Archived press release

Face-saving deal in Hong Kong bad news for people and environment

19 December 2005

HONG KONG, CHINA, December 18, 2005 Although a face-saving deal was reached in Hong Kong today, Friends of the Earth said the World Trade Organisation (WTO) and the global trade system remain in crisis. Today's agreement contains proposals that will further threaten the global environment and the livelihoods of the world's poorest people.

Friends of the Earth International chair Meena Raman said:

"The so-called gains for developing countries are just little crumbs that will not make up the price millions of farmers, fisherfolks, indigenous people and others in the developing world will have to pay as a result of today's deal."

The deal, reached after last minute concessions from the European Union, opens up markets in farming and natural resource sectors, including forests, fisheries and minerals, benefiting corporate interests, but devastating the traditional way of live for millions of the world's poorest people.

Friends of the Earth Trade Campaigner Eve Mitchell said:

"This is a dirty little deal which is more about salvaging the WTO, than sorting out the profound problems which are crippling the international trade system. The world needs real poverty reduction based on sustainable, just use of natural resources, but the WTO talks in Hong Kong have failed to deliver this. The European Union, and indeed the UK, must shoulder some of the blame."

Environmental campaigners are concerned that the European Union has:

• Agreed to make drastic tariff reductions even for ecologically sensitive sectors, forestry, fisheries and minerals that will threaten the global environment as well as developing countries;

• Committed to the acceleration of negotiations on non tariff barriers that will chill and dismantle vital environmental regulations in the EU as well as elsewhere;

• Reduced the flexibility offered to developing countries who don't want to
  negotiate away essential services such as water and energy to multinational corporations;

• Failed to guarantee an immediate end to export subsidies while continuing to entrench domestic supports that harm farming in developing countries and forcing developing countries to open their markets;

• Rejected attempts by a number of developing countries to retain rights over their own traditional knowledge and genetic resources.

Friends of the Earth Europe campaigner Alexander Wandel added:

"The Hong Kong deal is a bad deal for the poor and the environment that has been dressed up to look good. Empty promises on aid have been made to entice countries into potential agreements that could devastate sustainable development and biodiversity in years to come."

For more information: `tyranny of free trade' exposed in new report,
online here: www.foei.org/media/2005/1208.html

If you're a journalist looking for press information please contact the Friends of the Earth media team on 020 7566 1649.

Published by Friends of the Earth Trust