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  • Nov 3rd, 2005
  • Comments Off on Europe jeopardising WTO trade pact: US
The United States warned on Wednesday that a new World Trade Organisation pact to liberalise global trade was threatened unless Europe presents a more ambitious proposal to cut its farm tariffs.

In testimony prepared for a House Agriculture Committee hearing, US Trade Representative Rob Portman and Agriculture Secretary Mike Johanns said the United States had shown leadership in trying to move forward the WTO talks but could not do it alone.

"Frankly, the EU's proposal does not meet the mandate of Doha and we look to the EU to come forward with a stronger market access offer," said Portman.

Johanns added, "We will not settle for a package that does not increase real market access. To be frank, a new global pact is in jeopardy unless Europe shows still more flexibility."

The House panel called the hearing to discuss the stalled farm trade talks, which are the first step in reaching a broad, global pact to lower trade barriers and try to lift millions out of poverty.

Last week, the EU offered to cut its average farm import tariffs by around 38 percent. The United States and some other nations have demanded average cuts of at least 54 percent.

World Trade Organisation member countries are scrambling to meet a December deadline for agreement on how to slash rich nations' farm subsidies. Farm goods are center stage because many poor nations depend on agricultural exports and say they need a deal here first.

In an attempt to push trade negotiations forward, senior officials from the EU, United States, Brazil, India and Australia will meet in Geneva on Thursday to try to narrow their differences.

Copyright Reuters, 2005


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