login
login
Image header Agence Europe
Europe Daily Bulletin No. 8091
Contents Publication in full By article 10 / 35
GENERAL NEWS / (eu) eu/wto

The 142 WTO members reach agreement on Wednesday on launching a new round of multilateral trade talks

Brussels / Doha, 14/11/2001 (Agence Europe) - After six days of intense negotiation in the capital of Qatar, the 142 member countries of the World Trade Organisation finally managed to reach an agreement on the negotiating programme for a new cycle of liberalisation of world trade. Speaking after the meeting, Robert Zoellick, the US Trade Representative, welcomed the fact that the members of the World Trade Organisation have sent a powerful signal to the world, which has effaced the stain left by Seattle. He went on to say that, by agreeing to launch further trade talks, they hope to provide growth, development and prosperity. The ninth cycle of trade liberalisation since 1948, from which the world Bank expects gains of $830 billion by 2015 in the goods trade field and 900 billion for services, will begin on 1 January 2002 to be completed in three years' time at the latest.

In addition to the agreement reached on Monday evening on access to medicines (see EUROPE of 14 November, p.7), the developing countries do not come out of the negotiation at a loss. They will also receive assistance from the rich countries to prepare for the new environment and investment norms and also to help them play a more active role in the work of the WTO so that they can better defend their own interests - interests that they defended in Doha where they showed till the very end that they are now to be reckoned with. It was reservation from India and from several developing countries, including Barbados, Cuba and Jamaica, that blocked the final agreement for several hours on Wednesday. And it's quite right that the Moroccan ambassador to the WTIO Nacer Benjalloun should welcome the launch of a "very ambitious" Round, in which "there are many thongs for developing countries". Developing countries have thus gained the promise of greater access or their textile products on the markets of Northern countries (one of the main demands of India) and secured from the United States that it subject its anti-dumping legislation to WTO rules. For its part, the European Union had to renounce introducing conditions linked to the respect of social standards. Finally, the ACP States secured guarantees for their trade preferences with the Fifteen.

The European Union does not leave empty handed either, even tough it did not secure all it wanted. Its final agreement was secured following presentation by the United states and Canada of a compromise on the liberalisation of agricultural trade that weakens the text that the countries of the Cairns Group wanted to get through to impose a dismantling of export subsidies. The new wording provides for, "without prejudging the outcome of negotiations", the commitment by the parties to comprehensive negotiations with as goals: - substantial improvements to market access; - reductions (with a phasing out) of all forms of export subsidies; substantial reductions of domestic aid that affect trade. The Union also succeeded in getting through certain ideas concerning the regulation of globalisation. In the face of fierce opposition from many developing countries and the United States, it managed to obtain the launch of negotiations in 2003 for the adoption of new rules covering investment and competition which it sees as essential for fair trade. The outcome was not so advantageous when it came to the environment, where the launch of negotiations on the labelling of food and putting the precautionary principle into practice are far from certain. All that has been achieved is a commitment by all sides to decide (by consensus) in 2003 whether to launch negotiations.

In Doha, Commissioner Franz Fischler said that "We have the new round Europe has been pushing for so hard. This is good news. It is good news not only for Europe, but for all the members of the WTO", explaining that the document on agriculture had been improved and no longer made it compulsory to scrap export subsidies, but simply to negotiate their reduction. Also because it incorporates all kinds of agriculture aid, "including US export credits or the subsidy element of the State Trading Enterprises some Cairns group countries use". Another "key feature of the deal is the clear reference to non-trade concerns. This is what we need to keep on ensuring that our farmers can continue to meet the wider needs of our society by providing for the guardianship of the countryside, the protection of the environmentam in rrural areas and vitality of the countryside". Mr Fischler added, "another psoitive aspect of the deal is that we will now negotiate on geographical indications with a view to protecting quality products, ranging from Indian "Basmati" rice to Italian "Parmigiano" cheese from being pirated in other WTO countries".

Contents

A LOOK BEHIND THE NEWS
THE DAY IN POLITICS
GENERAL NEWS