Ministers from G20 developing countries and wealthy industrialised states agreed on Saturday to work harder to finish the complicated negotiations needed to change trade rules in favour of the poor. The trade ministers will up the frequency of their meetings and get more involved in negotiations themselves in an attempt to bridge differences on freeing agricultural trade and opening markets for services and industrial goods.
"It is a starting point to give momentum, it is a political push," Brazilian Foreign Minister Celso Amorim said after a meeting of trade negotiators from the European Union, the United States, other Western governments and the poorer G20 countries.
Negotiators hoped to outline steps to keep the Doha trade round on track, with the goal of having a draft deal ready by the meeting of the World Trade Organisation's 148 members in Hong Kong in December.
EU trade commissioner Peter Mandelson said the ministers had put in place a series of negotiating milestones on the road to Hong Kong.
"The ministers showed their commitment. The timeframe is to have real progress by July," said WTO chief Supachai Panitchpadki.
The schedule for the trade round, originally due to end in 2004, has slipped badly after a robust defence by less developed nations of their trading interests.
WTO members agreed last July to end agricultural export subsidies. That deal breathed new life into the Doha talks, but tough negotiation on the details lie ahead if a final agreement is to be reached by the target of 2006/7.
"It was very important that we start out 2005 with some momentum in the Doha negotiations," outgoing US trade representative Robert Zoellick told reporters.
MEETINGS AHEAD:
Trade ministers have agreed to meet again on March 2-4 in Kenya to keep up the pressure for a deal while the G20 group will meet in New Delhi on March 18-19.
Brazil, which leads the G20, has called for unity within the diverse group, which agrees on freeing trade in farm goods but differs on opening markets in services and manufactured products.
India, a key G20 country along with China and Brazil, is concerned that removing distortions in agriculture markets is overshadowing all other issues in the Doha round of trade talks. It also wants to ensure liberalisation of the service sector.
"We have to make sure this is the Doha round and not the agriculture round," said Indian Commerce Minister Kamal Nath.
Negotiators have hardly begun to settle differences in the service sector, with the WTO warning that failure to make progress in this area, which includes banking, insurance and information technology, could scuttle the whole Doha round.
The deadline for updated offers on services is May 2005 and the EU says it is disappointed with responses so far. It put out a revised request this week in an effort to stimulate progress.
On Friday, world leaders reminded negotiators that the Doha Round was intended to focus on developing nations, using trade liberalisation as one means to promote economic growth and reduce poverty in the poorest nations.
"The interests of developing countries should be fully taken into account," said China's Executive Vice-Premier Huang Ju.
"Countries should further open their markets, press ahead with trade facilitation and remove trade barriers of all forms."