40 ref. Sum. (En)

The single European market of 1992 has raised the possibility of the Caribbean losing its preferential markets for its main exports, sugar and bananas. While the available evidence at this point in time does not indicate the inmediate or even the medium-term loss of these markets, general developments inside and outside of Europe signal the possibility of consequences of the single market, technological changes, efforts to reform the CAP, the possible implications of certain agreements from the GATT negotiations, and the development of special trading arrangements between the EEC with regions including the Mediterranean and North Africa, Latin America and easten Europe. It is envisaged that Latin American countries would be the most important rivals for agricultural market shares in Europe and North America. A major implication of such developments would be the adverse economic and social consequences which a reduced market and declining prices for the major agricultural exports would have on Caribbean economies. Given the current price advantage which Latin American agricultural producers have vis-a-vis their Caribbean counterparts, it is essential that Caribbean producers employ enhanced technologies in their production processes and improve their production efficency as much as possible to remain competitive in external markets. (MV)