(BASED ON MY TERM PAPER ON TRADE AND ENVIRONMENT AT THE DIVISION OF LAW MACQUARIE
UNIVERSITY) by
E.A.R. Ouano

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Nature of Recyclable Trade

Appreciation for the 3 Rs

3 Rs from the perspective of the developing countries

Problems in trade negotiations involving recyclables

Nature of Federal System

Comparison of Trade and Federal System

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Almost all countries today agree and have polices on the 3Rs ( Recover, Reuse and
Recycles)

All countries agree 3Rs uses less energy, materials, and generates less wastes

All countries today realized that their economies generates wastes that could not be effective recycled, reused, and recovered within their own territorial boundaries


Reasons for the need to export recyclables

Quantity generated is too small to commercially recover, reuse and recycle

Segregation calls for manual labor which with high labor cost makes the process uneconomical– to developing countries

Process calls for sophisticated technology that is difficult to operate and maintain with present level of sophistication- to developed countries


While a country may export recyclables it is hesitant to import recyclables

Fear of undisclosed nature of the recyclables

Fear of unwanted residues

Fear of unwanted pollution from wastes generated during processing

Fear of being seen as the global dumping ground for recyclables

Fear of being exploited


Countries would like to limit recycling, reuse and recovery of wastes materials to wastes generated in its own territory and export those that it could not recover, reuse and recycle

The more undeveloped and backward the country is, the stronger is the resistance to the trade of recyclables for reasons given in previous slides


Aside from economic and technological disadvantage, fear on the trade of recyclables is magnified by historical experience such as

Colonial exploitation

Unequal trade agreements

3R industries that were detrimental to health and environment

Public distrust on the governing elite- governing elite may profit from recyclables at the expense of public welfare




Federalism is the union of autonomous or semiautonomous states forming a State. The states surrender some of their political powers to the central government or the State, relying it for common good.
Confederation is a loose alliance of states with the states retaining ultimate control of their internal policies, absolute control of their territories and citizens
Federalism comes from Latin word fidere meaning to trust


In a federal system not all states are of equal level of social, and economic development

Some states exports more recyclables to other states

The relationships between the states are similar to those of the States in Regional and bilateral agreement

Conflict resolution in confederates and federal system are normally more effective


Common Commercial and Trade Features of a
Federal State
 states maintain control of local commerce, trade, and industry
 states compete with other states in attracting investments, production of goods and services

The State facilitate trade and commerce between the states

The State constitution normally prohibits states legislation that impedes trade and commerce between states


Federal system is relatively uncommon compared to unitary system

Confederations are more uncommon

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Environmental problems and concerns in multilateral and bilateral trade agreements are also found in the relations between states in a federal system

Trade in recyclables is an environmental concern in federated states as well as in confederation

COMPARISON OF BACKGROUND FEDERAL,
CONFEDERATION AND REGIONAL AGREEMENTS
Federal Confederation Regional
Agreements
Constitution Treaty Treaty Main Legal
Source
Validity Permanent Permanent to very long period
Normally with expiration, subject to extension
Changes Ratified by people
Ratified by the people
Negotiated executive and ratified by

Conflict resolution
Constituency
Judicial system Judiciary or commission
Variable depending on the treaty provisions
Citizens free movement within the territory
Free movement but control left on states
Limited to territory of the country
Socio-economic conditions
Variations are low Variations maybe high but common aspirations
Variations high, aspirations maybe different
Environmental laws and
Variations are low Variations are high but there is a
Variations are high and the

Precedents in resolving environmental issue
Very high high Very low except when environment becomes a center of controversy
Trusts in equitable resolutions of environmental issue
Issues
Very high high Very low especially if the difference in the standard of living is high
Very broad Very broad Very low-focus is


Conclusion




Environment is a new dimension in trade negotiations especially in recyclables
Environment represents a broader spectrum of distrust and equity issue especially when agreement involved societies with highly unequal economic and social level of development
Federal and confederate system face the same trade problems but the conflict resolution mechanism is more matured
Federal and confederate system resolve issues other than trade and environment- stakes are dispersed


Conclusion (continued)

There is a need for strong public consultation at the earliest stage

The trade agreements must have a conflict resolution mechanism that is seen as fair, permanent, transparent and possibly integrated with other social and economic concerns

The conflict resolution mechanism should not be seen as biased towards trade