U.S. Trade Representative Rob Portman conveyed deep concern over global trade talks on the so-called Doha Round after two days of talks, saying that the European Union's failure to propose a new offer on tariff cuts to open market access could potentially derail talks.

"The failure of the EU to put a real market access proposal forward puts Doha at risk," said Portman, in a conference call with reporters from Geneva. "What is more disconcerting to us, probably, was the lack of a concern about the time crunch that we face. There was not only a lack of proposal but a seeming lack of urgency despite the fact that we are facing this deadline in Hong Kong."

With only 54 days left till the eminent Hong Kong ministerial conference, world trade ministers from the five interested parties, which include the United States, the European Union, India, Brazil and Australia, have been meeting regularly to conclude talks on the remaining agriculture negotiations which comprise of three pillars: domestic support, export competition and market access.

The United States broke an impasse in agriculture talks last week when it announced its proposal in Zurich. The U.S. plan promised to conditionally cut U.S. domestic farm support by 60 percent, capping farm spending at $7.6 billion, if other nations would improve market access and eliminate trade-distorting subsidies and tariffs. The proposal also called for a tariff reduction for developed countries, which would range from 55 percent to 90 percent depending on current tariff rates.

While the U.S. proposal called for the European Union to cut its domestic support by 83 percent, rendering its annual cap at $15 billion, EU negotiators said that it would only cap its spending at 70 percent.

Portman said that it was vital for a breakthrough in agriculture talks if there was any chance of a successful round in Hong Kong.

"There the responsibility at this point rests squarely with the European Union and their ability to come forward with a proposal that is meaningful and credible on market access," said Portman, in a news conference earlier in Geneva.

However, European Trade Commissioner Peter Mandelson's ability to negotiate has been stymied this week with strong concerns voiced by the French government for going beyond the mandate of negotiations. Nicolas Sarkozy, France's interior minister, said in an article in Les Echos Thursday that Mandelson was "putting in danger the European interests of which he is the guardian."

Despite Mandelson's backing by EU foreign ministers this week to continue with negotiations, the French government has continued to argue that the trade chief cannot keep agriculture at the forefront of negotiations and instead should focus discussions on services, non-agriculture market access and rules.

The French agriculture ministry said Wednesday night that it could not accept that Mandelson "in any way whatsoever could raise farm trade in talks this week."

Mandelson conveyed in a letter to trade ministers that member states would not back him unless the focus shifted outside of agriculture talks.

"If this situation continues, it will make it impossible for the EU to move further on agriculture because it will be impossible to persuade a different number of our member states to do so," Mandelson's letter said, obtained by the Financial Times.

The United States, who has been working with the European Union shoulder-to-shoulder on vital commercial interests like reducing industrial tariffs, said that agriculture talks were at the centerpiece of negotiations.

"The problem is that this round from its inception has had agriculture at its centerpiece. The EU and the U.S. and other WTO members cannot wish that away, that is a reality," said Portman.

Addressing concerns made by Mandelson, Portman said that all members of the WTO were facing domestic political pressure, including the United States.

"I know the EU has been through a series of internal conversations with their member states. I'm sure those pressures are very real that they face. I will tell you, every WTO member faces pressures," said Portman. "Certainly we do and we have...So while I do empathize with their situation, I must say that we all face domestic pressure, for all of us."

According to Portman, trade ministers agreed that the European Union would put forth a proposal next week.

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