initiatives such as the Global Fund for Malaria, Tuberculosis and HIV/AIDS.

The EU is Tanzania's leading donor as well as trading partner in both exports and imports.

 

The expiry in December 2007 of the waiver granted by the World Trade organisation (WTO) on the Cotonou Trade Chapter that built on the previous ACP-EU conventions under which Tanzania and other ACP communities were accorded (non-reciprocal, tariff free) preferential market access for their export of goods to EU has been one of the basis of the ongoing negotiations for the new trading arrangements to be known as Economic Partnership Agreements (EPAs) between seven ACP configurations and the EU. The EPA shall be in full conformity with the provisions of WTO including special and differential treatment. The other basis for EPAs negotiations is the recognition that market access alone does not guarantee increased ACP exports to the EU and hence the full and comprehensive economic partnership agreements that address supply-side constraints in the ACP counties, build on the regional integration initiatives, ensure gradual and smooth integration of the ACP countries and economies into the global economy and promote the sustainable development of the ACP countries. Tanzania is negotiating the EPA under the configuration of the Common Market of the East Africa Community Partner States. The EAC Partner States are Tanzania, Kenya, Uganda, Rwanda and Burundi.

 

Useful Links: