GENEVA, Saturday (AFP) - A new sense of optimism surrounded WTO negotiations on a new global trade pact today amid hopes of a breakthrough after seven years of deadlock.
Key deal-makers said most of the 35 leading trading nations meeting here have bridged their differences, but fears remained that emerging market countries India and Argentina could ruin the upbeat mood.
“I think the situation looks strong. I think we can be very hopeful now,” said European Trade Commissioner Peter Mandelson as he left talks late on Friday. “What is emerging is a deal that is not perfect, not beautiful, but is good for the global economy and good for development.”
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| EU Trade Commissioner Peter Mandelson gets in his car during a break at World Trade Organisation (WTO) talks on July 25, 2008 at the WTO headquarters in Geneva. AFP |
Ministers from 35 leading economies have been meeting here all week to discuss reductions in subsidies and import tariffs with the aim of mapping out a new free-trade deal, called the Doha Round, to boost world commerce.The Doha Round was launched in the Qatari capital seven years ago but has foundered because of disputes between the rich developed world and poorer developing nations on trade in farm and industrial products.
Despite the optimism -- in stark contrast with a feeling on Friday that talks faced imminent collapse -- the United States warned that a handful of countries could still torpedo the goodwill.“There are a handful of large emerging markets that quite frankly risk unravelling the entire package,” said United States Trade Representative Susan Schwab in reference to a draft agreement under discussion.
She added, however, that whilst there was “more work to do, it is a path forward.”
Argentina said it would be unwilling to accept the proposed agreement as it stands and diplomatic sources told AFP that India was also standing in the way of progress.
Indian Commerce Minister Kamal Nath has insisted all week that he will protect his country's millions of subsistence farmers and nascent industry, which are shielded from imports by tariffs levied on foreign goods. “There is no agreement but there are certain areas of concerns, certain areas of consensus,” he said late Friday.
Mandelson said India would eventually come on board, telling reporters: “I don't think India will be the one to break a world trade round. I really don't.”
The talks on Friday focused on trade in farm and industrial products -- the two main sticking points of a deal -- but attention is set to turn today to the services sector.
Talks are set to over-run their original programme, which foresaw an end today, and continue throughout the weekend and early next week, sources said. “There is a convergence among the seven (leading powers) on several key figures for agriculture and industrial products,” said Brazil's trade negotiator, Foreign Minister Celso Amorim. |
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