The new compromise proposals prepared by mediators of
the World Trade Organisation (WTO) provided a good basis
for starting intensive negotiations on a global trade
pact, commerce and industry minister Kamal Nath said.
is a text which is not a text of convergence, but this
is a text which leads to intensive negotiations,"
Nath told reporters on the sidelines of a conference.
US cut in farm subsidies would be enough to push India
to make concessions in World Trade Organisation talks,
Kamal Nath said.
India''s first reaction to proposals for a compromise
presented by the chairmen of the WTO negotiations on
July 17, Nath said he is prepared to use the blueprints
as the basis "to resume intensive negotiations."
would be happy with any reduction the US is willing
to do on their applied levels" of agricultural
subsidy spending," he said.
US has offered to lower the ceiling it''s allowed to
spend under WTO commitments to $17 billion a year. This
week''s proposal from the trade arbiter calls for a reduction
to between $13 billion and $16.4 billion.
US says it wants to retain the right to increase these
subsidies," Nath said. "A development round
doesn''t mean you reserve the right to keep your subsidies
and increase your distortion. We want the distortions
compromise proposal drafted by the WTO were meant to
revive troubled farming and industrial goods talks and
save the Doha free trade accord.
was launched shortly after attacks on the United States
in 2001 in a bid to shore up confidence in the world
economy, but it has been mired in problems and risks
being put on hold for several years if a deal is not
countries like India and Brazil are seeking both to
bring down rich nations'' barriers to their farm exports,
and a scaling back of what they call trade-distorting
subsidies to farmers in Europe and the United States.
they are concerned about opening their markets up too
much to imports of industrial goods from developed nations.
are due to convene in Geneva next week and then recess
said India hoped that when talks resumed in September,
developing countries'' concerns about ensuring the development
mandate of the round would be addressed.
course we have concerns on industrial tariffs but at
least now there are certain parameters, so we hope to
move on this," he said.
said he spoke with WTO Director General Pascal Lamy
on the telephone for about an hour on Friday to discuss
the WTO''s 150 governments accept this week''s proposals
as the basis for compromise, the six-year-old talks
that is expected to add at least $96 billion a year
to the global economy will come to an end.