One day past the deadline of July 30, the world leaders decided to give WTO a extension. The developed countries apparently promised to get rid of agricultural subsidies, the biggest concession so far. So the european union and US have fallen in line.Though the developmnet is being hailed s big step forward for developing and third world countries, do not jump to conclusions - There is a lot of read between the lines. Apparently the agreement does not talk about any numbers or deadlines. Many subsidies have been excluded - the countercyclical subsidies of USA, the rich can still protect their sensitive, and the pooor their special products. The poorest countries on the other hand have been relieved of the tarrif cuts, another dilution in the agenda.
The saving grace - the deadline for Doha round of negotiations has been extended to next year. More time to persuade people, opportunity to talk to an American president who is not immediately burdened by an election an ofcourse people ready to compromise atleast in principle - the rich countries ready to pay a price for developing markets.
Full analysis in this Economist article
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