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Strategic products: a concept without
teeth
Dear Mr. Harbinson,
Germanwatch welcomes the introduction
of the concept of "strategic products" in the draft modalities for the
agriculture negotiations. This concept offers an important starting point
to take into account food security, the livelihoods of small farmers and
rural development concerns. However, we feel, that the proposed provisions
fall short of the needs of Developing Countries and will not lead to the
desired results, for the following reasons:
-
There is much concern that the scope
of strategic products is totally inadequate, because they are determined
at the 6-digit level. Even a number of 20-30 permitted strategic products
would in fact secure protection for only a few products as such. We ask
for acceptance of a broad category of strategic products, like all cereals,
roots crops or pulses, to cover the whole range of staple food for basic
needs and rural employment.
-
The draft foresees a 10% average tariff
reduction for strategic products. From our point of view this is highly
contradictory. On the one hand the need to protect specific products is
acknowledged and on the other hand they are exposed to further market opening.
Which matches the minimum level applied in the Uruguay Round.
-
The proposed special safeguard mechanism
for strategic products does not take into account the existing financial,
institutional and juridical barriers preventing developing countries to
use the present SSG under Art. 5. It also does not accommodate the demands
of Developing Countries to equalise the right to use the SSG between Developing
and Developed Countries.
In order to make the concept of strategic
products effective Germanwatch demands:
-
a total exemption of strategic products
from further tariff reduction
-
a special safeguard mechanism for all
products of Developing Countries with a more simple trigger mechanism for
developing countries (a special and differential treatment provision)
-
no restrictive limitation of the number
of strategic products
-
the application of the HS at the 4 digit-level
for strategic products
It is evident that the concept of strategic
products alone will not address all the concerns of developing countries.
Many of their concerns expressed in their proposals have been neglected
by the draft, e.g. re-balancing mechanism against subsidised exports, inter-linkage
between the three pillars, overall cap of subsidies. Dumping having detrimental
effects for small farmers in the South is not addressed at all in the draft.
In order to give the agricultural negotiation fairly the label "Doha Development
agenda" a total reorientation of the second draft is the condition.
14 March 2003
>>
Press release / Pressemitteilung:
Germanwatch überreicht WTO-Agrarleiter
Gebiss
last updated on 14
March 2003