Mandelson Urges G4 to Make Concrete Concessions in Global Trade Talks

EU Trade Commissioner Peter Mandelson stated on Friday last week that the United States, the European Union, India, and Brazil needed to make concrete offers in the Doha Development Round of Trade Talks. According to him, the four parties, which play a key role in the global trade talks, needed to improve their offers on the table if they wanted the negotiations to be successfully completed by June. During the European Business Summit that was held in Brussels, the EU trade chief said that the World Trade Organization (WTO) needed to see specific concessions in terms of the reduction of agricultural subsidies and tariffs on manufactured goods. It must be noted that the WTO has been aiming to conclude the global trade negotiations before the trade promotion authority (TPA) of US President George W. Bush ends in July this year.

Mr. Mandelson said that the four key players had the responsibility to make concrete offers in order to achieve a breakthrough in the global trade talks. Meanwhile, both the US and the EU are close to reaching an international trade agreement, which is regarded as crucial to the on-going Doha Round. The EU trade commissioner said that the two parties were close to making a deal regarding farm subsidies, import duties, and other sensitive issues. It must be noted that the success of the negotiations between the US and the EU depends on how the two sides are willing to reduce their farm subsidies and import tariffs respectively.

Assistant US Trade Representative for Europe and the Middle East Shaun Donnelly stated that much work still needed to be accomplished in the global trade talks. He said that while the US and the EU played a vital role in the Doha Round, developing countries also had to assume a leadership role. According to him, US Trade Representative Susan Schwab is negotiating with the members of the Congress regarding the possible extension of the TPA.

The trade authority allows the Bush administration to negotiate fast-track global trade deals, which must be approved or rejected by the Congress without making any change. After stalling for several months, the Doha Round resumed last January in Geneva. The members of the WTO are hoping to complete the global trade talks before the trade authority of Mr. Bush ends. The Doha Round, which was launched in 2001 in Qatar, has been aimed at liberalizing commerce and boosting the world economy.