Think Forward blog

European Farm Crisis at center of CETA and TTIP Debate

Posted December 6, 2016 by Shefali Sharma   

Launching the German edition of Selling Off the Farm. Center: ABL Chair Martin Schulz, right: Alessa Hartmann, PowerShift, Jochen Fritz (Coordinator of the Meine Landwirschaft Campaign); Left: Berit Thomsen, ABL, Shefali Sharma, IATP Europe.

Last week in Berlin, Arbeitsgemeinschaft bäuerliche Landwirtschaft e.V. (ABL), Meine Landwirtschaft (a broad platform of over 50 organizations demanding an alternative agricultural system), PowerShift and Institute for Agriculture and Trade Policy (IATP) Europe launched the German version of our report Selling Off the Farm to highlight why trade agreements such as the Comprehensive Economic and Trade Agreement (CETA, between Canada and the EU) and the Transatlantic Trade and Investment Partnership (TTIP, between the U.S. and EU) will be disastrous for European agriculture. Given that German farmers are struggling in one of Europe’s biggest farm crises, a rise in imports from North American “factory” farms, lax food safety rules and greater corporate control will make an agriculture deal in CETA and TTIP very costly and perhaps the last straw for European family farms.

» Read the full post

The CETA Vote: Will the European Parliament learn from BREXIT and Trump?

Posted December 1, 2016 by Shefali Sharma   

Our tour across Europe on Selling Off the Farm Corporate Meat’s Takeover Through TTIP and its links to the EU-Canada Comprehensive Economic and Trade Agreement (CETA) launched on November 29 at the European Parliament. IATP’s Senior Advisor, Sharon Treat, Waldemar Fortuna from the Polish organization, IGO and I met with several members of the European Parliament (MEPs), including coordinators of different political parties that will decide CETAs fate  in early February.

In the last two years, there has been an unprecedented awakening by ordinary citizens across Europe about the damage that free trade agreements do to policy making in the public interest. People have begun to understand that treaties, such as CETA and the Transatlantic Trade and Investment Partnership (TTIP), give transnational corporations even more power to expand and consolidate than they already possess. Many citizens have begun to challenge key elements of these agreements—such as the provisions that allow these corporations to sue governments for enacting public policies that might dampen their profits.

» Read the full post

The legacy of lost credibility in fly over country

Posted November 30, 2016 by Ben Lilliston   

In country star Jason Aldean’s song Fly over States, he overhears first class passengers on a flight from New York to LA, looking down on the countryside and wondering, “who’d want to live down there, in the middle of nowhere.” Aldean then flips the dismissive line into a proud anthem about the middle of the country. Like the song, Donald Trump flipped the predictions of the professional political class and rode a wave of support from many people who felt over-looked in those fly over states all the way to the Presidency.

The power of the so-called fly over states in the election is impossible to ignore. The electoral maps tell the story. A swath of red, often mostly rural, states in the middle and south of the country, bookended by blue states on the coasts. Even within the few Midwest blue states like Minnesota and Illinois,  you can see the stark divide between how urban and rural counties saw the candidates. A look back at the 2012 electoral map tells us this divide is not new, but perhaps wasn’t taken seriously by many Democrats because President Obama won. As the Daily Yonder reports, the long-standing urban-rural voting gap is widening. At least part of this voting gap can be attributed to the Democratic Party’s loss of credibility on a number of core issues that affect the lives of rural communities in those so-called fly over states.

» Read the full post

NAFTA: failed trade policy comes back to where it began

Posted November 17, 2016 by Karen Hansen-Kuhn   

Tuesday's press conference about TPP.

Some dates get burned in our memories. One date that pops up for me each year is November 17, the day the U.S. Congress approved the North American Free Trade Agreement (NAFTA) back in 1993. Now, 23 years later, NAFTA is as controversial as ever. After a long battle in which civil society groups from all three countries worked together to draw public attention to the potential negative impacts and, even then, to propose alternative approaches to trade, the pact was narrowly approved in a late night vote.

Just days before the vote, all signs pointed to NAFTA’s defeat. But then, the power of back room deals to build a bridge in one district, to fund a study center in another (as well as assurances of side deals on things like tomato imports or cross-border trucking) overtook the opposition to the trade pact. Public Citizen later published an accounting of those deals, and the fact that many of the promises were never kept. Even before we knew the true cost of NAFTA—both in the questionable use of public funds and in the well-documented economic and environmental devastation that was to come in all three countries—it was a bitter defeat.

» Read the full post

Latin America is taking action against TPP today!

Posted November 4, 2016 by Josh Wise   

Today is a Latin America wide day of action against the disastrous effects so-called Free Trade Agreements have had in undermining governments and the will of the people. Below is a public statement from the organizing groups, translated into English by IATP's Karen Hansen-Kuhn: 

PUBLIC STATEMENT

November 4: Latin America unites for democracy and against neoliberalism

The signing of Free Trade Agreements (FTA) has been the main vehicle for the globalization of the neoliberal-transnational model. Their drivers -the corporations and big media- promised wellbeing progress and development. But a quarter century later, we can say that FTAs have not met any of those promises.

To the contrary: in Latin America they have allowed the installation of extractive projects that threaten communities and the environment, have limited the action of States and have reduced the public budget, by putting corporate interests above the will of the people and life itself.

FTAs are about much more than trade among nations. Their pages include chapters on the liberalization of the services sector, protection of intellectual property and privileged conditions for foreign investors. The consequences in everyday life are categorical: rising prices of medicines, the privatization of public services such as drinking water and education, limits on access to the Internet, among others. The final effect is the deregulation of the private sector and reduction of the fiscal responsibility of businesses.

In short, free trade agreements seek to consolidate the power of transnational capital and in turn have captured the political authorities. They have even led to pressure on the environment that threatens the survival of the human species.

» Read the full post

A return to low commodity prices and U.S. dumping

Posted October 20, 2016 by Sophia Murphy   

Used under creative commons license from unitedsoybean.

As international trade diplomats contemplate the latest move in their world—a formal complaint by the United States about China’s use of price supports for its farmers, lodged at the WTO last week—I am in Delhi to present IATP’s most recent findings of U.S. agricultural commodity dumping in export markets. Dumping is the sale of goods for less than their cost of production. Dumping distorts markets, and especially in food markets, destroys livelihoods and opportunities for development.

In anticipation of the full report, here are some of the initial numbers. They show the return of dumping in 2015 for several major commodities. The dumping margin is: for wheat (33 percent), soybeans (11 percent), maize (14 percent), rice (2 percent) and cotton (49 percent). In IATP’s analysis, this renewal of relatively high levels of dumping for some commodities does not signal a simple return to the world before the price shocks of 2007-08. While production has responded well to higher prices, the risk of over-production—as well as environmental constraints as climate change takes effect—make high levels of volatility likely to persist in the medium to long term.

Dumping is usually raised by one government, which complains about another. The complaint focuses on the use of public support for sectors whose products are then exported at prices lower than cost.

IATP measures its dumping calculation a little differently.

These calculations do capture the role of government payments, which are especially high for cotton and historically have been high for rice. But the numbers also show that something else is going on. The level of government support just is not sufficient to account for the dumping margins we have measured. If the government is not paying the difference, or not all of it, who is?

» Read the full post

Connecting smallholders with markets

Posted October 18, 2016 by Shiney Varghese   

As the 43rd session of the UN Committee on Food Security meets in Rome this week they will finalize the negotiated draft recommendations on “connecting smallholders with markets”, developed with inputs from several hundreds of civil society organizations, including IATP. It has been a long process to get here.

At least since the food price crisis, if not from earlier, agricultural development initiatives have identified “connecting smallholders with markets” as an important strategy for ensuring the livelihood security of smallholder producers. However, most initiatives focus on integrating farmers and other smallholder producers into food value chains (vertically integrated companies that source, process and retail their products, such as Pepsi Co and Nestle), rather than exploring what kind of marketing channels would best fit the local needs of food producers, and consumers.

» Read the full post

Trade winds of change: charting a new course

Posted October 18, 2016 by Juliette Majot   

Used under creative commons license from myles_tan.

From the Executive Director

Corporate interest-driven trade agreements, including the Trans-Pacific Partnership (TPP) and the Transatlantic Trade and Investment Partnership (TTIP) are undermining the very principles of government by the people, and if approved, would continue to reverse hard-won progress for environmental integrity, social justice and economic development. It doesn’t have to be that way.

Tweaking current negotiated texts won’t fix the problem. But hitting the reset button on trade agreement objectives, trade negotiation processes, and actual trade rules themselves could bring about trade that stands a chance of enhancing the lives and livelihoods among trading partners. For all their public pronouncements against free trade agreements, both U.S. presidential candidates need to be part of the effort to reimagine trade with a vastly different set of objectives than those limited to corporate welfare.

The real and potential value of trade itself—to all trading parties, not just Americans—can be lost in the debate about the rules that govern it. The exchange of goods and services, over small and large distances, is thousands of years old, and the benefits innumerable. Opponents to the TPP or TTIP do not dismiss trade itself; instead, we seek to establish trade rules that are beneficial to the public interest rather than rules that reflect and perpetuate the prevailing imbalance of political and corporate interests. And because trade agreements have become political hot potatoes, not just in the U.S. but worldwide, we are in a moment when resetting trade objectives is possible.

» Read the full post

The National Security Case for a TPP Lame Duck Vote: Not!

Posted October 14, 2016 by Dr. Steve Suppan   

“Stop Fast Track” rally in Washington, DC in April 2015 (courtesy Wikimedia Commons).

Originally posted on Foreign Policy in Focus on October 12, 2016
Translated into Spanish by Alejandro Villamar and published by ALAI (Agencia Latino Americana de Información)


Notwithstanding President Barack Obama’s best efforts to sell the Trans-Pacific Partnership (TPP) Agreement to Congress and the public on economic grounds, presidential and congressional candidates are shunning the TPP as a winning campaign issue. Even Senator Rob Portman, a former U.S. trade representative, doesn’t mention the TPP in his electoral “Jobs and Growth” agenda. The economic forecasting arguments for TPP are very weak—even according to the “heroic assumptions” of proponents, such as no change in the U.S. trade balance or net employment as a result of the TPP. So, what arguments do the TPP proponents have left?

When Congress returns to Washington after the November 8 elections, its members, particularly the defeated or retiring legislators, will be pressured to vote for the TPP in large part on national security grounds. What these grounds are, just like the draft TPP texts themselves, will remain a closely guarded secret.

» Read the full post

Will the teeth of trade rules swallow the Paris climate deal?

Posted October 5, 2016 by Ben Lilliston   

Used under creative commons license from 40969298@N05.

Earlier this week, the European Parliament approved the Paris climate agreement, joining more than 60 other countries in signing the deal and paving the way for this historic global effort to enter into force. While the Paris deal is truly a major step forward, countries will have to overcome a series of hurdles created by trade agreements to reach their climate goals. An escalating fight at the World Trade Organization (WTO)—attacking renewable energy initiatives in two of the world’s biggest polluting countries (the U.S. and India)—shows why untangling trade agreements from climate goals should be the next big step.

As part of the Paris agreement, countries submitted voluntary climate plans, known as Intended Nationally Determined Contributions (INDCs). But the ability of countries to reach those climate goals will depend on rewriting trade rules at the WTO—and a series of regional and bi-lateral trade agreements—that consistently favor corporate rights over the climate.

» Read the full post