Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


WTO not able to reconcile trade and development

Bali deal confirms WTO not able to reconcile trade and development

Joint Post Bali Statement: ITUC, EI and PSI statement

7 December 2013

The package agreed in Bali overnight, and released with great fanfare, demonstrates how unbalanced the global trade agenda still is.

The WTO continues to be unable to craft trade policies that serve development and are consistent with the most important issues for the world’s poor, such as food security.

While India’s refusal to accept a temporary solution on food security has been addressed, the terms of the deal are much less favourable, leaving many other developing countries vulnerable in the medium term, with only a much watered down LDC package in return.

The USA and Europe’s refusal to deal with longstanding issues required to address food security leaves little room for the developing world to gain from future talks.

The commitment to end export subsidies and cotton production subsidies in the USA agreed to in 2005 have yet to be implemented and continue to be delayed with no plan for resolution.

The LDC package which had already been weakened substantially before Bali has remained unchanged. Negotiators failed to strengthen it in Bali and fail to provide an improved LCD package that will have a real impact.

A serious commitment to addressing developing world needs and to address the food security of the world’s starving would look very different.

A permanent solution is still required to deal with the many countries who are still locked out of a range of food security measures because of the onerous conditionality’s attached to the clause.

The continued squeeze on national governments ability to determine their own policies in the trade facilitation agreement is bad for workers, public services and development.

The binding commitments of the trade facilitation deal will require some of the poorest countries in the world to invest in expensive ports, customs processes and machinery to facilitate developed world imports.

Previously standard options for LDCs to adopt less onerous rules have been discarded forcing them to adopt the same rules as the developed world but with longer time to implement.

Implementation by LDC governments, who already struggle to collect sufficient revenue, will require redirection of scarce government resources away from desperately needed health, education and public infrastructure such as water and energy.

Yet there is no clear road map for how these economies will restructure to deal with significant increases in foreign imports. This risks economic dislocation in some of the world’s most vulnerable economies while bleeding resources from basic services to the poor.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Power Outages, Roads Close: Easter Storm Moving Down Country

The NZ Transport Agency says storm conditions at the start of the Easter break are making driving hazardous in Auckland and Northland and it advises people extreme care is needed on the regions’ state highways and roads... More>>


Houses (& Tobacco) Lead Inflation: CPI Up 0.3% In March Quarter

The consumers price index (CPI) rose 0.3 percent in the March 2014 quarter, Statistics New Zealand said today. Higher tobacco and housing prices were partly countered by seasonally cheaper international air fares, vegetables, and package holidays. More>>


Notoriously Reliable Predictions: Budget To Show Rise In Full-Time Income To 2018: English

This year’s Budget will forecast wage increases through to 2018 amounting to a $10,500 a year increase in average full time earnings over six years to $62,200 a year, says Finance Minister Bill English in a speech urging voters not to “put all of this at risk” by changing the government. More>>


Prices Up, Volume Down: March NZ House Sales Drop 10% As Loan Curbs Bite

New Zealand house sales dropped 10 percent in March from a year earlier as the Reserve Bank’s restrictions on low-equity mortgages continue to weigh on sales of cheaper property. More>>


Scoop Business: Chorus To Appeal Copper Pricing Judgment

Chorus will appeal a High Court ruling upholding the Commerce Commission’s determination setting the regulated prices on the telecommunications network operator’s copper lines. More>>



Cars: Precautionary Recalls Announced For Toyota Vehicles

Toyota advises that a number of its New Zealand vehicles are affected by a series of precautionary global recalls. Toyota New Zealand General Manager Customer Services Spencer Morris stressed that the recalls are precautionary. More>>


'Gardening Club': Air Freight Cartel Nets Almost $12 Million In Penalties

The High Court in Auckland has today ordered Swiss company Kuehne + Nagel International AG to pay a penalty of $3.1 million plus costs for breaches of the Commerce Act. Kuehne + Nagel’s penalty brings the total penalties ordered in this case to $11.95 million ... More>>


Crown Accounts: Revenue Below Projections

Core Crown tax revenue has increased by $1.9 billion (or 5.0%) compared to the same time last year. However this was $1.1 billion less than expected and is reflected across most tax types, continuing the pattern of recent months. More>>


Get More From Scoop

Computer Power Plus
Search Scoop  
Powered by Vodafone
NZ independent news