WTO chief Lamy calls Turkey textile plan "strange"

The WTO's 149 member states are seeking agreement on cutting tariffs across the world economy, but Turkey -- with the backing of some producers such as Mauritius -- wants textiles made a special case.

"It would in my view be very strange, and that, by the way, was the reaction of a large part of the members," Lamy said.

Turkey, like other textile and clothing producers, has struggled to compete against China and India since the WTO ended its global system of export quotas at the start of 2005.

Many countries have preferential access to the United States and other markets under various trade programmes and fear these benefits will be eroded under a pact that cuts textile and clothing duties aggressively.

The Turkish proposal, made last week to the WTO negotiating committee on industrial tariffs, was firmly opposed by China, which accused Turkey of attempting to re-institute restrictions on textile trade.

Lamy noted that while the WTO negotiations on industrial tariffs, known as NAMA in WTO-speak, allowed for separate sector treatment, this was normally aimed at securing even steeper cuts than those envisaged in an overall deal.

"This would be a new animal -- a NAMA-minus -- in a negotiation where we have always structured the thing so that there may be NAMA-plus," Lamy told journalists.

In Washington Turkey's trade minister said on Monday he had the support of U.S. Trade Representative Rob Portman for the plan, which was applauded by the U.S. textile industry.

The textile industry is one of the most vocal U.S. opponents to trade liberalisation and many members of Portman's own Republican Party favour continued protection.

But U.S. officials in Geneva said that Washington has not taken any position on the plan.

Source: Reuters