India 'disappointed' at the WTO talks collapse

New Delhi, Jul 24: India today expressed its disappointment 'with a sense of sadness and loss' over the collapse of trade talks and suspension of the WTO Doha Round, touted to result in 287 billion dollar gain for the global trade and lift 66 million people out of poverty.

As the Group of Six failed to end the protracted trade war for agricultural subsidies and increase market access in industrial goods, Commerce and Industry Minister Kamal said in his statement from Geneva that he was sad at the turn of events.

''I speak with sadness and sense of loss. The developments in the G-6 meeting yesterday have highlighted what has been clear to many for quite some time, that there is little ground for convergence on the core issues in the Doha Round negotiations as of now,'' he said.

Though no name was mentioned, it was understood that the US refusal to make any effective reduction in trade distorting subsidies led to the impasse; which was further compounded by the demand of the developed countries for higher market access in the developing countries.

''Unfortunately, one member was unable to make any effective reduction in trade distorting subsidies but , at the same time, is insisting that developing countries open up their markets to provide access to their subsidised products,'' Mr Kamal Nath said.

He said the current impasse in the negotiations poses a serious threat to the rule-based multilateral system of world trading.

The World Bank last year estimated that 7 billion could be gained from global trade liberalisation, which would lift 66 million people out of poverty. Developing countries would reap 86 billion dollar of the total gains.

Last-ditch talks by major trade powers to save the WTO Doha Round collapsed leaving the future of negotiations on a global free trade deal in doubt. The G-6 comprising the EU, US, Japan, India, Brazil and Australia, representing key sections of the global trading community could not agree on any common ground.

The Geneva meeting was within 10 days of the G-8 heads of state meetings where leaders including Prime Minister Manmohan Singh and US President George Bush tried to resolve the issue but could not make much headway.

UNI

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