WTO Talks Stop, Blame Game Starts. EU Blames US, US Blames Brazil…

WTO chief Pascal Lamy decided to call it quits after trade ministers from the European Union and five other powerful trading nations, known as the G-6, failed to reach a deal that would have allowed the global trade talks to continue.

Australian Trade Minister Mark Vaile calls this a very disappointing outcome, especially for colleagues in the developing world. But he says this does not mark the end of the WTO, nor necessarily of the talks, known as the Doha round.

"No, it is not the death blow of Doha. The round is not dead," he said. "The round is put in a state of suspension until we can find the ingredients that will carry it forward and deliver on the mandate of Doha. What I’m saying is that no member of this organization should be prepared to get an outcome that is anything less than what we set as an objective in Doha. We certainly are not."

The aim of the Doha Development Round was to boost the world economy and lift millions of people out of poverty by lowering trade barriers across all regions. One of the major goals was to open markets to exports from developing countries.

In the end, countries could not agree on what steps were needed to let the trade talks move ahead. It did not take long for the blame game to begin. The European Union blamed the failure on the United States, saying it showed little willingness to compromise. EU Trade Commissioner Peter Mandelson said the United States had been unwilling to reduce government subsidies paid to American farmers.

But Washington said the EU and other WTO members had not done enough to lower farm tariff barriers. U.S. officials also blamed Brazil and India for refusing to cut barriers on industrial imports.

U.S. Trade Representative Susan Schwab expressed her disappointment that the G-6 ministers were not able to reach an agreement when they met Sunday.

"While the United States was prepared to do more, yesterday’s focus on the loopholes in market access, on the layers of loopholes, revealed that a number of developed and advanced developing countries were looking for ways to be less ambitious, to avoid making ambitious contributions," said Schwab. "But that does not mean the United States is giving up. ‘Doha Lite’ has never been an option for the United States; it is still not an option."

Schwab says WTO members must figure out how to move forward from this setback. Otherwise, a unique opportunity to help developing countries and to spur global economic growth will have been missed.

Many countries believe it could take anywhere from months to years to restart the negotiations. The World Bank estimates a trade deal could pump at least $96 billion into the global economy and lift 66 million people out of poverty.

VoA

Tags:

You May Also Like

Brazil’s Government in the Offensive Wants Quick Proof of Bribery Accusations

The leader of the government in the Senate, AloÀ­zio Mercadante (PT-SP), affirmed, that the ...

Brazil’s Top Literary Prize Winners Are Revealed

Jabuti, Brazil’s most traditional and important literary award, has announced the names of the ...

AD * Deals on Mobile Phones * AD

It was with a pleasant surprise that I realised the first time that my ...

A Casualty of Brazil’s Defeat, Roberto Carlos, 33, Announces Retirement

Brazil defender Roberto Carlos has announced he is retiring from international football, after his ...

Brazil Pleas for Haiti at UN

This week the Brazilian government is making another move to gain new support for ...

Lygia Fagundes Telles’s Mistérios – In Portuguese

3 by Lygia Fagundes Telles I exaggerated, I didn’t have to exaggerate so much. ...

Brazil’s Lula and the United States of South America

Talking in Peru, Lula said that integration in South America will make it possible ...

An Iconic Bar in Northeast Brazil Wages War Against City Hall

Portuguese-born Julio Trindade is one of the best-known nightlife figures in Fortaleza, in the ...

Brazil Gets Record Exports and Imports. But Trade Surplus Is Down

Brazil's balance of trade surplus (exports minus imports) stood at US$ 944 million on ...

With 32 Deaths and 40,000 Dengue Cases Bahia Appeals to Brazil Government

Dengue, the mosquito-transmitted disease, which has ravaged Bolivia, Paraguay, North Argentina (and now threatens ...