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telelogo4.jpg (7056 bytes)   Kathmandu,Wednesday, 30 January 2002

I N T E R N A T I O N A L


our effort should be directed toward an inclusive globalization

-Prime Minister Khaleda Zia, Bangladesh

SAARC has a special place in my heart. Its guiding motivation is rooted in the wisdom of its founder and chief architect, late President Ziaur Rahman. This was to improve the quality of life of common people of South Asia in an environment of peace. SAARC's strength lies in striving to achieve what is attainable, to advance cooperation wherever possible and to concentrate on what unites rather than what divides us. This vision remains as relevant today, as it was when President Zia envisaged this forum.

In looking towards SAARC's future directions, we must candidly evaluate its limitations and strengths. SAARC has become a bystander, and not a catalytic agent of change. Five constraints are flagged in passing:

# SAARC is yet to formulate, let alone implement, a single regional project.

# National self-assertion still impedes regional cooperation.

# SAARC has made no dent in alleviating poverty.

# International developments impinge little on SAARC's progress. SAARC does not work closely with similar organizations.

# Decision making in SAARC is slow.

The above list of shortcomings is meant for remedial action and not is a measure of despair. Indeed, our achievements can't either be discounted

# SAARC has attained a structured institutional shape. We have to some extent closed the critical information and communication gaps separating us. People to people contact has grown and produced a real sense of South Asian identity.

# More substantively, our cooperation through Integrated Program of Action, IPA, has created a web of interaction in new and imaginative ways.

# Instruments such as Independent Commissions, Task Forces and Groups of Eminent Persons have proved useful, cost efficient ways to concentrate on key issues of importance to SAARC. Pioneering studies have been carried out on poverty alleviation, disaster management, environment, trade, manufactures and services.

# SAARC leaders have devised mechanisms such as annual meetings of Finance, Planning and commerce Ministers in order to engage in dialogues on macro-economic policies and to share experiences and ideas.

# SAARC has moved considerably forward in signing various Conventions, Treaties and Arrangements including those on drugs, terrorism and preferential trading. Several proposals are underway for new instruments or additions in all these areas.

# Meanwhile, SAARC has taken several initiatives, for example, consolidating the common position of member-states in various international for a; strengthening linkages among professional groups; liberalizing the intra-regional movement of people establishing long-range focus on children through such measure as the Decade for the Girl Child, the 1990s, and the Decade for the Rights of the Child, the first decade of the new century.

The bottom line in summing up SAARC's achievement consists of three factors: To consolidate our past gains; # To move firmly towards the implementation of SAARC initiatives keeping in mind the need for a regional focus and orientation. # To find the resolve to take new decisions.

The shortcomings and successes outlined above allow us to focus on certain fundamental priorities.

Our main goal is to reduce poverty. SAARCs pledge to eradicate poverty by the year 2002 is unlikely. However, the agenda remains valid. Underpinning it are certain key perceptions-that poverty reduction is the center-piece of development; that the poor are efficient and that though economic growth is essential to reduce poverty, the patterns of growth is as important as its rate.

Strategies molded by these perceptions assume three major dimensions-social mobilization, decentralization and most important of all, human resource development. I call this as the "Dal Bhaat" approach. This is to ensure food security, basic education specially for gils, primary health care, safe drinking water, sanitation, shelter, voluntary family planning and the protection of women and children.

In implementing this agenda, SAARC must pool together information and data and share its rich experience. This is specially so in the transfer of labor intensive technology, grass-roots participation in self-employment schemes, micro-credit programs, local development and empowerment of the poor. Attention must also be focused on urban poverty in view of the rapid urbanization in South Asia in recent years. Finally as part of poverty alleviation, special emphasis should be laid on ensuring the rights of women and children.

Reducing poverty needs a high growth rate. SAARC's success will depend on how we cooperate in core economic areas of trade and investment. Negotiations for tariff reduction under SAFTA have taught us some valuable lessons. We are now aware how inadequate they are, if we exclude commodities of interest to all countries and if tariff concessions do not extend to actively traded commodities. Trade promotioon calls for dismantling of non-tariff barriers. It must also reduce value-added requirements under the rules of origin. Failure to redress these impediments will affect the creation of region-wide trading space.

The third priority is dealing with globalization. Globalization has profound implications, both positive and negative. Globalization entails greater mobility of capital, labor and technology and transcends national frontiers. The benefits are obvious-faster growth, better living standards and new opportunities. However, the downside is that the benefits are unequally distributed and ignore social objectives. They also involve danger of drugs, terrorism, pollution, diseases and arms and movements of people that invade all societies and respect no border. Therefore, our effort should be directed toward an inclusive globalization from below, which will benefit common people through new ideas, opportunities and technologies.

Excerpts from the speech made by Madame Prime Minister Khaleda Zia at the inaugural ceremony of SAARC XI, held in Kathmandu in January this year-Chief editor.


The European imperative: Germany's new role

-Theo Sommer, Journalist, Germany

The European Imperative:

Alongside the self-assertion imperative the European imperative continues to have an unabated effect. 20th century Europe:;75 years of bloodshed and terror. However, this terror has been overcome, as European states have grown closer together. In 1979 Helmut Schmidt created the European Currency system: in 1990 the Common Market came into force and in Maastricht-one year after German-reunification-the stage was set for the common currency and political union. It was to Helmut Kohl's credit that he didn't turn his back on the European idea after the restoration of German unity and that he chose in fact to support the unification process more than ever. The EU now comprises 15 members and after eastern expansion it could comprise 27 members by the middle of this century. Moreover, the Schengen Agreement, which has abolished border and customs controls between 13 EU countries, has been in force since the spring of 1995. On January 1, 1999, Europe's common currency was introduced and in a few days people in 12 EU countries will have the new common currency, the Euro, in their pockets. (The euro is already in circulation beginning this January-editor). The euro offers the Brussels union a promising launching pad into the 21st century. For some time now discussions have been underway about an even more ambitious project: a European Constitution. The birth of such an idea will not be devoid of complications and a unified vision is still a long way off. Yet there is a greater need than ever before for a better definition of overlapping areas of responsibility and jurisdiction between regions, states and community institutions: perhaps in the form of a new constitution? Like all EU achievements to date it will not be easy and it will take time but it will come to in the end. The German Foreign Minister Joschka Fischer sparked off the discussion with his Humboldt speech in May 2000. And one thing's for sure: the EU has to integrate more than ever, not just at economic or foreign policy and security levels but also, just as important, at a political level.

Guidelines for the future:

Germany must continue to dedicate itself to the European idea which, in turn, should strive to achieve that old goal of a federalist-not centralist-Europe. In the short term, Europe can aim for a united Europe of States but it should not lose sight of its long-term aim: the United States of Europe. As regards asserting itself, Germany should continue to seek this within an organization; for example, NATO in its present and future form as well as the military potential that the EU is striving to set up.

In this respect it will continue to be of vital importance for the Germans to keep their relations with Washington intact. The threat posed by international terrorism will remain a constant challenge. In the end, it could be a question of weighing up at the start what crises Germany should get involved in, what ones it should not and in what situations it should keep an open mind; not least, in order to avoid unreasonable demands. Can we in fact afford to translate words into action? Should we limit ourselves from the outset-as regard manpower, finances and geography? Or should we, conversely, follow the English maxim: "Put your money where your mouth is"'? Both solutions would be preferable to an unpredictable foreign policy based on the state of the finances.

Yet there is more to German foreign policy than merely continuing the Europeanization process and an unabated determination to assert itself. The one lesson to be learned from:; "Afghanistan" is that it would be criminal, indeed foolhardy, to ignore the fact that while Bin Laden manipulates the feelings of hundreds of millions of people for his own false ends, these feelings nevertheless do exist. There is a connection between the alienation of many Muslims and the unresolved Palestine issue in the same way as there is a connection between the misery of countless of people and their readiness to pin the blame for their situation on the industrialized nations. Globalization improved many people's prospects, whether in the North or the South. Yet many people could not keep up and are now limping along, without hope, behind those who are storming ahead. There must be greater efforts to give them specific help. After ten years of unity the Federal Republic of Germany is currently in the process of grasping its own historical significance. It has built up traditions, must assimilate new experiences. History has put Germany out to sea in the uncertain waters of global politics. The country's leaders must now redefine-or define more clearly than before-how they propose to turn tradition and experience into guidelines for the new century.

Dr. Theo Sommer was editor-in-chief/publisher of the German weekly "Die Zeit", he is now the paper's "editor at large". Text courtesy: Deutschland E No 6/2001. Embassy of Germany in Kathmandu.


French classical music producer; envy of big record companies

The French producer and distributor Harmonia Mundi beams with almost insolent health in the depressed classical music market. At a time when big record companies are suffering from a regular fall in sales, the independent record-producer is doing well with a turnover of 300 million francs. What are the reasons for a success that has lasted 43 years?

Big record publishers are less and less interested in classical music. Yet, although it gives them a good brand image, the five groups, which control it, Warner, EMI, Sony, Universal and BMG, are going through a crisis. Sales figures fell from 10% to 6% between 1994 and 2000. Professionals are counting on a floor of 5% of the record market. The latest upsets announced in March 2001 are the closure of Teldec and Erato, subsidiaries of the Warner Classics International division.

In this context of change, Bernard Coutaz, the founder of Harmonia Mundi, points out; "We are not experiencing a crisis in records through a crisis in "majors". The public is growing strongly and th figures speak for themselves. For the year 2000, there were 6 million people attending classical concerts, 1.2 million spectators in the 300 classical musical festivals and record audiences for specialized radio stations"'. The public is out there. We have to go out to meet it. "Faced with the crisis, we have started distributing other brands and we have opened Harmonia Mundi stores".

1992 saw the opening of the first sales point in Arles, in Provence, in the South of France. Since that date, 35 stores have opened in France and 3 in Spain. The act of buying has a social dimension. "We offer a small area, a different atmosphere, a welcome, advice, competence and the possibility to listen to the records". As a result, sales are increasing by between 8% to 10% every year and 40% of Harmonia Mundi's overall turnover is obtained this way. The publisher intends to distribute his catalogue outside the network, in sales points that are not connected with music.

To manage with the high cost of recordings, Harmonia Mundi has chosen to diversify its activities. The group distributes foreign and French catalogues and thus claims 11% of the classical market. The Arles based publisher also produces jazz, world music and records for children. He also brings out books. In all, he distributes some thirty publishers, from literature from the Far East with Phillipe Picquier publications to the beautiful books of Editions Plume. The Mas de Vert company in Arles, which keenly maintains its independence, has five subsidiaries in England, the US, Germany, Spain and Benelux and employs 250 people all over the world.

The group is so successful that record giants are seeking to buy the holding, Bernard Coutaz asserts. "I have had all the managing directors of the multinationals dropping by, on a pilgrimage, knowing that the company was doing well and that old man is 75". Harmonia Mundi's founder considers that its success is partly the result of a policy consisting of never disturbing the dividends to be able to plough all the profits back into the company every year. "I have never given into the temptation of money. For the rest, I have always followed my feeling, my enthusiasm and my pleasure and I am lucky to have a good team"'. Bernard Coutaz works with his son Benoit and his wife Eva, the company's artistic director, a woman whom the BBC magazine listed in fourth position among personalities having promoted music, after Pierre Boulez, William Christie and Ruggero Raimondi.

Optimistic about Harmonia Mundi's future, Bernard Coutaz considers that it is time to give real support to recorded music and not just crocodile tears. He even suggests denouncing the harmful effects of globalization and profit: a message, which has been received.


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