Sustainable Finance: Achievements, Challenges, Outlook

The United Nations Conference on Environment and Development (UNCED, “Earth Summit”) in 1992 stimulated a global effort to translate the vision of sustainability into practice. However, two decades later, there is a big gap between the initial ambitions of 1992, what has been achieved, and what needs to be done to offer everybody a life in dignity and to preserve the planet for future generations. Richard Gerster made a stock-taking effort in the area of sustainable finance to identify the achievements so far, the challenges to be met in future, and possible avenues to enhance progress. The financial sector occupies a prominent place in the economy, and there is no leeway to bypass banking and finance when heading towards a paradigm shift. The forthcoming Rio + 20 event, the United Nations Conference on Sustainable Development (UNCSD) will take place from 14 – 16 May 2012 in Brazil and should place an emphasis on sustainability issues of the financial sector.  

Fair Trade & WTO negotiations: Between footnote and challenge

Abstract:

Widespread market failures are at the origin of the fair trade movement. “Fair Trade” denotes a qualified trade relationship oriented towards sustainable development, social equity, economic security and ecological production. Fair trade is a success story and continues to grow fast. Will it become a challenge to world trade and to WTO negotiations? Richard Gerster describes in his article for the Stakeholder forum the achievements and the challenges.

Fair Trade Fair in Hong Kong, SAR of China,
December 13 - 15, 2005

Abstract:

On the occasion of the WTO Ministerial Conference in Hong Kong 13 – 18 December 2005, a coalition of NGOs convened the Fair Trade Fair, including a market, a symposium and a number of events like a Fair Trade Fashion Show.

The Fair Trade Fair attracted a lot of attention and showed that alternatives to conventional trade do already exist. The approach was based on the experiences which were made in 2003 in Cancún, Mexico, where a similar undertaking was a great success. The Fair Trade Fair in Hong Kong had been organized by an international steering committee, which consisted of the Institute for Agriculture and Trade Policy (IATP), USA; Equiterre, Canada, Asia Fair Trade Forum (AFTF), the Philippines, Oxfam Hong Kong and Gerster Consulting, Switzerland.

Main sponsors were the Swiss State Secretariat for Economic Affairs (seco), the Canadian Government (CIDA), the World Bank, as well as other bilateral or multilateral agencies and private foundations.

You would like to know more? Please download the report here. Details are also available at www.fairtradeexpo.org.

An extensive photo gallery can be accessed here.

fair trade fair Berne (Switzerland), 31 august 2005

Abstract:

Berne, the Swiss capital, became a "Fair Trade City" on August 31, 2005. A unique coalition of Claro Fair Trade Ltd., COOP, Gebana, Max Havelaar Switzerland, Migros and the State Secretariat for Economic Affairs (seco) convened the Fair Trade Fair, which consisted of a large fair trade market in the city, an international fair trade symposium and a number of side events, such as the creation of the world's largest fruit mosaic consisting of fair trade pineapples, a fair trade city tour, fair trade menus in restaurants, etc..

More details are available in French and German at the Fair Trade Fair Homepage.

The main sponsor, seco, had asked Gerster Consulting to coordinate the event.

Photo - Gallery Fair Trade Fair Bern 05

fair trade fair in Cancún: proceedings

Abstract:

Fair Trade is a viable alternative trade route and business opportunity that warrants much greater support from governments, the private sector and international institutions. With such a perspective the Institute for Agriculture and Trade Policy (IATP, USA), Comercio Justo (Mexico), Equiterre (Canada), Oxfam International (USA), and Gerster Consulting (Switzerland) launched the Fair Trade Fair platform in Cancún 9 – 13 September 2003. Gerster Consulting was involved on behalf of the Swiss State Secretariat for Economy (seco).

Nearly 100 producer organisations, businesses and NGOs representing 20 countries participated in the Fair Trade Fair. More than 600 people attended one or more of the more than 20 panels that made up the Symposium and Policy Forum. The proceedings from the Sustainable and Fair Trade events in Cancún (9 – 13 September 2003) can be downloaded on the right in English and are available in English and Spanish at www.fairtradeexpo.org.

The participants list is included with the proceedings as well as an open letter to governments signed by nearly 60 organisations represented in Cancún describing how governments and international institutions can advance Fair Trade globally. Photos you will find here.

You can order a hard copy of the proceedings by sending an email to Kathy Hiltsley at khiltsley@iatp.org with your mailing address.

fair trade fair berne (switzerland), 1 september 2003

Abstract:

Berne, the Swiss capital, became a "Fair Trade City" on September 1, 2003. A unique coalition of Claro Fair Trade Ltd., COOP, Max Havelaar Switzerland, Migros and the State Secretariat for Economic Affairs (seco) convened the Fair Trade Fair, which consisted of a large fair trade market in the city, an international fair trade symposium and a number of side events, such as the Fair Trade Tram, a soccer (un)fair play, fair trade menus in restaurants, etc..

More details are available in French and German at the Fair Trade Fair Homepage.

The main sponsor, seco, had asked Gerster Consulting to coordinate the event.

Photo - Gallery Fair Trade Fair Bern 03

wto: fair play?

Abstract:

Key challenges for the World Trade Organisation (WTO) are to bring trade rules into line with the requirements of sustainable development, the marginalisation of the South, and a lack of democracy.

Richard Gerster compares trade rules with football rules and concludes that in several respects football rules are closer to fair play than the WTO rules. The Swiss government got tangled up with conflicting interests. This article was published by the Swiss Students' Union (VSS-UNES) as an overview on the WTO in a booklet, "GATS and the Liberalisation of Education" (available in German and French only, see www.vss-unes.ch). Will Cancún become a point of departure to take up these challenges?

sugar protection in switzerland

Abstract:

Switzerland started to grow beet for sugar production in 1898, within the framework of safeguarding its provision of basic foodstuffs. Protection has secured production ever since. The General Agreement on Tariffs and Trade / World Trade Organisation (GATT/WTO) agreements of 1995 imposed cuts to the internal support of sugar beet cultivation and a reduction of import duties.

Despite these reforms, self-sufficiency in sugar increased during the past decade from 55% to 85%. In parallel, the quantity of imports also grew, due to increased exports of manufactured products containing sugar. The present protection of the Swiss sugar market is threefold:

(1) The two sugar factories receive an annual compensation for sugar processing which includes a subsidy component;

(2) Custom duties are the key import barrier;

(3) An additional compulsory storage fee is levied on all imports. For developing countries to export sugar to Switzerland today means challenging EU export subsidies, quality, sales and market power. Switzerland includes sugar in its system of preferences for developing countries and for least developed countries. The preferential tariff is, however, very much an alibi exercise.

options to improve access for mozambican sugar on the swiss market

Abstract:

Switzerland is committed to trade liberalisation. In line with this orientation, it is recommended that the transition to preferential zero tariffs in sugar for the least developed countries (LDCs) should be speeded up.

Removal of custom duties should be finalised by 2004. Moreover, the zero tariff policy should include and equally refund, and later on abolish, the storage fee. As a complement to the proposed liberalisation (zero-tariffs) of market access for LDCs, private efforts merit support to expand and exploit market niches of organic sugar ("bio" ) and fair trade sugar ("Max Havelaar" ).

To enhance the competitiveness of Mozambican sugar exports on the Swiss market in general and in particular to facilitate supply of organic and fair trade sugar by Mozambican producers, targeted and transitional technical or financial support to Mozambique is recommended within the framework of the on-going programme of cooperation.

Switzerland, therefore, has a number of valuable options to enhance and contribute to the growth and prosperity of the Mozambican sugar sector.

people before patents. the success story of the indian pharmaceutical industry

Abstract:

The colonial patent law of 1911 secured the Indian market for British industry. A large majority of drugs were imported from abroad until, in 1970, the Patents Act brought a turnaround.

Early in the 21st century India has a highly efficient pharmaceutical industry, which is blossoming thanks to the weak patent protection of medicines. It provides essential drugs at affordable prices and creates considerable employment. Today, more than 90% of modern medicine consumed in India is produced locally. By 1 January 2005, India will have to comply with the Trade Related Intellectual Property Rights (TRIPs) of the World Trade Organisation (WTO).

The new rules of the game may threaten India's achievements. During the last 20 years India has enjoyed an average annual rate of economic growth of 6% The pharmaceutical industry is part of India's success story.

patents and development. lessons from the economic history of switzerland

 
Abstract:

This paper provides an analysis of the patent system from a North-South perspective. It shows how the current Intellectual Property Rights (IPRs) regime places enormous pressure on the South to adopt Northern-style patent laws.

The implementation of the Trade Related Intellectual Property Rights (TRIPS) – Agreement erodes national sovereignty and poses serious obstacles to development. The economic history of Switzerland is a telling example of the need for developing countries today to be able to determine their own system of IPRs according to their specific needs and aspirations.

A Swot-Analysis of the IMF's Proposal for Insolvency Procedures to Reduce Sovereign Debt

Abstract:

The International Monetary Fund (IMF) developed a concrete proposal for a sovereign debt restructuring mechanism (SDRM) for the spring meetings in April 2003. As is well known, the IMF's proposal is under heavy attack from the private banks and the United States is expected to withdraw its support.

We present here an analysis of the strengths, weaknesses, opportunities and threats (SWOT) of the IMF proposal compared to competing concepts (CACs, collective action clauses; fair and transparent arbitration process, FATP). Our comments also highlight similar Swiss proposals, discussed in the late 1980s and early 1990s.