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April 30, 2006 Sunday Rabi-us-Sani 1, 1427





WTO farm deal deadline expires



By Mubarak Zeb Khan


ISLAMABAD, April 29: Commerce Minister Humayun Akhtar Khan has said that the stalled WTO negotiations would get momentum in the next few weeks for striking a deal for early completion of Doha Development Round (DDR).

“The trade negotiators missed the deadline of April 30 for striking a deal in the areas of farm talks and industrial goods due to differences in opinion as committed in the Hong Kong Ministerial Conference held in December last,” the minister said.

Talking to Dawn the minister said the deadline might be missed because of changes in the US top administration, particularly the appointment of a new USTR. He said this was one of the reason among other reasons.

He, however, said that if there was a consensus among the main players like the US, the EU and G-20, the negotiation would move at a faster speed.

Pakistani civil society organizations have held responsible rich countries led by the USA and the EU for their failure in delivering what they committed for the poor countries under the DDR.

The 125 civil society organizations from more than 40 countries had also sent a letter to the director general WTO on April 18 criticizing the undemocratic process and demanded the cancellation of the mini ministerial, which was expected by end of April.

“The rich countries are responsible for this deadlock as they have yet to deliver any concrete development related element that they have promised in the Doha ministerial conference in 2001,” said Aftab Alam of Actionaid Pakistan. The poor countries have also conveyed their message to the director general WTO that they would not accept any deal that compromises their interests.

Mr Alam said that another global trade negotiations deadline will be missed, because negotiators have failed to reach agreement. The round of talks known as the Doha round —now faces a collapse.

He said rich countries were asking for everything in these negotiations while giving nothing in return. They want market access to health, banking, telecom in poor countries and to keep their own farmers’ subsidies intact.

Sustainable Development Policy Institute (SDPI) WTO expert Dr Abid Suleri said that the rich countries never fulfilled their promises. They gave fake cheques that got bounced.

Commenting on the April 30 deadline, he said that those who believed that this deadline could be achieved or would be achieved in near future were living in utopia.

The delay in the finalization of the DDA was not in favour of the developing countries including Pakistan and present status quo only favours richer countries.

The United Nations has estimated that many developing countries including China, Brazil, India and nations in South East Asia, Central America, and the Caribbean stand to lose hundreds of thousands of jobs in the motor, electronics and machinery sectors.

It also says that they could lose collectively a further $63 billion, which they currently gain from taxing imports.

Analysts said the pressure was now on to find a solution. In July next year (2007) fast track voting in the US Congress runs out. After that, lawmakers will have to vote on any deal line-by-line, instead of a complete package.






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