§ Communiqué
§ 1. The Commonwealth Economic Consultative Council met in Accra on 12th-14th September under the Chairmanship of the Honourable F. K. D. Goka, Minister of Finance of Ghana. Ministers representing the following Commonwealth countries attended the meeting: the United Kingdom, Canada, Australia, New Zealand, India, Ceylon, Ghana, Federation of Malaya, Federation of Nigeria, Cyprus, Sierra Leone and the Federation of Rhodesia and Nyasaland. In the absence of its Minister of Finance through indisposition, Pakistan was represented by the Governor of the State Bank. The delegations of dependent territories included representatives from the West Indies, Tanganyika, Mauritius and Uganda. Other members of the conference particularly welcomed representatives of the newly-independent countries of Cyprus, Nigeria and Sierra Leone.
§ 2. The Chairman read a message of welcome from the Presidential Commission of Ghana sent on behalf of the President Osagyefo Dr. Kwame Nkrumah. In reply, there were expressions of appreciation of the fact that the Council, in accepting the hospitality of the Government of Ghana, was meeting for the first time in Africa. The Council emphasised the strength and influence of the Commonwealth association.
§ 3. There was an exchange of views on recent development in world production and trade, with particular reference to the position and prospects of Commonwealth countries, individually and collectively, and of the sterling 52W area. The Council noted with satisfaction that measures had been taken by the Government of the United Kingdom to strengthen the position of sterling. It welcomed the determination of the United Kingdom Government to maintain the stability of sterling as one of the world's two reserve currencies.
§ 4. Representatives of Commonwealth countries heavily dependent on exports of basic materials and foodstuffs stressed the urgent need to reverse the downward drift of the prices of their exports, and the adverse movements in their terms of trade. In this connection, the view was expressed that additional commodity agreements would be useful in providing economic stability and progress, but it was recognised that, for success, any such agreements should include the major producing and consuming countries. It was felt that a responsibility rested on the more highly industrialised countries of the world to respond sympathetically to constructive proposals for stabilising commodity prices at reasonable levels. Reference was also made to the importance of stimulating industrial development in the less developed countries and diversification in countries heavily dependent on a few staple exports. The need for the industrialised countries of the world to accept imports of manufactured goods from the developing countries was stressed. It was urged that the objective of world-wide long term stability could not be achieved without securing a better balance in the trade between the developing and the developed countries.
§ 5. In the course of a review of development questions, a report was given on the Special Commonwealth African Assistance Plan which had been inaugurated by the Council at its previous meeting a year ago. The Council welcomed the fact that already, under the Plan, substantial technical and educational assistance was being provided by several Commonwealth countries, and that, as the Plan gathered momentum, this assistance would be enlarged. During the course of discussion on finance for development generally, it was urged that funds should be made available to the developing countries on terms which were within their capacity to meet.
§ 6. The Council meeting provided the first opportunity for a general discussion, amongst Commonwealth countries, of the situation resulting from the decision of the Government of the United Kingdom to apply for and negotiate towards membership in the European Economic Community.
§ 7. Representatives of the United Kingdom reviewed the various reasons that had led them to make the application.
§ 8. All other Commonwealth representatives expressed grave apprehension and concern regarding the possible results of the initiative taken by the United Kingdom. They reaffirmed the value and importance they attach to traditional Commonwealth trading arrangements under which most foodstuffs, raw materials and manufactures enter the United Kingdom free of duty from Commonwealth countries with in most cases preferential advantages and other Commonwealth countries make reciprocal tariff concessions. The 53W benefits of these arrangements accrue to the United Kingdom as well as to other Commonwealth countries.
§ 9. Most Commonwealth countries questioned whether the United Kingdom, with its other international and domestic obligations, could possibly secure in the proposed negotiations an agreement which would protect Commonwealth interests adequately and effectively. It was generally agreed that any impairment of these interests would damage some or all Commonwealth countries, and could have adverse effects on particular industries and areas. Several representatives stressed the danger that, if the United Kingdom succeeded in negotiating special benefits in the European Economic Community for only certain Commonwealth countries, the result could be damaging to Commonwealth solidarity.
§ 10. Certain countries pointed out that major changes in the present Commonwealth trading arrangements would inevitably force realignment of their trading patterns and could lead to the emergence of further trading blocs. Such a development would undermine traditional multilateral trading arrangements to which all Commonwealth countries had given their support.
§ 11. Because of the inseparable nature of economic and political relationship within the Commonwealth and because of the political and institutional objectives of the European Economic Community and the terms of the Treaty of Rome, it was feared by the other Commonwealth countries that United Kingdom membership in the European Economic Community would fundamentally alter the relationship between the United Kingdom and Commonwealth countries. Indeed, this relationship might be so imperilled as to weaken the cohesion of the Commonwealth as a whole and, thus, reduce its effectiveness as a world instrument for understanding, prosperity and peace.
§ 12. The United Kingdom Delegation made it clear that in their view until the proposed negotiations took place, it was not possible to ascertain whether satisfactory arrangements could be made to safeguard the essential interests of Commonwealth countries. It was emphasised by the United Kingdom Delegation that there would be continuing and close consultation with all Commonwealth Governments at all stages in the negotiations. They drew the attention of the Council to the statement of the Prime Minister of the United Kingdom on 31st July, 1961, in regard to the calling of a meeting of Commonwealth Prime Ministers on this subject.