Human rights, ecology, in the spotlight as Canada-Ecuador trade talks move forward

Behind all the bad-news headlines from Ecuador these days (political murdersgang violence, a government crackdown, a police raid on the Mexican embassy), Indigenous people and environmental groups continue to organize in opposition to resource extraction industries.

On April 21, they claimed victory when voters rejected two government proposals that would have fortified investments by transnational corporations and provided “flexibility” in their ways of contracting workers. Those victories, however, are overshadowed by approval of a range of security measures that, in turn, provoke greater concern about human rights under President Daniel Noboa.

Headlines in English about the April 21 referendum focused on President Noboa’s security agenda. La Jornada (Mexico) and TeleSUR (Venezuela) examined Noboa’s failure to advance his market-oriented economic agenda.

The proposals to expand public security that were approved include: involvement of the armed forces in fighting crime, increased penalties for serious crimes, the possibility of extradition of citizens to face charges in other countries, seizure of illicitly-obtained good, and restrictions on private ownership of weapons.

In contrast, the package of measures sought by corporations were rejected: international arbitration of investment and trade disputes, and a measure that would establish time-limited contracts and hourly-work—the “flexibility” to replace permanent, full-time jobs. 

Meanwhile, in the face of human rights and security concerns, Canada is pressing ahead with plans for a free trade agreement with the South American nation.

Canada’s objectives for negotiating this FTA look nice: “a modern, ambitious and inclusive trade agreement, reflecting the latest approaches, including in areas such as digital trade, trade and gender, environment and labour.” Mention is made of women, Indigenous peoples and labour rights.

But it is the experience of Indigenous people in Ecuador with Canadian mining companies and with the Chevron Texaco oil giant that drives opposition to free trade and one of its hallmarks: protection of foreign investors.

Canadians have seen the harmful effects of investor-state dispute settlement (ISDS) processes, both with corporate lawsuits against Canada and others involving Canadian companies overseas. (One of the latter with which I became very involved was that launched by mining companies against the government of El Salvador after it rejected an application to re-open a gold mine in Cabañas department. Salvadoran water defenders and their international allies won that fight, but such victories are rare—and our victory has provoked a cruel response by the present government.)

Stuart Trew of the Canadian Centre for Policy Alternatives (CCPA) points to a “litany of expensive and controversial ISDS awards against Ecuador involving natural resources” that led the former government of Rafael Correa to withdraw his country from ISDS processes. Constitutional reforms in 2008 include a ban on such arbitrations, and it was this article of the constitution that the Noboa government sought to amend in the referendum. 

Throughout the lead-up to the vote, the Union of People Affected by Texaco/Chevron Operations (UDAPT), the Indigenous and peasant movement led by the Confederation of Indigenous Nationalities of Ecuador (CONAIE), and others like Acción Ecológica campaigned to ensure the “no” vote.

On its website, Acción Ecológica maintains ongoing actions on mining, petroleum, protection of nature defenders, and free trade.

Christian Pino, a lawyer who specializes in investment law, welcomed the result, saying that approval of international arbitration of investment disputes would have benefited the transnationals and those Ecuadorans who hold their investments in offshore “fiscal paradises.”

I like to say that I have been fighting free trade since 1848, when Karl Marx and Friedrich Engels described it in The Communist Manifesto as “that single, unconscionable freedom” that drowns all others. But no: more like 1988, when Canadians gave Brian Mulroney a mandate to sign the first FTA with the United States, abandoning more than a century of caution in Canada-U.S. trade relations, transforming modes of production, and provoking the loss of more than 300,000 jobs

So this is not our first free trade fight or struggle to defend human and ecological rights in the face of resource extraction companies. As these FTA negotiations proceed, bear two things in mind: 

  • In the Harper years, when Canada was negotiating free trade with Colombia, we called for a “human rights impact assessment” (HRIA) but ended up with a fake mechanism that has failed to protect rights. 
  • We also pressed for a ombudsperson who could press for accountability by Canadian companies operating overseas so as to protect individuals and organizations who complain about abuses. But we ended up with a toothless office, the Canadian Ombudsperson for Responsible Enterprise (CORE), that has no investigatory power.

CCPA, together with MiningWatch Canada and Amnesty International, have amplified the concerns of Ecuadoran organizations and shared them with Canadian parliamentarians.

While any Canada-Ecuador FTA cannot now include ISDS, the deal could still exacerbate the human rights situation in Ecuador.

“Amnesty International Canada’s Human Rights Agenda for Canada calls for guarantees that no free trade agreement will advance without meaningful consultation with affected Indigenous Peoples and their organizations and their free, prior and informed consent. The organization is also calling for credible, independent human rights and environment impact assessment of any proposed trade agreement,” states an April 30 news release from the three Canadian organizations.

We can do better this time.

No Ecuador trade deal without human rights, consultation and consent

If you too wish to express your concern about Canada’s free trade plans for Ecuador, Amnesty International has set up a page from which you can send a message to Trade Minister Mary Ng telling Canada to put human rights and the environment first.