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Secretary-General Disappointed by WTO Outcomes in Hong Kong

22 December 2005

Commonwealth Secretary-General Don McKinnon has expressed deep disappointment over the recently concluded World Trade Organisation (WTO) ministerial conference in Hong Kong. The event took place from 13 to 18 December 2005.

"More needs to be done to address the special needs of poor countries and vulnerable small economies." - Commonwealth Secretary-General Don McKinnon

"While it is encouraging that the conference did not end in deadlock, as at Seattle and Cancun, it is still a matter of regret that the level of ambition displayed over the last week did not come anywhere close to what Commonwealth leaders urged at their summit in Malta only three weeks ago," said Mr McKinnon.

"Some progress has been made at Hong Kong. A deadline of 2013 has been set for the elimination of agricultural export subsidies; there is also some agreement on providing duty and quota-free access for 97 per cent of the exports of the poorest countries to the markets of the developed countries.

"Unfortunately, this comes nowhere near meeting the original target of reaching agreement on negotiating modalities for agricultural and manufactured products, and making concrete progress on negotiations for services, rules, trade facilitation and on the development dimension of the Doha Round. More needs to be done to address the special needs of poor countries and vulnerable small economies.

"It is extremely disappointing that the negotiations continue to be characterised by a 'business as usual', mercantilist approach. The reality is that the WTO's dynamics have changed and the Doha Round can no longer be concluded by the advanced countries; Europe, North America and Japan cannot hope to carve up a deal among themselves and thrust it on everyone else."

The Secretary-General stated that trade issues should not be left to trade negotiators and technocrats. Greater strategic vision, statesmanship and political will, he stressed, are needed.

"There is no more room for soft options if a Development Round is not to remain an empty slogan. That is why I strongly support efforts by UK Prime Minister Tony Blair to convene a summit of the leaders of the G8 and five key developing countries early next year."

Mr McKinnon said the Commonwealth leaders' Valletta Statement on Multilateral Trade that had been issued in Malta in November 2005 demonstrated the importance placed on trade negotiations at the highest political level.

"The most difficult political decisions demand the engagement of Heads of Government. They now need to ensure that their trade negotiators come back with a meaningful agreement by the end of 2006 that delivers the development dimension everyone is looking for."

The Secretary-General emphasised that increased trading opportunities are not only the most potent weapon in the fight against poverty, but they are also an important element in strategies to combat terrorism, illicit migration and drug trafficking.

The full text of the Valletta Statement on Multilateral Trade is available to download here