World Trade Organization Doha talks is not dead yet and there are strong signals given by the member countries to resume talks over the deal in the recently held meeting of leading commerce ministers in Davos. WTO Director General Pascal Lamy, leading trade negotiators from the U.S. and the European Union affirmed that conditions were conducive for Doha talks to be re-started. Lamy has indicated that there are clear signals of commitment from the contentious countries to strike a global deal.
However, the signal were pretty clear that in the recently concluded meeting no substantial conclusion would be reached despite some progresses were made on the contentious issues and there was willingness from all side to resolve differences on farm subsidies and tariff cuts. The WTO chief has stated that they need a new U.S. offer on farm subsidies, a new one from the E.U. in agricultural tariffs and a new Indo-Brazilian offer on industrial goods and services.
In the meantime, Peter Mandelson, a key negotiator, has cautioned that any agreement needed to hold balance between the need to advance resolutely on farm trade liberalization and the need to appreciate the logical agricultural sensitivities of the less competitive and of course those countries with large subsistence farm sectors.
However, amidst this optimism crucial countries such as France, U.S. and Brazil are clearly indicating towards pre-conditions for the talks. The French government has specifically demanded that E.U. should not make any fresh offers to reduce tariffs on farm products.
