Seanad debates

Wednesday, 21 May 2008

WTO Negotiations: Statements (Resumed)

 

1:00 pm

Photo of Tony KilleenTony Killeen (Clare, Fianna Fail)

Today's debate clearly highlights the importance of achieving an acceptable outcome to the current round of WTO negotiations. There can be no doubt that the outcome of these negotiations will present challenges for EU and Irish agriculture. My colleague, the Minister for Agriculture, Fisheries and Food, Deputy Brendan Smith, highlighted the concerns of the Government in terms of the current direction of the negotiations. We remain committed to seeking a positive outcome to these negotiations.

Ireland has much to gain from the efficient and multilateral trading system provided by the WTO. However, we must ensure that the final agreement is comprehensive and provides real benefits to the EU and Irish economies. This will only be achieved if there is real progress made across all of the different sectors of the negotiations. At present, there is an over-emphasis on the agriculture negotiations and this is leading to the possibility of EU agriculture carrying a disproportionate burden in the negotiations.

The EU has made significant contributions to the negotiations to date and has supported in real terms efforts to achieve an ambitious outcome through the significant negotiating commitments it has made. The 2003 reforms of the CAP, which have introduced farm payments decoupled from production and which are considered non-trade distorting in the WTO context, and the agreement to eliminate export refunds represent the EU's real commitment to reform and to reaching an ambitious outcome to these negotiations.

It is disappointing to have to report that other WTO negotiating partners have not to date made equivalent contributions. This lack of commitment from other negotiating partners is a major reason for the current imbalance in the negotiations. The Government is concerned about this imbalance.

Some of the current proposals in the agriculture sector would, we believe, place a disproportionate burden on EU and Irish agriculture. This is not acceptable to us and to many other member states. It is now crucial that the other areas of the negotiations make real progress which will facilitate a balanced overall agreement which does not sacrifice EU agriculture. My Government colleagues and I, together with officials in the Department, will continue to use every opportunity available to us in our many bilateral meetings with the Commission and our EU counterparts, in the EU Council of Minister meetings and in the EU and WTO negotiating forums, to outline and highlight Ireland's concerns.

We have entered another intensive phase of negotiation with the issuing of new papers by the chairs of the agriculture and market access for industrial goods negotiating committees. The latest indications from Geneva are that the WTO Director General wants to convene a ministerial meeting towards the end of June with a view to reaching agreement in the agriculture and industrial goods sectors.

Given the significant number of outstanding issues and the imbalance in the level of ambition across the different negotiating areas, it is not clear if and when a ministerial meeting will go ahead and, ultimately, when a final agreement might be reached. In addition to the large number of complex issues across the broad spectrum of negotiating areas which are unresolved, the uncertainty of the US political situation will play a crucial role in whether the proposed timetable for reaching a final agreement is achieved. Nevertheless, we must prepare ourselves for the eventuality that a ministerial conference may take place next month and that determined efforts will be made to conclude the negotiations this year.

As the negotiations continue, while I am committed to a successful conclusion to the round, I assure the House that the Government is determined to ensure that EU agriculture is not sacrificed for the sake of an agreement. We are striving to achieve an equitable agreement which delivers real benefits across all elements of the negotiations. The EU must secure an agreement which will ensure continued economic development of its agriculture.

The Government's objective in the agriculture negotiations is to ensure that the CAP reforms, which have already been implemented, and which represent the limit of the EU mandate in these negotiations, are not undermined. At the same time, we will pursue vigorously with the Commission and elsewhere the detailed technical requirements for the EU to maintain effective import protection for critical products. This includes equitable treatment of sensitive products that provides meaningful levels of protection, the price for which is reasonable and fair.

The Department of Agriculture, Fisheries and Food has undertaken a wide-ranging analysis of the proposals as they have arisen in the current round of WTO negotiations. This analysis covers a large number of different scenarios and their impacts on a wide range of agricultural products. In particular, it evaluates the levels of import protection which would apply under different tariff reduction scenarios which have arisen in the negotiations for the main agricultural products.

There are a number of independent studies carried out which have also informed this process. In particular, I would point to the FAPRI-Ireland report of March 2006 and the 2003 Forfás report. The FAPRI assessment is being updated on the basis of the last proposals from the chairman of the WTO agriculture committee and will be finalised shortly. Some Senators have asked for this analysis to be released publicly. I would be reluctant to do this in the middle of the negotiations but I would be happy to brief Opposition spokespersons on some of the details if they so wish, and the Minister, Deputy Smith, made the same offer.

The question of whether Ireland should invoke its veto in these negotiations has been raised by some in the House and outside it. To those who would pose this question, my reply would be that these WTO negotiations are still very much in progress and there is no clarity as yet on either the eventual outcome or the timing of any deal. In those circumstances, it is premature and defeatist to speak in terms of a veto at this point.

There are many aspects of the negotiations still outstanding and we should not rush into taking a position on this matter at this time and thereby alienate potential allies. The important point is to continue to fight strongly for a balanced deal which does not sacrifice agriculture and delivers benefits for Ireland's economy.

I reiterate that the House can rest assured that everything possible is being done, and at every political level, to ensure Ireland's interests are best protected in these negotiations. I, with the Minister for Agriculture, Fisheries and Food, Deputy Smith, and other Government colleagues intend to spare no effort in highlighting our concerns and achieving a positive outcome from these negotiations for Ireland. We will continue to work with other member states in the days and weeks ahead as these negotiations continue to ensure an acceptable outcome is secured for Ireland and the EU.

There were a number of points made by Senators.

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