WTO Progress Hinges on Agricultural Protection, Says PM Howard

Australian Prime Minister John Howard emphasized that agricultural trade is a critical issue for the World Trade Organisation (WTO) and that progress on this front is essential for progress on other trade talks. Speaking after the APEC leaders' summit, Mr. Howard highlighted the importance of addressing agricultural protection, citing the United States' generous offer of tariff reductions as a significant step forward. The EU's counter-offer, however, was deemed inadequate by Mr. Howard, who noted that Japan's signature on a statement of principle regarding agricultural trade is a positive development.

Key Takeaways:

• Agricultural trade is the primary obstacle to WTO progress, according to Prime Minister John Howard.
• The United States has proposed reducing farm tariffs by 55-90 percent for developed countries, while the EU's counter-offer would limit cuts to less than 40 percent.
• The EU wants to exclude up to 176 tariff lines on "sensitive products" from the overall cuts.
• Japan's signing of the statement of principle on agricultural trade is seen as a significant breakthrough.
• Mr. Howard emphasized the need for reciprocity from the European Union following the United States' offer.
• APEC leaders' summit participants signed a statement of principle calling for progress on agricultural trade.
• The declaration of principle is seen as a crucial step towards progress in the WTO talks.

Statistics:

• The United States proposes reducing farm tariffs by 55-90 percent.
• The EU's counter-offer would limit tariff cuts to less than 40 percent.
• The EU wants to exclude up to 176 tariff lines on "sensitive products" from the overall cuts.
• Japan has high levels of agricultural protection, with Mr. Howard noting the need for lower trade barriers.
• The APEC leaders' summit took place over two days.

Sources:

• Asia Pulse, November 21
• ABC News (Australia) ( exact date not specified in source material )