Brussels, 23/10/2008 (Agence Europe) - Little progress has been made since September in Geneva to overcome the dispute between the United States and India on the special safeguard mechanism for developing countries, the main reason why the ministerial meeting stalled in July (EUROPE 9714). Although there is a real will to pursue technical discussions, the coming elections in the United States, India and Japan and the international financial crisis are blocking any possibility of agreement at political level. Still hoping for a compromise on arrangements for agriculture and industrial goods (NAMA) by the end of 2008, WTO Director General Pascal Lamy has nonetheless set up within his secretariat a working group responsible for examining the impact that the financial crisis will have on trade, a matter that will be discussed during a meeting between the WTO, the World Bank and IMF on 12 November.
Despite Peter Mandelson's departure, the EU remains firmly committed in the talks. Assurance of this was given by Catherine Ashton who, after having only just been confirmed by the European Parliament to the post of Trade Commissioner, met the WTO director in Geneva on Wednesday evening and mediators on agriculture and NAMA, Crawford Falconer and Luzius Wasescha respectively, as well as the members of the EU mission with the WTO, to discuss the prospects of the Round. “My meetings in Geneva have confirmed to me that Doha is still very much alive. If this deal is to be concluded soon we all need to tackle the outstanding issues with urgency and determination. Europe will continue to play a central role in pushing these talks forward. EU member states reiterated to me their commitment to an ambitious and balanced outcome. It is clear that negotiators and the chairmen of the various working groups would welcome a strong political push. A strong signal from political leaders soon after the US presidential election would reinforce our efforts”, said Ms Ashton after her meetings at the WTO headquarters where, at technical level, discussions have continued relentlessly.
On agricultural matters, Mr Falconer promised a revised draft compromise for the end of November to focus on key issues such as: - the special safeguard mechanism; tariff simplification; new import tariff quotas; the ceiling, number and processing of sensitive products; and cotton. On NAMA, the new WTO mediator, Swiss Ambassador Luzius Wasescha promised an intensive work programme from next week on.
Alongside the matter of tariff reduction coefficients applicable to developing and developed countries in the “Swiss formula”, and the “anti-concentration” clause that would prevent emerging economies from protecting whole swathes of their industry from tariff reductions (the car industry, for example), the talks will focus on industry agreements. These voluntary agreements among member states would allow tariffs to be fully eliminated in 14 industries (cars, bicycles, chemicals, electronics, fisheries and fishery products, forestry and timber products, raw materials, jewellery, sports equipment, pharmaceutical products, artisanal products, toys, textiles and clothing and machinery). (E.H./transl.jl.fl)