European Union (Definition of Treaties) (Colombia and Peru Trade Agreement) Order 2013

Lord Avebury Excerpts

Monday 2nd December 2013 Grand Committee

[Baroness Miller of Chilthorne Domer (LD)]

My Lords, I, too, welcome this trade agreement. I will mostly confine my remarks to Colombia, which I was lucky enough to visit last year as part of an IPU delegation. First, I shall make a couple of slightly regretful general remarks. Originally, this free trade agreement was to be for the whole Andean region of Colombia, Peru, Ecuador and Bolivia. For reasons which I imagine partly are what the Minister was alluding to when he said that this would send a strong message, Bolivia and Ecuador are not included in this agreement. There are two obvious difficulties with that. One difficulty is that, for those of us who believe that open markets and free trade bring prosperity, it will make an even more two-tier Andean region. We have seen some of the effects of Colombia’s successful push against illegal coca growing, which has been pushed towards Bolivia and Peru. I am nervous that we should do anything further to divide the region when I am sure it would benefit from a more cohesive approach.

That said, I shall concentrate the rest of my remarks on Colombia. Obviously, Colombia has particular issues because it is coming out of decades of conflict and is just entering into, it seems, a successful peace negotiation. That puts a particular onus on those of us who are entering into a free trade agreement to put human rights issues right at the heart of our considerations, partly because human rights are self-evidently incredibly important but partly because the speed of development is going to have a tremendous impact on Colombia, with all the interest in it and indeed with the Colombian Government’s own efforts to develop its infrastructure and to raise the people of its regions out of poverty, especially as a lot of the development will be concentrated on the extractive industries and agriculture.

I get the extremely good briefings from our embassy in Colombia, which highlighted in its September briefing that some of the conflicts have resulted in the deaths of protesters: four protesters were killed in one conflict and one in another, and indeed one policeman has been killed, so it is a matter of life and death.

I underline my praise for the British embassy’s work there. We met His Excellency John Dew, who has since handed over to a new ambassador. The embassy’s work in highlighting the importance of human rights in welcoming in various groups, whether from the peace communities, which are small agricultural farmers, or the trade unions, has been very important. I am sure that its efforts will not lessen with this trade agreement going through.

If the first issue is human rights, the second is biodiversity. The country is one of the most biodiverse in the world. I know that the Colombian Government are well aware of the treasures that they have, but again the extractive industries tend to need infrastructure and are often looking at extracting minerals from some of the most sensitive areas of the country. All this poses a challenge for any companies going in, and I hope that all British companies involved will be very mindful of these issues.

My question to the Minister is: how will we monitor the human rights issues and what is happening with them? Clearly our own embassy is doing that but the trade committee in Europe that is concerning itself with the free trade agreement does not really have a human rights remit at all. That is the question that I would like the Minister to answer.

[Lord Avebury (LD)]

My Lords, I share my noble friend’s regret that Ecuador and Bolivia are not included in this treaty. I am hopeful that the Minister may be able to say something in his concluding remarks about the prospects for them joining at some later date. Of course, everyone welcomes free trade between the EU and third countries as a means of enhancing economic prosperity on both sides and, although it is not a stated object of the treaty, potentially reducing the disparities of wealth and income that are an endemic feature of third-world societies.

I am going to speak exclusively about Peru, having been president of the Peru Support Group for 11 years until I was succeeded a year ago by the noble Baroness, Lady Coussins, and I declare an interest accordingly. I am indebted to the support group for advice on the effects of the treaty, on which I am going to base my own remarks.

Women and indigenous people have not benefited proportionately up till now from Peru’s impressive rates of growth. There are also huge disparities between the regions. There is no reason to assume that the benefits of this treaty will be applied so as to reduce these inequalities, but if they were so applied then it would be advantageous not only for the poor but for Peruvians at all levels of the economy, and hence for British investors and traders.

The Minister said that the treaty would benefit the UK economy to the tune of £400 million. Has a similar calculation been made, I wonder, on behalf of Peru? Has my noble friend anything to say about the potential benefits for the worst-off in Peruvian society? Similarly, there is no link between the rising national prosperity that will result from the treaty and the improvement in human rights that rests on the flimsy foundation of a single article, as my noble friend has pointed out, providing that respect for the Universal Declaration of Human Rights and the rule of law constitute an essential element of the agreement. The Minister in another place also referred to Article 8, which deals with the fulfilment of obligations under the treaty generally but is clearly intended to deal primarily with trade matters that are the overwhelmingly predominant purpose of this massive document.