RUSSIA'S KYOTO RATIFICATION REACHING HOME STRETCH?

On 30 September, the Russian Cabinet approved a draft law aimed at the ratification of the Kyoto Protocol, which would trigger the Protocol's entry into force. For Russian ratification to proceed, the law has to be approved by the State Duma (the lower house of the Russian parliament, which is dominated by President Vladimir Putin's United Russia party). President Putin is pushing through the ratification against the opinions of some of his economic advisors, such as the outspoken Andrei Illarionov, who claimed the treaty would be disastrous to economic growth. Economy Minister German Gref, on the other hand, supported the treaty, although he said "the Protocol hardly has any real impact on improving ecology. It is fairly symbolic". Russia has been stalling on ratification since Putin announced, at the World Summit on Sustainable Development in September 2002, that the country would ratify "soon". The move towards ratification is considered to be political, and follows support by the EU of Russia's WTO accession, formalised at a summit in May (see BRIDGES Weekly, 2 June 2004).

The news prompted positive responses in the EU and among environmental groups. Joke Waller-Hunter, Executive Secretary of the UN Climate Change Convention, commented that, "President Putin has given an inspiring signal to the international community. By giving industry, local authorities and consumers incentives to take action on climate change, Russia and the 29 other industrialised countries that have joined the protocol will set themselves on a path to greater economic efficiency". Friends of the Earth International's Catherine Pearce said "If Russia ratifies Kyoto it will be a significant step forward in the fight against global warming. It will also turn up the heat on President Bush and other world leaders who have refused to join the only international treaty that could help avoid a global catastrophe". The US, which announced in 2001 that it would not ratify, will also remain outside an international carbon trading market set up under Kyoto. The Kyoto Protocol, which obliges developed countries to reduce carbon emissions by five percent as compared to 1990-levels, is considered by climate scientists to be only a small first step on a long road ahead.

"Putin revives hopes for Kyoto Protocol," EURAKTIV, 1 October 2004; "Russia backs Kyoto climate treaty," BBC, 30 September 2004; "Russia to ratify Kyoto treaty, GUARDIAN," 1 October 2004; "Climate Change Treaty Only One Step Away?," FOEI RELEASE, 29 September 2004.

US-SACU FTA DEADLOCKED

Negotiations on a Free Trade Agreement (FTA) between the US and the five-member Southern African Customs Union (SACU) appear to have been postponed due to differences on subject matters for negotiations (see BRIDGES Weekly, 3 March 2004). SACU members -- Botswana, Lesotho, Namibia, South Africa and Swaziland -- have offered to continue talks on market access, but have requested to leave out investment, intellectual property, labour and government procurement. The US has rejected this approach, arguing that it has a Congressional mandate to negotiate on all subjects. A meeting between US and SACU negotiators which had been scheduled for this month has been cancelled in order for both sides to "clarify issues internally." South Africa's chief negotiator, Xavier Carim, has admitted this impasse in a press address and indicated that the parties would meet if they had, "good reasons to meet" and "[could] move the process forward."

ICTSD reporting; "SACU-US talks seesaw back towards pessimism," tralac News, 20 September 2004.

LATIN AMERICA, ACP DISAGREE ON FUTURE EU BANANA TARIFFS

The EU is set to begin informal talks this week with Ecuador, the world's leading banana exporter, on future banana import tariffs. This development is in line with the EU's latest round of bilateral discussions with some of the world's major banana suppliers on a tariff system for bananas to take effect from 2006 -- replacing the EU's current quota system which was the subject of a long-standing WTO challenge in the late 1990s (see BRIDGES Weekly, 24 April 2001). The EU's current quota system amounts to 3.4 million tonnes. Out of this amount, African, Caribbean and Pacific (ACP) countries have a duty-free quota of 750,000 tonnes, while Latin American producers face a tariff of 75 euros on the remaining quota -- a preferential margin which they are keen to maintain or even lower further. The ACP, on the other hand, are pushing for the EU to raise banana tariffs above the current base level of 75 euros to 275 euros to protect their preferential access to the EU market. The ACP position is backed by France and Spain, Europe's only banana producers.

ICTSD reporting; "Latin America squares up for banana trade fight with EU," Reuters, 23 September 20004; "EU may present banana proposal by year-end," Reuters, 24 September 2004; "Banana imports: Commission proposes to open tariff-only negotiations," EC Press Release (IP/04/707), 2 June 2004.

UGANDAN COFFEE EXPORTERS CONCERNED OVER DDT USE

The Ugandan Health Ministry's approval of the use of DDT for the prevention of malaria has raised concerns among coffee farmers in Uganda over possible negative impacts on coffee exports. Uganda's Parliament and Health Ministry recently sponsored a South African tour on DDT application to study South Africa's successful indoor residual spraying of DDT, a method the Health Ministry would now like to use in Uganda. Despite the ban of DDT in agriculture, it remains an effective tool for public health programmes. However, the prospect of further DDT use for the prevention of malaria has raised concern for coffee-exporting farmers. DDT, though sprayed in houses, could easily spill into agricultural fields, thus contaminating agricultural products that are then exported to Western countries with extremely strict market requirements. According to Clayton Arinanye, the executive director of the Uganda Coffee Trade Federation, if Europe -- which is Uganda's biggest coffee importer -- tested any of Uganda's agricultural products and found DDT resides, they would suspend Uganda's exports. "The result would be catastrophic not only to the private sector but also the government," said Arinanye. Given these consequences, much attention has been given to consultations and public awareness seminars about the use of DDT. During the private sector consultative workshop of the East African Customs Bill, exporters demanded that the government explain to the public the effects of DDT use to an agricultural economy such as Uganda's. Farmers argue that since DDT has been banned in the USA and other countries, it would be best for Uganda to consider other options.

"DDT Use Irks Coffee Exporters, "NEW VISION, 28 September 2004; "MPs Back DDT To Curb Malaria, " NEW VISION, 1 October 2004; "Uganda's New War, " TECH CENTRAL STATION, 26 May 2004; "Anti-Malaria Use Of DDT May Be Necessary Evil, " REUTERS, 2 April 2003; "Flower Farmers Petition Parliament Over DDT, " THE MONITOR, 20 September 2004.