Regional Integration

Regional Integration

Regional integration is when countries in a region cooperate and work together towards common goals.

To integrate means to bring together ideas and people so that they work together or become part of the same group. The aim of integration is to give members equal status in a group and to share the advantages and strengths that the group brings.

Cooperation means working together and helping each other to achieve common goals. For example, we need to cooperate with our neighbors and other members of our community. If there is a problem in a community and everyone cooperates fully, the problem can be solved.

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Dependence

To depend on something is to rely on or be controlled by it. Dependence on other people has many disadvantages because it means you are not free to do as you wish. During colonial times, Caribbean colonies were dependent on their colonial masters (for example, the United Kingdom) and were forced to live by the social and economic laws and rules of their colonizers.

Colonies had little or no control over their own laws or the economic and social development of their own countries. In the 1960s, when many Caribbean states gained independence, foreigners still owned much of the good farming land and also many of the businesses. The profits from these economic activities were not used to develop the Caribbean countries

From the 1950s onwards, Caribbean states tried to lessen their dependence on their former colonial rulers in order to strengthen their economies. Countries began to establish bilateral agreements – agreements where two countries help each other – and treaties to help develop the region as a whole

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Interdependence

Countries that help each other or rely on each other are interdependent. The leaders of states in the Caribbean saw interdependence as the way forward and as a means of strengthening the development of states in the region.

This interdependence started in the 1950s with the West Indian Federation and continues today through organizations like CARICOM and the Association of Caribbean States (ACS).

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The West Indian Federation

The first significant attempt at integration by Caribbean states took place in 1958, when 10 Caribbean countries, who were all still British colonies at the time, formed the West Indian Federation as an attempt at a political union.

The West Indian Federation was the first example in the region of an organization that was based on a multilateral agreement. A multilateral agreement usually refers to agreements between more than one country or multinational corporation (a large organization that has business interests in more than one country). The West Indian Federation is an example of a multilateral agreement.

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Objectives and membership of the West Indian Federation

At the time of its formation in 1958, the membership of the West Indian Federation was: • Antigua and Barbuda • Barbados • Dominica • Jamaica • Grenada • St Kitts-Nevis-Anguilla • Montserrat • St Lucia • St Vincent and the Grenadines • Trinidad and Tobago.

The main aim of the Federation was to reduce dependence on (and ultimately to achieve independence from) Britain.

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CARIFTA

The next attempt at integration occurred when the Caribbean Free Trade Association (CARIFTA) was formed in 1965 with the signing of the Dickenson Bay Agreement. This was a much more successful attempt, which later led to the formation of CARICOM – an organization that is still very active today

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Objectives of CARIFTA

The main objective of CARIFTA was to unite the economies of the member countries, improve relationships between the states and, as a result of this, give them a powerful joint international presence. The best way of doing this was to increase trade between members of the organization. It was thought that this would also encourage development in the region.

The agreement encouraged member states to: • buy and sell more goods between themselves • diversify and expand the variety of goods and services available in the region • make sure there was fair competition, especially for smaller businesses • make sure that the benefits of free trade were equitably distributed among member states.

Trade between member states was liberalised. There was to be free trade between the member states. This meant that states did not charge each other tariffs (taxes or customs duties) on goods imported from other member states. There were also no quotas on goods traded between member states, so states could trade as much as they liked.

Over and above this, CARIFTA also promoted industrial development of less developed states, the development of the coconut industry and an improved way to market agricultural goods.

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CARICOM and CSME

The success of CARIFTA encouraged member states to broaden cooperation in the Caribbean. The CARIFTA agreements did not allow for the free movement of workers or of capital between the member states, nor did they allow for the coordination of agricultural, industrial, and foreign policies.

The result was an improved association called the Caribbean Community or CARICOM. This came into being in 1973 and replaced CARIFTA, although the CARIFTA Games and sporting events continued.

CARICOM is an organization of Caribbean states that promotes cooperation and integration between member states, especially in areas like trade and transportation. It also coordinates foreign policy. This has resulted in many benefits for the citizens of Caribbean states. People can move around freely to study and to look for work, and goods and services can be traded easily between these countries.

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Objectives of CARICOM & CSME

In 1989, the CARICOM heads of government agreed to advance the process of economic integration and to increase their ability to respond as a group to the challenges and opportunities of globalization. This led to the creation of the CARICOM Single Market and Economy (CSME).

The main economic objectives of the CSME are: • improved standards of living and work • full employment of labor and other factors of production • coordinated and sustained economic development and convergence • expansion of trade and economic relations with other states • increased levels of international competitiveness • increased production and productivity • greater economic leverage in dealing with other states • coordination of members’ economic policies • increased cooperation of common services and activities

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Organization of Eastern Caribbean States

The Organisation of Eastern Caribbean States (OECS) is an inter-governmental organization formed in 1981 to promote unity and solidarity amongst its members.

Today, the OECS has 10 members, made up of islands from the Leeward Islands and the Windward Islands: Anguilla, Antigua, and Barbuda, British Virgin Islands, Dominica, Grenada, Martinique, Montserrat, St Kitts, and Nevis, St Lucia, and St Vincent and the Grenadines. Anguilla, the British Virgin Islands, and Montserrat are Associate members of the OECS, although they enjoy full membership status for many of the organization’s activities.

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Objectives of the OECS

The broad aim of the OECS is to promote economic growth, social inclusion, and protection of the environment amongst its members.

Today, the main objectives of the OECS are to promote: • regional integration • the free movement, growth and development of people, goods, services, and capital • the security and well-being of citizens • key economic priorities – including climate change, jobs, transportation, trade, energy, food security, and production • a high-performing organization capable of delivering the strategic priorities.

The OECS also works to end poverty, build economic growth and address a range of social issues, such as education, health, and social protection.

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Association of Caribbean States

In 1994, the Association of Caribbean States (ACS) was set up to build on existing links in the Caribbean and to integrate the area further. The organization was formed with the aim of promoting the interests of the Caribbean region within its member states.

The ACS was formed when US President Clinton put forward an idea for an organization for Free Trade of the Americas (FTAA). The FTAA would encourage the movement of goods without any involvement by customs for North and South American and Caribbean countries. Countries could not agree on the terms of the FTAA, so it was never formed. The ACS was formed in response to the proposed FTAA. The agreement to form the Association of Caribbean States (ACS) was signed in Colombia in 1994. The Secretariat of the ACS is in Port of Spain.

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Objectives of ACS

The ACS membership has identified five objectives for their organization:

• the preservation and conservation of the Caribbean Sea – to ensure that the Caribbean region as a natural resource is protected for future generations
• sustainable tourism – protecting the environment, while developing long-term economic opportunities, which in turn creates job opportunities for the local community
• to develop greater trade between the nations
• natural disasters – to develop and put measures in place that will help protect countries and their economies in the event of a natural disaster (such as a hurricane), and to coordinate responses to natural disasters in the Caribbean
• transport – better air and sea routes between the member states and a focus on the safety of travelers in the region.

The ACS has Special Committees, each of which meets twice a year to discuss the organization’s objectives in relation to current regional issues.

The Special Committees include • Trade Development and External Economic Relations • Sustainable Tourism • Transport • Disaster Risk Reduction • Budget and Administration.

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