IPRIS Lusophone Countries Bulletin 9

9 IPRIS Lusophone Countries Bulletin JULY 2010 nonetheless, as the cPLP remains stead of their current painfully slow, CPLP and focused on a language-only associa- bureaucratic, top-only approach pro- tion, the benefits of this organization ducing meager results, governments the politics of will soon start to wane, as some of its would have fewer responsibilities in members continue to grow – espe- the process of integration while the language cially angola and Brazil. benefits for each civil society would Brazil has long been focused on itself, be enormous. organizing quarterly on enhancing its position in the world, meetings of ministers, municipalities, Vasco Martins and consequently is not worried about nGos, national companies and small researcher, iPris cooperation with other Lusophone business should be the key priority for countries. angola is also becoming less the coming years, now with angola interested in doing so, especially when leading in the cPLP. the Viii summit of the Heads of state countries outside the cPLP continue to although small in size and impact, and Government of the community nurture its economic development with there have already been such initia- of Portuguese speaking countries immense quantities of foreign invest- tives in the past. Most recently, the (cPLP) hosted this July in angola, ment. as for Portugal, had it invested Portuguese Hospital of the Univer- failed yet again to reach tangible, as much in the cPLP as it did in the EU sity of coimbra has made deals to concrete results. the cPLP is an in- and NATO, its presence in world affairs help assist the angolan Hospital of ternational organization of countries would be much more active and impor- Lubango in fighting rare diseases, an who share a common language, Por- tant than what it is today. effort largely implemented by First- tuguese. sharing a language under- nevertheless, Portugal has one of Lady Maria cavaco silva. Hence the pins a common tie, an intense his- the very last chances to deepen co- political stratum shows it is already torical background, a sense of natural operation with its cPLP partners. aware of the possibilities of city-to- courtesy and interest. However, lan- Despite having lost substantial influ- city partnership and assistance. guage is indubitably not enough if the ence, mainly due to its association Yet promoting civil society exchanges cPLP, and especially Portugal, desire with the EU, Portugal is still by far the requires certain policies which are to keep this relationship special and most developed country in the entire crucial for successful interaction. sustain the advantages it entails. Lusophone organization. its systems specific conditions for business must an international organization whose of health, education, communication, be met, ideally based on EU stan- members attempt to cooperate in sports, media, technology, education dards, such as denouncing corruption different spheres but is solely under- and culture must be allowed to par- and reviewing tariffs on trade of goods pinned by a common language will ticipate directly if the cPLP is to thrive and services. Moreover, visa facilita- not thrive in the future. other similar in the coming future. tion is the one instrument all mem- institutions like the commonwealth Portugal must propose the creation bers must agree on, as it not only fa- of nations, although created around of a committee to coordinate and cilitates business but also promotes a common language, have broadened promote cooperation and exchange cultural awareness. another point of their area of responsibility by includ- at the grassroots level between the interest would be to have privileged ing free trade and environmental is- civil societies of each cPLP member. student exchange programs, target- sues into their framework of action. By allowing a bottom-up approach in- ing all areas of higher education. IPRIS Lusophone Countries Bulletin | 2 Hence, the only option available to keep Even during the global financial crisis, ects, turning defunct what was for a the cPLP breathing is to promote ex- Brazil’s economy was irrepressible. time the world’s third-largest trade change and collaboration between among the BRIC, only Brazil’s stock bloc. now Brazil lacks for member- different societies. this would give an exchange experienced a milder de- ship in significant trade agreements. entirely new meaning to the word Luso- cline than the s&P 500. not only was a study by the inter-american Devel- phone and to the balance between lan- Brazil the first Latina merican country opment Bank notes that Brazil is “far guage and foreign policy. shifting from to exit recession last year, but accord- less equipped” than countries such this language-centric stance towards ing to a report recently published by as Mexico and canada to capitalize economic, business, political and social the World Bank, its growth in 2010 is on the “global value chains” that free collaboration and participation, with expected to be a “particularly robust” trade agreements deliver, and which civil society at the center, is the em- 6.4%, well ahead of the central Bank’s the bank identifies as a key determi- powerment Portuguese language and forecast of 5% just a few months ago. nant of stable growth for countries in the cPLP need to create a comfortable, What then, could be wrong? Brazil’s the years ahead. win-win situation to all of its members. growth appears assured for the next chiding rich nations, especially the Failing to do so will result in the drift- few years, largely thanks to ongoing United states, to “stop the hypocrisy” ing away and loss of interest of its most chinese demand for Brazilian com- regarding free trade won President promising members. modities. But Lula da silva, for all his Lula da silva tremendous support Portugal has much to lose if it does not policy successes, has failed to craft over the years, both within Brazil and play its cards right. Whatever prefer- an effective trade policy for Brazil. throughout the developing world. ence cPLP members might have for coming in to office in 2003, Lula da When it comes to agricultural prod- working together is waning due to lack silva inherited an economy poised for ucts in particular, Washington has a of attention and interest, big foreign in- growth, in part because of the dramat- habit of not practicing what it preach- vestment and a larger capacity for eco- ic reduction in tariffs enacted during es by insisting on subsidies to cotton nomic intervention by other countries. the 1990s. He soon oversaw a foreign farmers that prevent Brazilian cotton the creation of a legally binding com- policy of “autonomy through diver- from being competitive in the United mittee of interaction between peoples sification”. Unlike other nations that states, high tariffs on Brazilian etha- is the only option to lift the cPLP from sought to develop by tethering them- nol, orange juice, and other goods. the quagmire it is sinking into. Portu- selves – economically and politically – But america is not the only one going gal, as a historical leader and western to the United states or EU, Brazil would out of its way to protect domestic in- country, must propose a substantial avoid excessive reliance on one or two dustry – Brazil is also guilty. resurrection by firstly understanding foreign partners. Brazil curried ties on average Brazil’s tariffs stagnated that language alone is not enough to with a medley of african, asian, and over the last decade, whereas most bind peoples in years to come. Middle Eastern nations. the strategy nations reduced theirs. as a result, has worked wonders for Brazil’s “soft Brazil’s average tariff rates are among power,” helping it become a powerful the highest of any nation in the West- voice in the dialogue between devel- ern Hemisphere. Brazil’s tariff rates oped and developing nations. have not just marked time, but in some Brazil: The need But it has been less of a winner in cases they have gone up. For example, securing Brazil’s economic future. tariffs on shoes and clothes were al- for trade reform in ferreting out new partners, Brazil lowed to creep up during Lula da sil- passed up an opportunity to deepen va’s first term, reaching 35% in 2007. trade bonds with its neighbors, and the real problem with this is not that sEan GoFortH other major trade partners. “auton- Brazil’s neighbors have lower tariffs, it Professor, coastal carolina University omy through diversification” came to is that high tariffs nurture low worker be equated with shunning bilateral productivity, which spells a loss of Bra- President Luiz inácio ‘Lula’ da silva trade deals with the United states zilian competitiveness to East asian has presided over an era of impres- and EU. and in an indication of what manufacturers in the long-term. sive advances in Brazil. as a general The Economist recently dubbed Lula though it can be hard for politicians to illustration: GDP growth averaged da silva’s “soft spot for leftist strong- tinker with an economy that is not evi- over 4% from 2005 to 2008, compared men”, President Lula da silva backed dently broke, Lula da silva’s successor to just under 2% from 2001 to 2004; Venezuela’s full membership into will need to address trade reform. Poli- meanwhile, more than twenty mil- Mercosur in 2005. absent a strong cymakers should impress that Brazil’s lion people emerged from poverty commitment by Brazil, Hugo chávez recent fortunes owe to a generally per- between 2003 and 2008. More specific quickly tried to recast Mercosur as missive global economy. things may examples abound. one of his anti-american pet proj- not always be so easy. tackling trade IPRIS Lusophone Countries Bulletin | 3 reform will help to lock in and optimize homed rafique, director general of ment agenda”.

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