WTO deal could be spur to growth amid financial turmoil

The point was also raised by United States Trade Representative Susan Schwab, who told reporters a successful outcome could “make a positive ... psychological contribution in the mid-term and long term in economic development.”

The Doha round of negotiations, officially known as the Doha Development Agenda, was launched with high hopes in the Qatari capital in November 2001.

It has been deadlocked as developed and developing countries show brinkmanship over concessions on issues such as agricultural subsidies and tariffs on industrial goods. But ministers from 35 key countries are in Geneva for meetings this week in a bid to nail down a deal.

Meanwhile, the European Union is ready to extend proposed cuts in its tariffs on farm produce to 60 percent from 54 percent at WTO trade talks, the bloc’s trade spokesman Peter Power said on Monday.

“We’re in a position to raise our average tariff cuts from 54 percent to 60 percent. This is a very considerable advance and it is a very substantial improvement and should inject important momentum into discussions in Geneva this week,” said Power.