Minister Edgard Razafindravahy received in audience yesterday British Ambassador David William Ashley. Several topics were discussed by the two men.
This August 12, the British Ambassador David William Ashley was received in audience by the Minister of Industrialization, Trade and Consumption Edgard Razafindravahy in Ambohidahy. The diplomat addressed four topics:
– The new trade policy in favor of developing countries,
– L’UK Trade Partnership (UKTP),
– The renewal of the Madagascar-Great Britain Chamber of Commerce, and
– The situation of the Economic Partnership Agreement (EPA)
Last year, exports from the Big Island to the United Kingdom amounted to 24 million pounds sterling for textiles and 2 million pounds sterling for vanilla. The British market is open for Madagascar. The new trade policy to be announced next week will be even more advantageous for Madagascar. It is a partnership agreement which grants preferences such as zero customs duties and zero quota limits for Malagasy exports to the United Kingdom. This policy is also much more flexible on the rules of origin, allowing our products destined for Great Britain to be made up of only 25% of elements from the country.
Madagascar already benefits from the UKTP, a program that reflects the UK’s commitment to help partners implement and maximize the benefits of EPAs, both within the framework of European EPAs and in anticipation of the implementation of the British EPAs replicated on the UK’s exit from the EU. Last year, for example, 11,000 jobs were created or maintained in the textile sector. Development International Trade’s trade expert. Charlie Morris, will be within our walls in October this year, to explain to all the stakeholders the advantages of the EPA, through a round table, and is already requesting an appointment with Minister Edgard Razafindravahy for a hearing.
The British community wishes to recreate the Madagascar Great Britain Chamber of Commerce, which will be an opportunity to attract more British companies to invest here. Madagascar has enormous potential, only it is necessary to encourage, raise awareness and attract British companies to invest. Some operators are already in the Indian Ocean zone, and might easily be interested in the Big Island.
Industrialization, a salvation
The Economic Partnership Agreement having been signed, the British side asked if it might be ratified. To which the Trade Number One replied that a joint inter-ministerial verbal communication would be presented to the Council of Ministers the week of August 22, which will greatly speed up the procedures.
The Covid years have been difficult for the private sector, reminded Edgard Razafindravahy, we must renew this kind of program within the framework of the EPA and maximize the benefits. 100% in agreement with the re-creation of the Chamber of Commerce, the Minister added that the signature of the Chamber of Commerce will take place very soon.
The salvation of the Malagasy is industrialization, said the minister. We don’t have to wait for wheat from Ukraine or oil from Indonesia, we need factories, that’s what we miss the most. Edgard Razafindravahy wants to work with the United Kingdom because the country needs a few small factories, British brands, such as honey mills, oil mills, small rice mills, because we have to be resilient. The Minister in charge of Industrialization also mentioned the case of Secren, which he wants to revitalize. He is looking for partners, as well as the expertise of the British.
In conclusion of this interview, the ambassador asked for details on the prohibition of child labor in the vanilla sector, as well as the means deployed by the ministry to ensure that producers respect this instruction. The Regional Departments of Industrialization, Trade and Consumption are on site, and are able to check. The Minister recalled that the export approval was withdrawn, and legal proceedings would be launched, if child labor was discovered in the vanilla production chain of an exporter. The MICC works a lot on the elimination of child labor with the ILO.
