Skip to content
Sahabat Alam Malaysia
  • Home
  • About
  • Programmes
  • Resources
  • Contact
  • Shop
  • BMBM
  • Donate
  • Archive

TPPA: Don’t sign away our future, cautions CAP-SAM!

  • Publication Date | April 14, 2015
  • Document Type | Letter to the Editor
  • Programmes | Development & Planning
  • Issues | International Treaties, Trade & Investment
  • Tags | MNC, multinational corporations, TPP, Trans Pacific Partnership Agreement
Share on twitter
Share on whatsapp
Share on email
Share on facebook
Share on linkedin
PDF

We refer to the letter by Tan Sri Ramon Navaratnam, chairman of Asli Center of Public Policy Studies, calling on the Malaysian Government to sign the Trans-Pacific Partnership Agreement (TPPA). It is regrettable that Ramon and some members of the business community fail to comprehend the serious implications for our people and nation subsequent to signing the TPPA.

He warns that if we do not join the TPPA  there will be “dire consequences” – no access  to a new free trade area with a Gross Domestic Product (GDP) of over RM101 trillion;  unable to break out of middle income trap; capacity to innovate, attract foreign direct investments, high technology, incomes, employment and quality of life will be seriously affected.

Individuals who have not analysed the TPP text in detail must be pragmatic and not call on the government to sign onto this agreement. Paul Krugman, an economics Nobel laureate, has called the economic case for the TPP weak, and if it does not happen it will be no big deal.  

An article in Financial Times dated October 6, 2014 titled Trade deals: Toxic Talks aptly states: “There is also a legitimate question over just how much investment treaties – and investor protection clauses – do to lure foreign investors. Neither Brazil nor China has many treaties in place, yet both have attracted enormous amounts of foreign direct investment.”  

For the reasons stated below, we believe that the “dire consequences” will come from joining the TPPA rather than staying out of it. Major countries in the region – China, India and Indonesia with a total population of over 2.5 billion – are not involved in the TPPA process. As recommended in a recent Khazanah report, we should focus our efforts on strengthening our trade relations in the region rather than dream of TPPA’s pie in the sky.

We need to understand that TPPA is for the benefit of Multi-National Corporations (MNCs) from the developed countries.  MNCs from the United States are the initiators and drivers of the negotiations for the TPPA. The text of the agreement was prepared by their legal experts, and kept as a secret away from public view for fear of opposition to it. Although it is called a “free trade” agreement, the TPPA is not mainly about trade. Of TPPA’s 29 draft chapters, only five deal with traditional trade issues.  

In the U.S. itself, the secrecy surrounding the negotiations has come under strong criticism from lawmakers. Senator Sherrod Brown criticised it saying: “This continues the great American tradition of corporations writing trade agreements, sharing them with almost nobody, so often at the expense of consumers, public health and workers.” 

The twin aims of the TPPA are facilitating the penetration of our markets by MNCs to the detriment of our economic and social interests and the promotion of U.S. geo-political interests, e.g. containment of China. It has not been convincingly demonstrated to the public what benefits we would derive from an agreement that would have serious implications on public health, socio-economic policies and our sovereignty. 

The TPPA entitles foreign corporate investors to sue our government for actions that undermine their “expectations” and hurt their business. Business “expectations” should be no concern of the state but of the risk-taking investors. If measures taken by the state to protect and promote the interest and needs of its people affect the “expected” profits of the investors why must the people be made to compensate the “expected” but unrealised losses? 

In free market ideology, businesses are supposed to shoulder their risks. Local businesses cope with such risks without government assistance. Why must large foreign corporations be insulated against business risks at our cost? 

Some future policy/legislation of the government to protect the environment, improve healthcare or promote social justice may be challenged by MNCs and we may have to pay billions of dollars in damages and the policy/law nullified. Why must we take this risk? There are enough examples of such challenges. 

Under the Netherlands- Czech Republic trade agreement an investor company sued the Czech government for falling to bail out an insolvent bank in which it had an interest and was awarded $238 million compensation. Philip Morris has sued Uruguay and Australia for taking measures to discourage smoking which has been proved to cause serious health problems. Eli Lilly & Co, an American global pharmaceutical company, is challenging before an Investor-State Dispute Settlement (ISDS) tribunal the invalidation by the Canadian courts of patent extensions for new uses of two medicines originally developed in the 1970s. 

The Investor-State Dispute Settlement (ISDS) provision allow foreign corporations to bring claims before private arbitrators, not local courts,  against the state for alleged adverse impacts on their investments due to government actions. The arbitrators are not independent but rotate between being arbitrators and representing big corporations in their claims. 

More than 100 legal scholars, in a letter to the U.S Congress, stated: “ISDS threatens domestic sovereignty by empowering foreign corporations to bypass domestic court systems and privately enforce terms of a trade agreement. It weakens the rule of law by removing the procedural protection of the justice system and using an unaccountable, unreviewable system of adjudication.” 

The effect of TPPA investor protection provisions is to limit the power of Parliament to pass legislation in the interest of our people and protection of the environment because of the need to make it TPPA compliant. It would be unconstitutional to allow ISDS tribunals to override laws enacted by Parliament. It amounts to handing over a legislative veto power to ISDS over laws enacted by Parliament. 

Civil society organizations in other TPPA negotiating countries have also raised their concerns.  An independent health impact assessment of the TPPA negotiations conducted by Australian academics and non-government organisations, published in February 2015, found the ISDS clause presents a significant threat to health policy [ http://hiaconnect.edu.au/research-and-publications/tpp_hia/ ]. 

Other governments are opposing the Investor-State Dispute Settlement (ISDS).  Public Citizen based in USA has compiled official government statements and actions against ISDS (http://www.citizen.org/documents/isds-quote-sheet.pdf). 

Besides the ISDS, there are many issues that are contentious in the TPP such as intellectual property, environmental and labour standards, financial regulations, copyright laws, the treatment of state owned enterprises, government procurement.  

Our lives and future are at stake and we are not prepared to let the government sign the TPPA on our behalf without even showing us the contents of the agreement.  We reiterate our call to the government to withdraw from the negotiations of an agreement in which costs far outweighs the purported benefits. Do not sign away our future.

S.M Mohamed Idris

President

Consumers’ Association of Penang & Sahabat Alam Malaysia

Latest

Development & Planning

In Memoriam – Trade Unionist Balakrishnan Nadeson

On 11.01.2023, we lost one of our very own former staff, Balakrishnan Nadeson, who succumbed to his illness. Balakrishnan, or rather Union Bala as we

Read More »
January 18, 2023
Development & Planning

Set up Commission of Inquiry for the landslide tragedy in Batang Kali

SAM is shocked to learn about the horrific landslide tragedy in Batang Kali which has claimed several lives including children. Time and again we have

Read More »
December 16, 2022
cable car, isolated, winter-3989542.jpg
Forests & Biodiversity

Be transparent on cable car project

Sahabat Alam Malaysia (SAM) is very alarmed to learn about the announcement by the Chief Minister of Penang that the cable car project to Penang

Read More »
December 14, 2022
Forests & Biodiversity

CBD COP15 – How it has fared so far

Week one (03 – 10 December 2022) of the 15th session of the Conference of Parties (COP 15) to the Convention onBiological Diversity (CBD) taking place

Read More »
December 14, 2022

In Memoriam – Trade Unionist Balakrishnan Nadeson

  • Publication Date | January 18, 2023
  • Document Type | Articles & Stories
  • Programmes | Development & Planning
  • Issues | Development, General, Pollution, Toxics
Read more

Set up Commission of Inquiry for the landslide tragedy in Batang Kali

  • Publication Date | December 16, 2022
  • Document Type | Media Statement
  • Programmes | Development & Planning
  • Issues | Adaptation, Development
Read more
cable car, isolated, winter-3989542.jpg

Be transparent on cable car project

  • Publication Date | December 14, 2022
  • Document Type | Media Statement
  • Programmes | Forests & Biodiversity
  • Issues | Conservation, Development, Urban Development
Read more

CBD COP15 – How it has fared so far

  • Publication Date | December 14, 2022
  • Document Type | Articles & Stories
  • Programmes | Forests & Biodiversity
  • Issues | Biodiversity, Conservation, Deforestation, Genetic Engineering, Indigenous Peoples, International Treaties, Land Rights, Mitigation, Wildlife
Read more
Development & Planning

In Memoriam – Trade Unionist Balakrishnan Nadeson

Read More »
January 18, 2023
Development & Planning

Set up Commission of Inquiry for the landslide tragedy in Batang Kali

Read More »
December 16, 2022
cable car, isolated, winter-3989542.jpg
Forests & Biodiversity

Be transparent on cable car project

Read More »
December 14, 2022
Forests & Biodiversity

CBD COP15 – How it has fared so far

Read More »
December 14, 2022

Testimonials

Sahabat Alam Malaysia adalah satu badan bukan kerajaan (NGO) yang telah sekian lama berjuang mempertahan kelestarian alam. Ia juga mendidik masyarakat tentang pentingnya kebersamaan dalam pemikiran dan tindakan agar alam ini dapat kita wariskan kepada generasi hadapan dalam keadaan yang elok dan terpelihara. Dalam pada itu juga SAM giat membantu golongan nelayan pantai dalam memperjuangkan hak-hak mereka sehinggalah tertubuhnya Persatuan Pendidikan dan Kebajikan Nelayan Pantai Malaysia (JARING). Nelayan pantai sepenuh masa ini dididik oleh SAM sehingga mereka mampu memainkan peranan sebagai pemimpin nelayan yang meneruskan kesinambungan memperjuangkan hak-hak nelayan pantai lainnya. Sebagai contoh SAM telah berjaya menyedarkan masyarakat nelayan keperluan menjaga hutan paya bakau untuk kebaikan hasil tangkapan nelayan itu sendiri.
Jamaluddin Mohamad Bualik
Jamaluddin Mohamad BualikPersatuan Pendidikan dan Kebajikan Jaringan Nelayan Pantai Malaysia (JARING)
During the 1980s, I used to read about the Consumers’ Association of Penang (CAP) in the news. After retirement, some time in 2001, while lazing around, I read news about the construction of a carbon in leach plant using sodium cyanide to extract gold in Bukit Koman. My friends and I visited CAP and we were introduced to SAM and her legal team. We discussed the details of filing a case against the gold mining company and the department of environment with Ms Meenakshi Raman and her legal team. That was the beginning of a beautiful friendship between lawyers from SAM and many of us from Bukit Koman. We had many ups and downs in our struggle to shut down the gold mine that was causing a nuisance in our village. But, as a community we never gave up because SAM had our backs.
Hue Fui How
Hue Fui HowSecretary, Bukit Koman Ban Cyanide in Goldmining Action Committee (BCAC)
Sahabat Alam Malaysia adalah sebuah NGO yang memperjuangkan nasib masyarakat luar bandar khasnya. SAM menerima aduan-aduan masyarakat dan menyelesaikan masalah yang dihadapi. SAM telah mewujudkan ramai aktivis-aktivis sosial dan alam sekitar. Pada era 1980 dan 90an SAM sangat dihormati oleh masyarakat dan agensi kerajaan. Apabila media sosial menguasai maklumat maka SAM pun terkesan dan masalah masyarakat terus disalurkan dengan pelbagai cara. SAM perlu mewujudkan aktivis-aktivis pelapis yang muda untuk terus membantu masyarakat. SAM juga perlu membuat perubahan supaya banyak turun kelapangan dan jangan mengharapkan laporan media sahaja. Tingkatkan prestasi sebagaimana pada zaman kegemilangan SAM di era 80-90an.
Che Ani Mt Zain
Che Ani Mt Zain
SAM taught me the importance of social activism and the role it plays in upholding the rights of people and the protection of the environment. In my experience, SAM has never hesitated to speak up in defence of people and their environment, and has gone the extra mile to champion their rights, by helping communities take their battles to the higher ups and even to the courts.
Jessica Binwani
Jessica BinwaniPublic/Private Interest Lawyer
Semenjak kami kenal SAM, banyak pengalaman dan pengetahuan yg kami dapat. Kami telah belajar cara membuat baja asli daripada SAM. Semenjak itu, bermulalah minat kami dalam aktiviti pertanian. Dengan memperolehi kemahiran dalam membuat baja asli dan penanaman lestari, kami juga telah dapat menambahkan pendapatan sampingan kami. Ini lebih baik daripada tanah kami terbiar dan tidak diusahakan. Terima kasih SAM kerana sudi memberi bantuan dan tunjuk ajar kepada Persatuan kami.
Chedo Anak Nyuwen
Chedo Anak NyuwenPersatuan Penduduk Sg Buri, Bakong, Marudi
My journey with SAM started when her community organisers took me to the meet the paddy farmers of Kedah, connecting my growing interest in environmental law with our people who struggle to work the land in the face of pollution, replacement of traditional seeds with commercial hybrids and their accompanying chemical package of fertilisers and weedicides. I then had the honour to work with SAM in the struggle for the rights of the native communities of Sarawak, in defence of their forests from massive logging and destructive mega-projects. In every issue that SAM takes up, she combines rigorous research with the realities and voices of the communities to advocate for policies and laws that care for people and nature. From the courts to the elected legislators to policy makers and implementers and to the United Nations, SAM walks side by side with the communities in Malaysia. How can I not be inspired by the vision and passion of the generations of women and men who coalesce to form SAM?
Chee Yoke Ling
Chee Yoke Lingstudent of SAM, Executive Director of Third World Network, SAM’s sister organisation

Support our mission

Do your part for the environment with your donations. Each contribution enables our organisation to create more impact towards environmental justice.

Donate here

Sahabat Alam Malaysia (Headquarters)
No. 1, Jalan Joki,
11400 Penang,
Malaysia
Tel: +604 827 6930
Fax: +604 827 6932

Sahabat Alam Malaysia (Marudi Office)
129A, First Floor,
Jalan Tuanku Taha,
P.O.Box 216,
98058 Marudi,
Baram, Sarawak,
Malaysia
Tel & Fax: +6085 758 973

Sitemap

  • Home
  • About
  • Programmes
  • Resources
  • Archive
  • Donate
  • Shop
  • Contact
  • Privacy Policy
  • Usage of the Website Content

Get the latest news

Facebook Twitter Youtube Instagram

Sahabat Alam Malaysia (Headquarters)
No. 1, Jalan Joki, 11400 Penang,
Malaysia
Tel: +604 827 6930
Fax: +604 827 6932

Sahabat Alam Malaysia (Marudi Office)
129A, First Floor,
Jalan Tuanku Taha,
P.O.Box 216,
98058 Marudi, Baram, Sarawak,
Malaysia
Tel & Fax: +6085 758 973

Sitemap

  • Home
  • About
  • Programmes
  • Resources
  • Archive
  • Donate
  • Shop
  • Contact
  • Privacy Policy
  • Usage of the Website Content

Get the latest news

Follow us here

Facebook Twitter Youtube Instagram
Copyright © 2023 Sahabat Alam Malaysia