Brussels, 24/09/2013 (Agence Europe) - Though the general state of mind among member countries is constructive, progress is needed between now and the Bali conference on the three issues under concurrent discussion - trade facilitation, development and agriculture. The WTO's new man at the helm, Roberto Azevêdo, has given himself until October to put in place a viable roadmap. The EU is keeping a very close eye on the agriculture chapter.
A little over two months from the 9th WTO ministerial conference, to be held in Bali at the start of December, new WTO head Azevêdo wants swift, tangible progress on each of the three issues on which a partial agreement on the Doha Round will depend - trade facilitation, special and differentiated (S&D) treatment, including the needs of the less developed countries, and certain points in the agriculture chapter. Having set himself a deadline of the end of October to find a viable roadmap, he took stock of the situation at the WTO trade negotiations committee on Monday 23 September.
Several trade facilitation points remain problematic, including the issues of customs cooperation, flexibilities and implementation for certain countries, and other specific points (customs brokers, pre-shipment inspections and some transit issues).
In the development chapter, there is agreement on the monitoring mechanism that should conduct regular reviews of existing S&D provisions for developing countries, though some points remain to be settled. Progress should also be made on the Bali-package for the less developed countries and on preferential rules of origin.
In agriculture, member countries are to explore a due restraint provision with regard to the proposals put by the developing countries of the G33, led by India and Indonesia, seeking to build public stocks to ensure food security and domestic food aid.
The proposal from the emerging economies of the G20, led by Brazil, on eliminating export subsidies for agricultural products by 2013, along similar lines to arrangements proposed in Hong Kong in 2005, is a major priority. While virtually all want a result on this issue in Bali, there is still no single position on what the solution should contain, Azevêdo said.
Member countries continue to consider how the G20 proposal on the management of import tariff quotas can be made part of a balanced outcome in Bali.
To ensure the success of the Bali meeting, Azevêdo has injected greater rigour at the WTO, prescribing specific time limits in meetings and restricting interventions by delegations to one minute.
EU attentive on agriculture issues. As the head of the WTO was taking stock of preparations for Bali following an initial series of consultations since he took up his position at the start of the month, Agriculture Commissioner Dacian Ciolos was updating EU farm ministers on the progress of discussions. Ciolos hailed Azevêdo's close involvement and the more positive signals from key member countries, especially the United States and India, which are providing renewed optimism for the Doha Round. The central point of a partial agreement remains an agreement on trade facilitation, to which some members have linked an agreement on the inclusion of agricultural points, the commissioner said. For the EU, the Bali mini-package will have to be balanced overall and within the agriculture chapter, he stated, giving assurances that Europe would make sure its red lines were not crossed, while playing the role of facilitator.
The EU is open to discussion on the G33 proposal on public stocks to provide food security, so long as the “green box” criteria are not changed. The debate is now moving more towards a temporary mechanism allowing developing countries to exceed their “orange box” obligations for a limited period of time and on condition that there is transparency on public storage programmes. Authorised aid is subsumed under the “green box”. The “orange box” covers aid that has trade distorting effects (price support measures and subsidies directly linked to quantities produced) the overall total of which countries have undertaken to reduce and which are authorised on condition that they are capped.
While remaining steadfast in its commitment, made in Hong Kong in 2005, to finding an ambitious agreement on removal of all forms of export subsidy, the EU, like the United States, does not support the G20 proposals on export competition which it does not feel are balanced and which might compromise the chances of success in Bali. The Commission points to the imbalance of the current proposal which limits refunds but has no effect on state commercial enterprises (Canada) or food aid (United States).
The EU is not against the G20 proposal on management of tariff quotas being part of the package and says that what is needed is a balanced development package. (EH/transl.fl)