We believe that the new unity seen among the poor counties will enable them to raise their concerns strongly, which many believe were tactfully toppled by the developed countries during the Doha negotiations in 2001. The Doha round had pledged fair and pro-poor trading regime that many developing countries, LDCs in particular, had hoped would help millions of their citizens to come out of poverty. But, developed countries shamefully refused to give up their decade-long protectionist trade regime, manifested in the form of heavy state subsidies to agro-products and exports. Many believe that the deep divisions among the LDCs, spurred mainly by self-centric interests, emboldened the developed countries to ignore the pledges they had made. This is why the agreement chalked out at the Dar-es-Salaam meet makes real sense.
With Doha talks heading nowhere, WTO Ministerial meeting being deferred for years and occasional trade meetings ending without any results, frustration among the LDCs is growing high. Against this background, Nepal – the newly-elected Chair of LDCs – has an opportunity to lead the LDCs and it is hoped that it will demonstrate its leadership on this front in the upcoming 7th WTO Ministerial.
Among others, Nepal should take the lead role in urging the developed world to open their markets on zero-tariff in tune with their promise to LDCs in Hong Kong. Being the major trading partner of LDCs, pressure should be applied on the US, which has promised a facility for 97 percent product lines for LDCs, to implement its pledge.
The aid for trade fund aimed at meaningfully supporting trade-related infrastructure and industrial development too have not come into implementation. The developed countries are not willing to implement it until the Doha talks conclude. The LDCs must urge the WTO to start implementing the commitments made to them. Nepal, for the block’s and country’s benefits, must also press the developed countries to open their job markets. According to a study, if the developed world just opens up 3 percent jobs for developing countries, it will help them enjoy an additional revenue of US$300 billion a year.
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