Put the brakes on an unfair Europe-Central America trade deal | World Development Movement

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Put the brakes on an unfair Europe-Central America trade deal

The European Union is currently rushing through secret negotiations on a trade deal with a group of Central American countries. This trade deal could increase poverty and inequality in a region where 40% of the population live off less than US $2 a day.

There is a crucial opportunity to put the brakes on the proposed trade deal. Several Central American governments are expressing reservations about the deal and we need to take action to demand European negotiators change their approach.

You can email the European negotiators who are involved in this deal and ask them to put the breaks on these negotiations.
Trade deals fuel poverty and inequality

Norma Maldonado, a trade campaigner from Guatemala, has joined with the World Development Movement to help stop this deal which could harm the poorest people in her region. Women, in particular, could be hardest hit by shrinking public services resulting from the deal.

Since 2007, the European Commission has been negotiating an agreement with a group of Central American countries (Costa Rica, El Salvador, Guatemala, Honduras and Nicaragua, with Panama as an observer), a region where 40 per cent of people live on less than US$2 a day. The Commission is desperate to complete this deal and so is piling pressure on Central American countries to finalise it by June 2009.

Campaigners in Central America are doing all they can to stop this deal which could lead to more poverty and inequality in the region through:

  • significant job losses amongst producers of manufactured goods, many of whom are women who would lose access to decent work opportunities
  • reduced government income from trade taxes to invest in decent public services like health and education
  • reduced access to cheap medicines for the poorest people
  • reduced access to financial services for low income communities and small businesses

Meanwhile, the negotiating texts remain secret, denying parliaments and citizens their right to meaningful democratic scrutiny of the deal. Nor has the formal sustainability assessment of the deal yet been completed. Women’s groups are especially concerned that there has been no consideration of the gender perspective.

A number of Central American governments are voicing significant concerns. In April 2009, the latest round of negotiations was cancelled when Nicaragua walked out; several other governments are reported to be unhappy with the negotiations.

STOP PRESS: During the weekend of 27-28 June, there was military coup in Honduras and the country’s President Manuel Zelaya was forcibly removed from his home. World leaders have condemned the coup against this democratically elected leader and call for his re-instatement. This coup gives further reason for the EU-Central America trade negotiations to be suspended. Honduras must be at the negotiating table for discussions affecting the Central American region and they must be represented by their democratically-elected leader.

Take action now!

Email the European negotiators who are involved in this deal and ask them to put the breaks on these negotiations.

Campaign update: a number of people have received a response from the European Union negotiation team - read WDM's response to their claims.



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