9.15.03
| 4:01 p.m. Richard Morrison
More
from the BBC on the mixed
reactions to the failure in Cancun.
9.15.03
| 3:42 p.m. Richard Morrison
It
seems clear now that the goals of the Doha
Development Agenda are not
to be realized. That hasn't disappointed everyone, however.
The International Policy Network's Global
Freedom to Trade Campaign issued a
statement declaring the breakdown on negotiation "an opportunity
to push for real free trade." According to their analysis:
"The talks broke down because the EU refused to reform its
agricultural subsidies and attempted to foist new non-trade issues
into the WTO – as a delaying tactic to avoid discussion of agriculture.
But the days when a few thousand farmers in the EU are able to hold
the world to ransom are over." Let's hope so.
9.15.03
| 3:23 p.m. Richard Morrison
CEI
Senior Fellow Christopher
C. Horner has used his WTO experience over the last week to
inspire a few segments of John McCaslin's Inside
the Beltway column in the Washington Times: "Cancun
Wrap" today, "Champagne
Copyright" from 9/12, "Mexican
Flotilla" on 9/11, and "Card
from Cancun" on 9/10.
9.13.03
| 2:09 p.m. | Ivan
Osorio
From
what I've seen, many local residents aren't enthusiastic about the
closing down of streets and the tight security--and many are blaming
them on the anti-globalization protestors. Yesterday, the local
newspaper, La Voz
del Caribe, had several stories describing the losses that local
business
owners were suffering as a result of the security precautions taken
in
response to the threat of disturbances by people the paper described
as
"radicals," "extremists," and "vandals."
One story reported that LOCAL
owners of foreign franchises were urging police to deploy extra
security
after a Pizza Hut was vandalized. Then today, as I entered
the NGO center, I overheard one of the local conference workers
say (in Spanish): "They
protest, protest, and protest, but never offer anything constructive."
Yesterday's Voz del Caribe also carried a story announcing the
CEI/ICCS/CORE/CFACT food donation (see previous post). The writer
repeated much of our news release, but also attacked CEI and the
other participant groups as "corporate fronts." Whoah,
we've never heard that one before!
On
a positive note: Despite the problems they've endured over the last
few
days, the local people of Cancun have been gracious, welcoming,
and friendly beyond what anyone had any right to expect. They've
been great hosts.
9.13.03
| 10:17 a.m. | Ivan
Osorio
Yesterday,
CEI, along with the Center for a Constructive Tomorrow (CFACT),
the Congress for Racial Equality(CORE), and International Consumers
for civil Society (ICCS), organized a food donation to a small Mexican
village near Cancun. A lot of media came along on the trip--but
so did several anti-biotech demonstrators, as we found out when
we got there.
We left early in the morning from a hotel in a series of vans, but
some of
us--including myself--ended up having to ride in taxis, since some
of the
rented vans ended up going straight to the village because traffic
and
security precautions due to demonstrators made it impossible for
them to get into the hotel zone.
Some of the "media" along for the trip turned out to be
Friends of the Earth
activists, who unfulred their banners and started shouting slogans
when we
got there. Also along were some members of a Mexican anti-biotech
NGO. It
turns out many of them had press credentials. However, we did get
some
mainstream press outlets there--BBC and Reuters, to name just a
few.
The FoE activists actually were fairly obnoxious, and actually tried
to
scare people away from taking the food by telling them it was poisoned!
Hardly any of the villagers listened to this and took the food packages,
which included beans and other local staples.
After a handful of shouting matches, things quieted down, and several
of the
FoE activists drove away in a large, gas-guzzling, socially irresponsible
SUV.
One of the anti-biotech demonstrators rode in the same taxi as I.
I asked
her to pose with her banner, and she politely obliged (photo upcoming).
An interesting postscript: The food packages were handed out in
clear
plastic bags, and the most visible item in each bag was a large
box of
Kellogg's corn flakes, available at any local grocery store here.
A Tech
Central Station reporter told us that the FoE protestors were calling
the
Corn Flakes "pig food." Then, this morning at breakfast
(Many of the FoE
people along on the trip are staying at our same hotel), it struck
me that
they weren't making any fuss about the corn flakes served there
as part of
the complimentary breakfast.
Today, Consumer Alert hosted an event on biotech featuring CEI's
Greg Conko and Dean Kleckner of Truth About Trade, and some people
from the Mexican anti-biotech NGO that crashed the food delivery
event showed up at this. They were quite civil on this occasion,
and actually videotaped the event. Their cameraman--who had pro-quality
equipment--at one point walked out and came back with a can of Coca-Cola..
9.12.03
| 5:08 p.m. | Ted Sullivan
Ari
and I arrived here Wednesday afternoon, a few days after the rest
of our party. So far it has been really interesting dealing with
hotel issues and the fact that we do not yet have security passes.
Security for the most part has been tight with Federales in riot
gear blocking the two major roads in, self-important hotel security
guards, and two amphibious landing ships anchored off the coast.
Fortunately we have been able to talk our way past every security
point that we have needed.
The
last few days have consisted primarily of running odd jobs to keep
our operation running here. This consisted of posting blogs, tracking
down media adapters so that we can post pictures, and scrounging
for paper. To everyone's amusement, the conference ran out of paper
on the second day. Apparently, more has been ordered, but the NGO
community is definitely running short.
This
morning (Friday), Ari and I went out to Valle Verde, a small, desperately
impoverished village about 10km outside Cancun. The organizations
that we accompanied, CEI, ICCS, CFACT, and CORE brought with them
a donation of 2000 lbs of food for the hungry villagers. I fully
expected that these villagers would be highly grateful for the victuals,
but I did not expect the media circus that followed. Prominent media
such as Reuters, AP, Washington Post, and BBC International were
all present as well as publications from both the left and right.
What was most unfortunate was that we were swarmed immediately by
the media and members of various leftist NGO's that asked questions
and challenged our donation of some genetically modified food. Amidst
all this, shocked and hungry villagers stood in line patiently and
waited for food. After it had all been distributed a number of radicals
began screaming in Spanish that the food was contaminated. Facing
a direct assault, one village woman reluctantly surrendered her
food to one of a dozen others squabbling for it. Shortly thereafter,
ideological debating over GM turned into a shouting match that rolled
from one cluster of people to the next. Hopefully, these organizations
will be able to continue distributing locally purchased GM foods
over the following months and years. *See Pictures Section*
Ari
and I, however, have still not set foot on the beach…but that's
for tomorrow.
9.12.03
| 5:02 p.m. | Fred
L. Smith, Jr.
The
hotel at which I'm staying (the Gran Caribe Real) is about a mile
away from the convention center. Ironically (or perhaps appropriately)
the two areas are divided by a stretch of private homes – and that
division is highly relevant to the deliberations here at the WTO
meeting. CEI's efforts to advance individual liberty must contend
with the major threat posed by collectivist utopian NGOs.
One
example is the organization among developing nations of a new block
– the G-21 (group of 21 nations). The G-21 argues first things
first – the EU and America
should eliminate their anti-trade
policies (subsidies, anti-dumping, and so forth). In dollar terms,
these are clearly the dominant trade distortions in the world today.
The EU subsidy programs alone are estimated to constitute almost
90 percent of all trade distortions. U.S.
subsidies represent most of
the rest. The economic losses associated with third-world protectionist
policies are rather small in absolute dollar amount.
Once
the developed world has its house in order, the G-21 argues, it
will be time to consider how to dismantle the protectionist policies
of their nations. Nothing surprising about this – everyone is willing
for others to do brave things. But, of course, in today's highly
politicized world, trade policy is political policy. And politicians
of all nations pay far more attention to their highly organized
producer interests – and far less attention to the diffuse consumer
voice. And, in that world, this first things first strategy
may well lead to no trade improvements at all.
Indeed,
the G-21 may be viewed – naïve or Machiavellian – as the start
of a trade war between producer interests around the world. G-21
seems to represent the interests of Big Businesses (largely but
not totally agricultural) in the poorer nations against the interests
of Bigger Businesses (largely but not totally agricultural) in the
wealthier nations. The G-21 sees themselves as a third-world David
fighting it out with the US/EU Goliath. Good theater, bad politics.
In
the David/Goliath story, after all, the stones thrown it only the
combatants. In the trade wars that might follow a collapse of the
WTO, the stones will hit consumers around the world. Producer voices
in the developing world seem willing and able to impose the costs
of protectionism on their citizenry. This reflects the sad reality
that the power of consumer groups in the developed world – weak
as they are – are still smaller than the relative power of consumers
in the developing world. The G-21 speaks for producers but it is
the consumers who will bear the pain if they succeed in derailing
trade liberalization.
One
can sympathize with the G-21 organizers – the arrogance and resistance
of producer groups in rich nations is appalling. The EU, for example,
subsidizes cows at an annual rate higher than the annual income
of over one billion people in Africa
, Asia
and South
America . But, the G-21 runs
the risk of seeking a Bridge too far. War is, after all, horrible
but in war we normally seek to harm the citizens of our enemies.
Trade wars are even more horrific – each nation inflicts harm on
its own citizens! Moreover, small businesses have rarely prevailed
– alone – against bigger businesses in the political arena. The
likelihood of the G-21 coalition producing good results is even
less likely – far more likely is that they will simply succeed in
stymieing all hopes of further trade liberalization.
The
G-21 would be better advised to align themselves with the consumers
in the developed world – seeking to strengthen the free trade forces
in the U.S.
and the EU. An even better plan would be for the exporting groups
in both the developed and the developing world to align with the
emerging coalition of policy and consumer groups throughout the
world now championing open trade. The voices of the peoples of the
world have great moral authority – as evidenced by the fact that
the anti-globalization forces at Cancun
receive great deference. Their
policies are profoundly anti-poor yet – being the only group that
has yet sought to mobilize this constituency – they have great saliency
in the media. Their claims that the poor love their poverty, that
they reject modernity, are false and destructive. Still, if that
is the only developed world voice heard, it may prevail. The challenge
of the free market movement is to mobilize the consumers of the
world in a better cause.
9.12.03
| 4:45 p.m. | Myron
Ebell
Reading
the Miami Herald's special WTO edition distributed free every morning
in Cancun has informed and amused me more than most of the events
in this colossally dismal beach resort (I might not be so negative
if it weren't so humid). On Thursday the Herald published an op-ed
by two IMF economists, Arvind Subramanian and Shang-Jin Wei, which
summarizes their IMF study on the effects of joining the WTO for
poor countries. They found that the positive effects for economic
growth were much stronger in those countries that joined without
many of the special protectionist deals called “special and differential
treatment”. The countries that had to drop many of their trade barriers
when they joined the WTO are growing much faster than those that
were allowed to keep their barriers higher than the standard WTO-agreed
tariff levels. There is a lesson here.
On
Friday the Herald published a news commentary on global warming,
from which I've learned that some researchers have discovered a
strong correlation between increasing surface temperatures and the
rapidly increasing number of women in menopause. They suggest that
hot flashes cause menopause. This is clearly a joke, but the news
commentator wasn't quite sure whether it was a joke. I don't think
that's because he is stupid, but because reporters have become so
habituated to reporting junk science claims that show some correlation
between causally-unrelated phenomena as significant. They have been
scared by the environmental propaganda machine into not asking skeptical
questions.
Fred
Smith, my fearless leader, who is sitting right next to me and is
writing his blog at a computer in the NGO Centre here at the Hotel
Sierra Cancun, has just announced that he is about to faint because
it's 3 PM and we didn't have time for lunch. Apparently, he hasn't
noticed another cause. The WTO has cleverly put the NGO Centre in
an area of the hotel that doesn't have air conditioning. The lack
of air conditioning has two positive effects. The heat and incredible
humidity rob the lefty NGO activists of their energy. And it allows
them to live in harmony with nature, thereby comforting them morally
while they sweat.
9.11.03
| 12:49 p.m. | Ivan
Osorio
PRINTED
flyer picked up at the NGO Center: "Global Movilization Week
Cancun. Derial the WTO!" Also, "Derial" is in big
block letters almost half an inch tall.
9.11.03
| 11:49 a.m. | Liz Jones
The
alternative
to the WTO meeting, hosted by Jose Bove in France's hazelnut capital.
9.10.03
| 6:42 p.m. | Ivan
Osorio
Upon
arrival in Cancun, the far Left made its presence felt. A flyer
for a
"Fair Trade Fair" was left on the seat next to me on the
bus that picked us
up from the airport (but failed to reach our hotel; see previous
Osorio
entry); and at the NGO credential pickup center, a table was full
of flyers
from Public Citizen and Third World Network. Then at the hotel,
a sign on the registration counter welcomed Friends of the Earth
to the Holiday Inn Express, and later last night and this morning
folks with slovenly clothes and lots of piercings could be seen
throughout the hotel. This would make for a great ad campaign: "Anti-globalization
protestors prefer Holiday Inn!"
This afternoon, Consumer Alert, Consumers for World Trade, Asociacion
de Consumidores Libres (Costa Rica) held a successful event on the
effect of trade barriers on consumers. It was well-attended, and
attendees were generally receptive. The forum concluded with testimony
from a New Zealand dairy farmer, who congratulated the participants
for their work on behalf of open trade, because he and other farmers
in New Zealand are better off than they've ever been thanks to economic
liberalization in New Zealand.
9.10.03
| 6:09 p.m. | Fred
L. Smith, Jr.
There's
something ironic about representatives of over 140 nations around
the world meeting to discuss open trade in a luxury resort. As protectionists
(many) and free traders (too few) discuss the details of the evolving
efforts to expand (or restrict) global commerce, they are fed, housed
and entertained by thousands of Mexican workers whose very existence
depends upon tourism – much of it by non-Mexican nationals. To witness
thousands of young idealists from the United
States, Europe
and Asia
argue fiercely about the risks
of economic and technological growth. Wouldn't it be better, they
argue, to slow this process
to ensure more “orderly” adaptation. Can't we have the benefits
of trade without the “destructive storms of competition?”
Perhaps,
but that outcome is made far less likely by the various mercantlistic
“adjustments” that many seek in fleshing out the details in the
Doha Round. Indeed, the USTR itself has been far too sympathetic
to the utopian demands of those who would have the best be the enemy
of the good. The WTO meeting itself is a multi-ring circus dominated
(in numbers but not moral and intellectual fervor) by those seeking
various forms of linkages (trade, yes; but only if our trading partners
meet our standards for democracy, human rights, environmental protection,
religious freedom, labor rights and a host of other noble but non-trade
related goals). We may agree or disagree with their objectives,
but it is clear that freighting trade with these non-trade values
will make trade expansion even more difficult than ever.
But
the debate is slowly changing. Voices from the developing world
are becoming ever more vocal in arguing that economic liberalization
is the first and most important step out of poverty. One example
of that shift was a panel held on Consumers' Interests in Open
Trade sponsored by Consumer Alert, Consumers for World Trade
and the Association de Consumidores Libres. Speakers focused on
the reality that the victims of trade wars are the citizens of the
trading states. What might be done to create off-setting political
pressures that would improve the prospects for pro-trade, pro-consumer
policies?
The
panel discussed the public-choice problem: the interests that are
disrupted by trade are often concentrated; the interests that benefit
from open trade are dispersed. The result is a weak political voice
for free trade. This problem is exacerbated as self-appointed guardians
of the poor of the world – the modern NGO movement – put forward
Green Uncle Toms to advance protectionism. But that situation is
changing as free market groups around the world link together to
advance the egalitarian case for trade. There is much to
do but the world is changing – and the winds are now blowing weakly
but surely toward freedom.
9.10.03
| 5:36 p.m. | Chris
Horner
"The
day dawns and I admire the rolling azure lapping at the appalling
squalor -- kidding, actually the embarassingly opulence of the Cancun
Ritz. Lo, but the horizon yields what I understand to be the
a large chunk of Mexico's Gulf Fleet...40 watercraft, mostly swift
PT-style interceptors but also including what appear to be 3 sufficiently
armed frigates. Accompanying the flotilla is a large salvage
vessel (presumably out of optimism though, admittedly rusty on my
history of Mexican naval engagements, it may merely be a prudent
measure).
Whom or what do they await? Onward, Greenpeace soldiers, sailing
as to war. That's right, the Greenpeace's "Rainbow Warrior"
-- flagship to the horde of Rainbow Worriers and one of the few
non-French vessels actually scuttled by the French military this
century -- is rumored to be steaming, wait, sailing natch, toward
a mooring, and subsequent protest-related antics, off the Cancun
Centro de Convenciones. Or else for the Rolling Rock special
at Senor Frog's. Developing..."
9.10.03
| 5:19 p.m. | Liz Jones
Ron
Bailey's
article in Reason.
Mr. Bailey is in Cancun covering the events for HACER.
9.10.03
| 4:35 p.m. | Richard
Morrison
Tech
Central Station's Nick
Schulz has a piece in National
Review Online today on the threats posed by environmental linkages
in trade negotiations and amphibious activists, filed from the pillowy
sands in front of the Ritz-Carlton.
9.10.03
| 3:57 p.m. | Liz Jones
The BBC provides
great snapshots
of protests from around the world. I don't know which
one is my favorite ...
9.10.03
| 2:39 p.m. | Richard
Morrison
I
wonder how Mexican police officers feel about the most recent report
from Amnesty
International. Fearing that anti-WTO protestors might
be mistreated by local law enforcement, the group put together a
top ten list of things not to do if you, as a police officer, are
confronted with dissent. Some are standard advice from a human
rights group, such as "Do not use force except when strictly
necessary" and "Avoid using force when policing unlawful
but non-violent assemblies." Others, such as "Do
not carry out, order or cover up extrajudicial executions"
will hopefully be unnecessary.
9.10.03
| 2:09 p.m. | Richard
Morrison
CNSNews's
Marc Morano has a good story
today about eco-imperialism and the sustainable development agenda.
He quotes liberally from Leon Louw, of South Africa's Free
Market Foundation and Barun Mitra of the Liberty
Institute in New Delhi.
9.10.03
| 1:59 p.m. | Richard
Morrison
See
also Washington Post editorial columnist Anne
Applebaum's amusing column
on this week's WTO protests and the decline of the anti-capitalist
movement: "An
economic downturn is bad for anti-globalist groups, which are dependent
on the capitalist system not only for the computers they use to
organize their protests and for the deregulated airlines they use
to get there but for the funds, from individuals, corporations and
even governments, that they live on."
9.10.03
| 11:51 a.m.| Liz Jones
Please
read today's
editorial in the Washington Post entitled The Task at Cancun.
9.9.03
| 8:42 p.m. | Ivan
Osorio
Fred,
Fran, and I
arrived in Cancun today, and it took what seemed like
forever for us to get to our hotel. The buses intended to take conference
attendees to their hotels were running in an apparent haphazard
manner. I hope they get the transportation logistics together. After
over an hour in
one such bus, we got off, took a cab, and got to our hotels in a
decent
time. Security seems to be tight in preparation for the conference.
Steel
barricades line the streets and federal police are present throughout
Cancun. Our cab driver apologized for the heavy security, and said
that
Cancun isn't usually like that. He mentioned that protesters were
already in town as of last Saturday (September 6), and that some
of them actually got
naked in public.
9.9.03
| 4:10 p.m. | Richard
Morrison
The
Associated Press reviews
where the major WTO players on lining up on agriculture policy as
negotiations are poised to begin.
9.9.03
| 10:35 a.m. | Richard
Morrison
The
BBC News site also has a page
devoted to trade
coverage, including a poll question: "Will free trade benefit
the world's poor?" Currently the count is running against
reality with only a 34.5% affirmative response - go vote now.
9.9.03
| 9:51 a.m. | Richard
Morrison
One
of the single best sources for coverage of action in Cancún
is going to be the team from Tech
Central Station, which has already gethered dozens of commentary
pieces, research materials, and news items on its dedicated
WTO site. They're currently featuring pieces from Roger Bate
and Richard Tren of Africa
Fighting Malaria, Carlos Ball of AIPE,
and former Australian trade official Alan
Oxley.
9.9.03
| 9:12 a.m. | Richard
Morrison
The Cascade Policy Institute
in Portland, Oregon has published a new
paper on trade by Cato's Tom
Palmer to coincide with the WTO Ministerial. The paper,
adapted from a recent presentation to students at Portland
State University, debunks popular myths of globalization and
explains how open trade spreads global prosperity. A second
paper by Environmental Policy Director John
A. Charles details "The Environmental Benefits of Globalization."
Cascade also suggests a visit to the group A
World Connected, which is dedicated to "Celebrating global
exchange, opportunity, and human freedom."
9.8.03 | 4:23 p.m. | Richard
Morrison
Other
free market groups participating in the at the Cancún meeting
include Consumer Alert
and Consumers for World Trade of
Washington, D.C. La
Asociación de Consumidores Libres of Costa Rica and the
International Policy
Network, based in London.
9.8.03
| 3:26 p.m. | Richard
Morrison
The
Competitive Enterprise Institute policy team will be on the ground
at the Fifth WTO
Ministerial meeting in Cancún, Mexico to monitor negotiations
and speak on behalf of free markets. More information and
local contact numbers available at CEI's
website.