INTERVIEW-EU must give Africa more time on trade deals-Geldof

from Reuters Alert Net

By Ingrid Melander

BRUSSELS, Nov 29 (Reuters) - The European Union must give Africa more time to negotiate fair trade deals or it will jeopardise chances of a better relationship that both continents need badly, aid activist Bob Geldof said on Thursday. "There is a great opportunity for both out there, a great opportunity to arrange our priorities next week," the Irish rocker said in a telephone interview a week ahead of the Dec. 8-9 EU-Africa summit in Lisbon, the first in seven years.

"The way to do this is not to offer a Damoclean sword over their heads...if we fail to recognise that in Lisbon, we'll make a catastrophic turn-of-the century historic mistake," Geldof said.

The EU says it needs to clinch new trade deals with African, Caribbean and Pacific countries before a World Trade Organisation waiver on current preferential arrangements expires on Dec. 31. EU officials said on Thursday time was running out.

So far only a handful of countries in eastern and southern Africa have agreed deals. Others in Western and Central Africa have resisted, fearing they will expose their economies to too much competition.

"They do have other options," Geldof said, adding that the wealthy 27-nation European Union should ask the WTO for an extension of the current deals.

Fragile African nations need more time to make sure their economies will not be destroyed by imports from Europe and more aid and more help to boost trade with neighbours, Geldof said.

He said the EU should bear in mind growing competition from commodities-hungry China in Africa when it decides how to handle its trade talks with its former colonies.

"We cannot be dependent on Russian gas and oil... What is the other alternative for a resource-poor continent like Europe? A resource-rich one like Africa," Geldof said.

The EU is Africa's largest trading partner with trade totalling more than 200 billion euros ($296 billion) last year. But China leapt into third place in 2006 with 43 billion euros and has stepped up investments.

The rising influence of China is one of Europe's biggest fears in its relation with former African colonies.

It is also one of the main reasons for deciding to hold this summit, which diplomats hope will not be overshadowed by the trade talks or the attendance of Zimbabwe's controversial leader Robert Mugabe.

"We have had an opportunity to do what China is doing for 50 years and we did not do it, we insisted on all sorts of conditions," Geldof said, complaining of bureaucracy and strings attached to EU aid to Africa.