Environmental Groups Cite NAFTA and WTO as Precursors to FTAA

   
Groups concerned about the potential environmental effects of the FTAA often point to problems in this area that have emerged under existing agreements such as NAFTA. The Gallon Environment Letter, a publication of the Canadian Institute for Business and the Environment, focuses on such criticism in its special issue on the FTAA released just before the Third Summit of the Americas in Quebec City.

"We've learned that unfettered free trade, even within nations, can harm social systems, take advantage of labour, and ruin the environment, if there are no laws," the report states. "That is what is needed with free trade and with the proposed new Free Trade Area of the Americas (FTAA)-rules for the game. But the rules, if any, appear to be minimal and unenforceable. That is why thousands of environmentalists are going to Quebec City to protest. That is why those that are not going to Quebec City plan to hold demonstrations in their own cities. They have already seen what can go wrong with agreements such as the North American Free Trade Agreement (NAFTA) and the World Trade Organization (WTO)."

Among the main concerns cited in the report are inadequate protection of natural resources; treatment of endangered species protections as non-tariff barriers; Chapter 11 challenges under NAFTA, which allow foreign companies to demand compensation if their profits have been affected by environmental laws; and the FTAA's potential to limit governments' ability to create laws and regulations to protect their citizens and environment.

The Gallon Environment Letter, vol. 5 no. 17, April 16, 2001
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