04) CANADA-U.S.
PROCUREMENT DEAL CONDEMNED
(The following
article is from the March 1-15, 2010 issue of People's Voice,
Canada's
leading communist
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PV Vancouver
Bureau
The
determination of the Harper
Tories to press ahead with "deep integration" with the United States
has been revealed again by the new Canada-U.S. procurement (Buy
American) agreement, and the impending Canada-European Union trade
agreement.
The "Buy
American" agreement
would bind the hands of present and future provincial governments, in
return for access to a mere $4 billion in potential U.S. government
contracts. This agreement would accept World Trade Organization rules
that restrict or even ban policies that encourage local development,
such as "buy local" or domestic content rules, or investment
requirements. The WTO's Government Procurement Agreement (signed by
only 40 countries) explicitly forbids governments and agencies from
including any condition or undertaking on government contracts. By
signing Harper's deal, the premiers may surrender important economic
and social policy tools used by provinces, cities, universities, school
boards, social service entities and hospitals.
According to
CUPE Ontario
president Fred Hahn, under terms revealed in leaked copies of the deal,
Ontario will become the only province allowing unrestricted access to
countries who have signed onto the WTO's Government Procurement
Agreement for publicly-funded contracts supplying schools,
universities, social services and hospitals.
Appearing
with the Council of
Canadians at a joint news conference, Hahn said, "This is a bad deal
for Ontario and Ontarians should be aware of what their Government is
giving away before it's too late. We are concerned that, in the long
term, Ontario will be the only province required to give permanent and
unfettered access to these vital sectors in the new trade deal when
most of the other provinces and territories have exempted them and
Quebec has protected itself with a clause exempting anything that
pertains to culture."
Hahn is
worried about local food
procurement policies in place in the City of Toronto, and bottled water
bans in cities and regions across Ontario. Fair wage policies in place
in Hamilton or Greater Sudbury's "Made in Canada" policy may also come
under attack from American and foreign corporations. He points to
Appendix A of the Agreement which lists the permanent commitments being
made by Canada under the WTO's GPA as a major area of concern. He is
also skeptical that the "interim" commitments on "enhanced access" that
are being made directly to the US in Appendix C will ever come off the
books.
Other
Ontario labour leaders
also fear that the deal gives away far too much in return for far too
little, and say that Dalton McGuinty should refuse to sign on.
"This deal
would limit the power
of the provincial government to harness all the possible economic
levers at its disposal to deal with the economic crisis," said Hahn.
"The race to sell off or give away our province needs to end and the
Premier should not sign this deal."
Meanwhile,
secretive
negotiations are underway for a Canada-European Union trade agreement,
which would give Canadian corporations better access to European
markets in exchange for access by European corporations to Canadian
services contracts amounting to as much as $200 billion annually. Such
an agreement would put even further pressure on provincial governments
to privatize public services such as utilities, transportation, child
care, education and public health care.
Delegates at
the recent
Communist Party of Canada convention, held Feb. 5-7 in Toronto, warned
that if Canadian and transnational capital succeed in imposing these
deals, the result would be yet another critical blow against Canadian
sovereignty. The final document adopted by the convention stresses that
"everything possible must be done to mobilize the labour and democratic
movements to expose and block these treacherous sellouts."