Seattle 99Volume 3Number 46 • 24th November 1999

EU Stresses Development Round


EU Stresses Development RoundKicking off the hectic schedule of Seattle Ministerial Conference press briefings, EU Trade Commissioner Pascal Lamy and the UK Secretary of State for International Development Clare Short both put the emphasis on the gesture that the Ministerial is widely expected to deliver in favour of the least-developed countries (LDCs). According to Commissioner Lamy, the Quad countries (the EU, Canada, Japan and the United States) on Sunday night were perhaps only hours away from concluding a deal that would offer LDCs duty-free access on ‘essentially all [their export] products’ at the conclusion of the Seattle Round. Mr Lamy admitted that a margin of ‘about one percent’ was necessary to accomodate the sensitivities of some EU countries’ with regard to ’sensitive’ agricultural products, as well as concerns of other Quad members – and the US in particular – about removing all barriers to LDCs’ textile exports. However, Mr Lamy said that Japan was ‘extremely close’ to reaching agreement with the EU proposal while the US and Canada were still working on ‘the details’. After Quad agreement, Mr Lamy foresaw other developed countries’ signing on, adding that he was optimistic as well about securing a commitment from the largest developing economies to ‘make a special unilateral gesture’ to increase LDCs’ market access.

Minister Short highlighted the UK’s role within the EU as an advocate for opening developed country markets for all – rather than ‘essentially all’ – LDC products. Observers say that the UK is unlikely to convince all EU members on full dismantling of barriers, however. Minister Short also emphasised that the zero-tariff initiative was not tied to any conditionalities – such as ‘good governance’ or developing countries’ endorsing a comprehensive round of negotiations – but added that the EU hoped the latter would consider the initiative as a constructive gesture, which might make them feel more positive about the forthcoming round of trade negotations.

ICTSD Internal Files.