Reduce agricultural subsidies, Britain tells US, Europe

Bangalore, Jan 17 (UNI) A strong plea for a substantial reduction in agricultural subsidies by Europe and the United States was today made by British Chancellor of Exchequer Gordon Brown to enable the Doha round of multilateral trade negotiations end successfully.

Speaking at a plenary session on globalisation at the 13th CII Partnership Summit here, he said some effort had been taken, but much was needed to be done to ensure that the negotiations begin again. Currently, the US and European countries dole out subsidies to the tune of 300 billion Dollars, he added.

Mr Brown said ''failure on trade will damage international cooperation, just as a successful trade round will be an important declaration that international institutions can work.'' Resumption of negotiations to secure a fair deal on free trade was both necessary and urgent. It would require bold steps to break down barriers and force the pace of change.

While seeking substantial cut in subsidies, he appealed to India and other developing countries to move forward and ensure the success of the Doha round of negotiations. ''We must all move forward and we must do this together. Each of us must play our part and show real flexibility,'' he added.

''Although time is short, I believe the will is there both for the US and from Europe and both must move on agriculture. Europe has to offer further market access and flexibilities should be kept to a minimum to ensure a successful outcome. Significant progress by the US must also be made to reduce trade distorting agricultural domestic support. Emerging markets must go beyond what is currently on the table on industrial goods and services,'' Mr Brown said.

A successful conclusion to the world trade round would be a start to winning the right stakes on globalisaton, he added.

UNI