The Free Trade myth
For years rich countries have bullied
poor ones to open their doors to floods of cheap imports. Now they
are using the World Trade Organisation to kick down the door altogether.
In the past most of today's most developed economies
have used policies to protect their industries from foreign competition
until they were big enough to survive without support. But now they
are using the WTO to deny poor countries the same route to economic
development.
 They
hide behind the free trade argument that says if all trade
restrictions like import tariffs and quotas were dropped each country
would do what it does best and all would prosper.
But this level playing field is a myth. Pitting
fledgling industries in poor countries against big business overseas
is like putting a rabbit in a cage with a tiger. There can only
be one winner.
The fair trade argument puts people
at the centre of world trade. It says that trade rules should allow
people to work themselves out of poverty by selling their products
to rich countries and other developing countries at a decent price.
They should also be able to protect their economies until such time
as they are established enough to compete with the more developed
countries.
In theory, WTO rules should remove trade barriers
in rich countries while allowing poor countries to protect their
markets until they are strong enough to compete. However, in practice
rich countries use their power and influence to rig the rules in
their favour – kicking down the doors to developing country
markets and driving the poor deeper and deeper into poverty.
|
act now
