Currently economy ministers around the world are participating in the ministerial conference organized by the World Trade Organization in Hong Kong. It is important to state what is being discussed during the sessions. According to that conference the young generation will have a big opportunity to overcome all the economic obstacles and make economy rise, have outlooks and lessen poverty.
In order to get the most profit out of this and other investments, the economy ministers need to take advantage of this week’s Hong Kong conference which will be held with the participation of Armenia and more than 145 WTO member countries; this will help them go deeper into discussions, to strengthen agriculture, trade and other services and get results by the end of 2006.
According to the World Bank, the negotiations led may help millions of people to be able to overcome poverty. However, positive results will be limited if there are no big shortages in prices which will open new markets and provide new commercial opportunities. Aiming and agreements are necessary in order to progress in these three fields so that the promise made during the Doha congress is fulfilled.
Each WTO member country is responsible for making the Doha negotiations for free world trade successful. By taking into consideration the difference in the official prices being set by the WTO and applied in the market field, there must be shortages made in prices so that it can reflect upon world economy and improve the standards of living. If we consider the differences in our economies, this transaction needs to be agreed upon if we really want to find better ways for coming to terms.
The United States has made proposals for the negotiations in all the major fields. The U.S. has proposed to get rid of the prices in agriculture, support for export and interstate trade. Also, it has proposed to reduce the high prices for industrial products and overcome the obstacles in the trade services field. We are ready to pave the path for negotiations regarding agriculture. We are ready to make some changes in our economic policy. We urge others to make suggestions in regard to this.
Enlarging the market in order to reduce the prices in the field of agriculture is important for developing countries. For example, the most successful economic field in Africa is agriculture where there is a concentration of 60% of the working field and 20% of the exported products. However, the average prices for agricultural products form 62%, which is 5 times more than the American average price which is 12%. According to the World Bank calculations, in case of free and total trade, 2/3 of profits will be received from agriculture of which 93% will be the result of shortening.
Developing countries play their roles in the promise made during the Doha congress and will get many profits for taking steps towards success. They will step into the new markets of developed and developing countries. Developing countries do 45% of their trade with other developing countries, however, trade only forms 70% of prices which they pay with their work.
The United States strives to rise economy and decrease poverty with support and strengthening trade. The U.S. is the greatest economic supporter in the world which has provided 1.34 billion dollars in 2005 for that goal, which is 50% more than the financial resources provided in 2004 and ten times more than 2001.
The people who are afraid of liberalism must recall that there were no demands during the previous WTO conferences to immediately get rid of defense measures. That will also not be demanded during the Doha negotiations. Based on the negotiations, it is foreseen that price reduction for some products will not be widespread; however, it is important that this limitation be done in a way so that the world can see what the profits are going to be. In the context of Doha, the different approaches, particularly the courses shown for developing countries on how the total reductions are for prices or the long stages, facilitate those people’s participation in world trade and how to benefit from the Doha negotiations.
During the G7 Summit in London, India and Brazil announced that they were ready to penetrate the market with products and services which will serve as a means to encourage developing countries to go further into negotiations. This type of leadership might open the road for trade negotiations and turn the Hong Kong ministerial summit more profitable.
We can see progress only if the European Union shows its readiness. The European Union must respond to this by taking certain steps in the proposals made for agriculture and strengthen the positive orientation of India and Brazil. The statements heard by Brazil claiming that the proposal made for agriculture by the European Union ready for 2006 is not satisfactory. It needs to come up with a more realistic proposal.
Thanks to aim, the outlooks, stable investments and especially all the countries’ dedications, the WTO member countries can take advantage of the opportunity given to them as a result of the Doha negotiations. All countries will profit from this, whether they be rich or poor, big or small, from Mexico until Bangladesh and Senegal to Thailand.