Logo of Phnom Penh Post newspaper Phnom Penh Post - EU to review Cambodia’s EBA status

EU to review Cambodia’s EBA status

Federica Mogherini, the top EU official for foreign affairs, speaks to the media in February. She recently announced an observation mission to Cambodia to scrutinise the EU’s preferential trade agreement with the Kingdom. european union
Federica Mogherini, the top EU official for foreign affairs, speaks to the media in February. She recently announced an observation mission to Cambodia to scrutinise the EU’s preferential trade agreement with the Kingdom. European Union

EU to review Cambodia’s EBA status

The European Union has announced a “dedicated” mission to Cambodia to monitor its Generalised Scheme of Preferences, the agreement under which Cambodian goods reach the crucial European market tariff-free.

In a response to questions by parliamentarians about the political situation in Cambodia, European Commission Vice President Federica Mogherini, also the bloc’s top foreign affairs official, said on Thursday that “respect of human rights and fundamental freedoms is part of the EU’s trade policy and underpins the legal basis of our trade preferences”.

“A dedicated GSP monitoring mission is foreseen in 2018,” she wrote.

The GSP currently grants Cambodian exports tax-free entry into the European market under the Everything But Arms (EBA) scheme.

A question submitted by Parliamentarian Ramon Tremosa i Balcells in response to Mogherini’s statement, not yet published but obtained by The Post on Monday, indicates that the mission is scheduled for June, and asks whether results of the “June fact-finding mission to Cambodia” would be made public.

The question also asks the commission to confirm that the European Union delegation in Cambodia was denied access to jailed opposition leader Kem Sokha.

Multiple European Commission representatives and the EU delegation in Cambodia did not respond to requests for comment on Monday.

A participant present at a closed-door meeting between the European Commission and European Parliament on April 25 said the commission had told participants they would first conduct a fact-finding mission in Cambodia in June, and that further steps could be taken after elections.

“After the elections, and also depending on the process, they will consider targeted restrictive measures,” said the source, who spoke on condition of anonymity as the session was not public. “I think [the European Commission] is feeling that business as usual [is] no longer acceptable.”

Though the attendee said the commission did not mention any concrete measures, a previous European Parliament resolution had called for, among others, visa sanctions and freezing assets of high-ranking government officials in response to an ongoing crackdown on the opposition , civil society, and media in Cambodia.

Under the GSP agreement, the tariff preferences can be temporary or fully withdrawn in the case of human rights abuses.

Content image - Phnom Penh Post

According to the European Commission’s 2016-2017 report – published in January – Cambodia is the second-biggest beneficiary of the EBA scheme after Bangladesh, accounting for 18 percent of all EBA imports to the EU.

Also in January, the EU announced enhanced scrutiny in the form of GSP monitoring missions over the following two years for countries in which “strengthened efforts are required due to more serious shortcomings”.

Another January press release indicated that the EU had started the “enhanced EBA monitoring process” for Bangladesh and Cambodia.

Astrid Norén-Nilsson, an expert on Cambodian politics at Lund University, said a partial suspension of the agreement was possible. “I would be surprised if the EU entirely suspended the EBA scheme,” she said. “But it is possible that the EU could partially suspend the scheme after the elections.”

Political commentator Meas Nee said the agreement was tied to human rights and could be suspended in case of breaches. However, he said, timing was important. “They have to wait until after the election,” he said. “In case the government will not be legitimised, then sanctions could be their preference.”

Political analyst Lao Mong Hay, however, warned that imposing EBA sanctions may not have the intended effect.

“To suspend EBA would be tantamount to punishing the innocent workers, producers and exporters and let go those responsible for the present political situation of the country. It would not be right and ethical to do so,” he said in a message. “The real culprits should be punished. They should blamed and shamed, and shunned in international fora.”

MOST VIEWED

  • Cambodia armed with money laundering laws

    Money laundering will now carry a penalty of up to five years in prison while those convicted of financing terrorists will be jailed for up to 20 years, according to new laws promulgated by King Norodom Sihamoni and seen by The Post on Thursday. Comprising nine

  • Schools to be reopened in ‘three stages’

    With guidance from Prime Minister Hun Sen, the Ministry of Education, Youth and Sport, is in the process of reopening schools in three stages. But no timeline has been set, ministry spokesperson Ros Soveacha said on Thursday. Soveacha said the first stage will be to

  • Thai border crossings eased

    The Cambodian Embassy in Thailand said in an announcement on Wednesday that Thailand’s government has allowed certain passengers from several countries to enter its borders. The visitors must go back to their country immediately after their duties in Thailand are fulfilled, the embassy said.

  • Gov’t says tourism recovers slightly despite pandemic

    The Ministry of Tourism and the Phnom Penh municipal administration have recognised 33 tourism businesses in the capital which have consistently implemented safety measures for tourists and adhered to the code of conduct issued by the ministry. Recently, the ministry announced that tourism businesses had to

  • Mull ASEAN border opening, PM urges

    Prime Minister Hun Sen has requested that ASEAN launch a scenario for gradually reopening cross-border travel and trade between countries in the region. He said ASEAN has had more success combating Covid-19 compared to other regions. The prime minister’s request was made at the

  • Ministry reports 11 new Covid-19 cases, reiterates vigilance

    Minister of Health Mam Bun Heng has urged people to continue practising virus prevention techniques after 11 people tested positive for Covid-19 within two days after arriving in the Kingdom. Speaking on Sunday, Bun Heng stressed the importance of washing hands, wearing masks or scarves when

  • Koh Rong land ‘belongs to firm’

    Preah Sihanouk Provincial Administration spokesperson Kheang Phearum told The Post on Sunday that the 35ha being bulldozed by Royal Group Co Ltd in Koh Rong belongs to it after it was leased to it for 99 years by the government in 2008. Phearum said the land does

  • Nine on Indonesia flight Covid-19 positive

    The Ministry of Health on Saturday confirmed nine more imported cases of Covid-19. The nine ‒ eight Cambodians and one Indonesian, aged 22 to 26 ‒ arrived in Cambodia on Thursday via a direct flight from Indonesia and are receiving treatment at the Khmer-Soviet Friendship Hostipal in Phnom Penh.

  • Kingdom’s financial sector healthy

    Cambodia's financial sector remains on a sustainable growth path despite the Covid-19 pandemic squeezing crucial industries, National Bank of Cambodia (NBC) governor Chea Chanto said. Tourism, garments and footwear have borne the brunt of the Covid-19 impact, he said, whereas the financial and agriculture sectors

  • Vietnam told to remove border tents

    Kandal provincial governor Kong Sophoan has ordered local authorities to prohibit the construction of buildings in areas bordering Cambodia and to report any irregularities immediately. Recently, Vietnamese officials removed another seven tents from the border area with Cambodia. His remarks were made on Wednesday afternoon