Hon Phil Goff
Minister of Trade

29 Jan 2007
Media statement

Goff Welcomes Formal Resumption of WTO Talks

Last weekend's meeting at Davos represented important progress, but not yet a breakthrough in WTO talks, says Trade Minister Phil Goff.

Mr Goff returns today from a World Trade Organisation (WTO) Trade Ministers' meeting in Davos and an intensive round of talks in Europe last week, which included meetings with WTO Director General Pascal Lamy, United States Trade Representative Susan Schwab and European Trade and Agriculture Commissioners Peter Mandelson and Mariann Fischer Boel.

"There was at Davos a much greater sense of optimism that progress in the WTO Round is finally being made, after the suspension of the talks last July," Mr Goff said.

"That progress is sufficiently encouraging to have persuaded Pascal Lamy to resume formal negotiations.

"The Round is going forward and I welcome that. However, we are not yet on the brink of any breakthrough, and the most difficult issues remain to be resolved.

"No formal deadlines have been set, but there must be a sense of urgency in tackling the issues if we are to regain the momentum necessary to conclude the Round.

"The US and the EU have engaged in serious discussions over the last couple of weeks, over the issues which separated them last year. That is encouraging, and a necessary prerequisite for the recommencement of negotiations.

"They need to set out the level of cuts in tariffs in agricultural goods which will allow new trade flows, as well as cuts in domestic subsidies for agriculture in the developed world, which distort trade.

"We also need to progress freeing up trade in services, and reducing tariffs on non-agricultural goods - especially in large developing countries. There are promising indications of flexibility to move in these areas.

"The path forward involves direct bilateral discussions between countries as well as in small group discussions, which can then be fed into the formal negotiating process in the Geneva negotiating groups.

"New Zealand is playing a constructive and important role. It is a member of the "Green Room" negotiating process and chairs the Agricultural Negotiating Group. It is currently working, also, through an informal group of countries - with diverse interests – who have a strong common interest in concluding the Round.

"The next couple of months will be vital in determining how far, and how quickly, we can move in achieving consensus across the board – to agree on the texts that will be necessary to conclude the Doha Round," Mr Goff said

ENDS

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