ISLAMABAD: Pakistan will not support any policy decision on agriculture that will go against the farmers of developing countries, Commerce Minister Khurram Dastagir Khan said on Tuesday on the sidelines of the 10th World Trade Organisation (WTO) ministerial conference in the Kenyan capital Nairobi.

The four-day Nairobi meeting comes two years after ministers from WTO member countries reached a landmark deal in Bali on overhauling global customs procedures.

An official statement of the commerce ministry said Mr Dastagir attended three back-to-back meetings of G-33, G-20 and the Cairns Group — the three biggest and most influential interest groups in agriculture.

“Agriculture is of enormous value to Pakistan, which cannot be just measured in dollar terms... It’s a matter of (our) national survival and security,” the statement quoted him as saying.

Pakistan considers it unjust that some countries want to ensure their food security at the cost of others, he said.

The heavy subsidisation on part of developed countries and misuse of some provisions of Agreement on Agriculture by some developing countries is already hurting the agriculture sector of small economies like Pakistan, he added.

In the country’s position paper, which is available with Dawn, Pakistan is not undermining the importance of stockholding for a country’s food security policy, and there are provisions in the agreement to deal with this issue.

“We restate the fact that public stockholding programme for food security is at our heart. It is critically important to millions of poor farmers thriving on subsistence agriculture,” the paper further says, adding that in its current form, it will be a hard sell to our constituents; it has serious adverse unintended consequences impacting our economy.

According to Pakistan’s position, addressing food security is a complex subject and requires much more than stockholding. “The proposed permanent solution has elements that undermine our farmers’ livelihoods — hence in our view it is not a solution; it is a problem.”

Local stakeholders agree that market price support programmes of one country have a negative effect on the food security of other countries. It works as a production incentive, not only inducing unsustainable production, but eliminating smaller exporters in third country markets.

In post-Nairobi negotiations, Pakistan proposed that members work towards developing comprehensive food security initiatives, while keeping in mind the in-built complexities of food security and its linkage with domestic and international trade.

Special safeguard mechanism is one element of the total market access pillar, therefore, solution has to be developed in the context of full pillar. New proposals on the eve of ministerial meeting have created a practical difficulty in finding any suitable solution, the paper further said.

Domestic support and market access pillar require serious conversation among members on the basis of current realities, it further said. “We are disappointed with the fact that up till now we do not have any landing zone in the export competition pillar. The WTO has a longstanding agenda to reform export subsidies,” the paper added.

Pakistan is one of those countries that have already eliminated exporting state trading enterprises (STEs), and has zero commitment in the export subsidies schedule of commitment. The available provision for subsidy is used rarely, only when we have serious market failures and small farmers economic survival is at stake, the paper said, adding that Pakistan therefore urged members to resolve their differences in export competition pillar with a view to finding a solution.

The commerce minister also participated in a ministerial panel on Trade Facilitation Agreement (TFA) organised by UNCTAD (United Nations Conference on Trade and Development). Pakistan has recently ratified the TFA which was widely appreciated by the member countries.

The minister said that TFA can act as an external stimulus to tackle public sector inefficiencies systematically. The minister also met International Trade Centre (ITC) Executive Director Arancha Gonzalez and witnessed the signing of a letter of intent between the ITC and the Ministry of Commerce.

The minister also participated in the consultative meeting of the Islamic Development Bank of OIC member countries on the eve of WTO ministerial conference. He said that for OIC member countries the road to influence WTO is through intra-OIC Trade Preferential System.

He emphasised that intra-OIC trade and technical assistance should be enhanced to make any noticeable mark in international trade. He was of the view that WTO requires eternal vigilance, regardless of the pace and outcomes.

Published in Dawn, December 16th, 2015