Economic co-operation, globalisation, chemicals and OPCW OPCW Conference The Hague, 2 May 2016 Rob Visser

United Nations Some economic/financial topics are dealt with at a global or regional scale within the UN system e.g. :  Economic and Social Council – co-ordination  Regional Economic (and Social) Commissions – promote co-operation  World Bank Group, Regional Development Banks, IMF – financing, monetary co-operation Some specialized agencies, programmes address economy related topics e.g. : ILO, FAO, UNIDO, UNDP, UNEP

WTO Follow up on negotiations on General Agreement on Tariffs and Trade GATT, since 1948 Final negotiations Uruguay Round 1986 – 1994 World Trade Organisztion established in 1995 – now 162 members Doha Round ?

Main WTO Agreements Goods and investment – Tariff Related Investment Measures – TRIMS Services – General Agreement on Trade in Services - GATS Intellectual Property – Trade-Related aspects of Intellectual Property rights – TRIPS Dispute settlement

Principles of free trade Non-discrimination Reciprocity Binding and enforceable commitments Transparency Safety valves/exceptions – e.g. in relation to health, environment

Regional economic co-operation Many regional economic co-operation agreements or organisations in all continents e.g. : EU, ASEAN, Andean Community, West/East/Southern Africa and trade focussed agreements e.g. NAFTA, APEC and Mercosur Benefits of integrating similar (small) economies: Larger markets – trade, production scale,efficiency More competition and investments More efficient use of resources – specialisation, technology exchange Increased international bargaining power

Organisation for Economic Co- operation and Development (OECD) Established in 1961, follow up to Marshall Plan Then 24 industrialized countries Europe, North America, Asia, Pacific Now 34 countries, also from South America Close co-operation with Brazil, China, India, Indonesia, South Africa Brings 39 countries around the table covering 80% of world trade and investment

Some OECD aims and activities Aims : Achieve sustainable economic growth and employment, financial stability Expansion of trade, reduce tariffs Activities : Binding Decisions on common policies Studies (e.g. country reviews, economic outlooks) and projects on policy issues of current interest Inform, discuss, consult, advise, recommend, co- ordinate, co-operate

Some global challenges Demography – age, migration Agriculture – food security and safety Water stress Energy security Use of natural resources Technology development and transfer Environment– climate change, biodiversity Terrorism

Wider economic development Global co-operation needed to deal with such global challenges When developing further, regions are less self–sufficient in terms of addressing supply of food, fuels, raw materials Advances in transport, telecommunication, (information) technology, financial systems International marketing – global village Larger role of multinational companies

Globalizing economy Increased interconnections – an interdependent global economy Positive impacts : even larger markets, increased trade, more competition, further specialisation/division of labor Negative impacts : social inequality, job insecurity, loss of (cultural) uniqueness, possible environmental race to the bottom Needed : improved international policy coherence, co-ordination, co-operation, governance

Chemicals in the economy Chemical industry : 7% of global income, 9% of global trade, 10 million jobs Global chemical output valued at $171 billion in 1970; grown to $4,12 trillion in 2010 In Europe almost chemical substances have been registered Chemical Outlooks have been prepared by OECD and UNEP

Chemicals, GDP and population (OECD data)

Projection of growth in chemicals production to 2050 per region (OECD data)

Projected trends in chemical use Synthesized chemicals are increasingly replacing natural materials in products Type of chemicals produced will diversify further Many more different chemicals in consumer products/articles Penetration of chemical intensive products into many more national economies

Potential trends related to chemical safety Increasing chemical accidents, environmental emissions, hazardous consumer exposure, chemical waste : more risks for human health and environment ? More reglementation to be developed in more countries–(SAICM) More monitoring, surveillance and inspection? Co-operation among countries on chemical safety management saves money – in OECD : € 153 million per year

Globalisation and Chemicals Globlisation of production and use of chemicals Chemicals production will grow faster than population and GDP Chemicals production outside the OECD countries will grow faster than within OECD countries In more countries advanced production technologies will be used In more countries oversight of production will be put in place

Possible implications/opportunities for OPCW Capabilities to produce chemical weapons will increase around the globe Possibilities for use of chemical weapons in terrorist activities can increase With more safety reglementation in more countries, there are further opportunities to co- operate with nationalauthorities/inspectorates which will have more detailed information on chemicals and production facilities in the country

Thank you very much for your attention.