Agri trade report widens India-US rift at WTO

On Friday, the Unites States vis-à-vis the trade negotiation on agriculture, wanted to introduce the concept of “differentiation” among developing nations, which was not acceptable for countries like China and India. Asking US to respect the existing mandate, India argued that the present trading system followed across the globe is highly inequitable and there was an urgent need to create a level playing field.

The Dollar Business Bureau WTO A report by an agricultural trade lobbying firm on developing nations especially India, might bring the equations between India and US back to square one. DTB Associates on Friday has reported that China, Turkey, Brazil, Thailand and India have hiked their minimum support prices for crops as also overlooked the permissible AMS (aggregate measure of support). For developing countries, under the Doha Declaration, special and differential treatment is integral to support these nations to comfortably meet their needs especially, food security. On Friday, the Unites States vis-à-vis the trade negotiation on agriculture, wanted to introduce the concept of “differentiation” among developing nations, which was not acceptable for countries like China and India. Asking US to respect the existing mandate, India argued that the present trading system followed across the globe is highly inequitable and there was an urgent need to create a level playing field. India further added that outcomes of the meetings should be equitable and fair and stated that the present was for enhancing market but for development of the trade. Stating that there is a difference between giving domestic support to poor farmers and the rich, India said that it was important not to mix domestic support of varying degrees. Time and again India, China and the US including the developed countries have been at logger heads over the issue of calculating the AMS as well as stockpiling for food security purposes. In the past, by blocking the Trade Facilitation Agreement, India had caused much furore among developed nations.  

This article was published on February 21, 2015.

The Dollar Business Bureau - Feb 21, 2015 12:00 IST
 
TDB Top