Summit of the
Americas and the Proposed Free Trade Area of
the Americas (FTAA)
Notes For
A Panel Presentation By Hon. David Kilgour,
M.P. For Edmonton Southeast
and
Secretary Of State For Latin America and
Africa
At a public meeting sponsored by the
Working Group on Social Values and Trade
of
The First Unitarian Congregation Of Ottawa
30 Cleary Avenue, Ottawa, April 9, 2001
Hearty thanks
to the sponsors of tonight’s meeting
to discuss the Summit of the Americas -
an event that many on both sides of the
globalization debate, have characterized
as the most important conference ever to
take place on Canadian soil.
A number
of years ago, my family attended an event
at this church. My children spotted a poster
which read, “Your children are not
your children ; they belong to the Universe.”
There was considerable truth in that poster.
In many ways, the world is becoming one.
Human destiny is interlinked as never before.
Wherever I go in the Caribbean and Central/
South America, I encounter Canadians of
all ages working for NGOs, businesses, churches,
and the like. Two of my own children have
worked a summer in Central America; one
daughter is currently a volunteer teacher
near Mount Kilimanjaro in Tanzania. Globalization
is a part of our everyday life.
There is
an insightful message which is currently
making the rounds in cyberspace:
“...ta
voiture est japonaise,...
...ta democratie est Grecque,
Ton café est bresilien,
Ta montre est suisse,...
Et tu reproches a ton voisin d’etre
un etranger?”
In many respects, this underscores the common
goal that is set for the Summit of the Americas
in Quebec City. As Prime Minister Chrétien
noted recently, we must develop tools that
enable all 800 million members of “la
gran familia” to reap their full potential
as human beings. It goes without saying,
of course, that our prime minister does
not want Canada, as a great trading nation
for over 200 years, to isolate itself in
the process of reaching out in new ways
to hemispheric neighbours.
Canada is
a Trading Nation
First and
foremost, Canada is a trading nation and
our history is one of expansion based on
respect, and the desire for an improved
quality of life for all its citizens.
- one out of
every three jobs across our country is export
related,
-
we are the largest importers per capita
in the world –– and also the biggest
exporters on the planet on a per capita
basis, and
-
Ninety-two percent of our exports go to
countries that will be represented in Quebec
City
Building trading relationships is more than
a matter of goods and services. Most Canadians
believe that opening markets leads to the
exchange of ideas on such issues as respect
for human rights and democratic development.
Some even assert that the reason Mexico
is now a genuine multi-party democracy has
something to do with the formation of the
North American Free Trade Agreement (NAFTA)
in 1994. Our Mexican amigos say that about
two million jobs and 80,000 new businesses
were created in Mexico as a direct result
of NAFTA.
One further
thought on Canadians as traders. It is said
that, as the Swiss are to international
banking, so Canada now is to long-distance
learning, technology transfers, and workplace
training. On a Team Canada visit to Argentina
a few years ago, I attended a breakfast
for French-language teachers in Buenos Aires.
It was their summer vacation, yet about
200 teachers showed up on a Saturday morning
to find out what kind of long-distance courses
we have to offer. No-one here needs to be
told that “education for all”
is needed across the Americas.
The
Globalization Debate
Globalization
is a relatively new word, but the process
that it describes is as old as human-kind
itself. Human beings always have sought
to expand the horizons of the world they
know, to meet and exchange with their neighbours.
Man has traded in goods and in services
since prehistoric times. Both partners in
these exchanges have felt themselves enriched
and their lives enhanced.
The challenge
has always been, and remains, to ensure
that exchange between peoples takes place
in a fair and equitable manner. Different
models have been developed to maximize the
benefits of trade and limit its risks. The
fear of globalization is not new. The need
for management and rules is not new. The
negotiation that will continue this month
in Quebec City, is part of an on-going process.
Many Canadians have not been satisfied that
governments have the will, or the ability,
to ensure that a fair, environmentally and
socially sound trading system is put in
place. They fear that governments will represent
only the interests of a global elite.
I know the
government has been listening and has taken
the steps to open the Summit process to
consultation and public discussion. All
kinds of public meetings have been held
across the country. The Indigenous Peoples
Summit of the Americas was held here in
Ottawa last month. The Hemispheric Youth
Summit was held in Quebec City. The Prime
Minister has invited Chief Matthew Coon
Come to the Summit and he has accepted.
The People’s Summit will precede the
official event in Quebec City. I have been
throughout Canada in the last three months
and listened to the concerns and interests
of people just like you: Canadian and ex-patriots
from virtually every country in the hemisphere.
From them I heard conflicting expectations
about the proposed agenda for the Summit.
Building
Transparency
Last Monday,
for example, there was a demonstration at
the Pearson Building. Some of you may have
participated. Deeply held views were peacefully
expressed. No one was hurt. That is democracy
in action.
The issue
last Monday was the secrecy surrounding
the negotiating text for the FTAA. Our government
understood why Canadians wanted to see that
text. Canadians expect transparency. But
then the text was not ours to share. It
belonged to all of the parties to the negotiations.
Nonetheless,
my colleague Pierre Pettigrew went to last
week’s preparatory meeting in Buenos
Aires hoping to persuade our partners to
release that text. He was successful. The
text will be made public as soon as it is
translated into the four official languages.
It will be in the public domain for at least
four years before it is expected to be finalized.
As Pettigrew said, “trade negotiations
will never be the same”. We have established
a precedent in transparency. Moreover, the
portion of the Summit focussing on strengthening
democracy will be broadcast live throughout
the hemisphere. That too is new and that
is transparency.
Strengthening
Democracy
Democracy
continues to advance in the Americas. Mexico
has become an effective multi-party democracy.
Sunday’s presidential elections in
Peru, a country seriously troubled only
a year ago, were considered by international
and national observers to have been fair
and orderly. Canada was a key player in
bringing Peruvian civil society and political
parties together and was instrumental in
bringing forward new elections.
Amartya
Sen, who won the Nobel Prize in Economics
in 1998 notes in his Development As Freedom
that other policies which helped the East
Asians include “openness to competition,
the use of international markets...successful
land reforms and public provision of incentives
for investment, exporting and industrialization.”
This is a lesson for the Americas.
Sen is convinced
that democracy is very important in its
own right. He quotes Fidel Ramos, the former
president of the Philippines:
Under
dictatorial rule, people need not think–need
not choose–need not make up their minds
or give their consent. All they need to
do is to follow...By contrast, a democracy
cannot survive without civic virtue...The
political challenge for people around the
world is not just to replace authoritarianism
regimes by democratic ones. Beyond this,
it is to make democracy work for ordinary
people.
Democracy
isn’t an abstract concept; nor is it
a final destination. It’s a journey
that we’ve embarked on together- one
that unites us in our commitment to continually
improve the lives of our peoples. A commitment
to democracy, human rights and the rule
of law is central to what Canada hopes to
achieve at the Summit.
Realizing Human Potential
A lot of
public attention has been focused on the
Summit as a discussion about trade without
acknowledging the significance given to
social development issues. Progress in the
Americas relies on its most valuable resource-
people. When we speak of “realizing
human potential”, we’re talking
of the need to provide men, women and children
with the necessary tools to achieve social,
economic and political expression. Ultimately,
priorities like health, education, and skills
development are vital investments.
Let me remind
you, in her report, “Creativity and
Inequity”, Senator Landon Pearson (Prime
Minister Chrétien's advisor on children's
rights) concluded:
- children
in the hemisphere will become even more
vulnerable to intra-state conflicts,
-
widespread societal and domestic violence
often associated with civil conflict is
preventing the Americas from reaping the
full benefits of the peace, which now prevails
throughout most of the hemisphere, and
-
90 million of the residents of the Americas
do not have access to clean water.
Incidentally, I visited a school in a very
poor part of Tegucigalpa, Honduras, where
Canada paid for a much-needed water well.
In a grade five class, I asked the children
what each wanted to be later on. The answers–“a
doctor”,“ a journalist”,
“a lawyer”–were virtually
identical to those I’ve heard from
their counterparts in southeast Edmonton.
The experience drove home for me just how
common are the goals and aspirations of
the next generation in our hemisphere.
Creating Prosperity
Creating
prosperity is the third theme of the Summit
and the FTAA is just part of it. To be certain,
the Americas and the Caribbean have uneven
records here:
- most of the
34 countries have reduced inflation,
- many have
boosted and diversified their exports (Mexico/Ecuador/Venezuela–over
30% of their GDP; Chile–30%; Colombia–20%;
Peru–15%; Brazil/Argentina-10%)
- economic
communities have been re-vitalized (Mercusur,
Andean Community, Central America, and Caricom)
- some have
attracted considerable direct foreign investment
(since 1994 the NAFTA partners have invested
$367 billion in each other’s economies;
total foreign investment in these three
countries has reached $1.8 trillion) which
translates into jobs and capital for social
investment.
(On this,
I should point out that Prof. Dani Rodick
of Harvard has concluded that the most successful
globalizers are those that have “market-friendly
but pro-active governments, adequate social
insurance and have integrated into the world
economy on their own terms”.)
on the vitally
important jobs issue, as you know, our record
in our hemisphere is mixed. There are many
who are under-employed and unemployed. People
who lack access to adequate education and
training, which is the key to better jobs
everywhere.
The Summit
will address issues which Canadians consider
critical to the well-being of society and
every individual community member. This
means exploring ways to combat the scourge
of illicit drugs and crime, ways of providing
access to quality education for all in the
hemisphere, bridging the digital divide,
ensuring quality health care and a commitment
to democracy and the protection of human
rights. I believe these are the core values
of Canadians. These are the same values
that are on the agenda for the Summit of
the Americas in Quebec City.
Let me confirm
that the meeting in Quebec City is about
more than just trade. It is about how to
ensure that the people of this hemisphere
have the opportunity to live fulfilled lives.
Yes, we are committed to an FTAA, and we
are pursuing this in a context that recognizes
the connection between freer trade, prosperity
and social progress. As our Prime Minister
has said , “It cannot be about trade
alone. It is not just a contract among corporations
and governments. First and foremost, it
is an agreement among and about people.”
Caribbean
and Central America
Let me add
a word about small states. At the request
of their governments, we are now negotiating
free trade agreements with most Central
American and Caribbean countries. As with
our existing agreement with Chile, these
could, if successful, become regional bridges
to the full FTAA, which, if achieved, will
now probably not begin to be phased in until
2006.
In response
to Caribbean concerns about the position
of smaller economies in the FTAA process,
Canada has committed more that $16 million
to the provision of trade-related technical
assistance to the most vulnerable countries
of the region. We are willing to consider
the inclusion of specific, time-limited
measures in the agreement to ease the transition
of smaller economies and have supported
the creation of a Consultative Group on
Smaller Economies within the negotiating
process.
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