Switzerland On The Side Of The Angels At Doha
by Ulrika Lomas, Tax-News.com, Brussels
09 November 2001
Switzerland's attitude at the WTO meeting beginning today in Doha, Qatar, is
generally favourable towards a new trade round, but underlying attitudes in
the country range from very supportive among most business interests to somewhat
negative on the part of fringe groups.
Switzerland is represented at the talks by Economics Minister Pascal Couchepin.
“Our position is that what is good for the multilateral trade system increases
the legal security, and therefore, is good for Switzerland,” says Luzius
Wasescha, a senior official at the Economics Ministry. He says Switzerland should
provide developing countries and emerging markets with financial and technical
assistance. But he rejects proposals for unilateral concessions for all developing
countries.
The Swiss Business Federation, economiesuisse, for its part, is calling on
WTO members to make agriculture, investment and competition rules more flexible.
Rudolf Ramsauer, the director of economiesuisse, admits that the federation’s
stance is more ambitious than the Swiss government’s position and he believes
that it will be difficult to reach a deal at the Doha conference.
Marianne Hochuli of the non-governmental development aid group, the Bern Declaration,
opposes a new round of trade talks: “Liberalisation is not always a good
way for poor people. Take farmers, for them trade liberalisation can prevent
them from earning their lives.”
To an economist, that is a strange, even economically illiterate attitude.
The biggest beneficiaries of a loosening of agricultural tariffs will be exactly
those farmers in developing countries who cannot now export into protected areas
like the EU. It's the farmers of the EU, Japan and the US, led by France, who
are against liberalisation, and who may wreck the chances of a new round.
The generally favourable attitude of the Swiss reflects the minor and diminishing
part that agriculture plays in the country's economy. For Switzerland, with
its heavyweight pharmaceutical sector, the most contentious aspect of the talks
will be a focus on intellectual property.
One of the most controversial issues to be discussed at Doha is the protection
of industrial patents under an agreement on Trade-Related Intellectual Property
Rights (Trips). Wasescha says the existing regulations protecting industrial
patents are flexible enough to allow the poorest countries to get better access
to patented products, including pharmaceuticals, to combat the spread of diseases
such as Aids. However, non-governmental organisations have argued that by opposing
an easing of the rules the industrialised world and the business community are
putting profit before health.
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