US embassy cable - 05ACCRA2484

UNCLAS SECTION 01 OF 02 ACCRA 002484 
 
SIPDIS 
 
SENSITIVE 
 
USTR FOR LAURIE-ANN AGAMA 
 
E.O. 12958: N/A 
TAGS: EAGR, ECON, ETRD, KIRC, KPAO, OIIP, GH, WTRO 
SUBJECT: WTO DOHA ROUND ACTION PLAN: GHANA 
 
REF: A. STATE 211956 
     B. STATE 204611 
 
Summary 
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1. (SBU) In response to Reftels, Ambassador, Econoffs, and 
USAID/Ghana and USAID West Africa Regional Program (WARP) 
officers are working closely with the Ministry of Trade and 
Industry (MoTI) to prepare GoG representatives for the World 
Trade Organization (WTO) Ministerial in Hong Kong with 
training and multi-level discussions on USG and GoG 
positions.  WARP -- through the West Africa Trade Hub -- 
sponsored training for African delegates to the Hong Kong 
Ministerial, including two from Ghana's MoTI.  Econ and 
USAID-Ghana officers are raising USG points in a series of 
meetings with MOTI and other GoG officials, culminating with 
Ambassador's meeting with Trade Minister Alan Kyerematen 
prior to his departure for Hong Kong.  End Summary. 
 
TRAINING FOR DELEGATES 
---------------------- 
2. (U) WARP's West Africa Trade Hub sponsored training on the 
General Agreement on Trade and Services (GATS) at Nigeria's 
Federal Ministry of Commerce in Abuja November 21 through 25. 
 Kwame Donkoh and Kwasi Nyame-Baafi of Ghana's MoTI attended 
the training.  The session included general background 
information on the GATS, and culminated in a GATS negotiation 
simulation.  Both Dokoh and Nyame-Baafi are slated to 
accompany Trade Minister Kyerematen to Hong Kong. 
 
INITIAL WORKING LEVEL MEETINGS 
------------------------------ 
3. (U) Econ and USAID officers met with Acting MOTI Chief 
Director Seth Addo and Chief Commercial Officer Lawrence 
Sae-Brawusi to discuss the upcoming Hong Kong meeting. 
EconOff delivered Ref A points to clarify the U.S. 
Agriculture proposal.  Addo and Sae-Brawusi declined to 
comment on the GoG's position, but expressed appreciation for 
the clarification and agreed to brief Minister Kyerematen on 
the U.S. proposal. 
 
4. (U) According to Addo, Ghana intends to present its views 
along with other African WTO member states as a bloc in Hong 
Kong.  He said Africa's stance on the competing U.S. and EU 
agriculture proposals should be clearer as African leaders 
reach consensus before leaving for Hong Kong.  (Note:  Addo 
commented that African countries were hammering out their 
positions over a series of meetings:  the WTO Africa Group 
meeting in Switzerland, November 5-6, the Second 
Extraordinary MEeting of AU Trade Ministers in Tanzania, 
November 20-25, the ACP Trade Ministers' meeting in Brussels, 
November 29, and the G-90 Trade Ministers' meeting in 
Brussels on December 2.  End Note).  Sae-Brawusi elaborated 
on points he thought would come out of these meetings to form 
the Africa bloc's position: 
 
-- African countries support the elimination of all 
agricultural subsidies and want a definitive deadline in 
place.  They are less certain about whether in-kind food aid 
constitutes a subsidy because a number of members rely on 
U.S. in-kind food aid.  They support a more flexible 
interpretation, which could allow for a combination of local 
purchases and in-kind aid. 
 
-- The agreement reached last summer in Geneva known as the 
"July Package" allowed for "special products" to be 
designated for exemption from tariff reductions in order to 
protect domestic production to ensure food security, 
livelihood security, and rural development.  African 
countries feel "special products" should be designated by 
member states, and not subject to WTO approval or 
ratification by other member states. 
 
-- The July Package refers to increased trade facilitation. 
African countries are eager to define this in terms of 
increased foreign assistance and will press for commitments 
from donors in Hong Kong. (Note:  foreign donors are already 
supporting a major training program in Ghana related to trade 
facilitation, the "Trade Sector Support Program."  USAID will 
provide approximately $600,000 to this effort in 2006.  End 
Note) 
 
-- The July Package extends the right to developing countries 
to employ safeguards against "import surges" to protect 
domestic agriculture producers.  African countries would 
prefer not to discuss details of these safeguards until after 
the Hong Kong round is completed. 
 
-- African countries feel that a higher ceiling for 
industrial tariffs is their best defense against dumping. 
They feel that the burden of proof of dumping under WTO rules 
places them at a disadvantage.  They feel the freedom to 
increase these tariffs will deter dumping.  Their negotiating 
point is one of "less than full reciprocity."  In other 
words, developed nations should not be extended the same 
right to increase tariffs. 
 
MOVING FORWARD 
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5. (U) Econ and USAID officers will follow up with Addo and 
Sae-Brawusi, as well as with other GoG officials at the 
Ministries of Agriculture and Finance, in preparation for 
Ambassador Bridgewater's December 7 meeting with Minister 
Kyerematen.  The Ambassador will focus on urging GoG support 
for the U.S. proposal and defining the African position as 
clearly as possible.  Post will report the outcome of the 
Kyerematen and other meetings, and will remain in contact 
with MoTI officials throughout the Hong Kong Ministerial. 
COMMENT 
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6. (SBU) Although Addo and Sae-Brawusi effectively explained 
the African WTO positions, it was clear from the meeting that 
neither was familiar with the details of either the U.S. or 
EU proposals, despite Post's repeated demarches and 
diplomatic notes on the subject.  Furthermore, neither 
appeared prepared to advise the Minister on any particular 
position, and expressed hope that the proposals could be 
"harmonized" by the U.S. and EU without them -- or Africa -- 
having to take sides.  Nevertheless, Ambassador will press 
Kyerematen to give public support to the U.S. position, or at 
least provide a concrete GoG position prior to his departure 
for Hong Kong.  END COMMENT. 
BRIDGEWATER