The head of the Geneva-based World Trade Organization (WTO) has warned that the long deadlocked negotiations for the global trade treaty known as the Doha round are further threatened by a global rise in protectionism over the past six months.

At an informal meeting of negotiators in Brussels (June 22), WTO Director-General Pascal Lamy urged those present to come to an accord by late July on what is possible and what is not possible to deliver by December despite the fact that a final accord will not be reached at that time.  

Ten years of negotiations at the 153-member WTO have failed to seal an agreement that could generate billions of dollars and alleviate poverty by freeing up trade in goods and services.

Lamy suggested focusing a December Ministerial package on trade benefits for the poorest countries in order to deal with the rise in protectionism. “The paradox is that while protectionism was well contained during the peak of the crisis, the collective resolve and political courage to resist protectionism may be under stress at a time when conventional wisdom is that we are at the exit.”

He said the WTO has an important role to play. “In these difficult circumstances the WTO must continue to act as a catalyst of multilateral trust and global cooperation. The multilateral trading system successfully resisted intense protectionist pressures during the recent global recession. It is vital to preserve and strengthen this system in order to be able to face future crises.”