New Zealand Trade Minister Phil Goff said Monday the World Trade Organization (WTO) talks in Geneva "are at a crisis point," and solution is needed to avoid it.

According to a government press release, Goff made the remarks in Geneva where he spent this weekend as one of 32 trade ministers invited to participate in "Green Room" talks.

WTO Director-General Pascal Lamy has declared that the talks face a crisis, with the Unites States, the European Union and the big developing countries unable to agree on key issues.

Unless the key parties can find a way around the stalemate, the time left to complete the round before the expiry of the Trade Promotion Authority will run out.

Goff said disagreements exist around the appropriate level of tariff cuts to allow market access for agricultural and non- agricultural goods, and the level of cuts proposed for domestic subsidies on agriculture in the United States.

"No one is prepared to contemplate the consequences of failure of the round. It would hugely damage the multilateral trade system. It would deny the development opportunities which the Round promises the third world and prevent the growth in employment and living standards overall which trade liberalization promotes," said Goff.

He said New Zealand has continued and will continue to play a constructive role in helping find a solution, particularly on agriculture where New Zealand chairs the Agriculture Negotiating Committee.

"Along with others, we have a big stake in a successful outcome from the talks. While we want an ambitious outcome in cutting subsidies and trade constraints, we recognize that flexibility as well as political will are essential in achieving an outcome from the Round," said Goff.

Source: Xinhua