Nairobi — The European Union said yesterday that it would strike a balance between opening its markets and retaining preferential trade access for African countries.

Mr Karl Falkenberg, the EU trade representative attending the African Union meeting on trade in Nairobi, told reporters that they would approach trade issues under the World Trade Organisation and the Economic Partnership Agreements with an open mind.

Mr Falkenberg said EU was keen to see Africa not lose the preferential status, but said the interests of the continent need to be differentiated with those of bigger players like Brazil, China and India.

"We do not expect an ambitious contribution from Africa," he said of Doha Round world trade negotiation for liberalisation of industrial trade dubbed Non-Agriculture Market Access.

"Preferential access will come under pressure under Doha but we need to get a proper balance while improving access to African markets." He noted the large countries could end up blocking African food exports to the European Union.

The point of view extends to the African Caribbean and Pacific nations that are currently negotiating reciprocal trade arrangements called Economic Partnership Agreements. Additionally, he said EU was reducing farm subsidies to its farmers and had in particular targeted those destined for Africa. These would be phased out completely by 2013.

He also commented on the Kenya flower industry which he said was not at all threatened by the changing trade rules. "I am very optimistic of the future of Kenya flower exports to the European Union," he stated adding that under the agreements, the success of the sector which has seen it overtake Colombia especially in cut-flowers would be built upon.

On timely conclusion of the Doha Round, Mr Falkenberg said the bloc was trying to complete them on time although he agrees that is an ambitious target.

However, he claimed the EU was keen on helping the developing countries reap maximum benefits out of the talks. He noted EU had fully removed quotas and duties on developing countries products unlike the US which was offering 97 per cent.

The EU man announced that the bloc was offering Euros 75 million to aid drought-stricken countries of the eastern Africa region, Euro 25 million of which would go to Kenya.

The bloc would offer cash for local purchases instead of flooding the region with imported food.

Earlier this week, the AU asked member states to offer a common stand in negotiating trade pacts with rich countries, with Kenya's Trade minister Mukhisa Kituyi noting that poor nations must seek improved terms in the Doha round of world trade talks.