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WTO should not become a global government: Maran

Hitting hard at the US and EU attempts to "coerce" developing countries into new trade issues, Commerce Minister Murasoli Maran demanded that third world interests should become the central theme of WTO's future activities to find a "collective solution" to difficult issues.

Asking the WTO not to infringe on the sovereign rights of national governments, Maran said globalisation and liberalisation have to be addressed at various fora and not in the multilateral organisation alone.

''WTO is not a global government and should not attempt to appropriate to itself what legitimately falls in the domain of national governments and parliaments,'' he said.

Warning against attempts to thrust "comprehensive round" encompassing investment and competitions issues, Maran said such an agenda would "split WTO membership" as it was unjust and unfair to developing countries.

"After the setback at Seattle, all of us want Doha to be a success. It, however, does not necessarily require over-reaching objectives or launch of a comprehensive round, Maran said.

"Also the global unity achieved in the wake of the most unfortunate and tragic event or September 11 should not be undermined by proposing an agenda, which would split the WTO membership," he said, asking WTO to address the "expectation, aspirations and concerns of developing countries on all the issues."

Analysts, however, said it is to be seen how far Maran was able to sustain the crusade against inclusion of extraneous issues in the WTO agenda as the behind-the-scene activities has already begun to bend India to accepting a slightly modified new round by some tradeoffs on implementations issues particularly the health concerns of the poor countries.

"Wisdom and commitment will enable all of us to find collective solutions to difficult issues in such a way that the final declaration really keeps the needs and interests of developing countries as the central theme of all future WTO activities," Maran said implying there could be some trade-off if certain crucial concerns are addressed.

Rather than charting a divisive course in unknown waters, Maran said let this conference provide a "strong impetus" to the ongoing negotiations on agriculture and services, and the various mandated reviews that by themselves form a substantial work programme and have explicit consensus.

"We cannot be held hostage to unreasonable demands that concessions be made for carrying what are already mandated negotiations. Nor can one accept the argument that there is mandate only for commencing certain negotiations and not for completing them," he said.

"Progressive reform in agriculture now required elimination of the largescale domestic support and other trade distorting subsidies and the removal of unfair barriers facing farm exports of developing countries.

EU wants a face saving devise to cut subsidies in agriculture in the face of elections in France next spring and hence wanted a comprehensive round. US was keen to help developing countries and its farm exports so as to cut subsidies to provide market access.

At the same time US wants to help EU and Japan, in their demand for the inclusion of investment and competition in the work programme.

Maran said considering the critical dependence on agriculture by large rural populations in developing countries, "we need to adequately provide for their food and livelihood security and for promoting rural development."

Similarly services, facilitating the movement of professionals, must receive priority attention."

Analysts said the trade off between India and West for launching a new round could be a tacit agreement to launch negotiations on investment in the next ministerial two years later.

Critical of the draft declaration for ignoring the viewpoints of India and developing countries on key issues, Maran said, "We cannot escape the conclusion that it accommodates some view points while ignoring others.

The forwarding letter most "surprisingly and shockingly" did not dwell on substantive differences and focused more on what are individual assessment, Maran said adding the only conclusion that could be drawn is that the developing countries have little say in the agenda setting of WTO.

In an obvious attack on EU trade commissioner Pascal Lamy's utterances that developing countries were at the heart of WTO, Maran said, "it appears that the whole process was a mere formality and we are being coerced against our will. Is it not then meaningless for the declaration to claim that the needs and interests of the developing countries have been placed at the heart of the work programme?"

WTO has to recognise the existing development deficit in various WTO agreements and take necessary remedial action.

WTO has also to recognise that development strategy has to be related to country specific solutions, he said.

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