The European Union is making a big push to help its companies and investors access raw materials in developing countries. A new strategy, the Raw Materials Initiative, coupled with the negotiation of free trade agreements with developing countries, threatens to further constrain the ability of developing countries to promote effective development policies.
This report examines both the EU’s attempt to curb or ban the use of export taxes by developing countries, as well as its attempts to negotiate new rules on investment that will give European companies unprecedented access to raw materials in developing countries.
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