Nexus - 0504 - New Times Magazine-pages

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have a number of key non-OECD member countries join the MAI would permit EU member states to discriminate against non- before beginning negotiations on investment in the WTO".*! members), and, in solidarity with the USCIB, was quite disap- Recently the USCIB has shifted its focus to ensure that any ref- pointed at the recent rejection by US Congress of fast track’ nego- erence to labour and environment in the MAI remain non-binding, tiating privileges for the President. threatening to withdraw its support for the MAI if this line is crossed.” The trio of provisions (the so-called "three-anchor KEIDANREN approach") that the group could swallow coincides with the envi- Keidanren, the most representative Japanese business coalition ronmental provisions presented by the US. These are a non-bind- with over 1,000 members (including Toyota, Mitsubishi, Nissan, ing preambular statement on sustainable development, a non- Sony, Sakura Bank and Nippon Steel Corporation), has also been binding provision on not lowering standards to attract foreign actively pushing for the MAI. As Japan and South Korea are the investment, and a non-binding attachment to the OECD's 1974 only Asian OECD members, Keidanren's main goal is to sign as "Guidelines for Multinational Enterprises". many developing countries as possible onto the MAI. Thus, while The USCIB also invested some energy in damage control after urging that the MAI remain a high-standard agreement, it recom- NGO campaigning in the US had stirred up some serious public mends flexibility to facilitate the membership of non-OECD doubts about the MAI. In December 1997, the USCIB published countries. a letter in the Washington Times ,* trying to calm fears about the In addition, Keidanren has joined forces with UNICE to MAI. The letter mocks the concerns of MAI critics, sarcastically encourage the creation of a multilateral framework on investment asking: "Will the MAI allow big, bad multinational corporations at the WTO,” and simultaneously urges investment liberalisation to trample the rights of poor countries, undermine existing nation- through bilateral and regional agreements such as APEC. al environmental legislation and take away from US states their Although generally pleased with MAI developments, Keidanren constitutional rights? Let's look at the facts..."—and referring to is disappointed that two of its main objectives—taxation and key "the feverish atmosphere of Internet chat rooms". The bottom personnel (which allows special privileges for corporate staff)— line, the groups argues, is that investment is not bad for the envi- have been carved out of the agreement. ronment, and that it will benefit "the United States in The Japanese lobby group is also trying to reduce general general...making the economic pie exemptions to the bare minimum—for row both here and abroad".** . instance, strongly opposing regional . Keidanren, the most . economic integration oreanisation RASTONAL SSUES ON representative Japanese business (REIO) clauses (such as the one pro- aye . posed for EU members), and rejecting Founded in 1976 by the CEOs of Coalition with over 1,000 extraterritoriality (such as the US US-based Imperial Oil and Noranda, members (including Toyota, Helms-Burton Act that punishes cor- the Business Council on National . ahi . porations active in Cuba), yet prefer- Issues (BCNI) is Canada's version of Mitsubishi, Nissan, Sony, Sakura ring that all sub-national levels of the European and US business Bank and Nippon Steel governments be fully bound by the round-tables. Among its 30 mem- . MAI. bers are the CEOs of several large Corporation), has also been Though less aggressively than its banks and major Canadian and for- actively pushing for the MAI. US partners, Keidanren worries that eign companies, including Air additional labour and environmental Canada, AT&T, Bechtel, regulations would prevent non-OECD Bombardier, Canadian Pacific, Cargill, DuPont, General Motors, members from signing on to the MAI.” Hewlett-Packard, Loram, MacMillan Bloedel, Mitsubishi, Monsanto, Nestlé, Northern Telecom, Petro Canada and Placer WORLD BUSINESS COUNCIL FOR SUSTAINABLE Dome. DEVELOPMENT Over the past two decades, the BCNI's relationship with succes- The World Business Council for Sustainable Development sive Canadian governments has become increasingly intimate. (WBCSD) has only recently stepped up its involvement in the The lobby group worked strenuously for the passage of the 1988 MAI. Masquerading behind its carefully cultivated image as a Canada-US Free Trade Agreement® and organised a costly cam- ‘green’ industry lobby group,” the WBCSD has been tremendous- paign to secure the election of the current neoliberal government. ly successful in promoting global market liberalisation and self- However, the BCNI's approach to the MAI has been less regulation by business instead of government intervention as the aggressive, perhaps due to the group's wish to sweeten its nega- recipe for sustainable development. The WBCSD approach has tive public image. At the November 1997 MAI hearings, the left its mark on, for instance, the 1992 Rio Declaration and the cli- BCNI professed its strong support for the Paris negotiations, mate treaty which emerged from Kyoto in December 1997. It is focusing on the people-pleasing, job-creation aspects that such a _ not surprising that the WBCSD has come out strongly in favour of treaty would bring: "...recent studies have indicated that for each the MAI, despite acknowledging potential problems. billion dollars invested over a five-year period in Canada, some- The 15 January 1998 BIAC consultation was the first time that thing in the order of 45,000 jobs are created."*” the Business Council's Secretariat had participated in official con- BCNI companies have also used other forums to fight for their sultations on the MAI. In general, the group's involvement has favourite provisions in the MAI. Lobbying has been conducted been on the informal level. WBCSD president Bjorn Stigson has through the Canadian Chamber of Commerce and the Canadian attended various BIAC meetings and is a member of its environ- Council for International Business, and the BCNI is also a mem- ment committee. Several WBCSD member companies are repre- ber of the OECD's official business advisory council, BIAC. In sented in BIAC, and the secretariats of both organisations interact particular, the BCNI is strongly opposed to the EU's general exception for regional economic integration agreements (which Continued on page 85 would permit EU member states to discriminate against non- members), and, in solidarity with the USCIB, was quite disap- pointed at the recent rejection by US Congress of fast track’ nego- tiating privileges for the President. WORLD BUSINESS COUNCIL FOR SUSTAINABLE DEVELOPMENT The World Business Council for Sustainable Development (WBCSD) has only recently stepped up its involvement in the MAI. Masquerading behind its carefully cultivated image as a ‘green’ industry lobby group,” the WBCSD has been tremendous- ly successful in promoting global market liberalisation and self- regulation by business instead of government intervention as the recipe for sustainable development. The WBCSD approach has left its mark on, for instance, the 1992 Rio Declaration and the cli- mate treaty which emerged from Kyoto in December 1997. It is not surprising that the WBCSD has come out strongly in favour of the MAI, despite acknowledging potential problems. The 15 January 1998 BIAC consultation was the first time that the Business Council's Secretariat had participated in official con- sultations on the MAI. In general, the group's involvement has been on the informal level. WBCSD president Bjorn Stigson has attended various BIAC meetings and is a member of its environ- ment committee. Several WBCSD member companies are repre- sented in BIAC, and the secretariats of both organisations interact 32 ¢ NEXUS JUNE - JULY 1998 Continued on page 85