[asia-apec 1508] NZ Trade Union Federation on Mike Moore visit

[APEC Monitoring Group]

MEDIA STATEMENT

FOR IMMEDIATE RELEASE  10 August 2000

NZ Trade Union Federation
PO Box 11891
Wellington

Moore visit a symbol of "democracy deficit"

"The visit to New Zealand of WTO head Mike Moore and his investiture with
the Order of New Zealand co-incides with growing anger amongst workers,
students and a wide range of civil society organisations over the growing
"democracy deficit" in New Zealand," Trade Union Federation Secretary,
Michael Gilchrist, said today.

"The wall of secrecy surrounding the Singapore Free Trade Agreement is only
the latest example.

"The leader of the house, Michael Cullen, has refused to allow the Singapore
Free Trade agreement to be debated in Parliament. MFAT have refused to
disclose the matters under negotiation, including such crucial questions as
local content.

"The two major political parties in New Zealand are running an identical
policy of trade and investment liberalisation as per the WTO approach.
Foreign Affairs Minister, Jim Sutton, has actually referred to it as a
bi-partisan approach. The Alliance have also fallen into line.

"So New Zealanders have no knowledge, no participation and no choice in our
country's trade and investment policies. That's a huge democracy deficit to
go with our equally outsized balance of payments deficit. Both are rapidly
reducing our domestic choices.

"A free trade and investment agreement with the powerful Singaporean economy
has many dangers. From what we can learn, for example, between 20 and 40%
local content will be required for so called Singaporean goods to achieve
duty free status. This will effectively create an open door for goods to be
trans-shipped through Singapore free of duty to New Zealand. By contrast,
the CER agreement with Australia requires 50% local content.

"There are also huge dangers in likely national treatment clauses requiring
New Zealand's central and local government to treat Singaporean products,
service providers and investors as well as, or better than, our own -
particularly in areas such as education and broadcasting or areas covered by
the Treaty of Waitangi.

"There is a growing understanding internationally that trade and investment
liberalisation has a fundamentally imperialist structure. It means
protection for the rich and powerful nations and a growing concentration of
capital. But it means increasing foreign penetration and the destruction of
national economies for the rest of us.

"Mike Moore has, from the outset, been identified with the rich and powerful
nations, particularly the United States. His posturing as a representative
of the poorer nations is only a part of the overall strategy for increasing
liberalisation. This makes him a prime target for oppposition worldwide", Mr
Gilchrist concluded.

A range of groups will protest against Mr Moore and the WTO from 10.00 am
tomorrow, Friday 11 August, at Government House on the Basin Reserve,
Wellington.

For further information: Michael Gilchrist (04) 384 8963 or (04) 237 7566