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News from WTO negotiations

The April 30 deadline set by the World Trade Organization (WTO) to establish the terms and conditions in agriculture was not met. WTO Director General Pascal Lamy summoned the 150 member countries to an intensive negotiating blitz in agriculture and in other sectors, such as industrial products. These negotiations began on May 1 for a six-week period to arrive at a draft text of an agreement around June 19. In agriculture, maintenance of tariffs and tariff quotas (access granted to imported products) at their current level is a crucial issue for commodities under supply management in Canada. This blitz will focus on market access for sensitive products.

On May 11, 2006, Crawford Falconer, Chair of the WTO Agriculture Negotiating Group issued a reference paper on the terms and conditions of application of the Agreement on Agriculture concerning sensitive products. We should remember that Canada wants commodities under supply management to be considered as sensitive products, which can benefit from tariff protection.

The probability of reaching an agreement on the terms and conditions in agriculture by the end of July 2006 is low but not impossible.