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CUTS-CITEE Linkage Update

 

CUTS CITEE LInkages Update No.7

No.7, June 2001

CUTS CITEE LINKAGES UPDATE No.01

CUTS CITEE LINKAGES UPDATE No.02

CUTS CITEE LINKAGES UPDATE No.03

CUTS CITEE LINKAGES UPDATE No.04

CUTS CITEE LINKAGES UPDATE No.05

CUTS CITEE LINKAGES UPDATE No.06

CUTS CITEE LINKAGES UPDATE No.07

CUTS CITEE LINKAGES UPDATE No.08

CUTS CITEE LINKAGES UPDATE No.09

CUTS CITEE LINKAGES UPDATE No.10

Contents

Editor’s Note

Kyoto Protocol, US Stance and Implications

 

News Roundup

ASEAN Ministers Defend Myanmar

Bulgaria: Children Start Work at Early Age

Bush’s Trade Agenda Includes Labour and Environment ‘Toolbox’

 
Event Report

Negotiating Agenda for Market Access: Cases of SPS and TBT  

 
Emerging Issues and Viewpoints

Need for A World Environment Organisation

USTR Reiterates Non-protectionist Use of Labour and Environment

Difficulties in Enforcing Ethical Trading

 
Announcement

Panel Discussion on Globalisation: Where do we stand? New Delhi, 27th June 2001

Editor’s Note

Kyoto Protocol, US Stance and Implications

 The US rejection of Kyoto Protocol brought back into focus the crucial issue of climate change. US President George W. Bush, Jr. said that it exempts 80 percent of the world, including major population centres such as China and India from compliance and would cause serious harm to the US economy.

If the US economy was the main concern behind rejecting the Kyoto Protocol, then the US should have no moral right to enforce core labour standards on the third world countries. Many developing countries are opposed to the inclusion of labour standards in trade agreements. If ratifying Kyoto protocol can hurt the US economy, similarly linking trade with labour standards will also adversely affect the third world’s economy.

In case of environment it is not necessary that with growth environmental problems are taken care of through the trade route. Most of the environmental problems are associated with affluent life style and inconsiderate consumption patterns. But the case with labour standards is opposite. It is directly linked to growth and development. This is quite evident, as in most of the developed countries labour standards are relatively better.          

Now with the US out of Kyoto Protocol, the ball is in the court of EU and Japan. The EU’s role is central in getting the Kyoto Protocol into force without the US. Japan also assumes a position of critical importance. Japan will have to think on independent lines. They must start thinking about ratifying the Kyoto Protocol without the Americans. Japan has long wanted its international weight to be more commensurate with its huge economic strength. It seems that Japan’s hour has come.

But in the diplomatic circle the EU needs to deepen its efforts to develop a plan with Russia and Japan for the protocol’s entry into force in an environmentally sound way. The US has played hard ball on the Kyoto Protocol. The onus is now on the EU and its next move will decide the contours of the game.                                               

Pradeep S. Mehta, Editor

News Roundup

ASEAN Ministers Defend Myanmar

Ministers from the Association of Southeast Asian Nations (ASEAN) called on the International Labour Organisation (ILO) not to punish Myanmar over forced labour, saying that the country was doing all it could to stamp out the practice by issuing directives and taking legislative action.

“We hope the ILO will view these actions positively and support the Myanmar government in resolving this problem and will not subject its people to any punitive action,” said the Malaysian Resource Minister Fong Chan Onn.

Last November, the ILO called on its members to review relations with Myanmar to ensure that these ties did not help to extend the practice of forced labour. The Ministers also rejected calls for linking labour standards to trade. According to Onn, “linking the two together would impose a burden on some of the other countries who are still not in a position to comply.”

Bulgaria: Children Start Work at Early Age

A recent study has revealed that over six percent of children aged 5-17 are working in Bulgaria. According to the report by the Sociology Department of the Bulgarian Academy of Sciences, children are most widely exploited in the country’s agricultural sector, as well in services like restaurants and shops.

In all some 83,000 children are working, 94 percent of them without a contract. Some 418,000 peasant children work on farm, while 54 percent of family businesses employ children. Some 5.4 percent are involved in manual labour, according to the report. Under the Bulgarian law, children can only be employed with the approval of the labour ministry, but this requirement is widely ignored.

Bush’s Trade Agenda Includes Labour and Environment ‘Toolbox’

President George W. Bush, Jr. acknowledged that addressing trade-related labour and environmental concerns is an important part of the US Trade Agenda. But there is no mention of using sanctions, fines or other measures to enforce labour or environmental safeguards.

To this end, it includes an illustrative ‘toolbox’ of actions that the US can take in combination with trade negotiations to deal with these concerns. Actions include improving United Nations Environmental Programme, or discussions in the WTO’s trade policy reviews on how countries could have reinforce their trade and environmental policies. The toolbox also suggests highlighting, if appropriate, a country’s policies that negatively affect the environment and distort trade and investment flows.

For more information: www.ustr.gov/toolbox.pdf

Event Report

Negotiating Agenda for Market Access: Cases of SPS and TBT

 

CUTS Centre for International Trade, Economics & Environment (CUTS-CITEE), Jaipur, India with the cooperation of the United Nations Conference on Trade and Development (UNCTAD), Geneva, Switzerland and International Centre for Trade and Sustainable Development (ICTSD), Geneva, Switzerland has organised a Workshop Negotiating Agenda for Market Access: Cases of SPS and TBT on 24-25 April, 2001 at Geneva, Switzerland. 

 

The meeting focused on enhancing the participants’ capacity, especially those from the least developed countries, to understand and respond to SPS and TBT issues. It endeavoured to demystify issues related to these rules vis-à-vis negotiating market access through presentation of case studies on the impact of SPS and TBT measures on peoples’ livelihood.

For more information: www.cuts-international.org/event-24-april.htm

 

Emerging Issues and Viewpoints

 

Need for a World Environmental Organisation

The Organisation of the Impossible, a new paper authored by Konard Von Moltke of International Institute of Sustainable Development, addresses the growing debate of global environmental governance and the possible creation of a World Environment Organisation.

 

He examines the proposal in the light of two questions: a) whether a new organisation would improve international environmental governance significantly? b) whether it would improve international governance in general? Furthermore, he examines assumptions on why the existing arrangements have been ineffective, identifying areas where international environmental regimes have been successful.

 

For the complete paper: www.iisd.org/trade_organisation_of_the_impossible.pdf    

 

USTR Reiterates Non-protectionist Use of Labour and Environment    

In a statement, Robert B. Zoellick, US.Trade Representative, proposes to consider a range of ideas for improving the labour and environmental conditions of trading partners, as long as these proposals are not protectionist. He submitted this statement before the Subcommittee on Trade, Committee on Ways & Means of the U.S. House of Representatives.

 

He further emphasised on the use of incentives to encourage better environmental protection and labour standards. For example, incentives can be related to aid programmes, financing through multilateral development banks, and preferential trade. Strengthening the role of complementary specialised institutions, such as International Labour Organisation (ILO) is also recognised.

 

For the complete statement: www.ustr.gov/speech-text/zoellick/zoellick_3.htm

 

Difficulties in Enforcing Ethical Trading

It seems that to enforce ethical guidelines for worldwide production is more difficult than anybody thought. If good intentions were enough to rid business of unethical methods of production, child labour and slavery would no longer exist.

 

Sadly, intentions do not always get you very far. In many developing countries, where the West’s leading brands are manufactured, child labour continues and health and safety conditions are miserable. Even companies such as Nike that set out a code of conduct cannot be sure that the reputation of their brands will not suffer a revelation about dangerous or oppressive conditions in a factory somewhat along its supply chain.      

 

Drawing up a code can be done by executives sitting in head office. The hard part is to ensure that it is implemented.

 

For the complete story: www.ft.com/globalarchive/articles.htm

 

Announcement

 

Panel Discussion on Globalisation: Where do we stand? New Delhi, 27th June 2001           

As part of its quarterly New Delhi Working Group Discussion, CUTS-CITEE will be organising a panel discussion on Globalisation: Where do we stand? The purpose of the meeting is to address the role of globalisation in India’s economic development.

 

The discussion would examine the myths and realities, which are floating around on issues relating to globalisation. It would also focus on issues and strategies that could possibly help India to meet her goals and priorities for economic development.

 

For more information visit: http://cuts-international.org/forthcoming-events.htm#“GLOBALISATION

 

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