Thursday, May 17, 2007
ISLAMABAD - Pakistan Wednesday termed the increasing trend of bilateral trade deals as the biggest hindrance in the way of multilateral trading system.
Addressing the annual Forum of Organization for Economic Cooperation and Development (OECD) in Paris, Commerce Minister Humayun Akhtar Khan highlighted the challenges being faced by the multilateral trading system, said a press statement based on a fax message issued here on Wednesday. Humayun Akthar Khan has been invited by OECD to address its annual Forum held in Paris on “Future Challenges for the Multilateral Trading System”. During his address the minister said that the biggest challenge to the multilateral system is the impact of bilateral deals. “At one time they were considered as complimentary and serving the same purpose of liberalization, but increasingly bilateral deals are hindering multilateral trading system”, he added. He also said that while time is running out for concluding the Doha round the priority for key members of WTO is towards bilateral FTAs (Free Trade Agreements).
The Commerce Minister also highlighted major concerns of the developing countries because of multilateral trading system’s inability to address the existing market access impediments. He said that agriculture subsidies in rich countries hurt poor people in developing countries. “It is estimated that the world’s poorer countries lose a total of $24 billion because of the subsidies paid to the farmers by rich nations. In addition, a further $40 billion in agricultural exports could be generated by developing countries if protectionist policies were abundant by developed nations”, he added.
Another major challenge to the multilateral trading system, the Commerce Minister said, was the current expectations from the multilateral trading system to resolve all world issues.
“WTO still has over 20 complex issues varying from agricultural reforms to intellectual property rights to environment and so on which should have been left to specialized International organizations created for the purpose”, he remarked.
Director General, WTO Pascal Lamy chaired the session while Ministers from New Zealand, Netherlands, Mexico, Argentina and Sweden also addressed the forum that was followed by discussion. The Moderator of the Forum, Editor Financial Times, London appreciated Pakistan ‘s positive contributions to trade negotiations. Humayun Akhtar Khan was the sole Trade Minister from Asia who was invited to speak at this prestigious Forum, which was attended by almost two thousand participants
representing governments, businesses, opinion leaders, civil society representatives, and media.
Source: The Nation
Pakistan
