This
week one of our ALOVE peer writers, Carl
Baker, an economics under graduate, takes
an in-depth look at how our everyday choices
may be enslaving others and poses the question:
Free trade or Fair trade?
There are few people who would argue slavery
is a good thing. It's an outdated institution
and the fact that it doesn't exist here
any more is a monument to how we've progressed
as the human culture, right? Well, maybe
it’s not quite so black and white.
Could it be possible that through our everyday
actions, we are contributing to a different
type of slavery that bind thousands of people
all over the world in sub-human conditions
or situations?
In his book, The
No-Nonsense Guide to Fair Trade,
David Ransom tells of his visit to a banana
farm in Guatemala, where he sees banana
plantations being fumigated with dangerous
chemicals, whilst people are working on
them.
And it's not just an issue of foodstuffs
-Many clothes are produced unethically in
what are dubbed ‘sweatshops' - they
comprise awful conditions, long hours and
ultra-low pay. A typical Nike worker in
El Salvador earns 60 cents an hour, which
is around half of the amount they would
need to be living outside of starvation.
So when we buy food or goods, are we supporting
and advocating everything that has happened
for them to get ‘from the ground’
to us? Of course, it’s a complex issue
and process. We’re often oblivious
to the origin of our purchases and the injustice
that often occurs in their creation. Nevertheless,
every time the average consumer buys items
that were produced in such contexts, we’re
inadvertently supporting and perpetuating
the situation.
As Christians, we have a responsibility
to speak out against this kind of injustice
in the world, so how do we approach such
an issue?
Some people argue that the world market
will only function properly when allowed
to work freely and support Free Trade. This
is the theory that International trade between
countries should be allowed to take place
without any barriers such as quotas (limiting
the amount that can be imported/exported),
tariffs (a fee charged on top of the price),
and embargos (a total ban on the trade of
a particular item).
However some challenge the merits of Free
Trade, saying it’s only in the interests
of those in power - large countries and
large corporations. For example, corporations
will scream 'free trade' when trying to
import cocoa beans from Ghana, but if Ghana
was to make its own chocolate and try to
export it to Europe, it would meet a hefty
tariff and certainly not free trade.
Another approach that people will argue
for are the merits of Fair Trade over Free
Trade. In my opinion, Fair Trade is preferable.
it’s not based on short-term commitments
or driving the price down as low as possible.
It’s based on a guaranteed minimum
price for producers, which is at a wage
level realistic to live on. This means that
even when the markets fail, or there is
a bad crop, leading to poor prices, the
producers still receive enough to live on.
In The No-Nonsense
Guide To Fair Trade, David Ransom
describes his visits to a number of farms
and plantations where fair-trade is practised.
There he sees a marked difference in the
lives of the workers compared to those who
work for the mainstream corporations. Their
quality of life and job satisfaction (which
were non-existent in the other plantations)
were much higher and it was clear to see
that fair trade has made a difference to
their lives.
However, Fair Trade is a system not without
its weaknesses. Economists argue fair trade
tampers with free trade, which they see
as the optimum for trade. In addition, when
prices are high in the market, rogue middlemen
will try and tempt those working in a fair-trade
system into short-term unstable agreements.
Ultimately, the whole issue is very complex,
and there aren’t quick fix solutions
to some of these problems. However, one
thing is clear – many trading practices
in our world see millions of people oppressed
and working in sub-standard conditions –
and that is not acceptable. We need to do
what we can to support the growers over
the corporations.
Ignorance is bliss,
they say, but it’s just no longer
good enough.
|
Biblical
reflections
From a biblical perspective, it is clear
that God regards justice in society as a
very important thing. Take these two passages:
Isaiah 58:6
“I'll tell you what it really means
to worship the Lord. Remove the chains of
prisoners who are chained unjustly. Free
those who are abused!”
Isaiah 61:1-8
“The LORD has chosen and sent me to
tell the oppressed the good news, to heal
the broken-hearted, and to announce freedom
for prisoners and captives...I, the Lord,
love justice! But I hate robbery and injustice. |