The WTO media coverage over the past few days has been scathing for India and China. "U.S. slams China, India for putting Doha round into 'gravest jeopardy'" was the headline in the International Herald Tribune. "US: China, India threaten Doha round of WTO talks" read the Associated Press. "India blocking WTO talks - diplomatic sources" was the headline in Forbes. And "China throws up barrier to Doha agreement" was the headline in the British daily, the Guardian. So, are India and China the bad guys? Are they trying to destroy the Doha negotiations?
One of the big questions coming into this ministerial meeting was the extent to which big developing countries like China, India and Brazil, would be prepared to open their markets to imports from around the world. The Doha talks are now sticking on this. Brazil has accepted the deal on the table. China and India are unhappy at the extent to which they are being asked to expose their agricultural and manufacturing producers to outside competition. The U.S. has attacked both countries for putting the talks into the "gravest jeopardy" since the Doha Round started seven years ago. Other exporting agricultural countries like Uruguay and Paraguay also spoke out against these developing countries trying to retain policy flexibility to protect their markets.
Are India and China's positions legitimate?
Before I answer these questions, a few facts and figures. First, both India and China are still poor countries. India ranks 128 out of 177 countries and China ranks 81 out of 177 countries in the UN's Human Development Index. According to the UNDP, 16 percent of Chinese people and 34.7 percent of Indians live below the poverty line. Furthermore, there are massive income inqualities between rural and urban populations and between the rich and poor in both countries.
I think the concerns of China and India deserve attention at the WTO. Both countries have serious and legitimate food security concerns and an enormous number of livelihoods to protect. Supporting and building strong rural communities and decent employment is vital if both countries are to meet the development challenges ahead.
As importantly, it is not just China and India who are concerned about the effect of import surges on their manufacturing and agriculture sectors. They are supported by over half the WTO membership who share these concerns. It's hard to see how blasting other countries in the media is going to change that.
