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Thursday March 28, 2024

Pakistan rejects amendments in WTO agreement

By Mehtab Haider
December 19, 2015

ISLAMABAD: Pakistan has nullified efforts to make amendments in the Agreement of Agriculture at World Trade Organisation (WTO) that could benefit a few countries at the cost of others.

The Ministry of Commerce made public announcement here on Friday that Islamabad has successfully nullified efforts to make amendments in the Agreement on Agriculture, which would benefit a few on the cost of the others.

The permission for public stock holding of agriculture commodities for exporting purposes was allowed in the Bali ministerial meeting of WTO in 2013 under certain monitoring and evaluation to support the resource poor farmers of the developing countries and ensuring their food security.

Some countries misused the facility by exporting the commodities kept in public stock in massive amounts which has a negative effect on international trade. Pakistan sought the support of Cairns Group of the WTO to further its case in this matter.

Pakistani side maintained that the Public Stockholding proposal in its current form has already had serious and adverse unintended consequences for its economy. Future negotiations on the subject must be grounded in verifiable data and evidence, and ensure that public stockholding does not transgress into trade-distorting export subsidies that hurt farmers in other countries.

Pakistan will support a robust post-Nairobi working programme keeping in view all perspectives of food security on the table. Pakistan has demanded elimination of production and export subsidies on all agricultural products particularly cotton, wheat and sugar by developed and large developing countries.

Cotton is the life line of Pakistan’s economy, and once subsidies are removed, the entire increase in value of cotton would be reflected in both textile and clothing sector.

Further, Pakistan has also offered to provide capacity building and training to the African Cotton growing countries as a gesture of goodwill, the Minister for Commerce said while addressing the Plenary Session of the 10th WTO Ministerial Conference in Nairobi, Kenya.

The Minister welcomed Afghanistan’s joining of World Trade Organisation with a hope that it would further cement relations between the two countries. Growth in Afghanistan’s economy is likely to benefit Pakistan’s exports since Afghanistan is amongst the largest export destinations of Pakistani products.

He emphasised that Pakistan is poised to be the economic and trade hub of Central Asia and South Asia, and will open new doors to the rest of the world. .