African trade ministers in cotton plea
02/12/2008
Six trade ministers from African countries dependent on cotton exports have called for “fair play” in the international trade of cotton, and for rich countries to close the gap between pledges and delivery of aid to the African cotton sector while outstanding trade issues are worked out.
Trade ministers from three of Africa’s so-called ‘Cotton Four’ countries—Benin, Chad, and Mali (the fourth is Burkina Faso)—attended a meeting on cotton with the United Nations Conference on Trade and Development (UNCTAD) in Geneva on December 2. Also present were ministers from Côte d'Ivoire, Senegal, and Zimbabwe. The UN has said that the Cotton Four nations depend on this agricultural commodity for 30% to 60% of their exports.
UNCTAD secretary-general, Supachai Panitchpakdi, told the meeting that the phase-out of the Multifibre Agreement that governed world trade in textiles and garments from 1974 until 2004 led to production shifts to low-cost locations such as Africa. That opportunity should be seized, he said, and added: “That is why it is so important at this point in time to eliminate trade-distorting measures and market-access barriers.”
He said another major issue involved in boosting developing-country cotton exports is improving the competitiveness of such nations.
Ahamadou Abdoulaye Diallo, minister of commerce and industry of Mali, making an opening statement on behalf of the Cotton Four, said: “To maintain cotton production in low-income countries, it is necessary to find sustainable solutions in the face of unfair competition.”
Cotton employs some 15 million people in West Africa, Mr Diallo noted, and plays an important role in improving health and incomes in that region. Elimination of direct, trade-distorting cotton supports by developed countries “is a work as yet in progress,” he said, “and progress to date is unsatisfactory. It is critical that a solution be found, an effective and expeditious solution.”
The current situation “is being made worse by the world food crisis,” he added, “and could be even worse given the present financial situation, which is having a negative impact on trade in commodities, given the recession that is upon us.”
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