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© United Nations Development Programme TRADE ON HUMAN TERMS Transforming Trade for Human Development in Asia and the Pacific Asia-Pacific Human Development Report 2006
© United Nations Development Programme CONTENTS Using international trade to promote human development The Asia-Pacific experience Making agricultural trade work for the poor Adjusting to a new era for textiles and clothing Selling services across frontiers Trade opportunities for the poorest countries An eight-point agenda for change
© United Nations Development Programme USING INTERNATIONAL TRADE TO PROMOTE HUMAN DEVELOPMENT Trade is not an end in itself, but a means toward the goal of better lives for all
© United Nations Development Programme USING INTERNATIONAL TRADE TO PROMOTE HUMAN DEVELOPMENT
© United Nations Development Programme THE ASIA-PACIFIC EXPERIENCE At the forefront of globalization Sharp growth in exports, but also in imports Rapid decline in poverty, but a rise in inequality
© United Nations Development Programme THE ASIA-PACIFIC EXPERIENCE Many of the open economies of Asia-Pacific, particularly in East Asia, are creating far fewer jobs and experiencing “jobless growth”
© United Nations Development Programme MAKING AGRICULTURAL TRADE WORK FOR THE POOR With trade expansion, Asia-Pacific has become an overall food importer after being an exporter for many years
© United Nations Development Programme MAKING AGRICULTURAL TRADE WORK FOR THE POOR Poor countries continue to face determined and unfair protectionism in global agricultural markets New focus is necessary on agricultural development to defend rural livelihoods and promote food security
© United Nations Development Programme ADJUSTING TO A NEW ERA FOR TEXTILES AND CLOTHING In the new quota-free era for textiles and clothing, Asia-Pacific has gained overall, but most of these gains have been pre- empted by China and India
© United Nations Development Programme ADJUSTING TO A NEW ERA FOR TEXTILES AND CLOTHING If countries are to survive in the post-quota era, they will have to become more competitive
© United Nations Development Programme SELLING SERVICES ACROSS FRONTIERS What was previously non-tradable has become tradable Short-term labour migration, business outsourcing and special-interest tourism have great potential to give people unique opportunities to escape poverty
© United Nations Development Programme SELLING SERVICES ACROSS FRONTIERS Asia-Pacific is in the forefront of trade in services, but firm and wide-ranging action must be taken to ensure that dynamic sectors fulfill their potential for promoting human development
© United Nations Development Programme TRADING OPPORTUNITIES FOR THE LEAST DEVELOPED COUNTRIES Asia-Pacific’s poorest countries have been keen globalizers. But they face tough terms for accession to the World Trade Organization and are being out-competed and overwhelmed by exports from China, while also deriving few benefits from selling their exports in the region’s largest market
© United Nations Development Programme The poorest countries require fairer treatment by the global trade regime, redirected aid for trade and a wider range of exports in order to promote better lives for all TRADING OPPORTUNITIES FOR THE LEAST DEVELOPED COUNTRIES
© United Nations Development Programme 1. Invest for competitiveness 2. Adopt strategic trade policies 3. Restore a focus on agriculture 4. Combat jobless growth 6. Maintain stable exchange rates 7. Persist with multilateralism 8. Cooperate with neighbours TRADE FOR HUMAN DEVELOPMENT: AN EIGHT-POINT AGENDA 5. Prepare a new tax regime
© United Nations Development Programme TRADE ON HUMAN TERMS Asia-Pacific has embraced free trade, but free trade will not embrace the poor unless countries pursue a bold new policy agenda – harnessing economic growth to promote human development
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