No to FTA with US: 3rd Round of Negotiations to Begin Again

Gabungan Rakyat Menentang FTA America/ Malaysia views with deep concern that the trade negotiations between our countries have been put on a fast track to be concluded by June 2007.

These talks are so secretive that the public is not aware of what is being discussed and how it will affect the country. Why all this secrecy? If there is nothing to hide, we the Malaysian public would like to know the details.

Our nation is yet to reach developed status and we are still in the process of strengthening and improving our institutional structures. This process needs a longer time frame. As we move forward there will be changes which need to be made that would promote efficiencey, transparency, productivity and accountability, which at present we lack. These changes must first be put in place before we are able to compete and negotiate with the world on a level playing field. We need to get our act together.

Bilateral trade agreements between an individual developing country like Malaysia and economic giants like America, EU and Japan weaken the negotiating power of developing countries as a whole in international forums like the WTO. It weakens multilateralism in global affairs. Instead of negotiating individual free trade agreements from a position of wekaness, we should work towards a multilateral agreements where the interests of the developing nations will be protected.

As an example we are told that the free trade agreement signed with Japan is lopsided in Japan’s favour and we might need to change our laws to suit the terms of the agreement.

The Gabungan will like to know whether the Malaysian government has done a cost-benefit analysis that takes account of

a) Gain and losses in trade terms

b) Gain and losses in terms of jobs

c) Effects on the loss of policy freedom

d) Social effects such as access to affordable medicines, knowledge, food security etc

e) Effects on technology transfer

If so, can all this information be made public, the way cost benefit-analysis by other countries such as Australia, the EU and the US have been done. Will Parliament be involved before the US FTA is finalysed? Would Parliament ask for

a) a white paper

b) a public hearing

c) parliamentary debate

d) parliamentary select committee

Up till now Parliament has been silent on this matter. Will there be public participation with stake holders? Can we hope for an open and fair discussion?

The Gabungan strongly feels that a systematic process for the study, assessment and analysis of a US FTA’s potential impact on Malaysia needs to be done first before we begin negotiating any agreement. Therefore, we call upon the government to suspend all negotiations till a comprehensive cost-benefit study is done in an open and transparent manner.

Dr Xavier Jayakumar

Chairperson

Gabungan Rakyat Menentang FTA America-Malaysia


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