Reed Urges No Forced Privatisation for Developing Countries

Loughborough MP Andy Reed this week urged DTI Ministers to ensure that developing countries are not forced to privatise key services against their will.

Reed asked his question during DTI questions in the Commons yesterday concerning the impact of the outcome of the non-agricultural market access (NAMA) negotiations at the World Trade Organisation on developing countries.

Reed said:

“My Honourable Friend is right to recognise that although there has been a great deal of focus on agricultural products, NAMA and services are important. Will he give us an assurance that in those discussions, the British Government will not force countries to privatise services that they do not want to privatise—that we will give a guarantee that they can decide about water and other public services in their country, and do what is in the best interests of their people?

In response, DTI Minister Ian Pearson said:

“My Honourable Friend makes an important point, which has been raised by many non-governmental organisations. I can assure him that the UK's position is clear and has been stated by my right hon. Friend the Secretary of State on a number of occasions. There is nothing in the negotiations to force countries to privatise anything. What we want to see from the NAMA negotiations is a liberalisation of world trade, which would benefit developing and developed countries. That will be a priority in the negotiations.”

Afterwards Reed said:

“I am glad that Ministers will not be forcing developing countries to privatise key services and industries. It should be up for every country to freely decide for themselves personally what system will be st work in their own country.

“Personally I would not be in favour of privatising services and industries – but it would be wrong for external governments to enforce their own will on some of the poorest countries over privatisation.”