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Trade and Environment

A dispute between the United States and Mexico over tuna and dolphin illustrates the complexity of resolving trade conflicts and also shows how an internal regulation can affect world markets. Many tuna and tuna products exporting nations were not only bitterly affected by the dolphin safe measures imposed by the US Government but also heavily pressured by the environmental groups to guarantee consumers that traded tuna products are dolphin safe.
   

The tuna/dolphin controversy provides a useful and current case study in the conflict between global free trade and international environmental protection. There are numerous laws in the United States and other industrialized countries which rely on trade measures to achieve environmental objectives.

This is perhaps because effective international agreements can not be quickly agreed upon and that may result to irreparable harm to endangered species. To resolve the environmental protection dilemmas exemplified by the tuna/dolphin case, reconciliation of the global free trade and international environmental protection goals need to be addressed.

   

It is estimated that to fit a tuna boat with a dolphin safe fishing net, it would cost US$25 million and considering that the entire Mexican fishing industry's worth was only $450 million, abiding by the requirement would really put the Mexican fishing industry at a great disadvantage.

The United States, however, insisted that Mexico was to make the same calculations and adopt same solutions, or else lose its opportunity to offer their tuna to American consumers. The tuna industry thought that the Tuna and dolphin issue was already settled, by using a dolphin safe logo on products, but the question is, is that true ?

   
Another example of using trade measures to achieve environmental objectives is a recent proposal of the US Department of Commerce, National Marine Fisheries Services to prohibit the importation of Atlantic caught bluefin tuna harvested by vessels from Belize effective 4 August 1997, and from Panama effective January 1, 1998, because the methods of harvest used were inconsistent with the International Convention for the conservation of Atlantic tunas.
 
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