After the G4 meeting in Potsdam, Germany, failed to break the logjam in the Doha round of trade talks, it’s the turn of APEC to have a go.

Australia’s Trade Minister Warren Truss will begin hosting a two-day meeting of trade ministers and senior officials from the 21 Asia-Pacific Economic Cooperation (APEC) economies in Cairns, on July 5, 2007.

The meeting comes less than a fortnight after the collapse of what were seen as crucial world trade discussions involving the European Union, the United States, Brazil and India -- the so-called Group of Four (G4) nations.

World Trade Organisation chief Pascal Lamy has warned that without a breakthrough soon, the Doha Round could fail altogether or may have to be put on hold for many years.

Truss acknowledged that there is “quite a large gulf at the present time, and it is difficult to see how that can be bridged,” but added that he believed a change in approach could be the best way to achieve progress.

“Rather than relying on the superpowers or large groups to broker a way through, the key emphasis now is on the proposed text to be released by the committee chairs in Geneva which may form a basis for negotiating a solution,” he told The Australian.

WTO members are waiting for draft texts proposing how to liberalise trade, from the chairs of separate committees in charge of agriculture and manufacturing.

“Clearly, the issues still have to be resolved but if a momentum was to develop around a text devised by each of the negotiating group chairs, then the weight of numbers of countries may bring some of the larger... countries on board,” Truss said.

US Trade Representative Susan Schwab said the US will pursue free trade agreements in the Asia-Pacific region if talks on a global trade deal fail. “I think you will see a real acceleration of bilateral and regional deals including something like a free trade agreement of the Asia-Pacific if the Doha Round really disappears from the scene,” Schwab said.
 

July 2, 2007