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LDCs may face pressure during next roundof WTO talks 

Dinesh Chandra  
New Delhi, Dec 9: Commerce minister Murasoli Maran told the Rajya Sabha on Thursday that the developing and less developed countries would have a crucial time in withstanding pressures from various quarters before the next round of World Trade Organisation (WTO) negotiations.

The Seattle ministerial conference could not come to any conclusive decision but some of the decisions taken by the 25 odd countries in a cloak room meet had been kept frozen and could be discussed at the next round of ministerial meet, he said.

Responding to members' queries during a short discussion on Seattle round of WTO negotiations, the minister said the biggest achievement at Seattle was that the developing countries and the less developed countries had come to an understanding and were successful in articulating their views. India made it amply clear at Seattle that WTO forum should discuss trade and only trade-related issues, he said.

The elders, while congratulating the government for protecting the nation's interests at the Seattle round, advised it to remain vigilant and help sustain the developing and poor countries' resistance to West's attempts to impose conditions harmful to their interests.

They, however, wanted the government not to shy away from negotiations and to vigorously protect India's and other poor nations' interests at every round, citing the example of developed countries, who they said, despite vast differences, were participating in the negotiations.

Decrying the attempts of the developed countries to link trade with labour and environment and assume the role of UN agencies like the International Labour Organisation (ILO), members said India should tell them that the country's record in observing ILO conventions was far better than many of them.

Initiating the discussion, senior Congress member and former commerce minister Pranab Mukherjee said even on issues on which the country differed from others, it should take part in negotiations and try to extract as many concessions as possible. "Developing countries have legitimate apprehensions and we cannot opt out and must actually participate for a more just economic order", Mukherjee said.

India was on much stronger wicket on issues like subsidies, fair labour practice and the west was only trying to indulge in protectionist policies by bullying the third world in the "facade" of labour, he said.

Mukherjee demanded that the developed countries should be told that they needed to open up their borders for free movement of services and labour as they were seeking the opportunity for their industries to migrate to the third world.

Advising caliberation of reforms with the concessions the country got, Mukherjee said efforts to link the agricultural agreement with food security should be intensified in future talks.

As regards foreign investments, he said they could not be at variance with the development angle, adding that the areas of investment would have to be determined by the receipient countries themselves. BJP member L.M. Singhvi termed the proposed agreement on subsidy, initiated by the developed countries, as discriminatory.

Singhvi said WTO dispute resolution system was unjust and prohibitive and at times beyond the reach of the poor nations to afford. He called for greater equity, transparency and openness in the system.

Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.

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