
Civil
society representatives were concerned about
the path of the United Nations Conference
on Trade and Development (UNCTAD), which concluded
its eleventh ministerial sessions in Sao Paulo
last month. The civil society wanted UNCTAD
to take proactive steps to protect the interests
of developing countries in the face of onslaught
of WTO and TNCs.
''We were expecting an UNCTAD that would show
more leadership,'' but during this conference
the most important outcomes came from the
parallel events involving other institutions,
said Yara Pietricovsky, coordinator of the
Brazilian Network for the Integration of Peoples
and one of the organisers of the UNCTAD Civil
Society Forum.
Fair Trade
at UNCTAD XI
The Fair Trade movement organized
two public events:
Fair Trade symposium:
aimed at raising awareness
and informing about Fair Trade itself
and about its contribution to sustainable
development. About 150 participants
from a ,wide range of organisations,
both civil society, official delegates
from UNCTAD member countries attended
it. The morning session focussed on
Fair Trade and its contribution to
sustainable development while the
second and third panels in the afternoon
were more directed to the issues discussed
at the UNCTAD XI conference (national
policy space, food security, focus
on small producers and the commodity
crisis).
Fair Trade Strategy Meeting:
The aim of this meeting was
to exchange ideas and information
and to find ways of collaboration.
Around 50 participants from different
parts of the world attended the Strategy
sessions. This would lead to formation
of working groups one wuld look at
Domestic and South-South Fair Trade
and the other matters related to Advocacy
, Promotion labeling etc.
A Fair
Trade declaration was signed by
about 100 organisations.
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There were numerous meetings during the
week-long UNCTAD XI that were related to
World Trade Organisation negotiations and
to the trade accord being hammered out between
the European Union and Mercosur (Southern
Common Market), which comprises Argentina,
Brazil, Paraguay and Uruguay. Besides meeting
of P 5 there were other meeting like G20
and LDC meetings.
What came out very prominently was that
the most vulnerable countries need to be
given specific attention in all global forums
because they are not receiving the official
development assistance (ODA) that wealthy
countries promised and are finding it difficult
to take advantage of the expansion of international
trade. The ODA goal for the 50 poorest countries
is 0.2 percent of gross domestic product
of the rich countries, but today reaches
just 0.11 percent GDP. The LDCs are home
to 736 million people -- more than 11 percent
of the global population -- but their participation
in global trade is just 0.4 percent. . Most
are rely on one single commodity, like cotton,
and left without alternatives when international
prices plummet.
Cotton is among the main exports of at least
20 of the LDCs, most of which are in Africa.
As a result of the subsidies the United
States grants its cotton growers, international
prices for this commodity stand at 25 percent
below what experts estimate they should
be. In Benin, Burkina Faso and Mali, some
11 million people depend on income from
cotton, and suffer the direct effects of
U.S. cotton subsidies, which were recently
condemned by the World Trade Organisation
in a complaint filed by Brazil.
As such, in addition to a price recovery,
these countries need the international community
to establish a ''consistent policy for stabilising
those prices,'' said Idris Waziri, trade
minister for Nigeria, which is also a ''victim''
of the U.S. cotton subsidies, although it
is not on the list of LDCs. Trade liberalisation
amongst other developing countries is essential
for the LDCs, because more than half of
their international exchange occurs within
the developing world, while 42 percent is
with industrialised
countries.
The mechanisms for boosting South-South
trade in discussion at UNCTAD XI, like the
Global System of Trade Preferences (GSTP),
a scheme exclusive to developing countries,
are a priority for the group. But they also
need measures to help them gain greater
and better access to the markets of the
industrialised North, where the bulk of
world trade is concentrated.
While UNCTAD XI declaration does not adequately
respond to the matter of deeply impoverished
peasant farmers, or the regulation of transnational
corporations, NGOs were pleased with the
decision to reactivate the Global System
of Trade Preferences (GSTP) aimed specifically
at boosting trade within the developing
South.
Other positive points in the final document
and in the UNCTAD XI resolutions were the
defence of ''spaces for national policies''
of developing countries, of family farming
and of special treatment for the least-developed
countries, the decision to create a task
force to study mechanisms for recuperating
and stabilising commodity prices and a proposal
to set up a fund that would help countries
that rely on exports of just one or two
commodities to diversify. But in the words
of outgoing Secretary General of UNCTAD
Rubens Ricupero "the success of that
initiative depends on ''countries that have
money''.
A big concern of the NGOs and social movements
participating in the Civil Society Forum,
which was linked to UNCTAD, was the question:
Who will succeed Ricupero at the helm? Activists
want someone who will strengthen the U.N.
body, based on the original mandate to promote
development of poor countries, intensify
South-South cooperation, and create a research
department with a capacity similar to other
multilateral institutions, like the WTO,
International Monetary Fund and World Bank.
While addressing the civil society gathering
U.N. Secretary-General Kofi Annan promised
to seek a new UNCTAD leader who would promote
those aspirations, and even asked the Civil
Society Forum to suggest names.