| Statement by Ambassador Sun Zhenyu at the Agricultural Special Session |
|
| Wednesday,July 25,2007 Posted: 18:31 BJT(31 GMT) Chinese Mission to WTO |
Thank you Mr. Chair for the tremendous efforts in preparing the paper. It was not an easy job particularly after the failure of G4 meeting in Potsdam. The paper will contribute positively to the intensification of the multilateral process. It is our strong believe that transparency and inclusiveness of the negotiations offer better chances for success. As you have pointed out, we can still do this if we give the genuinely multilateral process a fair chance.
China fully supports the statements made by Brazil on behalf of G20 and the statement by Indonesia on behalf of G33. We share their comments that your paper offers a good starting point for further negotiations. It is definitely a positive step in the right direction. We commend your efforts to try to take on board various concerns of different groupings and Members and try to identify the possible landing zone for the negotiations.
Agriculture negotiation is a long process due to the intricate and sensitive nature of agriculture. While we appreciate your pragmatic approach in drafting the paper, we still have some concerns which are not addressed by the paper. Here I would like to make some preliminary comments.
On domestic support, China firmly holds the view that the effective cut in OTDs is a benchmark for this Round. It is our belief that a real cut in OTDs will lead to an improvement in modifying the trade distorting behavior which would otherwise undermine an ambitious outcome for this Round. Therefore we have to work hard for a cut toward very low teens and for the strengthening of the disciplines.
On market access, while we appreciate the adoption of the thresholds proposed by the G20, we have noted that the proposed cuts for the developed countries in the paper are south of G20 proposal and the cuts for the developing countries north of G20. We believe the original proposal by G20 on tariff cuts by developing countries is much more rational and should therefore be adopted in the paper
There seems to be a different approach towards treatment of sensitivities of developed and developing countries. There are specific proposals on numbers and treatment of sensitive products for developed countries. Concerns of developed countries with different tariff structures are addressed in great specificity. However, the S&D treatment for developing countries is not so clear. While we appreciate the Chair's consideration of the G33 proposal on the SP products, we are disappointed that the Chair continues to rule out necessary exemptions for treatment of some of the most sensitive SP products. The concept of thresholds and verifications for the indicators are also problematic
On SSM, we believe the disciplines should not be more restrictive than SSG. We need more clarification on the restricted and tailored circumstances where existing Uruguay Round bound rates can be exceeded due to more severe level of fluctuation.
We appreciate the Chair's efforts to look after concerns by the LDCs, SVEs, RAMs and cotton producers in Africa. We hope their concerns will be effectively addressed so as to make this Round a Development Round in real terms.
On RAMs, we appreciate the efforts made by the Chair and the improvements as demonstrated in the paper. In order to balance the higher formula cut by the developing countries in the two lower bands, we need some more flexibilities and a number of very sensitive SP products which affect the livelihood of millions of poor farmers should be exempted from tariff cut.
On export competition, the STEs from developing countries which enjoy special privileges to preserve domestic consumer price stability and to ensure food security should be permitted to maintain monopoly power. The share of world exports should not be taken as a criterion. We should stick to the mandate of July Package in this regard.
China will participate in consultations and negotiations constructively and actively in the days to come with a view to reaching an early conclusion of this Round.
|
News on Trade and Economy of China
