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EU proposal for WTO on agriculture goes to Geneva

ISLAMABAD (January 31 2003) : The European Commission's ambitious proposals for the WTO negotiations on agriculture were unanimously supported by Member States in the General Affairs Council. The EU proposal now goes to Geneva, a message issued by the EC office here said.

The paper, reflects the strong commitment of the Union to further reform of the agricultural trading system while at the same time recognising the need for special treatment for developing countries, especially the most fragile economies, and ensuring that concerns such as the environment, rural development and animal welfare are taken into account.

By avoiding extremist positions and taking a realistic approach, the proposals will contribute to advancing the negotiations, offering a bridge between the polarised positions of those who seek total free trade tomorrow, and those who fear any further trade liberalisation in the agricultural sector.

With just two and a half months before the deadline for setting key elements of the negotiations, the EU proposal offers a constructive way forward, it said.

The key elements of the EU's proposals are that import tariffs should be cut by 36%, that export subsidies should be slashed by 45% and that trade distorting domestic farm support should be reduced by more than half (55%) - provided that the burden is shared equally, amongst developed countries in particular.

It said the proposal includes specific actions to give developing countries a better deal, as well as emphasising the importance of addressing non-trade concerns such as the environment, rural development and animal welfare.

EU Farm Commissioner Franz Fischler welcomed this advance and said: "The EU is determined to move the Doha process forward, and has put on the table a proposal which offers equitable burden sharing as well very concrete actions to give developing countries real opportunities.

This proposal is consistent with our steadfast commitment to substantial and progressive liberalisation on a fair and balanced basis.

Greater market access for all, a significant decrease in trade-distorting subsidies, clear discipline for all forms of export aid, consideration of non-trade issues and preferential, problem-oriented treatment for developing countries - these are the key elements of our negotiation proposal."

EU Trade Commissioner Pascal Lamy added: "With today's move we respond loud and clear to those who doubt the EU's real commitment to negotiate on agriculture within the Doha Development Agenda.

The EU promised and now the EU has delivered. I hope that constructive discussions take place in Geneva so that we can meet the deadline of 31 March, and go on to take decisive steps towards a successful conclusion of the DDA by end 2004".



Source: Business Recorder

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