The breakdown of negotiations on a final deal has brought the WTO Doha Round to a new crisis point said Mr. Osvaldo Cappellini, Chairman of the Global Dairy Alliance (GDA). The Global Dairy Alliance includes the dairy industries of Argentina, Australia, Brazil, Chile, New Zealand and Uruguay. The Alliance represents more than 1.5 million dairy farmers, 60 billion litres of milk production annually and a majority of world dairy trade.
Mr Cappellini said the failure of the G-4 meeting in Potsdam was a setback for world trade reform and the hopes and ambitions of dairy producers around the world.
“World dairy markets are buoyant at present but remain prone to large and rapid shifts. A successful Doha Round outcome is crucial to providing future stability, confidence and growth to dairy farmers.”
Mr Cappellini warned that the Doha Round remains the best avenue to deliver the real improvements in agricultural trade that farmers are seeking.
The Global Dairy Alliance has been concerned for some time at a lack of ambition in negotiations on key agricultural market access issues. Tariff levels for dairy products are generally so high that major reductions are necessary to generate significant progress in dairy trade.
“While recent talks appeared to have made some progress, the latest news means that the Doha Round is now at real risk. Therefore we urge all WTO members to work together to try to quickly establish a new pathway to agreement so that the negotiations can deliver the substantial improvement in agricultural market access that all countries committed to at the launch of the Round.