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Completing the Doha Round

Prosperity Through Trade. Completing the Doha Round. Who Needs to Do What to Ensure Success?. NFTC Session WTO Public Symposium April 20, 2005. Prosperity Through Trade. Completing the Doha Round – Who Needs to Do What. A snapshot of Canada and Trade

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Completing the Doha Round

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  1. Prosperity Through Trade Completing the Doha Round Who Needs to Do What to Ensure Success? NFTC Session WTO Public Symposium April 20, 2005

  2. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • A snapshot of Canada and Trade • About the Canadian Agri-Food Trade Alliance • What is Success? • Who Needs to Do What?

  3. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • Canada Is: • Highly dependent on trade • 40% of GDP from exports • 1 in 3 jobs • 90% of Canada’s farmers depend on international markets • 7% of Canada’s GDP from agriculture • A leader in world agriculture trade • 3rd largest exporter, 5th largest importer • largest exporter of canola, flax, canola oil, canary seed, oats, pulse crops

  4. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • CAFTA Is: • A coalition of producers, processors, exporters and input suppliers • 80% of Canada’s agricultural exports • over 60% of farm cash receipts • Dedicated to international trade liberalization

  5. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • What Is Success? • Punta del Este goal: “further liberalization and expansion of world trade to the benefit of all countries” • Marrakesh Goal: “the substantial reduction of tariffs and other barriers to trade and to the elimination of discriminatory treatment in international trade relations” • Doha Mandate: “to maintain the process of reform and liberalization of trade policies ….. to reject the use of protectionism”

  6. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • What Is Success? • Average agriculture tariff - 60% • Peaks as high as 800% • Developed countries spend over $US 300 billion annually on subsidies • 25 countries can spend up to $12 billion in export subsidies alone • Trade distorting domestic subsidies cause $US 29 billion in distortion

  7. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • What Is Success? • Elimination of all forms of export subsidies • No more than 5 years • Substantial reductions in trade distorting support • Product specific basis • Criteria to prevent box shifting • Substantial and real increases in market access • Cuts into applied tariffs, reduces tariff peaks, expands TRQs, eliminates escalation

  8. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • Who Needs to Do What? • All Must honour commitment made in Doha • EU Must: • Agree to early elimination of export subsidies • Support domestic support “box” criteria • Commit to real market access expansion • Be realistic on G.I. demands

  9. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • Who Needs to Do What? • All Must honour commitment made in Doha • U.S. Must: • Accept substantial disciplines on food aid and export credit • Support domestic support “box” criteria

  10. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • Who Needs to Do What? • All Must honour commitment made in Doha • G20 Must: • Maintain aggressive position on subsidies • Accept some disciplines on leading developing countries (eg. Brazil in agriculture)

  11. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • Who Needs to Do What? • All Must honour commitment made in Doha • Cairns Group Must: • Re-Assert itself as a leader for substantial reform • Work closely with the G20

  12. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What • Who Needs to Do What? • All Must honour commitment made in Doha • Canada Must: • Re-Assert itself as a leader for substantial reform • Negotiate aggressively in all areas of the negotiations

  13. Prosperity Through Trade Completing the Doha Round – Who Needs to Do What If Countries Honour the Doha Mandate and Remain True to the 2004 Framework: No Deal is a Bad Deal

  14. Completing the Doha Round – Who Needs to Do What CANADIAN AGRI-FOOD TRADE ALLIANCE Suite 308 151 Slater Street Ottawa, Ontario K1P 5H3 Tel: (613) 560-0600 Fax: (613) 236-3590 www.cafta.org Prosperity Through Trade

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