Poor states under threat in WTO talks

Published November 29, 2005

GENEVA, Nov 28: Nine developing countries on Monday accused rich nations of sidelining the interests of the poor in World Trade Organization talks on liberalizing global commerce. Faizel Ismail, South Africa’s ambassador to the WTO, said concerns are rising about the way the Doha Round of trade talks is heading.

“There is a threat to the development content of the round”, a key plank of which is to use trade to cut poverty, Ismail told journalists.

South Africa, along with Argentina, Brazil, India, Indonesia, Namibia, Pakistan, the Philppines and Venezuela, on Monday submitted a new text to the WTO demanding that rich countries open up their markets to poor countries’ farm goods and reform their agricultural policies.

The Doha Round, launched in Qatar in 2001, is in deadlock largely because of problems in farm trade talks, hampering preparations for the WTO’s December 13-18 conference in Hong Kong.

Poor countries are resisting speeding up discussions on trade in industrial goods and in services, such as banking, until the farm issue is settled. But rich nations say there must be movement across the board.

“Developed countries are insisting on placing the burden for adjustment on developing countries. They are not prepared to make any adjustment themselves,” said Ismail.

He was particularly critical of the European Union, which has been accused of failing to offer deep enough cuts in its import duties on farm goods to allow developing countries better access to its market.

“The EU proposal means no real adjustment, no real opening. Distortions in world trade will remain,” said Ismail.—AFP

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