TWN Info Service on Free Trade Agreements

22 May 2006
 
 
Coalition on US-Malaysia FTA

Third World Network
2-1, Jalan 31/70A
Desa Sri Hartamas
50480 Kuala Lumpur

Tel: +603-2300 2585
Fax: +603-2300 2595
email: twnkl@po.jaring.my
website: www.twnside.org.sg


Signing-on of US-Malaysia FTA statement:

Following our KL NGO planning meeting on 13 May 2006, one of the outcomes of the meeting was a proposal by the MTUC representative and others for those of us involved in the USFTA campaign to have a clear identity. Hence, the meeting agreed to call ourselves the "Coalition On US-Malaysia FTA". It was also agreed that a statement will be drafted which will signify the common position of all NGOs who are part of the coalition. We are pleased to enclose the statement which is a collective effort and encourage groups to sign on to the statement and be part of the coalition. Once we collected a significant number of signatures of organisations (not individuals), this statement will be sent to the PM and to MITI.

Kindly circulate this to other organisations who may want to be part of the coalition to endorse the statement.

Kindly also let us have the names of the organisations who endorse this statement by the 31 May 2006.

Hope to hear from you all soon.

Thank you.



COALITION ON US-M’SIA FTA SIGN-ON STATEMENT:

TO:

1. YAB Dato Seri Abdullah Ahmad Badawi
2. YB Datuk Seri Rafidah Aziz


RE: MALAYSIAN CITIZENS CALL FOR HALT IN US-MALAYSIA FTA NEGOTIATIONS
AND FOR GREATER TRANSPARENCY

We are concerned Malaysian organizations who have come together to form the ‘Coalition On the US-Malaysia FTA’ and we wish to express our concerns over the ongoing US-Malaysia Free Trade Agreement negotiations. We represent people living with HIV/AIDS, consumers, workers, farmers, health activists, human rights groups and other sections of the Malaysian public.

On 8 March this year, Malaysia and the United States announced their intention to start negotiating a bilateral free trade agreement (FTA). There will be high pressure negotiations in the next few months, as the aim is to complete the deal by the end of the year, to take advantage of the US President’s “fast track authority” that ends in mid-2007.

We are aware that the scope of the negotiations covers a wide range of sectors of tremendous importance to Malaysian citizens which can have very significant and profound impacts on jobs and food security, the access to affordable medicines, the resilience of the domestic industry and service providers, the viability of small farms and firms and ultimately national sovereignty.

We are shocked that important negotiations such as this are conducted in a most un-democratic and non-transparent manner. There is no Parliamentary oversight over what is being committed to, as existing polices and laws are changed or adjusted to accommodate the US. There is also no avenue for public participation or feedback in the process when the lives of ordinary citizens can be dramatically affected. This is most contrary to the current Government’s commitment to greater transparency and accountability.

We are also aware of citizens’ protests around the world in relation to the US FTAs as has been the experience in Latin America and most recently in Thailand. We also know that in FTAs which have been concluded with the US, commitments by developing countries have gone beyond their obligations in the WTO. This is most unfair and unjust.

Before negotiating the US FTA or any FTA at all for that matter, the Malaysian Government should have at least a comprehensive Cost-Benefit assessment which is made public and transparent as in the case of Environmental Impact Assessments, and most recently the launch of Social Impact Assessments. The benefits and costs can be assessed in terms of: (a) gains and losses in trade terms: e.g. increase in exports, imports; (b) gains and losses in terms of jobs; (c) effects on the degree of policy space and flexibilities available to the country as a result of the FTA; (d) social effects: on access to affordable medicines, to knowledge, food security etc; (e) effects on technology transfer and development and (f) the cross-cutting social and environmental costs.

We understand that such a detailed Cost-Benefit assessment has yet to be done and yet, the first round of negotiations are about to take place from 12-16 June, 2006.

Given the lack of transparency and accountability in the on-going negotiations and the strong likelihood of an imbalanced outcome in the US-Malaysia FTA negotiations, we urgently call on the Government to halt all further negotiations in this regard, until a comprehensive Cost-Benefit assessment is done. Such a Cost-Benefit assessment must be made public and be open to both Parliamentary and public oversight and feedback.

In this regard, we also call for a Parliamentary Select Committee on FTAs to be established so that inputs of MPs and civil society will be taken into account during the FTA negotiations.


Endorsed by the following organizations as members of the ‘Coalition on the US-Malaysia FTA’



1. Consumers Association of Penang
2. Sahabat Alam Malaysia
3. Third World Network
4.
5.