WORLD> Asia-Pacific
Marathon WTO talks collapse in US-India farm row
(Agencies)
Updated: 2008-07-30 11:00

Developing countries like India and Indonesia said they needed the measure to protect millions of subsistence farmers from unexpected shocks arising from opening up their borders.

But the United States feared its agribusinesses would lose new markets just as it made painful cuts in its farm subsidies.

Developing country food exporters like Costa Rica and Uruguay said the measure as framed would cut them off from key markets and even reduce existing trade.

"It's unfortunate in a development round, the last mile we couldn't run because of an issue concerning livelihood security," Indian Commerce Minister Kamal Nath said.

The United States and European Union had also clashed with big emerging countries like India and China over flexible treatment for developing nations in cutting industrial tariffs.

US Trade Representative Susan Schwab said US offers for the talks remained on the table.

"To ensure that the advances we made this week are not lost, the United States will continue to stand by our current offers, but we maintain that they are still contingent on others coming forward with ambitious offers that will create new market access. So far, that ambition is not evident," Schwab said.

US ELECTIONS

But when or whether the talks could resume remains unclear.

Brazil's Amorim said it could take 3 or 4 years. Mandelson said he saw no real chance of resolving core issues in the foreseeable future.

Next year's change of US president and EU Commission could sideline the talks or see priorities change. US Democratic presidential candidate Barack Obama has said trade negotiations should include labor and environment standards.