BuaNews (Tshwane)
Richard Mantu
19 August 2003
Pretoria — Trade and Industry Minister Alec Erwin has emphasised that the success of the next round of World Trade Organisation (WTO) negotiations will depend on developed countries making concessions on issues of agricultural subsidies and access to markets.
The minister was addressing a two-day National Consultative Conference in Pretoria today, in preparation for the upcoming WTO fifth Ministerial conference to be held in Cancun in Mexico, from 10-14 September.
Mr Erwin said South Africa, as part of the Cairns group, including amongst others Brazil, Chile and Malaysia, had made it clear that progress in other areas would be impeded if there was no progress in agricultural issues and market access.
'No one is really going to enter negotiations on non-agricultural products and do nothing on agricultural products.
'In Montreal recently, the Cairns group which we are part of, stated unequivocally that if there is no progress on market access and agriculture, there is no progress on anything. This I think is one of the really crucial points that will come up in Cancun. The ability of the Cairns group to stick to those positions is crucial. I think they are determined to make sure that we can change agriculture significantly,' said Mr Erwin.
The Cairns Group was formed by Australia in 1986 and consists of 15 fair trading agricultural producing countries.
The group accounts for around 20 per cent of world agricultural exports and together, these countries make a critical force for the reform of world agricultural trade.
Many developing countries have expressed concern about the European Union and United States' decision to subsidise their agricultural farmers, which is hurting particularly African farmers, making their access to these markets difficult.
Arguments are that farmers in the developing world are not able to compete with their European counterparts, as their agricultural products are not as competitive as those of their counterparts.
Mr Erwin said South Africa's delegation in Cancun would seek clearer modalities on agriculture so that real access to agriculture could be achieved, that would result in a genuine balance to unlock the world economy in favour of developing countries.
'We need to feel comfortable that real access could be achieved for agriculture. Thereafter we are in a position to deal with non-agricultural products, environmental issues.
'So unlike many developing countries our concern is not the agenda content as such... our basic concern is that we achieve a genuine balance that unlocks the world economy,' said Mr Erwin.
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