Keep Water Out of the WTO

Global Peace and Justice Auckland

Dear signatories of the March 2003 Call to Keep water out of WTO.

As civil society groups deeply concerned about current GATS negotiations we need to ensure that this resistance is represented in many ways in Cancun. The attached call is one way of doing this and it seeks to draw on: a) A longstanding global civil society call to 'halt the current negotiations', b) Strong demand by water activists to withdraw water from the WTO. c) Denounce proposals in the draft Ministerial Declaration which will speed up the current GATS talks by setting a deadline on the submission of offers. (So far only 30 countries have tabled initial offers.)

The attached statement has been drafted by a collection of organizations:

IATP-USA; CEO-Netherlands; WDM-UK; EMG, SOUTH AFRICA; Manthan, INDIA; Coordinadora de Defensa del Agua y de la Vida, BOLIVIA; Vicente Canas Center BOLIVIA, and PSI -International.

The statement will be launched in Cancun and distributed throughout the Ministerial to those present. It will also be sent to every WTO delegate.

I hope that all organizations feel able to support this call - please email Char Greenwald at cgreenwald@iatp.org in order to sign onto this call.

CLOSING DATE FOR SIGNATURES IS 4 SEPTEMBER

Apologies for the short notice.

Call to Cancun: Halt the GATS negotiations. Take essential services, such as water, out of the WTO.

Civil Society Submission to the World Trade Organization's (WTO) 5^th

Ministerial Conference in Cancun, 10-14 September 2003

As trade ministers from the WTO's 146 member countries meet in Cancun, we call on them to halt discussions on the General Agreement on Trade in Services (GATS) and to resist any contrary attempts which seek speed up these negotiations. The United States and the European Union, whose corporations have most to gain from these talks, are pushing for a political declaration in Cancun calling on all WTO members to submit their services, including essential services, to the GATS. For these corporations, GATS promises access to new markets and enhanced rights.

In Cancun, promises made by developed countries in other WTO areas will be used to extract progress on GATS, even though GATS is not a key agenda item. This puts immense pressure on developing countries to commit more of their services, including basic services such as water, to the WTO's binding trade rules.

The GATS proponents repeatedly frame their ambitions in the context of development. They refer to the Doha Development Agenda. In water specifically, the EU publicly claims that current negotiations, could potentially contribute to international efforts to improve access to water. Yet in confidential internal memos between the European Commission and the top three European water companies (Suez, Vivendi and RWE), the EC states that, one of the main objectives in the current round of negotiations is to achieve real and meaningful access for European service providers for their exports of environmental services [which includes water services].

In July 2002, as part of ongoing GATS negotiations, the EU submitted demands to 109 countries, requesting ambitious levels of market access for its corporations. This included requests to 72 developing countries, several of them least developed countries, requesting access to their water services. The US also submitted extensive and controversial demands, which under the guise of transparency’ render domestic decision-making vulnerable to foreign commercial interests.

Developing countries have every reason to resist such far-reaching demands. So far, the liberalization of water services has caused grave problems in countries where the involvement of foreign multinationals has typically made water more expensive than poor households can afford. Any country making GATS commitments in water would bind is such liberalization for the future, making it effectively impossible for it to withdraw, even if service provision is unaffordable to the poor, the water service is of poor quality, or a future government wishes to change the policy.

The United Nations Sub-Commission on Human Rights, concerned with the effect of GATS on universal service obligations, suggests that GATS conflicts with the human rights obligations, of WTO member countries. Barely a year ago at the UN World Summit on Sustainable Development in Johannesburg, heads of the governments made commitments to halve the proportion of people without access to water and that of those without access to sanitation by 2015. But the evidence from many communities, especially those in the developing world, is that the global water crisis will worsen if water is subjected to WTO rules that put corporate interests ahead of the right to water as fundamental to life.

In order to make these obligations a reality we call on Ministers meeting in Cancun to halt the current GATS negotiations and keep essential services, such as water, out of the WTO. Contact Char Greenwald at cgreenwald@iatp.org to add your name to this call.