Akron Beacon Journal (Ohio) | By Jane Bussey | September 15, 2003 LENGTH: 389 words
Global trade talks collapsed Sunday as poor countries balked at proposals by rich nations to make it easier for multinational corporations to invest and operate around the globe, while refusing to cut agricultural subsidies for farmers in wealthy countries.
The 146 trade ministers had spent five days in World Trade Organization talks, but in the end were unable to agree on much of anything.
''There was just a fundamental difference over key issues,'' said Richard Bernal, a longtime Jamaican trade diplomat. ''Everybody has to take some of the blame.''
The failed negotiations dealt a setback to President Bush's ambitious trade agenda -- which has bipartisan support on Capitol Hill -- and to White House plans to negotiate a Free Trade Area of the Americas by 2005.
Trade ministers from 34 nations in the hemisphere are scheduled to meet in Miami in late November to discuss progress, but the newest development could mean the White House faces an uphill battle. Brazil, the largest country in Latin America, led the drive to pry open U.S. agricultural markets.
On Sunday, U.S. Trade Representative Robert B. Zoellick blamed others for being unwilling to compromise, but he said it was unclear what impact the WTO collapse would have on the FTAA negotiations.
''We are now offering another opportunity to create something across the Americas,'' Zoellick said, adding that the United States would be willing to negotiate more trade agreements with individual nations in the hemisphere if the FTAA initiative faltered.
Sunday's mutiny marked a new assertive stance on the part of developing countries, which say they have gotten little benefit from opening their markets to foreign imports. They also complain that Europe and the United States have failed to reciprocate.
Observers pointed to this new North-South face-off as one of the biggest changes to emerge from the talks. U.S. and European negotiators had predicted the ''Group of 21'' trade bloc of poor countries would split. But led by Brazil, China, India and South Africa, the bloc held.
Talks broke down over demands by the European Union that the global trade body expand trade negotiations to include investment rules that set out broad new rights for corporations, opening up government contracts and changing rules over unfair trade practices.Akron Beacon Journal (Ohio):
