Deep Integration, EURO-MED Free Trade and the WTO 2000 Negotiations

In the Euro-Med partnership a deep integration agenda, ranging from technical and financial assistance to training and administrative cooperation, has been proposed to re-launch a process facing difficulties and delays. Harmonization of regulatory regimes and administrative requirements can offer large economic benefits, facilitating trade and promoting foreign investments. Moreover, there is a parallelism between the ?deepening? of the Euro-Med agenda and the possible inclusion of similar issues in future multilateral negotiations. A positive interaction may emerge. If Mediterranean countries take advantage of the new Euro-Med agenda to design a domestic regulatory regime reform, their stand in future WTO negotiations will be strengthened, giving them more bargaining power when it comes to the defense of their interests. At the same time future multilateral negotiations will reduce the negative impact on the Euro-Med partnership of the new agenda, which may distract from issues of great concern to partner countries, as agricultural trade, and widen the difference in economic liberalization and growth potential among Mediterranean countries.