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No solution in sight
Al-Ahram Hebdo, December 08, 2009
"Concluding the Doha Round in 2010 became a
challenge, but it can itself be an engine for
serious work on the part of member countries of the
World Trade Organization (WTO), thus Pascal Lamy has
closed the seventh Ministerial Conference in Geneva
last Wednesday. Nobody expected more.
Representatives of 151 Member States were content to
prepare a report summarizing the work of three days
of the conference. This indicates, as noted by
Nicolas Bullard, the NGO Focus on the Global South,
"the failure of the WTO and its members to provide
practical solutions. Participants have that talk and
discuss. Everyone in his direction. Nothing more
will be presented. And developing countries,
however, insist that canceling the subsidies to
agriculture, especially cotton, is essential to
conclude Doha. A variance under which the dispute
will continue, "said Bullard.
Before the
conference, the eyes were certainly no great hope to
the United States. Nothing new has happened to that
side. Same position, Washington has no intention to
cede an inch. The U.S. Trade Representative, Ron
Kirk, has hammered at the beginning and the end of
the conference. "The United States has conceded much
to help their partners in developing countries. Now
is the turn to other WTO members to do so. The WTO
does not consist only of the United States. "
He
explained that for the 4 poor countries heavily
dependent on cotton, C4, namely Benin, Chad, Mali
and Burkina Faso, even if the United States are
opening their markets, their cotton does can not
win. For the simple reason, as he says, they can not
cope with fierce competition from China, India and
other emerging powerhouses. "Thus we prefer to
submit their assistance in the form of financial
grants and technical assistance, enabling them to
improve their skills." Adding that over the next 10
years, emerging powerhouses contribute up to 58% of
global growth. "Thus, African countries and C4
should help us convince the emerging powers - India,
China and Brazil - to open their markets."
Divide and
conquer
"Kirk's
message is a pot of wine veiled" Judge Atul Kaushik,
CUTS of an international nongovernmental
organization bent on development issues. As he said:
"You (the African and C4), you get what you want,
but if you help us convince the other group of
countries developing their markets open."
The United
States, realizing the growing strength of disputes
blocks, then began to manipulate it to divide. They
try to convince them that their interests are not
the same.
But this
time, developing countries have managed to find them
a common platform on which to base common interests
and therefore their claims also remain common. We
saw the group of Cairns Group of countries exporting
agricultural products which were mobilized in favor
of trade liberalization in this sector, which met
several times before and at the 7th Ministerial
order to establish their claims.
African
countries themselves have also met to unify their
positions and issued the Cairo agenda, enumerating a
list of their basic rights.
The block
developed, however, continue to play on the
differences of interests within the South Group.
Especially among the major emerging economies like
India, Brazil and China and the rest of the country.
However, these attempts have not been split fruit so
far. For, as said Hisham Badr, Egyptian Permanent
Representative to the WTO and United Nations: "The
merger between a small number of countries will
facilitate future reconciliation wider.
In fact,
22 developing countries have signed an agreement for
the 20% reduction of tariffs between them on 80% of
their exports. An agreement which, according to
UNCTAD, will generate savings of LE 8 billion for
this group of countries. This agreement was a clear
response to the developed countries especially the
United States: developing countries will remain a
single block.
On the
other side, last Friday, two days after the
conference, the Caribbean and the Pacific have
finally, after 16 years of face to face with the
European Union, have extracted the conclusion of
agreement terminating. Both parties have agreed to
reduce rates paid on exports of bananas. Thus the
banana farmers will get compensation of 4.031
billion dollars. But the magnitude of the subject
files of differences on this concession is only a
few crumbs for the countries development.
The future
of the Doha Round remains hostage to the dispute, as
the standoff between the power developed and the
developing persistent. Kaushik, for its part, that
unless the United States and the European Union,
nothing can be concluded, because until now, these
two forces control about 70% of world trade.
The news item
can be viewed at:
http://hebdo.ahram.org.eg/
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