Alvaro Ramazzini
“Perspectives on CAFTA and Immigration”

May 2, 2005


Bishop Alvaro Ramazzini speaking at the Faculty Club on May 2.

-Transcript of Bishop Ramazzini's Senate testimony on CAFTA


Who Benefits From Free Trade?
By Paul Gordon

As the U.S. Congress begins debating the Dominican Republic–Central American Free Trade Agreement (DR-CAFTA), the stakes are high for all parties. For the six signatories in Central America and the Caribbean the agreement could either be a key to development, as proponents argue, or a vehicle that locks in the worst aspects of the status quo, as critics charge. For the U.S. all sides agree that DR-CAFTA could prove a powerful precedent for the Free Trade Agreement of the Americas and future U.S. trade policy.

Two prominent Guatemalan leaders, Bishop Alvaro Ramazzini and Vice President Eduardo Stein, came to CLAS to present their contrasting viewpoints on the effects that DR-CAFTA would have on Guatemala and the rest of Central America.

Bishop Ramazzini’s visit to UC Berkeley came on the heels of his April 13th testimony before the International Relations Subcommittee on the Western Hemisphere in the U.S. House of Representative. Bishop Ramazzini, who heads the Episcopal Secretariat of Central America (SEDAC), expressed concern about the consequences of DR-CAFTA for Guatemala’s large population of rural poor. He came to Berkeley to outline his opposition to the trade agreement, as well as to discuss the importance of a more humane immigration policy in this time of increased globalization.

A central theme of Bishop Ramazzini’s remarks was: free trade for whom? He pointed out that the Guatemalan government already has a “free trade” policy, but this policy has not benefited the country’s poor, indigenous and rural populations. “How can we have free trade,” he asked, “if there are beer and cement monopolies, among others, in the country?” Ramazzini insisted that what free trade means in practice is the violation of workers’ rights, pointing to the fact that 95 percent of agricultural workers in Guatemala earn salaries of $1-3 per day under poor working conditions.

Furthermore, he argued that it is impossible to compete on an equal footing with the U.S. as long as a large part of the Guatemalan population remains illiterate and without access to formal education. “We don’t need CAFTA,” the bishop stated, “What we need is a local rural development plan.”

Bishop Ramazzini also condemned the fact immigration is not mentioned in DR-CAFTA even though it is closely linked to economic conditions. The brutal conditions endured by migrants are brought regularly to his attention; families come to his office in San Marcos to ask for help locating loved ones lost in the United States, many of whom are never found. Others return months later recounting stories of inhumane treatment. President Bush’s support for family values also came under fire when Ramazzini questioned why he doesn’t allow for the reunification of immigrant families, leaving many families divided for years. Finally, he decried what he called the hunting of human beings in Arizona and other vigilante efforts to control immigration.

A few days after Bishop Ramazzini’s talk, the vice president of Guatemala, Eduardo Stein, came to Berkeley to explain the government’s rationale in ratifying DR-CAFTA, while responding to the critiques offered by the bishop and others. On some points, Stein was in agreement with Bishop Ramazzini, particularly on the need for a broad plan of economic reforms to address the pressing issue of poverty in Guatemala. The vice president pointed to a number of troubling trends in Guatemalan society, including deficiencies in the democratic process, social exclusion, corruption, organized crime and racism towards the indigenous population. In response, Stein argued that any new political and economic reforms should have at their core the goals of greater equality and social cohesion.

In particular, Vice President Stein advocated a set of policies that he claimed would, if implemented, help to open up opportunities for the poor under DR-CAFTA. Training and education for the demands of the 21st century would help to redistribute income more equitably and close the gap between the rich and the poor. Additionally, he proposed government assistance in generating markets for the sale of indigenous goods .

Throughout his speech Stein made reference to the importance of remittances — $2.5 billion last year — in boosting the Guatemalan economy. With roughly 10 percent of the population living in the United States, the issue has assumed great importance. Stein suggested that these remittances could be “the new social security.” As a form of income that goes directly to families in need, remittances could assist in the progressive redistribution of income to the poor. Thus, he maintained that an important focus of government policy should be strengthening connections with Guatemalans living abroad.

In addition to advocating social and economic reforms for the poor, Stein resolutely defended the macro-level benefits of DR-CAFTA for Guatemala. The vice president argued that the agreement would standardize the rules and regulations for trade between Central America and the United States, replacing the arbitrary annual negotiations that currently take place. It could also assist in the integration of the Central American nations, helping them to form a unified block for future negotiations, perhaps with the European Union. Finally, Stein argued that the world is so interdependent now that Guatemala must do something to get a foot in the door. The damage of abstaining from such an important trade policy would be too great.

Neither Stein nor Ramazzini referred specifically to the violence that rocked Guatemala during the congressional debates over DR-CAFTA. In March, thousands of protestors took to the streets to oppose the government’s attempts to ratify the trade agreement and were met by scores of police officers and soldiers with tear gas, rubber bullets and water hoses. On March 15, the day that Guatemalan President Oscar Berger signed DR-CAFTA, two protesters were shot and killed by government forces in the province of Huehuetenango.

Nonetheless, both had opinions on the reasons for the protests. While Stein chastised the protestors for waiting until the very end of negotiations to raise their concerns, Ramazzini insisted that the popular sectors have always criticized the trade agreement. According to Bishop Ramazzini, the negotiations involved only representatives from the government and business community, excluding the popular sector of campesinos and unions. In response, Stein maintained that the negotiations were private but not secret since they were publicized in many news sources.

The two also offered starkly different arguments on the contentious question of opening up food markets for direct competition between Central America and the United States. Sugar will be the only commodity in which Guatemala holds the advantage, warned the bishop. Heavily subsidized rice, corn, potatoes and meat from the United States will put local producers in Guatemala out of work, especially since few of their products meet the strict health codes necessary for resale in the U.S. Stein countered that white corn, the primary staple for indigenous cooking and rituals, is excluded from open markets under DR-CAFTA. Only yellow corn — used to feed cattle — will be allowed to compete with Guatemalan produce.

In either case, it is clear that DR-CAFTA, if approved by the U.S. Congress, will present formidable challenges to Guatemala and the rest of Central America.

Alvaro Ramazzini, Bishop of San Marcos, Guatemala, spoke at UC Berkeley on May 2. Vice President of Guatemala, Eduardo Stein, gave his presentation on May 4.

Paul Gordon is an undergraduate student in the Women’s Studies and Ethnic Studies Departments.


Original event text

Alvaro Ramazzini
“Perspectives on CAFTA and Immigration”

Bishop Alvaro Ramazzini, an internationally recognized human rights activist, is the
bishop of the Dioceses of San Marcos, Guatemala and president of the Episcopal Secretariat of Central America (SEDAC). In his work with campesinos, immigrants and the landless, Bishop Ramazzini has consistently promoted rural development. Along with other bishops, he also played a pivotal role in the 1996 Peace Accords and is active in the promotion of the Recovery of Historical Memory Project (REMHI) in San Marcos. The REMHI report found state agents responsible for nearly 90 percent of human rights abuses during Guatemala’s 36 year armed conflict.

 

Bishop Ramazzini argued that in failing to take into account the needs of Guatemala's predominantly rural and agricultural workforce, CAFTA would promote even greater economic inequality.


CLAS Events
by semester

   
 
© 2007, The Regents of the University of California, Last Updated - May 18, 2005