Unit Preview I. The EU’s outermost regions and overseas territories II. Development of OR and OSCTs of the EU III. Case Study - Martinique: outermost region of the EU I. Outermost Regions and Overseas Territories of the EU Outermost regions based on the following 5 characteristics: integration into a double geo-economic space constituted, on the one hand, by a proximate geographical zone, and on the other, by a political space of belonging; relative isolation, resulting from the its distance from the European continent, reinforced by insularity or enclave status; limited extent of local domestic market, linked to the size of the population; geographical and climatic conditions limiting endogenous development of primary and secondary industries (lack of natural resources, characteristics of an archipelago, active volcanic areas etc); economic dependence on a small number of, or even a single, product. 8 ultra-peripheral or outermost regions in the EU 5 French overseas departments (Réunion, Guadeloupe, French Guiana, Saint-Martin and Martinique), 2 Portuguese autonomous regions (Azores and Madeira) 1 Spanish autonomous community (Canary Islands). Canary Islands Guadeloupe The Reunion French Guiana: the only non-island EU Outermost Regions Azores Canary Islands Guadelo upe Guiana Madera Martiniq ue The Reunion Saint Martin Mayotte* Capital Ponta Delgada Las Palmas Pointe-àPitre Cayenne Funchal Fort-deFrance St Denis Marigot Mamoudz ou Surface area 2322 7447 1628 83846 828 1128 2504 53 374 Populatio n 244 2062 404 232 247 400 833 37 215 Density 105 277 248 2.7 308 356 326 693 578 GDP 2006 67 94 71 50 95 76 62 62 23 Unemploy ment 2008 5.5 17.4 22.7 20.7 6 21.3 24.5 30 17.6 EU Funds 2007-2013 1698 1941 745 484 781 622 1864 -- *OR status in 2014 8 (now 9) Jewels in the EU’s Crown Outline of the cohesion policy 2014-2020 proposals. The new legislative package takes account of the special circumstances of ultra-peripheral regions - the specific allocation to compensate for additional costs due to their insularity is to be maintained; - ultra-peripheral regions will continue to benefit from Community co-financing of up to 85%; - they will also receive a larger envelope of the European Regional Development Fund (ERDF) for territorial cooperation (up from EUR 150 million to 275 million). The European Commission is in the process of planning a new strategy for the ultra-peripheral regions, to be adopted in 2012, which will make the most of their numerous advantages. EU Territorial cohesion: towards a more balanced development Areas with specific geographical features Mountainous areas, coastal and maritime regions, islands and archipelagos form an important part of the Union and are even more significant in some Member States. Most of the ultra-peripheral regions are islands. These, however, do not form a distinct geo-morphological area as such, but are treated as a group of 7 regions listed in the Treaty and recognised as having a number of inherent disadvantages, particularly because of the problem of accessibility caused by their remoteness from other parts of the Union. Source: www.europa.eu Islands Islands are particularly important in the four Southern Member States, three of which are cohesion countries, though there is also a large number of islands in France, the UK and the three Nordic countries, many of them eligible for Structural Funds support. Indeed, nearly 95% of the population of EU island regions is eligible for such support. In the case of the smaller islands, accessibility is the main problem which makes it difficult to maintain economic activities which are competitive and a young work force with a high level of education. Accessibility is an even greater problem for ultra-peripheral regions. The largest islands are much better integrated into the rest of the EU economy, even if many are at present reliant on structural support to catch up with other parts of the Union. The areas identified above have marked differences in terms of their economic and social characteristics. Regional policies for furthering their development should continue to be aimed at strengthening relations between different parts of the Union rather than take the form of isolated measures specific to individual types of areas. Nevertheless, such policies should include cooperation programmes between areas of the same type, which are tailored to their particular geographical features and which can bring additional benefit. II. Development of EU ORs and OSCTs EU Commissioner visit to Guiana’s Space Center EU funds and Regional Cooperation The Reunion is involved in several territorial cooperation and development programs with nearby states in the Indian Ocean: •Mauritius Islands, Seychelles, Madagascar, And further afield: • India, Australia Programs concern the environment, risk prevention (tsunamis), fishing, tourism and scientific research Structural handicaps in Common Geographic remoteness – major handicap Geographic discontinuity brings extra costs Small size of insular islands (exception Guyana) Located in tropical zones with high natural risks (active volcanoes, public health issues (Chikungunya) Rich in biodiversity Incomplete Economic Development Plantation Agriculture in crisis – noncompetitive Industrial sector very weak Service Sector overly dominant (80%) Highly dependent on massive importation of goods Result: standard of living much lower than in France (30%) EU aid for economic development 2 statutes: ORs (Outermost Regions) and OSCTs (Overseas Countries and Territories) ORs receive structural funds Belong to Euro zone Receive European Development Funds Finance major infrastructure (roads, airports, ports) Aid received makes ORs areas of isolated wealth in their regional areas Attract poor population from neighboring territories (illegal immigrants) Rarely participate in regional organizations, exchange almost exclusively with their home country Outermost Regions in the Euro Zone The Zoom on this bill makes it possible to identity the outermost regions which use the Euro Unequal Development France only state whose overseas territories benefit from 2 different statutes which qualify them for EU aid ORs Ethnically diverse High demographic growth Economic fragility OSCTs More autonomy New Caledonia rich in nickel Polynesia paradise for tourists Canary Islands - Spanish OR Demographic growth fed by illegal immigration (entry to Schengen Zone) Major destination for international tourism Statute of Overseas Countries and Territories (OSCT) Integral part of territory of member States of EU but not considered part of the EU territory EU law does not directly apply to these areas Do not benefit from structural funds whereas the OR do Belong to an associative regime by which they benefit from advantageous commercial ties (imported products not subject to import tax or restrictive quantities) OSCT benefit from EU financing through EDF (European Development Funds ) 2008-2013 OSCT received 286 million euros OR received 78 billion euros Illegal Immigrants arriving in the Canary Islands Illegal immigration in the Canary Islands increases in a regular basis. 2 modes of action: through harbors and airports (Latin Americans); small boats (Africans) Promoting Sustainable Bananas in the French West Indies What organization have financed this promotional campaign? Is this poster an indicator of regional integration? III. Case Study - Martinique A. Double Handicap: insularity and remoteness A Distant French Territory: Martinique Key Facts Description Figure French/EU comparison Surface Area 1128 km² 0.18% of national territory Population 2012 390,000 inhabitants 0.6% of the French population Density 346 inhabitants/km² French average: 113 inhab/km² Birth Rate 2011 11.4% France: 12.6% Population under 20 31.5% French average: 30.8% Unemployment Rate 2012 21% French average: 10% GDP/inhabitant 16,924 euros EU average: 23,600 euros Flight Connections: the umbilical cord with France •2011, the French government asked Air France to open direct flights between Paris CDG and Martinique •Aim: to facilitate the transfer of European tourists to Martinique •# passengers in Caribbean area (excl. Guadeloupe and Guyana) represents less than 8% of total air traffic of Aimé Césaire airport in Fort de France High Risk Zones: Volcanic Activity Major eruptions in 1902 and 1929 Mount Pelle and Saint Pierre Mount Pelle in 2007 Risk of Seismic Activity Environment and Territory Activities and Development Total Agricultural Production in Martinique = 188 million euros Agricultural Production in Millions of Euros 8.2 Fruit including bananas 7.1 3.5 1.9 15.3 74.5 16.2 Vegetables and roots Industrial plants including sugar cane 58.2 beekeeping products large bovines flowers and plants Source: Agreste Martinique, Memento 2010 B. What factors hinder or help development? Demonstrations and Protests in 2009 Social Malaise linked to high unemployment and high cost of living especially for consumer products imported from France. Chlordecone is a pesticide used in banana plantations with serious health and environmental consequences 2012 Budget of the region of Martinique Expenditures Territorial development 17.18 36.24 6.76 18.08 Education and Culture Overhead, administrative costs 21.74 Social cohesion and solidarity Economic and Social Source: Région Martinique 2012 Budget of the region of Martinique Total = 387 million euros Revenue 9.92% 25.22% Regional Revenue 64.86% State Revenue EU Revenue Source: Région Martinique Tourism C. Martinique in the Caribbean Regional Area Key Questions: In what ways is Martinique an example of isolated wealth in the Caribbean? What elements can contribute to a common Caribbean identity? What actions can reinforce Martinique’s integration in the region? Martinique in the Caribbean Region What can you say about Martinique compared to her neighbors? How can you explain the migratory flows? Common Identity based on historical past Festival to commemorate the abolition of slavery in Martinique (1998) Reinforcing Regional Integration In 2011, the Region made the decision to propose Martinique’s membership in various regional Caribbean organizations. The application process was therefore begun for the OECO (Organization of Eastern Caribbean states) Consultative, Cooperative and Concerted Action Organization for several countries and dependences in the Eastern West Indies. CARICOM (Caribbean Community including 14 member states and 6 associated members) CEPALC (Economic Commission for Latin America and the Caribbean) regional commission of the UN 2 Pilot Programs 2011 Regional collectivity decided to begin cooperative actions with the region of Para, Brazil Themes broached: Energy development Biomass importation 2011 Cooperative Project with Antigua Tourism sector Regional Cooperation for Seismic Activity Case Study Questions: What are the specific characteristics of Martinique in terms of: Environment Population Territorial organization What hinders or contributes to its development? Demonstrate the assets and limits of development in Martinique What effects does its OR status have on the island? What policies or actions are taken to improve Martinique’s regional attachment to the Caribbean area?