Apec to tackle oil, food prices, Doha stalemate

 The ministers will also address urgent issues such as the food crisis, soaring energy costs and global warming.

The meeting from May 31 to June 1, at the commercial town of Arequipa, Peru, will be crucial to resolving disagreements stemming from farm subsidies by the US and European Union, which have deadlocked the Doha Round.

 Chutima Bunyapraphasara, director-general of the Trade Negotiations Department, said 21 Apec members plan to issue a special text urging all nations to salvage a deal that can alleviate the current crisis affecting oil, food and the environment.

 "The meeting will call on all countries to immediately address problems such as skyrocketing prices for grains.It urges all to seek a sustainable solution," she said.

 WTO's director general, Pascal Lamy, will be attending, and so too, US Trade Representative, Susan Schwab.

Commerce minister Mingkwan Sangsuwan will lead the Thai delegation.

 Chutima said Apec will call on major players to reassess their stances to revive the Doha Round and reach a quick settlement.

Doha has been delayed for six years since it fell short of a consensus after the EU and US refused to cut subsidies - while Brazil and India stalled on calls to reduce tariffs on industrial goods.

With the latest push, the issue may be taken up at a WTO ministerial meeting later this year.

 Previously in Geneva, Lamy issued a text to call a ministerial meeting of core members in June to bridge the gap between nations.

 In addition, the regional Free Trade Agreement of the Asia Pacific (FTAAP) will be a top issue on the agenda at Apec.

Setting up a large FTA should be a long-term goal as members must conduct a feasibility study before commencing detailed talks, Chutima said.

Other issues to be discussed include the revision of a trade action plan, to which all members are committed to cut transaction costs by another 5 per cent within 2010, after an earlier 5 per cent cut in 2006.

Members are also expected to issue an investment action plan to stimulate the economies of the member states.