2009-09-09 tralac Newsletter
2009-09-09
Hotseat Comment
Willemien Denner, a tralac Researcher, comments on the impact of climate change on developing countries.
Science tells us that climate change will gradually bring about changes in the sea level, climatic zones, precipitation patterns and the frequency and magnitude of extreme weather conditions. Although there is uncertainty in terms of the exact magnitude, rate and regional patterns of climate change, its consequences will change the fate of generations to come and particularly impact the poorer nations.
Developing countries are likely to suffer the most from climate change due to the economic importance of climate-sensitive sectors and their limited human, institutional and financial capacity to anticipate and respond to the direct and indirect effects of climate change. Climate change will reduce the access to drinking water, affect the health of the poor and will pose a threat to food security in many developing and least developed countries in Africa, Asia and Latin America. Climate change will compound existing poverty and have dramatic and disproportionate negative effects on social and economic prospects in developing countries due to their geographical and climatic conditions, high dependency on natural resources and limited capacity to adapt to climate change. Developing countries also lack the infrastructure, financial resources and access to public services which would otherwise assist them in the adaptation to climate change.
An increase in the frequency and severity of extreme weather conditions will lead to growing costs for developing countries unless efforts are made to reduce their vulnerability and exposure. In developing countries climate change can lead to an increase in poverty due to the negative effects on health, income and future growth resulting in the increased vulnerabilities of developing countries to the impact of climate change. Africa’s vulnerabilities to climate change include a low adaptive capacity due to a low GDP per capita; widespread poverty; inequitable land distribution and a high dependence on rain-fed agriculture. Agriculture and related activities are crucial to many developing countries and one of the sectors most at risk to the damaging impact of climate change. Agriculture is dependant on rainfall and irrigation which will be severely compromised by climate change. Agricultural production in many African countries, especially for subsistence farmers, will be impacted negatively by changes in the climate due to the loss of land, shorter growing seasons and a lower yield.
Climate change poses another threat to developing countries. In 2000 the leaders of 189 nations agreed on the Millennium Declaration which outlined eight fundamental goals to be reached in 2015. However, climate change challenges the achievement of these goals in the following way:
- In terms of the eradication of extreme poverty and hunger climate change can lead to a change in economic growth; livelihood assets, including water and health, of the poor will decrease and food security will worsen;
- The displacement and migration of people can reduce access to education; malnourishment and illness reduce school attendance and the ability to learn and the loss of livelihood assets and natural disasters will reduce the opportunities for full time education;
- Climate change can increase gender inequality as women depend more on the natural environment for their livelihood and female headed households with few assets are particularly affected by climate related disasters;
- The overall health of especially the poor will decrease due to increased heat-related mortalities and illnesses, the increase of vector and water-borne diseases and a decline in the quality and quantity of drinking water;
- In terms of environmental sustainability climate change can lead to the change in the quality and productivity of natural resources and ecosystems with a decrease in biodiversity; and
- Global partnerships for development and international relations may be strained by climate impacts.
Climate change requires a global framework for international cooperation with adaptation being a vital part of such a framework. Actions are required to enable adaptation and provide opportunities for the promotion of sustainable development. A successful framework must include the necessary assistance to enable developing countries to adapt seeing that they will be disproportionately negatively affected by the climate change impacts.
Adaptation to climate change is vital for developing countries and has an urgent priority. However, developing countries have a limited capacity which makes adaptation difficult. It is seen that the most effective adaptation approaches for developing countries are those which address a range of environmental stresses and factors. Developing countries need to link strategies aimed at poverty alleviation, the enhancement of food security and water availability, combating land degradation and the reduction of the loss of biodiversity. Sustainable development and the Millennium Development Goals are seen as the appropriate backdrop necessary to integrate adaptation into developmental policy.
Source: The Stern Report; the UNFCCC Report on Impacts, Vulnerabilities and Adaptation in Developing Countries and the African Development Bank et al. Report on Poverty and Climate Change
Special Features
tralac Media Library
- View a new interview by Dr Dickson Yeaboah, Institute for Training and Technical Cooperation WTO. He comments on the competitiveness of African countries.
- View an interview by Mr Chiedu Osakwe, Accessions Division WTO. He comments on the special and differential treatment LDCs receive when acceding to the WTO.
- View all previous interviews here...
Weekly Customs, Excise, Tariff and Trade Remedy Summary Notification
- Download the notification here.
News
Kenyan govt dissatisfied with WTO process
The Kenyan government has expressed its dissatisfaction over the slow pace of the World Trade Organisation (WTO) negotiating process.
‘Global crisis could not have come at a worse time for Africa’ – World Bank
Aid to Africa is currently one of the best investments other countries can make and the Group of 20 (G20) developing nations should be challenged to seize the opportunity and make financial commitments to Africa, World Bank Africa region chief economist Shantayanan Devarajan has said.
SA to reiterate objections to EU trade pacts at summit
South Africa and the European Union (EU) are set to strengthen relations and address shared bilateral, regional, and global interests at the SA-EU Summit that kicks-off in Kleinmond, Cape Town on Friday.
Non-tariff barriers still a hurdle in the EAC
The East African Community (EAC) may be unable to lucratively reap from regional trade unless member countries work out ways of reducing or abolishing non-tariff barriers (NTBs) to interstate trade, a study has shown.
SACU facing extinction
The Southern African Customs Union (SACU) faces severe challenges that could threaten its very existence, a point reiterated by several speakers at the opening of the Trade Law Centre for Southern Africa (tralac) annual conference on September 3.
African body warns against a Doha deal at the cost of development
An African group participating in the two-day informal ministerial meeting in New Delhi has stated that a rapid conclusion to the Doha world trade talks should not come at the cost of developing countries’ concerns.
US academic urges use of WTO loopholes to promote development
World Trade Organisation (WTO) rules leave space for industrial policies, including the use of subsidies, for developing countries to exploit, Massachusetts Institute of Technology Political Economy Professor Alice Amsden has noted.
SA-EU Summit to take place next week
Director General of the Department of International Relations and Cooperation Dr Ayanda Ntsaluba addressed a media briefing at the Union Buildings in Pretoria on Monday. The following statement was made regarding the South Africa-European Union (EU) Summit to take place on 11 September 2009 in Kleinmond: “This is going to be a meeting between South Africa and the EU. You know that the EU is the world’s largest trading bloc and generates about 30% of global GDP. We also know that this is a very important trading partner for South Africa and since we signed and started implementing the TDCA [Trade, Development and Cooperation Agreement], we have seen the volumes of bilateral trade between the EU and South Africa moving from about R56.5 billion in 1994 to the current R313 billion in 2007. We also know that South Africa’s exports to the EU amounted in 2007 to R252.6 billion. We know that the EU is the biggest source of foreign direct investment in South Africa and is also the biggest source of overseas development assistance, and we have spoken about this before. … that is how important the EU is to us.".
Events
tralac Annual Conference, 3-4 September 2009, Cape Town, South Africa
- Trade Policy Developments in Southern Africa
A succesfull conference was held in Cape Town last week. A post conference report will be published soon. Publications
China - Africa merchandise trade for the December 2008 year by Ron Sandrey: The objective of this paper is to examine the merchandise trading profile between Africa and China. This trade has seen dramatic growth in recent years, with this growth rate almost always higher than the increasingly documented Chinese export penetration into global markets. Read more here...
AGOA.info
July data to be published by the end of this week
New July trade data will be released this Friday and published on AGOA.info. Current data is to June.
Updated bilateral US-Africa country trade profiles
Profiles of disaggregated bilateral US-Africa trade, by country, has been updated to reflect June 2009 data. This also includes various regional profiles - SACU, BLNS, COMESA, ECOWAS, and CEMAC. Follow this link.
Other updated AGOA data sections include disaggregated bilateral trade profiles for each AGOA country individually (as well as within various regional configurations) , aggregate bilateral trade, preferential trade under AGOA / GSP and sectoral data from AGOA-eligible countries by value and as a proportion of US imports, as well as sectoral new AGOA and GSP AGOA data. Textile data, is available by value and by volume. Data to June 2009 shows exports of clothing are down 8% year-on-year (clothing exports made up of third country fabrics are 5% lower). Export data is available at this link.
The current quota period commenced in October 2008 and lasts up until September 2009. Current utilisation levels (to July 2009) are 13.7% overall, and 25.58% under the LDC sub-quota.
Follow these links to diagrams showing clothing exports under AGOA, and quota utilisation during the current quota period.
Trade acronyms and terminology
Visit AGOA.info's alphabetically-ordered database of trade-related acronyms and terminology
Latest AGOA news
- Growth opportunity is not well utilised in Nigeria
- Trade talk: Debunking myths about AGOA
- Africa: Reforming African economies continue to reap benefits
- East Africa: Exporters struggle to meet criteria for AGOA products
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- Read these and other AGOA-related news articles in AGOA.info's news area, which is continuously updated with articles sourced from a wide range of African and foreign publications.
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