DAP wants FTAs open to Parliament checks

By Clara Chooi

A DAP MP urged the government today to set up a Parliamentary Select Committee on Free Trade Agreements (FTA) to allow legislators to scrutinise FTA negotiations.

Klang MP Charles Santiago mooted the proposal today and pointed out that at present, the Malaysian Parliament was a mere “rubber stamp” as it would be forced to accept all negotiations without any checks and balances.

“Parliament has no avenue to discuss, debate or comment on FTAs which have critical significance [for] sovereignty, development and public policy... issues that have major ramifications to the lives of Malaysians,” Charles said in a press conference in Parliament today.

The trained economist claimed that at present, FTA negotiations were conducted in a “non-transparent” manner and without an avenue to discuss on the agreements in Parliament, national laws would eventually be amended to reflect the commitments made at the negotiations.

“Parliament will have no choice but to accept the decisions. It has been reduced to the role of a rubber stamp. It has no choice and clearly this shows that the executive arm of the government is not accountable to Parliament,” he said.

Charles added that it was timely for the formation of a Parliamentary Select Committee to allow debates on FTAs as the Malaysian government was presently set to begin negotiations on two critical FTAs with economic powers, the European Union and the US, along with eight other nations.

“The negotiations with the US and the other eight nations will take place in New Zealand from December 6 to 10 in the context of the Trans-Pacific Partnership FTA,” he pointed out.

The countries involved in the negotiations include Australia, New Zealand, Brunei, Singapore, Vietmnam, Chile and Peru.

“This will be a second effort on the part of Malaysia to clinch an FTA deal with both the EU and the US.

“This entails negotiations on trade, services and investments, including intellectual property rights, government procurement and competition,” he said.

Charles explained that FTA agreements gave rights to investors to legally challenge governments before international tribunals established at the World Bank or the International Court of Arbitration in Paris.

This, he added, would ultimately undermine the sovereignty of the nations involved.

“Liberalisation of the government procurement sector, once considered off-limits to foreign companies is a major departure in the country’s social and development policy,” he argued.

Furthermore, said Charles, FTAs were not just about the exchange of goods and services but would also have far-reaching implications on public policies, including health, the environment and the growth of small and medium industries.

“As a result, they would have implications for the people, business and special interest groups,” he said.

Unlike Malaysia, said Charles, Asean countries like Thailand and Philippines required parliamentary scrutiny and endorsement before their governments formally signed on to FTAs.