Talks led by the World Trade Organization in Yaoundé ended without agreement after days of intense negotiations, highlighting deep divisions between member countries.
At the heart of the failure were disagreements on key issues like trade reform, agriculture, and especially the renewal of a long-standing rule that prevents countries from taxing digital trade.
One major setback was the collapse of the e-commerce agreement. Since 1998, WTO members have avoided placing customs duties on digital products like e-books, music, and online services. This rule has now expired because countries could not agree on extending it.
Ngozi Okonjo-Iweala said negotiators had worked hard, and at one point, a minimal agreement seemed close. But last-minute disagreements—particularly involving Brazil—blocked the deal. Brazil pushed back due to frustration over slow progress in agriculture talks, a long-standing and sensitive issue.
The United States had wanted a longer or even permanent extension of the digital trade rule, while countries like India opposed it, worrying about losing potential tax income.
These talks took place during a period of global economic uncertainty and rising geopolitical tensions, making agreement even harder. The WTO, which operates by consensus among its 166 members, has struggled for years to reach major deals.
Although the moratorium has now lapsed, this does not mean countries will immediately start taxing digital trade—they can still choose individually to keep things duty-free.
Overall, the outcome shows how difficult it has become for the WTO to find common ground, raising questions about its future role in managing global trade.
Source: Africa News
