INDIA’S EFFORT TO FIND A SOLUTION IN WTO FACES CHALLENGE

Subject: International Relations

Context: The EU and Cairns group opposed the standalone solution pushed by india and other members of G 33 grouping.

Concept:

The G33 (or the Friends of Special Products in agriculture) is a coalition of developing countries, established prior to the 2003 Cancun ministerial conference, that have coordinated during the Doha Round of World Trade Organization negotiations, specifically in regard to agriculture.
Dominated by India, the group has “defensive” concerns regarding agriculture in relation to World Trade Organization negotiations, and seeks to limit the degree of market opening required of developing countries.
When rich governments can afford to heavily subsidize their agriculture, predatory dumping can undermine a poorer country’s agricultural economy.
Developing countries aim to balance power through tariffs, in order to manage their own food security, stabilize of the livelihoods of their farming populations, and strengthen rural development.
The group has advocated the creation of a “special products” exemption, which would allow developing countries to exempt certain products from tariff reductions, and also a “special safeguard mechanism” which would permit tariff increases in response to import surges.