Whither Doha? US talks trade, hurdles persist

WASHINGTON – Back from the dead? Nascent hope that the Doha Round of trade talks, which collapsed in July in clashes over farm trade, could be resumed soon continued on Thursday as US officials talked trade, but differences remain over farm duties and subsidies.

US Agriculture Secretary Mike Johanns, who oversees the US$20 billion-a-year farm subsidy programme that has fuelled much of the conflict at world negotiating tables, discussed subsidies, tariffs and protected products in an “in-depth” meeting with Japan’s agriculture, forestry and fisheries minister. “We touched upon all of the key issues of the agricultural negotiations …We had an excellent discussion,” Johanns told reporters after meeting with Minister Toshikatsu Matsuoka.Matsuoka, meanwhile, said he and Johanns had a “frank exchange” on US subsidies, which many countries insist are standing in the way of a breakthrough on the Doha Round, which was heralded in its 2001 launch as a way to boost world trade and combat poverty.He said the pair came away with a deeper understanding of the other country’s negotiating position, but neither side touted a breakthrough on prickly issues.Johanns’ meeting comes amid a burst of support for the beleaguered trade talks from high-level US, EU, and Japanese officials, igniting hope that major trading powers may be closer to agreement than had been believed.US Trade Representative Susan Schwab, who met earlier this week with her European counterpart, Peter Mandelson, heads to Geneva on Friday to meet with World Trade Organisation chief Pascal Lamy.But the timing is tight.The Bush administration’s trade negotiating powers expire in July, which many believe will not be renewed by Congress without real progress on Doha.But congressional support of a new global trade deal is likely to hang on how much emerging market countries like Brazil and India are willing to budge on duties for agricultural goods – the top demand for US negotiators.Senator Max Baucus, chairman of the Senate’s influential Finance Committee, meanwhile called progress on the Doha Round a boon for American farmers – but only if done right.That means an end to exclusions to duty cuts for a laundry list of goods protected by other nations as special or sensitive products US farmers complain keep out their products.”America’s farmers don’t need more rumours.What they need is meaningful proposals that yield significant market access to world agricultural markets,” Baucus said in a statement.Until that kind of proposal materialises, the Montana Democrat continued, “I’ll remain sceptical.”Baucus also urged greater access on services.”Services is our economy’s largest and most competitive sector,” he added.Nampa-Reuters”We touched upon all of the key issues of the agricultural negotiations …We had an excellent discussion,” Johanns told reporters after meeting with Minister Toshikatsu Matsuoka.Matsuoka, meanwhile, said he and Johanns had a “frank exchange” on US subsidies, which many countries insist are standing in the way of a breakthrough on the Doha Round, which was heralded in its 2001 launch as a way to boost world trade and combat poverty.He said the pair came away with a deeper understanding of the other country’s negotiating position, but neither side touted a breakthrough on prickly issues.Johanns’ meeting comes amid a burst of support for the beleaguered trade talks from high-level US, EU, and Japanese officials, igniting hope that major trading powers may be closer to agreement than had been believed.US Trade Representative Susan Schwab, who met earlier this week with her European counterpart, Peter Mandelson, heads to Geneva on Friday to meet with World Trade Organisation chief Pascal Lamy.But the timing is tight.The Bush administration’s trade negotiating powers expire in July, which many believe will not be renewed by Congress without real progress on Doha.But congressional support of a new global trade deal is likely to hang on how much emerging market countries like Brazil and India are willing to budge on duties for agricultural goods – the top demand for US negotiators.Senator Max Baucus, chairman of the Senate’s influential Finance Committee, meanwhile called progress on the Doha Round a boon for American farmers – but only if done right.That means an end to exclusions to duty cuts for a laundry list of goods protected by other nations as special or sensitive products US farmers complain keep out their products.”America’s farmers don’t need more rumours.What they need is meaningful proposals that yield significant market access to world agricultural markets,” Baucus said in a statement.Until that kind of proposal materialises, the Montana Democrat continued, “I’ll remain sceptical.”Baucus also urged greater access on services.”Services is our economy’s largest and most competitive sector,” he added.Nampa-Reuters