WASHINGTON, April 25 (UPI) -- The French government and the European Union have been critical of U.S. efforts to break the logjam in multilateral trade talks in the Doha Round, arguing the U.S. proposal does little to cut agricultural subsidies.
French Trade Minister Christine Lagarde said the United States should make further reductions in its agriculture subsidy program, which would encourage other trade partners to remove trade barriers.
"As Europe has done, the United States must finally accept to limits their subsidies, which distort global trade," said Lagarde, in a statement following a meeting with agriculture trade unions.
"We must remain vigilant because agriculture cannot be treated only for the benefit of large exporting countries, but it must also take into account the interests of developing countries and the world's food security," said Lagarde.
The United States, for its part, refuted recent claims by France and the 25-member bloc, calling on trading partners to garner more political will to complete negotiations by the end of the year.
"I would just hate to see a minority, a small number of countries in one trading bloc that is understandably influenced by a small part of its economy, politically decide to leave the Doha round," Rob Portman, U.S. Trade Representative, told reporters on Capitol Hill Tuesday. "The lowest common denominator approach, which if you follow the lowest common denominator you won't achieve the Doha expectations."
Portman, who was recently nominated by President George W. Bush to head the Office of Management and Budget, said he would head to Geneva with newly-nominated Deputy U.S. Trade Representative Susan Schwab to meet with trade negotiators with the Group of 20 developing countries, Group of 90, the Australian-led Cairns Group, director general of the World Trade Organization Pascal Lamy and other trade members available for talks.
"The effort will be to try to figure out ways to break the deadlock and come to a resolution," said Portman.
The U.S. trade envoy said despite the absence of the April 30 meeting, talks with trading partners would help to "bridge the differences on market access."
"The United States is willing to do its part, willing to take on other responsibilities, but we said at the same time the domestic support needed to be matched by new market access through the reduction of tariffs," said Portman.
Trade ministers were slated to meet in Geneva by April 30 to formalize tariff schedules aimed at eliminating trade barriers in the world's richest agriculture-producing nations and reduce high tariffs on industrial goods. Strained progress in talks forced officials in Geneva to call off talks last Friday, explaining that headway made by negotiators was "insufficient" to negotiate modalities with "any reasonable chance of success."
"Genuine and important progress has been made, but not fast enough to allow us to reach agreement on modalities by the end of the month," said WTO Director General Pascal Lamy. "From now on, the process to reach modalities will be continuous, Geneva-based, and focused on text -- and we should aim at finishing this work in a matter of weeks rather months."
Lamy called on trade partners not to play the blame game and to refocus efforts to successfully conclude negotiations by the end of the year, ahead of the expiration of a U.S. legislation, which gets trade bills through Congress with relative ease.
"This is not the time for blame or recrimination, which I am sure you will all wish to avoid, but determination, refocusing our efforts and working together more productively," said Lamy.
The European Union has been highly critical of the United States within the last week, calling on Washington to make further cuts in its agriculture subsidy program.
"There is insufficient economic return to compensate for what the EU and United States, primarily, are offering in their agricultural tariff and subsidy cuts," said Mandelson, in a speech on Friday. "This will make the Doha result impossible to sell politically to domestic constituencies, with the risk of failure which none of us want."
The United States has consistently reiterated that its proposal, issued six months ago, exceeds demands made by WTO members.
"The commission is quiet adept at speeches, press conferences and finger pointing," said Christin Baker, spokeswoman for the U.S. trade office, in a previous statement. "We just wish they would put the same kind of energy into the needed negotiations to make Doha a success."
While officials in Geneva have yet to set a new date to meet to discuss modalities, Portman suggested that a new deadline might put ample pressure on negotiators to complete talks soon.
"If you don't have a deadline, how do you get your work done? I do think deadlines are needed," said Portman.
