Tuesday, July 29, 2008

Doha Round

It is disappointing that the trade negotiations appear to have foundered. I am afraid I don't know as much as I would like about the issues, but intend correcting that: there is a body of information available on Wikipedia.
I did get one clue last evening watching RTE news. A young man, a principal in a financial services company, was deploring the breakdown, because his firm would not be able to export as much as they would otherwise, and this would mean they could not employ as many people, and "these are all high-paying jobs I am talking about." A major problem is that in exchange for allowing these imports, vulnerable countries want protection for their farmers.
Europe and America insist on protecting their own heavily subsidised farmers, while the industrialised farming industry wants to flood the world with their production. There is little chance of concessions there from a Republican president in an election year, since the farm belt is solidly Republican, and here in Ireland farming concerns helped defeat the Lisbon Treaty referendum.
Long-term I wonder whether the answer is to make a distinction, in Europe and America, and probably elsewhere too, between small farmers and large commercial enterprises. Support the small, family farmer economically, but take away the fincial subsidies which make large enterprises obscenely rich.

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