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11/28/2006
LAW AND POLITICS - U.S FREE TRADE AND PASSPORT FREE TRAVEL
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CATEGORY:COMMENTARY
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By Lloyd Noel (Attorney-at-law)
Inside Grenada contributor
Tuesday November 28,2006


NOW THAT THE POLITICAL climate has clearly taken a turn towards policy changes in the U.S.A. - after the recent mid-term Elections that brought
about the Democrats control of the two Legislative bodies of the Senate and House of Representatives - two major issues, that could seriously affect the
Economic welfare of our CARICOM States, are again in the news and attracting in-depth concerns.

The two issues are, the much talked about Free Trade Agreement (FTA) with the U.S.A.; and the Western Hemisphere Travel Initiative (WHTI), which is
destined to affect American Citizens travelling to the Caribbean by Air,come January 9, 2007.

On the issue of a Free Trade Agreement, the initial or original plan was to have a Free Trade Agreement of the Americas - the proposed FTAA - but that
plan seemed to have died a natural death in South America - when President George W. Bush visited last year for an OAS Heads of Government meeting.
And the idea of a Free Trade Agreement between CARICOM and the U.S.A.,which had been mooted on and off in the past, then began to get greater
attention as an alternative to the FTAA.

I noticed one or two persons expressing their personal opinions on the pros. and cons. of a possible Agreement, but doing so mostly from a
sentimental or nationalistic approach.

Then I saw an article by Sir Ronald Sanders, on Caribbean Net News of November 18, 2006, which, as per usual, gave a more objective and very
thorough insight into the whole question of Free Trade Agreements with the U.S.A.

From the evidence alluded to by Sir Ronald - as gleaned from existing Agreements the U.S.A. already have, with much bigger and far more powerful
partners than CARICOM - it seems very clear to me that in any negotiations with the U.S.A. on a FTA with CARICOM, our Caribbean Leaders have to lay the
groundwork, to ensure that the U.S. do in fact have, and or prepared to adopt, a far more enlightened and ambitious approach to our CARICOM States.

While, as Sir Ronald pointed out, our Leaders have to try and establish firmly in advance, that any negotiations would be development oriented - for
the very good reasons that the Caribbean is a close neighbor of the U.S.,and what happens in the Caribbean should matter to Washington D.C. - those
Leaders have to fully understand and appreciate, that when push comes around to shove, and maybe more so in International politics now-a-days, they have
to stoop to conquer, they must temper their big talk and bravado with reason, and common sense, and put the interest of their people first and foremost.

Sitting or kneeling at the bottom rung of the Economic Development ladder,is no position from which to make un-realistic demands and or portray
arrogance. It is much better, and far more likely to attract concerned attention and goodwill - and even sympathy - by maintaining your cool and playing it cool, while, at the same time, being firm and genuine and sensible.

I agree fully with Sir Ronald, that a genuine FTA with a strong development orientation, would help our small and vulnerable Countries in CARICOM
enormously, and goodness knows - we need that help. And while the U.S. has nothing to lose by being generous, we have everything to gain by showing our goodwill and support - if we are expecting to get the same in return.

The other issue that continues to cause grave concern in the Region is centered around the Western Hemisphere Travel Initiative (WHTI), which, in a
nutshell, is being advanced as of the 9th January, 2007, when U.S. Citizens travelling from the Caribbean by Air would not be able to re-enter the U.S.without a Passport.

This means, of course, that those travelers must have their Passports before leaving the U.S. for the Caribbean. And from all that I have seen and
read on the topic to-date, obtaining a Passport in the U.S.A. would take a lot longer than the time available to meet that deadline.

That amended requirement only came about a month or so ago, and applies only to Air Travelers - so that Cruise Ship passengers coming from the same
areas have until 1st June, 2009, to meet the requirement of a Passport to re-enter the U.S.A.

Many Caribbean Hoteliers have made very strong comments and observations,about the probable effects on the Tourist Trade and the economy as a whole -
because of that un-expected bombshell that seemed to have come out of the blue.

On the other hand, our Caribbean Leaders should not have been too surprised by that reaction from Washington D.C. - because their actions, and
statements, and omissions, and their obvious support for well-known enemies of the U.S. President, have sent very clear messages of where their good
will lies.

But the bigger problem still remains, and whatever maybe happening behind the scenes - I have not seen nor heard anything positive following the
Statements from those persons who have tremendous investments at stake.

Last week Wednesday (22nd Nov.) there was another long discourse on the impact of the WHTI on the Caribbean Tourist Industry. And that came from one
“Brittany Bond,” a Research Associate of the Council on Hemispheric Affairs (COHA) based in the U.S.A. That Organization has been described on the
Senate Floor of the U.S.A. as “one of the Nation’s most respected bodies of Scholars and policy makers.”

The information in that article was very wide-spread and went into much more detail than I had seen anywhere before, and discussed both sides of the
consequences that will flow from the newly implemented measures. For example, it showed how the U.S. travel to its local holiday places will
benefit - like for example the U.S. Virgin Islands and Puerto Rico, which will become more attractive because of the absence of the hassle of obtaining a Passport.

And from a purely economic angle, although many would readily argue that was not a reason for the harsh new measures, the Researcher estimated that
in 2007 alone U.S. travelers seeking Passports would pay around $940.8 Millions for same.

And the article pointed out that an “Advisory Team,” that produced a lengthy document for the Administration, they placed the cost for new
Passports at a figure of $2.8 Billions.

But of greater importance to us in the Caribbean, the Researcher likened the new measures to an act of “Trade War” against Caribbean Nations, with
already marginal economies that cannot withstand the probable backlash. He/she predicted that there will be heavy increases in more Crime, drug
trafficking, money laundering and illegal immigration, as a direct result of
loss of jobs stemming from un-avoidable cut backs in the Tourist Industry. The research also discussed the inherent bias and discrimination in favour
of the Cruise Ship Industry, for which Passport regulations do not take effect until June 1st 2009.

It seems to me, therefore, that our Caribbean Leaders should be, (and should have been from day one) making serious attempts to have that
regulation postponed to a later date, so as to give more time to Citizens of the U.S.A. to obtain Passports, on the one hand; and to allow the Tourism
Industry in the Caribbean more breathing space to re-adjust their options,on the other hand.

The changed political complexion in the Federation Capital, seems to be the ideal time to seek some form of redress and present a different outlook from
CARICOM. An even more urgent need for seeking suspension of the January 8th deadline and saving the Region’s face, has to do with the CWC 2007 scheduled for March 10 to April 28 next year.

I was listening to a broadcast from the Cricket World Cup public relations division, on the question of Tickets already sold and those still awaiting
buyers - and was surprised to hear that the U.S.A. was the third or fourth highest buyer of tickets for CWC 2007.

Even if those buyers are all of West Indian, Pakistan, Indian, Sri Lankers,or any other Commonwealth descent - they would be U.S. Citizens and the WHTI new regulations would apply to them.

The huge sums already spent, and still being spent to make this the “best Cricket World Cup ever,” according to the propaganda machinery - are just
too much to squander, without making every possible effort and submissions to Washington D.C. to grant some respite.

In that context of seeking concessions, I heard our own Minister for Sport making some statements about getting the CWC officials to reduce some fees
and relax some regulations to do with local Vendors around the Stadium. Well better late than never, but while he is about that mission - I would
suggest he also include some of the traffic and other requirements I keep hearing about for the occasion. Because if those in authority are not fully on the ball and take early precautionary actions, some of those security measures could close down the parish of St. George for the Six Match days. So while we panicking about Free Trade, and Free Travel - let charity begin at home with some freer movements and options.


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