The New Nation - Internet Edition

Staff Reporter

Commerce Adviser Dr Hossain Zillur Rahman yesterday in WTO Ministerial meeting in Geneva said that the multilateral trading system would create a fair-play ground for all trading partners and bring benefit to the global trading system.

He said the Least Developed Countries (LDCs) want better market access for products and service providers.

"This is very much along with the spirit of the WTO principles. We expect positive initiatives from our trading partners, who are fortunate enough to be economically developed than us," the Adviser said.

"I strongly believe that much more flexibility needs to be shown by the members in the areas where the divergence remain," Zillur said.

On the issue of duty-free quota-free market access for LDCs, Zillur said ministers in Hong Kong made it clear that duty-free quota-free market access will be provided for all products from all LDCs.

"The issue of Rules of Origin is crucial for us. Duty-free quota-free market access without simplifying the preferential Rules of Origin will not bring any benefit to LDC exporters."

On capacity building, Zillur welcomed the reference of mechanism like enhanced integrated framework for LDC and Aid for Trade by the WTO chairman.

On non-reciprocal preference, the Adviser said, "We welcome the increase in the list of products in annex 2 and 3. The LDC Group has also noted that you have proposed one year of grace period before the tariff reduction starts."

Zillur said the LDC Group reiterates its commitment to multilateral trade.

Opening the meeting WTO Director-General Pascal Lamy said, "The central task before WTO members during the coming week is to try to agree on "modalities", which will include formulas for cutting agricultural and non-agricultural tariffs and farm subsidies."

"Establishing modalities in agriculture and non-agricultural market access does not mean that the negotiations on these two issues are over," Lamy reminded members when he opened the meeting.

"Let me again stress that the establishment of modalities is, instead, a necessary stage to allow us to proceed to the preparation of and to accelerate the negotiations in the other areas."

The "uphill journey" requires "patience and determination" but agreement on this major step in the negotiations is within reach, he said.

"I can think of no stronger spur for our action than the threats which are facing the world economy across several fronts, including rises in food prices and energy prices and financial market turbulences. There is widespread recognition that a balanced outcome of the Doha Round could in these circumstances provide a strong push to stimulate economic growth, providing better prospects for development and ensuring a stable and more predictable trading system."

Lamy also described the planned process: "no surprises, intensive informal consultations in a variety of configurations - bilateral, plurilateral and multilateral", with decisions only taken by the full membership in a process that is "transparent" and "inclusive".

He compared the task to climbing a mountain. "The only way to reach the top is understanding each others' interests and limitations."