Background on Global Exchange

by Arthur Besrassudny, Spring, 1999

Here is a summary of miscellaneous information on interesting this group:

1. The International Forum on Globalization-This group sponsored the main teach-in at the anti-WTO events. It lasted for two days, cost $20 to get in, and was sold out.

This group was founded in 1994. Its founders include: Ralph Nader, Jerry Brown, and Jeremy Rifkin. Their line includes the idea that "small is beautiful", that people should use local resources, that we should push environmentalism. They opposed Gatt and Nafta. They are backed by the Institute for Policy Studies, a liberal ruling class think tank. One of their supporters is Jerry Mander of the Public Media Center in San Francisco.

They seem to be well-healed. On their web site, some of the associates they list are: Friends of the Earth, Ralph Nader, the Sierra Club, and Canadian Trade Unions. A few years ago, they had a teach-in in Berkeley, which was supported by Kirpatrick Sale and the Max and Anna Levinson Foundation.

2. Global Exchange-seems to be behind the California Fair Trade Network. Is now planning a campaign against Walmart's use of Chinese labor. Founded in 1988 by Medea Benjamin from San Francisco. Describes herself as an "ex-hippie". Makes money organizing tours to see conditions in Tijuana, Chiapas, and the Strawberry Fields of northern California. Also organizes

trips to Cuba, Brazil, and Mexico. Also sent observers to the elections in Mexico and Indonesia. There are Global Exchange lawyers in the campaign to free Leonard Peltier. Also sponsors anti-sweatshop tours.

The big event that Global Exchange organized with Unite (garment union) was to file a class action law suit against garment factories in the US-Marinas islands, called Saipan, alleging illegal labor practices against 18 companies, including Nike, the Gap, Walmart, Target, Jamboree, etc. In mid-year, some settled with the support of Unite, Levi-Strauss, and Democratic Congressman George Miller from Martinez, California. Back in 1992 Levi's canceled its contract there. Global Exchange then labeled Levi's products "fair trade" products. Global Exchange has funding from a number of foundations, including the Compton Foundation, James Irvine, the San Francisco Foundation (which is a SF ruling class group including a Mr. Gaither, a member of LBJ's cabinet), the Carneigie Foundation, Rand, and the Hewlett Foundation. Many directors of Levi-Strauss are also on the Boards of these foundations. Levi's is more a part of the ruling class than other garment companies. Levi's VP is Peter Haas, whose family is a ruling class family with part ownership of Levi's.

Global Exchange has an agreement with Reebok, Levi's and Mattel that they adhere to proper labor standards and are "fair trade" companies. Global Exchange filed their suit against the 18 garment companies in courts in LA, San Francisco, and in Saipan. The suit was joined by Sweatshop Watch, Unite, and the Asian Law Caucus.

In an interview in the LA Times in June, 1997, Benjamin explained that she is pro-capitalist. Her group encourages indigenous people to make products and sell them via Global Exchange. She says she sells "ethnic crafts" at "fair prices", avoiding the middle man, and pays "decent wages". She herself leads about 4 trips a year. She says the advise she gives young people who want to do human rights work is "get an MBA", teach accounting, tell the oppressed to open their own businesses and become part of the "global exchange/fair trade craft center".

Global Exchange provides grants from foundations that are interlocked with Levi's. Obviously, the Gap, etc, are Levi's' competition. In a deal worked out about the Saipan case, some contractors now get to stamp "made in USA" on the clothing produced in Saipan.