Brussels, 28/07/2011 (Agence Europe) - Unable to close the gap between their positions in the Doha Round talks since 2008, the 153 WTO member nations, that have downsized their ambition to seal a comprehensive agreement in 2011, are unable to agree on an improved package of measures for the least advanced countries (the so-called LDC-Plus package), which would be based on an a minima agreement during the next ministerial conference of the WTO in December. WTO Director General Pascal Lamy calls for serious reflection on the prospects of such a situation.
“What we are seeing today is paralysis in the negotiating function of the WTO, whether it is on market access or on rule-making”, Lamy told his trade negotiations committee on Tuesday 26 July. The head of the WTO above all deplores the fact that the latest consultation in recent weeks has not made it possible to sketch out an agreement at the lowest level during the 8th ministerial conference of the multilateral organisation in Geneva in December.
After having abandoned the idea, at Easter, of reaching a final agreement by the end of the year given their inability to smooth out their differences over the last outstanding issues in major chapters - special safeguard mechanism in agriculture, sectorals in industry and liberalisation of trade in services - the 153 WTO member states are now unable to agree on a limited number of chapters in Doha talks, to be settled by a lowest level agreement in December. Although the dossiers are few in number they are not insignificant, as it is a question of measures for the least advanced countries (LDC), including duty-free/quota-free access to the markets of the developed and emerging countries and cotton subsidies, as well as trade facilitation, export competition, fisheries subsidies and environmental goods and services. “Over the last few weeks ambassadors have worked intensively including in my consultations on these issues. However, I have to share with all of you what I sense is a collective assessment that the LDC-Plus package as we framed it in May is not taking shape as we would have wished”, Lamy explained on Tuesday.
Lamy said the paralysis of the Doha Round endangers the world trade organisation's operation and achievements. He therefore called on members to reflect during the summer break on what this situation holds for the future. “There is, therefore, an urgent need to develop a shared diagnosis over the current impasse and what went wrong as a means to prepare a discussion over possible solutions as well as over emerging issues”, Lamy stressed. The ministerial conference in December will provide an opportunity to enter into these “adult conversations” in greater detail, in order to know how to proceed after the conference and to clarify what member states expect of the WTO, he concluded.
On Tuesday, despite the worrying blockage on the package for LDCs, Lamy underlined the commitment by China, a country that is often pointed at for its reticence to take part in sectorals in industry in favour of the more vulnerable countries. China is in fact ready, with or without an a minima agreement in December, to extend duty-free/quota-free access to its market for 95% of LDC exports, compared to the current 60%. (E.H./transl.jl)