Cancun, Sept 10: The United States has renewed a call for an end to agricultural export subsidies, described by one senior official as "the most egregious form of trade distortion". The fresh appeal came from US trade representative Robert Zoellick and agriculture secretary Ann Veneman ahead of a five-day ministerial meeting of global trade ministers that starts here today.
The pace at which governments -- particularly in the industrialized world -- do away with state assistance to agricultural exporters is a major sticking point in efforts by the 146-member World Trade Organization to promote the freer global flow of goods and services.
The issue is one of several that is preventing the WTO from advancing the Doha development agenda, an ambitious plan to slash trade barriers by the end of 2004 adopted in the Qatari capital Doha in November 2001.
The objective in Cancun, Zoellick told a press conference yesterday, is to draft a framework for more intensive discussion of the trade liberalization goals established in Doha.
But he added that "the real test is putting numbers in the framework," that is, deciding by how much agricultural subsidies -- both for exports and output -- will be slashed and the degree to which import tariffs are reduced.
Zoellick said he hoped that with consensus here among WTO members on the broad outlines of what is to be discussed negotiators by early 2004 would be ready to agree on the numbers.

Bureau Report