Mar 30, 2013

TransPacific Partnership Will Undermine Democracy, Environment, Healthcare and Destroy Food Agriculture

...Prevent Buy America Manufacturing Preferences: The TPP's procurement chapter ends 'Buy America' preferences by requiring that all firms operating in any signatory country are provided equal access to US government procurement contracts over a certain dollar threshold, the same access that domestic firms have. To implement this, the United States would agree to waive "Buy America" procurement policies.

Undermine Environmental Laws and Regulations: Similarly, governments who are seeking to encourage localization and green manufacturing through procurement preferences will be stopped. A recent example involved Ontario, Canada, which has employed a renewable energy program that requires energy generators to source solar cells and wind turbines from local businesses so as to cultivate a robust supply of green goods, services and jobs.  The program has earned acclaim for its early success in generating 4,600 megawatts of renewable energy and 20,000 green jobs. But, the WTO ruled that this violated WTO rules. In another case, a US company Lone Pine Resources is suing the Canadian government under NAFTA for more than $250 million due to lost profits from Quebec's moratorium on fracking, which prevents Lone Pine from fracking under the St. Lawrence River. This is not an isolated incident:

. . . corporations such as Chevron, Exxon Mobil, Dow Chemical, and Cargill have launched 450 investor-state cases against 89 governments, including the United States. Over $700 million has been paid to corporations under US free trade agreements and bilateral investment treaties, about 70 percent of which are from challenges to natural resource and environment policies. Corporations have launched attacks on a range of public interest and environmental regulations, including bans or phase-outs of toxic chemicals, timber regulations, permitting rules for mines, green jobs and renewable energy programs, and more.


Destroy Food and Agriculture: Agriculture trade rules have both undermined US producers' ability to earn a fair price for their crops at home and in the global marketplace. Multinational grain-trading and food-processing firms have made enormous profits, while farmers on both ends have been hurt. The results are that hunger is projected to increase, along with illicit drug cultivation, and undocumented migration. Dairy farmers fear the TPP could decimate the US dairy industry and have urged Congress to refuse to Fast Track it. Failure to establish new agriculture terms would intensify the race to the bottom in commodity prices, pitting farmer against farmer and nation against nation to see who can produce food the cheapest, regardless of labor, environment or food-safety standards. Regarding food safety, current trade agreements contain language requiring the United States to accept imported food that does not meet our domestic safety standards and limiting inspection of imported foods and products. The TPP is expected to continue these practices.


Prevent Health, Safety, Environment, Consumer and Labor Laws:According to leaked documents, the TPP contains provisions with special rights for corporations. The provisions protect investors by providing them with compensation for loss of "expected future profits" from health, labor, environmental and other laws. The negative effect is that nations will not pass laws that threaten corporate profits in order to avoid lawsuits and heavy fines. Court cases in which corporations are suing governments over laws and regulations that cause loss of expected profit will be tried before a trade tribunal of three judges. These judges can include corporate lawyers on temporary leave from their corporate job while they serve as judges. Global Trade Watch reports that under previous trade agreements "Over $3 billion has been paid to foreign investors under US trade and investment pacts, while over $14 billion in claims are pending under such deals, primarily targeting environmental, energy, and public health policies." The right to sue governments will create a hurdle for governments considering actions to protect workers, consumers, health and the environment.


Privatize Health Care and Make it Unaffordable: Leaked documents showthat the US Trade Representative is pressuring TPP member countries to expand pharmaceutical monopoly protections, which essentially trade away access to medicines. In a recent letter, Doctors Without Borders wrote that the TPP will be "the most harmful trade deal ever for access to medicines in developing countries." The TPP does this damage by inflating pharmaceutical prices through lengthy patent protections, as Doctors Without Borders writes:


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http://www.truth-out.org/news/item/15353-transpacific-partnership-will-undermine-democracy-empower-transnational-corporations