The Revised Treaty of Chaguaramas

• Author: Hon. Mr. Justice Duke Pollard
• Pages: 3-19

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The Revised Treaty of Chaguaramas

The Preamble to the Revised Treaty of Chaguaramas 2001, indicates

that the development paradigm of the Community had undergone far-reaching

modification both in terms of the objectives of the Community and the

procedures identified for their achievement. The first preambular paragraphs

address the deepening of the economic integration process through the

establishment of the CARICOM Single Market and Economy (CSME) for the

achievement of sustained economic development based, inter alia, on

international competitiveness. The implications of globalisation and

liberalisation for international competitiveness and the mechanism for

reaching decisions and their implementation in the new dispensation are

also addressed. The following preambular paragraphs adroitly enlarge on

these themes pointing to the need for the establishment of a sound macro-

economic environment, based, inter alia, on the unimpeded movement of

factors throughout the economic area to facilitate production integration,

enterprise development, economic efficiency, international competitiveness

and export-oriented production of goods and services. All of the above will

be facilitated by the establishment of supportive infrastructure, both hard

and soft, the achievement of international standards, the protection of

competition and a credible system of disputes settlement on a transparent,

definitive and authoritative basis. Collectively, these measures would secure

a fundamental transformation and restructuring of the Caribbean Community

from a conservative, inward-looking, protectionist, functionally constrained

organisation to an open, liberalised, efficient, internationally competitive,

outward-looking and deliberatively flexible institution.

In addition to establishing the Community and identifying its membership

THE REVISED TREATY OF

CHAGUARAMAS1

The Hon. Mr. Justice Duke Pollard

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4CSME: Genesis and Prognosis

and objectives, Chapter One of the Revised Treaty addresses some important

principles guiding the operations of the organisation. Foremost among these

is the principle of non-discrimination set out in Article 7. This principle,

perceived to be indispensable for the efficient functioning of the CSME,

requires Member States to accord national treatment to citizens of other

Member States in their jurisdiction pursuant to the rights accorded them

under the Agreement. Another important principle is special and differential

treatment for the weaker economies of the collectivity. In order to facilitate

the application of this principle, Member States are classified in Article 4

into more developed and less developed countries. In this connection, it is

interesting to note that the voting procedure identified in Article 5 for modifying

the status of Member States is a significant departure from the unanimity

principle which governs decision-making in the Conference.

The objectives of the Community identified in Article 6 are to improve

standards of living and work; the full employment of labour and other factors

of production; accelerated, coordinated and sustained economic development

and convergence; expansion of trade and economic relations with third States;

enhanced levels of international competitiveness; organisation for increased

production and productivity; achievement of a greater measure of economic

leverage and effectiveness of Member States in dealing with third States,

groups of States and entities of any description and the enhanced co-ordination

of Member States’ foreign and foreign economic policies and enhanced

functional co-operation.

Chapter Two of the Revised Treaty of Chaguaramas addresses the

institutional arrangements of the Caribbean Community, including the CSME.

Suggesting itself for careful examination is the juridical structure of the

Caribbean Community which differs significantly from its predecessor, the

Caribbean Community and Common Market. The latter was a juridical

hybrid consisting of the Caribbean Community as a separate legal person

from the Common Market which had its own discrete legal personality.2

Indeed, the juridical separation of these two institutions was emphasised by

the elaboration of two discrete legal instruments: the Treaty Establishing the

Caribbean Community and the Agreement Establishing the Common Market

(which was later annexed to the Treaty and designated the Common Market

Annex).

The significance of this institutional arrangement is to be found in the

fact that it facilitated States joining the Community without being parties to

the Common Market regime. As noted above, The Bahamas availed itself of

this opportunity to join the Caribbean Community but to opt out of the