DOHA COLLAPSE DEMONSTRATES LACK OF COHESIVENESS - M'SIAN PM NAJIB

From Jackson Sawatan

BRUSSELS, Oct 5 (Bernama) -- Malaysian Prime Minister Najib Razak said the
collapse of the Doha Round talks illustrated a clear lack of cohesiveness among
countries.

He added that from the start, developed countries "were hearing but not
actually listening" to the concerns of the majority in the World Trade
Organisation (WTO).

He called for the negotiations to return to its original objectives of
ensuring fair and equitable trade through the elimination of subsidies and other
inequitable domestic support.

Speaking at the Asia-Europe Meeting (Asem) Summit here, the prime minister
also expressed Malaysia's commitment to the multilateral trading system, saying
the country had been contributing constructively towards a balanced outcome of
the WTO negotiations.

He cautioned WTO members against introducing new issues or re-opening areas
which had already been agreed upon.

"Instead, our efforts should focus on moving the process forward and
building upon the progress and achievements to date. The re-opening of issues
could further delay the conclusions of the Doha Round," he said.

The Doha Round, the trade negotiation round of the WTO, has suffered a
series of deadlocks since talks commenced in 2001 in Doha, Qatar.

It collapsed totally after nine days of negotiations in Geneva in 2008
following disagreement over agricultural import duties.

Attempts are now being made to revive the talks at an upcoming summit of the
Group of 20 countries (G20) in Seoul, South Korea, next month.

The G20, set up in 1999 following the 1997 Asian financial crisis, comprises
the finance ministers and central bank governors of 19 countries, including the
United States, United Kingdom, China, Japan and South Korea.

The 20th member is the European Union (EU).

Najib said Malaysia anticipated that WTO members might look at alternative
solutions to the impasse, including bilateral and regional free trade
agreements but stressed that these alternatives must not run counter to the WTO
rules and principles.

"As a trade organisation, WTO remains relevant to today's economic climate,"
he added.

Najib also called for reforms in the international financial system, saying
Malaysia believes that the recent crisis provided a timely opportunity to
address the root of the problem while drawing lessons and conducting a major
debate on the necessary reform of the international financial architecture.

"There is clearly a need to redesign regulatory structures in what is an
increasingly complex financial system and to increase transparency in the
operation of specific markets and financial institutions.

"In this context we applaud steps taken inside the EU to achieve
better oversight and regulation," he said.

He also called on the international community to continue to strengthen
coordination and cooperation and take effective measures to restore market
confidence, stabilise global financial markets and promote global economic
growth.

Najib told Malaysian journalists later that the Asem Summit provided a good
precursor to the G20 meeting in Seoul, saying it laid the groundwork for
consensus among Asian and European members.

The Asem Summit continued today with deliberations on sustainable
development, global issues, regional issues, people to people and the future of
Asem.

The prime minister will hold a bilateral meeting with EU President Jose
Manuel Barroso and launch the Malaysia-EU free trade agreement talks later in
the evening.
-- BERNAMA