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Cairns Group, US willing to end dispute
The dispute over agricultural subsidies between developed and developing countries may at last be on a path toward progress, with the United States and members of the Cairns Group demonstrating willingness to resolve differences
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The dispute over agricultural subsidies between developed and developing countries may at last be on a path toward progress, with the United States and members of the Cairns Group demonstrating willingness to resolve differences.
“So far, we have a clear commitment on the part of the Cairns Group and of US Ambassador Ron Kirk to engage and resolve differences at an official level; to try bringing this round to a conclusion before the summer break — by the end of July,” Australian Trade Minister Simon Crean said on the sidelines of the 33rd Cairns Group Ministerial Meeting in Tanjung Benoa on Monday.
The Cairns Group is a coalition of 19 agricultural exporter countries: Argentina, Australia, Bolivia, Brazil, Canada, Chile, Colombia, Costa Rica, Guatemala, Indonesia, Malaysia, New Zealand, Pakistan, Paraguay, Peru, the Philippines, South Africa, Thailand and Uruguay.
Crean said there was a strong desire among meeting participants to conclude the global trade deal under the Doha Development Agenda.
“What is emerging here is a preparedness to embrace a clear direction to resolve differences."
Trade ministers came close in July 2008 to a deal on the Doha round of talks, launched in the Qatari capital in late 2001 to help poor countries prosper through trade.
But the talks collapsed over differences between Washington and emerging economies spearheaded by India over proposals to help farmers in poor nations cope with surges in imports.
Newly appointed Indian Trade Minister, Anand Sharma, also expressed the same positive vibe, saying that a discussion with other leading agricultural exporters that day produced promising results.
"The discussions have been very positive and centered on a shared commitment to take things forward," Sharma told Reuters.
Sharma said he had a “good meeting” with Ron Kirk, but did not focus on specifics, only saying he aimed to take the process forward.
“We didn't discuss positions, we discussed the principles… I can’t put a timeframe on when the Doha round will be concluded. What's more important is the shared expressed hope and political will."
A spokeswoman for Kirk said the talks between him and Sharma on the sidelines of the Cairns Group meeting were "very friendly".
The Obama administration is conducting a review of US trade policy, including efforts to reach a deal on Doha, and some of America's trading partners have been impressed by Kirk's conciliatory style, though they are waiting to see the substance.
The main agenda of the Cairns Group meeting, scheduled to end on Wednesday, is to encourage political will from developed countries in cutting their subsidy policy over agricultural goods, which aimed to provide equality for all agricultural exporters in international markets, especially in developing countries.
Crean said Bali’s conference was considered to be the start of a period of intense negotiations on technical and political levels.
“This is the first political gathering, since the G20 mandate, and won’t be the last. There will be G8 and APEC meetings in July. So, there are a number of opportunities for political engagements to deal with it.”
Indonesian Trade Minister Mari Elka Pangestu said Indonesia's main goal through the conference was to preserve its agricultural sector.
“Fifty percent of our manpower works in the agricultural field. Therefore, we are doing our best to secure the farmers’ interests.”
