With member countries sticking to their positions, the ongoing crucial World Trade Organisation talks are hanging in balance even as its Director General Pascal Lamy warned that the time is running out to finalise the deal.

"The next 24 hours are very crucial for the talks as time is running out," Lamy told trade ministers at the informal trade negotiating committee meeting.

A senior Indian official involved in the negotiations, said, "By tonight the picture would be clear whether we are staying back or going home."

Commerce and Industry Minister Kamal Nath said, "We are inching, not jumping. We are hoping that we would be able to move even further. Tomorrow, the smaller groups will be meeting and then the greenroom will meet at night."

Earlier, Nath had raised the issue of protecting the industries in developing nations and said that poor countries need tariffs.

He also said that the US must offer 'real' cuts in subsidy to its farmers and its proposal to reduce the doles was not in line with the current food prices.

The US had recently made an offer to reduce its overall trade distorting subsidy to $15 billion.

"It is hardly an offer when their applied duty subsidy is $7 billion, Nath told reporters.

He said the US offer is 'not commensurate with current food prices'. Developed countries have to put something on the table and not 'look into the pockets of the developing countries', he said.

The US has been making a strong demand on the large and emerging economies like India, China, Brazil and South Africa to give their manufacturers market by reducing tariff in return for reduction in American farm subsidies.

Nath did not agree with the contention. "Tariffs are not distortions, subsidies are distortions. Tariffs protect trade and raise revenue," he said.

Meanwhile, Brazilian Minister Celso Amorim also said so far there has been no breakthrough. Engagement time is running out.

"There is not much time left but of course there is the limitation of physical fitness," Amorim added.

He said while the negotiators would still be trying today to make some breakthrough. "But I think today is the day we must know, whether it is possible or not."

USTR Susan Schwab said it was another long day (yesterday). "I could not tell you what day of the week it is. The US came here to make a deal. We will continue to stretch, give our share. There was some progress in the small room, not nearly as we had hoped. Tomorrow we will see whether everybody is prepared to do their share."

Commerce Minister Kamal Nath is surrounded by the press as he leaves the World Trade Organisation talks at the WTO headquarters in Geneva. | Photograph: Fabrice Coffrini/AFP/Getty Images