This is the letter Pascal Lamy sent to those who wrote to him directly

      PASCAL LAMY                                            B-1049 BRUXELLES

MEMBRE DE LA COMMISSION EUROPEENNE             

OPEN LETTER TO THE MEMBERS OF THE TRADE JUSTICE MOVEMENT

Thank you to all who have taken the time to write expressing your concerns about the forthcoming World Trade Organisation ministerial in Cancún and about trade rules.

At DG Trade we maintain a constant dialogue with civil society on trade issues, and letters such as those we have received as a result of the Trade Justice Movement’s campaign give us valuable insight into the concerns of European citizens. I apologise for not replying to each of you individually, and I hope the following goes some way to answering your concerns.

I see that many of those who wrote are particularly worried by the idea of  strengthening the rules-based nature of the multilateral trading system through negotiations for WTO agreements on investment, competition, trade facilitation and transparency in public procurement.  It is my firm belief, however, that a world with rules is far better than one in which the ‘law of the jungle’ prevails. In the European Union we expect business to be able to operate in a predictable rules-based economic environment free from arbitrary interference by governments.  In return, business must abide by the legitimate laws and rules of the land.  I believe it is reasonable to expect a similar level of discipline, both from legislators and business, at international level.

That is why I am seeking to agree on the ‘rule of law’ in a multilateral framework, namely that provided by the WTO. New WTO rules are useful for all members to lay the foundations for good economic governance. Good governance is a pre-requisite for promoting and encouraging economic development, and the EU is convinced that judicious measures to regulate areas such as investment, competition, trade facilitation and transparency in government procurement could lead to substantial benefits, particularly for developing countries.

On services, I would like to allay fears that developing countries are being forced to open up their markets against their will. This is far from being the case. They, like the EU, can and do choose the sectors which they wish to open. Their requests and offers in the GATs negotiations reflect this very clearly.

I agree that many of the world’s poorer countries have yet to see the benefits of globalisation, which should be harnessed in ways that put this right. The EU is determined to contribute to this aim, not just through the Doha Development Agenda, but also through other measures, such as our ‘Everything But Arms’ initiative, which gives least developed countries duty- and quota-free access to the EU market for all products except arms, the Economic Partnership Agreements with African, Caribbean and Pacific countries, and the EU’s development aid programmes. Our aim is to foster sustainable development which respects economic, social and environmental goals in mutually reinforcing ways.  As part of our efforts, the EU’s trade agreements are subject to independent sustainability impact assessments which examine the possible effects of such agreements both on the EU and its partners..

A letter such as this can only scratch the surface of this vast topic, and I would encourage all of those interested in going deeper into the issues to consult the DG Trade website: http://europa.eu.int/comm/trade/index_en.htm

You may also care to put your questions to me in person when I next hold an on-line chat, shortly before Cancún. Details of this will be published on the website.

                                                                                                Pascal Lamy