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December 16, 2005 Friday Ziqa’ad 13, 1426


G-20 wants export subsidies eliminated by 2010



By Our Reporter


HONG KONG, Dec 15: The G-20 trade ministers on Thursday urged the rich countries, including the European Union, to announce specific end date for complete elimination of all kinds of export subsidies and movement in the cotton issue.

Addressing a press conference on behalf of the G-20 member countries, trade ministers of Brazil, India, South Africa, Argentina and Zimbabwe said that the ministerial conference would at least end with a fixing of end date for complete elimination of export competitions — export subsidy, export credits, state enterprises and food aid.

Answering a question, Indian Trade Minister Kamal Nath said that it would not be sufficient but the fixing of date would at least break the ice in the negotiation on agriculture.

Brazilian Foreign Minister Celso Amorim said that there was a need that the EU and the US should comply with their commitment of giving an end date for elimination of the export subsidization which they committed in the July Framework 2004.

He said that the G-20 countries had proposed that export subsidies should be eliminated by 2010. He added that even the date could be negotiated for further extension. He said that during the meeting besides the G-20, most of the African countries had also shown interest in the finalization of end date for abolishing export subsidies.

He said the G-20 would meet the G-33 and G-90 on Friday with the aim of strengthening convergences and ensuring that the development dimension of the Doha work programme was achieved.

At the end of the meeting, the G-20 and G-90 alliances are expected to come out with a joint position paper on Friday. This would bring further pressure on the EU to declare the end date for removal of export subsidy.

The European Union refuses to oblige developing countries in agriculture unless it gets something in return in NAMA. The G-20 states were opposing linking of agriculture with anything else.

On the other hand, India with strong interest in reforms in the visa regime of the big countries like the US and the EU, remains optimistic about movement in negotiations in services despite a stalemate on NAMA. “India wants to move in services if nothing is moving in agriculture and NAMA,” Mr Nath said after his meeting with US Trade Representative Rob Portman.



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