REVISED TREATY OF CHAGUARAMAS ESTABLISHING THE CARIBBEAN COMMUNITY INCLUDING THE CARICOM SINGLE MARKET AND ECONOMY 

CHAPTER FOUR
POLICIES FOR SECTORAL DEVELOPMENT

 PART ONE
 INDUSTRIAL POLICY

ARTICLE 51
Objectives of the Community Industrial Policy

1. The goal of the Community Industrial Policy shall be market-Ied, internationally competitive and sustainable production of goods and services for the promotion of the Region's economic and social development.

2. In fulfilment of the goal set out in paragraph 1 of this Article, the Community shall pursue the following objectives:

(a) cross-border employment of natural resources, human resources, capital, technology and management capabilities for the production of goods and services on a sustainable basis;

(b) linkages among economic sectors and enterprises within and among the Member States of the CSME;

 (c) promotion of regional economic enterprises capable of achieving scales of production to facilitate successful competition in domestic and extra-regional markets;

(d) establishment of a viable micro and small economic enterprise sector;

(e) enhanced and diversified production of goods and services for both export and domestic markets;

(f) sustained public and private sector collaboration in order to secure market-Ied production of goods and services;

(g) enhanced industrial production on an environmentally sustainable basis;

(h) balanced economic and social development in the CSME bearing in mind the special needs of disadvantaged countries, regions and sectors within the meaning of Article I; and 33.

 (i) stable industrial relations.

ARTICLE 52
Implementation of Community Industrial Policy

1. In order to achieve the objectives of its industrial policy, the Community shall promote, inter alia:

 (a) the co-ordination of national industrial policies of the Member States;

(b) the establishment and maintenance of an investment-friendly environment, including a facilitative administrative process;

(c) the diversification of the products and markets for goods and services with a view to increasing the range and value of exports;

 (d) the organisation and development of product and factor markets;

(e) the development of required institutional, legal, technical, financial, administrative and other support for the establishment or development of micro and small economic enterprises throughout the Community; and

(f) in collaboration with the social partners, the advancement of production integration.

2. The Community shall establish a special regime for disadvantaged countries, regions and sectors.

3. COTED shall, in collaboration with competent organs and bodies of the Community and the private sector; establish criteria for according special consideration to particular industries and sectors. Such criteria shall include, in particular; arrangements relating to the prospects of the industry for successful production integration.

 4. COTED shall collaborate with competent agencies to assist the Member States in designing appropriate policy instruments to support industries, which may include effective export promotion policies, financing policies, incentives and technology policies.

5. In implementing the Community Industrial Policy, COTED shall have regard to the provisions of this Treaty relating to environmental protection.

6. The Member States undertake to establish and maintain appropriate macro-economic policies supportive of efficient production in the Community. In addition, they shall undertake to put in place arrangements for; inter alia:

(a)  effective payment mechanisms;

(b) the avoidance of double taxation;

(c) harmonised legislation in relevant areas;

(d) the elimination of bureaucratic impediments to deployment of investments in industrial enterprises;

(e) the improvement of infrastructure and co-operation in the areas 34.  of air and maritime transport;

(f) communications systems.

7. In order to facilitate the implementation of the Community Industrial Policy, COTED shall, in collaboration with competent organs and agencies:

 (a) develop strategies for the development and dissemination of market information and appropriate mechanisms to facilitate acquisition, storage and retrieval of such information;

(b) promote the establishment and development of capital markets in the Member States; and

 (c) encourage the Member States to establish and develop export markets, especially in non-traditional sectors, through the development of sector-specific incentives and appropriate policy instruments.

8. For the purpose of this Article, "production integration" includes:

(a) the direct organisation of production in more than one Member State bya single economic enterprise;

(b) complementary production involving collaboration among several economic enterprises operating in one or more Member States to produce and use required inputs in the production chain; and

(c) co-operation among economic enterprises in areas such as purchasing, marketing, and research and development.

ARTICLE 53
 Micro and Small Economic Enterprise Development

1. The Community shall adopt appropriate policy measures to encourage the development of competitive micro and small economic enterprises in the Member States.

2. Without prejudice to the generality of the foregoing, the competent Organ shall encourage policy initiatives and the establishment of effective programmes to foster a facilitative legal, economic, and administrative framework in the Member States to enhance micro and small economic enterprise development, and shall promote:

(a) the development of the capacities of national and regional support agencies for micro and small economic enterprises, including the creation of entrepreneurial centres, byorganising technical assistance inclusive of planning, delivery and evaluation of support services to the sector;

(b) access to, improvement in the quality o~ and opportunities for training and education in areas such as technical skills, entrepreneurial competence and business management for micro and small entrepreneurs;

(c) access by micro and small economic enterprises to the technical assistance provided by the support agencies;

(d) the establishment, development or modernising, as the case may require, of financial institutions to provide, to micro and small economic enterprises, services by way of appropriate and innovative instruments;

(e) innovation within the micro and small enterprise sector;. and

(f) the creation of, and access to, trade and technology information networks.

3. For the purposes of this Article, micro and small economic enterprises shall be economic enterprises within the meaning of Article 32 that satisfy such other criteria as may be determined by the competent authorities.

ARTICLE 54
Development of the Services Sector

1. COTED shall, in collaboration with the appropriate Councils, promote the development of the services sector in the Community in order to stimulate economic complementarities among, and accelerate economic development in, the Member States. In particular; COTED shall promote measures to achieve:

(a)  increased investment in services;

(b) increased volume, value and range of trade in services within the Community and with third States;

(c) competitiveness in the modes of delivering services; and

(d) enhanced enterprise and infrastructural development, including that of micro and small service enterprises.

2. In order to achieve the objectives set out in paragraph 1, the Member States shall, through the appropriate Councils, collaborate in:

(a) designing programmes for the development of human resources to achieve competitiveness in the provision of services;

(b) establishing a regime of incentives for the development of and trade in services; and

(c) adopting measures to promote the establishment of an appropriate institutional and administrative framework and, in collaboration with the Legal Affairs Committee, promote the establishment of the appropriate legal framework to support the services sector in the Community.

 3. In the establishment of programmes and policies of the Community for the development of the services sector; the relevant Councils shall give priority to:

(a) the efficient provision of infrastructural services including telecommunications, road, air; maritime and riverain transportation, statistical data generation and financial services;

(b) the development of capacity-enhancing services including education services, research and development services;

(c) the development of services which enhance cross-sector competitiveness;

(d) the facilitation of cross-border provision of services which enhance the competitiveness of the services sector; and

(e) the development of informatics and other knowledge-based services.

ARTICLE 55
Sustainable Tourism Development

1. The Community shall, in collaboration with competent international organisations, formulate proposals for sustainable tourism development. These proposals shall recognise the importance of the tourism sub-sector to the economic development of the Region, and the need to conserve its cultural and natural resources and to maintain a balance between a healthy ecology and economic development.

2. The programme for sustainable tourism development shall have the following objectives:

(a) an enhanced image for the Region as a tourist destination;

(b) a diversified tourism product of a consistently high quality;

(c) an expanded market-base;

(d) education programmes designed to ensure that appropriate practices are pursued by service.providers;

(e) linkages with other sectors in the economy;

(f) conservation of the natural and cultural resources of the Region through proper management; and

(g) appropriate infrastructure and other services in support of tourism, considering the natural and social carrying-capacity of the Member States.

 

PART TWO
AGRICULTURAL POLICY

ARTICLE 56
The Community Agricultural Policy

1.The goal of the Community Agricultural Policy shall be:

(a) the fundamental transformation of the agricultural sector towards market-oriented, internationally competitive and environmentally sound production of agricultural products;

(b) improved income and employment opportunities, food and nutrition security, and poverty alleviation in the Community;

(c) the efficient cultivation and production of traditional and non- traditional primary agricultural products;

(d) increased production and diversification of processed agricultural products;

(e) an enlarged share of world markets for primary and processed agricultural products; and

 (f) the efficient management and sustainable exploitation of the Region's natural resources, including its forests and the living resources of the exclusive economic zone, bearing in mind the differences in resource endowment and economic development of the Member States.

ARTICLE 57
 Implementation of the Community Agricultural Policy

1. For the achievement of the goal set out in Article 56, the Community shall, through competent Community Organs and Bodies, promote and support:

(a) the production, diversification, processing and marketing of agricultural products;

(b) the establishment of effective agricultural financing systems, including insurance, bearing in mind the special needs of artisanal fishers, small farmers, foresters and agro-processors;

(c) the establishment of linkages among the Member States with complementary natural resources, industries, agricultural skills and technical abilities,.

(d) the development of human resources and delivery systems responsive to the requirements of the agricultural sector;

(e) the development of appropriate policies for the use of land and marine space with a view to increased agricultural production;

(f) appropriate land tenure systems to provide the farmer with security of tenure;

(g) the establishment of effective information and market intelligence services;

(h) research and development with a view to the adaptation, dissemination and application of appropriate technologies at all levels of the sector and all stages of production;

(i) the adoption of effective measures for rural enterprise development;

j) public education to enhance the economic and social profiles of agriculture, particularly among the youth;

(k) the establishment of an effective regime of sanitary and phytosanitary measures;

(I) the establishment of a policy environment designed to attract investment to the agricultural sector; and

(m) technical co-operation and the dissemination of knowledge in agriculture.

2. For the purpose of assisting the Member States to implement the agricultural policy set out in paragraph 1, COTED shall establish effective support measures including:

(a) strengthening the relevant administrative and institutional framework to modernise and enhance the competitiveness of agriculture by:

(i) improving the capability of the Member States to undertake policy analysis, formulation, planning, execution and resource mobilisation for the development of the sector;

(ii) investigating and analysing developments in the agri-food sector; and

(iii) improvement of the collection, analysis and dissemination of empirical data and other relevant information;

(b) upgrading of national and regional capabilities in the areas of sustainable natural resources management;

(c) enhancement of the capabilities of the Member States in the areas of agricultural trade analysis and negotiations; and

(d) promotion of a mechanism for the collaboration of farmers, fishers, foresters and the social partners in agricultural development.

3. The Community shall:

(a) promote collaboration among the Member States and competent regional organisations in the areas of policy formulation and implementation of regional agricultural policies; and

(b) establish an effective regime to protect regional agricultural production from dumping, subsidisation and other unfair trading practices.

4. The Community shall, as a matter of priority, and in collaboration with national, regional and international agencies and organisations, promote and adopt measures relating, inter alia, to:

(a) the provision of appropriate inputs; and

(b) the development of infrastructure, such as port facilities, drainage, irrigation, access roads, post-harvest handling and marketing facilities.

ARTICLE 58
Natural Resource Management

1. The Community shall adopt effective measures to assist the Member States in the management of their natural resources in support of the transformation and sustainable development of the agricultural sector.

2. Without prejudice to the generality of paragraph 1 and to obligations of Member States under existing international agreements, the Community shall adopt measures for:

(a) the effective management of the soil, air and all water resources, the exclusive economic zone and all other maritime areas under the national jurisdiction of the Member States; and

(b) the conservation of biological diversity and the sustainable use of biological resources of the Member States, especially those of important medicinal and traditional value.

ARTICLE 59
Marketing of Agricultural Products

1. The Community shall, in collaboration with competent national, regional and international organisations, promote the development of effective agricultural marketing systems in order to respond to, influence and generate market demand for agricultural products of the Member States.

2. In effecting the promotion referred to in paragraph 1, the Community shall pay particular attention to:

(a) market information, intelligence and planning;

(b)  improved post-harvest technology;

(c) risk insurance;

(d)  and efficient distribution services.

3. In order to accomplish the objectives referred to in paragraph 1, the Community shall adopt measures to promote:

(a)  the establishment of a regional market information system;

(b) the improvement of production and market information systems of the Member States in order to facilitate, inter alia, the efficient co-ordination of marketing strategies and systems;

(c) institutional arrangements including producer associations and joint venture marketing enterprises in order to respond to existing and changing market conditions;

(d) niche marketing;

(e) linkages between agriculture and other sectors in particular, the tourism sector;

(f) the identification and utilisation of sources of low cost alternative inputs;

(g) the establishment and adoption of regional standards and specifications compatible with international standards for products being traded;

(h) enhanced productivity and food quality;

(i) insurance coverage for primary agricultural products; and

(j)   the development of efficient distribution services to facilitate intra-regional and extra-regional marketing.

4. In pursuance of the need to generate market demand for agricultural products of the Member States and to promote the agricultural development of the Less Developed Countries, the Member States shall agree to the arrangements for marketing oils and fats set out in Schedule III.

ARTICLE 60
Fisheries Management and Development

1. The Community, in collaboration with competent national, regional and international agencies and organisations, shall promote the development, management and conservation of the fisheries resources in and among the Member States on a sustainable basis.

2. The Community shall effect the promotion and facilitation referred to in paragraph 1 by:

(a) enhancing the institutional capabilities of the Member States in areas such as policy formulation, registration and management systems, resource monitoring and assessment, and harvesting and post-harvesting technologies;

(b) establishing mechanisms to provide assistance in:

(i) the development, management and conservation of the fisheries resources;

(ii) the discharge of obligations relating to fisheries resources arising under Articles 62, 63 and 64 of the United Nations Convention on the Law of the Sea (1982).

(c) effective regional representation at international for a; 

(d) establishing development programmes for aquaculture;

(e) encouraging the establishment of protected aquatic habitats and associated terrestrial areas and fish populations for the sustainable development of fisheries resources of the Member States; and

(f) establishing, facilitating and strengthening research and human resource development at the professional, technical and vocational levels.

3.  The Community shall collaborate with the Member States in:

(a) the management of straddling and highly migratory fish stocks;

(b) ongoing surveillance of their exclusive economic zones;

(c)  the delimitation of maritime boundaries; and

(d) safeguarding their marine environment from pollutants and hazardous wastes.

4. Without prejudice to the provisions of Article 56, COFCOR shall promote the establishment of a regime for the effective management, conservation and utilisation of the living resources of the exclusive economic zones of the Member States.

5. For the purpose of this Article, "fisheries resources" includes all the fishable resources, natural and cultured, in the inland and internal waters, territorial seas and the exclusive economic zones of the Member States.

ARTICLE 61
Forest Management and Development

1. The Community shall, in collaboration with competent national, regional and international agencies and organisations, promote the development, management and conservation of the forest resources in the Member States on a sustainable basis.

2. The Community shall effect the promotion and facilitation referred to in paragraph 1 by formulating policies and programmes for:

(a) the management of its forest resources;

(b) the integration of forest development in rural communities;

(c) enhancing the institutional capabilities of the Member States to design and implement forest management systems;

(d) establishing, facilitating and strengthening programmes for research and for human resource development at the professional, technical and vocational levels;

(e) encouraging public and private sector participation in the development and application of technology;

(f) providing incentives for forestry development to stimulate domestic, regional and foreign investment in the forestry sub- sector;

(g) harmonising standards for quality assurance, compatible with international specifications;

(h) promoting commercialisation of natural forest products in a sustainable manner; and

(i) undertaking national forest inventories.

3. For the purposes of this Article, "forest resources" are those natural assets of forest lands, including timber and other forest products, biological diversity, recreation, fish and wildlife habitat, wilderness, flora and fauna, air, water and soil.

ARTICLE 62
Saving

The provisions of this Chapter are without prejudice to obligations of the Member States under existing international agreements.