Showing posts with label NAFTA. Show all posts
Showing posts with label NAFTA. Show all posts

Tuesday, May 3, 2011

The day after

Well, as you're no doubt aware, the election didn't go the way I expected. For that matter, it didn't go the way most other people expected, including some of the winning candidates. And indeed there are some good aspects to what happened; while part of me would have loved to see the NDP jump from fourth place to government in one fell swoop, it's probably better that these rookie MPs get the chance to learn the ropes in opposition before they take office (I suspect that was a contributing factor to the troubles of the Rae government in Ontario back in the day). I'm not unhappy to see Elizabeth May in the House either, for that matter.

But while this was a hugely successful election for the NDP, it is definitely a Pyrrhic victory, thanks to the Conservative majority. What's odd, though, is the way things played out in the final day or so of the campaign. Nearly all the polls put the Cons in the mid to high thirties, while the NDP's share of the vote is shown as pretty close to what they actually got. So what gave the Cons the boost into majority territory?

It sounds crazy, but one possibility that comes to my mind is the death of Osama bin Laden. Some people seem to see the killing as a vindication of the Afghan war, and if enough people who were right-leaning but had a bad feeling about our involvement in said war had their (obviously limited) minds changed by this, it could have made the difference. Pretty pathetic, but then a lot of Canadian voters are pretty pathetic.

What can we expect now? The Cons claim that they're not going to introduce radical changes... and maybe the government itself won't, but I bet that there will be a lot of private members' bills reopening the abortion and marriage debates. Most of them won't make it far enough to be debated, but those that do get debated have an excellent chance of passing.

And as bad as that would be, there are worse things that could happen. At least if abortion or same-sex marriage is banned it will be easy enough for a future government to reverse the decision. Indeed, if they use the notwithstanding clause to avoid constitutional challenges, such a law would automatically be invalidated unless renewed. On the other hand, if they abolish the Canadian Wheat Board, for instance, NAFTA will likely preclude reversing such a move; it will be gone forever. And that is a bad thing.

Thursday, January 6, 2011

Food prices continue to rise

It's happening around the world, and there's no sign of an end to it any time soon:

Food prices have soared to record levels around the world, raising fears that poor countries could face a crisis similar to the one that led to rioting and rationing two years ago.

“We are entering a danger territory,” Abdolreza Abbassian, an economist at the United Nations’ Food and Agricultural Organization (FAO) told reporters Wednesday.

From the Globe. And what are the main reasons for this?
Prices for many agricultural commodities started rising last fall largely because of poor grain crops in Canada, Russia and Ukraine. They have spiked even higher recently because of dry weather in Argentina, a major soybean producer, and flooding in parts of Australia, which has wiped out many wheat crops. The price of wheat has jumped about 17 per cent in the last month while corn is up 11 per cent. Both are now close to two-year highs. Other food staples have been soaring as well, including canola, up 43 per cent last year, and sugar, which hit 30-year highs.
Now it's premature to say that this is clearly because of climate change; it's always a bit dodgy to attribute any particular weather event to climate change (or, for that matter, to claim it as a counterexample). However, I think it's safe to say that this sort of thing will become more common as the climate suffers further disruption.

Naturally, when countries suffer from poor crops, some of them will impose restrictions on the export of said crops. Governments generally want to ensure that their own people are fed first, after all. Well, some don't think this should be allowed:

The environment minister, Caroline Spelman, today risked incurring the wrath of many major food-growing countries by saying it should be illegal to halt food exports even at times of national crisis.

In a clear reference to Russia and the Ukraine, which temporarily halted exports of wheat and other grains in order to protect supplies for their own people during an unprecedented heatwave last year, she said no country should be allowed to interfere with the global food commodity market.

From the Guardian. Of course, Spelman presumably doesn't think that commodity speculators should be restricted from such interference; that's part of business after all. It's only when sovereign nations do so for the benefit of their own people that it becomes unacceptable.

Incidentally, thanks to NAFTA, Canada faces a similar restriction with regards to energy. If we face a shortage in the future (say a reduction in the flows of the Saskatchewan and Churchill rivers as a result of melting glaciers) and need to reduce our energy exports, any reduction in exports must be proportionate to a reduction in domestic consumption -- even if it means brownouts here. This makes no sense with energy, and it makes no sense with food either.

Friday, November 5, 2010

NAFTA claims against Canada surge

The North American Free Trade Agreement has had its critics from the get-go (myself included). Here's an example of why:

Foreign investors are increasingly targeting Canada for alleged breaches of the North American free-trade pact and it's costing the federal government millions of dollars in damages and legal fees, according to a new study.

The Canadian Centre for Policy Alternatives found as of October, 43% of 66 claims under NAFTA's investment chapter were made by foreign investors against Canada.

"The trend over the last five years is alarming. More than half the claims (54%) against Canada since NAFTA came into force over 15 years ago were initiated during this time period," said CCPA senior researcher Scott Sinclair said.

"This trend reflects a growing awareness among foreign investors and corporate trade lawyers of NAFTA investment rights, and an increasing willingness to invoke them to contest public policy measures," he said.

From the Brantford Expositor (my bold). And what kind of public policy measures might those be? Here are a few examples:

April 14, 1997 Challenged Canadian ban on import and inter-provincial trade of gasoline additive MMT.

July 22, 1998 Challenged temporary Canadian ban (Nov. 1995 -Feb. 1997) on export of toxic PCB wastes.

Dec. 24, 1998 Challenged lumber export quota system.

Apr. 23, 2009 Newfoundland provincial government enacted legislation to return water use and timber rights to the crown.

Most of us have heard of this sort of thing before, but it's still disturbing, especially given the escalation in the number of claims of late.

Saturday, November 1, 2008

Another reason to like NAFTA (not!)

Chapter 11 rears its ugly head:
A company that makes the commonly used herbicide ingredient 2,4-D is challenging the Quebec government under the North American Free Trade Agreement for banning its product.

The Canadian unit of Dow AgroSciences alleges the prohibition of the weed killer is without any scientific basis and in violation of the trade agreement between Canada, the United States and Mexico.

"We are of the view that this is in breach to certain provisions of NAFTA," Jim Wispinski, president and CEO of Dow AgroSciences, said in a press release. "We don't welcome this step but feel it is necessary given the circumstances."

From here.