EU says WTO texts lack balance

New negotiating texts aiming to push forward global trade talks lack balance and should have offered more progress in services…

New negotiating texts aiming to push forward global trade talks lack balance and should have offered more progress in services, an official at the European Union's executive branch said today.

Earlier this month, World Trade Organisation (WTO) mediators sought to advance long-running trade talks by issuing revised drafts for agriculture, industry and services.

While the revised farm and industry drafts made no changes to existing proposals for headline cuts in tariffs and subsidies, they did narrow the gaps on many technical issues, reflecting intense negotiations over the past six months.

For the European Commission, which negotiates foreign trade on behalf of the EU's 27 governments, the revised farm text looked far better than those for industry and services.

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"The Agri text reflects the work done by negotiators and defines a credible landing ground," the European Commission official said. "The NAMA (non-agricultural market access) text, however, does not reflect much of the work done in Geneva and can only slow progress towards modalities," he said.

"The EU believes that the necessary balance between the NAMA and the Agri texts has not been found," he said.

"The EU would also have hoped for more from the services text, which does not contain guidance for setting the level of ambition of the services negotiations."

Much of the work in the talks has turned on how both rich and poor countries can shield sensitive farm products from excessive imports, and how developing countries can protect fledgling industries from the full force of competition.

WTO ministers are keen to conclude the round this year before a new US administration takes office and focuses on settling into Washington.

"All parts of this negotiation must move forward in concert. It is absolutely crucial now that the texts move forward rapidly and in a way that reflects the mainstream views of the WTO membership," the Commission official said.

"The EU believes that a small minority should not be in command of the agenda of the DDA (Doha Development Agenda) for the whole membership," he said, without elaborating.