www.thebangladeshtoday.com/archive/June%2008/20-06-2008 -
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Published on: 6/20/2008
Last Visited: 6/24/2008
OECD secretary-general Angel Gurria expressed concern Thursday at a "protectionist mood" in the US Congress, saying it could threaten planned trade pacts with South Korea and other countries.
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"There is a protectionist mood which worries us," Gurria told reporters."This mood was accentuated in the (presidential primary) campaign. "Now, people say a lot of things in campaigns but still it was a leitmotif-it came back all the time." Gurria said he does not believe recent street protests in Seoul against the resumption of US beef imports endanger the separate and wider FTA. He called the FTA deal important for both countries, adding: "I don't think anyone is going to let this drop." But he cautioned that it would be necessary to watch events in Congress. Gurria said speeches to audiences who fear the loss of factory jobs could win votes."The problem is, of course, that this comes back to haunt you because people say, what are you going to do about it?" The head of the Organisation for Economic Cooperation and Development said he hoped Congress would ratify trade pacts with Korea and other countries.He also urged a successful end to the Doha round of world trade liberalisation talks."If we cannot do Doha, it will be very difficult to do climate change or the fight against poverty, or deal with energy in a more efficient way." The Doha deal was "a very good way of helping developing countries," he said, but cautioned that in general: "Too many people are succumbing to temptation of an easy speech against free trade." Gurria, visiting South Korea for an OECD conference on the Internet, urged Koreans not to worry excessively at their slowing growth rate.The OECD forecasts growth of 4.3 percent this year, recovering to five percent by 2009. Growth last year was five percent. Gurria said even 4.3 percent was way above the OECD average and Koreans should not "rend their clothes" over the figure. "Korea has had a good ride ...I think they got the diagnosis right," he said.