In The News

Japan Must Acquire a Taste for Competition

Michiyo Nakamoto August 15, 2008
The Japanese food industry is creative, explains an essay in the Financial Times. But that industry heavily depends on imports. “Contemporary Japan’s rich culinary culture owes as much to the free flow of global trade in agricultural produce as to the creativity of its chefs,” writes journalist Michiyo Nakamoto. About 40 percent of Japanese calories are produced in the country, one of the lowest...

The WTO – Faltering on Its Way to Success?

Edward Gresser August 12, 2008
The recent breakdown in the Doha Round of World Trade Organization negotiations was largely described as “failure” by commentators around the globe. But the goal of eliminating poverty by opening global agriculture markets is ambitious, as negotiators tackled some very sensitive issues. The WTO requires that all 153 member nations reach consensus on any rules, yet despite that challenge, the...

Russia Takes Control of Turkmen (World?) Gas

M.K. Bhadrakumar August 6, 2008
Russia has signed two agreements on gas in Turkmenistan, ensuring Russian control over gas exports from the region. Russia will pay higher market prices for Turkmen gas, notes M.K. Bhadrakumar in an article for Asia Times, and that could reveal a geopolitical rather than money-making strategy. At the same time, China and Russia concluded negotiations on energy cooperation. “Suffice it to say that...

Shipping Costs Start to Crimp Globalization

Larry Rohter August 4, 2008
Manufacturers increasingly sought a competitive edge by subcontracting out work for all manner of parts, from batteries to textiles, to countries with the lowest wages. But that strategy was viable only with low energy costs. Companies trying to keep costs low will move more operations closer to markets to reduce fuel costs, especially for bulky or perishable items like food. “Globe-spanning...

Wave Goodbye to the Invisible Hand

Steven Pearlstein August 4, 2008
An economic era centered around globalization could be fading away, argues columnist Steven Pearlstein for the Washington Post. Developing nations will continue benefiting from trade agreements, albeit without the frenetic fast growth, while developed nations will see fewer cost savings based on low wages in far-off lands. “It is not the protectionists of the AFL-CIO or CNN who are primarily to...

Trade Talks' Failure Weighs on Other Issues

Bob Davis July 31, 2008
The collapse of the Doha trade talks suggest that the motivation for global cooperation is waning. The goal of the Doha round was to eliminate special subsidies and tariffs on agricultural products to boost economies of the world’s poorest nations. WTO rules require that all 153 members reach consensus on such trade decisions. But the emerging economies of China and India looked to protect their...

After 7 Years, Talks on Trade Collapse

Stephen Castle July 30, 2008
In 2001, world leaders set a goal of lifting trade restrictions to improve efficiency and decrease poverty in developing nations – and so the Doha Round of World Trade Organization negotiations began. But over the seven years, the divide between developing and developed nations became more pronounced, and the US, India and China could not agree on measures to protect farmers in developing...