Committed to PEOPLE'S RIGHT TO KNOW
Vol. 5 Num 554 Sat. December 17, 2005  
   
Business


Talks on liberalising services at a standstill


WTO talks on liberalising service industries are at a standstill and are even in danger of achieving less than was outlined in a draft negotiating text prepared for a major meeting in Hong Kong, ministers said yesterday.

A group of the world's poorest countries has proposed alterations to WTO chief Pascal Lamy's draft agreement for the meeting, suggesting the text be altered to make it easier for developing nations to protect their services sectors and to stand up for their own interests.

"There is a concerted attempt to dilute proposals that, for many of us, already lack ambition," said European Union trade chief Peter Mandelson. "I suspect the United States will make their own proposal and no doubt the European Union will make its proposal, and it wouldn't be surprising to me if they were rather similar."

The United States and EU did not comment on the specific nature of the poor countries' proposal. He declined to say when the EU will table its offer.

Negotiators at the six-day WTO meeting, now in its fourth day, have made barely any progress toward reaching an agreement on cutting global trade barriers, with the impasse largely blamed on the European Union's refusal to further cut its farm tariffs and subsidies, barriers that poor nations say block their agricultural exports.