[Opinion] FTA with Chile Requires a Calm Correspondence

Recently, the government looks as if it is hastened by something. The administration of the state affairs looks rushed. It is easy to ruin the event when it is hastened. The government looks impatient in pushing forward the Free Trade Agreement (FTA) with Chile.

The negotiation group was put on the emergency alert when it was about to leave for the fifth negotiation on March 2. While the Korean government presented a proposal despite the strong opposition from the agricultural circles as well as civic organizations, the Chilean government presented a proposal, one-step backward from the fourth negotiation. The Chilean government’s proposal excluded industrial products such as household electric appliances and automobiles, in which the Korean government was interested. Insisting the principle of the `removal of the tariff without exception`, the Chilean government revealed some reservation with regard to the negotiation itself. The trade negotiation headquarters was perplexed by the Chilean government’s attitude. Therefore, the headquarters had to hurriedly dispatch the negotiation group to find out the Chilean situation.

However, it is unknowable what is going on because recently the head of the trade negotiation team stopped by Chile during the round visits of three South American countries, and the several medias entitled it as the `resumption of negotiation`. If the resumption of negotiation was the goal, should not the official negotiation team be at Chile? To have misgivings about this is the way the trade government carries out the negotiation.

The basic premise of negotiation is to weigh the balance between giving and receiving without revealing one’s own mind. To push and pull is the negotiation. If this does not work, it is okay to give up. There is no rule that negotiation should be agreed. There is no reason to hasten. Not to mention the multi-party negotiations, it is true in the two- party negotiation.

In this situation, the government tends to circulate a strange logic that blames the farmers for the slow progress of the negotiation. The logic is that although agreement with Chile should be quickly settled in order not to be isolated in the middle of globalization, the farmers are the stumbling blocks. It is natural for the farmers to oppose the agreement because they will become the victims when the agreement is made. The government just needs to take active measures for this. However, the government blames the farmers for not being able to settle the negotiation.

In fact, the reason for the slow progress is the government’s unnecessary low attitude and the Chilean situation. It was not because of the farmers’ opposition. Before the general election in December, the Chilean government was having a hard time to adjust the opinions among manufacturing industries. Moreover, the Chilean government does not have time to think over the negotiation with Korea since the negotiation with regard to the FTA with the EU and the U.S. is under its way. It is hard to understand why the government implores the quick settlement of the negotiation.

From now on, the government should not maintain the low attitude to strive hard after actual results or to hurry the negotiation as an excuse of saving its face. This is because it has proven that both countries would not have actual profits even if the negotiation was settled. Only when the government stately corresponds to the negotiation, it can continue the FTA negotiation not only with Chile but also with other countries in future. It is time to prepare for the farsighted master plan for the trade policy and to develop a long-term strategic thinking based on the master plan.

Yun Suk-Won (Professor of Economics, Joongang University)