BurmaNet News, August 12, 2008

[Editor]

August 12, 2008 Issue #3532


INSIDE BURMA
DVB: Two NLD representatives arrested
DVB: HRDP to hire out help to farmers
Mizzima News: 'We will continue our struggle': KNU
Mizzima News: Publication of Cherry magazine deferred due to censors
SHAN: Former ceasefire group to form political party for 2010 election
Khonumthung News: Rats devastate farms in Sagaing division

ON THE BORDER
Narinjara News: BDR and Nasaka hold flag meeting in Maungdaw

BUSINESS / TRADE
AP: Myanmar gem merchants dismiss US embargo threat

HEALTH / AIDS
IRIN: Pregnant women a priority for health services

DRUGS
Bangkok Post: Drug officials off to Burma on inspection

OPINION / OTHER
Mizzima News: Dialogue demands a common vernacular
Business Week: Engagement vs. Divestment



____________________________________
INSIDE BURMA

August 12, Democratic Voice of Burma
Two NLD representatives arrested – Aye Nai

Two 1990 elected members of parliament from the National League for
Democracy were arrested at their houses in the early hours of this
morning, according to NLD spokesperson U Nyan Win.

Nyan Win said the two were taken in by special branch police at around 2am.

"Two of our MPs, U Nyi Pu and Dr Tin Min Htut, were arrested from the
houses where they were staying in Rangoon by the special police at around
2am last night," said U Nyan Win.

U Nyi Pu is people's parliament representative in Gwa township in Arakan
state while Dr Tin Min Htut is an elected representative in Irrawaddy
division's Pantanaw township.

Both men were among the signatories of a letter sent to United Nations
secretary-general Ban Ki-moon at the end of July, in which they declared
their opposition to the 2010 elections and expressed concern about the UN
stance on Burma.

The letter was signed by five 1990 elected representatives and questioned
the UN’s change from its original aim of bringing about national dialogue
to its current urging of all groups to join the government’s road map to
democracy.

____________________________________

August 12, Democratic Voice of Burma
HRDP to hire out help to farmers – Aye Nai

The Human Rights Defenders and Promoters network is planning to hire out
its services to assist farmers and use the proceeds to fund local
education and health facilities.

U Maung Maung Lay, an HRDP network member, said the group was planning to
help farmers with the winter crop.

"We will start our work for the winter crop within the next month and a
half, but before that we will have to move our tillers first to the new
locations," he said.

"But this time it won't be like after Nargis anymore – we will charge
farmers for each acre of farmland we help to cultivate at reasonable
rates."

Maung Maung Lay said HRDP did not stand to benefit financially from the
arrangement, but would channel the funds back into development work.

"Then after we have finished the work, we will pay for labour and fuel
from that money, and we will use the rest to build a school or a clinic in
the region," he said.

"The HRDP will not take a penny of that money."

The HRDP previously provided assistance to local farmers in Bogalay,
Labutta, Ngaputaw, Thingangon, Kanyingu and Mawkyun villages, helping to
cultivate nearly 500 acres of farmlands with three tillers.

____________________________________

August 12, Mizzima News
'We will continue our struggle': KNU – Than Htike Oo

Despite of many fallen heroes and leaders, the Karen National Union, an
ethnic armed rebel group, on Tuesday vowed to continue their struggle for
self-determination in the path laid down by martyrs and follow the role
model of their leaders.

KNU, one of the longest running insurgents of Burma, reiterated their
unwavering stand on the 58th Karen Martyrs' Day ceremony held on Tuesday
at a location they called Kawthoolay, or Karen land, along the
Thai-Burmese border.

The ceremony was graced by several of the KNU leaders including Saw
Tamalabaw, Chairman of the KNU's armed wing - Karen National Liberation
Army - Chief-of-Staff Maj. Gen. Mutu Saypho and KNU's Joint- General
Secretary (1) Pado David Tharkapaw.

In an interview with Mizzima, Chief of the KNU Information Department,
Pado Saw Hla Ngwe, said, though several of their reputed leaders have
passed away, the group will remain firm and will continue the struggle.

"We will follow the same line and policy adopted by our leaders. We will
keep up their fine tradition to continue our struggle until victory is
ours," Pado Saw Hla Ngwe said.

He added that the KNU has suffered loses several times in the past because
of traitors that broke away from the group.

"But our revolution will not falter because of these unhealthy trends," he
added.

The anniversary ceremony was also attended by KNU's Pa-An district
Chairman Pado Ah Toe, the 7th Brigade Commandant Maj. Gen. Thura Jhonny,
township level leaders and more than 800 people. About 150 KNU cadres put
a show as they paraded during the ceremony.

Following the death of its charismatic leader, Gen Saw Bo Mya, in December
2006, the KNU, which has been fighting Burma's central government for
nearly 60 years, has faced severe internal conflicts.

The signing of ceasefire agreement between Maj Gen Htain Maung, a former
leader of the KNU's 7th Brigade, and the Burmese military regime in 2007
is yet another heavy blow to the KNU, which lost its fortified
headquarters at Manerplaw inside Burma, to the Burmese army in 1995.

The KNU yet suffered another great lost in early 2008, when another
prominent leader, general-secretary of KNU Pado Manh Shar Laphan was
assassinated by unknown armed men at his residence in the Thai-Burmese
border town of Mae Sod.

The 7th Brigade Organizing Department Chief Saw Tar Doe Muu said the
ceremony on Tuesday is to honour the fallen soldiers and leaders, who have
perished this year. Several family members and wives of the fallen martyrs
were also seen at the ceremony.

"We take pride for the sacrifices of the husbands and sons of these family
members and we pledge to continue their unfinished task in the presence of
the family members. We vow their sacrifices, their blood and sweat will
not be in vain. We will march towards victory in unity. This is our
objective and intention of holding this ceremony," he said.

On August 12, 1950, Burmese army killed Saw Ba Oo Gyi, a national leader
and father of the Karen movement, at Taw Ko Koe village in Kawkareik
Township, Karen State, after arresting him on the frontline.

Since then the Karens have observed the day as a martyr's day to remember
and to honor Saw Ba Oo Gyi and other fallen heroes and leaders.

____________________________________

August 12, Mizzima News
Publication of Cherry magazine deferred due to censors – Nem Davies

Delays in the Burmese censorship board has forced a Monthly Publication in
Rangoon, Cherry Magazine, to defer its August issue to September, sources
said.

While the August issue of Cherry magazine was scheduled to be published in
late July, due to the delays by the censorship board, where all
publications in Burma has to pass through before being allowed to publish,
the magazine was release on Tuesday as September issue, deferring the
issue for August.

Despite of the delays, the Censor Board only passed only five poems out of
the submission of 16 poems for scrutiny, a Rangoon based editor of a
Magazine, who regularly reads and monitors the issues of Magazine
publications, said.

Usually, the editor, who wished not to be named said, the censor board
takes a week for scrutinizing the contents of magazines. But this time,
they took two weeks to pass four poems out of 16 submitted.

"Normally the magazine carries seven poems in each issue, so the editors
submitted more poems but by the time the censors pass, the regular
publication date of 20th of every month had passed," editor who is close
to 'Cherry' magazine told Mizzima.

He added that the Magazine editors changed the issue month and published
it on Tuesday.

"This was an anniversary special issue. But the censor board deleted many
articles and in some articles, they censored some paragraphs. Each article
has about 20 pages. There are many paragraphs deleted from many other
articles," he added.

The Burmese Press Scrutiny Board (Censor Board), however, reasoned that
the delay in passing the manuscripts was due to lack of manpower in its
department since the chief scrutiny officer is on leave and other junior
officials have to read many publications and it was more than they could
handle this month.

The editor, however, said it was a false excuse by the censorship board,
and that the government has tightened the censor rules on 'Cherry'
Magazine following a poem – "Depayinga' published in its last month's
issue that created trouble among the censorship department.

"No, this is just an excuse. They tightened the censorship rule on
'Cherry' magazine after the 'Deparinga' poem appeared in the last issue.
All other magazines are receiving in normal times as usual," the editor
added.

In Burma, monthly magazine publishers usually submit a lot more of
articles then they actually print to cope with the tight censorship and to
have enough articles and poems to print even if the censorship deletes or
removes a few of them.

According to the Rangoon literary community, every month, the censorship
would delete or remove several articles and poems.

'Cherry' magazine was first published in August 1984 and the August issue
is the Magazine's 24th anniversary special issue. Though they could
publish their special issue today, the publisher suffered financial loss
for the delay in publishing as they lost contact with their readers for a
brief period.

____________________________________

August 12, Shan Herald Agency for News
Former ceasefire group to form political party for 2010 election – Hseng
Khio Fah

Shan Nationalities Peoples’ Liberation Organization (SNPLO), a ceasefire
group in southern Shan State that recently surrendered on 3 August under
the pressure from the Burmese military has decided to form a state-based
party to enter the 2010 elections, according to a source from anti-junta
PaO National Liberation Organization (PNLO).

A group of 125 strong former SNPLO led by Soe Aung Lwin and Sein Shwe will
form a political party, but the party’s name has not been chosen so far,
according to Joihto from PNLO's Political and Organization Department.

“However, we don’t think the party will get a chance to win even though it
is allowed to contest in the elections. Everything will be under the
military control,” he commented.

The group was forced to surrender and lay down all weapons by Deputy
Commander of Eastern Region Command and Vice chairman of Shan State South
Peace and Development Council, Brig-Gen Chit Oo and Military Affairs
Security (MAS) officer, Major Win Bo.

The said officers led Light Infantry Battalion (LIB) 426 and Infantry
Battalion (IB) 250 to surround the SNPLO’s headquarters at Nawng Htao,
Hsihseng township. Altogether 62 weapons of SNPLO were taken, Joihto told
SHAN.  “Had the group refused to comply, they would have been shot.”

The Burmese military has since been stationed at Nawng Htao.

It is also reportedly planning to set up a new military camp and a police
station at the former SNPLO headquarters.

The SNPLO was formed in 1968. In 1994 it concluded a ceasefire agreement
with Rangoon. In 2007, one of its factions led by Chit Maung surrendered
to the Burmese military and another faction led by KhunTi Sawng returned
to the struggle changing its name to PaO National Liberation Organization
(PNLO). The third faction led by Maj Hseng Fa surrendered last month.

Out of a ceasefire groups in Shan State, 3 have surrendered so far: Shan
State National Army (SSNA) and Palaung State Liberation Army (PSLA) in
2005 and SNPLO this year. The remaining ceasefire groups are Kokang, Wa,
Mongla, Shan State Army (SSA) North, Kachin Defense Army and PaO National
Army (PNA).

____________________________________

August 12, Khonumthung News
Rats devastate farms in Sagaing division

Rats have started devouring crops in Sagaing division in Burma, heralding
famine. Crops in farmlands in some villages in Tamu Township close to the
Indo-Burma border are being devastated by rodents since early July.

A swarm of rats found in Mautam (food crisis from Bamboo flowering)
affected areas in Chin state, Burma. (Photo - CFERC)
"Since early July, rats are destroying several crops such as paddy and
maize planted in farms in our villagers," a villager from Khanpat said.

However, a villager from Khanpat could not verify the extent of damage the
rats have wrought in his village.

There are around 50,000 acres of farms only in Khanpat village that have
around 1000 households. Paddy and maize are the staple food in rat
infested villages including Khanpat village in Tamu Township.

To stop the invading rats, the local authorities in Tamu have provided rat
poison to villagers. However, all the attempts are in vain, according to
another villager from Khanpat.

"There is no effective help from local authorities in tackling the rats. I
heard the people saying that another Nargis Cyclone is sweeping across the
region," a villager said.

Moreover, crops in farmlands of some villages in Kalay Township have also
been devastated by rats.

Bamboo flowering began on the Indo-Burma border in late 2006 leading to
the multiplication of rats in the region. The rats gradually invaded the
farmlands and destroyed crops.

As a result along the Indo-Burma border areas, people heavily dependant on
cultivation are facing shortage of food.

In Chin state, there are around 100,000 people facing food shortage and
around 1000 fled to India, according to the Chin Famine Emergency Relief
Committee, a relief group comprising Chin social activists based in
Mizoram state, northeast India.

The Burmese regime said that they have provided rat poison and around one
thousand rice bags to the affected areas in Chin state.

Yet, the locals from the affected areas in Chin state denied that they had
received aid from local authorities.

Instead, the military authorities allegedly seized rice bags that the
Catholic Church had sent to overcome the food crisis, according to the
Chin Human Right Organization.

____________________________________
ON THE BORDER

August 12, Narinjara News
BDR and Nasaka hold flag meeting in Maungdaw

A flag meeting between border authorities from neighboring countries Burma
and Bangladesh was held on Saturday at the western Burmese town Maungdaw,
according to a report of Nasaka.
Personnel from Bangladesh Rifles and Burma's Nasaka attended the meeting
as representatives of their respective countries.

At the meeting, the two sides discussed many border issues, including
trade, human trafficking, smuggling, and border security.

According to the Nasaka report, Nasaka officials handed over three
Bangladeshi fishermen to BDR officials during the meeting.

The fishermen were abducted by Burmese border forces from the Naff River
three months and held for ransom. Bangladesh authorities requested their
release several times on the grounds that the fishermen had committed no
crimes.

The Bangladesh team consisted of ten Bangladesh Rifles members from
Battalion 42, led by Acting Commander Major Zahidul Rahman Khan, while the
Burmese team consisted of twenty Nasaka officers led by Assistant Director
U Aung Thein Tun from Immigration department of Maungdaw.

____________________________________
BUSINESS / TRADE

August 12, Associated Press
Myanmar gem merchants dismiss US embargo threat

Thousands of sapphires, rubies, diamonds, emeralds, jade and other gems
glitter in long glass display cases as merchants haggle with professional
buyers — most of them foreigners — and tourists.

Business is good here at the sales center of the Myanmar Gems Museum,
despite legislation signed by President Bush last month to ban the import
of rubies and jade into America. Yangon gem sellers dismissed the sanction
against their government as a symbolic gesture unlikely to have much
impact on their lucrative trade.

"Our buyers are almost all from China, Russia, the Gulf, Thailand, India
and the European Union, and we can barely keep up with their demand," said
Theta Mar of Mandalar Jewelry, a store in the museum gem shop, where
prices range from a few hundred dollars to about $18,000 for the best
rubies.

Myanmar, formerly known as Burma, produces up to 90 percent of the world's
rubies and is a top international supplier of other gems and jade. The
government-controlled sector, often criticized for harsh working
conditions and poor environmental controls, is a major source of export
revenue for the military.

No recent or reliable official statistics on the gemstone trade are
publicly available, but analysts and human rights groups say it likely
brings the military regime between $300 million and $400 million a year.

The embargo on gems is the latest U.S. move to apply financial pressure on
the junta. Many Western nations have instituted economic and political
sanctions against the military government, which seized power in 1988,
violently suppressed pro-democracy demonstrations by monks last September
and hindered foreign aid after a devastating cyclone in May.

The U.S. bill bans all import of gems from Myanmar. U.S. officials say
Myanmar had been evading earlier gem-targeting sanctions by laundering the
stones in third countries before they were shipped to the United States.

The United States also has been trying to persuade the U.N. Security
Council to consider introducing international sanctions, and has demanded
that the junta release opposition leader Aung San Suu Kyi from house
arrest.

Exiled Myanmar pro-democracy activists hailed the new U.S. measure.

"This legislation sends a strong signal to Burma's military regime that
the United States stands firmly on the side of my country's democracy
movement," said Aung Din, co-founder of the Washington-based U.S. Campaign
for Burma, which lobbies for political change.

However, the junta has not issued an official response. And local
officials have privately told foreign diplomats the embargo will have no
effect on the sector's foreign sales unless the wider international
community joins in.

Such a move seems unlikely anytime soon. Although the European Union has
edged closer to the punitive U.S. position toward Myanmar's military
rulers, Yangon's regional trading partners — China, India and members of
the Association of Southeast Asian States — have argued that engaging the
junta will be more productive in the long run than isolating it through
sanctions.

Foreign diplomats also have pointed out that sanctions would primarily
impact disadvantaged minorities, who live in many of the gem mining areas
of Myanmar.

So the gem trade continues to thrive. Myanmar's rubies, and particularly
the rare "Pigeon Blood" stones, are highly prized on international markets
because of their unique deep color. The country's precious jadeite
deposits produce the dark green "Imperial Jade" that is sought-after in
China and other countries in the region.

The junta holds regular gem auctions for foreign merchants during which it
sells thousands of lots of valuable stones, which are said to generate
upward of $100 million in foreign currency per sale. The last such event,
held in November, drew more than 3,600 foreign buyers.

"We are not concerned (by the U.S. embargo)," Myint Myint Cho of the Min
Thiha Jewelry Shop in downtown Yangon told a reporter. "We are not
thinking of it at all."

____________________________________
HEALTH / AIDS

August 12, IRIN
Pregnant women a priority for health services

Khim Mar Tun almost died when Cyclone Nargis devastated her village in
May. "Our whole village was swept away," the 28-year-old told IRIN. "Of
the eight people in my family, four died. All of them were washed away."

Six months pregnant and barely able to stay afloat, she spent nearly four
hours in the water that swept away her home before being rescued.

Three months after the cyclone struck, leaving nearly 140,000 people
either dead or missing and 2.4 million badly affected, she is about to
give birth. "I'm lucky, I guess," she said. "I've already been to the camp
clinic and will give birth either here or at the hospital in Labutta," she
said, referring to the largest town in the area, 3km away, at the southern
tip of the Ayeyarwady Delta.

In the aftermath of Nargis, now described as the country's worst natural
disaster, the risk factors for pregnant women have increased. According to
the World Health Organization (WHO), the country has a maternal mortality
rate (MMR) of 383 deaths per 100,000 live births.

"It's entirely possible that those rates [MMR] would go up. One would
expect them to," Dan Baker, country representative for the UN Population
Fund (UNFPA), told IRIN in Yangon, the former capital.

Pregnant women are among those in the greatest danger during humanitarian
emergencies, with poor nutrition and a lack of access to safe delivery
options often having fatal consequences, he explained.

In the Ayeyarwady Delta, where women typically give birth at home with the
help of midwives or in rural health centres, the widespread destruction of
homes and disruption of transport and medical services would exacerbate
matters.

Tens of thousands of pregnant women have been put at risk by the storm's
disruption of health services, Baker noted.

Damaged health facilities

Based on fertility estimates, UNFPA estimates that at any given time there
are 35,000 pregnant women in the delta, and each month, 4,400 women will
give birth; of whom 440 will experience complications, and 220 will
require Caesarean sections.

However, many community health centres were wrecked by the category four
storm, and scores of midwives killed.

According to the Post-Nargis Joint Assessment (PONJA), a report prepared
by representatives of the Myanmar government, the Association of Southeast
Asian Nations (ASEAN) and the UN, released in July, Nargis damaged almost
75 percent of health facilities in the affected townships, with much of
the damage occurring in places such as Labutta at the extreme end of the
delta.

Almost all the destroyed facilities were primary health centres, including
station hospitals, rural health centres and sub-centres and the impact on
maternal healthcare is significant.

"Hospitals account for a small number of births in the country," Baker said.

Three months after the cyclone, there are no exact figures on the number
of pregnant women who have died giving birth, but key assumptions can be
made.

"If a woman has no shelter and has to give birth without any health
attendants, by herself or with an untrained person, she is much, much more
likely to die," Baker said, stressing the importance of getting health
services back up and running as soon as possible.

Progress on the ground

UNFPA, with the Myanmar Medical Association, has hired additional doctors
to work at area clinics, and dispatched a wide range of supplies to the
affected area, ranging from rubber gloves for midwives to hospital
equipment delivered to the Myanmar Ministry of Health for distribution.

To date, tens of thousands of clean delivery kits have been distributed
through various partners - international and local NGOs, community-based
organisations, mobile clinics and individuals.

In addition, the agency has opened maternity waiting homes in places such
as Bogale and Labutta, where women who live far away can stay while
awaiting delivery.

Women can receive prenatal care and delivery referrals at the centres,
which also serve as a base for mobile clinics providing general and
maternal health services to more remote areas.

____________________________________
DRUGS

August 12, Bangkok Post
Drug officials off to Burma on inspection – Anucha Charoenpo

Drug officials will today fly to Burma to inspect the designated area for
a Thai-initiated crop substitution project under a memorandum of
understanding on opium eradication signed early this year.

Secretary-general of the Office of the Narcotics Control Board Krissana
Pol-anand said ONCB officials led by deputy secretary-general Pitaya
Jinawat will travel to Ban Yin area in Taung Gyi town in the northern Shan
state.

The Burmese junta gave permission to the ONCB and the Mae Fah Luang
Foundation, which runs the Doi Tung Development Project in Chiang Rai, to
help with a crop substitution project in the designated area following the
success of cooperation in a similar project in Yong Kha area in Shan state
some five years ago.

Similar projects have also been carried out in Banda Aceh of Indonesia and
in Afghanistan.

Pol Lt-Gen Krissana said Thai officials and their Burmese counterparts
plan to launch the joint project by the end of the year.

The Ban Yin area is inhabited by the Pa-o, an ethnic minority, and was for
decades a major opium-growing area.

The ONCB and the Mae Fah Luang Foundation will also help Burma carry out
alternative development projects in eight other areas along the long
border.

The Doi Tung Development Project has a long history of success in
encouraging hilltribe people in the North to grow cash crops instead of
opium.

Pol Lt-Gen Krissana also said cooperation between the two countries led to
the arrest two weeks ago in Bangkok of a key Burmese drug dealer, Thet
Nai. This followed the issuance of an arrest warrant by the Keng Tung
court in Shan State.

The suspect had allegedly travelled back and forth between the two
countries organising his drug deals.

____________________________________
OPINION / OTHER

August 12, Mizzima News
Dialogue demands a common vernacular – Joseph Ball

The United Nation's Special Envoy to Burma, Ibrahim Gambari, is preparing
to make yet another foray into the murky world of Burmese politics. A
central feature of his mission is to promote a dialogue between the
disparate parties – and crucially between the country's military rulers
and National League for Democracy head Aung San Suu Kyi. But before there
can be any hope of dialogue, those invited to the table must speak a
common language.

Confronting Burma's generals on democratic principles and international
rights is a bona fide non-starter. Such language is not that of career
military men with a near-singular infatuation with Myanmar as opposed to
an ideology based upon rights and democracy. It is also a military that
during the 1950s found the situation in Yugoslavia most comparable to that
of Burma – a 'lesson,' whether correct or not, in democratic
transformation that will not be lost on the generals. And, despite a
persistent increase in the weight of tomes relating to international
conventions and rights, the trend on the ground today warns of a
consortium of nations nostalgic for the principles conferred at Westphalia
in 1648 – as opposed to being beholden to the amassing rights legislation.

The passing of the 'Responsibility to Protect' (R2P) resolution, codified
in 2006 by the United Nations Security Council, would appear to have been
further evidence of a world with fewer international barriers and a
recognition that the rights of populations in need outstrip the authority
previously endowed upon national sovereignty. But passage of R2P was more
emblematic of sentiment, and devoid of interest. States act on interest.

In fact, R2P can be argued to having been implemented 15 years prior to
the historic resolution, with the imposition of the 'No-fly zone' over
portions of Iraq in 1991. This United States-led action, in pursuit of
national interests but justified by morality, was possible in 1991.
Presently, however, the authority of a state or group of states to
legitimate national policy on the grounds of morality is severely
curtailed – despite the passage of R2P and an expanding human rights
discourse.

It is argued that the United States, Europe and other countries committed
to notions such as democracy have a moral responsibility to come to the
aid of an oppressed Burmese population. Perhaps they do. But that moral
responsibility is likely no longer sufficient to justify interventions of
national interest within the greater and increasingly competitive world of
geopolitics – and certainly not without a regional context.

It was possible in the dying years of the 20th century for the United
States and its allies to mold a Security Council presenting at least a
façade of commonality. However, by the second Iraq War of 2003
'international' consensus was no longer possible, though the United States
and allies could still act unilaterally. In 2008, neither consensus nor
unilateral action – even if couched in the verbiage of universal norms and
rights – is possible.

Today the United Nations Security Council sounds more like that of 1978
than 1998. Reacting to recent events in Georgia, specifically to both
Georgian internal aggression and a Russian response across international
boundaries, the United States and Russia stand defiantly opposed,
presenting vastly divergent interpretations and both claiming to uphold
the moral highground.

Further, the military actions of Georgia and Russia were responses to
state interests, nothing to do with universal principles – unless one goes
back to the supremacy afforded nation-states realized over 350 years ago
at Westphalia. While Georgia pleads for United Nations intervention,
whatever happens will be most contingent upon competing national interests
and power relationships on the ground in the Caucuses.

What does this tell us about the current democratic opposition strategy
regarding the language needed to confront Burma's generals? Quite
succinctly, any strategy which places critical importance on the primacy
of the Security Council, 'international' intervention or the recognition
of universal human rights and democratic principles is a policy of
political stagnation.

This does not mean opposition activists and supporters need to sacrifice
their democratic and rights principles, and their goals of a democratic
Burma enshrining the said rights. But it does ask them to pursue such
goals through a dialogue constructed around language and values to which a
highly nationalistic military government can relate. Any civilian
opposition to military rule voicing disapproval through the context of
political system and rights will be understood by military authorities
already lacking legitimacy as subversive.

Thus, regardless of what could be deemed a public advancement of the
universal human rights doctrine, the central feature of any dialogue with
Naypyitaw – especially at the state level – must be one of national
security, patriotism and even economic progress. And such an approach over
time will lend itself to the creation of more space in civil society, an
arena which can then be exploited to work for the further enhancement of
democratic principles and individual rights.

It is insufficient to have goals. There must be a means through which the
goals are achievable – the elusive 'strategy' of the present opposition.
As a verbal means, a democratic and human rights discourse has to date
failed – but that need not infer that democracy and human rights are not
valid goals. Of central importance to the success of any process of
dialogue, and/or national reconciliation, will be the advent of a common
vernacular means between the disparate groups.

Burma's military machine is unlikely to deviate in its posture and
language, but can the opposition demonstrate the flexibility and
creativity needed to alter the status quo? One indication that they are
able to do just that – and an approach Gambari would be wise to advocate –
would be if their demands and desires for the country are conveyed in a
language the military understands and respects. Otherwise, the different
sides – even if seated at the same table – will continue speaking past one
another.

____________________________________

August 12, Business Week
Engagement vs. Divestment – Alyson Warhurst

Multinational corporations operating in such countries as Myanmar,
Zimbabwe, and China are easy targets for critics who accuse them of
supporting totalitarian regimes. Of course, business should be
accountable. But it is a mistake to undermine a responsible company's
reputation through ill-informed "trial by media." In fact, forcing
companies to divest their holdings in these countries could ultimately
harm the very people who most need help.

Private enterprise is one of the best ways to lift people out of poverty.
Private-sector investment in emerging economies has risen fourfold during
the past decade, outstripping official aid programs by 10 to 1. Government
engagement with many regimes has been ineffective—failing, for example, to
get timely relief into Myanmar, achieve a U.N. Security Council decision
on Zimbabwe, or influence Chinese policy on Tibet or Darfur.

When things go wrong in such countries, responsible companies should be
allowed to make business decisions for themselves. By continuing to
operate, they can offer economic lifelines to employees and local
communities and provide channels for engagement with civil society and
governments—however much we disagree with the policies or actions of the
latter.

THE BRAVE DECISION
Anglo American (AAL.L), the London-based mining company, faces pressure
from human-rights groups and from the British government to pull out of
Zimbabwe. With the Mugabe regime now threatening to strip the company of
licenses it holds on undeveloped mining claims, the pressure has only
increased.

Should it go? That would be a pity. Anglo American has been in Zimbabwe
for 60 years and has extensive business and social networks. And it has a
good reputation. Year after year, verified reports show it is a
responsible employer and corporate citizen. If it withdraws, its employees
would suffer and its networks would crumble, reducing opportunities for
business engagement with future governments. And if Anglo American leaves,
the Mugabe government would seek investment from others—notably, from
Russian and Chinese mining companies, which may have lower human-rights
standards and lack transparency.

Not all companies make the brave decision to stay. British retailer Tesco
(TSCO.L), after critics targeted it in a media campaign, announced on July
1 that it would no longer source products from Zimbabwe. Its Zimbabwean
supply chain supported an estimated 4,000 workers. What happens to them
now? Zimbabwe's economy is in shambles, pushing an estimated 5 million to
the brink of starvation.

Rival retailers Waitrose and Sainsbury's (SBRY.L) continue to source from
Zimbabwe. Mining company Rio Tinto (RIO.L), banking group Standard
Chartered (STAN.L) and consumer-products giant Unilever (ULVR.L) still do
business there. All are responsible companies.

If prices are fair, wages are just, working conditions are decent,
transactions are transparent, and community initiatives are sustainable,
should we not trust responsible global businesses to stay, so long as they
operate by the principles we have asked them to adopt?

HUMANITARIAN PARTNERS
In Myanmar, divestment has had disastrous consequences. Under pressure
from critics, such apparel makers as Adidas (ADSG.F) and Levi Strauss &
Co. have closed factories or stopped sourcing from the country. Thousands
who lost their jobs were women. Left impoverished and isolated, many have
had no alternative but to join the country's growing number of sex
workers. Surely, that is not what the critics intended.

Britain's Premier Oil (PMO.L) also left Myanmar partly under pressure. At
the time of leaving, it had implemented programs to provide training in
human-rights monitoring to the military and to government employees. It
also financed community investment projects, managed by Save the Children
USA, that are among the best-run such programs I have ever evaluated. And
it had engaged with opposition leader Aung San Sui Kyi, who agreed that
responsible business would have a critical role to play in rebuilding the
country when democracy returned.

The business vacuum in Myanmar was highlighted in May when the country was
hit by a devastating cyclone. Around the world, responsible businesses
often work with humanitarian partners to deliver relief after natural
disasters. Having such networks in place could have made a big difference
in Myanmar, whose ruling junta initially refused assistance from the U.N.
and Western countries. Instead, a handful of companies, including French
oil group Total and express-delivery company DHL, found themselves
battling the odds to deliver humanitarian relief via their limited
channels. If Western business had stayed and maintained a diligent
approach to human rights, thousands might now have decent jobs, to the
benefit of their families and communities.

BOUNDARIES OF RESPONSIBILITY
China presents a different kind of dilemma. Unlike Zimbabwe and Myanmar,
there's little chance that multinationals will leave this booming economy.
Yet with the Beijing Olympic Games about to begin, top corporate sponsors
are in the spotlight.

One example is General Electric (GE). As the official Olympics provider of
water treatment services, it recently announced it would donate two
treatment systems to provide clean drinking water for more than 60,000
residents in Dongguang City and its environs. GE says the project "will
strengthen our ability to further help China and other nations leapfrog
traditional infrastructure challenges to deliver clean water to hundreds
of millions of people in the world's remote communities." Such
initiatives, which apply the company's core competencies to address
sustainable development, clearly show why responsible business should be
encouraged to engage with governments, even when we disagree with those
governments on human-rights issues.

GE is also working with other companies, including Honeywell (HON), United
Technologies (UTX), and IBM (IBM), to help the Chinese government design
and install one of the most comprehensive public surveillance systems in
the world. The system, which will be deployed at Olympic venues and in the
subway and airports, uses GE's powerful VisioWave technology, which
automatically alerts security personnel to suspicious and fast-moving
objects.

Clearly, protection of Olympic athletes and visitors is paramount.
However, it's not hard to imagine that the Chinese authorities, with their
well-documented track record of detaining journalists, lawyers, activists,
and religious practitioners, could use this technology to infringe on
citizens' rights. This underlines the need for responsible business. GE
has as its overarching goal for 2008 implementing human-rights
considerations in GE's operating cycles. In line with this, Bob Corcoran,
vice-president for corporate citizenship, says GE "secured the US export
licenses and worked with the Chinese customer to make sure that the
equipment is used for its intended purpose, during and after the
Olympics."

PART OF THE SOLUTION
How far should the boundaries of corporate responsibility extend? There
are no easy answers. But responsible business clearly has a role to play
in high-risk emerging economies. Across-the-board divestment makes neither
economic sense nor humanitarian sense. Companies, if they stay, can become
part of the solution by following these recommendations:

• Develop business principles based on the U.N. Global Compact

• Establish a human-rights policy supported by training and monitoring
systems and empowering of local managers.

• Create an ethical supply-chain management system.

• Work with expert third parties to audit activities and suppliers.

• Engage on human-rights dilemmas and solutions with internal and external
stakeholders.

• Build relationships with employees and address humanitarian flash
points, such as hunger or disasters.

• Develop sustainable social investment programs with employees' families
and local communities.

• Engage in dialogue with host governments to promote transparency.

• Build trust with home-country government and avoid communicating with
politicians via the media.

• Communicate regularly with civil society organizations and the media in
Europe and the U.S.

Warhurst is chair of Strategy and International Development at Britain's
Warwick Business School, a member of the faculty of the World Economic
Forum, and a founding director of social enterprise and advisory firm
Maplecroft. She has advised companies including De Beers, Shell, DHL, TNT,
Unilever, Nestle Waters, Premier Oil, and Standard Chartered Bank, as well
as international humanitarian and human rights organizations on global
risks and corporate social responsibility.