African producers threatened earlier to open a case under the WTO’s dispute-settlement mechanism as early as January, in the event rich nations don’t significantly reduce or eliminate trade-distorting support to their farmers.
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Afghanistan has until June 30 to ratify the agreement, the final step before becoming a full member of the organisation that underpins the global system of worldwide trade.
Commerce Minister Nirmala Sitharaman on Wednesday said the Doha Round of negotiations should remain firmly on the WTO’s agenda instead of being diverted from dealing with developing countries’ concerns by “new issues” being pushed by advanced countries led by the US.
Besides India and China, the joint statement was signed by trade ministers of South Africa, Venezuela, Angola, Benin, Cameroon, Egypt, Ghana, Kenya, Mauritius, Morocco and Zambia, among others.
“Achievements at a WTO level also remove the need to develop bilateral solutions with individual trading partners, so we hope there are more deals of this nature to come from the WTO”. Amid the continuing deadlock, the blame game has now shifted to social media with topics like #IndiaStandsBehindFarmers trending in response to #IndiaBlocksTrade possibly from developed countries.
According to the agreement adopted on agricultural exports, developing countries must also eliminate their subsidies, but not until 2018, and with some exceptions until 2023. “We are very close but we are not there yet”, she said.
“We are creating a new habit of success”, said WTO Director-General Roberto Azevedo, referring to the first major successful conclusion of a ministerial conference since 2001.
It is learnt that traction is picking on developing countries including India’s demand to start discussions on special safeguard mechanism (SSM) along with the export competition.
Aid donors are putting much effort into re-establishing the agricultural sector and developing products like almonds, raisins and pistachios as well as traditional export pillars such as woollen carpets.
The decision was taken to ensure that the food security initiatives do not compromise the broader deal of ensuring the playing field in agricultural trade is level to allow all players to compete equitably. Annual trade in these 201 products is valued at $1.3 trillion per year, and accounts for approximately 10% of total global trade.
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The WTO agreement expands the 1996 Information Technology Agreement, originally conducted by 29 countries including Australia.
