/ FT.com Home UK - Q&A with Pascal Lamy, director general, WTOSkip to main content, accesskey 's' Homepage, accesskey '1'
Wednesday Apr 12 2006 . All times are London time.
Roger Bove Edit Profile Take a Tour Log out
Home UKPrint article | Email article
Main page content: Q&A with Pascal Lamy, director general, WTO Translated by Ross Tieman Published: April 10 2006 07:38 | Last updated: April 10 2006 07:38 Pascal Lamy, director general of the World Trade organisation spoke to the French newspaper Les Echos. For the full Q&A go to www.lesechos.fr ADVERTISEMENT
Q: Do you think that it will be possible to unblock the negotiations between now and 30 April to be able to complete the Doha round at the end of the year? Pascal Lamy: Three major players in this cycle, the United States, the European Union and the G20 countries (Group of leading developing countries, including China, India and Brazil) each have a stone in their shoe. The first must make an effort on agricultural subsidies, the second on the level of their agricultural tariffs and the latter on the tariffs applied to imports of industrial products. I think its possible that everyone could advance at the same speed, knowing that we must respect the 30 April deadline, fixed during the WTO meeting in Hong Kong in December, if we are to complete the Doha round before the year end. For, unlike the
previous eight trade rounds, everything wont be settled at the 11th hour. Q: As a European Commissioner, you defended special treatment for agricultural, because it is multifunctional. Do you still see agriculture as a special case? Pascal Lamy: As director general of the WTO, I dont have to take sides in this debate. Two streams of thought coexist. For one, opening trade is as beneficial for agriculture as it is for socks, tyres or cars. For the other, it is a special case for which the international division of labout doesnt have the same benefits. We wont close this debate, which had already been born by the Uruguay round, during the Doha round. And that is precisely why the WTO has put in place different classifications of agricultural subsidy, according to whether or not they distort trade, the famous orange, green and blue boxes. Its also what shapes the review of sensitive agricultural products in developed countries and special products in developing countries, and which will benefit from strengthened protection against competition. Since the end of the multifibre agreements, are no longer allowed such favourable treatment. But it took more than 20 years for textiles to be seen as a sector like any other. Q: Outwardly, China is a very discreet country. Is it busy behind the curtain, as the Chinese would say? Mr Lamy: China only gives an appearance of passivity. Its a negotiating stance. There are several approaches to the WTO. For westerners, for political and cultural reasons, negotiation is theatre, with goodies, baddies and a policeman. Asian negotiators, and not just the Chinese, dont have the same philosophy. They apply the rule of Sun Zis Art of War. For him, the easiest battles to win are those the enemy declines to fight. What they care about is the result. They are ready to spend time observing, to mark out the right terrain, as in a game of Go. (A Korean strategy game) And not to get down in dossiers others will settle for them. Q: Isnt globalisation going too fast for politicians? Globalisation has a destabilising effect, particularly on qualifications and employment. But its not the first time. Europe has already experienced loss of competitiveness: it took the continent 40 years to halt coal production, although its emblematic of the construction of Europe. The social cost was appalling. Today, the idea of a coal mine in Europe would be very strange. But the most sensitive element of globalisation is the way it has speeded-up. At the end of the 19th Century, it took France, Britain and Germany 50 years to double income per head. Now it takes China just ten years to do so. The pace of globalization goes faster than the capacity of economic, political and social mechanisms to absorb the changes it brings about. But the benefits that brings consumers are also very rapid. In the 1990s, our biggest problems were energy and inflation. The question over the price of energy remains, but we dont talk about inflation any more, thanks to the fall in the price of imports. EMAIL ARTICLEPRINT ARTICLEMOST POPULAR
Skip to remaining content Main navigation menu: Home UK Asia | Europe | US World
Companies Markets Market data Managed funds Lex Comment & analysis Technology Business life Business education Your money Arts & Weekend In depth Iran Steel consolidation Investment Banking FT Reports Business of healthcare Property Jobs & classified Site services In depth The new Iraq Bird flu Arab-Israel conflict Columnists Philip Stephens Quentin Peel Lombard Martin Wolf Lucy Kellaway Charles Pretzlik Track the news Desktop alerts Email summaries Email alerts Mobile & BlackBerry News feed on this topic
Sub-menu navigation: "Home" sub navigation Home main Asia Europe UK US "World" sub navigation World main US Europe UK Asia-Pacific Middle East & Africa Americas International economy "Europe" sub navigation Europe main Brussels briefing "Asia-Pacific" sub navigation Asia-Pacific main China "Companies" sub navigation Companies main By industry By region Companies A-Z "By industry" sub navigation By industry main Aerospace & defence Autos Basic industries Consumer Drugs industries & healthcare Energy Utilities Mining Financial services IT Media & internet Property Retailing & leisure Telecoms Transport "By region" sub navigation By region main US
Europe UK UK - smaller companies UK - your business Asia-Pacific Middle East & Africa Americas "Markets" sub navigation Markets main Equities Currencies Capital markets Commodities Emerging markets Wealth Investor's notebook Markets headlines "Equities" sub navigation Equities main US Europe UK Asia-Pacific "Markets headlines" sub navigation Markets headlines main News headlines Market alerts UK regulatory news "Market data" sub navigation Market data main Equities Currencies Bonds & rates Commodities Portfolio Analytical charting "Equities" sub navigation Equities main US UK Japan Germany France Canada Netherlands Sweden South-east Asia Australia & New Zealand "Managed funds" sub navigation Managed funds main Fund comparison Fund finder
Daily fund focus FTfm Fund ratings "Lex" sub navigation Lex main About Lex Lex tools Investment navigator Best of Lex Lex by email Your comments Number in the news "Lex tools" sub navigation Lex tools main Cost of Capital Dividend Discount Cash Flow Model Buy to let "Comment & analysis" sub navigation Comment & analysis main Comment Analysis Columnists Editorial comment Letters Debates & polls Most read Corrections "Columnists" sub navigation Columnists main John Gapper Lombard Lucy Kellaway Martin Wolf Philip Stephens Notebook UK Business blog More ... "Debates & polls" sub navigation Debates & polls main Ask the expert "Technology" sub navigation Technology main IT Telecoms Media & internet Digital Business "Business life" sub navigation Business life main Management Media and marketing
Entrepreneurship Law and professions Science & technology Investing in China Sustainable Banking "Management" sub navigation Management main Business books Business travel "Media and marketing" sub navigation Media and marketing main Creative Business "Business education" sub navigation Business education main Business school rankings Global MBA EMBA FT Business School "Your money" sub navigation Your money main Your home Your investments Your banking Your insurance Your tax Your pension Global investing Advice & comment Money guides Compare and apply "Advice & comment" sub navigation Advice & comment main Ask the FT Doghouse Money makeover Money maverick My portfolio "Compare and apply" sub navigation Compare and apply main Credit cards Loans Mortgages Life assurance Travel insurance Current accounts Savings accounts Share dealing Gas & electricity Telephone suppliers "Arts & Weekend" sub navigation Arts & Weekend main
Books House & garden Luxury Film & television Food & drink Fashion & beauty Collecting Art, music & theatre Travel Sport "Travel" sub navigation Travel main Paris Berlin New York Hong Kong San Francisco Rome London "In depth" sub navigation In depth main Iran Steel consolidation Investment Banking More ... "FT Reports" sub navigation FT Reports main Busine...