REGIONAL INTEGRATION

FIFTH FORM
 DEFINITION OF TERMS
REGIONAL – A BLOC OR GEOGRAPHIC REGION/AREA THAT HAVE THINGS IN
COMMON.
INTEGRATION – COMING TOGETHER FOR A COMMON PURPOSE.
CARICOM – CARIBBEAN COMMUNITY AND COMMON MARKET.
BI-LATERAL AGREEMENT – TRADE AGREEMENT BETWEEN TWO COMPANIES OR
COUNTRIES.
MULTI-LATERAL – TRADE AGREEMENT AMONG SEVERAL COMPANIES OR
COUNTRIES.
MDC’S – MORE DEVELOPED COUNTRIES (GUYANA, BARBADOS, JAMAICA,
TRINIDAD AND TOBAGO AND THE BAHAMAS.
LCD – LESS DEVELOPED COUNTRIES (LEEWARD AND WINDWARD ISLANDS)
 DEFINITION OF TERMS

TRADE LIBERALIZATION IS THE REMOVAL OR REDUCTION OF RESTRICTIONS OR

BARRIERS ON THE FREE EXCHANGE OF GOODS BETWEEN NATIONS. THESE BARRIERS
INCLUDE TARIFFS, SUCH AS DUTIES AND SURCHARGES, AND NONTARIFF BARRIERS,
SUCH AS LICENSING RULES AND QUOTAS.
GLOBALIZATION OR GLOBALISATION IS THE PROCESS OF INTERACTION
AND INTEGRATION AMONG PEOPLE, COMPANIES, AND GOVERNMENTS WORLDWIDE.
... GLOBALIZATION IS PRIMARILY AN ECONOMIC PROCESS OF INTERACTION
AND INTEGRATION THAT'S ASSOCIATED WITH SOCIAL AND CULTURAL ASPECTS
MAJOR CHALLENGES FACING THE
CARIBBEAN REGION
THE MAJOR STAGES IN THE INTEGRATION
MOVEMENT
TIMELINE OF INTEGRATION
 FROM FEDERATION TO CARIFTA

1st attempt made in 1958.

Called the British West Indies Federation
It consisted of ten territories such as Jamaica, Trinidad and Tobago, Barbados, Antigua and Barbuda,
Dominica, Grenada, Montserrat, St. Kitts-Nevis-Anguilla, St. Lucia and St. Vincent
West Indies Federation was a political union with a federal government headed by an executive governor
general. Consisting of representatives elected by the people of all member islands.
 HQ was in Port of Spain, Trinidad
W.I. Federation collapsed in 1962.
 AIM OF FEDERATION

 To strengthen the movements for self government

 To promote economic development

 To safe the democratic system of government
 ACHIEVEMENTS OF FEDERATION

Federation facilitated the movement from colonialism to independence through a

united voice.
The coming together of small states strengthened their effectiveness in dealing
with international bodies such as the united nation.
 WHY DID FEDERATION COLLAPSED?

The masses were not educated on the importance of federation

Communication among islands including shipping, telephone, and postal services was inefficient
Envy and jealousy among member states
Distrust by the smaller states of the larger members’ (ja. & T’dad) proposal to prematurely
change the constitution of the federation.
 WHAT WAS THE FINAL NAIL THAT WAS
DRIVEN IN FEDERATION’S COFFIN?
Jamaica referendum on federation. The PNP supported it; the JLP opposed it.
Jamaican people voted to withdraw from the union.
Dr. Eric william’s now famous statement summed up the demise of federation:“ ten minus one
equals zero”.
Jamaica “killed” the w.I. Federation
 CARIFTA

Decision to create CARIFTA (Caribbean Free Trade Association) was signed by Antigua, Barbados Trinidad and
Tobago and Guyana in 1965 ( three years later).Came fully into being in 1968.
Aim of Carifta was to foster economic and social development by encouraging free trade among member states.
Territories which joined in 1968 are Dominica, Grenada, St. Kitts and Nevis, Anguilla, St. Lucia and St. Vincent
and the Grenadines
In 1971 Jamaica, Belize and Montserrat
The Caribbean Development Bank was established at this time with the purpose of providing resources to those
countries whose economies could be regarded as “less developed”
 WHAT HAPPENED TO CARIFTA?

 It metamorphisized – it changed into something else

Unlike federation, CARIFTA did not fail! Member states started to see benefits, so they decided
to expand and deepen co-operation by forming CARICOM in 1973 .
 CARIBBEAN COMMUNITY (CARICOM)

Caribbean Community and Common Market was established on July 4, 1973 with the signing of the
treaty of Chaguaramas (Trinidad)
Original signatories were Barbados, Trinidad, Jamaica and Guyana.
The treaty of Chaguaramas came into effect on august 1, 1973.
Additional members - less developed countries signed the treaty on April 17, 1974; Belize,
Dominica, Grenada, Montserrat, St. Lucia, & St. Vincent. Others joined later on – all English
speaking Caribbean.
Non-English –speaking members joined later on; Surinam in 1995 & Haiti in 1997.
 MAIN OBJECTIVES OF CARICOM

Improve economic development of member states through the introduction of free trade (now
called the CSME – Caribbean Single Market and Economy).
Functional co-operation in shipping, air transport, meteorology, health, technical assistance,
education & training, culture and broadcasting.
Common policies in dealing with non-member states
 CARICOM SECRETARIAT

The Caricom Secretariat is the principal administrative body within the Community. It is headed by the
Secretary General who is the Chief Executive Officer of the Community. The main functions of the
Secretariat are to:
 initate or develop proposals for consideration and decision by the relevant organs
 initiate, organize and conduct studies
provide, on request, services to member states on Community – related matters
 service meetings of organs and bodies of the Community and take appropriate follow – up action on
decisions taken
 collect, store and disseminate relevant information to member states
 CARICOM SECRETARIAT

assist Community organs in the development and implementation of proposals and programmes
mobilizes resources from donor agencies to assist in the implementation of community programmes
 prepare the draft work programme and budget of the secretariat for examination by the budget
committee
provide, on request, technical assistance to the national authorities to facilitate implementation of
Community decisions
conduct, as mandated, fact-finding assignments in member states
 ORGANIZATION OF EASTERN CARIBBEAN
STATES (OECS)
The Organization of eastern Caribbean states (OECS) is an international inter-governmental
organization dedicated to regional integration in the eastern Caribbean.
This is the cooperation of countries who signed the treaty of Basseterre in 1981 to work together
for a common interest like peace, stability and wealth.
 Member States include Antigua and Barbuda, Dominica, Grenada, Montserrat, St. Kitts and
Nevis, St. Lucia, and St. Vincent and the Grenadines
 The British Virgin Islands joined as an associate member in 1984, as did Anguilla in 1995.
 ORGANIZATION OF EASTERN CARIBBEAN
STATES (OECS)
• The main objective of the Organization of eastern Caribbean states (OECS) is to create an economic union
(goods, capital, and people).
Other aims of the Organization of eastern Caribbean states are:
• To support the economic integration in the region
• To encourage the economic cooperation between the member countries
• To harmonize the fiscal and monetary policies
• To develop the member countries strategic sectors (energy, tourism, agriculture, logistics)
• To develop a common approach to the environment, health, and regional trade
 FUNCTIONS OF THE OECS SECRETARIAT

 The OECS headquarters is located in St. Lucia and headed by a director general who has overall
responsibility for the authority
 The main duty of the OECS Secretariat is to coordinate the functions of the organization as set
out in the establishing Treaty of Basseterre
The Secretariat:
 has oversight of the organization which seeks to make responses to the challenges facing the
economic and social stability of its members as a result of processes such as globalization and
trade liberalization
 ensure that all policy decisions are taken with due regard to their cost-effectiveness, given the
limited fiscal resources of its members
THE STRUCTURE OF THE OECS
SECRETARIAT
 CONFERENCE OF HEADS OF GOVERNMENT
The Conference of Heads of Government consists of the heads of government of member states
and is the highest decision-making body in CARICOM. Its functions are:
 determine the policy direction of the Community and is the final authority for the conclusion of
treaties on behalf of the Community and for entering into relationships between the Community
and international organizations and states
 is the final authority on questions arising concerning the financial affairs of the Community
 establishes organs and bodies as necessary to achieve the objectives of the Community
 issues directives in relation to the policies to be pursued
 establishes procedures for consulting with other entities and organizations within the Caribbean
ASSOCIATION OF CARIBBEAN STATES (ACS)
 It was signed on 29 July 1994 in Cartagena de Indias in Colombia.
 Members of the association are Antigua and Barbuda, the Bahamas, Barbados, Belize, Colombia,
Costa Rica, Cuba, Dominica, Dominican Republic, El Salvador, Grenada, Guatemala, Guyana,
Haiti, Honduras, Jamaica, Mexico, Nicaragua, Panama, St. Kitts and Nevis, St. Lucia, St. Vincent
and the grenadines, Suriname, Trinidad and Tobago and Venezuela
 Associate members are Aruba, France (on behalf of the French Guiana, Guadeloupe and
Martinique), the Netherlands Antilles, and Turks and Caicos.
The functions of the ACS are based on:
 strengthening regional cooperation and the integration process
creating an enhanced economic space in the region
Preserving the environmental integrity of the Caribbean Sea
Promoting the sustainable development of the Greater Caribbean
 ASSOCIATION OF CARIBBEAN STATES (ACS)

The association has a Ministerial Council, which is the principal organ for decision-making and
of overseeing the direction of the association, and a Secretariat which deals with administration.
Five special committees consider: trade development and external economic relations,
sustainable tourism, transport, natural disasters and budget and administration
 The Council meets at a summit each year in a different location within the region
 CARICOM SINGLE MARKET AND ECONOMY
(CSME)
The single market
The key element within the idea of a single market are:
free movement of goods and services
 rights of establishment
free movement of capital
 free movement of skilled labour
 a common trade policy
 a common external tariff
free circulation
The single economy
A single economy would see harmonization of:
 legislation
 fiscal policy measures
 monetary policy measures
 economic policy measures
 FACTORS THAT PROMOTE REGIONAL
INTEGRATION
There are many similarities among islands of the Caribbean. These similarities are the basis on which
the islands saw it fitting to integrate with one another to achieve certain goals that they would not have
been able to achieve by themselves. These similarities are:
 similar social problems
 similar goals
 limited resources
 similar history
 vulnerable to natural disaster
 similar culture
 similar language
 effects of globalization
FACTORS THAT HINDER REGIONAL
INTEGRATION
 PROBLEMS FACING THE CARIBBEAN
REGION
Islands do not have enough persons to sell to within there borders, do not produce a variety of
goods, there is high unemployment and do not produce enough goods to sell in order to make
large profits
Vulnerable to natural disasters, do not have enough money to spend to develop there industries,
they import more than they export, they owe a lot of money as result of borrowing to sustain
themselves and they often prevented from selling there goods in rich countries
They do not often use adequate technology to increase production and they lack sufficiently
skilled persons
• Improve market efficiency;
• Share the costs of public goods or large infrastructure projects;
• Decide policy cooperatively and have an anchor to reform;
• Have a building block for global integration;
• Reap other non-economic benefits, such as peace and security
 NEGATIVE EFFECTS OF GLOBALIZATION
AND FREE TRADE
• Destruction of businesses as a result of an importation of cheap goods
• Destruction of the local culture
• Drastic reduction in the population as a result of migration
• Islands owing large sums of money to big rich countries as a result of borrowing
 REGIONAL AGENCIES INVOLVED IN THE
INTEGRATION PROCESS
Economic integration
Some of the Major agencies involved in economic integration are:
 Council for Trade and Economic Development (COTED)
 Council for Finance and Planning (COFAP)
 Office of Trade Negiotations (OTN)
 Committee of Central Bank Governors (CCBG)
 Caribbean Organization of Tax Administrators (COTA)
 Caribbean Regional Fisheries Mechanism (CRFM)
 CARICOM Regional Organization for Standards and Quality (CROSQ)
 Caribbean Telecommunications UNION (CTU)
 CARICOM Competition Commission (CCC)
 REGIONAL AGENCIES INVOLVED IN THE
INTEGRATION PROCESS
Functional integration covers area of life such as education, agricultural development and public health
 Caribbean Examination Council (CXC)
 University of the West Indies (UWI)
 Pan Caribbean Partnership Against HIV/AIDS (PANCAP)
 Caribbean Agricultural Research and Development Institution (CARDI)
 Caribbean Centre for Development Administration (CARICAD)
 Caribbean Disaster Emergency Management Agency (CDEMA)
 Caribbean Meteorological Organization (CMO)
 Caribbean Public Health Agency (CARPHA)
 Council of Legal Education (CLE)
 Caribbean Community Climate Change Centre (CCCCC)
 REGIONAL AGENCIES INVOLVED IN THE
INTEGRATION PROCESS
Foreign Policy Coordination
 Council for Foreign and Community Relations (COFCOR)

Crime and Security

Council of Ministers responsible for National Security and Law Enforcement (CONSLE)
 Caribbean Aviation Safety and Security Oversight System (CASSOS)
 Implementing Agency for Crime and Security (IMPACS)
 Regional Security System (RSS)

Sports
 OECS Sports Desk
 West Indies Cricket Board
 Confederation of North, Central American and Caribbean Association Football (CONCACAF
 REGIONAL AGENCIES INVOLVED IN THE
INTEGRATION PROCESS

Media
The Caribbean Media Corporation (CMC)
 The Caribbean News Agency (CANA)
Other Organizastions
Caribbean Council
Caribbean British Business Council (CBBC)
 The Caribbean Corporate Governance Forum (CCGF)