The shooting down of Malaysian Airlines Flight MH17 by pro-Russian separatists in Ukraine threatened to derail the meeting of trade ministers of the G20 Group of advanced and emerging economies in Sydney today.

The downing of the airliner killed 298 people, including 28 Australians – one of the largest civilian disasters involving Australians in recent times.

Domestic anger

As domestic anger built over Russia’s perceived role in arming and supporting the separatists, Australian Prime Minister Tony Abbott was under rising domestic pressure to ban Russian President Vladimir Putin from the G20 leaders summit in Brisbane later this year.

On Saturday, Australia attempted to dial back tensions by stating that any such action can only be considered after evaluation Russia’s co-operation. “This is something which has to be considered at the appropriate time,” said Andrew Robb, Australia’s Trade Minister, while briefing media after the summit.

Trade facilitation pact

India provided the only other excitement at the meet, with its threat to not implement the Trade Facilitation Agreement – which faces a July 31 implementation deadline – unless its concerns regarding its food security programme were adequately addressed, had thrown a shadow over whether consensus could be achieved on implementing the measures necessary to boost growth by 2 per cent over five years among the G20 economies.

In the event, Robb said India – represented by Commerce Minister Nirmala Seetharaman here – had “fully committed to the package” an had in turn been assured by all G20 governments that a resolution would be found for the issue of its food purchase programme.

The US and Australia, as well as the EU, have been putting pressure on India for greater access to its agricultural markets and also cutting back on its subsidies, in which they include foodgrain purchases as part of public procurement for the PDS.

But Robb said that the talks had remained centred on ways to promote growth and enhance global trade.“The focus was on global value chains, on ways to create more jobs. There was a reaffirmation of the power of multilater agreements to facilitate this and a commitment to implement the Bali agreement,” Robb stated.

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