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Once again Mr Stewart McArthur is trying to distract attention
from the anomalies gnerated by multilateral free trade agreements
by crying yet more crocodile tears over poor market access
for Third World countries (GA 19/2/00).
Mr McArthur's example of the pro-free trade stance of Mexican
President Ernesto Zedillo is hardly representative of Third
World views on the WTO agenda. Mexico is controlled by US
trade interests through the draconian North American Free
Trade Agreement and has tens of billions of dollars in outstanding
loans from the International Monetary Fund. Between NAFTA
and the IMF the Mexican economy is so damaged that the only
growth area that I know of is the kidnapping-for-ransom
industry.
While Mr McArthur avoids the complexities surrounding issues
such as trade in services and clings to his idealised model
of economic exchange, the real world keeps intruding. Australia
now faces the prospect of a $45 million trade war with Canada
over Tasmania's refusal to risk its industry to potentially
diseased salmon imports. Hundreds of employees from Howe
Leather may also lose their jobs because the WTO is demanding
that the company pay back a $30 million government grant.
There is only one possible benefit that I can see. If the
unsustainable Australian public forest logging industry
were assessed under the WTO rules it would be such down
in an instant because of the non-recovery of taxpayer subsidised
public agency costs conservatively estimated at $100 million
(National Institute of Economic and Industry Research).
Unfortunately this is unlikely to happen because the US
is currently trying to use the WTO to get a 9.2% increase
in Australian forest product exports.
The Geelong Community Forum supports fair trade that does
not compromise the ability of democratically elected governments
to assist with industry development and to protect the environment
and labor rights.
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