Ibon: RP Industry,
Fisheries Endangered More
under Non-Agri WTO Trade Talks
IBON, a member of the
local anti-WTO network Resist WTO! and the global coalition Our World
Is Not For Sale , challenges the country's negotiators at the WTO
ministerial to resist the further extension of trade liberalization into
manufactured goods and fisheries and instead focus on finding meaningful
ways to develop the country's manufacturing sector.
BY BULATLAT
Acceding to a
proposal in the World Trade Organization (WTO) for greater market access
for non-agricultural goods would only worsen the crisis of the local
industrial sector, according to independent think-tank IBON Foundation.
Non-agricultural market access (NAMA) is an agreement for the binding and
reduction of tariffs not just on manufactured products but also on
commodities such as fish and fishery products (which are not under the
scope of the Agreement on Agriculture). The NAMA is one of the items on
the agenda of the WTO 6th Ministerial Conference in
Hong Kong
this December 13-18.
NAMA, coupled with other WTO agreements such as the General Agreement on
Trade in Services (GATS), Trade-Related Investment Measures (TRIMS) and
Trade-Related Intellectual Property Rights (TRIPS), would worsen the by
now epidemic exposure of the local economy to an onslaught of foreign
manufactured imports and capital.
The Philippine manufacturing sector is already characterized by foreign
domination of local industries; dependence on imported production inputs,
leading to weak backward linkages; predominantly small and medium
enterprises engaged in subcontracted small-scale production of light
manufactures for export rather than for domestic consumption;
vulnerability to global slowdowns, particularly those of the US, which is
the country's top trade partner; and a low level of technology.
Opening the local economy further to an influx of imported manufactured
goods under a NAMA agreement would only exacerbate this already dire
situation and lead to further destruction of domestic industry. The share
of manufacturing to gross domestic product has already fallen from 28
percent in 1976 to 24 percent in 2004.
Many Filipino small and medium-scale entrepreneurs are also expressing
their concern over the harsh impact of trade and investment
liberalization, which would benefit primarily the giant foreign
corporations who have access to greater resources as well as market
information and advanced technology. As of 2004, 60% of the manufacturing
firms among the country's top 1,000 are foreign-owned transnational
corporations (TNCs), which account for 73% of total gross revenues. More
alarmingly, TNCs' dominance is more felt in the heavy manufacturing
sector, which makes up the backbone of an industrialized national economy.
Just as bad would be the effect of NAMA on the country's small municipal
fishermen, who fish for subsistence and for sale in local markets. The
current export orientation of the fisheries sector would be exacerbated by
NAMA and decimate the livelihood of small-scale fisherfolks in favor of
commercial fisheries and export-oriented aquaculture. The share of
municipal fisheries to total volume of fish production has fallen from 67%
in 1950 to 29% in 2004, while the share of commercial fisheries has grown
from 22% to 31% over the same period and that of aquaculture, from 12% to
40 percent.
IBON, a member of the local anti-WTO network Resist WTO! and the global
coalition Our World Is Not For Sale , challenges the country's
negotiators at the WTO ministerial to resist the further extension of
trade liberalization into manufactured goods and fisheries and instead
focus on finding meaningful ways to develop the country's manufacturing
sector. Posted by Bulatlat
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