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CAFTA Stalled

Resource Center of the Americas
June 04, 2005
Thousands of workers and citizens gathered in San José May 18 to protest Costa Rica's possible ratification of the Central American Free Trade Agreement (CAFTA). During the demonstration, the National Farming Union (UPA), the Costa Rican Electricity Workers (ICE), the National Association of Public Servants and the Private Sector (ANEP) and the Teacher's Association, among others, reiterated their intention to ensure CAFTA's failure through continual demonstrations and a general strike.

Faced with growing opposition to the agreement, President Abel Pacheco has so far refused to send CAFTA to the Legislative Assembly for debate. In late April, he established an independent commission to research the effect the agreement would have on all sectors of the Costa Rican population, and has indicated it will not likely move forward for ratification unless he is sure it will not harm the working poor. The President has also expressed concern that the country must reform its tax system before it would be able to fully implement the agreement. Additionally, legislators are worried that CAFTA would require the privatization of some government services and the healthcare system. Costa Rican ambivalence towards the ratification of CAFTA is being felt in Washington and could even influence the vote when the matter is considered by the U.S. Congress. In light of the mounting opposition, one of President Bush's primary arguments in favor of the agreement—that CAFTA is a coveted and urgently desired benefit — is further and more profoundly undermined.


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This page last updated July 13, 2005
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