Beware of new protectionism by developed states: Alatas
Beware of new protectionism by developed states: Alatas
JAKARTA (JP): Indonesian Minister of Foreign Affairs Ali
Alatas has reproached a new form of protectionism being exercised
by developed states which threatens to adulterate the World Trade
Organization (WTO).
"The agenda of the World Trade Organization is in jeopardy of
being adulterated," Alatas said yesterday.
Opening a seminar on "Latin America and the Caribbean:
Economic Outlook and Opportunities" at the Center for Strategic
and International Studies, Alatas pointed to the unacceptable
linkage of social issues with trade.
"Certain developed countries have manifested a tendency to
resort to a new form of protectionism in the guise of linking
labor standards and other social and environmental concerns to
the issue of trade," he said.
Several developed countries such as Norway are demanding that
trade facilities given to a certain country be contingent to that
country's record on various social issues.
Proponents of these linkages are demanding it be brought to
the WTO's first ministerial meeting in Singapore in December.
Alatas called yesterday for a united stand, particularly from
developing countries, against this new protectionism.
"This we cannot accept. For such a linkage would not only
threaten to negate the comparative advantage of developing
countries, but would also pose the risk of unraveling the hard-
won balance of rights, obligations and interests of the parties
to the Uruguay Round and the World Trade Organization Final Act,"
he said.
The minister then asserted it was imperative for developing
countries to strengthen their solidarity in international forums.
Furthermore, these states must intensify social and economic
cooperation.
Through South-South cooperation, he said, countries should
further exploit their complimentary attributes which are often
hidden and unrecognized.
He added that by doing so, developing countries will
strengthen their economic resilience and reduce dependency on the
developed states.
"Success of South-South cooperation will also demonstrate that
developing countries can contribute significantly to overall
global economic progress," he said.
Meanwhile, WTO chief Renato Ruggiero presented Monday an
outline draft of a declaration to be put to the WTO's December
conference in Singapore reviewing the body's first two years.
The proposals were put to an informal meeting of
representatives of WTO member states at the organization's
headquarters here, an informed source was quoted by Reuter as
saying in Geneva.
Ruggiero's three-part outline covered a political statement on
the role of the WTO, the implementation of existing agreements
and the post-Singapore work program.
The source said that negotiations would soon begin on the text
of the first part pending an informal meeting on Nov. 2.
So far, all delegations consulted had emphasized that
implementation issues should be the main focus at Singapore, the
source added.
Nearly all had stressed the need to reaffirm the commitments
to conclude impending negotiations on financial services, basic
telecommunications and maritime transport.
There is also worry that if no concrete results are achieved
on the environment, negative outside criticism could result, the
source said.
The source also said the WTO's ultimate goal is to achieve a
comprehensive set of rules governing a "totally liberalized world
trade".
Some delegations preferred to speak of "progressive"
liberalization, the source said.
The source said objections were raised to some of the
proposals that ministers might make recommendations on, among
other things, regionalism, investment, competition and labor
standards. (mds)