Cairns Group Releases New WTO Proposal on Tropical Products

The Australian Government Minister for Trade, Warren Truss, has welcomed the tabling of a new proposal by the Cairns Group of agricultural exporters on so-called 'Tropical and Alternative Products' in the World Trade Organisation (WTO) Doha Round of trade negotiations.

Mr Truss said that the Tropical and Alternative Products proposal had the potential to provide new commercial opportunities for important commodities such as sugar, rice and a wide range of horticultural products which are amongst the most highly-protected in international trade.

"The Cairns Group proposal is an important contribution towards finding a way forward on an issue that has a history going back to the 1960s when the push to achieve the fullest liberalisation of trade in tropical agricultural products first began," Mr Truss said.

"The proposal for Tropical and Alternative Products is simple, transparent and presents a viable way forward in the negotiations to deliver a strong and ambitious market access outcome.

"Developed countries will eliminate tariffs on all Tropical and Alternative Products which are currently at 25 per cent or less. Tariffs above that level will be cut by 85 per cent.

"This proposal has been championed by a number of Cairns Group developing countries and is a further element in the Group's continued efforts to achieve an ambitious, across-the-board market access outcome in the agriculture negotiations," he said.

This initiative follows the recent release of the Cairns Group proposal on the key issue of Sensitive Products.

Mr Truss said that a strong result on Sensitive Products quota expansion and a robust general tariff cutting formula were the other key elements that would ensure a strong outcome on tropical products.

Mr Truss said he looked forward to continuing contact with other Cairns Group members in coming months.

"Cairns Group ministers will meet in Pakistan next month which will be an important opportunity for ministers to discuss our close cooperation on key issues in the agriculture negotiations including Tropical Products," Mr Truss said.

Media Inquiries: Minister Truss' office 02 6277 7420 - Departmental Media Liaison 02 6261 1555