USCIB Provides Industry Input to UN FAO Nutrition Action Plan

4816_image001Global hunger and malnutrition remain stubbornly high, with over two billion people suffering from nutrient deficiencies. To address worldwide undernourishment, the United Nations Food and Agriculture Organization (FAO) spearheaded the 1992 International Nutrition Conference aimed at alleviating hunger and malnutrition while encouraging countries to develop national strategies to address unhealthy diets, obesity and other nutrition-related diseases.

The Second International Nutrition Conference (ICN2) will take place this November, and in the lead-up to the conference the FAO released a draft of its Framework for Action, a 10-year plan of action meant to provide key priorities to governments and other stakeholders for improving people’s nutrition in a sustainable way.

USCIB has participated in the FAO consultation on the framework, and on Monday released comments responding to the framework’s language which will be the basis for adopting major policy guidelines and strategies and for developing and updating national plans of action and investments to improve nutrition.

“USCIB appreciates the opportunity to provide input to the FAO consultation and believes it is essential that all stakeholders work together to develop a global food system to further improve people’s nutrition in a sustainable way,” said Helen Medina, USCIB’s senior director of product policy and innovation.

However, USCIB identified several problems with the draft’s language, particularly clauses that either ignore or downplay industry’s contributions to alleviating malnutrition, no definitions about vague terms such as “nutrition justice” and “highly processed foods of minimal nutritional value,” a tone that implies that trade and investment is bad for developing countries, and a failure to recognize that self-regulation with regard to the food and beverage industry has been beneficial.

Acknowledge Industry’s Role in Addressing Global Malnutrition

USCIB found that the framework draft in general contained limited language that acknowledged the food industry’s importance and the need for multilateral organizations to engage industry as a full partner in deciding strategies and common goals for addressing malnutrition. Industry is also keen on underscoring the importance of employing “knowledge and evidence-based programs” to combat global hunger and nutrition-related diseases.

Define Vague Terms

USCIB noted that the phrase “nutrition justice” isn’t defined and that the boundaries of the concept are unclear. USCIB recommends removing the term and instead focus the document on the action steps required to achieve explicit nutrition targets. The same critique was made of the term “highly processed foods of minimal nutritional value.” Medina wrote “The lack of either a definition or an evidence base linked to those definitions, should dictate that this statement is not appropriate for inclusion in the WHO/FAO Framework For Action document.”

Similarly, USCIB took issue with the framework’s priority actions for nutrition governance, arguing that there is a lack of clarity “as to how all these platforms, mechanisms, processes and reporting relate to similar activities either in place or proposed by WHO and the UN” and that “There appears to be significant potential for redundant, duplicative and overly burdensome processes that could present significant obstacles to achieving real progress.” USCIB noted that the framework should spell out what the roles and responsibilities among the various multi-lateral organizations involved in addressing global malnutrition.

Be Wary of Tax Incentives

Because fiscal policy is complex and often has unintended consequences, USCIB expressed caution with regard to plans to use taxes as incentives for healthy diets. USCIB argued tax rates should be kept low on food, especially for low-income individuals who spend a larger portion of their paycheck on food.

International Trade and Investment Isn’t Bad

Regarding the framework’s language on trade and investment in agriculture, Medina wrote, “There appears to be a presumption underlying this section that the impact of trade and investment is primarily negative, despite the fact that no evidence is offered to support this presumption and despite significant evidence to the contrary, including FAO and WTO reports, indicating that increased trade, particularly in agriculture and food, increases the standard of living in developing countries and improves the performance of national economies.  This section continues this presumption with respect to trade and nutrition specifically, not by providing any evidence of harm, but by implication simply constructing each proposition in the negative.  Without any science or evidence basis, this entire section should be reconsidered.”

Support Nutrition Education and the Role of Women

USCIB agrees with the framework that nutrition education is key to addressing global malnutrition, and that all stakeholders must work together to effectively educate consumers through labeling and nutrition programs on food.

USCIB also agrees that empowering women is crucial for improving nutrition, and therefore promotes policies that help women become farmers, traders and business owners.

“The private sector believes it is essential that all stakeholders work together to develop holistic, impactful and sustainable solutions,” said Medina. “We are committed to public-private partnerships that support public health strategies.”

Staff contact: Helen Medina

More on USCIB’s Food and Agriculture Committee

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Action on Global Tax Reform

tax penAs part of the project to rewrite global tax rules, the Organization for Economic Cooperation and Development (OECD) released commentary on Common Reporting Standards, a milestone in the effort to help countries implement an automatic exchange of information (AEOI) regime. AEOI would allow governments to automatically collect financial data from banks for tax purposes.

USCIB and the Business and Industry Advisory Council (BIAC) support OECD and G20 efforts to ensure taxpayers pay what they owe and appreciate the need for automatic exchange of information. The OECD must continue working with the private sector to ensure that the costs borne by businesses are taken into account and that business will need time to adapt systems to the AEOI requirements.

In September 2013, G20 leaders committed to AEOI as the new global standard of cooperation between tax administrations and supported the OECD’s work aimed at presenting a single global standard. Progress made on that front this year will go a long way toward implementing the policies necessary for identifying customers’ tax residences and exchanging relevant information between tax authorities.

Countries’ implementation guidance must also provide business with sufficient time to implement the significant new obligations that will be imposed on business by the common reporting standard.

“BIAC is particularly pleased that the business community, the OECD and its member governments were able to engage in a consistently frank and open dialogue that led to a result that reduced the potential burdens on business while achieving the OECD’s tax compliance objectives,” said Will Morris, chair of BIAC’s Taxation and Fiscal Policy Committee. “This dialogue must continue if the CRS is to be implemented consistently by the adopting jurisdictions.”

The Common Reporting Standard is based on a similar information-gathering program developed by the United States, the Foreign Account Tax Compliance Act (FATCA). That U.S. policy acted as a catalyst for the move towards AEOI in a multilateral context.

Staff contact: Carol Doran Klein

More on USCIB’s Taxation Committee

Innovation Recognized as Key for Economic Growth

ICC Secretary General John Danilovich
ICC Secretary General John Danilovich

“The innovation sector has the largest multiplier effect of all on job creation,” said John Danilovich, secretary general of the International Chamber of Commerce, at a Business 20 panel discussion in Sydney, Australia. At the panel he unveiled the 7th edition of the Global Innovation Index 2014 and addressed how G20 targets can be fulfilled by developing the knowledge and innovation sectors.

A leading reference on innovation, the Global Innovation Index ranks world economies according to innovation capabilities and results. This year’s theme, “Human Factor in Innovation,” explored the role of individuals and teams behind the innovation process. The 2014 index features data for 143 countries, with Switzerland at the top of the ranking and the United Kingdom in second place.

“The G20 is looking for all possible drivers of economic growth, including trade and investment in particular.” Danilovich said. “Innovation is a critical engine of business growth and job creation in large and small firms alike.”

Danilovch also stressed the importance of business to support innovation: “Business investment in knowledge-based capital makes a considerable contribution to productivity.” He said. “Market competition requires companies to innovate. The private sector can be a key partner in helping governments find solutions to development challenges, and can accelerate the achievement of core development objectives.”

ICC is actively engaged in encouraging innovation and the development of the knowledge economy through the work of its Commission on Intellectual Property. The commission gathers over 300 business executives and private practitioners from 50 countries to formulate ICC’s intellectual property policy.

On a related note, USCIB’s next Intellectual Property Committee meeting will be held at USCIB’s Washington, D.C. offices on September 11 from 10-12 p.m.

Read more on the ICC website.

Staff contact: Helen Medina

More on USCIB’s IP Committee

ICC Advises Against Exit Taxes

As some European countries consider adopting exit taxes to increase revenue, the International Chamber of Commerce issued a policy statement warning that exit taxes could seriously disrupt international business restructurings and movements of capital.

The ICC statement strongly advises against exit taxes regimes which generally seek to tax unrealized gains the moment a company’s seat or assets leave the country. USCIB contributed to the development of this statement.

“While the international community is currently debating a fundamental restructuring of the international taxation system, we see that as a means to increase their revenues more countries are considering levying additional taxes, such as exit taxes,” said Chirstian Kaeser, global head of tax at Siemens and chair of the ICC Commission on Taxation. “These taxes increase the risk of double taxation and thereby negatively impact investment and growth at a time when economic recovery is still fragile,”

The revised policy statement acknowledges recent developments, most notably the Organization for Economic Cooperation and Development (OECD) Base Erosion and Profit Shifting Project (BEPS) initiated by the G20. USCIB plays a leading role in OECD global tax discussions and recently held its annual International Tax Conference on BEPS.

Read more on the ICC website

Staff contact: Carol Doran Klein

More on USCIB’s Taxation Committee

Business Spearheads High-Level Discussion on NCDs Prevention

(L-R) Mike Wisheart (World Vision International), Mario Ottiglio (IFPMA), Kim Fortunato (Campbell Soup Company), Jean-Michel Borys (EPODE), Cary Adams (NCD Alliance), Louise Kantrow (ICC), Peter Robinson (USCIB)
(L-R) Mike Wisheart (World Vision International), Mario Ottiglio (IFPMA), Kim Fortunato (Campbell Soup Company), Jean-Michel Borys (EPODE), Cary Adams (NCD Alliance), Louise Kantrow (ICC), Peter Robinson (USCIB)

The world’s worst killers – non-communicable diseases (NCDs), such as obesity, heart disease and many cancers – are responsible for over 60 percent of premature deaths worldwide, according to the World Health Organization (WHO).

NCDs diminish economic growth and sap productivity among working age populations, since these diseases affect adults in their prime. NCDs also push households into poverty and disproportionately affect low-income countries, where the diseases strike younger populations and place great strains on already overburdened healthcare systems.

Despite these grave threats, NCDs are largely preventable by mobilizing governments, civil society and the private sector to craft sound public health policies. Governments alone struggle to manage NCDs because the diseases drive up healthcare costs and divert scarce resources from other areas that need them. Given the strain the NCD epidemic places on national healthcare systems, the United Nations 66th World Health Assembly reiterated a call for member states to consider interventions across many segments of society for NCDs prevention and control. Part of the UN’s Post-2015 Development Agenda aims to scale up multi-stakeholder responses to NCDs.

It is under this backdrop that USCIB and the International Chamber of Commerce (ICC) organized a meeting on July 11 hosted by Pfizer that explored how public-private partnerships can be leveraged to combat the NCD epidemic. USCIB and the ICC are the only private sector organizations representing business that interface with the United Nations on NCD prevention at a multistakeholder level. The public-private partnership discussion took place during the UN High-Level Meeting to review progress achieved in the fight against the NCD epidemic in the context of the post-2015 development agenda.

Panelists at the pubic-private partnership event included Cary Adams, CEO of the Union for International Cancer Control and chair of the NCD Alliance; Jean-Michel Borys, general secretary of the EPODE International Network; Kim Fortunato, director of Campbell Healthy Communities at the Campbell Soup Company; Mario Ottiglio, director of public affairs and global health policy at the International Federation of Pharmaceutical Manufacturers & Associations (IFPMA); and Mike Wisheart, senior advisor of corporate engagement, advocacy and justice for children at World Vision International. The discussion was moderated by Louise Kantrow, ICC’s permanent representative to the United Nations.

A dozen government officials attended the event, including Ambassador Courtenay Rattray, the Jamaican ambassador to the United Nations and co-chair of the UN General Assembly meeting on NCDs. Ambassador Rattray is also the co-facilitator of the outcome document on the review and assessment of NCDs. The event drew dozens of NGO, civil society and private sector representatives as well.

Following welcoming remarks by USCIB President and CEO Peter Robinson, panelists explained that a multistakeholder approach is necessary to address the epidemic, with Adams noting that “partnerships are the only way we can address these things called NCDs.”

Borys and others agreed that all of civil society’s stakeholders need to take charge at the global, regional and local levels to combat childhood obesity and other forms of non-communicable diseases, and that global coordination mechanisms are key for making the most out of public-private partnerships.

“This group of industry representatives understood that business can only survive in societies that flourish,” Kantrow said referring to the panelists, “they understand the importance of thriving in successful societies.”

Since the UN called on the global community to address the NCD epidemic in 2012, public-private partnerships addressing NCDs have more than doubled, according to Ottiglio. He presented the findings of an IFPMA global survey, which revealed that NCD public-private partnerships have increased and are present virtually everywhere around the world. Ottiglio said that IFPMA “reaches three million people worldwide through a strong volunteer network in 189 countries” committed to combating NCDs.

During the discussion, Fortunato offered a case study of the Campbell’s philanthropic work in Camden, N.J., where childhood obesity is high. She stressed the importance of collective partnering, which is the cornerstone of Campbell’s corporate philanthropy program, as well as committing to a collective impact model in which private companies work with all levels of government to address NCDs.

Multi-stakeholder involvement was a recurring theme during the discussion, with Wisheart explaining that “we need actors from all sectors of civil society,” and “we want to see more partnerships, working at greater speed, having greater impact. To address the trust issues that sometimes arise with public-private partnerships, Wisheart noted that the best way to manage partnerships risks is to ensure there are strong accountability mechanisms that increase the space for collaboration.

Helen Medina, USCIB’s senior director of product policy and innovation, concluded: “The private sector understands the urgency needed to address non-communicable diseases and has an interest in curbing them for a variety of reasons, including having productive employees providing products and technical support to manage NCDs, and sustaining a long-term relationship with the communities in which it works. At the end of the day, it makes economic sense for business to be involved in curbing NCDs, and it’s extremely important for social and economic development.”

Staff contacts: Louise Kantrow and Helen Medina

More on USCIB’s Health Care Working Group

Global Business Says Policy Decisions Don’t Fulfill Internets Full Potential

green globe keyboardThe International Chamber of Commerce has reasserted its commitment to strengthening the Internet as an enabler of business and economic growth, saying that more needs to be done today to ensure its continued development as an open platform for innovation, creativity and the free flow of information.

ICC BASIS (Business Action to Support the Information Society) will use its presence at the 9th annual Internet Governance Forum (IGF), taking place in Istanbul, Turkey from September 2-5 to address how Internet policy decision-making is not going far enough to capitalize on the Internet’s potential for creating new commercial and social opportunities for users around the world.

USCIB, which is a member of ICC-BASIS, will participate in the IGF 2014 in Istanbul, supporting BASIS’ efforts to promote an approach to Internet governance that enables business to reap the benefits of the digital economy. As part of its focus at the September meeting, ICC BASIS has also affirmed its belief that the existing multistakeholder model of governance is the best way to ensure the creation of policy that maximizes opportunities for future Internet innovation, and is the most effective means of informing Internet policy decision-making at the government level.

ICC Secretary General John Danilovich said: “The world is becoming ever more dependent on the Internet to drive social change and attain regional economic growth and prosperity. Global business is dedicated to doing all it can to encourage the adoption of policy that supports the use of the Internet in new ways to connect people with ideas, create jobs, boost trade and reverse the cycle of poverty. At a time when management of the Internet is under scrutiny, we urge the policy-making community to not lose sight of the continued need to focus on creating pro-growth, socially proactive policies designed to keep the Internet open for future generations.”

BASIS welcomes the opportunity offered by IGF to galvanize thinking among the multistakeholder community through consensus, and to engage in dialogue on central issues. These include the protection of the Internet as a vehicle of innovation, respect for the rule of law, access, enhancing digital trust and the importance of maintaining cross-border and global flows of information.

Read more on the ICC website.

Staff contact: Barbara Wanner

More on USCIB’s ICT Committee

BIAC Holds Health Care Policy Task Force Meeting

Members of the Business and Industry Advisory Council (BIAC) to the Organization for Economic Cooperation and Development (OECD) met in Paris to prepare for the Consultation with the OECD Health Committee on June 23. USCIB is BIAC’s American affiliate.

BIAC delegates discussed ways to promote a proactive agenda in health policy with the OECD, and members identified policy priorities in the field of health for the upcoming 2015-16 biennium.

At the bi-annual OECD Consultation with BIAC and the Trade Union Advisory Committee on June 23, Nicole Denjoy, the chair of the BIAC Health Care Policy Task Force, called for a more integrated way of engaging with the OECD Health Committee and for the participation of BIAC delegates to the plenary sessions of the OECD Health Committee.

Staff contact: Helen Medina

More on USCIB’s Health Care Committee

BIAC Presents Business View to OECD Competition Authorities

Competition experts from the Business and Industry Advisory Committee to the Organization for Economic Cooperation and Development (OECD) presented business views to the OECD and a number of non-OECD Member governments at the June session of the OECD Competition Committee and its working parties.

Addressing the revision of the 1995 OECD Recommendation of the Council Concerning Co-operation between Member Countries on Competition Investigations and Proceedings, BIAC emphasized continued concerns regarding the protection of confidential information in exchanges related to cross-border merger investigations.

BIAC also addressed Competition in Generic Pharmaceuticals, Airline Competition, competition and Public Private Partnerships (PPP), and competition aspects of the rollout of broadband networks. The OECD Competition Committee will next meet in December 2014. USCIB is BIAC’s American affiliate.

Staff contact: Justine Badimon

More on USCIB’s Competition Committee

FAO Engages Private Sector in Run-Up to International Nutrition Conference

foodsMalnutrition affects over half the global population, undermining growth and perpetuating poverty. Fighting malnutrition continues to be a high priority on the international agenda, and the Second International Conference on Nutrition (ICN2) this November in Rome will set the stage for UN Secretary General Ban Ki-Moon’s call for global action on nutrition.

In the lead-up to ICN2, a broad and diverse delegation of private sector representatives participated in a global debate on nutrition on June 20 with UN member countries in Rome, where the UN Food and Agriculture Organization (FAO) is headquartered.

“We, as our civil society colleagues have indicated, want to underscore the importance of making non-state actors, such as the private sector and civil society, a full partner in the preparation for, and attendance at the ICN2,” wrote JB Cordaro, chairman of the International Agri-Food Network, who delivered a statement with input from several food and agriculture private-sector organizations at the meeting.

The FAO Director General, Graziano da Silva, welcomed the private sector’s input and noted that “the participation of non-state actors is critical for the success of any development process.” Business representatives will have an opportunity to make statements to governments at the ICN2 in November.

The June 20 meeting was a success, with governments supporting business’s role in the lead-up to the November conference, and it marks the first time the FAO actively engaged with the private sector apart from online consultations, according to Helen Medina, USCIB’s senior director for product policy and innovation.

Following on this meeting’s success, the private sector has been offered the opportunity to present at a similar event at the World Health Organization in Geneva on July 15.

Staff contact: Helen Medina

More on USCIB’s Food and Agriculture Working Group

ICC Unveils 2014 Intellectual Property Roadmap

4769_image002The International Chamber of Commerce released its 12th edition of the Intellectual Property Roadmap: Current and Emerging Issues for Business and Policymakers, a report that explains how businesses use intellectual property as an asset that can be used to create value.

The report covers developments with an impact on IP protection as well as creating value from IP, obtaining IP assets, enforcing IP rights and the interaction between IP and other policy areas. There are several new topics, including IP management and licensing, patent quality, harmonization and streamlining of trademark rules, trademark restrictions on packaging, non-traditional marks and innovation.

“The swift pace of change in information and other technologies, and the trend towards more collaboration in innovation, are having a big effect on how IP is used, licensed and protected,” said David Koris, chair of the ICC Commission on Intellectual Property and global head of IP at Shell. “The emergence of new Internet applications and platforms, the increasing use of mobile devices, ever-increasing bandwidth and changing consumer behaviour are making IP owners reconsider how they distribute, commercialize and control their intellectual assets in the electronic environment.”

USCIB is ICC’s American affiliate. Our IP priorities include compulsory licensing, fighting counterfeiting and piracy in global supply chains, and the role IP plays in facilitating technology transfer from country to country, particularly with regard to green technologies.

Staff contact: Helen Medina

More on USCIB’s Intellectual Property Committee