Doha Development Round

1
Doha Development Round the current challenges

• Liz Stuart, Oxfam, May 24th 2006

2
State of the round

• Long way from the developmental objectives
• US and EU still driven by mercantilism,
  tit-for-tat
• Bad offers on the table in both market access and
  domestic support
• Time pressures. Oxfam still wants a good deal,
  but dcs shouldnt sign a bad one

3
The answer

• US and EU need to improve their offers on
  agriculture.but not at the price of aggressive
  position in Nama

4
The policy solutionswhat developed countries
must do

• Domestic support
• Real cuts, not just water
• Caps and product-specific caps
• Ban on updating
• Box-shifting needs to stop
• Green Box review
• No peace clause

• Market access
• Real market access not just overhang
• Cutting tariff escalation
• Sensitive products must not hurt dcs

5
What developing countries need

• 2/3ds cuts in agricultural tariffs
• Special products
• Operational SSM
• Aid for trade

6
And LDCs?

• 50 LDCs but only account for 1 of world trade
• Offensive interests - they benefit from
  elimination of trade-distorting support too (eg
  Zambia)
• And need additional market access
• Dfqf 100 (looking at volumes)
• Better Roos
• Defensive interests SSM and special products
• and cotton, food aid, IF, adjustment costs,
  trade facilitation

7
The politics

• US wont move until EU gives better market
  access
• EU wont more until US improves domestic
  support offer
• G20 no move until they get what they want in ag
• G33 SP/SSM deal breaker
• G90 dfqf, cotton, food aid
• EU and US need to move. But if they dont ..

8
. theres always the legal route

• 11 new potential panel cases 13bn dollars of
  illegal subsidies

9
Potential panel cases

• EU
• - tomatoes
• - canned peaches
• canned pears
• citrus fruit juice
• wines and spirits
• tobacco
• butter
• skim milk

• US
• corn
• rice
• sorghum