Saturday, April 19, 2008 Libre: Free trade agreement By Mel Libre Seriously Now
THE signing of the Free Trade Agreement (FTA) between New Zealand and the People’s Republic of China on April 7, 2008 was heralded by the leaders of both countries.
Prime Minister Helen Clark said that the agreement will give New Zealand’s exporters significantly increased access to the world’s largest economy. Premier Wen Jiabao described Clark as “a forerunner in your business and economic relationship with China.”
New Zealand, with 4 million people, is the first industrialized nation to ink a free trade agreement with China, which has a population of 1.3 billion (1/5 of the total world population). The FTA will result in cheaper cost of goods and services for the two countries because of the eventual abolition of tariffs.
The Labour Party, which began negotiations of the agreement at the end of 2004, wants to fast track the approval by the Parliament so the FTA will take effect on Oct. 1, 2008.
The reaction of Kiwi business leaders, especially those in the agricultural sector, is positive knowing the increased demand for food and milk as the middle class in China prospers.
Of course there are skeptics like Foreign Minister Winston Peters, who as leader of NZ First, criticized the government for failing to do better. The Green Party wants China to first improve its the human rights record and grant more freedom to its people.
Some manufacturers have accepted the reality that they cannot compete with China because of its cheap labor, thus they are taking initiatives to make themselves more competitive in terms of efficiency. They will possibly contract out production to other countries.
While the FTA has no direct impact on Philippine economy, it has effect on Filipino professionals wanting to work in New Zealand.
The front page photo in the April 9, 2008 issue of the New Zealand Herald issue showing thousands of Chinese nurses with fisted hands and the banner “Reinforcements heading our way” must have left an impression among Filipino health workers in New Zealand.
Add to that the statement of Ministry of Health chief nurse Mark Jones: “With nurse vacancies at all the country’s district health boards--–and some of those vacancy levels extreme--–the Chinese nurses would be welcome.”
The Philippines take pride in the overseas Filipino workers (OFWs) as “bagong bayani,” yet government has not exerted enough efforts to make it easier for our professionals to enter into their fields of skill when they venture abroad.
Many of these professionals are underemployed, as in most instances their Professional Regulation Commission licenses are not recognized, thus requiring further education that takes time and resources, two things that migrants are wanting.
The Philippine government has been blessed by OFW remittances yet has been apathetic on OFW plight. President Arroyo and her entourage have gone on official visits to foreign lands, and instead of addressing the needs of its citizens in those countries she asks them to invest in the Philippines clueless of the struggles and difficulties they have undergone or are experiencing.
If the Philippines will have leaders with the bullheadedness of Wen Jiabao and the pioneering spirit of Helen Clark, it is certain that free trade deals can be signed with countries where Filipino professionals can make a difference in the host country and give back something to our beloved Philippines.