Global trade regime urged to be pro-LDC

Global trade regime should be pro-Least Development Countries (LDCs), according to the experts.
"The World Trade Organisation (WTO) must find ways to possible accomodation of LDCs," said Prof Dr Bishwambher Pyakurel, addressing an interaction on 'How Nepal can Benefit from the Multilateral Trading System and Doha Round," organised by Ministry of Commerce and Supplies, Nepal Trade Enhanced Capacities for trade and Development, and supported by EIF, WTO in association with Federation of Nepalese Chambers of Commerce and Industry (FNCCI) in the valley today.
Including Nepal 31 LDCs are WTO members among the 154 members, who represent more than 97 per cent of total world trade.
Nepal has not been able to reap benefits from the accession to WTO, said former National Planning Commission (NPC) member Dr Puspa Rajkarnikar. "In 2004, when Nepal became the member of WTO, contribution of exports to GDP stood at 10.8 per cent that has come down to 5.2 per cent in 2010," he said, adding that the supply constriants coupled with land-lockedness has fuelled the transaction cost of Nepal.
Former finance minister Dr Ram Sharan Mahat was of the view that the rich nations have benefitted from the free trade that the WTO intends to propagate. "Nepal has huge potential in commercial agriculture, hydropower and tourism," he said, adding that the government has to enhance capacity to make Nepal competetive in the international market.
Similarly, another former finance minister Dr Prakash Chandra Lohani, on the occasion, opined that Nepal should look to India and China and enhance exports capacity.
Visiting WTO deputy director general Dr Harsha Vardan Singh, however, promised to help enhance Nepal's trade capacity. "In addition to the normal increase in market access through much lower tariffs for industrial items, Nepal would benefit from faster reduction of tariffs on certian identified export items which are large revenue earners among clothing exports," he said, adding that the results of the Doha round will ctreate additional markets for Nepal.
The Doha Round was launched in 2001 to boost the world economy and to stimulate growth and wealth in developing countries through trade. But the talks stalled in 2008 over disagreements over agriculture imports.
Speculation has been circulated that there is a renewed emphasis on finally completing the Doha Round of WTO global trade talks.
Welcoming the participants Commerce and Supplies secretary Purushottam Ojha said that the government policy papers -- Trade Policy, Nepal Trade Integration Strategy and three-year Interim Plan -- emphasised on identifying exportable items that have comparative advantages.