Key WTO members have broken ranks over whether the upcoming ministerial conference should be based on texts drafted 14 years ago in Doha, or broadened to include the impact of climate change, infrastructure, security and national economies on trade.

With five weeks to go before the ministerial meeting scheduled for December 15 to 18 in Nairobi, the African, Caribbean and Pacific Group of States (ACP) are bracing for a fresh battle with developed countries that want the Doha round dumped.

Debate over the status of the agreement could stall progress towards a deal on the unresolved issues, especially on agricultural subsidies, which are a top African agenda for the meeting.

The Doha round was built around developed countries reviewing farm subsidies especially in the cotton industry and easing rules for services to among other things improve access to medicines for the world’s poorest countries.

Ahead of the Nairobi meeting, however, developed countries, especially the US, China, Japan and Korea, have shown reluctance to adjust domestic policies in favour of poorer countries.

Instead, they want a new dialogue launched to address energy, security, climate change, currency and their links with trade. Emerging countries like the BRICS, insist the Doha texts should be at the heart of any new trade deal.

In contrast, the US argues against basing further talks on the texts, and wants countries to update the data, mostly on farm subsidies, to inform negotiations on trade policies and any concessions.

“The challenge here is that major trading powers like the US and EU may be more focused on preferential trade deals being negotiated outside the WTO system — meaning they are less than fully engaged in pushing for a rapid outcome on the WTO trade agreement,” a source familiar with the matter said.

While the US and EU are currently negotiating a trans-Atlantic free trade deal, another set of countries including the US and Japan are trying to negotiate a trans-Pacific accord. Other negotiations are also proceeding in parallel with the Doha talks at the WTO.

“African countries are disappointed with lower ambition and commitment, but are caught in the middle and the big question is whether the Nairobi Package will be deliverable and whether it will be workable,” the source said.

The key technical and political issues African countries will be pushing at the WTO summit include domestic support for agriculture, market access for agriculture and industrial goods and services as well as the impact of financial crises and geopolitics.

“African ministers want to obtain binding commitments from especially the high-subsidy countries, such as the US, Japan, China and the Republic of Korea, to reduce the agricultural subsidies that enable developed countries to export cheap food to developing countries, to the detriment of farmers on the continent,” said Joshua Mugodo, director of economic affairs at Kenya’s Ministry of Foreign Affairs and International Trade.

Despite a commitment under WTO to reduce certain agricultural subsidies by 20 per cent, overall subsidy levels in the industrialised countries of the Organisation for Economic Co-operation and Development have continued to rise. Payments to farmers now reach some $1 billion a day, equivalent to the total daily income of the world’s poorest 1 billion people.

To compel the rich countries to reduce their subsidies, India argues that the Nairobi discussions should be based on the conclusions of the Doha agreement.

Africa also wants “simplified and transparent rules of origin at 25 per cent of ad valorem content would qualify for preference while proposals from China are 40 per cent, and Thailand 50 per cent. They also want a legal binding for Bali Package issues beyond the Trade Facilitation Agreement — TFA; and policy flexibility in agriculture, industrial goods and service.

On food Aid, African countries want a balance between adequate supplies of bona fide food aid and ensuring the elimination of commercial displacement through disciplines on in-kind food aid, monetisation and re-exports.