Doorstop interview before the start of the Cairns Group meeting
Main topic: Doha Round
Transcript, E&OE
Punta del Este, Uruguay
20 April 2010
JOURNALIST: What are the main objectives of this meeting of the Cairns Group with regards to the Doha Round?
CREAN: Our objectives remain the same… the Cairns Group has always pushed for the highest possible ambition in terms of trade liberalisation when it comes to agricultural products. We have consistently and effectively driven the agenda to greater ambition in trade liberalisation for agriculture. We continue to do that. We, of course, are frustrated with the failure of the Doha Round to conclude, but we are not going to let the frustrations defeat the ambition. And so the purpose of today and tomorrow, is to not just reinforce the ambition but to have constructive dialogue as to creative ways in which we can bridge the gaps.
Now, the Cairns Group has not only played a constructive role on ambition, it's also played a constructive role in bringing the parties together and finding other ways to try and break the logjam. Last year, for example, this similar meeting in Bali was instrumental in not only bringing from outside the Cairns Group the Ministers from the US and India, but in recognising a new form of flexibility within the process to try and achieve a resolution. That flexibility recognised the importance of bilateral negotiations within the multilateral framework. It also resulted in a decision on the part of India, because of the progress that was made in Bali, to convene a Ministerial Meeting which took place in Delhi and that expanded the flexibility in the process, a process that recognised the need for a horizontal mechanism to deal with, not ahead of, but parallel to, the conclusion of agriculture and NAMA related issues. So, the point I'm making is that we need to look again for what we think we can do to drive creative solutions, flexibility — but in a way that doesn't raise the argument that we are departing in any way from the framework that was determined and most of us inherited from Hong Kong.
JOURNALIST: What proposals are on the table, in a way, to try and make this meeting of the Cairns Group a turning point in the same way that bilateral meetings were at the last meeting?
CREAN: Well, I'd prefer to talk to you after we've had those discussions in here, than pre-empt them. But, again, I think you've got to understand there is a limit to the extent to which a group that is convened around the issues of agriculture and not the other issues, there's a limit to how we can go in any detail. I think our approach is how we reach out and look for solutions and be sounding boards for the other issues that need to be resolved. Australia, of course, has interests beyond agriculture so we're active in this field, reporting on that so that no one's blindsided by it is important. That's the case as well with New Zealand and Canada, for example.
So, I think this is a very interesting group because within it there are differences but the fact that it's been able to maintain that cohesion all the way through is important. Uruguay has been a tremendously strong supporter in this so we welcome the fact that they're hosting it. But all continue to, we hope, aspire to the ambition; I've got no indication they don't. We've still got a very good turn-out despite frustrations with the volcano, with certain planes and delegations, but nevertheless we persist.
JOURNALIST: What will be the tools of the group to play a constructive role in the negotiations?
CREAN: I think the importance of this group is that it does understand the importance of regular ministerial exchange. It's also a group that's well regarded within Geneva for the creativity and quality of the technical input. Everyone recognises the work that we do in that regard. They're the essential elements to bring about a conclusion of the Round — technical expertise, because some of this stuff is very, very complex, and it does need people not just crunching numbers but understanding the nuances, the different stages of economic development, the fact that we're dealing with 153 countries and it's not just developed and developing, it's different stages within all of those. So it's the technical work, but it is our very strong view that ministerial engagement is critical to assessing where the state of the technical engagement takes you, and what sort of political input is needed to crack that, to address it. This is something that we've been pushing for example in terms of ministerial engagement on the broader front, not just on agriculture, on the broader front, and that's something that there's still some resistance to, but we'll persist with that argument as well.
JOURNALIST: As the world moves out of the slowdown, how important do you think completing the Doha Round is for activity to pick up fully again?
CREAN: Well, it's critical. And this is the other interesting dimension that occurred last year, and that was the G20 leaders' buy-in to the importance of concluding the Round. Essentially, there are two fundamental reasons why they have bought in so strongly and said "get it concluded". The first is that trade is an economic stimulus, a stimulus that doesn't hit the budget. It's not an exit strategy, it's an ongoing dynamic strategy and so if we are looking for a global response to sustained economic recovery, trade is the low-hanging fruit, trade is the issue that we should be able to close quickly and give confidence to. The second reason of course is that there was concern with the global financial crisis about the tendency to revert to protectionism. We've demonstrated that the rules-based system was an important brake on that, it's important insurance. Concluding the Round is taking out more insurance. So, on both fronts it's important. But I think the key factor in last year's G20 meetings was world leaders not only saying "get it concluded this year" — looking hard — but, more importantly, saying "we stand ready" to get involved to help resolve. We're not at a position in which we can call on that call, or call on that offer, because there are still a number of outstanding issues. But the horizontal process that I talked of before, that came out of last year's engagement, is important in trying to bring and narrow those issues together. If we can bring about that narrowing we've got two opportunities through the G20 to make progress this year, because there are two meetings — Toronto in June, Seoul in November. November is after the mid-term congressional elections. So, we have the opportunity off the back of this to also seize opportunity in the margins of the OECD meeting in Paris next month, at which Australia traditionally hosts a meeting of trade ministers, usually well attended. There are the APEC series of meetings in June, there's the Toronto meeting, there's other issues that could come up between then and November, but there's a pathway forward.
JOURNALIST: OK, so, if it's looking hard for this year, as you said, what about…
CREAN: It's been looking hard every year for the past nine years…
JOURNALIST: …how's it looking for next year?
CREAN: Well, look — I think the lesson that I've learnt most over the last couple of years I've held the portfolio, is apart from the need to drive ambition and show determination to achieve the outcome, setting dates has been important to get some level of movement forward, but trying to set them in terms of closure is always problematic. So I prefer to understand the dynamic as to where the dialogue is going, to keep persisting in that regard and to really take the issue forward from there. But I see the host President is arriving so we better go and let him open our meeting.
ENDS
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