Early Harvest Agreement Definition

An Early Harvest Agreement (EHA) is a trade agreement between nations that allows for the liberalization of certain goods and services before a comprehensive trade agreement is reached. This allows for the early implementation of certain provisions that are deemed politically feasible or particularly beneficial, while negotiations continue on other issues.

The idea behind an EHA is to establish goodwill and momentum for the ongoing negotiations, while also providing tangible benefits for both sides. For example, an EHA might allow for the immediate elimination of tariffs on a select group of goods, or the opening of certain service sectors to foreign investment.

EHAs are particularly useful in situations where negotiations are complex and time-consuming, or where there are political obstacles to a comprehensive agreement. By allowing for early wins, an EHA can build trust and encourage further cooperation.

However, there are also potential downsides to EHAs. For one, they may be seen as a way for more powerful nations to extract concessions from weaker ones, without committing to a broader agreement. Additionally, an EHA may create a situation where certain industries or regions benefit at the expense of others, which could lead to domestic political opposition.

Despite these potential challenges, EHAs are increasingly common in today`s global economy. For example, the Trans-Pacific Partnership (TPP) included an EHA that allowed for the immediate elimination of tariffs on certain goods, while negotiations continued on broader trade issues.

Overall, an Early Harvest Agreement is a useful tool for trade negotiators, allowing for incremental progress in complex negotiations. However, it must be used judiciously, keeping in mind the potential risks and benefits for all parties involved.