Post on 11-Jan-2016
Poverty Poverty
&&
International TradeInternational Trade
AgendaAgenda
OxfamOxfam Let’s talk about globalizationLet’s talk about globalization Let’s talk about povertyLet’s talk about poverty Connections between trade Connections between trade
and povertyand poverty Solutions Solutions Jeopardy!Jeopardy! Get involvedGet involved
IntroductionIntroductionWhat is Oxfam?What is Oxfam?
Oxfam Canada builds Oxfam Canada builds lasting solutions lasting solutions toto global poverty global poverty and and injusticeinjustice. We work with allies in Canada and around the world to . We work with allies in Canada and around the world to change the policies and practices that perpetuate human change the policies and practices that perpetuate human suffering. We support organizations in poor communities overseas suffering. We support organizations in poor communities overseas in their struggle to secure in their struggle to secure basic rightsbasic rights. Oxfam's advocacy and . Oxfam's advocacy and campaigns for just policies are rooted in the knowledge and campaigns for just policies are rooted in the knowledge and experience gained in that struggle.experience gained in that struggle.
The Label GameThe Label Game
Find a partnerFind a partner Check the clothing tag at the back of Check the clothing tag at the back of
each other’s garments. Identify the each other’s garments. Identify the country where the clothing was country where the clothing was made, and write that down on the made, and write that down on the Post-It note. Post-It note.
One person take both Post-It notes One person take both Post-It notes and place them on the mapand place them on the map
What is Globalization?What is Globalization?
The Story of the Strawberry…The Story of the Strawberry…
Polyp, The New Internationalist, Great Britain
Another 1.2 billion people can’t get enough vitamins, minerals and proteins in their diet.
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Almost one person in three is affected
by malnutrition.
The NorthCanada
The U.S.Europe
Japan
The South
The Third World
Developing Countries
The 3 billion people who try to survive on $2 a day or less live in the South / Developing Countries.
Australia
N.Z.
The biggest reason The biggest reason for hungerfor hungerisis
The biggest reason The biggest reason for hungerfor hungerisis
POVERTY.POVERTY.
Q. But what does Q. But what does trade have to do trade have to do with poverty?with poverty?
The Great Trade RobberyThe Great Trade Robbery
Unfair Trade RulesUnfair Trade Rules Trade barriers into rich countriesTrade barriers into rich countries
When poor countries send goods to When poor countries send goods to rich countries, they face tariff rich countries, they face tariff barriers that are four times as high barriers that are four times as high as rich countries face when sending as rich countries face when sending their goods to poor countries. These their goods to poor countries. These barriers cost poor countries 100 barriers cost poor countries 100 billion dollars a year – twice as much billion dollars a year – twice as much as they receive in aid. as they receive in aid.
The Great Trade RobberyThe Great Trade Robbery
Unfair Trade PracticesUnfair Trade Practices SUBSIDIESSUBSIDIES
For the time being, let’s stick to For the time being, let’s stick to talking about subsidies…talking about subsidies…
Nobel prize winner
Joseph Stiglitz
Africa
• made in Mauritius• designed in Italy• sold in Paris
This is Globalization
America and Europe subsidize their cows at $2 a day.
Subsidies for FarmersSubsidies for Farmers
bring down the selling price of
crops.
The Japanese government spent $7.40 a day on each cow raised.
In 2003
Anthony Jenkins
The Globe and Mail
Canada
Most of the more than 2 billion people who depend on farming
for income try to survive on $2 a day or less.
Northern governments spend a total of $1 billion a day of taxpayers’ money on
agricultural subsidies.
Governments in Developing Countries are unable to match these subsidies.
Approximately 500 farms close down every week in the United States.
If the present rate of farm closures continues,
in 40 years there will be only seven huge farms left in the
United States.
Farmers are using all the money they make on farming
to pay the interest on their farm debts.
1996 -2001
Subsidies are not working for most
farmers.
Subsidies to U. S. Farmers
10%
10%
80% of farmers
73% of subsidies
15% of subsidies
Only 12% of subsidies
Most of the money is going to very few American farmers.
Subsidies are huge.
$600,000 per farmer
Irrigation
Only farmers with subsidies can continue to make money when the
price they receive for their crops falls below the real cost of production.
Advantage!
What distinguishes highly subsidized farms
from other farms?
• They are very large.
• They are often owned by corporations.
• They grow crops for export.
Government Subsidies
Out of every American dollar spent on subsidies 90 cents goes to farms
producing 5 export crops.
Sold below the real cost of production in the U.S.
U.S. Subsidies2001
Crop Production Costs Export Price
Wheat $6.24 $3.50Soy beans 6.98 4.93Cotton .93 .40
Losses are paid for by American taxpayers.
Ethical Problem
• Agribusiness corporations are making a lot of money.
• Farmers can’t make enough money to survive.
Bennett, The Christian Science Monitor, United States
Corporations are not people!
They do not have a built in conscience that guides their behavior.
Profits!
Growth!
In their pursuit of growth and profits, corporations don’t intend to mistreat
farmers.
Polyp, The New Internationalist, Great Britain
Polyp, The New Internationalist, Great Britain
Ensure essential services are available to the rural poor
Advance food and income security in developing countries
Allow poor countries to determine the pace and scope of opening their economies
Ban all export dumping of farm produce Promote sustainable rural sectors, both in
developed and developing countries, through proper regulation and targeted subsidies
Introduce mechanisms to achieve stable and fair prices on commodity markets
Let’s Make Trade FairLet’s Make Trade Fair
Sign the Sign the BIG NOISE Petition!!BIG NOISE Petition!!
JEOPARDY!JEOPARDY!
What you can do What you can do Be a conscientious consumer.Be a conscientious consumer.
Read the labelRead the label Buy fair tradeBuy fair trade
Be aware. Use your brain.Be aware. Use your brain. Get educated: read the news, go onlineGet educated: read the news, go online Talk about issues with your friends (and Talk about issues with your friends (and
enemies)enemies) Act locallyAct locally
VolunteerVolunteer Support a cause you believe in, any way you Support a cause you believe in, any way you
cancan Act globallyAct globally
Write lettersWrite letters
Fair TradeFair Trade
pay a set minimum price that pay a set minimum price that covers the costs of productioncovers the costs of production
Long-term cooperationLong-term cooperation Promote sustainable Promote sustainable
production practicesproduction practices
For more information…For more information…
OxfamOxfam Edmonton chapter: Edmonton chapter:
edmontonvolunteers@oxfam.caedmontonvolunteers@oxfam.ca www.maketradefair.comwww.maketradefair.com www.oxfam.cawww.oxfam.ca www.transfair.cawww.transfair.ca