Adaptation Strategy in Response to the New EU Sugar Regime 2006-2013.

In 2005 the EU began far-reaching reform of its sugar sector resulting in a cut of 36% over four years (2006-2010) on the guaranteed price for raw sugar, which is the main variety exported by Caribbean countries. In anticipation of the impending cuts the Government of St. Kitts and Nevis took the decision to stop sugar production in 2005 after centuries of sugar production. To support the adjustment process the EU has established an assistance scheme (2006-2013), called Accompanying Measures for Sugar Protocol Countries, under which it is providing aid to the 20 ACP Sugar Protocol Countries worth €1.25 billion for the period 2006-2013, in addition to the established European Development Fund assistance. This assistance supports strategies aimed at enhancing competitiveness of the sugar sector where that is objectively feasible, economic diversification and broader impact areas such as social protection, the environment, energy or macro-economic stability.St. Kitts and Nevis has chosen macro-economic reform and public financial management reform, including public sector modernization; private sector development; and support to poverty reduction initiatives as their priority areas for funding. In this connexion, chapter 4 outlines poverty reduction measures and chapter 5 deals with: 1) Environmental protection, such as coastal area management, watershed management, management of protected areas; 2) Land use planning and management with the establishment of a Land Management Unit, responsible for soil conservation interventions, construction and maintainance of diversion drains, provisions of a sustainable land management farm planning and advisory service to existing new farmers, fire control, moisture conservation; 3) Disaster risk management and reduction, suggesting, inter alia, the structuring of various emergency committees; provisions for emergency response activities; establishment of an emergency telecommunication network; rapid assessment of disaster-related damages.The text consists of 7 chapters as follows: Introduction (1); Fiscal and debt management (2); Strategic Sectorial Focus (3); Social Development and Poverty Reduction (4); Environmental Protection, Land Management and Disaster Mitigation (5); Cross-Cutting Issues (6); Managing the Adaptation Process (7). Five Annexes are enclosed.