THE HON. Minister of Finance and Economic Planning, Mr. Kwadwo Baah-Wiredu has indicated that while the EU would be prepared to further open up its market for Africa, Caribbean and Pacific (ACP) countries' products and to tackle other trade barriers, "we on our part are expected to implement policies to strengthen our supply capacity and reduce transaction costs".

This indication was made known in a speech read on his behalf by Mrs.Simson Ekuban, in a conference on Private Sector Development, Regional Integration and the Economic Partnership Agreement (EPA) between West Africa as well as the European Union (EU) held in Accra.

He said fervent efforts were being made by "us all towards the full implementation of the Cotonou Partnership Agreement signed between the EU and a number of Africa, Caribbean and Pacific (ACP) States in 2000 which focuses on mixed Aid and Trade arrangements".

Trade preferences, he stated, have permitted several ACP countries to improve their export performances to further their development through trade relations between the ACP countries and the EU over the years.

Expected loss of revenue accruing from the customs and excise duties in the short term for the support of "our development efforts including support to the private sector was as a result of the abolition of customs barriers among member states", the establishment of the "free trade areas between us and our partners to end the non-reciprocal trade regime currently in place and its impact in the short term on our domestic firms" were among other concerns, raised by the Minister.

Touching on the way forward, he noted "we have to explore other avenues for revenue generation as a country as well as increase production and supply, attract investment and strengthen the competitiveness or our private sectors through the new trade agreement which aims at assisting ACP countries including Ghana".

Addressing modalities, assessing the challenges and opportunities, he noted, should be catalysts for achieving greater collaboration among Ghanaian, European in addition to West African investors.

He therefore stressed the need that the EPAs were designed with maximum flexibilities to take account of the economic, social and environmental constraints of the ACP countries, and their capacity to adapt to the new trading environment.

Also speaking was the European Union Ambassador, Mr. Filiberto Ceriani Sebregondi, who said the EPAs gradual integration of the ACP countries into the world economy would be based on diversity, quality and competitiveness instead of tariff preference dependence.

He added that the Private Sector would provide the jobs and investment needed to alleviate poverty, noting the EPA was going to also create a better framework for business to operate.

Mr. Sebregondi emphasized that even though the EPAs were tool for development, the Private Sector has to be part of the process and engage in constructive contributions.

He hinted that urgent work has to be done in the following areas to anchor efforts into a partnership agreement with the EU - 64 days to start a new business; 18 signatures necessary to ship cargo from Africa (OECD: 3); transparent rules in public procurement could cut costs by a third and reduce corruption along with complicated and long import - and export procedures.

The Deputy Minister of Trade, Industry, Private Sector Development and President's Special Initiatives, Hon.Kwadwo Affram Asiedu, also stated that "our inability to respond to market access opportunities have been attributed to what have now come to be known as 'supply-side constraints'.

Factors that accounted for these include inadequate productive capacity, stringent rules of origin; difficulty in meeting sanitary and phyto-sanitary measures and technical standards, identifying lack of competitiveness as a significant factor.

He however, noted that Ghana had already implemented a number of support programmes and activities, which would help, build the capacity and competitiveness of "our micro, small and medium-sized enterprises (MSMEs).

Featured were; the establishment of an SME and Technology Directorate to provide strategic policy direction and guidance for the development of the sector; strengthening of support institutions, such as the NBSSI, GEPC, EMPRETEC among others working in the field of entrepreneurs and enterprise development; establishment of Export Trade Houses to facilitate the export of non-traditional products to Ghana's major trading partners in the US, Europe, Middle East and West Africa and many others.