Select Committee on European Union First Report


Current Developments in European Trade Policy


CHAPTER 1: Introduction

1.  The Committee asked the Parliamentary Under-Secretary of State for Trade and Consumer Affairs, Gareth Thomas MP, to give evidence on the most recent developments in Trade Policy. We thank the Minister for his time.

2.  In this Report we make available, for the information of the House, the oral evidence given to Sub-Committee A (Economic and Financial Affairs, and International Trade) by the Minister, accompanied by Ms Rosalind McCarthy-Ward, Director, Trade Operations and Mr Fergus Harradence, Head of Unit, Multilateral Trade Negotiations, Department for Business, Enterprise and Regulatory Reform, on 16 October 2007.

3.  Key topics in the evidence are:

  • Parliamentary scrutiny of trade negotiating mandates in the House of Lords (Q 16)
  • The WTO Doha Round (QQ 2-7, 27-29, 32)
  • Food miles (Q 4)
  • The impacts of trade agreements on developing countries (QQ 7, 13-4, 27, 30-31)
  • The Common Agricultural Policy (QQ 8-10)
  • Trade in services (Q 11)
  • Bilateral Trade Agreements (QQ 12-13, 15, 17-19)
  • UK influence on European Trade policy (Q 19)
  • Trade Defence Instruments (QQ 20-21, 24)
  • Trade relations with China (QQ 22-23, 25-26)

The future of multilateral trade negotiations

4.  We last reported on trade issues in December 2005[1] and at that time concluded that governments should strongly pursue multilateral trade agreements. We are concerned that there appears to have been scant progress towards a conclusion of the Doha Round since our last report, and we are worried that the protracted negotiations on this Round may diminish the appetite for future multilateral agreements.

5.  We have also noted the increasing number of bilateral agreements that are being negotiated by both the European Community and the United States of America. We have previously concluded that bilateral agreements could add value but should not replace the multilateral approach. We are concerned, however, that this may be what is happening.

6.  We have therefore decided to commence an inquiry which will look beyond the Doha Round to the future of multilateral trade agreements, and examine the priorities for European trade policy over the next decade. The Call for Evidence for this new inquiry is published alongside this Report, and is also printed in Appendix 2.

7.  We make this report for information.


1   The World Trade Organization: The Hong Kong Ministerial 13th-18th December 17th Report of Session 2005-06, HL Paper 77 Back


 
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