WTO Draft Sets Deadline to End Subsidies

9 minutes ago

WTO negotiators reached a breakthrough on the most contentious issue of the six-day talks, agreeing that wealthy countries would eliminate farm export subsidies by 2013, paving the way for a broader agreement to cut trade barriers across various sectors, according to a copy of the final draft agreement obtained by journalists.

The breakthrough, coming after all-night negotiations, appeared to save the World Trade Organization meeting from an embarrassing collapse provided the final draft is approved by all 149 member nations and territories who are meeting later Sunday.

The 2013 date was a key demand of the European Union, which held out against intense pressure from Brazil and other developing nations to phase out a significant proportion of its farm export subsidies by 2010. Developing nations say the government farm payments to promote exports undercuts the competitive advantage of poor farmers.