TRADE NEWS BULLETIN Volume 2 Number 143 Tuesday, August 10, 1993 ________________________________________________________ HEADLINES: Former Mexican Official Says NAFTA Must Address Human Rights Negotiators Say Few Issues Left to be Resolved on Side Accords Governor Calls For Swift Action on Immigration Laws New Japanese Prime Minister Backs GATT, Firm on Rice Policy ________________________________________________________ NAFTA News Summary ________________________________________________________ FORMER MEXICAN OFFICIAL SAYS NAFTA MUST ADDRESS HUMAN RIGHTS Mario Rojas, a former Mexican congressperson who has been granted political asylum in Canada, said human rights abuses must be addressed under side accords to the North American Free Trade Agreement. Rojas has documented over 1,030 cases of alleged human rights violations committed under the government of Mexican President Carlos Salinas de Gortari. In his book, "Dirty Hands," Rojas details 350 cases of politically-related murders, including those of 35 journalists, cases of torture, police impunity and political corruption since the 1988 elections won by Salinas. "These cases are just the tip of the iceberg of social violence in Mexico," Rojas said and urged negotiators to include human rights in NAFTA supplemental accords. The Canadian government granted Rojas and his family political asylum last year after two men allegedly kidnapped him in Cuernavaca and tried to kill him with a machete. Source: "Former Mexican Congressman Denounces Rights Abuses," REUTER, August 9, 1993. ________________________________________________________ NEGOTIATORS SAY FEW ISSUES LEFT TO BE RESOLVED ON SIDE ACCORDS Trade officials said after concluding 10 days of talks on NAFTA side deals that only a "handful of remaining issues" need to be resolved. U.S. Trade Representative Mickey Kantor, Canadian Trade Minister Thomas Hockin and Mexican Commerce Secretary Jaime Serra Puche issued a joint statement yesterday saying, "Officials will continue to work this week in order to address these issues." Sources close to the talks said negotiations remain stalled over enforcement mechanisms, which are needed to ensure that labor and environmental accords are not violated. Sources: Michelle Mittelstadt, "Free Trade," AP, August 10, 1993; Lyndsay Griffiths, "NAFTA Ministers End Trade Talks Without Agreement," REUTER, August 9, 1993. ________________________________________________________ GOVERNOR CALLS FOR SWIFT ACTION ON IMMIGRATION LAWS A California governor recently called on President Clinton to use NAFTA ratification as a pressure point to force the Mexican government to help reduce the number of illegal immigrants who travel to the United States from Mexico each year. Governor Pete Wilson said the immigration problem is partly due to U.S. laws which provide health care, education and other services to illegal immigrants, but equally due to lax Mexican border patrol. "Clearly, no other American president in our lifetime will again enjoy such a golden opportunity to secure cooperation from Mexican authorities in dealing with the shared responsibility," Wilson wrote in a legislative proposal. "I don't fault the people trying to find a better life in our nation, but if we ignore the flood of illegal immigration coming to America we'll erode the quality of life for all those who live here legally," Wilson said. Source: Matt Spetalnick, "California Governor Urges Immegration Reforms," REUTER, August 9, 1993. ________________________________________________________ GATT News Summary ________________________________________________________ NEW JAPANESE PRIME MINISTER BACKS GATT, FIRM ON RICE POLICY Morihiro Hosokawa, who was elected Friday as Japan's new prime minister, said Japan will remain committed to trade liberalization under the Uruguay Round of the General Agreement on Tariffs and Trade. "For an ocean-going country, free trade is in the greatest national interest," Hosokawa said. "Through some means I would like to resolve (the Uruguay Round)." Japan's former ruling party, the Liberal Democratic Party, was recently replaced by a coalition of seven parties after then-Prime Minister Kichii Miyazawa lost a vote of confidence. The LDP, which ruled for 38 years, was largely supported by agriculture producers. U.S. and other trade partners hoped that the appointment of a new prime minister and party would lead to an opening of Japan's controversial rice and apple markets. The new prime minister hinted during his campaign that he would take a comprehensive look at Japan's rice policy, which bans commercial imports of foreign rice. However, Hosokawa announced today that Japan would remain closed to rice imports. "The coalition government and parliament have both agreed to retain Japan's current rice policy, and we must honor these agreements," Hosokawa said. "We must study the situation comprehensively, including an objective look at whether an environment can be maintained allowing (Japan) to be self-sufficient (in rice)." Some analysts expect Hosokawa to open Japan's apple market this year in exchange for its closed-door policy on rice imports. U.S. apple growers have complained for the past seven years that Japanese import standards make it impossible for growers to comply. "Our apple growers and shippers have negotiated with the Japanese government for more than two decades," said Chris Schlect, president of the Northwest Horticultural Council in Yakima, Washington. "We've never been able to overcome the protectionist obstacles aimed at U.S. apples." Japan's Ministry of Agriculture refuses to allow entry of U.S. apples without proof that they are free of pests. Kraig Naasz, vice president of the Northwest Horticultural Council said his group will press for trade sanctions against Japan unless Hosokawa announces liberalization steps, as expected, during the Seattle, Washington trade conference this September. Hosokawa appointed Hiroshi Kumagi of the Japan Renewal Party as minister for International Trade and Industry yesterday and Eijiro Hata, also a member of the JRP, as Japan's new agriculture minister. Hata said Japan would take "tough and painful" steps toward trade liberalization, particularly in U.S. export markets. "Not only the government, but private industries and the people must see that it is not good for Japan to be sole winner," Hata said. But he also warned that Japan would not be pressured into concessions by U.S. demands. Sources: Emiko Terazono, "Kumagai Likely to Follow the LDP Policy Line," FINANCIAL TIMES, August 10, 1993; "Japan Must Take Broad Look at Rice Policy-Hosokawa," REUTER, August 10, 1993; "Japan Will Back Uruguay Round Conclusion-Hosokawa," REUTER, August 10, 1993; "Hosokawa Elected Premier of Japan," JOURNAL OF COMMERCE, August 9, 1993; John Davies, "Apples May Prove Key to Unlocking Japan's Markets," JOURNAL OF COMMERCE, August 6, 1993. ________________________________________________________ Editor: Gigi Boivin The Institute for Agriculture and Trade Policy (IATP) 1313 Fifth Street SE, Suite #303, Minneapolis, MN 55414-1546 USA Telephone:(612)379-5980 Fax:(612)379-5982 E- Mail:kmander@igc.apc.org ________________________________________________________