London: Commonwealth Secretary General Don McKinnon on January 24 cautioned that prospects of a fair and principled round of trade negotiations were "fast fading" due to failure of developed countries in delivering on their promise to provide market access to developing countries.

"For too long, the developing world has been promised a 'new deal' - aid, investment and real trade opportunities - and for too long, the affluent world has not delivered on its promise," he said while addressing a gathering of business leaders organised by the Commonwealth Business Council.

While the Doha Development Round of trade talks held in November 2001 seemed to open a new era of fair, principle-based trade negotiations, that hope has since faded as earlier commitments have been ignored, he said.

Warning that global inequalities and increasing gap between the rich and the poor could create resentment and breed hatred, he emphasised that the "single greatest thing rich countries can do to tackle global poverty is to bring down trade barrier to allow poor countries to trade in developed-country markets".

Referring to the contentious issue of subsidies, he said, "Why is it that the developing world is being criticised for protecting a manufacturing industry that builds a consumer product at three times the world price, yet it seems acceptable that in Europe, farmers spend five times more than developing countries do to raise a single cow."

It was uneconomical for industrialised countries to subsidise their farmers to produce food that could be grown more cheaply and efficiently by developing countries, McKinnon said. If developed countries open their markets it would benefit also rich countries equally, he added.

McKinnon said a big part of the problem was the addiction of developed countries to subsidies. "We need real political commitment and I call on the rich countries in particular to rise to the challenge."

"In our borderless world, we cannot hang on to the belief that we can live in isolation and ignore the suffering around us. We are all neighbours now and as neighbours, we must realise that we are better off if we look after each other," he said.

PTI