觀點國際貿易

The world will regret its neglect of Doha

After 10 years of protracted negotiations the Doha round, which promises so much, remains unconcluded. This reflects very badly on the political leadership of the process in various key countries. We have, of course, grown accustomed to the oft-repeated expressions of positive intent about the round associated with virtually every recent major global summit but it is still some way from a satisfactory conclusion (notwithstanding the Herculean efforts of my successor as director general, Pascal Lamy). The reason for this lamentable state of affairs is political intransigence or lack of focus. The costs of immobility are reckoned to be less than those of compromise.

If the round is not concluded this year it will be impossible to bring it to a close for a period of years. The US presidential election next year will inevitably lead to paralysis in global trade negotiations for a protracted period. So there is a real case for a final deadline of December 31 2011. I believe also that no extension should be allowed. Given the extensive scope of the likely final agreement, the substantive agreement must be concluded by June. So time is very short.

The positive value for the world economy of a successful conclusion is considerable. Expert opinion places this at at least $360 billion in new trade annually. This should provide a substantial stimulus to developed and developing economies and will do so without the negative consequences of the so-called stimulus packages.

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