RIO DE JANEIRO, BRAZIL – On Friday, January 29th, Brazil called on other World Trade Organization (WTO) member countries to be bold in substantially reducing subsidies in all sectors that distort global trade.
In a virtual ministerial meeting, held separately from the Davos online forum, Brazil’s Foreign Minister Ernesto Araújo advocated WTO reform and said the organization “can not remain indifferent to the issue of democracy and fundamental freedoms.”
“The WTO was established as part of a certain reset, a reset that should revolve around liberal democracy and market economies, a system of economic and political freedom,” he said.
Contrary to several emerging nations, including India and South Africa, Araújo said that varying needs for flexibility among developing countries and distinct sectors “should not be an excuse to evade commitment to the trade system.”
The Bolsonaro government seeks to deepen the debate on “excess capacity, unfair competition conditions and the distortion of international trade relations, including subsidies in all sectors.”
At the WTO ministerial meeting to be held this year, Brazil’s position is that countries would need to reduce current domestic support tariffs that distort agricultural trade, overcome the deadlock on the Dispute Settlement Mechanism, finalize negotiations on investment facilitation and domestic regulation of services, progress on e-commerce negotiations, and conclude negotiations on the fishing sector.