Pacific "think tank" on globalisation

The Pacific Network on Globalisation (PANG), established by regional 
non-government organisations in the Pacific, has set up a "think tank" to 
analyse the impacts of globalisation and economic agreements and policies 
in the region.

The PANG think tank is made up of NGO and church leaders, activists, 
academics and community leaders region-wide who have experience in research 
or are doing work on economic justice and globalisation issues.

The first meeting of the think tank was held in Fiji on February 23 and 24 
and focused on the process and impacts of the Pacific Island Countries 
Trade Agreement (PICTA) and the Pacific Agreement on Closer Economic 
Relations (PACER). The two economic and trade agreements were endorsed by 
leaders at the Pacific Islands Forum meeting in Nauru last year.

The Forum has argued that the free trade area is in the best interests of 
the region, and a Forum-commissioned Social Impact Assessment (SIA) of 
PICTA has concluded that the socio-economic impacts will be minimal.

But the PANG think tank found serious shortcomings in the findings of the 
report. A six-page critique of the Social Impact Assessment was prepared 
and has been sent out to Forum officials and the media to encourage debate 
and discussion on the issue.

Indeed, one of the criticisms of the endorsement of the agreements 
themselves was the glaring lack of consultations, public awareness, or 
transparency in the process. Fiji, for instance, has ratified the agreement 
without a debate in Parliament, and a complete absence of discussion in the 
media or public sphere.

PANG found strong evidence of outdated and incorrect statistics, 
misrepresentations of the present social, economic and political conditions 
in Pacific island countries, and speculative "forecasts" in the SIA.

Some of these include:

* The absence of any reference to the implementation and impacts of 
economic restructuring, despite its significant effects in all Pacific 
Island states;

* The reference to the citrus industry in the Cook Islands, which no longer 
exists, and the absence of any references to the pearl industry, which has 
emerged as a major source of foreign exchange, and to new developments in 
the tourist industry in the last five years;

* The lack of discussion on the Fiji's garment industry, except for a 
passing reference to an expected decline in clothing employment;

* In the lengthy discussion on the expected rise in female employment 
within manufacturing in Fiji, the absence of any consideration of the 
quality of such employment, vis a vis wages, working conditions and 
security of employment.

* Expanded jobs for women are expected to have the positive effect of 
"augmenting total household finances", even though it is acknowledged that 
in many cases the women employed will be sole household earners;

* The absence of any mention of Papua New Guinea's present socio-economic 
crisis (poverty, unemployment, rising levels of crime and violence against 
women, etc) which has reached critical levels and which is in no small 
measure related to the imposition of structural "reforms".

* The outdated reference to woolen clothing manufacturing in Tonga, as the 
knitting industry, triggered into being by SPARTECA, has since died.

* The projected increases in exports and employment, linked to financial 
services, which are unlikely with the future of tax havens now in doubt. 
The Vanuatu case requires more in-depth analysis.

Not in our interest

Further, PANG challenged the assertion by the Forum that the free trade 
agreements were in the interests of Pacific peoples. The think tank 
expressed concern on the costs to sovereignty and ownership.

"Pacific Island countries are small players in the global economy. 
Agreements such as PICTA and PACER will make our countries more dependent 
than ever before on the dominant players in the global economy and will rob 
them of the rights to decide the direction of their own societies, and to 
protect their industries, their lands, and their traditional way of life.

"We are being asked to open our doors even further to overseas products, 
overseas investments and overseas service producers. Our national assets 
will be open to purchase by overseas interests while we are being asked to 
make the labour of our workers available at the lowest costs.

"We are being asked to surrender control to outside forces. Effectively our 
freedom is being diminished. The social costs of this process has not been 
properly assessed but evidence from elsewhere urges great caution.

"PANG is particularly concerned about the impact of free trade on the 
ownership and access to land. The Pacific region's system of communally 
owned land directly conflicts with the view that resources should be used 
by those who can put them to the most productive or profitable use and that 
all should have equal access to the globe's resources.

"Are communal tenure systems which may protect the wellbeing of thousands 
of ordinary Pacific islanders at risk of being "reformed" in the interests 
of the global free trade and investment agenda? What consequences will 
changing land tenure or access arrangements have for Islanders who are 
dependent on semi-substinence livelihoods?"

The next meeting of the think tank will be held in April.

* * *

Pacific News Bulletin, February 2002