Trade reforms hit snag - Asia-Pacific Economic Cooperation

Business Asia, July 6, 1998

Pacific Rim trade ministers have failed to agree on a market-opening agreement, instead instructing senior officials to reach an accord by September.

A recent two-day meeting in Kuching in East Malaysia by trade ministers from the 18-member Asia-Pacific Economic Cooperation (APEC) had intended to fix targets and deadlines for liberalisation of trade in nine sectors beginning next year. Another six sectors are to be targeted for liberalisation at a later date.

The nine "fast-track" sectors, covering some US$1.5 trillion in commerce, are environmental goods and services, fish and fish products, forest products, medical equipment and instruments, telecommunications mutual recognition agreement, energy, toys, gems and jewellery, and chemicals.

"Ministers instructed senior officials to continue work to finalise by September the sectoral arrangements on the fast-track sectors on the basis of decision taken at this meeting, and further develop the other six sectors," said the statement summarising the results of the meeting.

The statement said there was an emerging consensus on which products would be covered under the liberalisation package, what the final tariff rates would be and when the new rates would be put into effect.