The Cotonou Agreement between the African, Caribbean and Pacific (ACP) States and the European Union (EU) provides for the negotiation of Economic Partnership Agreements (EPAs) between the Parties. The EPAs are first and foremost instruments for development that are intended to foster the smooth and gradual integration of the ACP States into the world economy, thereby promoting sustainable development and contributing to poverty eradication.
I am aware of the questions raised about the possible impact of EPAs on developing countries. Ireland's position, as repeated at the recent General Affairs and External Relations Council of 16 and 17 October last, is that development concerns must be to the fore in these Agreements. And, of course, regional integration and the promotion of South-South trade are cornerstones of the Cotonou Agreement.
For the purposes of EPA negotiations, the ACP states are organised into six regional groupings and the EPAs are intended primarily to foster trade between, as well as within, these regional groupings. As such, the EPAs have the potential to develop the conditions for South-South trade, with all the benefits of new markets which this promises for the countries concerned. However, if the ACP States are to take full advantage of the trading opportunities afforded by EPAs, greater and more effective trade-related assistance will be required to be made available to them. In this regard, EU Ministers for Development have already pledged to ensure that a substantial share of EU and national trade-related assistance will be devoted to them, with the total allocation rising to some €2 billion per annum by 2010. In Ireland's case and in line with the priorities outlined in the recent White paper on Iris h Aid, we have committed to increase substantially our funding for Aid for Trade initiatives in the coming years.