The lack of progress in the Doha trade talks is a serious indictment of attempts by the developed world to increase market access for poor nations, South African Finance Minister Trevor Manuel said on Friday.
”It is quite unacceptable that the round cannot be concluded … it is quite unacceptable that the poor remain excluded from the market of the developed world,” he said at a World Bank parliamentary meeting in Cape Town.
”It is a serious indictment on the intention of developed countries to increase market access to the developing world.”
The World Trade Organisation negotiations stumbled in 2006 on demands for rich nations to cut farm subsidies and a United States call for other countries to scale back high tariffs.
The talks relaunched last month after a six-month suspension but progress has been slow.
Poorer countries complain the industrialised world effectively excludes their agricultural products from world trade through massive subsidies that prop up rich farmers and flood developing markets with cheap products.
Manuel said multilateral trade reform held the promise of economic growth for both developed and developing countries and would ensure poor African nations were not left behind as the global marketplace expands.
The issue of agricultural subsidies is particularly crucial for Africa, the world poorest continent, where the majority of people rely on small-scale farming to survive.
But the often cheaper produce is bumped off the market by highly-subsidised goods from richer economies, while poor basic infrastructure makes transport and trade difficult.
Manuel said trade and aid to poor nations should go hand in hand to help sustain signs of rising economic growth in Africa.
”Aid for trade needs to be addressed as a critical step in the Doha round … enhanced supply-side capacities are of utmost importance in enabling developing countries to strengthen their export performance,” he said. – Reuters