EU fta Negotiations with sadc and Mercosur: integration into the world economy or market access for EU firms?

The EU claims that its free trade agreements with regional organisations of developing countries can promote the respective regions' integration into the world economy. Taking as case studies EU negotiations with the Southern African Development Community and Mercosur, the paper argues that the EU and its partners have different conceptions of integration into the world economy. For the EU the latter simply means multilateral trade liberalisation under the wto, while, for its partners, it involves increasing industrial production and exports of manufactured products. If the latter notion is accepted, an fta with the EU should increase European foreign direct investment into the region or at least increase their trade surpluses, thus increasing the resources available for support of local firms. The paper argues that an fta with the EU will not be likely to produce these results; thus the fta will simply be an instrument to promote market access for EU firms.     

Lebanon in the context of regional politics: Palestinian and Syrian involvement in the Lebanese crisis

This article focuses on the negotiation of Economic Partnership Agreements (epas) which form the central focus of the commitments made in the Cotonou Agreement, signed in 2000 by the European Union and the African, Caribbean and Pacific (acp) states. epas are part of a much wider trend witnessed since the creation of the World Trade Organization (wto), characterised by the proliferation of bilateral free trade agreements. The article argues that both the material and ideational interests of the EU need to be considered alongside the historical context of EU–acp relations. The EU is making a concerted effort to ‘lock in’ neoliberalism across the seven different sub-regions of the acp group by negotiating epas that include both reciprocal trade liberalisation and various ‘trade-related’ issues. In this way epas will go beyond the requirements for wto compatibility, resulting in a reduction of the policy space for acp states to pursue alternative development strategies. The article then considers the potential developmental impact of epas with reference to the negotiations with seven of the 15 member states of the Southern African Development Community (sadc). It is argued that the EU is promoting ‘open regionalism’, which poses a threat to the coherence of the regional project in southern Africa.     

csr,Tax and Development

This article explores and critically examines the connections between tax and development on the one hand and tax and corporate social responsibility (csr) on the other. It does so because, while there is increasing recognition of the importance of taxation to efforts to resource the state and to finance ways of tackling poverty, there is a surprising lack of attention to tax avoidance and evasion as a csr issue for transnational corporations operating in the South, even among those companies that pride themselves on being csr leaders. We review evidence of these trends, provide an empirical analysis of how leading firms deal with tax in their corporate reporting and make the case for including taxation as a new frontier in progressive csr.     

Intellectual Property Rights and the Potential for Universal Access to Treatment: trips,acta and hiv/aids medicine

Where hiv/aids is concerned, the twin goals of ‘zero new infections’ and an ‘aids-free generation’ are now, due to advances in treatment (and treatment as prevention), a realistic possibility. However, these goals can only be achieved through the scaling-up of treatment to the point of universal access. It is inevitable that the success of any scaling-up will be predicated on cost, particularly of hiv/aids medicines. This article argues that recent changes in the global intellectual property landscape—effected by way of bilaterally- and plurilaterally-negotiated trade agreements initiated by developed countries—jeopardise the target of universal access. Enhanced protection of international intellectual property rights increasingly poses a threat to the development of, and international trade in, generic medicines. Unless developing countries move to reinvigorate moribund multilateral institutions, particularly the wto, they will lose control of the intellectual property agenda, and thus the ability to impose an alternative vision regarding universal access.     

The Asian Development Bank and Developmental Regionalism in East Asia

The Asian Development Bank (adb) has made increasingly important contributions to Asia's (and particularly East Asia's) regionalism over recent years, and especially since Haruhiko Kuroda became the Bank's president in February 2005. This paper argues that the adb's role here has become more significant because of the strong ‘developmental’ characteristics of East Asia's new regionalism. This is not least because, as a regional development bank, the adb has a predilection for linking development, regionalism and capacity-building together when promoting regional co-operation and integration (rci) in Asia. We may refer to this as ‘developmental regionalism’, where rci activities are particularly orientated to enhancing the economic capacity and prospects of less developed countries with the view of strengthening their integration into the regional economy, and thereby bringing greater coherence to regional community building overall. This analysis is partly based on field research undertaken by the author involving a series of research interviews conducted amongst adb officials and with outside analysts of the organisation. It first examines the evolution of the Bank's stance and policies on rci, and the impact made by President Kuroda and the newly formed Office of Regional Integration (orei) in this regard. The main developments of East Asia's new regionalism are then outlined from finance and trade perspectives. Thereafter, an evaluation is made of the adb's contributions toward the emerging developmental regionalism in East Asia.     

Book reviews

Economic relations between China and Latin America have grown rapidly over the past decade. This paper documents the growth of trade, foreign direct investment (fdi) and other financial flows between China and Latin America and identifies the interests of China in the region as a source of raw materials, a market for exports of manufactured goods and an area of diplomatic competition with Taiwan. It points to the asymmetric nature of the relationship in terms of the relative importance of bilateral trade to each partner, the composition of trade flows, and the balance of fdi flows. It shows that these show many of the characteristics of centre–periphery relations. However, China is far from becoming a new hegemonic power in Latin America and the latter's relations with the USA and Europe continue to be more significant than those with China.     

Behind an Offshore Mask: sovereignty games in the global political economy

This study of global financial flows and offshore financial centres (OFCs) draws on the concept of nomadology as developed by Gilles Deleuze and Felix Guattari to argue that OFCs not only facilitate the circulation of global capital, but also serve to create the means for identity arbitrage. This concept highlights the use of the offshore in order to benefit from the variety of preferential measures offered to foreign firms and investment capital. State sovereignty authorises legislation by regimes to attract and regulate foreign investment. International banking statistics are examined for indications of the use of and impact from exploiting the offshore to establish a different national identity in pursuit of the greatest available return on investment. The paper concludes that the design of legislation by onshore states is just as complicit in the positive and negative effects of the offshore economy as are the small sovereign economies that host an OFC.     

The Asian Development Bank as a Global Risk Regulator in Myanmar

The Asian Development Bank (adb) is engaged in development projects throughout the Greater Mekong Subregion, although for most of the past two decades it has boycotted Myanmar (Burma) because of donor government sanctions. Despite being criticised for its neoliberal focus and its lack of transparency and accountability, the adb’s operations compare favourably to those of the Myanmar government and many transnational corporations constructing and financing projects there. This article engages with the concept of risk, which increasingly frames how development in fragile states like Myanmar is understood, to critically analyse the adb’s nascent re-engagement in Myanmar according to the risks this poses for five constituencies: the adb itself; donor states; the Myanmar government and military; private capital; and marginalised communities. While deeper engagement in Myanmar poses different risks for each group, critical analysis suggests that the adb must increase the genuine participation of civil society actors in its activities to address the most significant risks of all, those facing marginalised communities.     

Privatising the war on drugs

A defining feature of the ‘9/11 wars’ has been the prominent role played by private military and security companies (pmsc). The growth of this market for military and security services has not gone unnoticed. Yet the role pmsc have played in supporting the US-led war on drugs has largely gone under the radar, both literally and figuratively. The aim of this article is to look at the activities of pmsc funded by the USA in Latin America, and to consider the specific consequences that arise from employing them in the field of counter-narcotics. It is argued that the use of pmsc further entrenches a costly and unsuccessful way of dealing with drugs. There is a need to move from a strict prohibitionist stance and consider alternatives to the war on drugs approach, but the use of pmsc creates another strong vested interest in maintaining an increasingly problematic and costly status quo.     

Beyond trips: Why the wto‘s Doha Round is unhealthy

The current round of World Trade Organization (wto) negotiations—the Doha Round—has significant implications for global health which have received insufficient attention from the global health community. All too often the health implications of global trade agreements are examined only after their conclusion, and are concerned only with intellectual property rights. This paper seeks to move beyond this narrow focus and elucidate the wider health implications of the Doha Round. It explores the negative effect of the Round on state capacity to provide and regulate health services in low-income countries, and the impact it will have on livelihoods among the poor and their ability to access health services. Overall the paper makes the case for greater engagement from the health community with the wto and the Doha Round negotiations beyond the customary focus on intellectual property rights.     

The wto in Bali: what mc9 means for the Doha Development Agenda and why it matters

The conclusion of the World Trade Organization’s (wto) ninth ministerial meeting – held in Bali 3–7 December 2013 – is at one and the same time momentous, marginal and business-as-usual. It is momentous because it marks the first multilateral agreement reached in the wto since the organisation began operations on 1 January 1995; it is marginal because the deal reached will have only a limited impact on the global trading system; and it is business as usual because the Bali package will be of disproportionally greater value to the industrial states than to their developing and least developed counterparts. We examine what happened in Bali, covering the principal issues at stake and the content of the outcome, what this means for the wto and for the Doha Development Agenda (dda), and why it all matters. We argue that, while the Bali ministerial is significant and the agreements reached important, the conclusion of the meeting and the package agreed represent only a limited movement forward in addressing the fundamental problems and inequities of the wto system.     

The Geography of Participation

Revisiting the critique of participatory development and one of its core political technologies, Participatory Rural Appraisal (PRA), this paper suggests that participation in the form of PRA creates ‘provided spaces’ that dislocate ‘development’ from politics and from political institutions of the postcolonial state. PRA thereby becomes what Chantal Mouffe calls a post-political aspiration through its celebration of deliberative democracy (although this is largely implicit rather than explicit in the PRA literature). What makes this post-political aspiration dangerous is that its provided spaces create a time–space container of a state of exception (the ‘workshop’) wherein a new sovereign is created. In combination with other developmental techniques, PRA has become a place where a new order is being constituted—the state of exception becomes permanent and nurtures the ‘will to improve’ that undergirds ‘development’.     

Manicheism delirium: desire and disavowal in the libidinal economy of an emerging economy

This paper explores the motivations behind the outward foreign direct investment (ofdi) decisions in the past decade of an East Asian government-linked corporation (glc), the largest company of its kind in the world in terms of sectoral specialisation. This glc has travelled far from its origins as an agent of European imperialism to its current controversial role spearheading postcolonial extra-territorialisation strategies. I argue that financial predation is the synechdoche for territorialisation in the new imperialism. Consequently emerging economies pre-empt the financial siege by embarking on ofdi strategies themselves to create economic buffer territory. I construct a psychoanalytical framework for examining how anxiety is acted out in the global economy. I apply concepts of the traumatic moment, anxiety and the defence mechanisms of disavowal, splitting, introjection and projection to analyse the glc’s investments as territorial displacements of the libidinal economy.     

Co-Producing with FBOs: lessons from state–madrasa engagement in the Middle East and South Asia

Forging partnerships for development is one of the eight Millennium Development Goals. While faith-based organisations (fbos) are receiving growing attention within development policy as important non-state service providers, they are assumed to be less conducive to forging partnerships with governments or development organisations than secular ngos due to their allegiance to specific religious beliefs. Analysing the dynamic of engagement between the state and madrasas (the most prominent fbo in the Muslim world) in six countries across two geographical regions—the Middle East (Egypt, Syria, Turkey), and South Asia (Pakistan, India, Bangladesh)— the paper counters the assumption that fbos are less likely to enter into negotiations, demonstrate flexibility, and engage in the strategic bargaining often involved in forging such partnerships. Like ngos, fbos respond to socio-political and economic incentives and enter into a variety of relationships with the state, ranging from co-operation to conflict. The defining feature in building a cooperative relationship is the level of trust between the negotiators on the two sides.     

Placing Ethical Trade in Context: wieta and the South African wine industry

How ethical trade develops in specific ways in particular national-institutional and historical contexts remains largely unexamined. This paper analyses approaches to ethical trade in the South African wine industry through a case study of the Wine and Agricultural Ethical Trade Association (wieta). It examines factors influencing wieta, including the legacies of colonialism and apartheid, its relationship with post-apartheid restructuring and legislation, and the role of international retailers. wieta's impact within the wine industry, stakeholder perceptions, and improvements in on-farm standards are explored. The paper illustrates how these impacts are mediated by political and economic factors operating at various scales, and by the contradictions of improving working conditions within free market globalisation. Within these broader contexts, it argues that expectations of wieta are unrealistic and its role in transformation widely misunderstood. Instead, ethical trade initiatives need to be understood within their spatial, institutional, and historical contexts so as not to overestimate and undervalue their contribution to socioeconomic transformation.     

War by other means: the ltte's strategy of institutionalising power sharing in the context of transition from war to peace—a response to Muttukrishna Sarvananthan

Abstract

This paper analyses the Indian government's policy response to the Trade-related Intellectual Property Rights Agreement (trips) and examines the implications of this response for food security and farmers. trips has become one of the most controversial agreements of the wto. This is because of its wide and far-reaching mandate and its complex socioeconomic implications. It is argued that the changes made to the Indian Patents Act in response to trips will compromise the food sector and the rights of small farmers by conferring strong rights on upstream agents who produce proprietary agricultural inputs using biotechnology. Not only are these agents able to exert monopoly price control over agricultural inputs for 20 years, they also have the right to determine the conditions under which farmers and researchers use patented processes and products. The paper outlines policy options available to the Indian government to tighten the scope of patentability in the food sector.     

How representative are brics?

The five countries known as brics, while not homogeneous in interests, values, and policy preferences, do have a common interest in checking US/Western power and influence through collaboration with non-Western powers. They vary considerably but all are ahead of other developing countries on population, military power, economic weight, geopolitical clout, and global reach and engagement. They are unrepresentative of the typical developing country in terms of interest, capacity, and resources, but they can represent the interests and goals of developing countries as a group on those issues for which the North–South division is salient. The diversity within brics, their differences from other developing countries, and their potential to reflect and represent the global South are explored with respect to climate change, finance, trade, aid, human rights and intervention, and development. It remains unclear whether brics can morph from a countervailing economic grouping to a powerful political alternative.     

Public–private partnerships (ppps) in global health: the good,the bad and the ugly

Global Health Partnerships (ghps) have become ubiquitous within global health governance (ghg). Even before the onset of the global financial crisis public–private partnerships (ppps) were an omnipresent policy tool in global health and in the current austerity climate ppps have been heralded as an effective way to address a growing resource gap in ghg. Despite their omnipresence, ghps have not received adequate attention from critical scholars; few efforts have been made conceptually and theoretically to grasp how ppps are transforming the logic of ghg. We argue that ghps have contributed to the emergence of a complex global health governance architecture in which private solutions (market mechanism) are generally privileged over public approaches. Drawing on Gramscian conceptualisations of public/private, we suggest that the reshaping of the private and public realm inherent to ppps represents a further deepening of the neoliberal management of individuals and populations, allowing private interest to become more embedded within the public sphere and to influence global and national health policy making. This undermines the attempt to improve global health results as the inequitable distribution of social determinants of health, especially poverty and social exclusion, remain the main barriers to achieving health for all.     

Bono's Product (RED) Initiative: corporate social responsibility that solves the problems of ‘distant others’

The Product (RED) initiative was launched by Bono at Davos in 2006. Product RED is ‘a brand created to raise awareness and money for the Global Fund to Fight AIDS, Tuberculosis and Malaria by teaming up with iconic brands to produce RED-branded products’. With the engagement of American Express, Apple, Converse, Gap, Emporio Armani, Hallmark and Motorola, consumers can help HIV/AIDS patients in Africa. They can do so simply by shopping, as a percentage of profits from Product (RED) lines goes to support the Global Fund. In this article we examine how the corporations that are part of this initiative use RED to build up their brand profiles, sell products and/or portray themselves as both ‘caring’ and ‘cool’. We also show that, more than simply being another example of cause-related marketing (like the pink ribbon campaign or the ubiquitous plastic armbands), RED engages corporations in profitable ‘helping’ while simultaneously pushing the agenda of corporate social responsibility (CSR) towards solving the problems of ‘distant others’.     

A New Frontier in Development? The use of cause-related marketing by international development organisations

This paper examines cause-related marketing (crm) initiatives where the purchase of a product by a North American consumer triggers a donation from a corporation to an international development organisation. crm is quickly gaining in popularity within the non-profit sector. It is now a common means for raising funds and awareness and as such has been deemed a ‘new frontier in development aid’ yet this ‘new frontier’ has received little academic attention outside of the business management and marketing literatures. The paper extends these literatures using insights from development studies. This approach is used to analyse empirical research on the use of crm by development-focused organisations in North America. The paper argues that the crm model raises particular challenges within international development that require further analysis. These challenges include the coupling of development funding to consumption and the simultaneous marketing of products and development causes as a means of awareness raising.