Identifier
Created
Classification
Origin
06PARIS5139
2006-07-28 13:39:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Paris
Cable title:
WTO DOHA ROUND : GOF BLAMES U.S. FOR COLLAPSE; FARMERS WANT
how-tonull Lucia A Keegan 07/31/2006 10:33:26 AM From DB/Inbox: Lucia A Keegan Cable Text: UNCLAS SENSITIVE PARIS 05139 SIPDIS cxparis: ACTION: AGR INFO: UNESCO SCI POL ECNO DCM AMB ECON TRDO DISSEMINATION: AGRX CHARGE: PROG APPROVED: AGR: EBERRY DRAFTED: AGR: XAUDRAN CLEARED: AGR: EBERRY EMIN : TWHITE VZCZCFRI879 RR RUEHC RUEHRC RUCNMEM RUEHMRE RUEHSR RUEHGV RHEHAAA DE RUEHFR #5139 2091339 ZNR UUUUU ZZH R 281339Z JUL 06 FM AMEMBASSY PARIS TO RUEHC/SECSTATE WASHDC 9905 RUEHRC/USDA FAS WASHDC INFO RUCNMEM/EU MEMBER STATES RUEHMRE/AMCONSUL MARSEILLE 1218 RUEHSR/AMCONSUL STRASBOURG 0145 RUEHGV/USMISSION GENEVA 2450 RHEHAAA/WHITE HOUSE WASHDC
UNCLAS PARIS 005139
SIPDIS
SENSITIVE BUT UNCLASSIFIED
BRUSSELS PASS USEU FOR AGMINCOUNSELOR
STATE FOR OES; EUR/ERA AND EB ;
STATE PASS USTR FOR MURPHY;
USDA/OS/JOHANNS/PENN AND TERPSTRA;
USDA/FAS FOR OA/YOST/ROBERTS;
ITP/SHEIKH/MACKE/TOM POMEROY/MIKE WOOLSEY/GREG YOUNG;
FAA/SEBRANEK;
EU POSTS PASS TO AGRICULTURE AND ECON
GENEVA FOR USTR, ALSO AGRICULTURE
E.O. 12958: N/A
TAGS: EAGR ETRD EU FR
SUBJECT: WTO DOHA ROUND : GOF BLAMES U.S. FOR COLLAPSE; FARMERS WANT
SUBSIDIES MAINTAINED
UNCLAS PARIS 005139
SIPDIS
SENSITIVE BUT UNCLASSIFIED
BRUSSELS PASS USEU FOR AGMINCOUNSELOR
STATE FOR OES; EUR/ERA AND EB ;
STATE PASS USTR FOR MURPHY;
USDA/OS/JOHANNS/PENN AND TERPSTRA;
USDA/FAS FOR OA/YOST/ROBERTS;
ITP/SHEIKH/MACKE/TOM POMEROY/MIKE WOOLSEY/GREG YOUNG;
FAA/SEBRANEK;
EU POSTS PASS TO AGRICULTURE AND ECON
GENEVA FOR USTR, ALSO AGRICULTURE
E.O. 12958: N/A
TAGS: EAGR ETRD EU FR
SUBJECT: WTO DOHA ROUND : GOF BLAMES U.S. FOR COLLAPSE; FARMERS WANT
SUBSIDIES MAINTAINED
1. (SBU) French Minister for Trade Christine Lagarde expressed
regrets over the collapse of the Doha trade round in Geneva, stating
that she does not expect further results. She explicitly blamed the
United States' "hard line" stance on domestic agricultural support
for the failure of the recent meeting. Lagarde said that the EU must
now look at regional trade agreements as an alternative to a
multilateral agreement.
2. (SBU) In an op-ed in the French Daily Le Figaro, French
agricultural Minister Dominique Bussereau called the collapse a
-quote- beneficial failure of a delinquent negotiation - end quote.
He blamed the negotiation for solely focusing on agriculture, and
within agriculture, solely on market access, which he asserted only
benefited a small group of large agricultural exporting countries.
He also accused the United States - quote - of making totally
unrealistic requests without showing in exchange any will to reform
its domestic agricultural policy - end quote. He blamed the
Commission for making too many concessions without obtaining
reciprocal concessions from its trading partners. In a radio
interview, Bussereau also blamed Pascal Lamy for being too
interventionist in the talks, saying that Lamy had made the - quote
- sin of pride - end quote - by trying to have the - quote - WTO
walk on water -end quote. Bussereau concluded by expressing hope
that the talks could resume in a more balanced way, more favorable
to developing countries.
3. (U) The French business leaders' organization, MEDEF, expressed
its disappointment. Even if MEDEF's chairwomen, Laurence Parizot,
had recently said that -quote- no agreement was better than a bad
agreement - end quote, the business leaders were still hoping that a
positive last-minute conclusion could be achieved.
4. (SBU) On the other hand, French farm groups applauded the
failure of the talks. The main French farm organization, FNSEA
concluded that -quote- the failure was good news for those who
believe in more solidarity in the world -end quote. The Young
Farmers Union also officially applauded the break. Such relief was
also shared by other farm groups, such as anti-globalization groups
Confederation Paysanne and Coordination Rurale. Beef, poultry, and
fruit/vegetable producers, who were most "at risk" in case of an
agreement, also expressed their satisfaction. French farmers had
claimed that EU concessions during the talk would have cost French
farm sector more than 20 billion (USD 25 billion) and 700,000
jobs. Accordingly, they had asked the EU to renounce commitments
made in Hong Kong in December 2005 and to not abolish export
subsidies by 2013.
5. (SBU) Despite their rejoicing, French farm groups still claim
that they support an agreement which will favor developing
countries. They also want any agreement to tackle sanitary,
phytosanitary as well as environmental issues.
6. (U) Respected French economist Patrick Messerlin was less
pessimistic. In an interview in the financial daily Les Echos, he
pointed out that the Uruguay Round talks had stalled from 1990 to
1993 before coming to a positive outcome. He also suggested that if
the mid-term election were favorable to the current U.S.
administration, it could obtain from Congress an extension of the
Fast Track Authority. He also mentioned that after the French
presidential election in mid 2007, the new French administration
might be more open to globalization of agricultural markets.
7. (SBU) COMMENT. Public reaction in France to the Doha Round
stalemate is predictable: the GOF tries to place blame on the U.S.,
farmers express relief at the outcome, and business leaders express
regret, timidly. Those who stood to lose from Doha Round success --
French farm interests -- are by far the most vocal. Potential
winners in France -- non-agricultural exporters, service industries
and consumers -- are woefully under-represented in the public
debate. END COMMENT.
Stapleton
SIPDIS
SENSITIVE BUT UNCLASSIFIED
BRUSSELS PASS USEU FOR AGMINCOUNSELOR
STATE FOR OES; EUR/ERA AND EB ;
STATE PASS USTR FOR MURPHY;
USDA/OS/JOHANNS/PENN AND TERPSTRA;
USDA/FAS FOR OA/YOST/ROBERTS;
ITP/SHEIKH/MACKE/TOM POMEROY/MIKE WOOLSEY/GREG YOUNG;
FAA/SEBRANEK;
EU POSTS PASS TO AGRICULTURE AND ECON
GENEVA FOR USTR, ALSO AGRICULTURE
E.O. 12958: N/A
TAGS: EAGR ETRD EU FR
SUBJECT: WTO DOHA ROUND : GOF BLAMES U.S. FOR COLLAPSE; FARMERS WANT
SUBSIDIES MAINTAINED
1. (SBU) French Minister for Trade Christine Lagarde expressed
regrets over the collapse of the Doha trade round in Geneva, stating
that she does not expect further results. She explicitly blamed the
United States' "hard line" stance on domestic agricultural support
for the failure of the recent meeting. Lagarde said that the EU must
now look at regional trade agreements as an alternative to a
multilateral agreement.
2. (SBU) In an op-ed in the French Daily Le Figaro, French
agricultural Minister Dominique Bussereau called the collapse a
-quote- beneficial failure of a delinquent negotiation - end quote.
He blamed the negotiation for solely focusing on agriculture, and
within agriculture, solely on market access, which he asserted only
benefited a small group of large agricultural exporting countries.
He also accused the United States - quote - of making totally
unrealistic requests without showing in exchange any will to reform
its domestic agricultural policy - end quote. He blamed the
Commission for making too many concessions without obtaining
reciprocal concessions from its trading partners. In a radio
interview, Bussereau also blamed Pascal Lamy for being too
interventionist in the talks, saying that Lamy had made the - quote
- sin of pride - end quote - by trying to have the - quote - WTO
walk on water -end quote. Bussereau concluded by expressing hope
that the talks could resume in a more balanced way, more favorable
to developing countries.
3. (U) The French business leaders' organization, MEDEF, expressed
its disappointment. Even if MEDEF's chairwomen, Laurence Parizot,
had recently said that -quote- no agreement was better than a bad
agreement - end quote, the business leaders were still hoping that a
positive last-minute conclusion could be achieved.
4. (SBU) On the other hand, French farm groups applauded the
failure of the talks. The main French farm organization, FNSEA
concluded that -quote- the failure was good news for those who
believe in more solidarity in the world -end quote. The Young
Farmers Union also officially applauded the break. Such relief was
also shared by other farm groups, such as anti-globalization groups
Confederation Paysanne and Coordination Rurale. Beef, poultry, and
fruit/vegetable producers, who were most "at risk" in case of an
agreement, also expressed their satisfaction. French farmers had
claimed that EU concessions during the talk would have cost French
farm sector more than 20 billion (USD 25 billion) and 700,000
jobs. Accordingly, they had asked the EU to renounce commitments
made in Hong Kong in December 2005 and to not abolish export
subsidies by 2013.
5. (SBU) Despite their rejoicing, French farm groups still claim
that they support an agreement which will favor developing
countries. They also want any agreement to tackle sanitary,
phytosanitary as well as environmental issues.
6. (U) Respected French economist Patrick Messerlin was less
pessimistic. In an interview in the financial daily Les Echos, he
pointed out that the Uruguay Round talks had stalled from 1990 to
1993 before coming to a positive outcome. He also suggested that if
the mid-term election were favorable to the current U.S.
administration, it could obtain from Congress an extension of the
Fast Track Authority. He also mentioned that after the French
presidential election in mid 2007, the new French administration
might be more open to globalization of agricultural markets.
7. (SBU) COMMENT. Public reaction in France to the Doha Round
stalemate is predictable: the GOF tries to place blame on the U.S.,
farmers express relief at the outcome, and business leaders express
regret, timidly. Those who stood to lose from Doha Round success --
French farm interests -- are by far the most vocal. Potential
winners in France -- non-agricultural exporters, service industries
and consumers -- are woefully under-represented in the public
debate. END COMMENT.
Stapleton