COLOMBO: Classical liberal economists have long argued that free trade leads to peace and economic nationalism and protectionism (which usually also involves minority oppression and ethno religions fascism) leads to soured international relations and war. Russian tactics to block imports Sri Lanka’s tea over dubious allegations of ‘beetles’ is a case in point.
Soon after President Maithripala Sirisena came to office, various lobbies began to persuade him to block imports, institute bans, or intervene in the lives of people through the coercive powers of the state with various motives.Even though the asbestos was banned ostensibly out of health concerns, there was also an underlying force of protectionism and economic nationalism behind the move.
Officials of Sri Lanka Ceramics and Glass Council, an archetypical protectionist lobby which built monopolies in ceramic tiles and sanitary-ware, claimed a big success in influencing President Sirisena to ban asbestos after it was made.
Ceramics and Glass Council which had seen its members gain massive profits from protectionist duties to rob the economic freedoms of homeless people and force them to use high priced sanitary ware and tiles, wanted to force people to use roofing tiles, an industry that was in decline. In 2015 for example, the then head of the Ceramics and Glass Council Mahendra Jayasekera “expressed his satisfaction over the government’s move to ban the use of asbestos roofing sheets in the country by 2018,” Daily News, a state-run newspaper reported. He said the ban will help revive the red clay roof tile manufacturing industry to a greater level,” the report said.
With Donald Trumps and Steve Bannons of this world, with open tribalist nationalism like in Sri Lanka (based on white people rather than Sinhalese who believe they own the country), there is now a greater focus on economic nationalism, the harm it does to consumers, to innovation and most importantly the freedom of all people. Economic nationalism is not an Asian or Sri Lankan concept followed by ancient monarchs, but a false doctrine based on tribalism and dehumanization that emerged in Eastern Europe with the popular vote and the breakdown of monarchies and empires. It has elements of classical Mercantilism but it is much more damaging to freedoms and human values.
“Foreign goods are excluded from the domestic market or admitted only after the payment of an import duty. Foreign labour is barred from competition in the domestic labour market. This economic nationalism must result in war whenever those injured believe that they are strong enough to brush away by armed violent action the measures detrimental to their own welfare.” The injured party, Russia, believed it was strong enough to take retaliatory action, not through military warfare but through economic warfare on Ceylon Tea. Russia is hardly a free trading nation, with rule of law. Putin has his own brand of nationalist-authoritarianism. Its institutions are not transparent and independent.
There are strong claims that asbestos causes cancer such as Mesothelioma and other types in people working with asbestos, those living near factories or with asbestos workers.
Factory or construction workers who may inhale dust while producing or cutting asbestos sheets without adequate protection are at risk. Using grinders to cut asbestos is particularly dangerous. No education campaign has been carried out among carpenters and roofing workers to educate them on using grinders to cut tiles.
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