New Report: Greens, Unions & Industry Appear to be Colluding to Introduce Green Protectionism

By Institute Of Public Affairs, PRNE
Tuesday, August 3, 2010

Impact will be increase in consumer prices, harm to developing world producers

MELBOURNE, Australia, August 5, 2010 - "Efforts by vested-interest unions, industry and green groups to
introduce trade restrictions on toilet tissue will drive up the cost of
living for ordinary Australians," said Tim Wilson, Director of the
Intellectual Property and Free trade Unit at the Institute of Public Affairs
today.

    (Logo: www.newscom.com/cgi-bin/prnh/20100804/DC46284LOGO)
    (Logo: photos.prnewswire.com/prnh/20100804/DC46284LOGO)

Mr. Wilson's comments follow the release of a new paper, Green Excuses:
Collusion to Promote Protectionism?
(sustainabledev.org/wp-content/uploads/2010/08/100805-REPORT-Green-
excuses-Collusion-to-promote-protectionism.pdf), that assesses the
increasingly consistent messages and activities of industry, unions and green
groups to use environmental justifications for Australia to reintroduce
protectionism.

"Overseas green groups, industry and union collude to argue for green
protectionism that will increase the cost of living. It now appears to be
occurring in Australia," Mr. Wilson said.

"Green groups want less forestry in the developing world. Industry wants
green protectionism to cut the volume of competitive imports. Unions want
green protectionism to stop imports to ensure they can keep workers in
high-paying jobs. But it will all come at a cost to the consumer."

    Examples include:

    - The Wake Up Woolworths! campaign, primarily funded by the CFMEU to get
      Woolworths to stop using Asia Pulp & Paper imports in its Select
      private brand tissue products.
    - Legal action taken by tissue manufacturers to have trade restrictions
      against imports introduced.
    - The CFMEU donating $28,000 to the South Australian Division of the
      Australian Labor Party around the same time the Party announced it
      would commit to banning certain timber imports.

"The impact of protectionism is always the same - vested industry
interests make bigger profits off consumers because of less competitive
pressure."

"Over the past thirty years Australia has been winding back its
protectionist walls. Unions, industry and green groups are now trying to use
environmental arguments to erect them again."

"Efforts to push for protectionism are a reminder that industry is not
always a friend of free enterprise," Mr. Wilson said.

Green Excuses: Collusion for Promote Protectionism?
(sustainabledev.org/wp-content/uploads/2010/08/100805-REPORT-Green-
excuses-Collusion-to-promote-protectionism.pdf) can be found at
www.sustainabledev.org & www.ipa.org.au

Videos discussing the conclusions of the report can be found at
www.sustainabledev.org

Tim Wilson, Director, IP and Free Trade Unit, +61(0)417-356-165, media at sustainabledev.org

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