Read this article in:
8 October, 2007
Strong, last-minute arm-twisting by the US government apparently proved effective, as Costa Ricans went to the polls yesterday, 7 October, in a referendum on ratification of the Central American Free Trade Agreement (CAFTA) with the US. With over 90% of polling complete early on Monday, the “yes” vote has gained just over 50%, while those voting against tallied 47.6%.
Some 60% of Costa Rica’s 2.6 million voters turned out for Sunday’s balloting. A 40% turnout was needed to make the plebiscite legally binding. Costa Rica was the only one of six Latin countries to put ratification of CAFTA before voters. Earlier, the governments of the Dominican Republic, El Salvador, Guatemala, Honduras, and Nicaragua ratified CAFTA, which will open trading markets between the countries and the US.
On Saturday, the Bush administration issued a terse warning to Costa Rica’s citizens, stating that if ratification did not occur, it would not extend existing preferential tariffs on certain goods traded between the two countries. The US government also said under no circumstances would it re-negotiate the trade agreement with Costa Rica.
In polls taken as late as the middle of last week, proponents of a “no” vote, led by unions and others under the banner “Patriotic Movement Against FTA and US,” were leading in polls, with upwards of 55% of Costa Ricans saying they would reject the plan. The opponents, including national labour centres Central del Movimiento de Trabajadores Costarricenses (CMTC) and the Confederación de Trabajadores Rerum Navarum (CTRN), have been deeply suspicious of the US-prescribed trade and privatisation agreement.
Specifically, they expressed concern over a flood of cheap US food products entering the country. Opponents also cited privatisation of Costa Rica’s state-run telecommunications company, the country’s insurance services, and its agriculture industry.
In the waning days of the campaign, however, besides the campaign interference by the US government, President Oscar Arias – a proponent – termed a “no” vote as “collective suicide.” Two month’s before Sunday’s vote, a high-level memorandum from top aides of Arias was leaked that outlined a dirty tricks campaign against the “no” faction. The memo caused the temporary resignation of Second Vice President and Planning Minister Kevin Casas.