WTO TALKS - INDIA STAYING STRONG

WTO talks down to the wire, India holds out fe Bureau | New Delhi | Published: Jul 31 2014, 01:08 IST Even as Thursday’s deadline for signing the protocol for the trade facilitation agreement (TFA) at the WTO loomed large, India remained obdurate, asserting that the pact — expected to ease customs rules and potentially add $1 trillion to the world economy — could not be a done deal till it saw progress on the food security issue. Visiting the US commerce secretary Penny Pritzker, however, sounded optimistic about finding a solution to the vexed issue “over the next couple of days”. Secretary of state John Kerry, before starting for India on Wednesday morning, had expressed the hope that India’s opposition to TFA would wither away, adding that this was a test case for the country’s commitment to advance liberalisation of global trade and investment. Kerry arrived in India in the evening on a three-day visit. ... http://www.financialexpress.com/news/wto-talks-down-to-the-wire-india-holds-out/1275271

WTO (World Trade Organisation).

Re:  adoption of free trade facilitation protocol for Trade Facilitation Agreement (TFA).

WTO is negotiating an easing of 'customs and rules'.

WTO says 'public stockholdings' of food/grain must not exceed 10% of grains produced by a country. 

But this is on the basis of a 1986-1988 stockholdings 'base price', and India is challenging on the basis of rising INFLATION.

Hey, I learnt about inflation. 

So the WTO 10% (dollar?) figure doesn't take into account rising inflation and India is like a trade union for food/grain reserves, asking for the reserve to be brought up in step with inflation?

Fair call, India.

India points out that there's a potential $1 TRILLION to the world economy coffers.  Go India! 

India standing firm:  insists no shift in its stand.

India wants TFA implemented ONLY as part of SINGLE UNDERTAKING ... INCLUDING the PERMANENT SOLUTION ON FOOD SECURITY.

For Food Security Against Food Security WORLD TRADE ORGANISATION vs FOOD SECURITY INDIA CHINA CUBA PAKISTAN BOLIVIA VENEZUELA

Deadline is on 31 July 2014.  Support of two-thirds of member countries is required to implement the TFP.

India suggested a postponement of adoption of TFP and outlined steps towards resolution by a date in December.

*Note:  there is a couple of other issues at stake. Bali Package (a big one) ... and LDC.

Bali Package is yet another trade agreement 'to lower trade barriers'.

LDC issues relate to Least Developed Country ... it's a United Nations designation of a country (I think) on the basis of:

lowest indicators of socio-economic development, with the lowest Human Development Index ratings of all countries in the world.  [wikipedia]

So there is some formula the UN apply for rankings of countries on socio-economic development.

Formula:  (1) Poverty assessment (2) Human Resource assessment (ie the labour force) (3) Economic Vulnerability ... eg. are exports stable etc.

Gee, sounds like estimating the quality of cattle.

All this stuff is worked out by economists and I guess it affects the trade deals that countries are party to and, I think, the concessions that countries may receive.

As I'm new to looking at politics and economics, this information is best double-checked.  LOL.

This is just my take at the moment.

Stand firm India ... world economy wants those trillions.

PS ... Love how John Kerry wants India's opposition to 'wither away'.  Bet he does.  LOL.