A road map on how to reach agreement on stalled World Trade Talks could emerge from Davos after 30 ministers from 26 countries decided to hold an informal summit at the ski resort on Saturday.

There is a sense of momentum building despite deep divisions over farm subsidies and tariffs with President Bush urging a fresh push after meeting Jose Manuel Barroso, President of the European Commission, at the White House earlier this month.

Some WTO negotiators believe that if the talks resume in earnest in the next few weeks, a breakthrough deal on agriculture could be possible by May.

Peter Mandelson, the EU Trade Commissioner, told The Times that there had been secret bilateral talks between US and EU officials since late last year. There is also understood to have been a private trilateral meeting in Washington with Brazil. Mr Mandelson arrived in Davos “cautiously optimistic” that Saturday’s informal summit could put the negotiations back on track.

This outlook is somewhat rosier than Mr Mandelson’s previous position and reflects a resumed dialogue with Susan Schwab, the US trade representative, the EU Trade Commissioner said.

Tony Blair, who will give the closing address at Davos on Saturday, is expected to say that movement on trade positions is vital not only from the US and G20 but also from the EU.

Mr Mandelson said: “I am prepared to move. I have indicated informally to everyone who wants to know that we have flexibility.”

Despite reports that the French are refusing to give Mr Mandelson any more rope to negotiate lower EU tariffs in return for reduced US subsidies, he added: “I negotiate on behalf of all 27 members of the EU who have given me a clear mandate. I will neither exceed it nor will I fall short of it.”

Pascal Lamy, the WTO chief, is understood to have told Ms Schwab earlier this month that a failure by Congress to renew Mr Bush’s Trade Promotion Authority — which expires at the end of June — could be the end of the round. Congress is also due to settle farm subsidy levels in March which could bring a halt to American negotiating flexibility.

The informal WTO session in Davos will include the trade ministers of the US, Brazil, India, Japan, Korea, Australia, Indonesia, Egypt, Canada, Egypt and South Africa.

European business will add its weight today to the clamour to kickstart the stalled Doha Round negotiations when about 40 chief executives will personally endorse the moves to liberalise multilateral trade.

Among them is Martin Broughton, the British Airways chairman and co-chair of the Transatlantic Business Dialogue. He points to the need for “predictable and transparent international trade rules” to help companies manage increasingly global supply chains and business operations.

Other companies whose chief executives have expressed their support include BT, Cadbury Schweppes, British American Tobacco, ABN Amro, Ericsson and DaimlerChrysler.

The initiative is designed to rebut criticism from Mr Mandelson and others that the companies that stand to gain most from easier access to international markets are refusing to lend their support.

The campaign is being co-ordinated by Unice, the European umbrella organisation for national business organisations, which this week changed its name to BusinessEurope, and six other Brussels-based pan-European federations.

They point to the benefits that businesses and consumers will gain from further dismantling of tariff and non-tariff trade barriers, better market access for service industries, simpler customs procedures and improved multilateral rules.

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