Trade deal ‘disaster for poor’

Millions more people face hunger and poverty as a result of the deal proposed this evening at the World Trade Organisation talks in Geneva, the charity War on Want warns.

John Hilary, executive director of the anti-poverty charity, said: “The WTO has manufactured this deal by excluding more and more of members from the negotiations. Stitching together an agreement between seven states while shutting out all others exposes the lack of legitimacy at the heart of the world trade talks. The deal threatens disaster for millions as developing country markets are forced open in the interest of corporate profits. Governments must reject the proposal rather than deliver such a bleak outcome for the world’s poor.”

Delegates at the world trade talks have been asked to consult with their capitals on a proposed settlement which will allow developed countries to get away with minimal cuts to their farm subsidies, while at the same time opening up developing country markets to both agricultural and industrial imports, according to War on Want.

Under the proposed settlement seen by the charity, the US will be asked to cap its trade-distorting agricultural subsidies at $14.5 billion, twice what it currently pays its farmers. Yet developing countries will be required to undertake real cuts in their industrial tariffs, and will be restricted in the protection they can afford their own farmers.

Several countries have protested against being excluded from the negotiations, which have been held behind closed doors between an ever decreasing circle of invited delegations.

Representatives will reconvene tomorrow at the WTO to continue the talks, while the EU’s Council of Ministers is also set to discuss the proposal on Saturday.

CONTACTS
For comment and further details, phone War on Want media officer Paul Collins on +44 (0)7983 550728 or John Hilary on +44 (0)7983 550727.