I move:
That Dáil Éireann approves the terms of the economic partnership, political co-ordination and co-operation agreement between the European Community and its member states, of the one part, and the United States of Mexico, of the other part, a copy of which was laid before Dáil Éireann on 3 June 1999.
That Dáil Éireann approves the terms of the Euro-Mediterranean agreement establishing an association between the European Communities and their member states, of the one part, and the Hashemite Kingdom of Jordan, of the other part, a copy of which was laid before Dáil Éireann on 3 June 1999.
That Dáil Éireann approves the terms of the framework agreement for trade and co-operation between the European Community and its member states, on the one hand, and the Republic of Korea, on the other hand, a copy of which was laid before Dáil Éireann on 3 June 1999.
I am pleased to have this opportunity to present to the House, on behalf of the Minister for Foreign Affairs, motions relating to the trade and co-operation agreements concluded by the European Union with the Hashemite Kingdom of Jordan, the Republic of Korea and the United Mexican States, respectively. These agreements have been approved by the Government and require approval of the House before they can be deemed ratified.
In general terms, the agreements in question incorporate wide-ranging provisions for the progressive development of trade relations and other forms of co-operation between the European Union and each of the three partner countries. The agreements are comprehensive in scope and include provisions for co-operation in areas as diverse as transport, culture, agriculture, science and technology, the environment and combating trafficking in drugs and money laundering. Because the agreements were negotiated separately their terms and content will differ. Provision is made in each, however, for social co-operation and human rights and democracy. It is intended that these agreements will enter into force when they have been ratified by the member states of the European Union and the partner countries according to the respective constitutional procedures of each.
The agreement with Jordan stems from the European Union's desire to strengthen its relations with the countries of the Mediterranean basin. The Essen European Council of December 1994 reiterated the European Union's willingness to support the Mediterranean countries in their efforts to transform the region into a zone of peace, stability and prosperity. The Euro-Mediterranean conference held in Barcelona in November 1995 established a comprehensive partnership known as the Euro-Mediterranean Partnership between the European Union and its Mediterranean partners, namely, Algeria, Cyprus, Egypt, Israel, Jordan, Lebanon, Malta, Morocco, Syria, Tunisia, Turkey and the Palestinian Authority, through strengthened and regular political dialogue, the development of economic and financial co-operation and greater emphasis on the social, cultural and human dimension of their relations.
A central pillar in the economic and financial architecture envisaged in the Barcelona declaration is the creation by 2010 of a free trade area for the Mediterranean region. An essential feature in preparation for the free trade area is the conclusion by the European Union of Euro-Mediterranean association agreements with each of the countries of the region. The agreement with Jordan forms part of this process.
The objectives of the agreement are: to provide an appropriate framework for political dialogue allowing the development of close political relations between the parties; to establish the conditions for the progressive liberalisation of trade in goods, services and capital; to foster the development of balanced economic and social relations between the parties through dialogue and co-operation; to improve living and employment conditions and enhance productivity and financial stability; to encourage regional co-operation with a view to the consolidation of peaceful co-existence and economic and political stability and to promote co-operation in other areas of reciprocal interest.
Relations between the parties are to be based on democratic principles and respect for human rights which are stipulated as essential elements of the agreement. The agreement will establish a free trade zone between the European Union and Jordan progressively within 12 years from the entry into force of the agreement.
In the case of the Republic of Korea, the objectives of the agreement include the development of economic relations between the member states of the European Union and the Republic of Korea by increasing trade between the two sides, furthering scientific and technological co-operation and facilitating business co-operation. It also provides for co-operation in the field of development in favour of third countries and for the establishment of a regular political dialogue between the European Union and the Republic of Korea.
The Republic of Korea is the twelfth largest trading nation in the world. It was Ireland's thirteenth trading partner in 1997 and thirteenth largest export market. Irish exports to the Republic of Korea more than doubled to over £500 million in 1997 giving Ireland for the first time a favourable trade balance with the Republic of Korea. Exports in 1997 reached almost 100 times their level in 1984. Imports from the Republic of Korea, which had been rising steadily, jumped by 55 per cent in 1997. In the wake of the 1997 financial crisis in Asia, however, exports from the Republic of Korea decreased markedly and figures for the first ten months of 1998 were down by 37 per cent.
In spite of the difficult situation brought about by that crisis, the Republic of Korea remains a major international trading country. The economic outlook there has been improving steadily since the end of 1998. The Korean currency, the won, is recovering its value, its stock market was the best performing in Asia in 1998 and foreign currency reserves are being rebuilt. Interest rates are back to single figures, 8 per cent, and industrial production is showing decreasing rates of decline. This agreement will serve to strengthen and build on Ireland's already excellent bilateral relations with the Republic of Korea.
The third of these agreements is what is known as the global agreement with Mexico. The agreement is designed to advance the interests of the European Union and Mexico in the areas of trade and co-operation and will be of considerable benefit to Ireland in developing its bilateral relations with Mexico. Mexico is Ireland's most important trading partner in Latin America and Ireland has enjoyed a surplus in its trade with Mexico in recent years. In 1996 total trade was valued at £165 million, of which Irish exports accounted for over £100 million. The figures for 1997 show a small decrease in the total volume of trade at £159 million but with Irish exports rising to almost £107 million. As the House will be aware, the Government recently decided to establish at an early date a resident embassy in Mexico city.
The objective of the agreement is to consolidate existing relations between the parties on the basis of reciprocity and mutual interest. To this end, the agreement aims to institutionalise political dialogue, strengthen commercial and economic relations by means of trade liberalisation in conformity with the rules of the WTO and reinforce and broaden the areas for co-operation. Relations between the parties are to be based on democratic principles and respect for human rights which are essential elements of the agree ment. The agreement will be conditional on the observance of human rights and the European Union and Mexico are committed to this conditionality.
The agreement provides for the establishment of frameworks to encourage the development and liberalisation of trade in goods and services. It envisages co-operation in investment promotion, financial services, small and medium-sized enterprises, customs, information technology, education, communications and the environment. Sectors such as agriculture, mining, energy, transport, tourism, fisheries and statistics are covered. The agreement provides for co-operation against money laundering, drug trafficking and chemical precursors. Co-operation on the social front focuses on refugee assistance, human rights and democracy, poverty and health care.
I hope this summary outline of the objectives and main provisions of these important agreements will be helpful to Deputies. Ireland maintains excellent relations with the three partner countries mentioned. Acceptance of the agreements in each case will serve to further develop Ireland's relations with them. In approving these agreements, the House will also be endorsing a substantial step forward by the European Union in strengthening and developing its relations with those countries. I commend the agreements to the House for its approval.