Tuesday, October 13, 2015

MALAYSIA:::Dr Mahathir brands TPP ‘a bad agreement’

The Trans-Pacific Partnership (TPP) is a “very bad” agreement, said Tun Dr Mahathir Mohamad, who expressed worries that the deal would affect the competitiveness of Malaysian companies. The former prime minister said the trade deal would result in local companies having to compete with international outfits with decades of experience and operations. “Under TPP, you cannot discriminate, so if there is a tender process, it has to be opened to everyone.

“Malaysian companies are not as strong as foreign companies and if a foreign company suffer losses here, it can still make profit from other places whereas this is not the case for Malaysian companies.


 “So we can’t compete and our  policies to uplift our industries will be affected. “TPP is a very bad agreement,” he said in a brief question and answer session at the “Impact of economic issues on Malaysian workers” forum by the National Union of Bank Employees (NUBE)

Malaysia was one of the 11 nations which finalised the trade pact with the United States, aimed at liberalising commerce across nations accounting for 40% of the global economy. It has yet to be ratified by each country.
Despite Putrajaya’s assurances that the deal would take into consideration almost all of Malaysia’s concerns and sensitivities, such as government procurement, state-owned enterprises and Bumiputera issues, anti-TPP lobbyists said the agreement has removed the country’s control over policymaking and put the government at risk of being sued if it favoured public interests over foreign investors.
Dr Mahathir said the TPP agreement was “very bad”, so much so that even experts, including Nobel economics laureate Joseph Stiglitz, have warned about the pervasive effect of the trade deal on Malaysia’s many industries.
The longest-serving prime minister said some countries, such as Indonesia, opted not to be part of the pact after realising its repercussions on their nations.
He said it could result in corporations suing governments.
“Let’s say a few countries are into mining and it pollutes the environment and we stop it, they (the companies) can sue governments for loss of future profits,” he said, giving an example of the effect of the agreement. – October 10, 2015

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