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Thursday, April 8, 1999

LDCs may rectify WTO pact in next round 

Our Economic Bureau  
New Delhi, April 7: The fresh round of international trade negotiations scheduled to start next year will provide an opportunity to developing nations to set right the wrongs of the WTO Agreement, feels the European Commission.

Speaking at a seminar on India-Europe trade relations in the new millennium organised by Ficci, vice-president of EC Leon Brittan said that some developing economies are not keen on new trade round as they felt the Uruguay Round produced an unbalanced result. Brittan emphasised that the only way to improve upon that system is to have a new round of negotiations.In the new round, any issue or area of concern to any WTO member can be put forward for inclusion on the agenda, which would itself be agreed by consesus, said Brittan. Answering Ficci's concern over using of anti-dumping measures by developing countries to protect their industry, Brittan said that the EU would support the rights of WTO members to put forward items of concern like the dumping issue on the agenda of theround.

Another important feature of a comprehensive round, according to Brittan, is the fact that the outcome is decided by consensus. "It is for each WTO member to negotiate in their interests during the round and to weigh up at the end whether the final package is acceptable to them or not."

Brittan feels that today the developed world cannot impose its wishes on the rest of the world. "This is not only a constitutional featureof the WTO system. It is also a political fact of life."

WTO negotiations on agriculture and services are due to start next year on January 1. Ficci pointed out to the EC representatives that the developing countries need to be provided requisite flexibility within the agreement to take care of food security concerns particularly of agrarian poor. Greater opportunity to access the agricultural products of interest to developing countries should also be provided by the developed countries as mandated in the agreement should be expedited.

According to Brittan, the WTOagreements commit the European Union to further negotiations for continuing the reform process of progressive reduction in support in the agricultural sector. "Within the EU we shall need to take full account of the outcome of current discussions on reforming the Common Agricultural Policy."

Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.


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