"Too Many Concessions"...and Now New Issues Too

The Financial Times reports that "Peter Mandelson, the EU trade commissioner, was rebuked on Monday by a majority of the bloc’s agriculture ministers for offering big farm tariff cuts as part of renewed push to conclude global trade talks. Mr Mandelson, anxious to kick-start the Doha round of negotiations before US president George W. Bush loses his power to make deals in July, said the EU could offer cuts close to the 54 per cent demanded by developing countries if the US slashed its agricultural subsidies. However, a majority of the EU’s 27 farm ministers in Brussels said Mr Mandelson had offered too many concessions." The French seem particularly unhappy.

Meanwhile, Bush is supposed to make an economic policy speech tomorrow asking Congress to renew Trade Promotion Authority (TPA). "The Democrats appear poised to condition renewal of TPA (or Fast Track) on labor and environmental standards. "Language on such standards as the right to associate and to bargain collectively, prohibitions on child labor and forced labor, and employment nondiscrimination, they say, is likely to be included in any legislation to renew Trade Promotion Authority (TPA)." It seems unlikely that such linkage could be incorporated in Doha.