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Agriculture Agreement fails to redress inequity

DOHA-Minister for Commerce and Industry Abdul Razak Dawood Saturday said that the Agriculture Agreement concluded under the Urguay Round has not redressed the inherent inequity.Abdul Razak Dawood stated this while addressing the Ministerial meeting of the "Friends of the Development Box" in Doha (Qatar) on Saturday.

He regretted that the Agriculture sector remains full of distortions caused by high Domestic Support, Export Subsidies, Tariff Peaks, Tariff Escalations and other Non-Tariff Barriers prevalent in the developed country markets. The Minister further added that the Agreement on Agriculture, unfortunately legitimized the trade distortive policies of few developed countries while constraining the ability of a large number of developing countries to protect their agriculture from the cheap and subsidized imports.

He said that the agriculture is the backbone of the economies of a large number of developing countries and the LDCs. He added that it contributes the lion's share to their GDP. However, he said due to the inbuilt bias, inequities, now conferred by the Agreement the developing countries are unable to pursue development objectives and diversification efforts in the agriculture sector.

Razak Dawood said that with a view to redress the inherent inequities in the Agreement on Agriculture and reflect the concerns and priorities of a large number of developing countries, our countries have tabled a proposal in the ongoing negotiations on Agriculture entitled "Special and Differential Treatment and A Development Box".

The Minister said that the proposal is aimed at safeguarding the interests of developing countries in the ongoing negotiations on Agriculture. It adds a development dimension, which was conspicuously absent, to the rules and disciplines as envisaged in the
Agreement on Agriculture, he remarked.

He asked the rich countries to adopt ``a balanced approach'' in the implementation of international trade agreements. Minister for Commerce said the current economic slowdown is a result of a systemic weakness of the world economy. ``If not corrected it could further increase poverty'', he warned.

The Minister asked the industrialized countries represented in the WTO, not to push the developing countries to open up markets for their agricultural products. He reminded that agriculture was the backbone of their economy and outright liberalization would adversely affect poverty situation in these states.

Pakistan is deeply concerned at the adoption of labour standards which do not reflect the situation on the ground, he said. The underline motive of such a move is protectionism. The Minister said, instead, the developing countries should be given preferential treatment in trade to reduce poverty.

Earlier, opening the conference, the WTO Director General Mike Moore said that protectionism will create poverty and increase international tension and conflicts. He warned that failure of the conference will damage the whole concept of global cooperation.

Moore announced that China is joining the WTO, which he described as ``a major historic event''. A member of the Chinese delegation Jong Zhignangi assured the conference that Xhina will make a positive contribution to the WTO.

November 16, 2001

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