HC Deb 10 June 2004 vol 422 cc397-9
12. Mr. David Borrow (South Ribble) (Lab)

What discussions she has had with the new Indian Government on the Doha development agenda. [177764]

The Minister for Trade and Investment (Mr. Mike O'Brien)

I look forward to my first meeting with the new Indian Commerce Minister, Mr. Kamal Nath, next week in Sao Paulo, where the United Nations Conference on Trade and Development meets. We hope to have the opportunity to discuss making progress on the Doha development agenda.

Mr. Borrow

I thank my hon. Friend for his reply. Will he join me in welcoming the statement at the G8 summit yesterday that was aimed at breaking the deadlock on the Doha agenda? During his discussions with the Indian Government as one of the key players in the Doha round, will he try to get greater movement from them? Does he agree that without a successful completion of the Doha agenda, the economies of the world's poorer countries will not prosper and that agreement is essential if those countries are to achieve their long-term economic goals?

Mr. O'Brien

As has been said already, if the Doha agenda can be completed and we can achieve trade growth, it will lift more people out of poverty than all the aid budgets of all the western countries combined and multiplied by three. So that is the real ball game—the serious effort that we can make to alleviate world poverty. I believe that India will see yesterday's G8 statement as giving political momentum to the efforts to unblock the Doha round. It is clear that the United States and the EU are willing to put in the extra effort to make progress to secure the framework agreements by the end of July, after when, no doubt, the US will focus on its presidential elections and the EU on its new commissioners. But it is very positive that the G8 members agreed to discuss all forms of agricultural protection and agreed on the importance of special and differential treatment for developing countries to allow them to liberalise at their own pace. India will, no doubt, be very pleased with that.

On the Singapore issues, the statement makes it clear that the G8 supports trade facilitation and implies that the remaining issues—investment, competition and transparency in Government procurement—should be dropped. I hope that that will be accepted by the G20 group of developing countries, which includes India in a very important role. I hope that we will get the movement that is sought.

Mr. Peter Luff (Mid-Worcestershire) (Con)

India does indeed now enjoy a leadership role in the developing world, so I hope that the Minister will join me in welcoming the fact that the newly elected Indian Government appear to be as committed to privatisation, reform and liberal, open markets as their predecessor. In that context, does he agree that it would be wrong to demonise India for any problem in relation to the Doha round? Is not the real problem still the appalling record on agricultural trade of the developed world, particularly America and the EU? Is that the real key to unlocking the Doha round?

Mr. O'Brien

Getting a deal on agriculture is the key to unlocking the Doha round. We need to consider a wider agenda, but agriculture matters to India, for example, more than anything else. Certainly, that is what the Trade Minister in the previous Indian Administration told me when we met. If we can get that issue unblocked and make progress on non-agricultural access, we can, if everything goes well, get the broad frameworks for discussion agreed in about July. That will give us a period for the technocrats—the technicians—to consider the detail, so that after the various elections and the appointment of a new EU commissioner, we can hope to reach a political agreement early next year.

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