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Uganda Trade Agreements

The EU recently published a detailed review of “the impact of EU trade agreements on the agricultural sector.” The document is published, in its own words, in a context of growing protectionism within the EU and its main trading partners. With an in-depth review of some of the EU`s key free trade agreements, the report aims to support the debate on the pros and cons of trade liberalization. The report complements these relatively intuitive observations with fairly comprehensive data and case studies. For example, agricultural trade between the EU and Mexico has continued to grow throughout the free trade agreement, but outside the high-end market, for example, French wine exporters have not increased their market share. One reason is that the common language and historical and cultural ties with Spain, Chile and Argentina are more compatible with Mexican consumers in terms of marketing and preferences. The other is access to distribution channels. French exporters are relatively small and fragmented compared, for example, to large Australian exporters, so they have not been able to market and distribute as effectively in Mexico. Erin Truhler, head of information for the Department of Public Diplomacy at the U.S. mission in Uganda, said the countries that benefited the most from the program were “those that have done the most to create an attractive business environment, both for foreign investors and for domestic companies, by encouraging investment and trade.” It was hoped that the law would boost production in one`s own country, boost employment and improve people`s livelihoods.

Agoa`s architects argued that trade, not aid, could fight poverty on the continent. Article 6 Each party encourages participation in fairs and exhibitions held on the territory of the other party. Firstly, the Commission reaffirms its strong and pro-trade policy, which is underpinned by the following economic reality. That the EU is the largest exporter of agri-food products, with exports of 129 billion euros in 2015. These export results were determined by EU agricultural policy, technological progress and trade policy. Over the next ten years, the European Commission estimates that 90% of the additional food demand will be produced outside the EU. The Commission therefore expects it to continue its support for free trade agreements. Uganda has a liberal trading and exchange rate system.

Nevertheless, endemic corruption, financial mismanagement, a cumbersome tax system and increasing political repression raise questions about the government`s commitment to promoting a stable and investor-friendly environment. Medium- and long-term political uncertainty also increases risks for foreign companies and investors. Yoweri Museveni, 75, the current president, has been in power since 1986. In 2017, the ruling National Resistance Movement amended the constitution to allow Museveni to win a sixth term in 2021. Several new political challengers to Museveni`s continued dominance will seek the support of the 80% of Ugandans under the age of 30. Article 5 All payments related to trade between the two countries are made in sterling or in any other freely convertible currency, unless the parties agree otherwise. The EU-EAC EPA covers trade in goods and development cooperation. It also contains a chapter on fisheries, which focuses on strengthening cooperation on sustainable use of resources. The agreement provides for continued negotiations on services and trade rules in the future.

The final point is that the Commission is showing a realistic assessment of the benefits and limitations of free trade agreements when it asks the following question: “The central question of this study is: are trade agreements trade or is the EU just making trade-and-trade agreements anyway?” Examines key economic indicators and trade statistics on the countries that dominate the market, the United States.

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