Local view for "http://purl.org/linkedpolitics/eu/plenary/2009-02-02-Speech-1-076"
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"en.20090202.14.1-076"2
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"Madam President, the Doha Round broke down last year. This is an extremely serious state of affairs. Progress towards global free trade over the last few decades has lifted an incredible number of people out of poverty on a scale that has actually changed the world. Now, however, the world’s economy is in a very deep crisis. This is not a result of free trade and this form of globalisation, but a result of a global financial crisis. In this way, the situation is similar to the one we experienced at the end of the 1920s.
This sort of financial crisis results in a global depression. The last time, it brought Hitler to power. It led to the horrors of the Second World War and to 50 years of communist slavery throughout half of Europe and half of Asia. These are important issues that we are talking about here. The most important cause of the global depression at that time was a resurgence of protectionism. Country after country introduced duties, quantitative restrictions, ‘buy domestic’ rules and competing devaluations.
There is actually a high risk of this state of affairs being repeated this time round. There are many worrying signs. President Obama actually won the election from a protectionist platform. We are seeing the first signs. There is now a large package on the table which does, in fact, include a ‘buy American’ clause relating to steel for the construction industry. This may be the beginning.
If the door has been opened, other countries will discover that they can do something similar, given how bad things look. Those countries that are currently badly affected around the world and within the EU will be tempted to promise their workers and their undertakings protection against foreign competition. The trends are clear to see. If this process starts it will not be possible to stop it. This really will be disastrous.
The EU is the largest trading bloc in the world and therefore has considerable responsibility. In the area of commercial policy, the EU speaks with one voice, and, for once, that is a good thing, but what will that voice actually say now? There are grounds for pessimism.
The key to success lies in the agricultural sector. However, the campaigning by France and Germany to get the EU to buy in milk powder and butter and to start subsidising the export of dairy products does not bode well. This is the politics of small-minded self-interest instead of statesmanship.
Therefore, the Council and Parliament should immediately issue clear statements to the effect that the EU will defend free trade throughout the world and open up the way for progress in the trade in agricultural products. Nothing can be more important than that. Thank you for the opportunity to speak."@en1
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