Developing nations distrustful, feisty ahead of WTO trade talks
By Jean-Louis de la Vaissiere
GENEVA (AFP): Several of the most determined developing countries are threatening to boycott the next round of WTO trade negotiations until they have felt more of the benefits from the last round of talks.
The group -- which includes India, Pakistan, Egypt, Indonesia, Malaysia and some African nations -- has kept up its warning throughout preparations for a key World Trade Organization (WTO) conference in Seattle next week, scheduled to launch the new trade round.
They say unless their demands are taken into consideration before and during the U.S. ministerial meeting (Nov. 30 until Dec. 3), no new trade round should be initiated in 2000.
"We are totally against a new trade round, the implementation of earlier rounds has to be resolved," K.M. Raipuria, trade advisor to the Indian trade ministry, said recently.
One of the major sticking points has been a demand by the developing world for a re-deliberation of the agreements of the Uruguay Round (1987-1994) either by adding to them, or through re-negotiation.
Developing countries have not yet reaped the benefits of the last trade round, especially in textiles and agriculture, their representatives say.
Many of the rules should be looked at again and clarified, they have said, to smooth out numerous practical obstacles resulting from these agreements, notably in complex trade easing measures such as customs and licenses.
To benefit from the agreements, they are asking for special treatment -- a longer period to apply the rules, and technical and financial help.
And the complexity of some of the agreements was completely outside the capability of some of the worst-off countries, they say.
Several developing countries have also called for the Uruguay Round agreements to be re-negotiated on questions such as anti- dumping, intellectual property rights, subsidies, phytosanitary and sanitary measures.
But it is a risky game with more at stake to lose than to gain, something some of them are not ready to risk in the end, according to one diplomat.
On anti-dumping measures, traditional steps by the Americans to protect their industries from competition, such demands have been badly received.
However, Washington has said it is prepared to look at the problems of the developing world, case by case during the trade round, but not to renegotiate.
Developing countries are particularly critical about the textiles agreement due to open up markets for producers before 2005. They are complaining that developed nations are applying this accord too slowly.
On agriculture, developing countries want better access to the main global markets through the dismantling of subsidies.
They also want more flexibility over their own subsidies, arguing that they should be allowed to keep them for longer because of the necessities of food security and domestic employment.
The wish for some developed countries to introduce environmental aspects and, in particular, work conditions into the ministerial declaration, due to be announced in Seattle at the end of the conference, has provoked much opposition. Developing countries fear production costs will increase and their competitive advantages will disappear.
Least developed countries, who are often without representation at the WTO, have been disappointed to see the rich nations do not seem ready to engage in putting into place a zero- tariff for all their products which represent just 0.5 percent of the world's trade.
WTO Director-General Mike Moore has appealed several times in their favor, underlining that all the statements delivered in Geneva about the "development cycle" must materialize into actions.
Moroccan ambassador to the WTO Nacer Benjelloun-Touimi said "it is difficult to imagine a development cycle because that would put into question the rules of the market".