US SAYS DOHA TRADE TALKS COULD STRETCH INTO 2012

Washington (Reuters) - A top U.S trade official indicated that the long-running Doha round of worldtrade talks could stretch into 2012, but said some progress hadbeen made over the past six months.

"The U.S. view is that there is no shortcut to a Dohasuccess," U.S. chief agricultural trade negotiator Isi Siddiquisaid in the prepared text of a speech given in Brussels, a copyof which was released in Washington.

"Deadlines won't do it, mandated formal processes won't doit, and attempts at high-level 'Big Bang' political eventswon't do it," Siddiqui told a European farm policy audience.

Siddiqui repeated the U.S. demand that major developingcountries such as China, India and Brazil make better offers toopen their markets to more imported goods and services.

He also warned that Congress has already began work on anew farm bill that will govern U.S. crop subsidy programs afterthe current farm bill expires in 2012.

Siddiqui indicated that the Doha negotiations might runinto 2012, saying that if there is no deal by then, the UnitedStates would be free to continue spending at limits allowedunder the current WTO pact.

"Unless a Doha deal is reached between now and the autumnof 2012, the next farm bill will have as its guidepost ourcurrent Uruguay Round commitments," he said.

The Doha round was launched nearly nine years ago with thegoal of helping poor countries prosper through trade. The talkscollapsed most recently in July 2008 and have struggled to geton their feet ever since.

Countries remain at odds over formulas for cutting farmsubsidies in rich countries such as the United States and theEuropean Union in exchange for cuts in agricultural tariffs inboth developed and developing countries.

Disagreements over various proposals for openingmanufactured goods and services markets around the world tomore trade also plague the talks.

Siddiqui said negotiators "have made meaningful progress inthe Doha negotiations over the past six months" dealing with anumber of technical issues.

"The challenge in the months ahead will be to movesuccessfully from process to substance," he said.

WTO Director General Pascal Lamy, who will be in Washingtonthis week for meetings at the International Monetary Fund, hassaid he hopes a Group of 20 nation summit in South Korea inNovember will give new momentum to the Doha talks.

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