Seanad debates

Wednesday, 7 July 2004

International Development Association (Amendment) Bill 2003: Second Stage.

 

10:00 pm

Photo of Joe O'TooleJoe O'Toole (Independent)

I welcome the Minister of State and I am glad to have the opportunity to say a few words on this issue. I support the Bill and hope it will pass through the House in good time.

Senator Kitt touched on a number of issues about which I feel strongly. The first issue with which I want to deal is that of globalisation and the World Bank. We should recapture the term "globalisation" from those who have allowed it to deteriorate into something utterly unacceptable. In simple terms, my idea of globalisation is that it involves a global implementation of the Treaty of Rome whereby there would be free movement between the various parts of the world. If America could cope with such a concept, we could deal with many of the problems that exist.

The reality is that the World Bank has not worked or made an impact. I was looking recently at statistics on Chad, which has traditionally been regarded as the poorest country in the world. It was certainly a notoriously poor country in the 1960s. The average income in Chad today is lower than it was in the 1960s. Why has the problem worsened? The answer is related to protectionism. As late as yesterday the US introduced another protection measure, the value of which I cannot remember.

The Minister of State will be well aware of the effect of projectionist policies on the steel industry in his constituency over the past year. Despite the WTO agreement, the US introduced a most stringent protectionist regime against world trade in steel. This has managed to create all sorts of problems, which are now reverberating on us in Ireland where steel is more expensive than it ever was, thus having an impact on the price of houses, etc.

Globalisation, if it were conducted properly, and even free trade, if it were given a chance — I am no supporter of the market as a system of solving the difficulties of the world — would solve some of the problems. There should be free movement of labour. This means people from poor countries would be able to apply for work and make a proper contribution in rich countries so they could share in the gains therein. It also means that poor countries would not be subjected to the dumping of other countries and the one-sided agreements that the United States in particular makes with poorer countries whereby it dumps its goods on them and does not allow them to export into it.

That is disgraceful. These are the people who speak about the so called free market. If there is a free market anywhere, it is not to be found around the United States of America.

This morning on the Order of Business, Senator Kitt referred to an initiative by Superquinn. Although Senator Quinn is my competitor for votes, I recognise his move to increase the number of Fair Trade items being sold in his supermarkets. The object of this exercise is not to make everyone drink Nicaraguan coffee but to raise awareness. As with waste management, people must first be made aware of the issue before they take action on it. This awareness must extend to our buying non-fair trade items, particularly sports equipment. The sweat shops of Asia are supplying sports equipment to the rich of the western world at the cost of lives, careers and families. Some of the companies which are presented as role models in the world's economies exploit people to an extraordinary extent. The answer to this problem is neither to pay New York level wages to workers in Taiwan nor to remove factories from there altogether. The answer is honesty, integrity, fair play and ensuring that the economies of third world countries can grow and become wealthy in a way we would like to see happen in our own country.

The sooner this happens the easier it will be for all of us. It is only when the east develops levels of wealth which are similar to ours that we will have a level playing pitch and steel plant closures will not be necessary in one part of the world in order to have slave labour in another part. The sooner we bring people up to our level the easier it becomes for us. That may seem like a contradiction but it is how we must look at the problem.

American agriculture must be examined. We hear much criticism of the Common Agricultural Policy, which has been reformed three or four times in the last 15 years. We should look at the agricultural policy of the United States and at the levels of protection and support for items such as honey and wool. There is no free market in these areas. Nevertheless, the voices of the United States make big speeches about the importance of free trade, open markets and entrepreneurship. They call for this everywhere except at home.

The Government has raised these issues throughout the world. Senator Mansergh recently referred to immigration and said we must look into our own hearts. When I hear of sending aid abroad I am reminded of the black babies. We have always been good at sending money far away. I would like to see more of the developing world over here so that we can be enriched in a multicultural society and learn from the culture, skills and innovations of other countries. We should rejoice in that world instead of building walls against it. At the same time we must have a managed and regulated immigration policy. We do not have to bow in front of anyone. We do not need to open our borders to everyone and neither do we need to build a wall around ourselves. We must have a managed approach, as works well in other countries. The countries which have been most open are Canada, New Zealand and Australia. Even Australia, with its ships and its camps, is pointed out by people working on immigrant and refugee issues as having a fairer system than many of the European countries. I have talked this issue through with them.

It is good that we move into this area and share our wealth. The Minister of State remarked that Ireland has, traditionally, been a generous country but our generosity is patronising. I am not sure what people are thinking when they are giving money to developing countries or watching "Live Aid". Are they just feeling good listening to the music or do they feel they need to learn about this issue? We must do more than simply send money. Something must come back. Senator Kitt mentioned the contribution of the Holy Ghost Fathers throughout the world. The Columban Fathers have also been spectacular in many places in South America and have brought intellectual revolution, life, spirit and openness to people. There have been missionaries of all types. We need to see the work happening. The engagement with other countries needs to be positive for us as well.

It is only by opening our borders and allowing people to sell and work in the developed world in a regulated way that we will achieve the aims of the World Bank and bridge the gap between the haves and the have-nots.

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