Indonesian Political, Business & Finance News

NGO's call for a stronger garmers' union

NGO's call for a stronger garmers' union

Tantri Yuliandini, The Jakarta Post, Nusa Dua, Bali

International non-governmental organizations (NGOs) have called for a globally integrated federation of farmers to face the threat of liberalized trade.

Executive director for the Indonesian Forum for the Environment (Walhi) Emmy Hafild said on Thursday that it was too risky to rely on a free regional market or global market for food security.

Farmers were not ready to face the liberalization of trade now manifested by the ASEAN Free Trade Area (AFTA) as well as the World Trade Organization (WTO), Emmy said.

"That's why farmers need a major federation that can voice their joint interests at both national and international levels," she said at a dialog organized by the Indonesian People's Forum (IPF) here.

She said that AFTA was just a smaller part of the WTO trade liberalization scheme, made by members of the Association of Southeast Asian Nations (ASEAN) as a transition before completely implementing the WTO scheme.

Alejandro Villamar from the Mexico Action Network for Free Trade (RMALC) added that the negative impact of trade liberalization could be directly seen in the Mexican experience.

He said that the North American Free Trade Agreement (NAFTA) between the United States and Mexico had so far spelled disaster for the developing country.

Villamar continued that NAFTA had promised an increase in jobs of better quality and with better pay; regulations on the rights of workers, improved labor and environmental standards, and enforcement of the capacity building of national institutions.

"After eight years, Mexican exports increased by an additional US$170 million, but who did the exports? Three hundred foreign companies, not local ones," said Villamar.

Previously, Mexico exported a lot of agricultural products. The implementation of NAFTA has forced the country to increase its imports, he added.

"Worst of all, we have to even import corn, a crop that we first started in the Americas," Villamar said. About 70 percent of the families in Mexico are facing a serious food shortage.

Economic growth cannot guarantee food security for a country as shown in the poor countries of West Africa whose gross domestic product is lower than South Africa's, but are more secure in the availability of food.

Leticia Lopez Zepeda from Asociacion Nacional de Empresas Campesina Mexico agreed that farmers are the ones who immediately feel any negative effects of free trade.

She said that Mexican farmers previously grew and produced food for their consumption but free trade had drastically changed this self-sustainable pattern to an export-oriented one, she said.

The government policy has also worsened the farmers' condition. In the past, the government allocated about 12 percent of its budget to help support the farmers.

"The money has been absorbed by multinational companies to drive exports," she said.

Zepeda further said farmers must create an organization at both national and regional levels. At the national level, the organization could influence governments in policy-making.

At the regional level, a powerful organization is needed to face international institutions, such as the WTO, the World Bank, and the International Monetary Fund.

"Farmers must also create an international network. We have entered a world that is global so it must be faced with global action also," she said.

Villamar said that besides organizing a federation, farmers must also be open to new ideas and sharing of information.

"Farmers should have the initiative to improve their living conditions. They should not wait for the government to do that," he said.

Farmers should also demand access to information and advocacy to understand the content of government contracts. "Let the people decide whether they want to go through with the contract or not," Villamar said.

Farmers, too, must have their own concept of what is to be done and not come empty-handed to the negotiating table with the government, he said.

"Without a clear proposal, the result will only be minimal pressure, like a child crying out without knowing what he wants. We are not children and we know what we want," Villamar said.

The discussion concluded that free trade -- whether at the regional or global level -- had not shown much benefit to families with a lower income. Instead, it has brought poverty and more misery.

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