INTEGRATION

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There are many different theories of integration, which have be developed by

various authors, and it is often difficult to assert any one particular theory for any one
particular paper or use. However, I will attempt to give a brief understanding of the main
theories before I select the one, which best defines the object of my paper.
Frank Clarke wrote in 1978 that the term integration is used to define:
the process which ensues when actors within a collectivity or societal group co-ordinate
their action by complying with the rules of interaction within the collectivity or societal
group. 1

The main focus of this definition is placed on the terms process and common
action This indicates clearly that integration in this concept is seen as a process and not
as a state of being.

A similar view was also argued by Ernst B. Hass in 1958, when he defined
International Integration as:
The process whereby political actors in several distinct national settings are
persuaded to shift their loyalties, expectations, and political activities toward a new
and larger center, whose institutions possess or demand jurisdiction over pre-existing
nation-states.2
In this definition the main emphasis is placed on political integration as being the
ideal type of integration, with particular reference to words such as process,
loyalty, and coercion.
However, he was aware that integration was a process, and he stated that in this process it
is inevitable that certain values and morals of each Particular community will undergo
changes, hence, to this effect in 1970 he stated:

1
Frank Clarke, Caribbean Non-Governmental Organizations and Caribbean Integration. (St. Augustine
1978) page 7
2
Ernst Hass, Uniting Europe (Stanford 1968)

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 Often one gets the impression that the study of regional integration is the same as
the study of regional cooperation, of the regional organization, of regional systems
and subsystems or of regionalism to delimit the field it must be stressed that the
study of regional integration is unique and discrete from all previous systematic
studies of political unification because it limits itself to non-coercive efforts.3
This definition differs from that of this previous definition in that here, he is
suggesting that the study of regional integration should involve a study of the integration
of regional organizations in a non-coercive environment. Many theorist view the element
of non-coercion as an important element for any successful integration scheme.

Marion J. Levy writing in 1952, defines integration as:

The analytic structure of integration in a society or other concrete structure
consists of those structures the operations of which make for the eufunctional
adaptation of the members and/ or members-to-be of the structure to the structure
concerned. 4
With this definition Levy is placing the emphasis on structure and the ability of the
members of the scheme to conform to this structure.

Political integration is achieved according to Claude Ake in 1967 when:

A political system is integrated to the extent that the minimal units (individual political
actors)develop in the course of political interaction a pool of commonly accepted norm
regarding political behaviour and a commitment to the political behaviour pattern
legitimized by these norms.5

3
E. Hass, The study of regional integration: Reflections on the Joy and Anguish of Pretheorizing
International Organization ( 1970)
4
Marion J.Levy: The structure of Society, Princeton N.J. (1952)
5
Ake, Claude, A theory of Political Integration, Dorsey Press (1967)

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 The emphasis here with this definition is on minimal units, and by extension,
the groups and/ or organizations which they constitute. He views the interaction by these
groups across national boundaries as a necessary condition for international integration to
take place.

Necessary preconditions of integration:

Sovereignty
Parity
Non-Coercion

CARICOM: Protocols

Protocol I: Establishment, Provision In force

of Services, Movement of Capital
Protocol II: establishment of In force.
services and capital
Protocol III: industrial policies Montserrat to declare Provision Application.

Protocol IV: Trade policies In force.

Protocol V: Agricultural policies Montserrat to declare Provision Application.

Protocol VI: disadvantaged Montserrat to sign and declare Provision Application.

countries, regions and sectors
Protocol VII: Transportation policies In force.
Protocol VIII: Competitions policies Montserrat to sign and all Member States except Belize to declare
(free trade, anti-dumping, Provision Application.
anti-monopoly)
Protocol IX: dispute settlement Montserrat to sign and all Member States except Belize to declare
Provisional Application.

These nine protocols are designed to create a new Caribbean economic environment,
through the creation of the common regional economic space in which enterprises of all
types can make judgments to rationally allocate resources available in the Caribbean.

Deepening and Widening of CARICOM

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The term deepening refers to greater economic and political co-ordination among
member states. In this context, the term must be examined in two ways. On one hand,
deepening can refer to the extent to which the regional movement has strengthened its
facilities in order to create greater economic and political cooperation. Therefore, the
transformation from the Caribbean Free Trade Area (CARIFTA) to the Caribbean
Common Market is considers a deepening process.

The term widening refers to the expansion of the Caribbean Community to include other
states within the Caribbean archipelago and mainland (including South and specific
countries in Central America) as well as other inter-governmental organizations into the
regional integration process. Nogueria states that the widening of the Common Market
would include all countries located in the geographic area designated as the
Caribbean basin 6

Free Trade Area: one in which tariffs and quantitative restrictions are abolished
between countries.

Customs Union: is a free trade area to which are added trade restrictions (a common
external tariff) against non member countries.

Common Market: is a customs union in which not only trade restrictions are
abolished but so are the restrictions on the movement of all the factors of production.

Economic Union: is a common market in which there is harmonization of monetary

fiscal, social, and stabilization policies.

CARICOM: The Road to Regional Integration

Instrument Main Elements

6
Nogueria, U: The Integration Movement in the Caribbean at the Crossroad: toward a new approach of
integration. Publication IADB (1997)

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Federation Aimed primarily at political unity, pursued by British Government
(1958 1961) and lasted four years. One of the main aims of the Federation was
the creation of an infrastructure which was thought at the time to
be the essential prerequisite of independence as it was felt that
none of the islands individually had the capability of assuming the
responsibilities of independence
CARIFTA (1968): Formed to increase trade among its members and to establish a
Caribbean Free Trade common policy on taxing imports from non CARIFTA nations
Association

CARICOM (1973): 3 aspects to CARICOM;

Treaty of Chaguaramas Economic integration pursued through the common market
(a customs union: common policy on taxing imports from
non-members)
Common services and functional co-operation
Main loopholes: no Co-ordination of foreign policies of member states
supra-nationality like in the DRAWBACKS:
EU. Decisions taken at the This treaty set out a special but limited union of Caribbean eonomic
Heads of Conference or integration. They saw Caribbean development as inward looking,
other Ministerial import substitution phenomenon and refused to believe that the
committees are made CARICOM community could survive and prosper based on the
unanimously and it is left unrestricted movement of capital and factors of production. They
to each individual saw integration in only a limited sense as a common market,
government to implement providing for the free movement of goods, but with no provision for
them in accordance with the unrestricted movement of labour, capital and services.
their own constitutional,
legal and administrative The limited common market as that contemplated in 1973 bears no
procedures. relationship to the requirements of Caribbean development in the
21st century
There should be more
effectiveness in CARICOM For example the architects of CARICOM could not envision a
governance Caribbean in which capital, labor and services could move freely
and in which Caribbean citizens enjoy the right to establish
enterprises in any Caribbean location of their choice

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Grand Anse Declaration Heads of Government decided to create a single market and
(1989) economy, through nine protocols to amend the treaty of
a new lease on life for Chaguaramas. This initiative is aimed at creating a new Caribbean
CARICOM, economic environment. They also agreed to the establishment of
the Caribbean court of appeal and the establishment of joint
The best recognition is embassies abroad.
that our relevant economic
space is no longer the This decision contemplates that that we not only liberate the
domestic economy of any movement of goods within the Caribbean region, but the movement
Caribbean economy, or the of capital, services and human resources. It also requires that we
regional economy. It is harmonize:
the global economy Policies for the development of capital markets
Social security systems
Monetary and fiscal policies
Incentive to industry
Policies for development of human, institutional and
technological resources
The best purpose that can be created by the single market is the
creation of the regional economic space in which enterprises of all
types can make judgment to rationally allocate resources available
in the Caribbean

In 1989 therefore, the Heads of Government through the Grand Anse Declaration
declared their intention to deepen the integration process and strengthen the Caribbean
community in all its dimensions. The Heads at that time determined that the Region
would work towards the Single Market and Economy as one aspect of its response to the
challenges in the global economy. With the decision to move from a free trade area and
customs union, to a Single Market and Economy a number of new facets had to be
considered including:
Adding the free movement of services to free movement of goods within the
Common market
Free movement of the factors of production especially capital and labour
The right of establishment
Measures for the creation of a monetary union
Support mechanisms including institutions and structures

It was immediately apparent that the 1973 Treaty of Chaguaramas could not provide the
basis for the required changes, so the Heads agreed that a revised treaty of Chaguaramas

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should be undertaken. The process for the revised treaty was completed in March 2000
and resulted in a total of nine protocols being prepared. (a protocol is an instrument used
for amending legal agreements)

It is therefore apparent that the revision of the Treaty of Chaguaramas is the key to the
status of the integration movement in 2002, but an analysis of implementation of the
protocols by member countries reveal an ad hoc implementation of the revised provisions
and reveal that not all members countries view the creation of the single market and
economy as a strategic necessity. Although the signature and ratification of the protocols
will provide the treaty-basis for the CSME, the actual establishment of the CSME will
only be realized as the protocols are implemented along with the supporting mechanisms
and parallel initiatives, such as the passing of new labour laws, ADR systems etc.

The CSME when fully established, will be fundamentally different from the Common
Market arrangements. Whereas the Common Markets focus was inward and on goods,
the CSMEs focus is both inward and outward and on goods as well as services. Whilst
the Common Market focused on trade in final products, the CSME treats with the free
movement of goods and services as well as free movement of the factors of production:
labour and capital, and in the case of land, the right of access to land for the purpose of
establishment. Other benefits that would accrue to CARICOM nationals from the
establishment of the CSME are:
Optimal allocation of all the regions resources
Increased output of goods and services through production integration
Enhanced competitiveness of regionally produced goods
Net positive impact on the profitability of regional companies
Increased opportunities for CARICOM nationals for investment, service
provision and employment in new CSME environment
However these benefits would not accrue to CARICOM without full implementation of
the protocols along with the supporting mechanisms and parallel initiatives.