http://www.cyprus-mail.com/cyprus/direc ... y/20101019
Direct trade option slips away
By George Psyllides Published on October 19, 2010
THE EUROPEAN Parliament’s (EP) Legal Affairs Committee last night upheld by an 18-to-five majority vote a ruling saying the European Commission cannot bypass the Republic of Cyprus to implement direct trade with the Turkish-occupied north.
The EP’s legal service has ruled that the legal basis chosen by the Commission to push through the direct trade regulation was unsuitable and its potential adoption could undermine Cyprus’ sovereign rights.
It was a heated atmosphere inside a packed room in Strasbourg last night, with MEPs engaging in passionate debate and analysis of the Cyprus problem.
A motion was made to postpone discussion of the issue, but that was defeated by majority vote.
AKEL MEP Takis Hadjigeorgiou, the only Cypriot who spoke during the session, argued that the government was against anyone’s isolation.
“I told them I would speak as a Cypriot. We are against the isolation of anyone, be it a person or a community,” Hadjigeorgiou told the Cyprus Mail afterwards.
He added: “We are in favour of Turkish Cypriots having contacts with the outside world.”
Hadjigeorgiou stressed that legally, the direct trade regulation could not stand in any court.
The Commission is trying to pass the regulation under an article in the Lisbon Treaty that governs EU trade with third countries thus depriving Cyprus of the right to veto.
External trade issues come under the co-decision procedure as stipulated in the Lisbon Treaty and the European Council shall act by a qualified majority.
Cyprus has argued that the direct trade regulation should not be examined as a matter of international trade with third countries since the north is considered part of the Republic of Cyprus – according to the accession treaty -- despite the suspension of the acquis.
In its ruling, the EP’s legal service suggests that Protocol 10 of the island’s Accession Treaty could be the proper legal basis.
The ruling follows a similar view taken by the Council’s legal service.
Hadjigeorgiou said proof that the government was not in favor of isolation was the decision for co-management of the Famagusta port, in conjunction with the return of Varosha, which the Turkish Cypriots have rejected.
“Why jointly manage? To prove we can, together, which is the aim of the talks. Possible approval of the regulation would lead to a collapse in the talks in the next 10 seconds,” the AKEL MEP said.
“Why is it more direct to trade from Famagusta and less from Limassol?” Hadjigeorgiou said. “I asked if they knew the distance from Morphou to Famagusta and Morphou to Limassol”
The Legal Affairs Committee decision will now be discussed by the Presidents’ Conference – EP President and leaders of the political groups – but it would be unlikely for them to go against it.
The Commission would then have to decide whether to send it to the Council, where unanimity is needed -- or withdraw it.