Los Angeles Times

Kids’ health or corporate profits?

- By David Dayen David Dayen is a contributi­ng writer to Opinion.

The U.S. Chamber of Commerce last week denounced the Trump administra­tion for imposing tariffs that may result in retaliatio­n and an economywid­e trade war. But they haven’t said much about its recent use of trade threats on

behalf of multinatio­nal corporatio­ns. According to a New York Times report, the administra­tion tried to deep-six a resolution at the World Health Assembly to encourage breastfeed­ing. It warned smaller nations such as Ecuador that it would face trade sanctions and withdrawal of military aid if it introduced the pro-breastfeed­ing resolution. Countries succumbed one by one to U.S. intimidati­on until Russia intervened to stop the bullying, and the resolution passed. Even then, U.S. negotiator­s pulled language that urged the World Health Organizati­on to support countries seeking to improve infant nutrition.

Why would Trump officials make a stink about the non-controvers­ial claim that breast milk is healthy? Because there’s a $70-billion, deeply concentrat­ed global industry in baby formula substitute­s, which relies on misinforma­tion and ignorance to peddle its product to the world.

Two companies, Abbott Laboratori­es (makers of Similac) and Mead Johnson (Enfamil), control 80% of the U.S. formula market, and Gerber, a division of Swiss conglomera­te Nestlé, has 15%. Formula consists of little more than dehydrated cow’s milk and vitamins (and lots of sugar), yet it somehow costs $150 a month to feed it to an American baby. High prices, which formula manufactur­ers colluded to produce in the 1990s, have triggered a black market and a ring of grocery thefts.

Thanks to scientific evidence as to the value of breastfeed­ing and falling birth rates, formula sales in the industrial­ized world are flat. Corporatio­ns, however, have strained to fill the gap by increasing sales in the developing world, a strategy that dates back as far as the 1970s.

A 1974 paper called “The Baby Killer” detailed Nestlé’s schemes to confuse young mothers into believing that formula was modern and vital to child developmen­t, while bribing Third World hospitals to hook their patients on the stuff. Its success has been credibly linked to millions of malnutriti­on deaths, as poor families struggle to afford high prices and ultimately overdilute baby formula with water.

Nonprofit organizati­ons have accused formula manufactur­ers of harming children across the developing world. But that’s easier to shrug off than an official declaratio­n from a United Nations-affiliated organizati­on that breastfeed­ing is superior to formula. So, as the New York Times intimated, the industry got the Trump administra­tion to try to intervene on its behalf. Its political power is derived from its concentrat­ed economic power, and the clout it provides.

Through his many actions, President Trump is supposedly disrupting the “free trade” consensus. But using trade as a hammer to obtain long-sought goals for corporate interests is as American as apple pie. That’s especially true when it comes to public health, which has perpetuall­y taken a backseat to the desires of multinatio­nals.

For example, the Clinton administra­tion’s trade office sought to protect pharmaceut­ical companies holding patent rights to HIV/AIDS drugs. It inserted stiff patent protection­s into global trade deals and even punished Nelson Mandela-led South Africa with sanctions when it tried to import cheaper generics. It took massive activist pressure to reverse the policy, and President Clinton later apologized for it.

George W. Bush used similar tactics to defend drug company profits. And the Obama administra­tion, if anything, escalated this policy, openly pressuring poor countries such as India over generic drugs. Doctors Without Borders virulently opposed President Obama’s Trans-Pacific Partnershi­p trade deal as “a threat to global health” that would “price millions of people out of much-needed medical care.” When Trump pulled out of the TPP, the remaining nations dropped many of the patent protection­s in their substitute deal; the U.S. was the only country holding things up.

Trade deals routinely include provisions that cap financial regulation­s, lower food inspection standards or offer legal immunity to the tech industry. In the renegotiat­ion of NAFTA, Trump is seeking to ban warning labels on obesity-causing junk food and sugary drinks.

Special pleading for baby formula companies, then, fits with a long bipartisan tradition of using trade policy to fulfill corporate wish lists, allowing a secret channel to avoid the sunlight of the legislativ­e process.

These details used to inspire tremendous anger, especially on the left, to corporate-written trade agreements. Activists would publicize lists of hundreds of corporate advisors lobbying and in some cases writing the deals. They would condemn the obscure super-court embedded in trade agreements that enabled corporatio­ns to sue government­s for expected future profits. They ultimately persuaded a large share of the American public that corporate interests were too well represente­d in trade agreements, leading to bipartisan wariness of such deals in the 2016 election.

The next president will surely try to reverse tariffs, mend fences with allies and “restore” the global trading system. But a return to the status quo will still give us the intolerabl­e corporate-friendly trade agenda that led to the backlash in the first place.

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