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Dr. Manzoor Ahmad Ambassador and Permanent Representative Pakistan Mission to the WTO

Presentation at I.M.D on Trade and Development: The Meaning and Intent of the Doha Development Agenda Presentation by . Dr. Manzoor Ahmad Ambassador and Permanent Representative Pakistan Mission to the WTO Lausanne, 9 November 2004 manzoor.ahmad@wto-pakistan.org. Agenda. Background

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Dr. Manzoor Ahmad Ambassador and Permanent Representative Pakistan Mission to the WTO

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  1. Presentation at I.M.D on Trade and Development: The Meaning and Intent of the Doha Development Agenda Presentation by Dr. Manzoor Ahmad Ambassador and Permanent Representative Pakistan Mission to the WTO Lausanne, 9 November 2004 manzoor.ahmad@wto-pakistan.org

  2. Agenda • Background • Objectives of the Doha Development Agenda? • Is the DDA on course? • What can be done? • Conclusion

  3. Background • The Doha Development Agenda was launched in November 2001 to provide increased trade opportunities for poor countries • There was a realization that the gulf between rich and poor was widening • 3 billion people living on less than $2 a day • Sub-Saharan Africa’s share of world trade had fallen from 4% in 1987 to less than 2% in 2001 • Supplementing Millennium Development Goals

  4. Objectives of the Doha Development Agenda? • The market access decisions relating to agriculture, non-agricultural market access and services • Development issues relating to access of essential medicines, implementation issues and finding ways for making Special and Differential treatment to developing countries • Making new rules in certain trade related areas such as Trade Facilitation and improving existing rules on trade remedy measures such as anti-dumping

  5. Is DDA on course? Agriculture: • Greater market access through substantial reduction of tariffs • Phasing out of exports subsidies • Substantial reductions for domestic supports that distort trade  • Special and differential treatment for developing countries

  6. Pakistan and Agriculture negotiations • Major crops and farm products: cotton, sugar cane, rice, citrus fruit and milk • Pakistan’s Cotton crop of 10.6 million bales (3.97 billion pounds) is worth US $1.67 billion @ 42 cents/pound • Before the massive increase of subsidies through the US Farm Bill in 1996, cotton prices had reached $1.10 per pound in 1995 • At that level of prices, our cotton crop would be worth about $4.37 billion indicating a loss of about $2.7 billion for our farmers

  7. Sugar subsidies • Cost of production for EU = 25 cents/lb • Cost of production in Pakistan = 9 cents/lb • World market prices = 8 cents/lb • Guaranteed price in EU = € 632/ton • World Price = € 157/ton • Import tariff = 324%

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