WTO WARNS DOHA ROUND TALKS ARE AT SERIOUS RISK: CRUCIAL MEETING 29 APRIL

Washington, April 25- The head of the World Trade Organization warned the decade-old Doha Round talks on a new global commerce deal involving billions of dollars are at “serious risk” because of differences over cutting tariffs on industrial goods.

Pascal Lamy said trade negotiations could finally be ‘concluding’ after ten years of solid multilateral work but because of unbridgeable gaps between developed and developing nations over manufactured products.

Major emerging economies such as China, India and Brazil have resisted lowering tariffs for chemicals and electrical products, while the United States and Europe have demanded at least some concessions before agreeing a deal.

In a summary of the state of talks released at the end of last week, Lamy urged WTO 153 members to “think hard about the consequences of throwing away ten years of solid multilateral work”.

Nevertheless in what seems a last attempt Lamy has come up with comprehensive drafts capturing the state of negotiations in all market access areas such as agriculture, industrial goods and services as well as rules.

All WTO member countries are scheduled to meet on April 29 to discuss how to move ahead on the basis of the drafts. ”For the first time since 2001, members will have the opportunity to consider the entire Doha package“ Lamy said in his cover note.

“My frank assessment is that under the right conditions of temperature and pressure a deal would be doable, bearing in mind that nothing is agreed until everything is agreed. Industrial goods is where differences today are effectively blocking progress and putting into serious doubt the conclusion of the Round this year” said Lamy.

However because of the strong differences between members on industrial goods, the chairperson of that negotiating group has refrained from giving suggestions on the way ahead in this area. Drafts have been circulated in the areas of agriculture, services, rules and intellectual property.

There are also differences between India and the US over the level of protection to be accorded to poor farmers to protect them against import surges and the trigger for such measures.

According to WTO estimates, the Doha round is expected to generate economic benefits worth 282 billion US dollars.

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