Fair trade better than free trade
Fair trade better than free trade
In international relationships, the desire to reap maximum
profits by selling products is often hampered by the interests of
the destination country in defending its local products. In such
cases, strength often speaks louder than fairness. The stronger
countries seldom hesitate in exercising pressures on the weaker
countries.
This unfair treatment is now felt by Indonesia in its trade
with the United States. Minister of Agriculture Bungaran Saragih
last week accused Washington of an unfair attitude toward
Indonesia in relation to chicken interests. The U.S. has been
forcing Indonesia to take its chicken thighs, which are not
consumed there, at cheap prices. In contrast, Indonesia's efforts
to export chicken breasts to the U.S. have always been blocked.
It also banned Indonesia's export of prawns.
Washington can still channel its pressures on the importation
of textiles -- a commodity that can be exported to the U.S. under
its quota system which is used to protect its local producers in
accordance with international trade agreements within the
framework of the World Trade Organization (WTO).
Today, Jakarta also suffers headaches caused by Washington's
policy of import tariff on agricultural products. According to an
official at the Agricultural Ministry, the policy was designed
not for the benefit of US consumers but to protect American
farmers from cheaper imported products. The word is the
government is going to file a complaint with the WTO.
The WTO, as well as the IMF and the World Bank, was not formed
to defend the interests of developing countries like Indonesia,
but to realize a free world trade which is probably more in line
with the interests of the giant capitalists and industrialists of
the advanced nations.
It is only fitting that the government firmly supports and
protects domestic production, especially in the agricultural
sector, which has a larger social and political impact.
Production activities form the pulse of this nation. Without
them, free trade tends to bring disasters more than blessings. In
any case, fair trade is far more important than free
trade.--Bisnis Indonesia--