ONE FREE TRADE DEAL AFTER ANOTHER:

WTO Accord Outlook Improves as U.S., EU, Brazil Agree (Bloomberg, 7/29/04)

The U.S., European Union, Australia, Brazil and India agreed for the first time on cuts in farm aid by industrial nations, raising the chances they will rescue a round of global trade talks they aim to complete next year.

The World Trade Organization's 147 members, meeting in Geneva, have given themselves until midnight tomorrow to settle on a plan for a trade accord slashing tariffs and export subsidies. The U.S., EU, Brazil, Australia and India represent a cross- section of rich, developing and poor farming nations.

"If there was no meeting of minds among the five, it would be next to impossible to see how you could have a meeting of minds among the broader conference,'' said John Weekes, a senior policy adviser at law firm Sidley Austin Brown & Wood and former Canadian ambassador to the WTO. "There's some room for optimism, but time is so short.''

The World Bank says a trade accord could add $500 billion to the world economy, help pull 140 million people out of poverty and add $350 billion to developing countries' annual incomes by 2015 by allowing them to increase production and exports. Executives from companies including Microsoft Corp. and Nestle SA urged leaders to back the talks at a June meeting in Marrakech.