Editorial: Another try
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24/07/2008
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Business Standard (New Delhi)
Business Standard / New Delhi July 24, 2008, 0:04 IST
Intense negotiations seem to be on the cards in the World Trade Organisation (WTO) "mini-ministerial" meeting on the Doha Round of trade talks, now under way in Geneva, but the chances of hammering out a deal appear slim. The informal discussions between trade ministers of some key WTO member-countries, who gathered at the venue prior to the main meeting, have failed to signal meaningful progress, despite the circulation of fresh drafts on both the intractable issues: agriculture and non-agriculture market access (or Nama). The main reason for the amended drafts not finding much favour with the developing countries, regardless of the claims of their being superior to the ones brought forward by the WTO secretariat in May, is the introduction of new concepts like anti-concentration provisions without conceding much on subsidy reductions by the developed countries. In fact, the US has recently approved fresh farm legislation that allows a substantial surge in agricultural subsidies.
The anti-concentration clause, which is the main irritant for the developing countries, aims to bar concentration of sensitive products that would not be subject to tariff reduction in one or a few particular sectors. This is being viewed by the developing countries, including India, as a bid to prevent them from guarding their small and medium enterprises