Showing posts with label Trans-Pacific-Partnership. Show all posts
Showing posts with label Trans-Pacific-Partnership. Show all posts

Monday, January 28, 2013

X-Post: Strategic Culture -The Pacific Ocean: The Pentagon Next Human Terrain Battlefield

Wayne MADSEN | 27.01.2013 |

The Pentagon planners and their paid anthropologist shills are gearing up for the Pentagon’s next battle: the one for the Pacific that will ensure that the island nations that dot the vast maritime expanse will remain a part of the Anglo-American sphere of influence and not become part of a «Chinese lake».
The Pacific Ocean has been a favorite stomping ground for U.S. government-financed anthropologists ever since Margaret Mead ‘s 1928 treatise on the Samoan people, Coming of Age in Samoa, laid the groundwork for the intelligence-related anthropological study of the peoples of the Pacific Ocean by the U.S. military and intelligence services. Mead later became a researcher for the CIA-connected RAND Corporation and became a supporter of CIA funding of anthropologic surveys and studies via laundered academic research grants from the U.S. Agency for International Development (USAID).

USAID / CIA/Special Operations projects with names like Phoenix, Prosyms, Sympatico, and Camelot used anthropologists and social scientists to reconnoiter targeted tribal areas in South Vietnam, Indonesia, Pakistan, Colombia, and Chile to determine how U.S. Special Forces and intelligence agents could use indigenous peoples to further American military goals. The operations in the cases of Phoenix in South Vietnam and Prosyms in Indonesia resulted in genocide on a massive scale…
Today, the military’s tribal and native peoples targeting programs fall under the nomenclature of «human terrain systems» or HTS. Brought back to life in Afghanistan and Iraq, these genocidal programs now have their eyes on the Pacific in order to gear up for what the Pentagon and Langley planners believe is an inevitable war with China.

It is fitting, therefore, the U.S. Army Corps of Engineers are now looking for up to 15,000 acres of land to lease on American Samoa. The U.S. military wants to establish a major training base on American Samoa for at least five years and probably longer. The base is to provide 24-hour road access that will permit 60 full days of training per year. The Army also wants the base to permit the use of pyrotechnic and blank ammunition during daytime and nighttime training. It is certain that the U.S. is looking at building a simulated rural and village tropical environment for the use of U.S. and future «coalition of the willing» armies to practice battling an enemy in the Pacific region. That «enemy» is China.

The United States obviously foresees the Pacific as a future battleground between American and its allied forces and China for control of the important trade routes that crisscross the vast maritime region. Not since the U.S. military campaign against Japan during World War II has the Pacific seen such an American military projection of power.

The decision by the Obama administration to «pivot» its military forces into Asia and the Pacific has brought about a strong response from China, which sees itself as the ultimate target for the increased U.S. military presence. China’s ambassador to Australia Chen Yuming called the stationing of 2500 U.S. Marines in Darwin an «affront» and a Cold War containment policy toward China.

The establishment of a U.S. military training base on American Samoa follows Secretary of State Hillary Clinton’s first ever attendance by a U.S. Secretary of State of a Pacific Islands Forum (PIF) summit in Rarotonga, Cook Islands on August 31, 2012. It was the first such visit to the Cook Islands and underscored America’s decision to maintain its stranglehold over the small Pacific island nations while at the same time beefing up its military forces in the region.

The United States and its two Pacific overseers – Australia and New Zealand –- are attempting to cement their neo-colonialist hegemony over the Pacific states, which are independent in name only. Enter the Human Terrain practitioners from the Pentagon and CIA to keep the Pacific islanders divided. Clinton’s participation in the PIF summit is aimed at not only maintaining the status quo but in promoting the rivalries between Polynesians, Micronesians, and Melanesians among the island states. 

The United States, having virtual ownership of the quasi-independent Micronesian nations of Micronesia, Palau, and the Marshall Islands, as well as total control over the U.S. territories of Guam and the Northern Marianas, can use its influence over Micronesians to play them off against the other two major ethnic groups,. They are the Melanesian Spearhead Group of Papua New Guinea, Fiji, Solomon Islands, Vanuatu, and the New Caledonia (Kanaky) liberation front and the Polynesian Leaders Group of Samoa, Tonga, Tuvalu, Cook Islands, Niue, Tokelau, French Polynesia, as well as the intelligence eyes and ears of Washington, American Samoa. The United States, Australia, and New Zealand can use their Human terrain System knowledge of ethnic rivalries in the Pacific to ensure that China is kept out of the area.

Part of the strategy relies on Taiwan’s «checkbook» diplomacy to maintain Taiwanese rather than Chinese embassies and aid missions in the small island states. There are currently Taiwanese embassies in Tuvalu, Solomon Islands, Marshall Islands, Palau, Nauru, and Kiribati. Among these, Nauru, Solomon Islands, and Kiribati switched their recognition back to Taiwan after opening up diplomatic relations with China. Kiribati came under pressure after it decided to allow China to build a missile tracking station on south Tarawa. 

Wayne Madsen


" The United States and its two Pacific overseers – Australia and New Zealand –- are attempting to cement their neo-colonialist hegemony over the Pacific states, which are independent in name only [...]

The CIA, Australian Security Intelligence Organization (ASIO), and New Zealand Secret Intelligence Service (NZSIS) have programs to undermine South Pacific governments that establish close relations with Beijing [...]

Aware of the animosity that poor Pacific Islanders have toward local successful Chinese businessmen, the bought—and-paid for anthropologists have stirred up riots, especially in Solomon Islands and Tonga, to marginalize China’s influence in the region. There are contingency plans to foment riots against ethnic Chinese in Fiji, Vanuatu, and Papua New Guinea [...]

If Fiji’s military-led government , which has been the subject of diplomatic sanctions by Australia and New Zealand, continues to get close to China and North Korea, these Fijian mercenaries could see coup d’état duty on behalf of the CIA, ASIO, and NZSIS in their homeland of Fiji."

The U.S. believed the China Space Telemetry Tracking Station was going to spy on the «Star Wars II» activity at the Ronald Reagan Ballistic Missile Defense Test Site in the Kwajalein Atoll of the Marshall Islands. The Marshallese on the atoll are under constant surveillance by well-armed U.S. security personnel. In 2004, Vanuatu switched its recognition back to China from Taiwan after Prime Minister Serge Vohor paid a secret visit to Taiwan and was ejected from office in a vote of no confidence. Vohor actually punched the Chinese ambassador after Vohor returned from Taiwan. Such incidents in the Pacific Islands have been known to set off riots between opposing political parties and ethnic groups. The Pentagon will use such politico-ethnic tinderboxes as a secret weapon against China.

The CIA, Australian Security Intelligence Organization (ASIO), and New Zealand Secret Intelligence Service (NZSIS) have programs to undermine South Pacific governments that establish close relations with Beijing. However, the Human Terrain operatives have gone further. Aware of the animosity that poor Pacific Islanders have toward local successful Chinese businessmen, the bought—and-paid for anthropologists have stirred up riots, especially in Solomon Islands and Tonga, to marginalize China’s influence in the region. 

There are contingency plans to foment riots against ethnic Chinese in Fiji, Vanuatu, and Papua New Guinea. The CIA’s Operation Prosyms in Indonesia relied on longstanding animosity between Muslim Indonesians and ethnic Chinese to stoke riots against the Chinese in the aftermath of the 1965 CIA coup against President Sukarno. The mayhem resulted in the deaths of over 100,000 ethnic Chinese and a severance of relations between the CIA-installed Suharto government and China. President Obama’s anthropologist mother, Stanley Ann Dunham, played a crucial role in Prosyms. Mrs. Dunham’s son appears prepared to reenact anti-Chinese pogroms in the islands of the Pacific.

It is clear that the U.S. military training in American Samoa will be used to train Pacific Islander mercenaries, many of whom, such as Marshall Islanders, American Samoans, and Guamanians already serve in the U.S. military, to train young men from impoverished Kiribati, Micronesia, Samoa, and Fiji. Fijian and Tongan mercenaries, battle-hardened from Western campaigns in Iraq, Afghanistan, and other regions, are also available to supplement the U.S. Pacific Command’s training complex on American Samoa. If Fiji’s military-led government , which has been the subject of diplomatic sanctions by Australia and New Zealand, continues to get close to China and North Korea, these Fijian mercenaries could see coup d’état duty on behalf of the CIA, ASIO, and NZSIS in their homeland of Fiji. And the diplomats of the small Chinese embassy in Nuku’alofa, Tonga have witnessed how fast the fury of local Tongans can be turned on the Chinese business community. These blood-soaked scenarios all figure heavily into Pentagon HTS plans for the Pacific.

The United States will continue to keep the Pacific Islands within its vast gulag to prevent the extension of Chinese influence. Today, Pacific Islanders are faced with a virtual «Berlin Wall» that keeps Pacific Islanders confined to their own islands while outsiders, like Chinese and Russians, are kept out. The method by which Washington, Canberra, and Wellington have created airline and sea transit monopolies and transit visa requirements means that Samoans from the Independent State of Samoa cannot visit nearby American Samoa without a special permit. And the U.S. Department of Homeland Security decides who will receive special permits and transit visas, including for those traveling on diplomatic passports. Any scheduled airline that connects any of the islands via American Samoa, Guam, or Hawaii requires a U.S. transit visa and that entails invasive interviews by U.S. Immigration and Customs Enforcement personnel.


There is a reason why so many negotiations and agreement to establish the Trans-Pacific Strategic Economic Partnership have been secret. As the title indicates, the TPP, as it is known, is a «strategic» trade bloc, which means it also has a military dimension. In essence, it is no different than the Greater East-Asia Co-Prosperity Sphere established by Imperial Japan during World War II. The United States, not wanting to be viewed as starting the bloc but wanting it to be a replacement for the Cold War military alliance, the Southeast Asia Treaty Organization (SEATO), sat in the background while New Zealand, Singapore, Brunei, and Chile signed up as charter members in 2005. 

As more nations joined, the TPP’s military profile became clearer. The countries that signed up to the TPP were all being groomed for the anti-China military bloc for the Pacific: Australia, Canada, Malaysia, Mexico, Vietnam, Peru, and the United States signed on. Japan, Thailand, South Korea, the Philippines, Colombia, Costa Rica, Laos, and Taiwan later expressed an interest in joining the TPP. The eastward blockade of China became clear. The United States already had existing military alliances with six of the other ten TPP member nations. From Darwin, Australia and Subic Bay, Philippines to Cam Ranh Bay, Vietnam and the U.S. built Mataveri Airport on Easter Island (Rapa Nui), the U.S. was delineating the borders of its own Asia-Pacific Sphere and a line over which China would be warned not to cross.

Mrs. Clinton may have arrived in Rarotonga last year amid waves and smiles but her sinister plans for the Pacific region have more to do with using the Pacific Islanders for cannon fodder in what Washington expects to be a coming regional war with China.


Source: Strategic Culture

Club Em Designs

Friday, March 09, 2012

X-Post- 36th Parallel Weekly Analysis: Commodities Boom widens PIF Rift.


In order to understand political dynamics, underlying economic factors often need to be considered. The growing rift within the Pacific Island Forum between the Melanesian Spearhead Group (MSG) and the Polynesian Leaders Group (PLG) is one such instance.




The metals boom preceded the minerals boom, both of which have been paralleled by  ongoing interest in discovering new sources of energy, oil and natural gas specifically. Once metals markets were consolidated, investment flows turned to mineral resource extraction and towards exploring previously inaccessible sources of oil and natural gas. Rising prices for fuel and mineral commodities in an era of technological innovation has pushed capital investment into previously unexploited areas of the globe, including the South Pacific. Under highly competitive market conditions, Asian capital has joined the quest and accelerated the pace of primary resource investment even where it remains a secondary market player. The race to secure market share in these commodities is well and truly on.


Against that backdrop  Commodore Voreqe Baimimarama travels this week to Vanuatu in his capacity as Chairman of the Melanesian Spearhead Group (MSG) , a sub-group of the Pacific Island Forum (PIF) regional organization that encompasses most Pacific Island States, including Australia and New Zealand. Created in 1999, the MSG has recently been rivaled by the 2010 creation of the Polynesian Leader’s Group (PLG), which aggregates eight members of the PIF.

Unlike the PLG, the MSG has an established institutional structure and programmatic agenda, increasingly  dominated by Fiji due to its diplomatic importance and the relative underdevelopment of or political instability in other member states (New Caledonia, Papua New Guinea, the Solomon Islands and Vanuatu).The MSG contains a multilateral trade agreement between the its members, and because of historical investment interest in resource extraction in the sub-group (forestries and fisheries as well as minerals), it has seen the bulk of regional foreign investment in the last two decades. The ExxonMobil-led liquefied natural gas project in the PNG is one sample of that ongoing interest, now pushed into newly exploitable areas.

Polynesia has begun to experience the impact of the global energy and mineral rush. Whereas MSG members have a number of land and seabed mineral exploitation contracts within their Exclusive Economic Zones (EEZs), only recently have PLG nations begun to see significant investment in land mining, and fewer have seabed exploitation agreements (one, Nauru, has secured a license to exploit seabed resources in international waters). Many of the companies involved in developing the PLG region for mineral extraction are already in the MSG, so the economies of scale they bring to negotiations with small Polynesian states provides them with good leverage when negotiating agreements. As in the case of MSG members, these contracts are not bound by regulatory vehicles embedded in regional trade agreements such as PACER and PICTA (on regional architecture, see here).

36th Parallel Analysis

"Fiji is the strongest partner with the MSG, that antagonism has spilled into MSG diplomacy vis a vis the Antipodean states and has seen the sub-group prioritize its relations with Asian partners as a balance to Western patronage relationships (which is based more on developmental aid than investment).
[...]The sanctions and suspension regime has done little to hurt the Baimimarama regime but have pushed both Fiji and the MSG more firmly into an Asian-centric diplomatic orbit, accentuating the cleavage within the PIF (which the MSG sees as too compliant with Australian and New Zealand diplomatic interests)."


The PIF is an observer of the Trans-Pacific Partnership Agreement (TPPA) negotiations involving the US, Australia, New Zealand, Chile, Singapore, Peru, Brunei, Vietnam and Malaysia.  Japan, South Korea and Canada have also expressed desire to join the TPPA. Should the TPPA be ratified, increased trade volumes within the region are expected to grow even if the PIF does not become a full member itself. However, discussion has begun within the MSG about emphasizing bi- and multilateral trade with the so-called BRIC emerging economies: Brazil, Russia, India and China. None of these are party to the TPPA and yet are among the fasting growing economies in the world. They are, in fact, emerging great powers, gradually supplanting traditional Western powers as the motor force of the global economy.

China already has an established economic footprint within the MSG and its diplomatic presence, the largest in the PIF region, has grown  commensurate to the size of its investments. Russia and Fiji have just signed economic cooperation agreements, and Indian venture capital has made footholds there as well.

This trend has begun to be seen in PNG and the Solomons. Should the move to emphasize trade and investment between the MSG and BRICs lead to higher levels of commerce with the latter, the impact will significantly increase the investment gap between the MSG and PLG. Given its larger membership and smaller resource base, PLG benefits from an eventual TPPA will be much more diffuse than in the MSG with or without the BRIC connection. The more the BRIC-MSG connection comes into play, the less the MSG will need to be part of the TPPA and other pan-Pacific trade agreements. Should that happen, the MSG will begin to outweigh the PLG influence within the PIF, which opens the possibility of  an MSG-Australia/New Zealand confrontation within the PIF because the Antipodean states do not want the PIF to be dominated by Fijian interests.

As a result of the 2006 coup that brought Commodore Baimimarama to power, Fiji is currently suspended from the PIF and Commonwealth, and has been the subject of sanctions by Australia, New Zealand, the US and European Union. In response, Fiji has strengthened its ties to non-traditional partners such as China, something that gives it more flexibility in its foreign relations. Although the US has  softened its stance regarding the Baimimarama regime and its timetable for 2014 elections, the impasse continues with the Commonwealth, EU, Australia and New Zealand. Because Fiji is the strongest partner with the MSG, that antagonism has spilled into MSG diplomacy vis a vis the Antipodean states and has seen the sub-group prioritize its relations with Asian partners as a balance to Western patronage relationships (which is based more on developmental aid than investment).

Respecting the concept of national sovereignty, Asian economic partners are less concerned about Western notions of good governance, transparency, labor market conditions and environmental impact and more focused on returns on investment. This approach has been successfully used by Western companies operating within the MSG. The sanctions and suspension regime has done little to hurt the Baimimarama regime but have pushed both Fiji and the MSG more firmly into an Asian-centric diplomatic orbit, accentuating the cleavage within the PIF (which the MSG sees as too compliant with Australian and New Zealand diplomatic interests).

Against this backdrop, Baimimarama’s inspection visit before the 19th MSG conference later  this month provides him with the opportunity to set the agenda for this year’s discussions and to solidify Fijian interests within the group. Contentious topics such as granting both Indonesia and Western Papua observer status in the MSG (given Indonesian occupation of  Western Papua) are likely to be downplayed in favor of a consensus on strengthening ties with non-Western states and solidifying the MSG’s pre-eminent position within the PIF, at the expense of the PLG (and the much smaller Micronesian States Chief Executives Group).
Consolidating his position as leader of the MSG reinforces Baimimarama’s position at home, where in the face of Western demands that he keep to a timetable leading to open elections in 2014 he can point to demonstrable gains in terms of Fijian influence in regional politics as well as increases in Asian capital investments in that country (even if the country has experienced negligible net growth in the last decade). Bolstered by such events, the Baimimarama regime may feel confident enough to delay or cancel the elections, which will have major implications for the PIF.

The rift within the PIF  is evident in increased MSG demands that Fiji be included in any PIF trade discussions (such as PACER Plus). Whichever the approach adopted by the PIF Secretariat (inclusion of Fiji on matters of trade or its ongoing suspension), the division between the MSG and PLG is likely to widen in 2012. Boosted by the influx of foreign investment in minerals and energy exploitation, the MSG is in a position to make demands within the PIF that it previously could not. Given the failure of the sanctions regime, the inclusion of Fiji in future trade talks (the next PIF forum is in late August) could be a way of incrementally restoring it to full membership status while allowing Canberra and Wellington to save face (recent reports suggest that Australia and New Zealand are already re-considering the issue of Fijian sanctions). The ball is in the MSG court, with Fiji controlling the MSG play.

Summary PIF stability score is 5 (medium), the MSG score is 7 (good) and the PLG is 2 (low). (Stability score is ranked 1-10 on a range extending from none to full institutional capability and enforceable authority over time).
Futures Forecast: Sharpened differences between the MSG and PLG within the PIF will lead to an institutional weakening of the latter.


Club Em Designs

Monday, March 05, 2012

X-Post-Foreign Policy In Focus: Vacuuming Up the Pacific's Resources


The 11th round of the Trans-Pacific Partnership (TPP) negotiations is currently taking place in Melbourne, Australia. Although negotiators have agreed to the broad outlines of the TPP agreement, a new trade issue has created a snag in the process: the inclusion of investor-state dispute settlement provisions. Australia has refused to accept the investor-state dispute settlement, and U.S. industry associations are urging President Barack Obama to overcome these objections. These investor-state dispute settlement provisions have been included in U.S. investment treaties and trade agreements with more than 50 countries, and there are over 2,500 of these accords currently on record. These provisions, however, give advantages to large economies and can cripple small island states like Pacific Island nations.

Obama describes the TPPA as a "a trade agreement for the 21st century" that improves on and rectifies the past problems in U.S. trade and investment treaties and trade agreements with more than 50 countries, and there are over 2,500 of these accords currently on record. These provisions, however, give advantages to large economies and can cripple small island states like Pacific Island nations.

Nine countries are currently negotiating the TPPA:the United States, Australia, New Zealand, Chile, Peru, Brunei, Vietnam, Malaysia, and Singapore. Japan is in preliminary talks, and Canada and Mexico are looking to join. Although the negotiations are being held in secret, leaked documents confirm that the TPPA is a “NAFTA on steroids.” Contrary to democratic practice, the documents connected to the negotiations will remain secret for four years after being signed or dismissed.
Arnie Saiki

"For most Pacific Island countries (PICs), trade has been a series of disadvantageous agreements with larger economies that negotiate access to island resources. The PICs have remained economically tethered to larger economies despite attempts at small-island integration by sub-regional institutions like the Pacific Island Forum (PIF) or the more progressive Melanesian Spearhead Group (MSG). Just last year, a new sub-regional group called the Polynesian Leader’s Group challenged the MSG, which had made waves by advocating participation in an alternative economic system."

The United States is leading the negotiations and has a great deal of influence over the outcome of the agreement, which covers a vast range of subject matters, including tariffs on goods, trade in services, labor and the environment, telecommunications, and intellectual property. For Pacific Islands, however, the investor rights chapters may offer the greatest challenge to Pacific Island environmental resources.
The small Pacific Island economies are not formally a part of the TPPA negotiations and yet they are tethered to the larger economies of Australia, New Zealand, Chile, France, and the United States. Pacific Island countries are also not member economies of APEC (the economic regional forum that spawned the TPPA). They participate only as observers through the Pacific Island Forum, which facilitates the neo-liberal economic agenda through a basket of sub-regional agreements like the Pacific Island Countries Trade Agreement (PICTA). Still, larger economies pay considerable attention to the Pacific Island countries because of their resources, like fisheries, precious metals, and minerals, as well as their strategic value as military outposts and waterways.

Pacific Trade

Throughout Oceania, native peoples separated by thousands of miles share similar cultural and often linguistic bonds. Long before contact with the west, Pacific peoples not only were connected by the currents of their ocean homes but had established trans-pacific navigational routes, trade, and for the most part a sustainable relationship with their environmental resources.
For most Pacific Island countries (PICs), trade has been a series of disadvantageous agreements with larger economies that negotiate access to island resources.

The PICs have remained economically tethered to larger economies despite attempts at small-island integration by sub-regional institutions like the Pacific Island Forum (PIF) or the more progressive Melanesian Spearhead Group (MSG). Just last year, a new sub-regional group called the Polynesian Leader’s Group challenged the MSG, which had made waves by advocating participation in an alternative economic system. By joining with a bloc like the BRICS (Brazil, Russia, India, China, South Africa), Pacific Islands might do better than the neoliberal programs advocated by PIF.

In comparison with other emerging economies, Pacific Islands have poor performance records. Much of the blame rests on the neo-liberalism of regional institutions like the ADB and APEC. Since the late 1990s, an increase in aid-based relationships has not only stunted the development of many island peoples but also provided a dumping ground for overstock and consumer detritus. Although private investment has had some success in developing traditional farm and fishery practices, these projects are dependent on funding from the Asian Development Bank (ADB), the EU, the World Bank, and U.S. and Australian aid organizations.

In a 2006, the ADB examined small island states among the developing member economies, suggesting that isolated and vulnerable economies remain under economic stress as a result of their governments’ inability to guarantee the basic security of their people.

In 2008, as a response to its self-funded study, the ADB worked with international partners to deliver infrastructure services in the Pacific to streamline private-sector investment to industrial sectors like energy, water, waste, security, and telecommunications, as well as mining, cash crops, and fisheries. The Pacific Region Infrastructure Facility (PRIF) is one such organization.
Privatization is the latest vehicle for the exploitation of island resources. But these international investment projects, along with the bilateral investment treaties that support them, have yet to provide any long-term sustainable cultural or environmental benefit to small island economies.

 Impact of the TPPA

Embroiled in a decades-long struggle for independence from Chile, Rapa NuiTPPA that Chile signed in 2005. Since joining the TPPA, Rapa Nui has been fighting a tidal wave of development proposals for mining projects, airfields, ports, casinos, and hotels. These projects, which would irreparably change a UN World Heritage site, primarily benefit the Chilean government and the investment regime. For example, through the transnational Transoceanica Holdings, international investors funded the development of the Hotel Hanga Roa on land belonging to the Hitorangi clan. In 2010, as the Hanga Roa prepared to open, members of the clan occupied the hotel. Rapa Nui erupted in violence when Chilean President Sebastián Piñera sent navy cruisers and hundreds of armed security forces to end the unarmed protests.

In recent discussions around the TPPA, little attention has focused on how a regional “Asia-Pacific” free-trade agreement will actually impact Pacific Islands. But some recent examples of investments in the region are quite revealing. In Papua New Guinea, Canada’s Nautilus Minerals has launched a new deep seabed-mining project called Solwara 1. Large deposits of gold, silver, nickel, copper, manganese, and other rare-earth minerals are buried deep in the seabed, and the method for extracting these minerals – basically vacuuming up the seabed onto a barge – has only recently been developed.

Little is known about the deep seabed, and no conclusive environmental study has been completed. But the life that thrives in this unusual environment is sulfur-based rather than oxygen-based. When the sludge is extracted onto a barge, it is then separated from the commodity metals and minerals and then dumped back into the ocean. The impact of this sulfuric sediment absorbed by fish or reefs is unknown. However, sulfuric changes in the environment negatively affect oxygen-based plants and animals, as people living with vog (volcanic smog) know all too well.

After the International Seabed Authority changed the regulations for deep seabed mineral extraction, Nautilus acquired even more international investment to lease large tracts of deep seabed in Fiji, Tonga, the Solomon Islands, and New Zealand. These changes have prompted other Canadian, U.S., and Australian mining companies to lease seabed areas in the Exclusive Economic Zones of many other Pacific Island Countries. This mining deregulation, which has resulted from agreements like the TPPA, will likely push ocean biodiversity closer to what the International Programme on the State of the Ocean describes as “irreversible, catastrophic change.”

Consider also the case of Endeavor Mining, which recently offered the Cook Islands government a partnership proposal worth $1 billion over three-and-a-half years for mineral and mining rights to the seabed resources. Typically, since Endeavor is also an independent merchant bank focusing on the global natural resources sector, it will likely offer investors a package of financial incentive benefits that will reward investors at the expense of a state whose 2009 GDP was just short of $200 million.

If made responsible for cleanup in the event of accidents, island governments and taxpayers could be liable for any financial losses. As a result, Cook Islanders might find themselves in an ecological catastrophe and mired in debt. Additionally, to qualify for loans to pay back this debt, multilateral lending institutions may well insist on austerity measures that would lead to further deregulation. Locked into a variety of competing investor agreements, the Pacific islands will find themselves in a race to the bottom, both economically and environmentally.

If the investor-rights “chapter 11” provisions in NAFTA provide any clues about how the TPPA will privilege international investor agreements over government regulations, the Pacific Islands will be opened up to tremendous resource exploitation. Environmental regulations are all that protect the fragile biodiversity of the region. And the costs associated with the despoliation will largely fall on the shoulders of Pacific islanders themselves. The corporations will reap the profits; the Pacific Islands will have to pay the long-term bill.

Looking Beyond the TPP

The average GDP of the smaller developing Pacific islands is around $350 million, with the exception of Fiji, whose annual GDP is around $3.5 billion, and Papua New Guinea at around $9.5 billion (for perspective, New Zealand’s GDP is around $125 billion). There is a tremendous gap between the combined GDP of the islands and the value of the resources exploited from these countries.

This gap represents a strategic imperative for Pacific island economies to integrate along the lines of sustainable trade and sensible environmental regulations. The TPPA is certainly not an equitable integration scheme.

Rather, this NAFTA of the Pacific is like tossing a shark in a fish tank. The TPPA will give even less room for PICs to negotiate positive environmental regulations or manage to accrue social or economic benefits from their natural resources.

Pacific Islanders need to be part of the negotiating process to ensure they are at least able to integrate their commodity resources, since they are critically unequipped to develop their economies to scale with the larger economies. They also need to create a regional regulatory agency that can independently manage the various trade and investment agreements. Without democratic input and democratic control, the TPPA will vacuum up all the resources of the Pacific and leave a poisoned ocean in its wake.
Recommended Citation:
Arnie Saiki, "Vacuuming Up the Pacific's Resources" (Washington, DC: Foreign Policy In Focus, March 5, 2012)

Further Reading :

Pacific warned of hidden dangers in Obama's new TPP push (Radio Australia)

The Trans-Pacific Partnership-A New Paradigm Or Wolf In Sheep's Clothing?
Economists Issue Statement on
Capital Controls and the Trans-Pacific Partnership Agreement

TPP-The NAFTA of the Pacific
 How Brazil Challenged Europe and Won.

Taxonomy of Dolls and Mutants (Radio Lab)

SiFM post on seabed mining:

http://stuckinfijimud.blogspot.com/2008/04/rush-to-mine-pacific-seabed-fiji.html

SiFM post on TPP and America's Pacific Century Pivot:

http://stuckinfijimud.blogspot.com/2011/11/americas-pacific-century-pivot.html

Club Em Designs