United States Trade Representative Robert B. Zoellick discusses the trade agreement reached during the World Trade Organization's General Council Meeting held at the end of July in Geneva, Switzerland.

How would you characterize the WTO agreement on trade negotiations signed in July?
     The agreement puts the WTO on course to open markets for agriculture, goods and services. The agreement is a crucial step for global trade. After the detour in Cancun, we have put the WTO negotiations back on track. We have laid out a map for the road ahead. Next, we will negotiate the speed limits for how far and how fast we will lower trade barriers.

Why is the Geneva agreement important?
     We have agreed to make historic reforms in global agriculture trade. We have laid out a course to open markets for manufactured goods. We've agreed to intensify negotiations to open services markets. And we are launching negotiations on customs procedures.

What are some of the agricultural trade reforms envisioned in the Geneva framework?
     The complete elimination of agricultural export subsidies, which the United States and others have been seeking for decades. New disciplines on export credits and, for the first time, on state trading enterprises. The preservation of disciplined food aid programs for humanitarian and development needs. A global commitment to harmonize global trade-distorting farm subsidy programs, to ensure that countries with higher subsidies are subject to deeper cuts, a goal long sought by the U.S. to level the playing field with the European Union and Japan.

What does the agreement mean for manufacturers?
     In manufactured products, which account for nearly 60% of all global trade, we have agreed to work toward expanded market access in everything from cars to computers to consumer goods. We'll see broad cuts in tariffs through a formula that would cut higher tariffs faster, supplemented by the possibility of complete elimination of tariffs in key sectors. And we'll undertake new work to address non-tariff barriers.

What about the service sector?
     We've agreed to intensify negotiations to open services markets, which now account for over half of most of our economies, both developed and developing. And importantly, we've made clear that services are on par with agriculture and manufacturing as a "core" market access area.

How about steps toward streamlining the flow of goods and services?
     This is an area that hasn't gotten as much attention, but that I believe will provide tremendous benefits for small businesses. We are launching negotiations on trade facilitation. This means we will seek to cut red tape and reduce the cost of selling into some countries by 5% to 15%. We'll seek expedited customs treatment for express deliveries, and to improve Byzantine customs procedures that cause shipment delays and frustration for small exporters.

More information about the WTO negotiations and the U.S. Trade Representative's office is online at www.ustr.gov