TRADE POLICY REVIEW:

Concluding remarks by the Chairperson

See also:
 

This third Trade Policy Review of Mauritius has given us an opportunity to considerably improve our understanding of its trade and related policies, and their evolution since its previous Review in 2001. Our discussions have greatly benefited from the participation of Mr. Anand Priya Neewoor, Secretary for Foreign Affairs, and his delegation. I would also like to thank our discussant, Mr. Henning Stirǿ, for his thought-provoking contribution, and delegations for their thoughtful interventions.

Members commended Mauritius on its reforms that have, since 2003, resulted in the recovery of its economy. Mauritius has taken steps to liberalize trade by significantly increasing the number of duty-free import items, and therefore reducing the simple average tariff. It has also eliminated the discrimination in the implementation of tariffs and other duties based on the sources of imports. Customs procedures have been simplified through the introduction of a channel system in 2003. In addition, Mauritius has reformed its investment regime by eliminating most of its incentive schemes and moving toward a more general regime, based on low taxes and promotion of targeted projects. Referring to Mauritius' plans to become a duty-free island, Members sought information about the way this would be reconciled with its participation in regional agreements aiming at customs unions.

Members encouraged Mauritius to further improve the transparency of its trade regime by making key notifications, notably in agriculture. The regime would also gain in predictability if the scope of tariff binding were extended, the gaps between applied and bound rates reduced, and the existing services commitments enhanced to make them better reflect the actual more liberal services sector. Elimination of non-tariff barriers would improve the transparency of Mauritius' trade regime. Members urged Mauritius to bring other duties on tea imports to their bound level. Mauritius was also encouraged to accelerate the legislative process, notably in the areas of competition and intellectual property rights, and to become an observer to the Plurilateral Agreement on Public Procurement.

Clarification was sought on the investment regime for foreigners in tourism services. Other issues of interest to Members included government intervention in the economy; increasing use of specific tariffs; policy and perspectives for the textile and apparel industry; legislation on professional services; energy; and Aid for Trade needs.

Members appreciated the responses provided by the delegation of Mauritius.

In conclusion, Members were appreciative of Mauritius' trade reforms and of its active participation in the multilateral trading system. They urged Mauritius to pursue its reforms and take further steps to enhance the predictability of its trade regime, mainly through the extension and improvement of its multilateral binding commitments on goods and services. Members could help Mauritius in its adjustment efforts, including the dismantling of its capacity constraints, by providing assistance through the Aid for Trade framework, a concept Mauritius actively helped to develop. 

  

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