THE UNITED STATES REJECTED ON FRIDAY CRITICISM OF ITS PLANNED FARM SUBSIDY CUTS, A STICKING POINT IN GLOBAL TRADE TALKS, AND SAID OTHER COUNTRIES NEEDED TO OFFER MORE TO GET A DEAL DONE, REUTERS REPORTED. U.S. AGRICULTURE SECRETARY MIKE JOHANNS TOLD REPORTERS IN GENEVA -- WHERE WORLD TRADE ORGANISATION MEMBER COUNTRIES ARE TRYING TO NARROW GAPS ON FARM AND INDUSTRIAL TRADE -- THAT THE UNITED STATES HAD OFFERED "FUNDAMENTAL CHANGE" TO ITS SUBSIDIES. HOW COULD ANYBODY ARGUE THAT IT IS NOT A MEANINGFUL REDUCTION, WHEN LITERALLY WE ARE SAYING THE VERY HEART OF THE U.S. FARM PROGRAMME IS DIRECTLY IMPACTED BY THE CUTS WE HAVE PUT ON THE TABLE?" JOHANNS SAID. "IT IS VERY, VERY REAL." WASHINGTON HAS SAID IT WILL CUT SUBSIDIES ALLOWED UNDER WTO RULES BY 60 PERCENT, BUT CRITICS SAY THIS WILL NOT NECESSARILY CUT INTO ACTUAL SPENDING. RICH NATION FARM SUBSIDIES AND TARIFFS, TOGETHER WITH INDUSTRIAL TARIFFS IN DEVELOPING STATES, FORM THE "TRIANGLE" WHERE WTO CHIEF PASCAL LAMY SAYS A DEAL MUST BE DONE. IN A STATEMENT, THE UNITED STATES SAID IT WOULD MEET COMMITMENTS UNDERTAKEN BY WTO COUNTRIES FOR THE DOHA ROUND BUT STUCK TO ITS VIEW THAT OTHER PROPOSALS FELL SHORT. "WE CONTINUE TO HAVE HIGH HOPES FOR A MEANINGFUL AND ROBUST OUTCOME TO THESE TALKS AND WE ARE URGING OTHER COUNTRIES TO SEEK THE SAME," THE OFFICES OF THE U.S. TRADE REPRESENTATIVE AND OF ITS AGRICULTURE DEPARTMENT SAID IN THE JOINT STATEMENT. "THE U.S. PROPOSAL DELIVERS ON THE PROMISE OF DOHA, UNFORTUNATELY OTHER PROPOSALS THUS FAR LACK THE NECESSARY AMBITION," THE STATEMENT SAID. TALKS AT THE WTO WERE CONTINUING ON FRIDAY.
