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Doha Round

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The Doha Development Round of World Trade Organization negotiations aims to lower barriers to trade around the world, with a focus on making a more fair system of trade for developing countries. Talks have been hung over a divide between the rich, developed countries, and the major developing countries (represented by the G20 developing nations). Agricultural protectionism, especially with regards to Europe's Common Agricultural Policy, is the most significant issue upon which agreement has been hardest to negotiate.

The Doha round began in Doha, Qatar, and negotiations have subsequently continued in: Cancún, Mexico; Geneva, Switzerland; Paris, France; and Hong Kong.

Contents

Doha

The Doha round of WTO negotiations began in November 2001. The purpose was to agree on the Doha Development Agenda, and from there negotiate opening agricultural and manufacturing markets. The intent of the round was to make trade rules fairer for developing countries.

In December 2001, the People's Republic of China and the Republic of China (referred to by China as Taiwan - Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu) were admitted to the WTO.

Cancún

The 2003 Cancún talks—intended to forge concrete agreement on the Doha round objectives—collapsed after four days during which the members could not agree on farm subsidies and access to markets. Negotiations focused upon four key areas: agriculture, industrial goods, trade in services, and updated customs codes.

The North-South divide was most prominent on issues of agriculture. Rich countries’ farm subsidies (both the EU’s Common Agricultural Policy and the U.S. government agro-subsidies) became a major sticking point. The developing countries were seen as finally having the confidence to reject a deal that they viewed as unfavorable. This is reflected by the new trade bloc of developing and industrialized nations: the G20. Since its creation the G20 has had fluctuating membership, but is spearheaded by the G4 (People's Republic of China, India, Brazil & South Africa), and overall accounts for approximately 65% of the world population, 72% of its farmers and 22% of its agricultural output.

Geneva

The August, 2004 Geneva talks achieved a framework agreement on opening global trade. The U.S., EU, Japan and Brazil agreed to end export subsidies, reduce agricultural subsidies and lower tariff barriers. Developing nations agreed to reduce tariffs on manufactured goods, but gain the right to specially protect key industries. The agreement also provides for simplified customs, and stricter rules for rural development aid.

Paris

Trade negotiators wanted to make tangible progress before the December 2005 WTO meeting in Hong Kong, and hoped to agree to the deal before 2007 when U.S. fast-track legislation expires. Without fast-track, it will be much harder to get a ratification from the U.S. Senate.

Paris talks were hanging over a few issues: France is protesting moves to cut subsidies to farmers, while the U.S., Australia, the EU, Brazil and India have failed to agree on issues relating to chicken, beef and rice. Most of the sticking points are small technical issues, making trade negotiators fear that agreement on large politically risky issues will be substantially harder.

By mid-summer an agreement is needed in order to finalize negotiations for agreement in Hong Kong. Oxfam has charged the EU with “delaying tactics” which threaten to spoil the round.

Hong Kong

The Sixth WTO Ministerial Conference took place in Hong Kong, December 13 - 18, 2005.

Trade ministers representing most of the world's governments reached a deal that sets a deadline for eliminating subsidies of agricultural exports by 2013. The final declaration from the talks, which resolved several issues that have stood in the way of a global trade agreement, also requires industrialized countries to open their markets to goods from the world's poorest nations, a goal of the United Nations for many years. The declaration gives fresh impetus for negotiators to try to finish a comprehensive set of global free trade rules by the end of 2006. Pascal Lamy, Director General of the WTO, said, "I now believe it is possible, which I did not a month ago."

As many as 2000 protestors demonstrated outside the Hong Kong Convention and Exhibition Centre, the location of the talks. Clashes with the police left at least 116 people injured, including 56 officers, although there were no critical injuries according to the authorities.

References

Paris: Geneva: Overview:

 

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