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Legal Article by - ZEBA KHAN (This Article was written by her during her Internship)
Abstract:
International trade laws and environmental protection are very complex. The relationship between both the Trade laws as well as the environmental protection with the focus to maintain balance between trade and environmental protection for sustainable development. The increase in the Trade liberalization has raised concerns about its impact on the environment degradation making it important to understand the theoretical perspectives on the Trade environment correlation.
This article gives an overview of the relationship between the international trade and environmental protection by analyzing the international agreements such as WTO and some conventions between nations to protect environment and maintain sustainable development. The article also showcases some case laws related to the international trade and environmental protection. Finally, the article concludes by addressing certain case laws related to international trade laws.
Key words: Trade liberalization, sustainable development.
Introduction:
Trade refers to an economic activity which is mainly depends on the natural resources which is a major part of the environment. Trade and environmental protection have a very complex interconnection. With the increase in trade liberalization, it can impact environmental protection because of growing trade it can lead to pollution into environment. Trade liberalization has played a vital role in promoting environment- friendly goods and technologies across the global market.
As trade and environmental protection are two different concepts which are governed by separate laws. There are various multilateral environment protection agreements for regulating the environmental laws to safeguard the environment. The international trade laws adopt multilateral agreements as well as regional and bilateral agreements under World Trade Organization (WTO).
Relationship Between International Trade and Environmental Protection:
The correlation between International trade and environment has a complex character which has diverse conditions and influence. The correlation of these two terms mainly focuses on the impact of international trade on environment as well as impact of environmental policies on trade between nations. The impact of international trade on environment is indirect for the growth and degradation of environment. The growth and degradation of environment is mainly depends on the consumption and production of economic activities as well as adverse environmental policies.
The impact of environment on international trade depends on the frequency of transactions by the trade liberalization. As trade liberalization increase it can cause major effects on the environment degradation. With the increase in the trade liberalization which is propagating effects on the environment by intensive polluting products which are using natural resources exhaustibly like mining, deforestation, fishery etc. which is encouraging growth on trade by emitting harmful substance and waste into the environment. It is also impacting on environment by use of transportation for trade which is causing carbon emission.
To achieve sustainability it is important to understand the relation between trade, environment and development which is increasing globally. The demand for natural and organic products in the developed countries gives opportunities to the developing countries to manage their economic status as well to protect their environment. On the other hand, the developing countries are concerned about developed countries exploit their natural environment which can harm their trade protections.
Agreements Related to International Trade and Environmental Protection:
There are numerous conventions and agreements under WTO and other organizations. The main objective of WTO for protecting the environment lies in sustainable development and preserving the environment which is enshrined under Marrakesh Agreement, which was established by WTO. The members of WTO are obliged to adopt rules for trade to protect the environment and avoid the misuse of these rules.
• Geneva Convention on Long range Transboundary Air Pollution- CLRTAP (1979):
This Convention was signed by 32 European countries to protect and reduce air pollution in the Northern hemisphere in 1979. The main purpose of this convention was to protect the forests and the marine life in the European region which has been affected by the acid rain and spoilt the ecosystem. This was the first international agreement which deals with air pollution on the broader region.
This convention came into force in 1983 which focuses on the principle of internation cooperation to protect and settle institutional framework to research and manage policies for air pollution. This agreement has contributed to develop the international environmental laws which has gradually helped reduce the damages and effects of air pollution on human being and transboundary air pollution.
• Minamata Convention on Mercury (2013):
This Convention is the most recent global agreement which focuses on the environment and human health which was adopted in 2013. This is a multilateral agreement which contributed in the widespread of mercury pollution. Minamata Convention is named after the Japanese city of Minamata, this city has faced severe and deadly mercury incident where an industrial wastewater which was discharged into the Minamata bay by a chemical factory. The wastewater contained dangerous substances like methylmercury which was bioaccumulated into the fish and shellfish which the people of that city consumed and many people became sick and some faced severe disability.
• UNECE Convention on Transboundary Effects of Industrial Accidents (1992):
This Convention is a United Nations Economic Commission for Europe which was adopted in 2000. The main objective of this Convention is to protect humans and environment from the industrial accidents. This agreement helps to reduce the frequent occurrence of accidents and to prevent the effects if necessary. This convention also helps its members to prevent and solve industrial accidents which has transboundary effects to prepare and respond on them if accidents occurred. This convention has adopted assistance program for supporting the members to implement into the convention. Currently this Convention has 42 member countries.
• Convention on the Protection of the Rhine (1999):
This Convention is the cornerstone for the international cooperation which protect the Rhine within the ICPR. This convention was adopted in 1999 by 5 bordering countries of Rhine namely France, Netherlands, Germany, Switzerland and Luxembourg along with European Community. The main objective of the convention is to protect the valuable ecosystem of Rhine its banks and floodplains and to improve them by sustainable development. This convention helps to fix the background of the Rhine which is useful for European navigation lane which has different uses. By improving and protecting the North Sea the reinstitution of Rhine has added international dimensions.
• OSPAR Convention for the Protection of the Marine Environment of the NorthEast Atlantic (1992):
This Convention was adopted in 1992 by 15 nations and representatives of the European Commission which were representing the European Nations. This convention is the currently regulating the international cooperation in environmental protection in the North East Atlantic. The OSPAR Commission has taken the initiative for managing this Convention which is the updated version of Oslo and Paris Convention. The Oslo Convention was focused on the dumping of waste materials into the Sea, and the Paris Convention of 1974 was mainly focused on the land based materials of marine pollution.
Case Laws:
1.) The Tuna Dolphin Case:
The dispute of tuna Dolphin between the Mexico and the US is from many decades. After many disputes between two countries the dispute was taken before the General Agreement on Tariffs and Trade (GATT) committee in 1995 along with WTO.
This case was referred as the Tuna Dolphin I, Tuna Dolphin II and US Tuna II Mexico this case was related to the hunting of the Tuna Dolphin especially the yellow fin tuna and yellow fin tuna product imports which used purse seine fishing methods which causes death of many dolphins. The US has imposed restrictions on tuna hunting which Mexico complaint against US to reduce the restrictions on the Tuna product labeling. This created disputes among two countries.
The WTO in 2019 ruled in the favor of US by stating that US Dolphin safe policy is not a violation of WTO agreements, as the Mexico was claiming that US has been violating the WTO rules for free trade.
2.) The United States Gasoline Case:
This case was related to the ‘Gasoline Rule’ which was imposed by the US under its Clean Air Act which was a baseline for selling gasoline in US markets this rule was for both domestic as well as imported gasoline.
This measures were taken to regulate the consumption and emission of gasoline to reduce air pollution. The dispute Settlement body of the WTO ruled that the restrictions on imported gasoline has less favorable restriction than the domestic gasoline which violates the GATT agreement rules because the importers has to maintain statutory baseline which has no connection with the gasoline imports, the domestic gasoline refineries has to only follow the standard link for their own product.
3.) United States shrimp Turtle Case:
This case is related to the restrictions on fishing of shrimps which was intervened by the WTO. The dispute began in 1994 after the WTO regulations. The WTO stated concerned about the fishing of shrimps which impact the green turtle species.
Many countries like India, Malaysia, Pakistan etc. opposed on this rule by challenging the restrictions of US on shrimps as the US has imposed restrictions on the import and export of shrimps to protect the turtle species. The WTO ruled in the favor of the developing countries as the restrictions of US was violating the GATT agreement rules.
4.) The French Asbestos Ban Case:
This case is related to the import and export of asbestos. The Canada government opposed and challenged the ban on all the products which contains asbestos in any form by France. This dispute was taken by the dispute Settlement body of the WTO.
France has imposed ban on the asbestos because of the health issue of the French people. Canada claimed that this ban is a violation of the provisions under GATT agreement which disrupts free trade among countries. The WTO ruled that the ban is justified because of the serious health issues of the French people.
Conclusion:
This article has explored the relationship between the international trade and environmental protection which helps in sustainable development. This reveals different issues concerning the environment. The rules and regulations of the WTO which governs and helps prevent the environment from degradation. The different types of conventions help to enhance free trade by keeping the environment in mind. In these decades there are many conventions has been signed by t different regional, bilateral as well as multilateral agreement to safeguard the marine life as well as the forests of different nations.
By providing suitable rules and regulations for free trades the economy as well as the environment can sustain gradually. The international trade being more governed by US has maintained environment which helps the degradation of the natural resources. By improving the policy of the international trade can enhance relationship between trade liberalization and environmental protection. The research on policy coherence between the trade laws and environmental sustainability can improve trade relations among nations and the disputes can be solved easily.
References:
https://www.irishaid.ie/media/irishaid/allwebsitemedia/20newsandpublica tions/publicationpdfsenglish/environment-keysheet-2-trade.pdf
https://en.m.wikipedia.org/wiki/ShrimpTurtle_Case#:~:text=In%201994%2C%20the%20WTO%20intervened,U. S.%20prevailed%20in%20those%20hearings.
https://mercuryconvention.org/en https://unece.org/environment-policy/publications/conventiontransboundary-effects-industrial-accidents
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