Legalizing prostitution industries are one of the root causes of sex trafficking. One argument for legalizing prostitution in the Netherlands was that legalization would help end the exploitation of desperate immigrant women trafficked for prostitution. A report done for the governmental Budapest Group* stated that 80% of women in the brothels in the Netherlands are trafficked from other countries. As early as 1994, the International Organization of Migration (IOM) stated that in the Netherlands alone, "nearly 70 per cent of trafficked women were from Central and Eastern European Countries."
The government of the Netherlands promotes itself as the champion of anti-trafficking policies and programs, yet cynically has removed every legal impediment to pimping, procurement and brothels. In the year 2000, the Dutch Ministry of Justice argued for a legal quota of foreign "sex workers," because the Dutch prostitution market demands a variety of "bodies".
Also in the year 2000, the Dutch government sought and received a judgment from the European Court recognizing prostitution as an economic activity, thus enabling women from the EU and former Soviet bloc countries to obtain working permits as "sex workers" in the Dutch sex industry if they can prove that they are self employed. NGOs in the Netherlands have stated that traffickers are taking advantage of this ruling to bring foreign women into the Dutch prostitution industry by masking the fact that women have been trafficked, and by coaching the women how to prove that they are self-employed "migrant sex workers."
In the one year since lifting the ban on brothels in the Netherlands, NGOs report that there has been an increase of victims of trafficking or, at best, that the number of victims from other countries has remained the same. Forty-three municipalities in the Netherlands want to follow a no-brothel policy, but the Minister of Justice has indicated that the complete banning of prostitution within any municipality could conflict with "the right to free choice of work" as guaranteed in the federal Grondwet or Constitution.
In January, 2002, prostitution in Germany was fully established as a legitimate job after years of being legalized in so-called eros or tolerance zones. Promotion of prostitution, pimping and brothels are now legal in Germany. As early as 1993, after the first steps towards legalization had been taken, it was recognized (even by pro-prostitution advocates) that 75 per cent of the women in Germany's prostitution industry were foreigners from Uruguay, Argentina, Paraguay and other countries in South America. After the fall of the Berlin wall, brothel owners reported that 9 out of every 10 women in the German sex industry were from eastern Europe and other former Soviet countries.
The sheer volume of foreign women who are in the prostitution industry in Germany - by some NGO estimates now up to 85 per cent - casts further doubt on the fact that these numbers of women could have entered Germany without facilitation. As in the Netherlands, NGOs report that most of the foreign women have been trafficked into the country since it is almost impossible for poor women to facilitate their own migration, underwrite the costs of travel and travel documents, and set themselves up in "business" without outside help.
The link between legalization of prostitution and trafficking in Australia was recognized in the U.S. State Department's 1999 Country Report on Human Rights Practices, released by the Bureau of Democracy, Human Rights and Labor. In the country report on Australia, it was noted that in the State of Victoria which legalized prostitution in the 1980s, "Trafficking in East Asian women for the sex trade is a growing problem" in Australia…lax laws - including legalized prostitution in parts of the country - make [anti-trafficking] enforcement difficult at the working level."