Fred Mitchell Blasted on the CARICOM Single Market and Economy - CSME Debate

Mitchell Blasted On CSME

By Candia Dames

candiadames@hotmail.com

Nassau, The Bahamas

June 20, 2005

Chairman of the government-appointed Bahamas Financial Services Consultative Forum Brian Moree believes it was unfortunate that Minister of Foreign Affairs Fred Mitchell deemed it appropriate last week to "impugn and demean" the views and motives of certain persons who opposed his views on the CARICOM Single Market and Economy.

"In doing so the Minister seemed to think that this somehow vindicated his position or strengthened his case on CSME.  I think, with respect, that he was wrong and in doing so he did not enhance his cause or the dignity of his office by resorting to name calling and finger pointing," said Mr. Moree, who also commended the government for "listening to and considering the views of the Bahamian" people on CSME.

During his address one week ago today, Minister Mitchell announced that the government will not be signing the Revised Treaty of Chaguaramas within this present term, and lashed out at various individuals who had opposing views on whether the country should join the regional agreement.

Minister Mitchell said that some detractors of the CSME were false prophets who opposed the independence of The Bahamas back in the early 1970's and are now crying crocodile tears over the issue of CSME and an alleged threat to the country's sovereignty.

He also named several people directly, including Mr. Moree, whom he accused of spreading misinformation on the issue.

But Mr. Moree, in his statement issued over the weekend, said, "The simple fact is that the Minister, as the lead spokesman for the government, failed to convince thousands of Bahamians that signing the Revised Treaty was in the national interest of our country.

"If he is unhappy with that position he should not seek solace in lambasting those who did not share his view.  Rather, I respectfully suggest that it would be more constructive for the Minister to focus on the relevant issues and at least countenance the thought that there might be some merit in views other than his own."

Refuting more of what the Minister said in the House of Assembly last week, Mr. Moree added, "I regret that it is necessary to remind the Minister that those of us who do not agree with his assessment of the CSME are not unintelligent, confused, uninformed or misguided.

"My opposition to the CSME is not, and has never been, politically motivated or in any way related to the Minister in his personal capacity.  I repeatedly made the point in my public statements that the CSME is not a political issue and the national debate should proceed on that basis."

Referring to Mr. Moree, Minister Mitchell in his address said that as the chairman of The Bahamas Financial Services Consultative Forum, caused "quite a stir in the community" when his group released an immigration report suggesting that the immigration laws of The Bahamas should be liberalized to allow for more foreign workers to come and work in the financial services sector.

"Now he comes a few months later and says that we must not sign onto the CSME provisions because they would allow the free movement of people," the Minister said.  "I must be missing something here.  What is the principle at stake here?  If you believe in liberalized immigration what problem in principle then do you have with the CARICOM treaty which believes in liberalized immigration?

"But I have to add quickly, the government is not proposing anything to do with the free movement of people.  That reservation is proposed and already agreed.  It is the existing situation and status quo.  But you know never let the truth interfere with a good story."

Mr. Moree also responded to the Minister's comments in this regard.

 "He characterized that report as suggesting that the immigration laws of The Bahamas should be liberalized to allow foreign workers to come and work in our financial services sector," Mr. Moree noted.

"Remarkably, and with no basis in truth, the Minister then boldly attributed to me the position that The Bahamas 'should not sign onto the CSME provisions because they would allow the free movement of people'.

"As I am the chairman of the forum, the Minister ridiculed this position which he attributed to me on the CSME as contradictory to the contents of the report.  The Minister was clearly inferring that I was advancing irreconcilable positions, apparently in an attempt to discredit my opposing view on the CSME.  This is a most convoluted and distorted thought process."

Mr. Moree pointed out that he did not object to the CSME simply because it would allow the free movement of people.

"While that is certainly a legitimate concern for many Bahamians, even considering the reservation in respect of Articles 45 and 46, there were and continues to be many additional well reasoned, thoughtful and principled objections to The Bahamas signing on the CSME.

"Secondly, there is absolutely no inconsistency between supporting the recommendations in the forum's report and the position adopted by me in opposing the CSME.  Specifically, there is no helpful comparison between the narrow liberalization of our immigration policy as it relates to a single sector in selective and targeted areas of specialization on the one hand and the open sesame which (but for the reservation) is envisaged in the Revised Treaty on the other hand whereby ultimately there would be no restrictions on the nationals of 15 different countries moving freely between the member states in a single economic space."

Mr. Moree added, "The Minister should follow his own admonition and avoid subterfuge and confusion when commenting on the CSME.  My views on the CSME as it relates to The Bahamas are based on my consideration of our national interests.

"Presumably the same can be said of the views of the Minister.  No one involved in the debate should claim to have a monopoly on virtue and certainly the national debate is not advanced by denigrating persons who hold a different view or impugning their motives."

In his budget address last week which focused exclusively on the CSME issue, Minister Mitchell also blasted former Ministers Sir William Allen and Zhivargo Laing; Bahamas Public Services Union President John Pinder; attorney, Fred Smith, who heads the Grand Bahama Human Rights Association; and the Nassau Institute. 

CARICOM Single Market and Economy (CSME) Raging Debate in The Bahamas Dies A Sudden Death

CSME Shelved

By Candia Dames

candiadames@hotmail.com

Nassau, The Bahamas

14th June 2005

Seeking to bring an end to the raging national debate on the CARICOM Single Market and Economy (CSME), Minister of Foreign Affairs Fred Mitchell on Monday announced that the government will not be signing the Revised Treaty of Chaguaramas anytime soon.

In fact, Minister Mitchell said that it does not appear that the government will sign the Treaty, which establishes CSME, during this present term in office, which expires in 2007.

"There is a clear disconnect between the government and the wider community on this matter," said the Minister, who used the entire two hours allocated to him to contribute to the budget debate to address the CSME and other foreign affairs matters.

This meant that there was no room to address public service related issues or matters concerning his Fox Hill constituents.

Minister Mitchell said as it relates to the CSME, The Bahamas has reached the point where it must stop and review.

"The Bahamian people or more properly those who have created the din on the radio and in the press now have their wish," he announced.

"But they must know that it is not to me that they will have to answer for this, but to the future of this country."

Minister Mitchell said he was not panicked by the level of debate that led the government to decide to hold off on signing the Revised Treaty.

"The Bahamas has not signed the Revised Treaty of Chaguaramas and cannot now sign in these present circumstances," he said.  "What we are now engaged in is a programme of public education and discussion on the issue.

"This has become a matter on which people are attacking me personally on a policy which is the decision of the government.  I told both the Prime Minister and the Deputy Prime Minister that I believe that my truthfulness has been called into question and my integrity challenged.  No Minister has to seek to ask permission of anyone to seek redress for attacks on his or her personal integrity."

He said what is particularly regrettable is that the forces who opposed the independence of The Bahamas in 1972 now seek to impugn his character by suggesting that he would compromise the sovereignty of The Bahamas.

Minister Mitchell said, "They are false prophets and crying crocodile tears because we know that they did not want The Bahamas to be free in the first place.  There is not a possible chance that this Minister, this individual, would compromise the sovereignty of The Bahamas."

Seeking to clarify what he called misinformation associated with the CSME debate, Minister Mitchell said, "It is clear that this matter of our participation in the Revised Treaty of Chaguaramas will not be decided within this present term.

There is too much misinformation, disinformation and emotion; too much political dishonesty.  There is simply too much politics.  Accordingly, the Minister of Trade kindly agreed for me to speak to The Bahamas Commission on Trade.

"The Trade Commission's co-chair, Raymond Winder, has indicated by letter that subject to certain clarifications, they are ready and willing to work on the issues...The politics will hopefully then be out of the matter, the Commission will be free to review all the issues arising from the current debate, without a deadline, and the Ministry can now continue with other valuable projects in our Foreign Affairs.

It is only left for the government to provide a formal remit.  It is my hope that this effectively brings an end to this matter."

The Minister also said there has been "considerable misinformation and deliberate disinformation" about the matter or reservations to the Treaty.

The government has said repeatedly that if it signs the Revised Treaty, it would seek reservations on the free movement of people; the monetary union; the Caribbean Court of Justice at the appellate level; and the common external tariff.

Addressing the confusion surrounding whether the reservations would have an expiration date, the Minister said, "The reservations that are proposed are without end.

With regard to this treaty; once you sign a treaty with a reservation, the provisions of the treaty against which there are reservations do not apply to The Bahamas, neither can they be questioned in any court.  These are sovereign decisions of a sovereign government."

Minister Mitchell said that the CCJ reservation has been the cause of "considerable confusion."

"The confusion has been engendered by unintelligent ‐ at the very least disingenuous ‐ commentary by attorneys who ought to know better," he said.

Minister Mitchell announced that he will be representing Prime Minister Perry Christie at the next Heads of Government meeting set for St. Lucia early next month.

"The process of public education on this matter is nowhere near complete and so the question of signing anything in July does not arise," the Minister added.

He also spent much of his time lashing out at detractors whom he said have been spreading half-truths.

Minister Mitchell pointed to former Minister of Finance Sir William Allen, and former Minister of Economic Development Zhivargo Laing, saying, "They have been fudging, half truths and shades of deception, confused the public on this issue...This is the political season and no matter what the truth is, the response will be fudging, misinformation and mix up."

While he gave no attention to the public service in his address, Minister Mitchell, under whose portfolio the public service falls, also took a stab at John Pinder, president of The Bahamas Public Services Union.

"He is involved now in a campaign for reelection," the Minister pointed out.  "I can only imagine that anything will be said for headlines.  I have accused him before of always wanting to engage in the politics of rowing.  I did not believe for one moment that he would resort to a deliberate untruth which should be clear to him and clear, as the lawyers say, on the face of the record."

Minister Mitchell said it is "nonsense" for Mr. Pinder to say that the government signed the Revised Treaty on December 21, 2004.

The Minister also slammed Chairman of The Bahamas Financial Services Consultative Forum Brian Moree, who has criticized the government for its handling of the whole debate, and has urged the Christie Administration not to sign the new Treaty.

Mr. Moree has said that it makes no sense to sign such a treaty and opt out of four of its major provisions.

But Minister Mitchell indicated that he's baffled that Mr. Moree is vehemently opposed to the free movement of people under the CSME, when only a few months ago, he, as chairman of the Forum, released a controversial report strongly asking the government to liberalize its immigration laws.

"There are other critics," Minister Mitchell said.  "They have said some pretty appalling things about me personally and about the government.  One group that comes with the unfortunate acronym of BARF seems especially personally motivated...I only say this to the public: one should always look to see why a comment is being made and what interest is being served by that comment."

He said that it is clear that the detractors of his government on the CSME issue have one motto, and that is not to let the truth get in the way of a good story. 

There is No Compelling Economic or Political Case for The Bahamas to Join The CARICOM Single Market & Economy CSME in Its Present Form - says Notable Bahamian Attorney, John K. F. Delaney

The Bahamian Public Deserves A Clear Understanding of How The CARICOM Single Market & Economy (CSME) will Impact Their Way of Life

STRAIGHT TALK NEEDED ON CSME

By: John K. F. Delaney
Nassau, The Bahamas

31 May, 2005

THE QUESTION of whether The Bahamas joins the CSME has profound implications for the economic way of life of every Bahamian.  With the Government having decided last December to sign the Revised Treaty of Chaguaramas that would commit The Bahamas, it is troubling that there is a persistent lack of clarity or forthrightness by the Government as to the Revised Treaty’s ramifications.

The Government (by Minister of Foreign Affairs, Hon. Fred Mitchell) has stated that The Bahamas will enter reservations in four regards (“the four reservations”), which they claim would prevent the economic side of the Revised Treaty from applying to The Bahamas and keep unchanged the present position of The Bahamas in relation to Caricom.

The four reservations are stated as follows:

1.  Against the free movement of persons (Articles 45 & 46);

2.  Against monetary union;

3.  Against a common external tariff; and

4.  Against the Caribbean Court of Justice on its Appellate side.

Critical questions arising from the Government’s position are:

a)  Do the four reservations constitute the entirety of the so-called “economic side” of the Revised Treaty?

b)  What is the legal effect of a reservation under the Revised Treaty?

The Economic Scope

The most cursory reading of the Revised Treaty would reveal that the economic scope of the Revised Treaty extends far beyond the four reservations.  Barbados Prime Minister Owen Arthur described the comprehensive economic scope of the Revised Treaty as “the respective economies of the Caribbean should be reconstituted through the removal of existing barriers, as a Single Market space in which not only goods, but services, capital, technology, and skilled persons should freely circulate, and Caribbean citizens should enjoy new and unfettered rights of establishment of enterprise anywhere in the region.”

The four reservations relate only to part of the economic effects of the Revised Treaty.  For example, the Revised Treaty requirements for the free movement of capital and goods within the Single Market are not affected by the four reservations.  And the four reservations only partially affect the free movement of persons by relating only to the free movement of workers/employees while not touching or concerning the free movement of self-employed persons.

The Free Movement of Self-employed Persons

Whereas a reservation is proposed against the free movement of workers (Articles 45 & 46), no reservation is proposed against the free movement of self-employed persons (Articles 32, 33, 34, 37 & 44) under the so-called right of establishment.

The Government, by Minister Mitchell, has stated that the right of free movement of self-employed persons is “principally in areas that earn foreign exchange such as hotels, which are already open to foreign investors”.  But that is not what the Revised Treaty states.  The Revised Treaty does not in anyway limit the free movement of self-employed persons.  Indeed, the Government’s own Information Paper (dated October 2004 prepared by His Excellency A. Leonard Archer) contradicts the Honourable Minister in stating as follows:

“The Right of Establishment is a fundamental pillar of the CSME.  This Right permits the National of any Member State of the CSME to establish a business in any other Member State of the CSME on the same basis as would a national born in that Member State.  In other words, a Barbadian Businessman would have the right to establish a business in Jamaica in the same manner that a Jamaican Businessman would establish a business in his native Jamaica.  Similarly, the Jamaican would have the right to establish businesses in Grenada or Trinidad and Tobago in the same manner that nationals of Grenada or Trinidad and Tobago would have” (see pages 20 & 21).

Further, in answer to a question posed in the Information Paper “How will joining the CSME affect those areas of the Bahamian economy reserved for Bahamians?”  the Information Paper further states:

“On joining the CSME, unless The Bahamas obtains reservations on some aspects of Article 33 ‘Removal of Restrictions on the Right of Establishment’, The Bahamas would be expected to allow Single Market firms to enter every part of its domestic market.  Under Article 33, Member States are expected to remove any ‘restriction on the setting up of agencies, branches or subsidiaries by nationals of a Member State in the territory of another Member State’” (see page 38).

The Bahamian public is entitled to plain and direct words from the Government that, by its decision to join the CSME, the Government intends to allow Caricom nationals to operate any business in The Bahamas as self-employed persons on the same basis as any Bahamian.  And, that included are those business areas presently reserved under the National Investment Policy exclusively for Bahamians, namely:

i)  Taxi business,

ii)  Beauty salon or barber shops,

iii)  Auto repair service,

iv)  Fishing,

v)  Retail shops of any kind,

vi)  Wholesale shops of any kind,

vii)  Real estate sales & rental agencies,

viii)  Restaurants (non-specialty), and

ix)  Security service.

The Government should disclose in plain language to the public that CSME would impose an obligation upon The Bahamas to ensure that Caribbean nationals, on the same basis as Bahamians, have access to land, buildings and other property in The Bahamas for their establishment of businesses in The Bahamas (see Article 37).

The Reservations

There is much confusion about the duration of any of the four reservations to parts of the CSME:

Article 237 of the Revised Treaty allows reservations to be entered if other Caricom countries that sign the Revised Treaty would agree.  However, the Revised Treaty does not define the word “reservation” or speak to its duration or legal effect.

·  Minister Mitchell has stated that the reservations would have no time limit unless The Bahamas decides to remove them.

·  The Bahamas Information Paper states that “these reservations could last for twenty years or more” (page 47).

·  A Barbados based CSME specialist has reportedly stated that the proposed reservations would be limited to 5 years and that any extension would require the agreement of Caricom members.

However, even if one agrees with the position of Minister Mitchell on a question of duration, more fundamental is that, as a matter of international law, no state may form a reservation to a treaty if the reservation is incompatible with the object and purpose of the Revised Treaty (Vienna Convention on The Law of Treaties, Article 19).  In this regard, it appears that some if not all of the four reservations directly conflict with the object and purpose of the CSME.  As such, at some point after The Bahamas would have signed to join the CSME in reliance upon four reservations of uncertain effect, The Bahamas may find itself subject to a dispute brought by other Caricom states challenging the reservations.  Therefore, whatever position one takes on the duration of reservations, if they are incompatible with the object and purpose of the Revised Treaty, they may only last until the Caribbean Court of Justice sets them aside.  The CCJ alone shall have jurisdiction to determine the matter.  In this connection it should be clearly understood that the proposed reservation against the CCJ would not and could not prevent the CCJ from having exclusive jurisdiction over CSME disputes concerning The Bahamas.

There is no compelling economic or political case for The Bahamas to join the CSME in its present form.  The four reservations are insufficient and too uncertain to protect the legitimate interests of the people of The Bahamas.  The Bahamas should reject the Revised Treaty and, instead, pursue a bilateral treaty between The Bahamas, on the one hand, and Caricom, on the other, covering such aspects of economic and/or political cooperation as the Bahamian people would find acceptable.

Conclusion

The Bahamian public deserves a clear understanding of how the CSME will impact their way of life.  That understanding requires informed discussion, widely held - in our churches, unions, schools and families, and time for mature consideration.  It is unfortunate that the Government did not choose to invigorate its campaign for the CSME sufficiently in advance of the impending CSME deadline of 31 December 2005.  But Bahamians ought not to be rushed into a bad deal.  An issue so profound as whether to join the CSME could not with moral authority be decided by the Government without it first being put to the people in a referendum or general elections.

Free National Movement (FNM) Leader, Senator Tommy Turnquest - Advises The Bahamas Government not to join the Caricom Single Market and Economy (CSME)

FNM Leader Advises Gov't Not To Join CSME

By Candia Dames

candiadames@hotmail.com

Nassau, The Bahamas

24th May 2005

Amid increased debate over the Caricom Single Market and Economy (CSME), Free National Movement Leader Senator Tommy Turnquest yesterday set the record straight on the FNM's position on the controversial agreement, saying it is not the same position held by the government.

Mr. Turnquest said it is the FNM's position that The Bahamas should not join the CSME.

He made the comment in an interview with The Bahama Journal on the heels of continued statements made by Minister of Foreign Affairs Fred Mitchell that the FNM agrees with the government on how to proceed on CSME.

Minister Mitchell indicated recently in a statement that, "the position of the Official Opposition as communicated to the Minister is that they agree, and are at one with the government's position on CSME- provided reservations are obtained for The Bahamas not to participate in the free movement of people; the Caribbean Court of Justice at the appellate level, the single currency and monetary union and the Common External Tariff."

During an address last week to the Abaco Chamber of Commerce, the Minister said, "Both political parties agree with the approach that we have decided with regard to [the CSME].  You will see a lowering of the temperature on this over the next few weeks.  The arguments from the opponents have been exhausted.  You can see this with the lengths of the desperation and invention that are taking place."

But Mr. Turnquest said the Foreign Affairs Minister "ought to desist from saying what he's saying about the Free National Movement" regarding its position on CSME.

While he said that the FNM believes that the government should not sign the agreement, he also indicated that the party supports a referendum on the issue.

In addition, he said- should The Bahamas sign on; it should secure the mentioned reservations.  But Mr. Turnquest ‐ joining a growing chorus ‐ questioned how long the reservations would last.

"We want to be assured that the reservations at some point in the future don't just fall away and we find ourselves automatically becoming a part of this Caribbean union with those tenets being in place," Mr. Turnquest said.

But while on the Love 97 programme "Jones and Company" on Sunday, Minister Mitchell indicated that the reservations would last for as long as a Government of The Bahamas wishes them to.

Mr. Turnquest said yesterday that the FNM's position has "evolved to where we support the position that Bahamians have.  We ought to have a referendum on it."

He said, "There are some theorists or constitutional experts who say that our constitution does not allow for that type of referendum to be held.  We can amend our laws so that the people of The Bahamas have more of a say in this matter.

As far as I am concerned, the people ought to decide.

"I listened to Brian Moree on Jones and Co. [Sunday] when he said if you disagree with five fundamental positions like that, why then join and I wholeheartedly agree with him.  That's exactly what I'm saying."

Mr. Turnquest was asked whether The Bahamas should no longer be a part of Caricom.

"If they are not prepared to accept us as a part of it [then so be it], but I think they would be prepared to have us in terms of the cooperation and other aspects and they would benefit as would we.  I don't see that there are any great benefits to us signing and opting out of the major provisions," he said.

Asked on the show on Sunday if The Bahamas would be axed from Caricom if it does not sign the Revised Treaty of Chaguaramas, Minister Mitchell declined to give a direct answer.

He did say, however, that, "The great beauty of the Caricom movement is it isn't one of these hard and fast, black and white issues.  The fact is we do participate in all of the organs of the community at the moment, but it is just appropriate for us to be signatories to the treaty.  Everyone else in the community is a signatory to the treaty."

When asked by the show's host, Wendall Jones, whether The Bahamas should sign the treaty, he said, "I believe it should.  In fact, the government decided on the 21st of December last year that we ought to do that subject to obtaining the reservations which we have advanced in the public domain." 

The Raging Debate over the CARICOM Single Market and Economy (CSME) continues in The Bahamas

Clash Over CSME

By Candia Dames

candiadames@hotmail.com

Nassau, The Bahamas

23rd May 2005

The raging debate over the CARICOM Single Market and Economy (CSME) continued on Sunday as Foreign Affairs Minister Fred Mitchell locked horns with a leading attorney over various aspects of the agreement, which has created much furor in recent weeks.

A heated exchange between Minister Mitchell and Brian Moree on the Love 97 programme "Jones and Company" led to the attorney lashing out at the Minister over certain comments he made.

Throughout the show, Minister Mitchell, who at times appeared frustrated over what he termed misinformation on CSME, insisted that there will be no fundamental changes if The Bahamas signs onto to the agreement.

"What I'm saying is, let's not frighten ourselves by saying that there is going to be some fundamental change," he said.

"There is going to be no fundamental change and as for whether the reservations will last, I cannot say.  I can only speak for the Government of the Commonwealth of The Bahamas today."

There continues to be great confusion over whether the reservations the government is seeking will last indefinitely.  Several prominent figures, including Mr. Moree, have insisted that they are merely deferrals.

The government has said that at this time, The Bahamas will not participate in the free movement of people; the Caribbean Court of Justice at the appellate level, the single currency and monetary union, and the Common External Tariff.

Mr. Moree believes it is senseless to join an agreement and opt out of its major fundamental provisions.

"If you look at the literature that comes out of the southern Caribbean on the CSME, it seems to make the point very strongly that the CSME is a pipedream if it does not involve full integration of the peoples of the Caribbean countries," said Moree, who also heads the government-appointed Financial Services.

"There has to be political integration; there has to be full economic union.  When you get there, is perhaps debatable- and whether all countries get there at the same time is perhaps debatable.  The fundamental point is that these reservations do not mean that we are not going to be required to deal with these issues at some point in the future.  Before I get into something, I want to look at the future.  I don't have the luxury of mortgaging my children's future."

But Minister Mitchell shot back, "This emotive language is simply irresponsible."

It's a statement Mr. Moree took exception with.

"Minister, we should keep the level of debate high out of respect for your office," he said. "I am not irresponsible."

"I said the language was irresponsible," Minister Mitchell corrected him.

Mr. Moree responded, "That is a view, Minister...The Government of The Bahamas should listen to its people."

"I am listening to you, Mr. Moree," the Minister said.  "I am saying that if you want to keep the debate responsible we have to deal with the facts and the facts are that there will be no fundamental change."

Mr. Moree fired back, "But that is wrong and very few people agree with you."

Minister Mitchell insisted that that statement was simply incorrect.

"You're talking economic theory," he told Mr. Moree.

"I am talking what the facts are as presented by the Government of The Bahamas.  Those facts are that reservations exist- and there is no timing on those reservations and so the treaty as far as those provisions will apply, will not apply to The Bahamas.  How many times does one have to say [that]?"

Mr. Moree suggested sarcastically that the Minister "holds all wisdom" and is intolerant of anyone who opposes him on CSME.  But Minister Mitchell said this was not the case.

He said signing the Revised Treaty of Chaguaramas is "really about our continued participation in CARICOM...What we are doing or proposing is to finish the work of becoming incorporated into CARICOM since the treaty is to come into force at the end of the year and maintaining our position with regard to the status quo as far as our relations with CARICOM is concerned by entering reservations pursuant to Article 237 of the treaty, which really puts us in the same position which we are in now."

The show's host, Wendall Jones, said, "The detractors of this say it makes no sense for The Bahamas to sign on to CSME because fundamentally, the economic side is fundamentally what CSME is all about."

"CARICOM is both political and economic, and the government's case has always been that we're a part of CARICOM for geopolitical reasons- and that now that we have the [Revised] Treaty of Chaguaramas, if we are to be fully a part of CARICOM, we should sign the treaty with the reservations, which will serve our national interest."

Mr. Jones then asked, "Are you suggesting therefore that if we do not sign the treaty then we are not a part of CARICOM or should not be a part of CARICOM?"

The Minister explained that, "The great beauty of the CARICOM movement is it isn't one of these hard and fast, black and white issues.  The fact is we do participate in all of the organs of the community at the moment, but it is just appropriate for us to be signatories to the treaty.  Everyone else in the community is a signatory to the treaty."

He added, "I believe that [the government should sign the treaty].  In fact, the government decided on December 31 that we ought to do that, subject to obtaining the reservations which we have advanced in the public domain."

But Mr. Moree said, "I do not think that The Bahamas should join a single economy with 14 other countries within the region.  That is my primary concern.  I don't think there are compelling economic interests for The Bahamas to join this single economy."

He was echoing sentiments expressed in recent times by former Governor of the Central Bank and former Minister of Finance Sir William Allen, and soon to be former Governor of the Central Bank Julian Francis.

Mr. Moree said, "The reservations that the Minister has indicated I think are very important, but there are many questions as to how long these reservations will continue.  Who will decide when they end?  Do we retain control over making these decisions?  And in any event, what about the right of establishment, which is not currently one of the four reservations?  What is the impact of the freedom of movement of skilled persons... as opposed to the free movement of labour generally?"

The Minister explained, "The right of establishment will not affect the retail and wholesale trades in The Bahamas because the right of establishment has to deal with those areas of the economy which are foreign exchange earners for the particular country.  These sectors include, amongst others, the hotel sector, the manufacturing export sector and some smaller areas like specialty restaurants.

"What right of establishment does is it gives you when you invest in a country the right to bring certain skilled labour to run your establishment.  If you look at the national investment policy of The Bahamas today, all of those areas that I have listed are already areas where foreign investors are able to come and invest in the country and part of the policy is that they are permitted to have the skilled labour to run their companies.  So it balances out."

While the Minister insisted throughout the show that signing the Revised Treaty of Chauguaramas would be merely a political move, Bahamas High Commissioner to CARICOM A. Leonard Archer said recently in an interview with The Bahama Journal that there are many economic benefits that will come if the government signs on to CSME.

Mr. Archer said that by signing the CSME, The Bahamas would see "increased investments and increased trade with the rest of the Caribbean."

Minister Mitchell said in a recent speech that not signing on to the CSME would have serious negative implications for the country's social and economic infrastructure that would set The Bahamas "at a serious disadvantage as a country, rather than enhance our growth and development, in that, our access to the facilities and services provided by the Caribbean Development Bank, the University of the West Indies, the Caribbean Disaster and Emergency Response Agency and others, would be greatly diminished."

"We would be the only country in the Caribbean, apart from Cuba, that would be outside a regional trade bloc; and since trade blocs provide benefits for their members that are not provided to non-members, it could easily be reasoned that our tourism industry, our manufacturing industry, our beleaguered agriculture industry and even our financial services industry would be immediately and negatively affected, largely in terms of the relatively higher cost of doing business in The Bahamas that we would have invited by trying to stand alone," Minister Mitchell said.