Supachai Panitchpakdi, director-general of the World Trade Organisation (WTO), today said the inability to reach a consensus on the Doha development agreement would kill the concept of multilateralism.
It would cost the developing nations dearly because unilateral trade agreements would be the order of the day, thereby, jeopardising the interests of the third world, Panitchpakdi warned at the Partnership Summit 2003, jointly organised by the Confederation of Indian Industry (CII) and the Andhra Pradesh government.
The failure of the Doha talks would give way to the emergence of distorted price mechanisms and inaccessibility to foreign markets, the WTO chief said while calling upon both the developing and the advanced countries to show a flexible approach to arrive at a general consensus on the agenda charted at the Doha round.
"Unilateralism will not take care of the needs of the nations concerned, especially the economically and technologically weaker countries. India will survive, but what will happen to the countries of South America?" he asked.
The loss would not just be in the terms of trade, it would also mean the loss of credibility of talks, Panitchpakdi said.
The failure to meet the deadlines for consensus would be to let go of the huge opportunities available to the developing nations, he pointed out, and said the developed countries were now paying more attention to the viewpoints of the developing world.
Saying time was running out since the Mexico round was scheduled for September, the WTO chief said the concerns over the trade-related intellectual property rights (TRIPS) and health issues would be put before the general council in February.
Towards the end of 2002, the WTO had succeeded in setting up guidelines to facilitate the accession of least developed countries.
However, it was not able to meet the deadlines related to the special and differential treatment for developing countries and the access to essential medicines for poor countries. The failure to meet the deadlines was distressing, Panitchpakdi said.
By March, the WTO members should address the issues on market access, agriculture and services sectors, he said, adding that the key concerns would be over the protection of the interests of small economies, trade and transfer of technology, and dispute settlement, among others.
The members needed to agree on the formulas and quantitative targets for further liberalisation in the areas of market access, export subsidisation and domestic support by March-end, Panitchpakdi said.
Besides stressing the deadlines set by the Doha meet, he said the developing countries would have to take active part in the ongoing consultations and meetings at the WTO to drive home their concerns.
The developed nations, on their part, would have to show flexibility in making technical assistance and capacity building a core part of the WTO agreements.
In that regard, the WTO chief said rescheduling loans and giving more market access to developing nations could be of greater help in the long run rather than according liberal financial aid, which would often result in a debt trap.
The WTO has initiated an advisory services programme for its members to help with their transition to a market-oriented economy, Panitchpakdi said, asking the members to make use of the programme.
Later, addressing a press meet, the WTO director-general said India, with its constructive engagement and leadership, should help guide the Doha development agenda towards a consensus that would benefit all the members.
He also ruled out that any country could dominate the global body and convert its proceedings to suit its interests.
However, some nations could voice their collective viewpoints like the African countries, which were acting as a single entity on the WTO fora, Panitchpakdi pointed out.
Doha agenda too ambitious
The Doha development agreement was quite ambitious in its scope to achieve, given the apprehensions among the member-countries of the World Trade Organisation (WTO), said Commerce Secretary Dipak Chatterjee here today.
