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News & Events >> Fair Trade News October 2007

 

Fair Trade News

October 2007 Newsletter of the Washington Fair Trade Coalition


In this issue:

  • Congress to Vote on Peru Free Trade Agreement in October

  • Peru FTA will Exacerbate Plight of Washington Asparagus Growers

  • Costa Rica’s historic referendum on CAFTA

  • Update: CAFTA Narrowly Passed, Referendum Results Contested

  • Welcome Brenna Mahoney

  • For further reading


Congress to Vote on Peru Free Trade Agreement in October

One of the most important issues in trade policy at the moment is that the future of the Peru FTA will be decided in Congress very soon. Discussions of the FTA have already begun in congressional working groups, and final votes can be expected to occur in the coming weeks, most likely during October. In response, a powerful push from fair traders everywhere is in full swing, aiming to ensure that our representatives do not support another flawed trade agreement.

The Washington Fair Trade Coalition and Citizens Trade Campaign oppose this agreement because of the major NAFTA/CAFTA model problems that remain in it. Only some of the many faults in this FTA have been addressed, and this Congress should be demanding better trade policy, not handing the Bush Administration a trade victory. Many US trade unions, the two major Peruvian labor federations, and Peruvian-Americans, among others, oppose this agreement.

The pressure must continue. Contact your member of Congress today and tell them to oppose or continue to oppose these unfair trade deals. Its time for real comprehensive change on how the US conducts its trade policies and no new trade agreements should pass until before this.

 

Peru FTA will Exacerbate Plight of Washington Asparagus Growers

One local sector that expects to be severely harmed by the Peru FTA is the Washington State asparagus industry. Pressures from asparagus imports (much of which comes from Peru) have already hit hard; according to the Washington Asparagus Commission, the industry has already been reduced to approximately 1/3 of its original size. The Peru FTA is expected to lock in these injurious policies.

While the WFTC does not advocate for outright protectionism, we do believe that current trade policy can be improved in several ways that would help small local producers. First, it must be more flexible to the potential impacts on producers in all trading countries, and work to build in assistance for those that will be hardest hit. Also, it must respond to demands of consumers and take more consideration of Buy Local and Buy American initiatives, which the Peru FTA fails to do.

Please support the needs and interests of our Washington State asparagus industry, as well as those of the citizens of Peru! Write to members of Congress in asparagus growing districts and encourage them to vote no on the Peru FTA.

Representative Doc Hastings
202-225-5816
http://hastings.house.gov/ContactForm.aspx

Representative Cathy McMorris Rogers
202-225-2006
http://www.mcmorris.house.gov/IMA/issue_subscribe.htm

Senator Patty Murray
(202) 224-2621
http://murray.senate.gov/email/index.cfm

Senator Maria Cantwell
(202) 224-3441
http://cantwell.senate.gov/contact/index.cfm

 

Costa Rica’s historic referendum on CAFTA

On October 7th, 2007 the citizens of Costa Rica will take part in an historic moment as they vote in the first national referendum in the country’s history. The subject: the US-Central American Free Trade Agreement (CAFTA). The legislatures in the other five signatory states in the region (the Dominican Republic, El Salvador, Honduras, Guatemala, Nicaragua) have all ratified the agreement - Costa Rica is the only one that has not done so.

While CAFTA has been highly controversial in all signatory countries, the debate in Costa Rica has been the most remarkable. While polls indicate that the country is roughly divided on the issue, intense scandals - most recently involving government officials supporting the use of "scare tactics" in support of CAFTA - have brought international attention to the controversy. Most of the Costa Rican government supports CAFTA, while other key bodies - including unions, universities, and priests - are opposed. Recently, 100,000 citizens took to the streets in protest - a huge turnout in a country of only 4 million people.

No matter what happens in this upcoming vote, the importance of the referendum is clear. Costa Rica is the only country to bring the trade agreement to its people, which in itself is a victory for democracy and the power of the anti-corporate movement!

Emily Gaggia, a member of Seattle CISPES - Committee in Solidarity with the People of El Salvador - is currently in Costa Rica as a representative of the U.S.-based Stop CAFTA Coalition and has been taking part in press conferences, protests, marches and other activities in opposition to CAFTA. As an international election observer, Emily will also be present on the day of the referendum. Emily will participate in a report-back event in Seattle upon her return. Details to be announced.       

Update: CAFTA Narrowly Passed, Referendum Results Contested

Sunday's referendum in Costa Rica was disappointing for those people fighting for fair trade and against extending the NAFTA model in the Americas. Official figures show the "yes" campaign won with an extremely narrow lead of 51.6% for, 48.4% against. The results of Sunday's referendum are clear - Costa Ricans are bitterly divided about CAFTA. "It is clear that pro 'free trade' forces identified Costa Rica as a pivotal battleground for their model," said Phil Jocelyn from the New York People's Referendum of Free Trade. "The amount of funds that the "Yes" side had at its disposal was practically limitless, and as a result, Costa Ricans were submitted to a nine-month long advertisement for CAFTA." Even so, the pro-CAFTA side could produce only this razor thin lead.

Election observers and other concerned groups have already contested the results, indicating that unfair campaigning in the last few days before the vote have unjustly influenced the results. A recount is scheduled to begin on Tuesday, October 9th. Read the full press release for more information.

 

Welcome Brenna Mahoney

The Washington Fair Trade Coalition welcomes new intern Brenna Mahoney to our team. Brenna has recently moved to Seattle from Boston, and has signed up to be our Research and Communications Director for the next 3 months. We are very excited to have her on board.

Brenna has a lot of experience in grassroots organizing, especially through work with Moveon.org. She will be spearheading research into the ways in which Washington State is affected by trade policy, as well as assisting facilitation of our communications efforts and our upcoming Fair Trade Road Show. Welcome Breanna!

 

For further reading:

Senator Brown's testimony on Costa Rica, CAFTA and Trade Policy
Read Senator Brown's testimony on the situation in Costa Rica right now - the protests against CAFTA, and a condemnation of US trade policy. Check out the U-tube video too!

Costa Rican Vice President resigns
Check this link about the resignation of the Costa Rican VP (or in Spanish here, written by pro-CAFTA newspaper La Nacion).

Republicans Grow Skeptical on Trade
"By a nearly two-to-one margin, Republican voters believe free trade is bad for the U.S. economy, a shift in opinion that mirrors Democratic views and suggests trade deals could face high hurdles under a new president." See attached document for full Wall Street Journal article, and the reflection that the tides are turning against the NAFTA model - Congress needs to take notice!

Info on Adam Smith’s poverty Bill
Rep. Smith has helped to ensure the passage of a bill requiring the US to do more to alleviate global poverty. While the WFTC believes this aim is inconsistent with Smith's support for bad trade policies, there are interesting aspects to this bill. More information on Rep. Smith's poverty bill here.

IMF: New directions needed
New managing director of the IMF, Dominique Strauss-Kahn, discusses the need for changes to the Fund's program and aims.


 

 

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