‘National interest top of agenda at Doha WTO meet’

Making a statement in both Houses of Parliament, Nath said: ‘‘We are determined to ensure that as negotiations proceed based on the framework that has been recently agreed upon, our core concerns continue to be adequately addressed’’.

‘‘Our approach to the negotiations will be dictated by our national interests, especially our concerns for millions of farmers…as also our objective of stimulating economic activity through export of our goods and services,’’ he said.

He said the next step in the WTO talks will be finalisation of modalities and giving shape and meaning to various special provisions that ‘‘we have managed to incorporate in the framework agreement’’.

Export subsidies

Nath said the framework provided for elimination of all forms of export subsidies by an end date.

This was among India’s major demands as developed countries were extending support of hundreds of billions of dollars every year to their farmers, resulting in low prices for their agri-exports.

‘‘This commitment in the agreement is, therefore, a positive achievement,’’ he said adding at the same time, the flexibility available to developing countries like India to provide subsidies for export of agricultural products would continue for a period beyond the elimination of export subsidies by developed countries.

Trade distorting support

Nath said developing countries have succeeded in extracting an immediate commitment in the form of 20 per cent reduction in overall trade distorting support in the very first year itself.

Besides, the permissible de minimis (minimal) support for developed countries would be reduced from the present level of five per cent while developing countries like India would not have obligation to reduce their existing level of de minimis support of 10 per cent.

The blue box (trade distorting domestic support given by developed countries), hitherto uncapped, will be capped at five per cent from the first year of the implementation period itself.

Better market access

The framework agreement envisages higher rates of tariff facing higher levels of cuts. Since the reduction required is from bound rates which in the case of India are much higher than the applied rates, ‘‘we have an adequate cushion of comfort’’, he said.

Developed countries which don’t have this cushion will have to effect real and deep cuts. Thus, market access for India’s farm products will increase. ‘‘We are also eligible to designate…products as special products based on our food and livelihood security or rural development needs,’’ he said. The framework provides for use of a special safeguard triggered by prices or quantity against surge in imports to protect domestic producers in developing countries, Nath said.