Leaders push for WTO deal

HONG KONG - British Prime Minister Tony Blair is expected to call a G8 summit early in the New Year in response to a request from the World Trade Organisation for the world's political leaders to get behind an aggressive push to complete further talks by the end of next April.

WTO director-general Pascal Lamy said the present round of talks would only be a success if the "bosses" told their trade ministers "you've got to come back with a deal" when they reconvene in Geneva.

Lamy used a press conference - which finished just before midnight Hong Kong time - to go over the top of delegation heads from the 149 nations taking part in the ministerial talks.

After six days of round-the-clock talks - besieged on all sides by anti-globalisation protesters - the WTO failed to tackle head-on the big issues around agriculture protectionism.

However, they at least met the lowered ambition of what was necessary to keep the Doha Development Round from completely stalling.

Lamy warned the talks could still collapse unless there was quick progress by April on controversial areas that were parked off the negotiating agenda in Hong Kong. These include access to markets for agriculture and industrial goods.

He described the outcome as "modest ... we went into Hong Kong with 55 per cent of the round done ... now it is 60 per cent".

The WTO failed to set a date - or venue - for the next major ministerial meetings. Lamy indicated that "no candidate" had yet come forward.

Delegates suggested that major capitals are resistant to hosting WTO ministerials as they are often besieged by major anti-globalisation riots.

WTO trade talks operate on late-night sessions and brinksmanship - the draft declaration was not agreed until after more than 100 hours of negotiations.

It was not until well after midnight on Sunday that Japanese ministers at their own news conference revealed they were not prepared to give developing countries open access under the "duty free quota free" on "sensitive product" which had been hailed as a WTO dividend for developing countries just hours before.

It was made clear that Japan - perhaps frightened at potential social unrest that South Korea is experiencing at the hands of its militant farmers - will still continue to impose substantial protection on its rice market.

European Union Trade Commissioner Peter Mandelson also warned there was a limit to the EU's patience at how long the round could "crawl along".

But he believed there was enough energy to get the WTO through the next 12 months in time to meet the Doha Development Agendas December 2006 deadline.

Mandelson has been strongly criticised over the EU's refusal to accept a 2010 deadline for wiping export subsidies - which the bulk of countries wanted in favour of a 2013 deadline.

Britain's Trade Secretary Alan Johnson said opposition from France and Ireland had stopped Mandelson from offering the earlier date.

Not all the trade ministers were on song with the draft declaration agreed in Hong Kong. Venezuela and Cuba posted reservations.

The streets of Wan Chai - the bar district which was sealed off over the weekend as police tried to keep South Korean farmer protests under control - is fast returning to normal.

South Korea has sent a diplomatic representative to Hong Kong to try to secure the early release from custody of hundreds of farmers locked up after Saturday's violent protests.


FOR THE CHOP

Agriculture

* Rich-nation export subsidies and any subsidies involved in the activities of monopolistic trading companies will be eliminated "progressively" by 2013.

* Cotton export subsidies will be eliminated by developed countries in 2006.

* There was no agreement on import tariffs.

Manufacturing

* A 'Swiss' formula will ensure the highest tariffs fall most.

Development

* Least-developed countries will be guaranteed duty-free, quota-free access for 97 per cent of their exports from 2008.