afrol News, 2 July - South Africa's Trade and Industry Minister has advised the developing countries to focus on trading more among themselves until the developed countries lift subsidies for their farmers and give Africa real access to their markets.

Mandisi Mpahlwa, who made the comments at a media briefing on the South African cabinet's economic cluster's work, asked developing countries to busy themselves with ensuring more trading among themselves rather than reacting to the developed world's unwillingness to address subsidies and market access in the Doha round of talks by "raising tariffs" and "building walls."

Going by the new agricultural text circulated last month in Geneva, it is clear that the Doha talks has betrayed its initial aims to alleviate food crisis through free trade and opening up new markets for both developed and developing countries. It has compromised its main aim of ensuring a level playing field.

"We continue to hold the view that the key to unlocking the Doha round is elimination of subsidies as well as market access," Mr Mpahlwa said, concurring that the current global economic environment - food shortages - provides scope for developing countries to do more to really ensure we move more quickly and more substantially to reduce subsidies.

"We are not of the view that as developing countries we should be raising tariff walls because we do not believe that this is the direction the world is moving in," said Mr Mpahlwa.

He said the developed world would need to tap into Africa's huge agricultural potential. South African minister said it would be in the continent's interests to develop agriculture to better the lives of millions of people who depend on the sector for survival.

In the last few years, Africa's trade with the European Union has slumped from 40 percent to 33 percent while its trade with Asia has gone up from single to double digits.

The Doha round of talks was launched in Qatar in November 2001 with the aim of reaching a deal by 2004, but it a dispute between developed and developing countries on agricultural and industrial tariffs has floundered the talks.

Officials of the World Trade Organisation have been convinced that a deal is "doable" and would want it to be wrapped up before the US President George Bush leaves power in early next year.

But the disagreement on the new draft texts, which many people describe as disappointing, would surely derail a breakthrough.

By staff writer

© afrol News

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