WTO plans framework on agriculture by July

The World Trade Organisation (WTO), in order to prevent another Cancun-like mishap, will study the contentious issues, including the opening up of agriculture and the Singapore issues, before the start of the next round of talks.

The multilateral trade body is hopeful that a broad framework on agriculture and non-agriculture market access (Nama) will emerge by July.

"We will conduct a reality check in July after informal consultations with member countries to break the deadlock," Kipkorir Aly Azad Rana, deputy director general in WTO, said at a Confederation of Indian Industry (CII) meet.

Rana said the negotiating process was back on track. He also assured that textile quotas would not be extended beyond 2005, as had been demanded by some developed countries.

Rana stressed the importance of multilateralism and added that regional trade agreements and bilateral agreements were more like building blocks to resolve multilateral issues.

"Poorer countries are now using the multilateral platform to push their agenda and have started asserting their stand. So, multilateralism is here to stay," he said.

On agriculture, he said, WTO was looking for more imaginative ways to sort out the problems. A new chair on agriculture has been set up and, by mid-July, a framework for discussion on the issue will be ready.

Rana said a consensus on the trade facilitation issue was also emerging, but added that the business community also had to evolve.

"It is important to bring in the business community into the process and they have to be more pro-active and defensive," he said.

Negotiations should not be seen as a stand-alone but should be included in the broader negotiating basket. The countries should be ready to accept the outcome and must work together to make trade facilitation as a win-win scenario for all, he added.

Meanwhile, T K Bhaumik, senior adviser to CII, said the mood was upbeat and the world was looking towards an acceptable solution for all issues and showing a greater interest on multilateralism.

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Trade conflicts

• WTO will conduct a reality check in July, after holding informal talks with member countries.
• A new chair on agriculture has been set up and, by mid-July, a framework for discussion on the issue will be ready.
• Textile quotas will not be extended beyond 2005, as demanded by some developed countries.
• A consensus on the trade facilitation issue is also seen to be emerging.