ROUNDTABLE ON LABOUR EXPLOITATION / PEOPLE TRAFFICKING

June 16, 2015

the National Police Headquarters
Wellington
Report by Chris Frazer
(on behalf of the planning group)
Preamble
The roundtable was a small, by invitation only, gathering of key government and non
government participants. The key speaker for the event was Phil Marshall, a specialist in
programmes to counter people trafficking and labour exploitation. The planning group for
the roundtable was a mix of non government and government representatives.
The purpose of the meeting was to hear of the progress made to date by the New Zealand
Government to tackle all forms of labour exploitation as it occurs within New Zealand, to
acknowledge progress made and reflect on what further work needs to be done in order to
effectively tackle the growing issues surrounding, in particular, migrant labour
exploitation.
Those present represented Immigration New Zealand, Ministry of Business, Innovation and
Employment (MBIE), New Zealand Police, the US Embassy, and non-government personnel
who are all involved in addressing trafficking and labour exploitation. This brief report will
give an overview of the topics addressed with appendices including the agenda, and some
useful links to further information.

Welcome and Introductions

Liam Clinton, Detective Senior Sergeant of the New Zealand Police welcomed participants
to the roundtable and introduced Deputy Chief of Mission (DCM) Candy Green US Embassy
to present the opening comments to the gathered participants.

DCM Candy Green

DCM Green opened with her appreciation for the opportunity to speak to the gathering and
affirm their commitment to tackling this growing crime which spans over many years.
DCM Green then outlined present US engagement on a global scale to combat the crime
pointing out that bringing about an end to such criminal activity wont be easily won.

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In January, the White House hosted a forum dedicated to combating human trafficking in
supply chains. As the largest single purchaser of goods and services in the world, the U.S.
government has a responsibility to ensure that American tax dollars do not contribute to
this affront to human dignity.
The event brought together leaders from the private sector, nongovernmental
organizations, and the federal government to talk about what we can do to prevent and
eliminate any instances of trafficking-related activities in federal contracts and in private
sector supply chains.
The forum was part of President Obamas sustained commitment to the anti-trafficking
agendai that he laid out in September 2012. At the forum representatives from the private
sector including the electronics, textile, and retail industries shared successful practices
and strategies they have used to combat human trafficking and that have the potential to be
transformational in this field.
The Presidents Executive Order Strengthening Protections Against Trafficking in Persons
in Federal Contracts ii was also updated this year, establishing a number of new safeguards
modelled on successful private sector practices, and reflecting public input from federal
contractors, academia, NGOs, and other stakeholders.
The Executive Order prohibits federal contractors and subcontractors from charging
employees recruitment fees or using misleading or fraudulent recruitment practices, and
requires contractors and subcontractors performing work outside the United States to
develop and maintain a compliance plan to certify that neither they nor any of their
subcontractors has engaged in trafficking-related activities.
To help us better understand where, how and why trafficking can occur, and to assist
companies in implementing the new rules, the State Department has teamed up with the
NGO Verit and its partners to investigate and map out the risk of trafficking in global
supply chains generally, and in federal supply chains in particular.
In addition to federal efforts to manage supply chains, the California Transparency in
Supply Chains Act requires manufacturers and retailers doing work in California to list
measures they are undertaking to identify and address human trafficking in their product
supply chains.
DCM Green finished her presentation by saying this roundtable was another big step in
addressing what is happening within New Zealand.

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Rebecca Miller, Senior Business Advisor, Immigration New Zealand

Rebecca Miller, Senior Business Advisor Strategic Projects, welcomed participants to the
Roundtable. She described some of the recent restructures within MBIE, highlighting that
the coordination role of trafficking in persons now sits within the Compliance, Risk and
Intelligence Services (CRIS) of Immigration New Zealand. In the next month, she will take
on the role of Programme Manager People Smuggling and Trafficking in Persons within
CRIS and be responsible for the coordination of trafficking in persons issues.

Targeting exploitation through supply chains

Phil Marshall, Director, Research Communications Group (RCG) & Human
Trafficking Specialist
Phil Marshall gave a presentation on the changing environment with regard to product
supply chains. The impetus for this change is coming from three directions: governments,
consumers, and business themselves.
Although the California Supply Chain Act has been criticised as having no teeth, it is hugely
significant in normative terms, as the first major initiative to place responsibility on
companies for labour practices further down their supply chains. It is also a potential entry
point for consumer advocacy. Another relevant piece of US legislation is The DoddFrank
Wall Street Reform and Consumer Protection Act, 2010. Although it does not deal with
forced labour, the provisions on conflict minerals are significant in that they focus on the
entire supply chain, rather than just the upper levels.
As highlighted by DCM Green, the US is also addressing forced labour/trafficking in its
government procurement processes and there is a possibility for other countries, including
New Zealand, to piggy back off the US efforts by using their checklists and blacklists,
including the Department of Labours List of Goods Produced by Child Labour or Forced
Labour. Federal contractors who supply products on the list must certify that they have
made a good faith effort to determine whether forced or indentured child labour was used
to produce the items supplied.
The UK has also included a supply chain component in its new Modern Slavery law and is
currently consulting on the details. The Organisation for Security and Cooperation in
Europe (OSCE), comprising 57 States including the US and the UK, is promoting
government action on both supply chains and procurement as one of its counter-trafficking
priorities. The OSCE is also undertaking some work on developing red flag indicators for
suspicious financial transactions that relate to forced labour.

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As well as the conditions in workplaces themselves, the treatment of migrants during the
migration processes has gained more attention, reinforced by the new Protocol to the
International Labour Organisation (ILO) Forced Labour Convention, which requires
governments to take measures to better protect workers from fraudulent and abusive
recruitment practices.
In parallel with government efforts, there is growing recognition of the role of consumers,
with a number of initiatives promoting ethical buying behaviour and others promoting
campaigns against errant companies, notably the Australian nongovernmental organisation
(NGO), Walk Free, which runs web-based campaigns and has over nine million subscribers.
Consumer action is an area that appears to have immense promise in shrinking markets for
products produced by forced labour, but there is currently limited information for
consumers to go on. As a result most action to date is incident-based, that is a reaction to
individual incidents rather than based on a wider assessment of company practices.
Although a certification process for individual products might not be feasible, an
alternative currently being explored is to certify the auditors used by companies to assess
their supply chains.
Against this background, there is increasing recognition among businesses that supply
chains tainted with forced labour are unsustainable and that this is not so much a
Corporate Social Responsibility (CSR) issue as one relating to core profitability. For New
Zealand, there is the opportunity to draw on the work of others, notably with regard to
government procurement, where we could draw on US processes in particular. Contact
with the OSCE might also be useful. Apart from the work mentioned previously, OSCEs
Office of Office of the Special Representative and Co-ordinator for Combating Trafficking in
Human Beings has done quite a bit of work on domestic workers in diplomatic households.
For civil society, there appears strong potential for increased consumer action, and this is
something in which the churches could play a key role.
In relation to businesses, there are already indications that New Zealand companies are
starting to be affected by global changes, including clauses in contracts relating to the use
of forced labour. While consumer campaigns remain largely incident-based, there appears
potential for New Zealand companies to be damaged by, for example, the mistreatment of
migrant workers.

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Combating labour exploitation / People trafficking within New Zealand

Facilitator: Rebecca Miller, Senior Business Advisor, Immigration New Zealand
Rebecca Miller presented an overview of people trafficking and labour exploitation within
New Zealand. She highlighted some of the recent steps Immigration New Zealand has
taken to combat migrant exploitation and trafficking, including the establishment of the
Serious Offices Unit in Auckland. Its focus is on investigating and prosecuting the most
serious or complex offences, including people trafficking. Rebecca also spoke about New
Zealands involvement in the Bali Process on People Smuggling, Trafficking in Persons and
Related Transnational Crime (the Bali Process). New Zealand has recently stepped up its
engagement in the Bali Process and has contributed to a number of people trafficking
related activities, including a set of policy guides on criminalising trafficking in persons and
people smuggling. New Zealand also established a Working Group on the Disruption of
People Smuggling and Trafficking in Persons Networks along with Sri Lanka. It is also an
active member of the Trafficking in Persons Working Group under the Bali Process.
Following this, Rebecca provided an overview of some recent labour exploitation and
trafficking in persons cases in New Zealand:

Exploitation in the hospitality industry Director and two managers of an Auckland

restaurant chain were charged with offences relating to the exploitation of migrant
workers (ongoing).

Fraud and exploitation in the sex industry An Auckland woman has been sentenced
in Auckland District Court this morning to a total of 27 months imprisonment after
being found guilty of five offences under the Immigration Act 2009 related to the
recruitment and employment of two workers from Thailand (guilty verdict).

Exploitation the horticulture and building industries Migrant workers from a Pacific
Island country paid large sums of money for the opportunity to work in New
Zealand. Upon arrival on visitor visas, the migrants were required to pay for
accommodation, food, and transport both to and from work. Workers were either
not paid a salary or paid well below minimum wage due to the ongoing debt owed.
A number of charges under the Immigration Act 2009 have already been laid. More
charges will be filed to follow, including people trafficking charges (ongoing).

In conclusion, Rebecca noted that trafficking and exploitation in New Zealand typically
involves the movement of people across borders, with most agreeing to the initial
movement to take up employment. It is not until they arrive in New Zealand that it
becomes clear they were deceived or exploited. Although most are given certain freedoms,

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coercion and/or control is achieved through debt bondage, fear, seclusion, and/or
manipulation of immigration status.
Next, Rebecca provided an update on legislation related to labour exploitation and people
trafficking:

Immigration Amendment Act 2015 Received Royal assent on 6 May 2015 Four
amendments address migrant exploitation:
o Exploitation of temporary migrants with work rights an offence
o Employers with residence class visas will be liable for deportation if they
exploit migrant workers, or knowingly employ migrant workers without
work rights, within 10 years of being granted a residence class visa.
o Introduces a new recklessness offence
o Enhances search powers for immigration officers.

Organised Crime and Anti-Corruption Bill Proposed by the Ministry of Justice, the
Bill has been through Select Committee, completed its second reading, and is
waiting House time to complete its third reading. The Bill includes a wide range of
amendments, including amendments to address people trafficking. It removes the
cross-border element of the definition of people trafficking. It also expands the
trafficking offense to include the movement of a person for an exploitative purpose,
such as slavery or forced labour.

Fisheries (Foreign Charter Vessels and Other Matters) Amendment Act 2014
Legislation was passed in 2014. The Act introduced the law that all foreign charter
vessels must be reflagged to New Zealand when working within New Zealands
exclusive economic zone (EEZ). This will mean that these vessels must operate
under full New Zealand legal jurisdiction, including enforcing New Zealand labour,
health, and safety laws.

Victims who are they and how do we support them?

Facilitator: Liam Clinton, Detective Senior Sergeant New Zealand Police
Liam Clinton began his presentation by outlining the definition of a victim that Police work
to:
A victim is...

a person against whom an offence is committed

a person who through or by means of an offence committed by another suffers
physical injury, or loss of or damage to property

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a parent or legal guardian of a child, or young person who falls within the two bullet
points above (unless that parent or guardian is charged with, convicted of, or pleads
guilty to, the offence)
a member of the immediate family of a person who as a result of an offence
committed by another, dies or is incapable (unless that family member is charged
with, convicted of, or pleads guilty to, the offence).

(Victims Rights Act 2002)

Liam explained the challenges facing the Police in determining a victim of people trafficking
as such a crime can encompass a number of crime types which the Police dont normally
deal with e.g. Immigration offences dealt with by Immigration NZ .
In the context of people trafficking criminal activity may involve:

Migrants defrauded / exploited in employment situations

Fisherman on foreign chartered vessels
Debt bondage
Exploited in the sexual services industry both Adult and underage.
Domestic servitude
Forced marriage

In many cases it is migrants offending against other migrants. Recent changes to

Legislation- the Immigration Amendment Act and the Foreign Charted Vessels relating to
fishing should go a long way in deterring such criminal activity.
Debt bondage often seen as an element across other trafficking
Sex industry Prostitution Reform Act is being used in NZ. It is acknowledged though that
there remains a lot of misinformation appertaining to sex trafficking and whether such
criminal activity does take place within NZ. Sensationalised Hollywood style images tend
to be the dominant story and images freely used perpetuate myths and hinder real
understanding as to what is real for NZ.
Domestic Servitude Foreign embassies domestic workers.
Forced and Underage marriage Police have recently issued a police manual chapter on
this. It includes details of inter-agency collaboration.
Liam continued by outlining the principles of the Government Plan of Action to Prevent
People Trafficking:
Principles of the Plan:

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 Victims should be afforded appropriate assistance and protection ( key

principle)

Traffickers are to be prosecuted to the full extent of the law.

The NZ response to people trafficking is coordinated, timely and comprehensive

Protection

Victims are protected

Agencies provide timely access to health and social services
Assistance provided to victims utilising existing arrangements with NGOs.
Victims assisted to return to home country or remain in New Zealand

Information for victims

Govt Agency & NGO websites / publications

Interaction with agencies
Interaction with NGOs / Civil Society
Ethnic / Cultural groups word of mouth
In the media

Information is publicly available for Victims. For example:

Immigration Website basic pamphlets in different languages contact info for

Police & Crime stoppers.

Recognised Seasonal Employer programme at the last trafficking conference

we heard the effort they go to in order to better educate the workers, agents and
prospective employers.

Settlement Protection & Attraction Branch (name has changed) last conference
we heard of their work to advise new migrants and their employers re minimum
employment rights and encourage reporting of exploitation.

Supporting victims

Victim Support (1st port of call for Police) 0800 VICTIM (0800 842846)
Victim Adviser Court Services (Justice) www.victimsinfo.govt.nz
Victims of Crime Information Line 0800 650654
Certifying Victims / Investigation & Court Process Police
Victims Notification Register - Police
Immigration Status / Repatriation if requested- INZ

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Health Services Min. of Health, ACC

Housing HNZ / MSD & NGOs
Access to social services MSD & Police
Financial Assistance MSD
Protection (including family) - Police
Services provided by NGOs / Civil Society

Whilst it was acknowledged there is a wide range of support available, the question was
asked is it utilised well?
Victim Support police must use under current policy.
Currently the Police are responsible under the Plan of Action to certify that a person is
believed to be a victim of trafficking and is not obstructing an investigation. Victim
Notification Register managed by Police victims of serious sex or injury crime can be
notified of escapes, parole etc of offender also contacted for views on bail if bail
applications are made. A sub part of the definition for this part of the act is ongoing fears
on reasonable grounds for personal or family safety trafficking victims would fit within
this, if no injury or sexual offending involved.

What can we do better?

Prevention strategies & action

Better / more accessible information for Victims
Better awareness by Agencies / NGOs re identifying victims and where to source
support.
Better co-ordination of support services

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Collaboration and cooperation - a whole of community approach to combating

labour exploitation
Facilitator: Phil Marshall, Director, Research Communications Group (RCG) &
Human Trafficking Specialist
This session gave opportunity for ample discussion on how to build and sustain a
collaborative approach to tackling labour exploitation taking a whole of civil society
approach the following issues were explored, namely,

The interagency working group

A wider community based forum
The role of the consumer

The interagency working group

Presently this comprises of key government personnel from a variety of agencies and it has
been acknowledged that this group, set up as part of the 2009 Plan of Action, has met
infrequently and concern has been expressed that this group, as yet, has not
representatives from the wider civil society.
Following the trafficking conference in 2013, work was done to endeavour to rectify this
omission however with changes of personnel within Immigration New Zealand, the
proposal has yet to receive the attention it needs.
To date two written proposals for a way forward with regards to this group has been
presented since 2013 with the key factor uniting both documents being the need to ensure
those appointed from civil society are individuals with expertise as opposed to appointing
an NGO or any particular organisation.

A wider community based forum

It is envisaged this forum would be made up of organisations/groups and would give an
opportunity for wider community based interaction and information sharing. It was also
felt that it would be essential that there was a mechanism whereby information from the
interagency working group was fed in to the wider community based forum.

The role of the consumer

The power of the average consumer to hold businesses accountable was raised and it was
acknowledged encouraging and harnessing this power was essential. It was a recognised
that the way of increasing accountability was through legislation as well as consumer
action.

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Where to from here?

Facilitator: Liam Clinton, Detective Senior Sergeant New Zealand Police
This final session was an opportunity to raise any final points and to collate and agree to a
number of action points for further development.
Some of the concluding comments focused on:

The urgent need to portray a different picture than the present sensational
Hollywood version images. Such images are harming and hampering any attempts
as understanding the complexities surrounding people trafficking and labour
exploitation. An example used was the constant portrayal of young helpless women
from countries seen as being poorer and under developed looking frightened behind
metal bars. These images are often accompanied by the rescuer white and middle
class and often male, standing tall with arms crossed, looking all powerful.

The overemphasis on sex trafficking, the growth in the rescue industry and the
persistent spotlight on feeling good about feeling bad, is now globally receiving
attention and criticism.

Positive ways forward

Train the Trainer - anti trafficking/labour exploitation community based local

training. These were developed a few years ago with two being held, in Wellington
and Tauranga; these were highly successful and it was felt by those attending, to be
worthwhile to update the training material and begin these again. The workshops
could be held in different locations in both the South and North Islands. It was also
suggested that given the Catholic and Anglican Churches extensively covered all the
provincial areas, that they could offer suitable venues and were likely candidates to
host such meetings.

Engaging the private sector- regarding their supply chains, such action could
involve engaging with supermarkets- their suppliers and their labour force

To ensure the report of this roundtable was widely shared-as part of the
collaborative and information sharing process

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AGENDA
ROUNDTABLE ON LABOUR EXPLOITATION / PEOPLE TRAFFICKING
NZ Police National Headquarters
180 Molesworth Street, Thorndon
Wellington
June 16, 2015

1:00 1:30 pm

Welcome and Introductions

-

1:30 2:00 pm

Liam Clinton, Detective Senior Sergeant New Zealand Police (MC)

Candy Green, US Embassy Deputy Chief of Mission
Rebecca Miller, Senior Business Advisor, Immigration New Zealand

Targeting exploitation through supply chains

-

Phil Marshall, Director, Research Communications Group (RCG) &

Human Trafficking Specialist

2:00 2:15 pm

Afternoon tea break

2:15 3:00 pm

Combating labour exploitation / People trafficking within New Zealand

Facilitator: Rebecca Miller, Senior Business Advisor, Immigration New Zealand

3:00 3:45 pm

Victims who are they and how do we support them?

Facilitator: Liam Clinton: Liam Clinton, Detective Senior Sergeant New Zealand
Police

3:45 4:30 pm

Collaboration and cooperation - a whole of community approach to

combating labour exploitation
Facilitator: Phil Marshall, Director, Research Communications Group (RCG) &
Human Trafficking Specialist

4:35 5:00 pm

Where to from here?

Facilitator: Liam Clinton, Detective Senior Sergeant New Zealand Police

5:00 pm

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Close of Roundtable

Appendix of resources
i

https://www.whitehouse.gov/the-press-office/2012/09/25/remarks-president-clinton-global-initiative

ii https://www.whitehouse.gov/the-press-office/2012/09/25/executive-order-strengthening-protectionsagainst-traffi

https://blog.dol.gov/2015/01/30/combating-human-trafficking-in-supply-chains/

Background to Customs and Excise (Prohibition of Imports Made by

Slave Labour) Amendment Bill

Chris Frazer
Preamble
Trade Aid initiated a petition aimed at governmental level to endeavor to have all products
imported into New Zealand requiring proof that within any part of the manufacturing
process no slave labour had been used. The petition signed by 17,000 New Zealanders was
presented to parliament on September 5, 2007.

Press release August 16, 2007, Trade Aid declared;

.Based on the idea that New Zealanders should be able to control what arrives in New
Zealand and is delivered to our racks and supermarket shelves, the public have
overwhelmingly voted against products made using slave labour. The petition carrying tens
of thousands of signatures is to be handed to Parliament on the day marked by the UN as
the International Remembrance of the Slave Trade and its Abolition.

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When we explain that the type of labour this petition seeks to make illegal in the
importation of products is bonded labour, forcing people to work against their will and
child and adult trafficking, no-one has declined the opportunity to put their name on the
petition says communications manager for Trade Aid, Michelia Ward.
The petition stated,
As New Zealanders we have a proud heritage of leading the way for social change. In 1840, NZ
workers were among the first in the world to claim the right to an 8 hour work day, in 1893
we were first to get women the vote and in 1938 we led the world with our Social Security Act.
As New Zealanders we have laws for minimum wages, equal opportunities, anti-racism and in
1993 we ratified the Convention on the Rights of the Child because we believe in basic human
rights for all. But did you know that NZ does not have a law banning the sale of products that
use slave labour?
Slave labour plays a part in some of the products you buy every day. The chocolate you eat,
the food and drink you consume, the fibres you wear and more
If you believe slave labour (in all its forms) is wrong then join us in asking the NZ government
to pass a law against the importation of products that contain slave labour. In asking for this
law we are not leading the way we are in fact lagging behind. The United States already has
laws in place to ban slave labour product imports and now they also have a bill in front of
Congress which goes further still and asks for anti-sweatshop legislation to apply to imported
products.
It is only in having a law in place that companies known to use slave labour in their supply
chains can be questioned and tried in a court of law. Slavery is on the rise around the world
help us ban the sale of these products in NZ. Join Trade Aid and concerned individuals around
NZ in asking our government to do the right thing.
The process of petition 2005/151 of Geoff White on behalf of Trade Aid and 17,000
others
The petition was considered by the Foreign Affairs, Defence and Trade Committee who
requested that the House take note of the report. The full report from the committee is
attached.
Labour MP Maryan Street sponsored the bill, which was drafted by MP Charles Chauvel. At
its first reading Miss Street said,
.Banning the fruits of this vile traffic (human trafficking) is a moral imperative and
moral necessity. We live in the 21st century. Globalisation has brought trading partners
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closer together and opened up opportunities for the exchange of goods on a scale not
known before. Just recently in this House, we passed legislation enabling the ASEANAustralia-New Zealand free-trade agreement to proceed, thereby opening up huge markets
to rapidly reducing tariffs for our exporters. But globalised trade does not happen in a
moral vacuum, and that is the starting point for my bill. Although I am a strong supporter of
free trade, for many reasons, not the least of them being that I believe New Zealanders
quality of life is dependent upon the wealth and the jobs created from tradable
commodities and services, I do not believe in trade at any price. Trade must occur at the
right price, a fair price, and an ethical price. Fair trade and ethical trade are the starting
points for this debate.
This bill presents the New Zealand Parliament with an opportunity to explore in good faith
how free trade and human rights might be accommodated in a principled and thoughtful
way.

Earlier this year the Foreign Affairs, Defence and Trade Committee considered the petition
of Geoff White, on behalf of Trade Aid and 17,000 others, requesting just this: that the
House legislate against the importation of products made by slave labour. The question was
considered and reported back to the House, with a Green Party view expressing a desire for
legislation. The conversation around this issue has continued within the Labour Party since
that time, along the lines that, notwithstanding any practical difficulties of attestation,
proof, and enforcement, it was still worthwhile to bring a bill to a select committee for
consideration, investigation, and amendment where appropriate.
There is no doubt that this bill represents an idealistic position, but I do not make any
apology for that. It is not the first idealistic position I have adopted, and I hope it will not be
the last one. The mechanism for achieving the ends sought in this bill is the addition of a
definition of slave labour to the definition clause of the Customs and Excise Act 1996, and
the insertion of another clause into schedule 1 of that Act. These are modest proposals.
The National party did not support the Legislation and in response to Ms Streets
presentation MP Tim Groser said,
Many fine minds, particularly in the United Stateswhere, for reasons that are
stunningly obvious, more anti-slavery non-governmental organisations exist than in any
other countrygrapple with the issues that I know the member is trying to focus political
attention on.

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I think we all understand that the long-term solution is sustainable economic development.
The world has made extraordinary progress in the last 30 years, not eradicating but
reducing absolute poverty, the breeding ground for appalling labour conditions of which
slavery is the most abhorrent. We all understand that solution. There is a variety of
different views on how to establish it, but sustainable economic development, plus the
spread of human rights, is the long-term solution. I am one of those who strongly believe
there are linkages between those two big objectives, those two fundamental solutions. But
that solution is not fast enough for us; we all understand that. From time to time people
take the initiative to see whether there is something more that we can do, and this
members bill is the latest example of that.
As the select committee found when it went through the issues with a high level of
consensus in the committee, the problems start with the definition. This is not particular to
us; even this century, starting from the 1930 ILO definition around forced labour, people
have struggled with defining this problem. It is simple if we have a very narrow definition
that would be associated with what I call the historical image of the slave ships. But the
moment we widen that definition, as the members bill does, we have some real problems
in trying to target what is legitimate and realisable from what is illegitimate. It is deeply in
contention by many, many developing countries, and it would lead to massive disputation
were we to proceed down that track. The members bill is a fair effort, but the definition is
broad: labour by persons over whom any or allemphasising the word anyof the
powers attaching to the right of ownership are exercised. I guarantee that any attempt to
define this unilaterally and impose an import ban would cause real problems for any
country moving in that direction.
The second fundamental problem behind the definitional issues is that the very success of
the spread of economic development and the growth of the global supply-chain associated
with it compounds the difficulty. So many different products from so many different
countries are incorporated in a final product. In the climate change discussions that I had
the privilege of attending in Singapore last week under the Rt Hon Simon Upton, the
chairman of the OECD committee on sustainable development, we grappled with an
example that I think illustrates it well, but with a different frame of mind. The issue was
whether we could apply unilaterally border tax adjustments to countries not doing the
right thing on climate change, and people were using the example of the Apple iPod. As one
of our ministerial colleagues pointed out, when it arrives in the United States it has Made
in China stamped on the box. Actually, an analysis of an Apple iPod has been done. The
recommended retail price in the United States is $299round it up to $300. Only $4 of that
stays in China; $130 of it stays in the United States, because the real value in these products
is the intellectual property in them; and 20 or so other countries are involved in
manufacturing the components. How any New Zealand customs officer would try to
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disaggregate a problem like that when the reality of the global supply-chain massively
compounds the problem defeated the select committee. I am sorry to say that, were we to
refer this bill back to the committee, the problem would defeat the committee once
again.ii
Concluding comment
The Legislation can be found here
http://www.parliament.nz/en-nz/pb/legislation/bills/00DBHOH_BILL9293_1/customsand-excise-prohibition-of-imports-made-by-slave
For such Legislation to be brought once more before Parliament it does need re-wording
and strengthening with a clearer definition as the present wording is too broad. Studying
other countrys Legislation such as the US California Transparency Act and the Belgium
Social Label Legislation could also be highly beneficial.
Note : Presently there are a group of us exploring how to re-open this debate, in particular
to research what legislation globally already addresses this issue.

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