TWN Info Service on Free Trade Agreements

15 February 2007


Groups Call on Ministers Not to Rush into Malaysia-US FTA

The Consumers Association of Penang and Sahabat Alam Malaysia today jointly urged the Malaysian Cabinet Ministers not to rush into signing the Malaysia-US FTA without a comprehensive assessment on the agreement on the country.

The ministers have been asked to give their feedback in a week on 58 contentious issues which are holding back the government from concluding the FTA.

In its press release, the two groups listed a number of issues that have serious consequences for the country and reiterated their call of a cost-benefit analysis of the FTA.


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Press Release 15 February 2007



MALAYSIAN CABINET SHOULD NOT RUSH INTO
MALAYSIA- US- FTA WITHOUT THOROUGH AND CAREFUL CONSIDERATION


The Consumers Association of Penang and Sahabat Alam Malaysia urge the Malaysian Cabinet ministers not to rush into a decision to sign the Malaysia-US FTA (MUFTA) without a thorough and careful consideration of the consequences of such a move to the citizens of this country and our sovereignty.

Cabinet ministers have been asked to give their feedback in a week on 58 contentious issues which are holding back the government from concluding the FTA.

The Malaysian government should not be dictated by the US government timetable in rushing into a deal by next month. It is learnt the US has imposed a March deadline before the US President’s fast track authority runs out in June this year.

The US FTA has serious consequences for the country on many issues which include the following:-
-government procurement and the implications for the bumiputra policy;
-investment and the implications for local jobs, small industries and enterprises;
-intellectual property rights and access to affordable medicines and knowledge;
-agriculture and food security in relation to impact on local farmers and rice self-sufficiency;
- food safety related to labelling of GM foods etc.

These issues have to be properly and sufficiently addressed, with a full consideration of all the costs and benefits.

NGOs, farmers and public interest groups have been asking for a disclosure of the cost-benefit analysis done by the government before making any commitments to the FTA. Regrettably, this information has not been forthcoming.

Given the complex technical and legal issues governing the MUFTA, we once again reiterate our call to the Malaysian Government not to rush into a decision to conclude the FTA.

Instead, the Government should undertake a proper and thorough evaluation of the costs and benefits of such an FTA with stakeholder consultations, including with civil society groups.

The 58 contentious issues on the table should not be dealt with in haste to meet the U.S deadline.



S.M.Mohamed Idris,
President,
Consumers’ Association of Penang
Sahabat Alam Malaysia