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7/27/06

globeandmail.com/bloomberg : EU official takes U.S. to task over WTO divide

For the complete report go to globeandmail.com or click on this link

GENEVA -- European Union Trade Commissioner Peter Mandelson said the United States has to take a "hard, fundamental look" at what it can do to cut farm subsidies and revive World Trade Organization talks that collapsed this week.

Mr. Mandelson said that U.S. unwillingness to make any new offer in cuts to spending on its farmers led Pascal Lamy, director-general of the WTO, to suspend the five-year-old talks aimed at dismantling market barriers and stimulating global economic growth. "The U.S. has to take a hard, fundamental look in the whole agricultural area of what they're prepared to put in for the very large demands they are placing" on others, Mr. Mandelson said yesterday. "It isn't a spat" between the EU and United States, Mr. Mandelson said of the disagreements with the United States, over who is to blame. "If it was only a spat, it would be less fundamental."

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