“I speak with sadness and a sense of loss. The developments
in the G-6 meeting have highlighted what has been clear to many
for quite some time – that there is little ground for convergence
on the core issues in the Doha Round negotiations as of now.
The Doha Round was premised on the centrality of development
and the elimination of the structural flaws in agricultural
trade which is of crucial importance to developing countries.
The distortions in agricultural trade arise mainly because of
the huge subsidies being paid by developed countries to their
farmers and due to the formidable non-tariff barriers to the
market access aspirations of developing countries.
Developing countries cannot allow their subsistence farmers
to lose their livelihood security and food security to provide
market access to agricultural products from developed countries.
That is the rationale for Special Products and Special Safeguard
Mechanism for which the G-33 has been negotiating. The overwhelming
majority of poor
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farmers in the
world are represented in the G-20 and the G-33 which have been
in the forefront in the struggle for equity in the agricultural
trading system.
The G-20 and G-33 represent 90 per cent of the world’s
farmers. But we have to contend with the question of how between
them, the US and EU account for over 50 per cent of the world’s
share in trade in agriculture with only 2 per cent of their
population in farming. The answer issimple. Huge subsidies enable
this trade at the cost of millions of developing country farmers.
The substantial reduction in trade distorting subsidies in developed
countries and the protection of the livelihood interest of subsistence
farmers in developing countries is the main component of the
development dimension of this Round. Subsidised exports by developed
countries not only pose a threat to food and livelihood security
in developing countries, but also expose farmers of developing
countries to unfair trade competition in their exports. Unfortunately,
one member is unable to make any effective reduction in trade
distorting subsidies but, at the same time, is insisting that
developing countries open up their markets to provide access
to their subsidised products. Insistence by some developed countries
to perpetuate the skewed agricultural trade do not provide the
basis for a fair outcome.
Some developed countries are attempting to convert this Round
into a Market Access Round for their products into developing
country markets, thereby inverting the core development dimension.
Developing countries are being asked to pay a price for the
removal of structural distortions by developed countries. India
has always stood by other developing countries including LDCs
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to ensure the centrality
of the development dimension in the negotiations and to strengthen
the multilateral system. It is possible to negotiate trade issues
but it is not possible to negotiate the subsistence and livelihood
security of poor farmers in developing countries. In NAMA developing
countries are being asked to reduce their duties to levels which
would threaten their infant industries. We cannot agree to reduction
of duties on industrial goods without adequate safeguards.
This Round is not about the perpetuation of the structural flaws
in global trade especially in agriculture. This Round is not
about developing countries opening their markets for developed
countries for their subsidised agricultural products. This Round
is not about negotiating livelihood security and subsistence
of hundreds of millions of farmers. This Round is not about
preventing the emergence of industries in developing countries.
This Round is about opening new markets for developing countries
especially in developed countries. This Round is about creating
new opportunities and economic growth for developing countries
in all sectors including Industries and Services. This Round
is about extracting LDCs and vulnerable economies from the stranglehold
of poverty.
This is what we have failed to do so far in these negotiations.
We can achieve a fair and sustainable outcome only when we recognise
these central developmental issues, and look at trade through
the prism of development.
India attaches utmost importance to the rules-based multilateral
trading system of which the WTO is the core. This system has
to be sustained by the commitment of all members. The current
impasse in the negotiations poses a serious threat to the system.
In the interest of the multilateral trading system, it is important
that we continue to strive for ending this impasse”. |
