By Bernama,
New Delhi : India Monday flayed many developed countries for strengthening forces of protectionism and asked them to reciprocate offers from emerging economies to clinch a multi-lateral trade agreement that will boost global economy, Press Trust of India (PTI)reported.
“It takes two hands to clap”, Prime Minister Manmohan Singh said, referring to reluctance of some rich nations to cut back on subsidies to their farmers even while seeking access to industrial goods and services market in developing nations.
The Doha round of World Trade Organization (WTO) talks launched in 2001 has been hanging over lack of consensus on agriculture, with developing countries including India declaring that they would not compromise the interests of their mostly subsistence farmers.
“At a time when we in the developing world are standing our ground in dealing with the challenges and opportunities of globalisation, it is regrettable that the forces of protectionism are gaining political ground in many developed countries,” he said at the A.G.M. of industry chamber Assocham here.
While new burdens and responsibilities are sought to be imposed on developing countries in the name of environment and social concerns, these nations have a stake in the successful conclusion of the Doha Round of multi-lateral trade talks, Singh said.
The developed countries should play the role expected from them in sustaining global growth, Singh said.
“Developing countries recognise the importance of a liberal and rule-based international trading system. We therefore have a stake in the successful outcome of the Doha round of trade negotiations. I hope that the developed countries would not forget the development dimension of multi-lateral trade negotiations,” he said.
“Two decades ago, even a decade ago we in the developing world were worried about globalisation. The voices of protectionism were heard more loudly in our countries. Today, however, it is in the developed economies that we hear such voices,” Singh said.
The Doha Round of trade talks, launched in the Qatari capital in 2001, were to be concluded in 2004 but have remained inconclusive due to differences between the rich and developing nations over cut in agricultural subsidies and industrial tariffs.
New negotiating texts on agriculture and industrial goods released by the W.T.O. last month for a global trade deal were rejected by India, which felt the proposals did not address the concerns of the developing countries.
The Prime Minister further said despite the impressive growth performance of many newly industrialised economies and emerging markets, traditional global disparities remain. The gap between the per capita income of the developed and developing countries remains, he said adding global disparities are growing.
“The time has come for the global community to take stock of the situation and come forward with forward looking and equitable solutions to these problems,” Singh said.
The Prime Minister emphasised that protectionist voices in developed world and support to globalisation in developing countries are not just a happy reversal of roles.
“There is no reversal of roles possible until we are able to create a more equal world. Until we banish mass and chronic poverty from the developing world. Until the developing world is able to bridge the development divide that separates the countries of the North and South,” he said.