With ten days to go until the WTO ministerial conference in Buenos Aires on 10-13 December, the hope of fruitful results in the agricultural section of the multilateral negotiations is diminished. While a temporary solution must be found, or an agreement can be found on the issue of public stockholding for food security purposes, an agreement on the key issue of the domestic support reform seems out of reach as long as differences of opinion persist among the members.
On Monday 27 November, the leader of the WTO agricultural negotiations committee, Kenya's ambassador Stephan Karau, confirmed that only modest results were to be expected in the agricultural section.
Agreements could be reached on a permanent solution for public stockholding for food security purposes in developing countries, and on export prohibitions and restrictions – and possibly on the issue of cotton brought by the C4 countries (Benin, Burkina Faso, Mali and Chad).
On the key issue of domestic support, Karau believes it is preferable just to aim for a decision and a working programme for after Buenos Aires, given the "persistent differences".
The reform of domestic support pits two camps against each other – the countries in favour of an overall limitation of aid that distorts competition, and the countries (such as the Africa, Caribbean and Pacific – ACP – group) that think the amber box, which includes measures linked to prices or quantities produced, should first be eliminated. The first option is supported by the EU and Brazil in a joint proposal presented in July, which is backed by Colombia, Peru and Uruguay, on limiting trade distorting subsidies proportionally to the value of agricultural production (see EUROPE 11831).
On Monday, the EU, which is ready to renounce €50 to €60 billion in customs duties as part of its proposal, deplored "the lack of convergence" and a "missed opportunity".
Karau's hope is no greater on an agreement on the special safeguard mechanism in agriculture for developing countries. This would enable them to increase their customs duties in cases of a sudden and massive rise in imports.
As regards export competition, Karau notes broad support for a proposal from Canada, Chile and Switzerland, making a "solid basis" for a post Buenos-Aires working programme.
In the area of sanitary and phytosanitary (SPS) measures, several members expressed doubts as to the relevance of a result in Buenos Aires, Karau stated. (Original version in French by Emmanuel Hagry)