Features
July Anniversaries: Chinese Centenary, Canada Day and US Independence
by Rajan Philips
On July 1, China celebrated the centenary of its Communist Party. The Party marked the occasion in Beijing with a glittering performance of “The Great Journey” illustrating the history of the Party and the Country with nothing separating the two. July 1 is also Canada Day – the day Canadians celebrate the birth of the Confederation of Canada as a British Dominion in 1867. For the last two years the pandemic has prevented open celebrations and forced them to go virtual. This year the country is also in official half-mourning (with government flags at half-mast) in empathy with the country’s First Nations peoples, following new information on the horrors of residential schools set up by the state and run by the Churches as enforced encampments for their children. Today, Fourth of July, is America’s Independence Day. After a year of twin scourges – of Trump and the pandemic, the US is limping back to normalcy under a new President. Joe Biden is the country’s oldest President ever, but he is showing a more radical verve than any of his much younger predecessors.
China and the two North American countries are the world’s two extreme polarities. China is an old country and an old civilization. The US and Canada are more recent immigrant countries. There is hardly any country in the world that does not have an economic relationship with China. And every country and community in the world has some family in the US and in Canada. They are also the world’s oldest constitutional democracies, but they cannot turn their backs on their past of European settler colonialism and the decimation of the continent’s natal civilizations.
China has no colonial trespasses to apologize for, let alone compensate. The complaints against it are all current. The main backdrop is its race with the US for global market supremacy, and the concern among China’s Asian neighbours over its growing dominance. The race is not over capitalism or socialism, it is all about trade, tariffs, sanctions, and wolf-warrior diplomacy, and it is without the sword, guns or missiles. Canada is literally caught in the middle following Canada’s detention of a high-profile Chinese businesswoman and the retaliatory incarceration of two Canadian citizens in China.
A costly detention
On December 1, 2018, at US’s request, Canada detained at the Vancouver airport, Meng Wanzhou, the CFO of telecommunication giant Huawei, for extradition to the US to stand trial for alleged violations of the US, rather Trump’s, sanctions against Iran. Meng is also the daughter of Huawei’s founder Ren Zhengfei, who in his earlier life had been a Deputy Regimental Chief in the People’s Liberation Army. China retaliated by arresting and imprisoning Michael Kovrig and Michael Spavor, two Canadians working in China, as well as banning agricultural imports from Canada. In Canada, Meng is on a $10 M bail and is allowed to live under electronic surveillance without her many passports in one of the two multi million properties her family owns in Vancouver.
The standoff over detention in Canada and incarcerations in China is still continuing with no prospect of an early resolution in sight. Complicating the standoff is the general concern over the involvement of the Chinese government in Huawei’s development of 5G wireless networks and the fear that China will use them for surveillance purposes. This is quite a turn in the China-Canada relations, for among the western countries, Canada has been a pioneer in recognizing China after the 1949 Communist victory. The two countries opened diplomatic relations in 1970 and then Prime Minister Pierre Trudeau visited China in 1973, a year after President Nixon. There are nearly two million Chinese Canadian citizens and around 150,000 Chinese students attend Canadian universities and colleges. Chinese is the third most spoken language in Canada after English and French, and China is Canada’s largest trading partner in Asia.
Many political analysts and former Canadian government leaders, including former Prime Minister Jean Chretien, believe that the young (Justin) Trudeau government was tricked by the US to detain Meng Wanzhou for extradition. Meng was under an arrest warrant from an American court for some time and she was travelling through several countries, but the US picked the moment to ask for her arrest and extradition when she was on Canadian soil. Canadian critics contend that the government could have looked the other way, or feigned ‘legal incompetence’, and avoided unnecessarily getting caught in the middle between two elephants.
There have also been calls by prominent Canadians, including families of the two ‘Michaels’ incarcerated in China, to release Meng Wanzhou from her detention and have the two Canadians freed in China. The government of Canada has rejected these appeals and insisted that as the extradition case is before the Canadian courts it will have to run its course without political interference. For its part, China has retaliated far more severely against Canada over Meng’s detention than it has against the US tariffs and sanctions that Trump impetuously imposed on China. This has been the experience of smaller countries when they run into disagreements with China, and many of them are grouping themselves into different alliances to provide collective responses to China’s bilateral retaliations.
China’s longevity
President Xi Jinping defiant speech at the centenary celebrations was clearly not meant to allay any foreign fears of China, big or small. In fact, he issued a warning to foreign powers that the Communist Party “will never allow anyone to bully, oppress or subjugate China,” and “anyone who dares try to do that will have their heads bashed bloody against the Great Wall of Steel forged by over 1.4 billion Chinese people.” There is no one anywhere who might be having illusions of bullying, oppressing or subjugating China – of all places. Mr. Xi’s rhetoric is meant entirely for domestic consumption and for affirming his currently interminable power over the Party and the country.
Mr. Xi is also wont to show that he is invincible by insisting that China is “invincible,” as he did when he told Party cadres earlier in January that China has done better than any other political leadership or system in controlling the pandemic. He went on to declare that “time and history are on our side, and this is where our conviction and resilience lie, and why we are so determined and confident.” It so happened that Xi’s speech was delivered on January 11, five days after Trump’s QAnon crazies stormed the US Capitol to disrupt Congress. Born in 1953, Xi Jinping is the first person born after the establishment of the People’s Republic of China in 1949, to become the General Secretary of the Communist Party. For someone whose father was purged during the cultural revolution under Mao, Xi Jinping has assumed even greater powers over the Party than Mao Zedong.
The crucial difference between the two, and between Mao’s China and Xi’s China, is the missing dimension of socialism. Mao was not only a powerful leader of his country, but he was also a powerful contender for leading the world’s socialist camp to victory over market capitalism. Xi is a beneficiary of China’s transformation to a more market economy, although his contention is that “only socialism can save China, and only socialism with Chinese characteristics can develop China.” The shift from Mao to Xi also underpins the shift in the relationship between China and the West. It is no longer a battle between socialism and capitalism. The West, especially the US, would like to frame it as a tussle between democracy and authoritarianism. The China’s response, especially with Trump as US President, is to claim that liberal democracy is failing while the Chinese political system is working.
There are other ways to look at the differences between China and the West, and everyone else who are stuck in between. The aberration of the Trump presidency is not proof that the US political system is falling apart. Trump’s defeat and the election of Joe Biden as President have proved that the system works, however tortuously. At the same time, China’s stability as a centralized political system has much deeper historical roots, than its Communist Party, and than perhaps any other political system in the world. It is acknowledged that feudalism and a centralized political state arose in China long before they were sighted anywhere in Europe. And China quite neatly bypassed the treacherous waters of nationalism and ethnic conflicts that have tormented every other society, by the historically fortuitous presence of a singularly large ethnic group and a single written and spoken language. The descendants of the “people of Han” who emerged during the Han dynasty 2000 years ago, make up 91% of China’s population. The Han Chinese people are also the world’s largest ethnic group at 18% of the global population.
Put simply, given its longevity and stability China does not need the agency of a powerful President for its future survival or success. Nor does China need to continue its harshness towards the smaller populations of its ‘outer’ areas, the Tibetans, the Mongols and the Uyghurs. President Xi made no reference to them in his centenary speech. Nor did he mention Hong Kong, but spoke of China’s “unshakeable commitment” to unification with Taiwan. In response, Taiwan called on Beijing to “introduce democratic reforms, such as party competition, and respect for human rights while behaving as a responsible regional player.” Democratic reforms in China are entirely an internal matter, as it should be. But insofar as China is part of the global trading community, it cannot ignore the concerns of its neighbours or criticisms about the treatment of Uyghur Muslims.
One of the concerns about the treatment of Uyghurs is the alleged detention of them in mass detention camps, called “re-education Camps,” for minimum periods of twelve months, and purportedly to change their “political thinking, identities and religious beliefs.” China’s re-education camps for Uyghur Muslims are not very different from the controversial residential schools that were established in the 19th century in Canada to enforce the assimilation of Canada’s Fist Nations (indigenous) peoples into European settler culture. The schools were established by the state and were run by the Churches, and many of them by the Dioceses of the Catholic Church. The schools were an exercise in abusive power and devoid of any spirituality. (To be continued)
by Dr Gotabhya Ranasinghe
Senior Consultant Cardiologist
National Hospital Sri Lanka
When we sought a meeting with Hon Dr. Ramesh Pathirana, Minister of Health, he graciously cleared his busy schedule to accommodate us. Renowned for his attentive listening and deep understanding, Minister Pathirana is dedicated to advancing the health sector. His openness and transparency exemplify the qualities of an exemplary politician and minister.
Dr. Palitha Mahipala, the current Health Secretary, demonstrates both commendable enthusiasm and unwavering support. This combination of attributes makes him a highly compatible colleague for the esteemed Minister of Health.
Our discussion centered on a project that has been in the works for the past 30 years, one that no other minister had managed to advance.
Minister Pathirana, however, recognized the project’s significance and its potential to revolutionize care for heart patients.
The project involves the construction of a state-of-the-art facility at the premises of the National Hospital Colombo. The project’s location within the premises of the National Hospital underscores its importance and relevance to the healthcare infrastructure of the nation.
This facility will include a cardiology building and a tertiary care center, equipped with the latest technology to handle and treat all types of heart-related conditions and surgeries.
Securing funding was a major milestone for this initiative. Minister Pathirana successfully obtained approval for a $40 billion loan from the Asian Development Bank. With the funding in place, the foundation stone is scheduled to be laid in September this year, and construction will begin in January 2025.
This project guarantees a consistent and uninterrupted supply of stents and related medications for heart patients. As a result, patients will have timely access to essential medical supplies during their treatment and recovery. By securing these critical resources, the project aims to enhance patient outcomes, minimize treatment delays, and maintain the highest standards of cardiac care.
Upon its fruition, this monumental building will serve as a beacon of hope and healing, symbolizing the unwavering dedication to improving patient outcomes and fostering a healthier society.We anticipate a future marked by significant progress and positive outcomes in Sri Lanka’s cardiovascular treatment landscape within the foreseeable timeframe.
by Fr. Emmanuel Fernando, OMI
Jesuit Fr. Aloysius Pieris (affectionately called Fr. Aloy) celebrated his 90th birthday on April 9, 2024 and I, as the editor of our Oblate Journal, THE MISSIONARY OBLATE had gone to press by that time. Immediately I decided to publish an article, appreciating the untiring selfless services he continues to offer for inter-Faith dialogue, the renewal of the Catholic Church, his concern for the poor and the suffering Sri Lankan masses and to me, the present writer.
It was in 1988, when I was appointed Director of the Oblate Scholastics at Ampitiya by the then Oblate Provincial Fr. Anselm Silva, that I came to know Fr. Aloy more closely. Knowing well his expertise in matters spiritual, theological, Indological and pastoral, and with the collaborative spirit of my companion-formators, our Oblate Scholastics were sent to Tulana, the Research and Encounter Centre, Kelaniya, of which he is the Founder-Director, for ‘exposure-programmes’ on matters spiritual, biblical, theological and pastoral. Some of these dimensions according to my view and that of my companion-formators, were not available at the National Seminary, Ampitiya.
Ever since that time, our Oblate formators/ accompaniers at the Oblate Scholasticate, Ampitiya , have continued to send our Oblate Scholastics to Tulana Centre for deepening their insights and convictions regarding matters needed to serve the people in today’s context. Fr. Aloy also had tried very enthusiastically with the Oblate team headed by Frs. Oswald Firth and Clement Waidyasekara to begin a Theologate, directed by the Religious Congregations in Sri Lanka, for the contextual formation/ accompaniment of their members. It should very well be a desired goal of the Leaders / Provincials of the Religious Congregations.
Besides being a formator/accompanier at the Oblate Scholasticate, I was entrusted also with the task of editing and publishing our Oblate journal, ‘The Missionary Oblate’. To maintain the quality of the journal I continue to depend on Fr. Aloy for his thought-provoking and stimulating articles on Biblical Spirituality, Biblical Theology and Ecclesiology. I am very grateful to him for his generous assistance. Of late, his writings on renewal of the Church, initiated by Pope St. John XX111 and continued by Pope Francis through the Synodal path, published in our Oblate journal, enable our readers to focus their attention also on the needed renewal in the Catholic Church in Sri Lanka. Fr. Aloy appreciated very much the Synodal path adopted by the Jesuit Pope Francis for the renewal of the Church, rooted very much on prayerful discernment. In my Religious and presbyteral life, Fr.Aloy continues to be my spiritual animator / guide and ongoing formator / acccompanier.
Fr. Aloysius Pieris, BA Hons (Lond), LPh (SHC, India), STL (PFT, Naples), PhD (SLU/VC), ThD (Tilburg), D.Ltt (KU), has been one of the eminent Asian theologians well recognized internationally and one who has lectured and held visiting chairs in many universities both in the West and in the East. Many members of Religious Congregations from Asian countries have benefited from his lectures and guidance in the East Asian Pastoral Institute (EAPI) in Manila, Philippines. He had been a Theologian consulted by the Federation of Asian Bishops’ Conferences for many years. During his professorship at the Gregorian University in Rome, he was called to be a member of a special group of advisers on other religions consulted by Pope Paul VI.
Fr. Aloy is the author of more than 30 books and well over 500 Research Papers. Some of his books and articles have been translated and published in several countries. Among those books, one can find the following: 1) The Genesis of an Asian Theology of Liberation (An Autobiographical Excursus on the Art of Theologising in Asia, 2) An Asian Theology of Liberation, 3) Providential Timeliness of Vatican 11 (a long-overdue halt to a scandalous millennium, 4) Give Vatican 11 a chance, 5) Leadership in the Church, 6) Relishing our faith in working for justice (Themes for study and discussion), 7) A Message meant mainly, not exclusively for Jesuits (Background information necessary for helping Francis renew the Church), 8) Lent in Lanka (Reflections and Resolutions, 9) Love meets wisdom (A Christian Experience of Buddhism, 10) Fire and Water 11) God’s Reign for God’s poor, 12) Our Unhiddden Agenda (How we Jesuits work, pray and form our men). He is also the Editor of two journals, Vagdevi, Journal of Religious Reflection and Dialogue, New Series.
Fr. Aloy has a BA in Pali and Sanskrit from the University of London and a Ph.D in Buddhist Philosophy from the University of Sri Lankan, Vidyodaya Campus. On Nov. 23, 2019, he was awarded the prestigious honorary Doctorate of Literature (D.Litt) by the Chancellor of the University of Kelaniya, the Most Venerable Welamitiyawe Dharmakirthi Sri Kusala Dhamma Thera.
Fr. Aloy continues to be a promoter of Gospel values and virtues. Justice as a constitutive dimension of love and social concern for the downtrodden masses are very much noted in his life and work. He had very much appreciated the commitment of the late Fr. Joseph (Joe) Fernando, the National Director of the Social and Economic Centre (SEDEC) for the poor.
In Sri Lanka, a few religious Congregations – the Good Shepherd Sisters, the Christian Brothers, the Marist Brothers and the Oblates – have invited him to animate their members especially during their Provincial Congresses, Chapters and International Conferences. The mainline Christian Churches also have sought his advice and followed his seminars. I, for one, regret very much, that the Sri Lankan authorities of the Catholic Church –today’s Hierarchy—- have not sought Fr.
Aloy’s expertise for the renewal of the Catholic Church in Sri Lanka and thus have not benefited from the immense store of wisdom and insight that he can offer to our local Church while the Sri Lankan bishops who governed the Catholic church in the immediate aftermath of the Second Vatican Council (Edmund Fernando OMI, Anthony de Saram, Leo Nanayakkara OSB, Frank Marcus Fernando, Paul Perera,) visited him and consulted him on many matters. Among the Tamil Bishops, Bishop Rayappu Joseph was keeping close contact with him and Bishop J. Deogupillai hosted him and his team visiting him after the horrible Black July massacre of Tamils.
Sri Lanka-Singapore Free Trade Agreement
By Gomi Senadhira
senadhiragomi@gmail.com
“You might tell fairy tales, but the progress of a country cannot be achieved through such narratives. A country cannot be developed by making false promises. The country moved backward because of the electoral promises made by political parties throughout time. We have witnessed that the ultimate result of this is the country becoming bankrupt. Unfortunately, many segments of the population have not come to realize this yet.” – President Ranil Wickremesinghe, 2024 Budget speech
Any Sri Lankan would agree with the above words of President Wickremesinghe on the false promises our politicians and officials make and the fairy tales they narrate which bankrupted this country. So, to understand this, let’s look at one such fairy tale with lots of false promises; Ranil Wickremesinghe’s greatest achievement in the area of international trade and investment promotion during the Yahapalana period, Sri Lanka-Singapore Free Trade Agreement (SLSFTA).
It is appropriate and timely to do it now as Finance Minister Wickremesinghe has just presented to parliament a bill on the National Policy on Economic Transformation which includes the establishment of an Office for International Trade and the Sri Lanka Institute of Economics and International Trade.
Was SLSFTA a “Cleverly negotiated Free Trade Agreement” as stated by the (former) Minister of Development Strategies and International Trade Malik Samarawickrama during the Parliamentary Debate on the SLSFTA in July 2018, or a colossal blunder covered up with lies, false promises, and fairy tales? After SLSFTA was signed there were a number of fairy tales published on this agreement by the Ministry of Development Strategies and International, Institute of Policy Studies, and others.
However, for this article, I would like to limit my comments to the speech by Minister Samarawickrama during the Parliamentary Debate, and the two most important areas in the agreement which were covered up with lies, fairy tales, and false promises, namely: revenue loss for Sri Lanka and Investment from Singapore. On the other important area, “Waste products dumping” I do not want to comment here as I have written extensively on the issue.
1. The revenue loss
During the Parliamentary Debate in July 2018, Minister Samarawickrama stated “…. let me reiterate that this FTA with Singapore has been very cleverly negotiated by us…. The liberalisation programme under this FTA has been carefully designed to have the least impact on domestic industry and revenue collection. We have included all revenue sensitive items in the negative list of items which will not be subject to removal of tariff. Therefore, 97.8% revenue from Customs duty is protected. Our tariff liberalisation will take place over a period of 12-15 years! In fact, the revenue earned through tariffs on goods imported from Singapore last year was Rs. 35 billion.
The revenue loss for over the next 15 years due to the FTA is only Rs. 733 million– which when annualised, on average, is just Rs. 51 million. That is just 0.14% per year! So anyone who claims the Singapore FTA causes revenue loss to the Government cannot do basic arithmetic! Mr. Speaker, in conclusion, I call on my fellow members of this House – don’t mislead the public with baseless criticism that is not grounded in facts. Don’t look at petty politics and use these issues for your own political survival.”
I was surprised to read the minister’s speech because an article published in January 2018 in “The Straits Times“, based on information released by the Singaporean Negotiators stated, “…. With the FTA, tariff savings for Singapore exports are estimated to hit $10 million annually“.
As the annual tariff savings (that is the revenue loss for Sri Lanka) calculated by the Singaporean Negotiators, Singaporean $ 10 million (Sri Lankan rupees 1,200 million in 2018) was way above the rupees’ 733 million revenue loss for 15 years estimated by the Sri Lankan negotiators, it was clear to any observer that one of the parties to the agreement had not done the basic arithmetic!
Six years later, according to a report published by “The Morning” newspaper, speaking at the Committee on Public Finance (COPF) on 7th May 2024, Mr Samarawickrama’s chief trade negotiator K.J. Weerasinghehad had admitted “…. that forecasted revenue loss for the Government of Sri Lanka through the Singapore FTA is Rs. 450 million in 2023 and Rs. 1.3 billion in 2024.”
If these numbers are correct, as tariff liberalisation under the SLSFTA has just started, we will pass Rs 2 billion very soon. Then, the question is how Sri Lanka’s trade negotiators made such a colossal blunder. Didn’t they do their basic arithmetic? If they didn’t know how to do basic arithmetic they should have at least done their basic readings. For example, the headline of the article published in The Straits Times in January 2018 was “Singapore, Sri Lanka sign FTA, annual savings of $10m expected”.
Anyway, as Sri Lanka’s chief negotiator reiterated at the COPF meeting that “…. since 99% of the tariffs in Singapore have zero rates of duty, Sri Lanka has agreed on 80% tariff liberalisation over a period of 15 years while expecting Singapore investments to address the imbalance in trade,” let’s turn towards investment.
Investment from Singapore
In July 2018, speaking during the Parliamentary Debate on the FTA this is what Minister Malik Samarawickrama stated on investment from Singapore, “Already, thanks to this FTA, in just the past two-and-a-half months since the agreement came into effect we have received a proposal from Singapore for investment amounting to $ 14.8 billion in an oil refinery for export of petroleum products. In addition, we have proposals for a steel manufacturing plant for exports ($ 1 billion investment), flour milling plant ($ 50 million), sugar refinery ($ 200 million). This adds up to more than $ 16.05 billion in the pipeline on these projects alone.
And all of these projects will create thousands of more jobs for our people. In principle approval has already been granted by the BOI and the investors are awaiting the release of land the environmental approvals to commence the project.
I request the Opposition and those with vested interests to change their narrow-minded thinking and join us to develop our country. We must always look at what is best for the whole community, not just the few who may oppose. We owe it to our people to courageously take decisions that will change their lives for the better.”
According to the media report I quoted earlier, speaking at the Committee on Public Finance (COPF) Chief Negotiator Weerasinghe has admitted that Sri Lanka was not happy with overall Singapore investments that have come in the past few years in return for the trade liberalisation under the Singapore-Sri Lanka Free Trade Agreement. He has added that between 2021 and 2023 the total investment from Singapore had been around $162 million!
What happened to those projects worth $16 billion negotiated, thanks to the SLSFTA, in just the two-and-a-half months after the agreement came into effect and approved by the BOI? I do not know about the steel manufacturing plant for exports ($ 1 billion investment), flour milling plant ($ 50 million) and sugar refinery ($ 200 million).
However, story of the multibillion-dollar investment in the Petroleum Refinery unfolded in a manner that would qualify it as the best fairy tale with false promises presented by our politicians and the officials, prior to 2019 elections.
Though many Sri Lankans got to know, through the media which repeatedly highlighted a plethora of issues surrounding the project and the questionable credentials of the Singaporean investor, the construction work on the Mirrijiwela Oil Refinery along with the cement factory began on the24th of March 2019 with a bang and Minister Ranil Wickremesinghe and his ministers along with the foreign and local dignitaries laid the foundation stones.
That was few months before the 2019 Presidential elections. Inaugurating the construction work Prime Minister Ranil Wickremesinghe said the projects will create thousands of job opportunities in the area and surrounding districts.
The oil refinery, which was to be built over 200 acres of land, with the capacity to refine 200,000 barrels of crude oil per day, was to generate US$7 billion of exports and create 1,500 direct and 3,000 indirect jobs. The construction of the refinery was to be completed in 44 months. Four years later, in August 2023 the Cabinet of Ministers approved the proposal presented by President Ranil Wickremesinghe to cancel the agreement with the investors of the refinery as the project has not been implemented! Can they explain to the country how much money was wasted to produce that fairy tale?
It is obvious that the President, ministers, and officials had made huge blunders and had deliberately misled the public and the parliament on the revenue loss and potential investment from SLSFTA with fairy tales and false promises.
As the president himself said, a country cannot be developed by making false promises or with fairy tales and these false promises and fairy tales had bankrupted the country. “Unfortunately, many segments of the population have not come to realize this yet”.
(The writer, a specialist and an activist on trade and development issues . )
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