Dáil debates

Thursday, 1 December 2005

World Trade Organisation Negotiations: Statements.

 

1:00 pm

Photo of Brendan HowlinBrendan Howlin (Wexford, Labour)

The nation committed itself to those goals when we signed up to them at the UN. We should not be trying to weaken those objectives through international organisations such as the WTO. The third objective must be to foster sustainable development. Since the Rio process in the 1990s, sustainability has been an important part of the international agenda. It seemed to lose steam in recent times, but sustainability must be at the heart of all of our trade negotiations and our trade deals.

The fourth objective is to commit ourselves to poverty eradication in every country, including the developed countries, in order to build greater cohesion and less polarity between income groups, both within developed economies and between developed and developing economies. In short, our objective must be the effective management of so-called globalisation for the benefit of all.

The success of the WTO has the potential to lift millions of people across the world out of poverty. Trade liberalisation can confer great benefits on developing countries, which can become further integrated into the world trading system. However, they must have the capacity to properly and effectively avail of this development. Therefore, they must have the infrastructure to take advantage of the potentials of trade access. Otherwise, that very access might place heavy burdens on them. Hence, we must guard against complicated trade regulations, red tape and a lack of institutional capacities, which can constitute real barriers, to developing countries in particular, taking full advantage of the potential of liberalised trade.

In the short time available, I want to mention a few issues. Ireland's stated position is for an ambitious outcome to the Hong Kong ministerial round, although some of the recent presentations to the relevant joint committee have adopted a pessimistic tone. Nevertheless, we must have ambitions to include rights and a rights-based approach in a final negotiating position. While negotiations will not conclude in Hong Kong, a concrete agenda to conclude early in 2006 might be set, with a view to concluding the round in its entirety by the end of 2006 or early 2007. We know how important trade is for Ireland.

As time is short, I want to mention multilateralism briefly. The current thrust of some bilateral discussions, particularly between the United States and some African countries, whereby trade access is linked to and supports other foreign policy agenda items of the United States, is an extremely worrying development. The European Union must protect the notion of global responsibility and a multilateral approach to these matters.

While there is a number of important issues for Ireland, I want to touch briefly on agriculture, which will be dealt with in detail by our spokesperson, Deputy Upton. I will refer to the sugar agreement reached last week to illustrate the complications attached to these matters. I met Lesotho's Minister for Industry and Marketing, Mr. Mpho Malie, during the week and I wish to share his perspective on this complicated issue as he provided an example of the impact which the sugar agreement will have on developing countries in his region. He mentioned Swaziland and Mauritius, with which he has been in direct contact. Both countries have preferential trading rights within the European Union, under the Cotonou Agreement, or under the general system of preferences. The agreement has inflicted a devastating blow on them, because heretofore, they were able to sell their sugar at EU prices. That option will no longer be open to them. Like many other ACP countries, they must share a token compensation package, which I understand will come to approximately €40 million. Ireland alone will receive €400 million — which is welcome — in compensation for our industry. Hence, even deals which are presented as being fair to developing countries, may not be so. We must be guarded and careful in ensuring that least-developed countries are protected. Any progress already made to give such countries market access at European level prices, through the institutions of the European Union itself and the Cotonou Agreement, must be protected and respected in any broader global arrangement.

The stated objective of Ireland is to ensure full agreement within the WTO, without further reform of the CAP. Most Members would subscribe to that, because implementation of the CAP reform agreement is still incomplete. As a final comment in respect of agriculture, those representatives of the agricultural sector to whom I have spoken are concerned that the lead negotiator for the European Union is the Commissioner for Trade, Peter Mandelson. Recognition of the importance of agriculture differs in each of the European Union member states. I have been involved in international negotiations and I know how difficult it is to have an input once negotiations are underway. This is because they are conducted through the European Union. The Council operates in permanent session, moulding what has become an extremely complicated mix of views from 25 states into a single negotiating position. However, I wish the Minister well in protecting Ireland's position, while having the generosity to ensure the dependence of the developing world on agriculture is fully recognised.

I want to mention the non-agricultural market access, NAMA, issue. As an exporting country, Ireland wants ambitious market-opening opportunities for all our exports, particularly in respect of opportunities for the pharmaceuticals, chemicals, information technology and electronics sectors. There is a focus on the level of reductions on tariffs applied to Irish-produced product being exported to Third World countries. My point in respect of NAMA is that all these negotiations are taking place in different rooms. Hence the NAMA conclusions will be drawn up in one room and the agricultural ones in another. We should monitor the balance between the two so we do not sell our agricultural positions for the benefit of NAMA or vice versa.

As for internationally traded services, it is important that public services are not, and should not be part of GATS. This is particularly important for developing countries. I had intended to mention gender issues, as an important presentation has been made in this respect by Banúlacht. Perhaps one of my colleagues will be able to cover the issue. I wish the Minister well in the negotiations and look forward to having an input through the parliamentary tier in the Oireachtas. I hope there will be open consultations with all the interested parties, including the NGOs, in Hong Kong as the negotiations progress.

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