WTO wants 201 products free from import tariffs
THE WORLD Trade Organisation (WTO) initialised a list of 201 information technology products to be freed from import tariffs in a $1.3 trillion (R16.39 trillion) deal on Friday, but said it was still short of the critical mass of countries needed to put it into force.
The first global tariff-cutting deal in 18 years would mean consumers should pay less for products such as computers, touch-screen devices, games consoles and hi-fi systems, while companies would see cuts in the cost of machine tools and components, giving a boost to economies globally.
“Today’s agreement is a landmark,” WTO directorgeneral Roberto Azevedo said, adding that the value of trade involved was worth 7 percent of the global total, more than world trade in cars.
The product list includes new generation semi-conductors, GPS navigation systems, medical products, which include magnetic resonance imaging machines, printed circuits and satellites, the WTO said. Once in force, the agreement would update the WTO’s 18-year-old Information Technology Agreement.
Removing tariffs on trade worth $1.3 trillion is expected to give a $190 billion boost to the world economy.
However, five of the 54 WTO members that negotiated the deal – Taiwan, Turkey, Thailand, Colombia and Mauritius – have failed to sign up, leaving the deal short of a quorum, measured as 90 percent of world trade in those products, needed to bring it into force for all 161 WTO members. – Reuters The leader, who spoke on condition of anonymity, said for as long as these powers are unchanged, there would be competition, particularly on the outcome of the tender processes.
“Whether we like it or not, some of the people we send there in good faith end up looking after their personal interests,” said the leader.
“And when the executive points to its responsibility to the shareholder, there is immediate fallout.”
The budget has shown this year that the government’s exposure in relation to the debt guarantees for state-owned enterprises was around R461 billion – R350bn of which was for Eskom alone.
Eskom’s own estimates point out that load shedding cost the fiscus between R20bn and R80bn per month.
And since February 2012, when the turbulence hit and SAA said it needed between R4bn and R6bn for its recapitalisation programme, the state granted a R30bn cash injection to the airline, with hopes that it would get back on course.
Then there is PetroSA, whose expected R15bn loss in the current financial year emerged in the Western Cape High Court drama this past week.
Suspended chief financial officer Lindiwe MthimunyeBakoro brought an urgent application to have two of the company’s board meetings in which directors voted in favour of her suspension, as well as