Speaking ahead of an Apec trade ministers' meeting in Australia next week, US Trade Repres-entative Schwab said there was scope for bilateral and regional deals if the WTO's troubled Doha Round of negotiations finally collapsed.

Schwab told The Australian newspaper that Washington was hopeful the Doha talks could be successfully completed but made it clear other options were being considered in the event they failed.

"You look at what's going on in the Asia-Pacific -- there's so much promise, it's so exciting and so how do you make sure you sustain that and how do you make sure it grows rather than turning in on itself," she said.

"I think you will see a real acceleration of bilateral and regional deals including something like a free trade agreement of the Asia-Pacific if the Doha round really disappears from the scene."

Schwab said Washington could look at "knitting together" the various bilateral trade agreements throughout the Asia Pacific region into a single deal.

"One of the big questions with the proliferation of bilateral and regional agreements is this: is there an inclination -- and if so what would it take -- to knit together multiple free trade agreements?," she said.

"Because all of us have multiple free trade agreements. That is another issue -- we would talk about it."

Schwab said it was also possible Australia could join the North American Free Trade Agreement (Nafta), even though Canberra and Washington already have a bilateral free trade deal that came into force in January 2005.

The Doha talks remain stalled over agricultural subsidies and trade tariffs following the acrimonious collapse of talks in Germany earlier this month between so-called "G4" -- the European Union, United States, Brazil and India.

Meanwhile, the Trade Promotion Authority (TPA) given to US President George W. Bush's administration to fast-track trade deals is due to expire June 30, with a Democrat-controlled Congress sceptical about the benfits of free trade.

The expiry of the fast-track would severely curb Schwab's ability to negotiate free trade agreements.

BRAZIL WARNS OF STAGNATION IN DOHA ROUND
Meanwhile, Xinhua reports from Rio De Janeiro: Brazilian President Luiz Inacio Lula da Silva warned Thursday the Doha round of global trade talks will remain stalled if developed countries keep their high farm subsidies.

"There will be no business" with developing countries like Brazil and the Doha round will remain unaccomplished if the subsidies stay, Lula said at a gathering with agricultural businessmen.

He said trade officials from the European Union (EU) and the United States tried to convince Brazil and India to cut trade tariffs at a meeting last week as a condition to take further steps towards goals set by the World Trade Organization (WTO) for the Doha round.

Top trade officials from the United States, the EU, Brazil and India met in Potsdam, Germany earlier this month to try to break the deadlock over the Doha round.

Developing countries and rich nations are mainly at odds over the degree of state support for the agricultural sector particularly in the EU and the United States.

Rich nations meanwhile are also looking for more concessions from developing countries to further liberalize their markets for industrial goods and services.