TRADE NEWS BULLETIN Volume 2 Number 39 Tuesday, March 2, 1993 _________________________________________________________ NAFTA News Summary _________________________________________________________ CANADIAN PREMIERS URGE DELAY IN NAFTA RATIFICATION Three Canadian province premiers criticized the Conservatives for seeking ratification of the North American Free Trade Agreement (NAFTA) before elections this fall. "For the federal government to proceed without even a sense of what's going to be in those agreements ... is I think highly irresponsible," said Ontario Premier Bob Rae, after meeting with Saskatchewan's Roy Romanow and British Columbia's Michael Harcourt. The three premiers are members of the New Democratic Party, which opposes NAFTA. "We don't even know what the bottom line of the American Congress is going to be yet," said Rae. "If it's not good enough yet for Bill Clinton why should it be good enough for the Canadian government?" Prime Minister Brian Mulroney submitted implementing legislation to Parliament last week after announcing his resignation. Source: "Three Canada Provincial Premiers Criticize NAFTA," REUTER, March 1, 1993. _________________________________________________________ SOUTH DAKOTA ADVANCES ANTI-NAFTA RESOLUTION The South Dakota state legislature is expected to vote on an anti- NAFTA resolution this week. The legislation, which narrowly passed a state Senate committee, asks for fair trade policy between nations at profitable market prices for agricultural producers. The resolution calls for improved safety and environmental measures in NAFTA, and recommends delaying implementing the trade pact until new studies can be conducted. Source: "Anti-NAFTA Resolution," DAKOTA RURAL ACTION , March 1, 1993. __________________________________________________ MEXICAN LABOR LEADER SAYS WORKERS NEED HIGHER WAGES Mexican workers need increased wages and upgraded technology if they are to compete with Canada and the U.S. under NAFTA, said Fidel Velazquez, leader of the Mexican Workers Confederation (CTM). He said CTM rejects the idea that cheap labor alone will make Mexico more competitive. Lower Mexican wages and worker rights have been the target of opposition by all three countries involved in NAFTA. However, Velazquez said he did not expect a bilateral labor accord to threaten Mexican workers' rights. Source: "Mexico Needs Higher Salaries To Compete," REUTER, March 1, 1993. _________________________________________________________ GATT News Summary _________________________________________________________ FAST TRACK LENGTH SEEN AS KEY TO GATT Many top trade officials now believe the fate of the General Agreement on Tariffs and Trade (GATT) lies with the length of the extension of U.S. fast-track negotiating authority. "We will watch closely if the extension will be long or short," said Yuji Tanahashi, vice-minister of Japan's Ministry of International Trade and Industry. President Bill Clinton is expected to ask Congress for approximately a nine-month renewal of the now-expired negotiating mandate. During a meeting in Tokyo with Japanese Trade Minister Yoshiro Mori, German Chancellor Helmut Kohl said extending fast- track for too long would hurt GATT's chances and said the round must be concluded before a summit of G-7 leaders in July. "My advice is to create situations that will enable you to talk to one another," Kohl said. GATT Director-General Arthur Dunkel believes GATT must be completed by the end of the year, but says regardless of the Uruguay Round's outcome, GATT will remain an important trade body. Jaques Chirac, head of France's center-right opposition, recently called GATT obsolete. "The GATT has no future unless it includes social and monetary obligations," said Chirac. Sources: "Uruguay Round Must Be Concluded By End 1993-Dunkel," REUTER, March 2, 1993; "French Opposition Leader Chirac Says GATT Obsolete," REUTER, March 1, 1993; "Japan MITI says U.S. Fast Track Key To GATT," March 1, 1993; "Kohl Calls For Uruguay Round Before July Summit," UPI, March 1, 1993. _________________________________________________________ CHINA DISCUSSES GATT ENTRY WITH U.S. Senior Chinese and U.S. officials met Monday to discuss conditions for China's entry to GATT. Douglas Newkirk, assistant trade representative for GATT affairs, headed the U.S. negotiating team and indicated much support for China's rejoining of GATT. However, officials said, "The process of GATT accession is some way off." China's application to rejoin GATT has been on hold since the Tiananmen Square episode in 1989. The meeting marked the first formal trade discussions between the Clinton Administration and Chinese officials. Source: Tony Walker, "China In U.S. Talks On GATT Entry," FT, March 2, 1993. _________________________________________________________ Resources: TO BE A WOMAN: AFRICAN WOMEN'S RESPONSE TO THE ECONOMIC CRISIS, a video produced by the Inter-Coalition on Africa. Available for $29.95 to individuals and $39.95 to organizations (plus $3.00 for postage). Inter-Coalition on Africa, 129 St. Clair Avenue West, Toronto, Ontario Canada, M4V IN5 Tel: (416) 927-1124 Fax: 927- 7554. _____________________________________________________________ Produced by: Kai Mander and Gigi Boivin The Institute for Agriculture and Trade Policy (IATP) 1313 Fifth Street SE, Suite #303 Minneapolis, MN 55414-1546 USA Telephone:(612)379-5980 Fax:(612)379-5982 E- Mail:kmander@igc.apc.org ________________________________________________________