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EC plans to oppose farm subsidies cut
BRUSSELS, Jan 11: The European Community held firm Saturday in its opposition to reductions in form subsidies proposed in world trade talks, but called for a quick end to the difficult negotiations, re ports AP.
In a special five-hour ses-
I slon. trade and farm ministers ' of the 12-natlon trading bloc ' thrashed out their position on i a compromise proposal in the
General Agreement on Tariffs and Trade (GATT), talks, de signed to overhaul the world trading system.
The European Community feels the (compromise) docu ment in Its present form Is not yet a balanced document." said Portuguese Trade Minister Fernando Faria de Oliveira, whose country now holds the group s presidency.
A statement issued by the Portuguese said "substantial Improvements and essential modifications" were needed in the proposal to win Commu nity becking
Arthur Dunkel. GATT Dire ctor-General, has given the 108 nations taking part In the talks until Monday lo respond to his 436 page compromise plan for liberalizing world trade.
Shortly after he released the document rate last month, the community lashed out at proposals for cuts tn agriculture subsidies, calling them unacceptable and demanding changes
The ministers reiterated their unhappiness with the agriculture provisions
"We must be very vigilant." said French Agriculture Minister Louis Mermaz. "If we are not.... we will find the ne gotiatfona sealed in a way that la very disadvantageous for the community.'
The French, the community's largest exporter of farm products, have been the slro ngesl opponents of changes In the community's expensive farm subsidy programme. Ireland has lined up with the French.
Even so, British officials insisted the trading bloc was more interested now in bring Ing the GATT talks to a successful end.
There was definitely a pos
I five sense that we had to get agreement.' said British Trade Secretary Peter Lilley.
The decision was tn favour of a rapid conclusion." said
Officials said the ministers set out priority areas, including In agriculture, requiring changes to get an agreement.
The hotly contested issue of farm subsidies — pitting the community against the United States — has threatened to scuttle the entire round of ne
1 gotlations. called the Uruguay Round after the country where they were launched in 1986.
In Geneva, Dunkel said Friday there was only limited room to make changes In his compromise proposal. Governments challenging individual parts of the accord, he
complex negotiations
France
AFP adds: France was expected to fight a rearguard action against European Community concessions on farm subsidies at a meeting of EC trade and agricultural ministers here on Friday and Saturday, diplomats said
They predicted a struggle between France and Ireland on one hand and Britain. Germany and the Netherlands on the other over the ECs negotiating stance In an Important GATT meeting in Geneva on Monday
A senior British diplomat referring to the weekend meeting of EC ministers, said "I personally predict a battle'.
In December EC ministers gave a frosty reception to the compromise, pointedly refusing to accept It even as a basis for further negotiations.
French Agricultural Minister Louis Mermaz predicted last weekend that the EC ministers would continue to reject any further compromise.