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WTO ANALYTICAL INDEX: MARRAKESH AGREEMENT Marrakesh Agreement Establishing the World Trade Organization |
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> Preamble |
The Parties to this Agreement,
Recognizing that their relations in the field of trade and economic endeavour should be conducted with a view to raising standards of living, ensuring full employment and a large and steadily growing volume of real income and effective demand, and expanding the production of and trade in goods and services, while allowing for the optimal use of the world's resources in accordance with the objective of sustainable development, seeking both to protect and preserve the environment and to enhance the means for doing so in a manner consistent with their respective needs and concerns at different levels of economic development.
Recognizing further that there is a need for positive efforts designed to ensure that developing countries, and especially the least developed among them, secure a share in the growth of international trade commensurate with the needs of their economic development,
Being desirous of contributing to these objectives by entering into reciprocal and mutually advantageous arrangements directed to the substantial reduction of tariffs and other barriers to trade and to the eliminations of discriminatory treatment in international trade relations,
Resolved, therefore, to develop an integrated, more viable and durable multilateral trading system encompassing the General Agreement on Tariffs and Trade, the results of past liberalization efforts, and all of the results of the Uruguay Round of Multilateral Trade Negotiations,
Determined to preserve the basic principles and to further the objectives underlying this multilateral trading system,
Agree as follows: 1. Legal relevance of Preamble 1. The Appellate Body in US - Gasoline emphasized the importance of the Preamble in the context of environmental issues: "Indeed, in the preamble to the WTO Agreement and in the Decision on Trade and Environment, there is specific acknowledgement to be found about the importance of coordinating policies on trade and the environment. WTO Members have a large measure of autonomy to determine their own policies on the environment (including its relationship with trade), their environmental objectives and the environmental legislation they enact and implement. So far as concerns the WTO, that autonomy is circumscribed only by the need to respect the requirements of the General Agreement and the other covered agreements."(1) 2. The Appellate Body report in Brazil - Desiccated Coconut invoked the Preamble in the context of the integrated WTO system that replaced the old GATT 1947: "The authors of the new WTO regime intended to put an end to the fragmentation that had characterized the previous system. This can be seen from the preamble to the WTO Agreement which states, in pertinent part:
Resolved, therefore, to develop an integrated, more viable and durable multilateral trading system encompassing the General Agreement on Tariffs and Trade, the results of past trade liberalization efforts, and all of the results of the Uruguay Round of Multilateral Trade Negotiations."(2) 3. For the purpose of interpreting the meaning of "exhaustible natural resources" in paragraph (g) of Article XX of GATT in US - Shrimp, the Appellate Body discussed the meaning of the preamble: "The words of Article XX(g), 'exhaustible natural resources', were actually crafted more than 50 years ago. They must be read by a treaty interpreter in the light of contemporary concerns of the community of nations about the protection and conservation of the environment. While Article XX was not modified in the Uruguay Round, the preamble attached to the WTO Agreement shows that the signatories to that Agreement were, in 1994, fully aware of the importance and legitimacy of environmental protection as a goal of national and international policy. The preamble of the WTO Agreement - which informs not only the GATT 1994, but also the other covered agreements - explicitly acknowledges 'the objective of sustainable development':
'The Parties to this Agreement,
Recognizing that their relations in the field of trade and economic endeavour should be conducted with a view to raising standards of living, ensuring full employment and a large and steadily growing volume of real income and effective demand, and expanding the production of and trade in goods and services, while allowing for the optimal use of the world's resources in accordance with the objective of sustainable development, seeking both to protect and preserve the environment and to enhance the means for doing so in a manner consistent with their respective needs and concerns at different levels of economic development, ....' (emphasis added)
From the perspective embodied in the preamble of the WTO Agreement, we note that the generic term 'natural resources' in Article XX(g) is not 'static' in its content or reference but is rather 'by definition, evolutionary'. ...
Given the recent acknowledgement by the international community of the importance of concerted bilateral or multilateral action to protect living natural resources, and recalling the explicit recognition by WTO Members of the objective of sustainable development in the preamble of the WTO Agreement, we believe it is too late in the day to suppose that Article XX(g) of the GATT 1994 may be read as referring only to the conservation of exhaustible mineral or other non-living natural resources."(3) 4. On this topic, the Appellate Body further stated: "At the end of the Uruguay Round, negotiators fashioned an appropriate preamble for the new WTO Agreement, which strengthened the multilateral trading system by establishing an international organization, inter alia, to facilitate the implementation, administration and operation, and to further the objectives, of that Agreement and the other agreements resulting from that Round. In recognition of the importance of continuity with the previous GATT system, negotiators used the preamble of the GATT 1947 as the template for the preamble of the new WTO Agreement. Those negotiators evidently believed, however, that the objective of 'full use of the resources of the world' set forth in the preamble of the GATT 1947 was no longer appropriate to the world trading system of the 1990's. As a result, they decided to qualify the original objectives of the GATT 1947 with the following words:
... while allowing for the optimal use of the world's resources in accordance with the objective of sustainable development, seeking both to protect and preserve the environment and to enhance the means for doing so in a manner consistent with their respective needs and concerns at different levels of economic development, ...'
We note once more that this language demonstrates a recognition by WTO negotiators that optimal use of the world's resources should be made in accordance with the objective of sustainable development. As this preambular language reflects the intentions of negotiators of the WTO Agreement, we believe it must add colour, texture and shading to our interpretation of the agreements annexed to the WTO Agreement, in this case, the GATT 1994. We have already observed that Article XX(g) of the GATT 1994 is appropriately read with the perspective embodied in the above preamble...' .
It is proper for us to take into account, as part of the context of the chapeau, the specific language of the preamble to the WTO Agreement, which, we have said, gives colour, texture and shading to the rights and obligations of Members under the WTO Agreement, generally, and under the GATT 1994, in particular."(4) 5. The Panel in India - Quantitative Restrictions invoked the Preamble in the context of the need to address the concerns of developing countries: "At the outset, we recall that the Preamble to the WTO Agreement recognizes both (i) the desirability of expanding international trade in goods and services and (ii) the need for positive efforts designed to ensure that developing countries secure a share in international trade commensurate with the needs of their economic development. In implementing these goals, WTO rules promote trade liberalization, but recognize the need for specific exceptions from the general rules to address special concerns, including those of developing countries."(5) 6. The Panel in Turkey - Textiles referred to the Preamble in the context of the discussion regarding Article XXIV GATT: "At the conclusion of the Uruguay Round Members reiterated the same general objective and principles in the GATT 1994 Understanding on Article XXIV:
'Reaffirming that the purpose of such agreements should be to facilitate trade between the constituent territories and not to raise barriers to the trade of other Members with such territories; and that in their formation or enlargement the parties to them should to the greatest possible extent avoid creating adverse effects on the trade of other Members;'
and in the Preamble to the WTO Agreement:
'Being desirous of contributing to these objectives by entering into reciprocal and mutually advantageous arrangements directed to the substantial reduction of tariffs and other barriers to trade and to the elimination of discriminatory treatment in international commerce ...' (emphasis added)
We also recall the Singapore Ministerial Declaration:
'7. ... We reaffirm the primacy of the multilateral trading system, which includes a framework for the development of regional trade agreements, and we renew our commitment to ensure that regional trade agreements are complementary to it and consistent with its rules'
From the above cited provisions, we draw two general conclusions for the present case. Firstly, the objectives of regional trade agreements and those of the GATT and the WTO have always been complementary, and therefore should be interpreted consistently with one another, with a view to increasing trade and not to raising barriers to trade, thereby arguing against an interpretation that would allow, on the occasion of the formation of a customs union, for the introduction of quantitative restrictions. Secondly, we read in these parallel objectives a recognition that the provisions of Article XXIV (together with those of the GATT 1994 Understanding on Article XXIV) do not constitute a shield from other GATT/WTO prohibitions, or a justification for the introduction of measures which are considered generally to be ipso facto incompatible with GATT/WTO. In our view the provisions of Article XXIV on regional trade agreements cannot be considered to exempt constituent members of a customs union from the primacy of the WTO rules."(6) 7. The Panel in Brazil - Aircraft referred to the Preamble in the context of the WTO's concern with the interests of developing countries: "The preamble to the WTO Agreement recognises
'that there is need for positive efforts designed to ensure that developing countries, and especially the least-developed among them, secure a share in the growth in international trade commensurate with the needs of their economic development.'
This overarching concern of the WTO Agreement finds ample reflection in the SCM Agreement. Article 27 of that Agreement recognizes that 'subsidies may play an important role in economic development programmes of developing country Members' and provides substantial special and differential treatment for developing countries, including in respect of export subsidies."(7) 8. In Singapore, the Ministerial Conference emphasized the importance of the Preamble in the Declaration adopted on 13 December 1996: "For nearly 50 years Members have sought to fulfil, first in the GATT and now in the WTO, the objectives reflected in the preamble to the WTO Agreement of conducting our trade relations with a view to raising standards of living worldwide."(8)
II. Article I back to top Article I: Establishment of the Organization The World Trade Organization (hereinafter referred to as "the WTO") is hereby established. 9. The World Trade Organization (WTO) was established with the conclusion of the Uruguay Round of multilateral trade negotiations and came into effect on 1 January 1995. The name "World Trade Organization" was established at the meeting of the Trade Negotiating Committee on 15 December 1993.(9) 10. The World Trade Organization and the World Tourism Organization reached an agreement in order to avoid confusion with respect to the use of the acronym "WTO". According to this agreement, the World Trade Organization will use a distinct logo and will avoid using the acronym in the context of tourism services. The agreement further provides for cooperation between the Secretariats of the two organization on practical issues arising in this context."(10)
III. Article II back to top Article II: Scope of the WTO 1. The WTO shall provide the common institutional framework for the conduct of trade relations among its Members in matters related to the agreements and associated legal instruments included in the Annexes to this Agreement.
2. The agreements and associated legal instruments included in Annexes 1, 2 and 3 (hereinafter referred to as "Multilateral Trade Agreements") are integral parts of this Agreement, binding on all Members.
3. The agreements and associated legal instruments included in Annex 4 (hereinafter referred to as "Plurilateral Trade Agreements") are also part of this Agreement for those Members that have accepted them, and are binding on those Members. The Plurilateral Trade Agreements do not create either obligations or rights for Members that have not accepted them.
4. The General Agreement on Tariffs and Trade 1994 as specified in Annex 1A (hereinafter referred to as "GATT 1994") is legally distinct from the General Agreement on Tariffs and Trade, dated 30 October 1947, annexed to the Final Act Adopted at the Conclusion of the Second Session of the Preparatory Committee of the United Nations Conference on Trade and Employment, as subsequently rectified, amended or modified (hereinafter referred to as "GATT 1947"). No jurisprudence or decision of a competent WTO body. 11. In Brazil - Desiccated Coconut, the Appellate Body referred to Articles II:2 and II:4 and Annex 1A of the WTO Agreement, as well as the DSU to illustrate the "single undertaking" nature of the WTO Agreement.(11) It also stated that "[t]he single undertaking is further reflected in the provisions of the WTO Agreement dealing with original membership, accession, non-application of the Multilateral Trade Agreements between particular Members, acceptance of the WTO Agreement, and withdrawal from it.(12) Within this framework, all WTO Members are bound by all the rights and obligations in the WTO Agreement and its Annexes 1, 2 and 3."(13) 12. In Argentina - Footwear (EC), the Appellate Body also referred to Articles II:2 and II:4 of the WTO Agreement as a basis for the following finding: "The GATT 1994 and the Agreement on Safeguards are both Multilateral Agreements on Trade in Goods contained in Annex 1A of the WTO Agreement, and, as such, are both 'integral parts' of the same treaty, the WTO Agreement, that are 'binding on all Members'.(14) Therefore, the provisions of Article XIX of the GATT 1994 and the provisions of the Agreement on Safeguards are all provisions of one treaty, the WTO Agreement. They entered into force as part of that treaty at the same time. They apply equally and are equally binding on all WTO Members. And, as these provisions relate to the same thing, namely the application by Members of safeguard measures, the Panel was correct in saying that 'Article XIX of GATT and the Safeguards Agreement must a fortiori be read as representing an inseparable package of rights and disciplines which have to be considered in conjunction.' Yet a treaty interpreter must read all applicable provisions of a treaty in a way that gives meaning to all of them, harmoniously.(15) And, an appropriate reading of this 'inseparable package of rights and disciplines' must, accordingly, be one that gives meaning to all the relevant provisions of these two equally binding agreements."(16) No jurisprudence or decision of a competent WTO body. 13. Reference is made to Article II:4 in Brazil - Desiccated Coconut and Argentina - Footwear (EC). See paragraphs 11-12 above.
IV. Article III back to top Article III: Functions of the WTO 1. The WTO shall facilitate the implementation, administration and operation, and further the objectives, of this Agreement and of the Multilateral Trade Agreements, and shall also provide the framework for the implementation, administration and operation of the Plurilateral Trade Agreements.
2. The WTO shall provide the forum for negotiations among its Members concerning their multilateral trade relations in matters dealt with under the agreements in the Annexes to this Agreement. The WTO may also provide a forum for further negotiations among its Members concerning their multilateral trade relations, and a framework for the implementation of the results of such negotiations, as may be decided by the Ministerial Conference.
3. The WTO shall administer the Understanding on Rules and Procedures Governing the Settlement of Disputes (hereinafter referred to as the "Dispute Settlement Understanding" or "DSU") in Annex 2 to this Agreement.
4. The WTO shall administer the Trade Policy Review Mechanism (hereinafter referred to as the "TPRM") provided for in Annex 3 to this Agreement.
5. With a view to achieving greater coherence in global economic policy-making,(17) the WTO shall cooperate, as appropriate, with the International Monetary Fund and with the International Bank for Reconstruction and Development and its affiliated agencies.(18) 14. With respect to the implementation, administration and operation of the Multilateral Trade Agreements, see the Chapters on relevant WTO Agreements. (a) "forum for further negotiations among its Members concerning their multilateral trade relations" 15. At the 1998 Geneva Ministerial Conference, Ministers adopted several recommendations to put before the General Council as a part of their declaration: "We recall that the Marrakesh Agreement Establishing the World Trade Organization states that the WTO shall provide the forum for negotiations among its Members concerning their multilateral trade relations in matters dealt with under the agreements in the Annexes to the Agreement, and that it may also provide a forum for further negotiations among its Members concerning their multilateral trade relations, and a framework for the implementation of the results of such negotiations, as may be decided by the Ministerial Conference. In the light of paragraphs 1-8 above, we decide that a process will be established under the direction of the General Council to ensure full and faithful implementation of existing agreements, and to prepare for the Third Session of the Ministerial Conference. This process shall enable the General Council to submit recommendations regarding the WTO's work programme, including further liberalization sufficiently broad-based to respond to the range of interests and concerns of all Members, within the WTO framework, that will enable us to take decisions at the Third Session of the Ministerial Conference. In this regard, the General Council will meet in special session in September 1998 and periodically thereafter to ensure full and timely completion of its work, fully respecting the principle of decision-making by consensus. The General Council's work programme shall encompass the following:
(a) recommendations concerning:
(i) the issues, including those brought forward by Members, relating to implementation of existing agreements and decisions;
(ii) the negotiations already mandated at Marrakesh, to ensure that such negotiations begin on schedule;
(iii) future work already provided for under other existing agreements and decisions taken at Marrakesh;
(b) recommendations concerning other possible future work on the basis of the work programme initiated at Singapore;
(c) recommendations on the follow-up to the High-Level Meeting on Least-Developed Countries;
(d) recommendations arising from consideration of other matters proposed and agreed to by Members concerning their multilateral trade relations.
The General Council will also submit to the Third Session of the Ministerial Conference, on the basis of consensus, recommendations for decision concerning the further organization and management of the work programme arising from the above, including the scope, structure and time-frames, that will ensure that the work programme is begun and concluded expeditiously.
The above work programme shall be aimed at achieving overall balance of interests of all Members."(19) 16. In the November 2001 Declaration of the Fourth Ministerial Conference in Doha, Qatar, Members adopted a decision to launch a new round of negotiations, known as the "Doha Round". The Doha Declaration provides the mandate for negotiations on a range of subjects and other work, including issues concerning the implementation of the present Agreements. 17. The 2001 Ministerial Conference in Doha launched a comprehensive new round of negotiations. The main Ministerial Declaration(20), referred to as the Doha Declaration, provided the general guidelines for the organization of this Round, in the various fields Members agreed to negotiate. In addition to the Doha Declaration, the Ministerial Conference adopted the following relevant documents:
18. The Doha Declaration comprises a "Work Programme"(27), which sets out the legal parameters within which negotiations on the topics agreed by the WTO Members are conducted. The Doha Declaration also makes reference to the provisions that govern the organization and management of the Work Programme.(28) The development-related issues in the Work Programme are known as the "Doha Development Agenda". (i) Organization and management of the Work Programme 19. The provisions concerning the "Organization and Management of the Work Programme" are included in paragraphs 44-52 of the Doha Declaration. They can be summarized in the following terms: Timetable 20. The Doha Declaration set 1 January 2005 as the deadline for the conclusion of the Round. However, it stated that the review of the Dispute Settlement Understanding should be completed no later than May 2003.(29) The Declaration also determined that Members should take stock of the progress made in the negotiations and take decisions as necessary at the Fifth Ministerial Conference: "The negotiations to be pursued under the terms of this Declaration shall be concluded not later than 1 January 2005. The Fifth Session of the Ministerial Conference will take stock of progress in the negotiations, provide any necessary political guidance, and take decisions as necessary. When the results of the negotiations in all areas have been established, a Special Session of the Ministerial Conference will be held to take decisions regarding the adoption and implementation of those results."(30) 21. As regards the single undertaking principle by which all negotiations, except those under the Dispute Settlement Understanding, are conducted, see paragraph 23 below. Overall conduct of the negotiations by the Trade Negotiations Committee 22. In order to supervise the work of the various topics under negotiation in the Doha Round, the Doha Declaration provided that the overall conduct of the negotiations should be supervised by a Trade Negotiations Committee (see paragraphs 70-72 below) under the authority of the General Council: "The overall conduct of the negotiations shall be supervised by a Trade Negotiations Committee under the authority of the General Council. The Trade Negotiations Committee shall hold its first meeting not later than 31 January 2002. It shall establish appropriate negotiating mechanisms as required and supervise the progress of the negotiations."(31) Single undertaking 23. The Doha Declaration included a very comprehensive agenda which encompassed negotiations of several issues throughout the various agreements of the WTO. Despite the diversity of topics on the table, virtually every item of the negotiation is part of a whole and indivisible package with the same deadline, 1 January 2005 (see paragraph 20 above) and cannot be agreed separately. In other words: "nothing is agreed until everything is agreed". The exception to this principle is the review of the Dispute Settlement Understanding, where the shorter time-frame of May 2003 for the conclusion of the negotiations was envisaged.(32) In this regard, the Doha Declaration provided as follows: "With the exception of the improvements and clarifications of the Dispute Settlement Understanding, the conduct, conclusion and entry into force of the outcome of the negotiations shall be treated as parts of a single undertaking. However, agreements reached at an early stage may be implemented on a provisional or a definitive basis. Early agreements shall be taken into account in assessing the overall balance of the negotiations."(33) Participation 24. The Doha Declaration established that the negotiations in the Doha Round are open to all WTO Members and to observer governments of States and separate customs territories currently in the process of accession, negotiating or intending to negotiate membership. However, decisions on the outcome of the negotiations can only be taken by Members.(34) Transparency 25. The Doha Declaration called for the negotiations to be "conducted in a transparent manner ... with a view to ensuring benefits to all participants and to achieving an overall balance in the outcome of the negotiations":(35) Special and differential treatment 26. The Doha Declaration specifically provided that the negotiations have to take special account of the principle of special and differential treatment for developing and least developed countries embodied in numerous WTO provisions. "The negotiations and the other aspects of the Work Programme shall take fully into account the principle of special and differential treatment for developing and least-developed countries embodied in: Part IV of the GATT 1994; the Decision of 28 November 1979 on Differential and More Favourable Treatment, Reciprocity and Fuller Participation of Developing Countries; the Uruguay Round Decision on Measures in Favour of Least-Developed Countries; and all other relevant WTO provisions."(36) Sustainable development 27. The Doha Declaration established that the Committees on Trade and Development and on Trade and Environment would act as fora to identify and debate developmental and environmental aspects of the negotiations, in order to ensure that concerns regarding sustainable development were appropriately reflected: "The Committee on Trade and Development and the Committee on Trade and Environment shall, within their respective mandates, each act as a forum to identify and debate developmental and environmental aspects of the negotiations, in order to help achieve the objective of having sustainable development appropriately reflected."(37) (ii) Scope of the negotiations: the Work Programme of the Doha Declaration 28. The Doha Declaration established a Work Programme(38) to organize the manner in which the multiple negotiations would be conducted throughout the Doha Round. Accordingly, the Work Programme lays out the specific mandate, legal references, timetables, forum, and other relevant information to provide Members with a basic framework for negotiations in each subject covered by the Doha Round. 29. For an overview of the topics included in the Work Programme of the Doha Declaration see paragraphs 31-68 below and for more details on the negotiations and the negotiating bodies on each topic, see paragraphs 69-91 below. 30. In addition to the topics incorporated in the Work Programme, the Doha Declaration also mentioned the areas not subject to specific negotiations. These topics for which Members did not agree upon a specific mandate for negotiations under the Doha Declaration are nevertheless accorded a high priority. The Doha Declaration provided for the General Council to report on their progress to the Fifth Ministerial Conference in 2003 "Those elements of the Work Programme which do not involve negotiations are also accorded a high priority. They shall be pursued under the overall supervision of the General Council, which shall report on progress to the Fifth Session of the Ministerial Conference"(39) Decision on Implementation-related Issues and Concerns 31. As indicated in paragraphs 16-17 above, the Doha Ministerial Conference adopted a Decision on "Implementation-related Issues and Concerns"(40), which refers to the problems developing countries face in implementing the WTO agreements. Ministers agreed to clarify the obligations of developing country Members with respect to, amongst others, specific issues on agriculture, subsidies, textiles and clothing, technical barriers to trade, trade-related investment measures, rules of origin, sanitary and phytosanitary measures, anti-dumping, valuation for customs purposes, subsidies and intellectual property. 32. The Doha Declaration designed a two-track approach for these implementation issues:(41) (a) certain agreed topics would be addressed under the specific negotiating mandate of the Doha Declaration; and (b) the other outstanding implementation issues that were not the subject of a specific mandate, would be addressed as a matter of priority by the relevant WTO bodies.(42) Ministers also agreed in the Doha Declaration that the outstanding implementation issues should be an integral part of the Work Programme in the coming years: "We attach the utmost importance to the implementation-related issues and concerns raised by Members and are determined to find appropriate solutions to them. In this connection, and having regard to the General Council Decisions of 3 May and 15 December 2000, we further adopt the Decision on Implementation-Related Issues and Concerns in document WT/MIN(01)/17 to address a number of implementation problems faced by Members. We agree that negotiations on outstanding implementation issues shall be an integral part of the Work Programme we are establishing, and that agreements reached at an early stage in these negotiations shall be treated in accordance with the provisions of paragraph 47 below. In this regard, we shall proceed as follows: (a) where we provide a specific negotiating mandate in this Declaration, the relevant implementation issues shall be addressed under that mandate; (b) the other outstanding implementation issues shall be addressed as a matter of priority by the relevant WTO bodies, which shall report to the Trade Negotiations Committee, established under paragraph 46 below, by the end of 2002 for appropriate action."(43) (44) Negotiations on agriculture 33. Negotiations on agriculture had already began in early 2000 under the mandate established by Article 20 of the Agriculture Agreement. The work already undertaken was recognized by the Doha Declaration, paragraph 13, which provided a new mandate for WTO Members to continue the negotiations. Agriculture is part of the single undertaking for which the deadline for negotiations is 1 January 2005.(45) 34. The Doha Declaration reconfirmed the long-term objective stated in the WTO Agreement: to establish a fair and market-oriented trading system through a programme of fundamental reform. The purpose of the negotiations is to correct and prevent restrictions and distortions in world agricultural markets. In this sense, and without prejudging any outcomes, Member governments committed themselves to comprehensive negotiations aimed at:(46)
35. In the Doha Declaration, Members agreed that special and differential treatment for developing countries shall be an integral part of all elements of negotiations. The Doha Declaration also took note of the non-trade concerns (such as environmental protection, food security, rural development, etc) reflected in the negotiating proposals already submitted: "We recognize the work already undertaken in the negotiations initiated in early 2000 under Article 20 of the Agreement on Agriculture, including the large number of negotiating proposals submitted on behalf of a total of 121 Members. We recall the long-term objective referred to in the Agreement to establish a fair and market-oriented trading system through a programme of fundamental reform encompassing strengthened rules and specific commitments on support and protection in order to correct and prevent restrictions and distortions in world agricultural markets. We reconfirm our commitment to this programme. Building on the work carried out to date and without prejudging the outcome of the negotiations we commit ourselves to comprehensive negotiations aimed at: substantial improvements in market access; reductions of, with a view to phasing out, all forms of export subsidies; and substantial reductions in trade-distorting domestic support. We agree that special and differential treatment for developing countries shall be an integral part of all elements of the negotiations and shall be embodied in the Schedules of concessions and commitments and as appropriate in the rules and disciplines to be negotiated, so as to be operationally effective and to enable developing countries to effectively take account of their development needs, including food security and rural development. We take note of the non-trade concerns reflected in the negotiating proposals submitted by Members and confirm that non-trade concerns will be taken into account in the negotiations as provided for in the Agreement on Agriculture.
Modalities for the further commitments, including provisions for special and differential treatment, shall be established no later than 31 March 2003. Participants shall submit their comprehensive draft Schedules based on these modalities no later than the date of the Fifth Session of the Ministerial Conference. The negotiations, including with respect to rules and disciplines and related legal texts, shall be concluded as part and at the date of conclusion of the negotiating agenda as a whole."(47) 36. With respect to agriculture, the Decision on Implementation-Related Issues and Concerns urged Members to exercise restraint in challenging measures notified under the green box(48) by developing countries wishing to promote rural development and adequately address food security concerns.(49) It also referred to the report of the Committee on Agriculture(50) in respect of the Decision on Measures Concerning the Possible Negative Effects of the Reform Programme on Least-Developed and Net Food-Importing Developing Countries, the implementation of Article 10.2 of the Agreement on Agriculture and the administration of tariff rate quotas: "Urges Members to exercise restraint in challenging measures notified under the green box by developing countries to promote rural development and adequately address food security concerns.
Takes note of the report of the Committee on Agriculture (G/AG/11) regarding the implementation of the Decision on Measures Concerning the Possible Negative Effects of the Reform Programme on Least-Developed and Net Food-Importing Developing Countries, and approves the recommendations contained therein regarding (i) food aid; (ii) technical and financial assistance in the context of aid programmes to improve agricultural productivity and infrastructure; (iii) financing normal levels of commercial imports of basic foodstuffs; and (iv) review of follow-up.
Takes note of the report of the Committee on Agriculture (G/AG/11) regarding the implementation of Article 10.2 of the Agreement on Agriculture, and approves the recommendations and reporting requirements contained therein.
Takes note of the report of the Committee on Agriculture (G/AG/11) regarding the administration of tariff rate quotas and the submission by Members of addenda to their notifications, and endorses the decision by the Committee to keep this matter under review."(51) 37. The Trade Negotiations Committee established a Special Session of the Committee on Agriculture as the body responsible for overseeing the negotiations. In this regard, see paragraphs 73-74 below. Negotiations on services 38. The Doha Declaration endorses the work already done by the Council for Trade in Services (see also paragraph 75 below) and reaffirms the "Guidelines and Procedures for the Negotiations adopted by the Council for Trade in Services on 28 March 2001"(52). The Declaration establishes some key elements of the timetable for negotiations including, most importantly, the deadline of 1 January 2005 for the conclusion of the negotiations as part of a single undertaking: "The negotiations on trade in services shall be conducted with a view to promoting the economic growth of all trading partners and the development of developing and least-developed countries. We recognize the work already undertaken in the negotiations, initiated in January 2000 under Article XIX of the General Agreement on Trade in Services, and the large number of proposals submitted by Members on a wide range of sectors and several horizontal issues, as well as on movement of natural persons. We reaffirm the Guidelines and Procedures for the Negotiations adopted by the Council for Trade in Services on 28 March 2001 as the basis for continuing the negotiations, with a view to achieving the objectives of the General Agreement on Trade in Services, as stipulated in the Preamble, Article IV and Article XIX of that Agreement. Participants shall submit initial requests for specific commitments by 30 June 2002 and initial offers by 31 March 2003".(53) Negotiations on market access for non-agricultural products 39. The Doha Declaration launched tariff-cutting negotiations on all non-agricultural products. The objective is to reduce, or as appropriate eliminate tariffs, including the reduction or elimination of tariff peaks, high tariffs, and tariff escalation, as well as non-tariff barriers, in particular on products of export interest to developing countries. These negotiations are to take fully into account the special needs and interests of developing and least developed countries, including through less than full reciprocity in reduction: "We agree to negotiations which shall aim, by modalities to be agreed, to reduce or as appropriate eliminate tariffs, including the reduction or elimination of tariff peaks, high tariffs, and tariff escalation, as well as non-tariff barriers, in particular on products of export interest to developing countries. Product coverage shall be comprehensive and without a priori exclusions. The negotiations shall take fully into account the special needs and interests of developing and least-developed country participants, including through less than full reciprocity in reduction commitments, in accordance with the relevant provisions of Article XXVIII bis of GATT 1994 and the provisions cited in paragraph 50 below. To this end, the modalities to be agreed will include appropriate studies and capacity-building measures to assist least-developed countries to participate effectively in the negotiations."(54) 40. The Trade Negotiations Committee established a Negotiating Group on Market Access as the body responsible for overseeing the negotiations. In this regard, see paragraphs 76-77 below Negotiations on trade-related intellectual property rights 41. The Doha Declaration emphasized the importance attached to the implementation and interpretation of the TRIPS Agreement in a manner supportive of public health: "We stress the importance we attach to implementation and interpretation of the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS Agreement) in a manner supportive of public health, by promoting both access to existing medicines and research and development into new medicines and, in this connection, are adopting a separate Declaration."(55) 42. This issue was also the object of a separate Declaration: "Declaration on the TRIPS Agreement and Public Health".(56) For the text of the Declaration on the TRIPS Agreement and Public Health, see Section LXXVIII of the Chapter on the TRIPS Agreement. 43. With respect to the geographical indications, Members also agreed to negotiate the establishment of a multilateral system of notification and registration of geographical indications for wines and spirits by the time of the Fifth Session of the Ministerial Conference. The debate whether the relevant provisions of the TRIPS Agreement provide a mandate for extending coverage beyond wines and spirits is to be addressed in the Special Session of the Council for TRIPS. See paragraph 12 of the Doha Declaration and also paragraphs 78-79 below: "With a view to completing the work started in the Council for Trade-Related Aspects of Intellectual Property Rights (Council for TRIPS) on the implementation of Article 23.4, we agree to negotiate the establishment of a multilateral system of notification and registration of geographical indications for wines and spirits by the Fifth Session of the Ministerial Conference. We note that issues related to the extension of the protection of geographical indications provided for in Article 23 to products other than wines and spirits will be addressed in the Council for TRIPS pursuant to paragraph 12 of this Declaration.(57) 44. The Decision on Implementation-Related Issues and Concerns has specific provisions for complaints under the TRIPS Agreement and for a mechanism to ensure the monitoring and full implementation of the obligations in question: "The TRIPS Council is directed to continue its examination of the scope and modalities for complaints of the types provided for under subparagraphs 1(b) and 1(c) of Article XXIII of GATT 1994 and make recommendations to the Fifth Session of the Ministerial Conference. It is agreed that, in the meantime, Members will not initiate such complaints under the TRIPS Agreement.
Reaffirming that the provisions of Article 66.2 of the TRIPS Agreement are mandatory, it is agreed that the TRIPS Council shall put in place a mechanism for ensuring the monitoring and full implementation of the obligations in question. To this end, developed-country Members shall submit prior to the end of 2002 detailed reports on the functioning in practice of the incentives provided to their enterprises for the transfer of technology in pursuance of their commitments under Article 66.2. These submissions shall be subject to a review in the TRIPS Council and information shall be updated by Members annually."(58) Relationship between trade and investment 45. The Doha Declaration did not immediately launch negotiations on the relationship between trade and investment. Members agreed that negotiations would take place after the Fifth Session of the Ministerial Conference on the basis of a decision to be taken on the modalities of negotiations. However, the Declaration did spell out a number of principles that would govern these negotiations, such as: the need to balance the interests of countries where foreign investment originates versus those of the countries where it is invested, the development policies and objectives of host governments as well as their right to regulate in the public interest, the special development, trade and financial needs of developing and least developed countries, among others. It also emphasized support and technical cooperation for developing and least developed countries, and coordination with other international organizations such as the United Nations Conference on Trade and Development (UNCTAD): "Recognizing the case for a multilateral framework to secure transparent, stable and predictable conditions for long-term cross-border investment, particularly foreign direct investment, that will contribute to the expansion of trade, and the need for enhanced technical assistance and capacity-building in this area as referred to in paragraph 21, we agree that negotiations will take place after the Fifth Session of the Ministerial Conference on the basis of a decision to be taken, by explicit consensus, at that Session on modalities of negotiations.
We recognize the needs of developing and least-developed countries for enhanced support for technical assistance and capacity building in this area, including policy analysis and development so that they may better evaluate the implications of closer multilateral cooperation for their development policies and objectives, and human and institutional development. To this end, we shall work in cooperation with other relevant intergovernmental organizations, including UNCTAD, and through appropriate regional and bilateral channels, to provide strengthened and adequately resourced assistance to respond to these needs."(59) 46. The Doha Declaration also determined the focus of the Working Group on the Relationship Between Trade and Investment with respect to the clarification of the scope and definition; transparency; non-discrimination; modalities for pre-establishment commitments based on a GATS-type, positive list approach; development provisions; exceptions and balance-of-payments safeguards; consultation and the settlement of disputes between Members: "In the period until the Fifth Session, further work in the Working Group on the Relationship Between Trade and Investment will focus on the clarification of: scope and definition; transparency; non-discrimination; modalities for pre-establishment commitments based on a GATS-type, positive list approach; development provisions; exceptions and balance-of-payments safeguards; consultation and the settlement of disputes between Members. Any framework should reflect in a balanced manner the interests of home and host countries, and take due account of the development policies and objectives of host governments as well as their right to regulate in the public interest. The special development, trade and financial needs of developing and least-developed countries should be taken into account as an integral part of any framework, which should enable Members to undertake obligations and commitments commensurate with their individual needs and circumstances. Due regard should be paid to other relevant WTO provisions. Account should be taken, as appropriate, of existing bilateral and regional arrangements on investment"(60) 47. The Decision on Implementation-Related Issues and Concerns has specific provisions with respect to the TRIMs Agreement relating to the extension of the five-year transitional period provided for in Article 5.2 of the Agreement for developing countries and the need to take account of the special situation of least developed countries when setting the terms and conditions including time-frames: "Takes note of the actions taken by the Council for Trade in Goods in regard to requests from some developing-country Members for the extension of the five-year transitional period provided for in Article 5.2 of Agreement on Trade-Related Investment Measures.
Urges the Council for Trade in Goods to consider positively requests that may be made by least-developed countries under Article 5.3 of the TRIMs Agreement or Article IX.3 of the WTO Agreement, as well as to take into consideration the particular circumstances of least-developed countries when setting the terms and conditions including time-frames"(61) Interaction between trade and competition policy 48. The Doha Declaration did not immediately launch negotiations on the interaction between trade and competition policy. Members agreed that negotiations would take place after the Fifth Session of the Ministerial Conference on the basis of a decision to be taken on modalities of negotiations. However, it did state that the work must take full account of developmental needs, which includes technical cooperation and capacity building, on such topics as policy analysis and development, so that developing countries are better placed to evaluate the implications of closer multilateral cooperation for various developmental objectives. Cooperation with other organizations such as the United Nations Conference on Trade and Development (UNCTAD) is also included: "Recognizing the case for a multilateral framework to enhance the contribution of competition policy to international trade and development, and the need for enhanced technical assistance and capacity-building in this area as referred to in paragraph 24, we agree that negotiations will take place after the Fifth Session of the Ministerial Conference on the basis of a decision to be taken, by explicit consensus, at that Session on modalities of negotiations.
We recognize the needs of developing and least-developed countries for enhanced support for technical assistance and capacity building in this area, including policy analysis and development so that they may better evaluate the implications of closer multilateral cooperation for their development policies and objectives, and human and institutional development. To this end, we shall work in cooperation with other relevant intergovernmental organizations, including UNCTAD, and through appropriate regional and bilateral channels, to provide strengthened and adequately resourced assistance to respond to these needs."(62) 49. The Doha Declaration also determined the main priorities of the Working Group on the Interaction between Trade and Competition Policy and stated that the clarification of core principles should be at the centre of its work: "In the period until the Fifth Session, further work in the Working Group on the Interaction between Trade and Competition Policy will focus on the clarification of: core principles, including transparency, non-discrimination and procedural fairness, and provisions on hardcore cartels; modalities for voluntary cooperation; and support for progressive reinforcement of competition institutions in developing countries through capacity building. Full account shall be taken of the needs of developing and least-developed country participants and appropriate flexibility provided to address them."(63) Transparency in government procurement 50. Members agreed that negotiations on transparency in government procurement would take place after the Fifth Session of the Ministerial Conference on the basis of a decision to be taken at that time on the methods and procedures of the negotiations. The Doha Declaration determined that the negotiations should be limited to aspects of transparency and that therefore it would not restrict the ability of countries to favour domestic supplies and suppliers.(64) The Declaration also stressed development concerns, technical assistance and capacity building. "Recognizing the case for a multilateral agreement on transparency in government procurement and the need for enhanced technical assistance and capacity building in this area, we agree that negotiations will take place after the Fifth Session of the Ministerial Conference on the basis of a decision to be taken, by explicit consensus, at that Session on modalities of negotiations. These negotiations will build on the progress made in the Working Group on Transparency in Government Procurement by that time and take into account participants' development priorities, especially those of least-developed country participants. Negotiations shall be limited to the transparency aspects and therefore will not restrict the scope for countries to give preferences to domestic supplies and suppliers. We commit ourselves to ensuring adequate technical assistance and support for capacity building both during the negotiations and after their conclusion."(65) Trade facilitation 51. The Doha Declaration did not launch immediately negotiations on trade facilitation. Members agreed that negotiations would take place after the Fifth Session of the Ministerial Conference on the basis of a decision that would be taken at that time on the manner of the negotiations. The Doha Declaration recognized the need to further speed up the movement, release and clearance of goods: "Recognizing the case for further expediting the movement, release and clearance of goods, including goods in transit, and the need for enhanced technical assistance and capacity building in this area, we agree that negotiations will take place after the Fifth Session of the Ministerial Conference on the basis of a decision to be taken, by explicit consensus, at that Session on modalities of negotiations. In the period until the Fifth Session, the Council for Trade in Goods shall review and as appropriate, clarify and improve relevant aspects of Articles V, VIII and X of the GATT 1994 and identify the trade facilitation needs and priorities of Members, in particular developing and least-developed countries. We commit ourselves to ensuring adequate technical assistance and support for capacity building in this area."(66) WTO rules: anti-dumping, subsidies and regional trade agreements 52. The Doha Declaration initiated negotiations that aimed to clarify and improve disciplines on the Anti-Dumping and SCM Agreements (for more information on the bodies conducting the negotiations see paragraphs 80-81 below) and taking into account the needs of developing and least developed participants: "In the light of experience and of the increasing application of these instruments by Members, we agree to negotiations aimed at clarifying and improving disciplines under the Agreements on Implementation of Article VI of the GATT 1994 and on Subsidies and Countervailing Measures, while preserving the basic concepts, principles and effectiveness of these Agreements and their instruments and objectives, and taking into account the needs of developing and least-developed participants. In the initial phase of the negotiations, participants will indicate the provisions, including disciplines on trade distorting practices, that they seek to clarify and improve in the subsequent phase. In the context of these negotiations, participants shall also aim to clarify and improve WTO disciplines on fisheries subsidies, taking into account the importance of this sector to developing countries. We note that fisheries subsidies are also referred to in paragraph 31."(67) 53. The Doha Declaration mandated negotiations that aimed at making clearer the existing WTO provisions applying to regional trade agreements: "We also agree to negotiations aimed at clarifying and improving disciplines and procedures under the existing WTO provisions applying to regional trade agreements. The negotiations shall take into account the developmental aspects of regional trade agreements."(68) 54. The Decision on Implementation-Related Issues and Concerns set down some specific provisions concerning Article VI of the GATT 1994 relating to: anti-dumping investigations; clarification of Article 15 of the Anti-Dumping Agreement; the time-frame to be used in determining the volume of dumped imports and the improvement of annual reviews: "Agrees that investigating authorities shall examine with special care any application for the initiation of an anti-dumping investigation where an investigation of the same product from the same Member resulted in a negative finding within the 365 days prior to the filing of the application and that, unless this pre-initiation examination indicates that circumstances have changed, the investigation shall not proceed.
Recognizes that, while Article 15 of the Agreement on the Implementation of Article VI of the General Agreement on Tariffs and Trade 1994 is a mandatory provision, the modalities for its application would benefit from clarification. Accordingly, the Committee on Anti-Dumping Practices is instructed, through its working group on Implementation, to examine this issue and to draw up appropriate recommendations within twelve months on how to operationalize this provision.
Takes note that Article 5.8 of the Agreement on the Implementation of Article VI of the General Agreement on Tariffs and Trade 1994 does not specify the time-frame to be used in determining the volume of dumped imports, and that this lack of specificity creates uncertainties in the implementation of the provision. The Committee on Anti-Dumping Practices is instructed, through its working group on Implementation, to study this issue and draw up recommendations within 12 months, with a view to ensuring the maximum possible predictability and objectivity in the application of time frames.
Takes note that Article 18.6 of the Agreement on the Implementation of Article VI of the General Agreement on Tariffs and Trade 1994 requires the Committee on Anti-Dumping Practices to review annually the implementation and operation of the Agreement taking into account the objectives thereof. The Committee on Anti-dumping Practices is instructed to draw up guidelines for the improvement of annual reviews and to report its views and recommendations to the General Council for subsequent decision within 12 months."(69) 55. With respect to the SCM Agreement, the Decision on Implementation-Related Issues and Concerns provided for specific provisions relating to: Annex VII(b) of the SCM Agreement. These include exercising restraint with respect to challenging developing countries' measures designed to achieve legitimate development goals; review of countervailing duty investigations; the list in paragraph (b) of Annex VII to the SCM Agreement; least developed country exemption from the prohibition on export subsidies and the transition period "Agrees that Annex VII(b) to the Agreement on Subsidies and Countervailing Measures includes the Members that are listed therein until their GNP per capita reaches US $1,000 in constant 1990 dollars for three consecutive years. This decision will enter into effect upon the adoption by the Committee on Subsidies and Countervailing Measures of an appropriate methodology for calculating constant 1990 dollars. If, however, the Committee on Subsidies and Countervailing Measures does not reach a consensus agreement on an appropriate methodology by 1 January 2003, the methodology proposed by the Chairman of the Committee set forth in G/SCM/38, Appendix 2 shall be applied. A Member shall not leave Annex VII(b) so long as its GNP per capita in current dollars has not reached US $1000 based upon the most recent data from the World Bank.
Takes note of the proposal to treat measures implemented by developing countries with a view to achieving legitimate development goals, such as regional growth, technology research and development funding, production diversification and development and implementation of environmentally sound methods of production as non-actionable subsidies, and agrees that this issue be addressed in accordance with paragraph 13 below. During the course of the negotiations, Members are urged to exercise due restraint with respect to challenging such measures.
Agrees that the Committee on Subsidies and Countervailing Measures shall continue its review of the provisions of the Agreement on Subsidies and Countervailing Measures regarding countervailing duty investigations and report to the General Council by 31 July 2002.
Agrees that if a Member has been excluded from the list in paragraph (b) of Annex VII to the Agreement on Subsidies and Countervailing Measures, it shall be re-included in it when its GNP per capita falls back below US$ 1,000.
Subject to the provisions of Articles 27.5 and 27.6, it is reaffirmed that least-developed country Members are exempt from the prohibition on export subsidies set forth in Article 3.1(a) of the Agreement on Subsidies and Countervailing Measures, and thus have flexibility to finance their exporters, consistent with their development needs. It is understood that the eight-year period in Article 27.5 within which a least-developed country Member must phase out its export subsidies in respect of a product in which it is export-competitive begins from the date export competitiveness exists within the meaning of Article 27.6.
Having regard to the particular situation of certain developing-country Members, directs the Committee on Subsidies and Countervailing Measures to extend the transition period, under the rubric of Article 27.4 of the Agreement on Subsidies and Countervailing Measures, for certain export subsidies provided by such Members, pursuant to the procedures set forth in document G/SCM/39. Furthermore, when considering a request for an extension of the transition period under the rubric of Article 27.4 of the Agreement on Subsidies and Countervailing Measures, and in order to avoid that Members at similar stages of development and having a similar order of magnitude of share in world trade are treated differently in terms of receiving such extensions for the same eligible programmes and the length of such extensions, directs the Committee to extend the transition period for those developing countries, after taking into account the relative competitiveness in relation to other developing-country Members who have requested extension of the transition period following the procedures set forth in document G/SCM/39".(70) Dispute Settlement Understanding 56. The Doha Declaration mandated negotiations on improvements and clarifications of the DSU to build on the work done under the mandate of the 1994 Marrakesh Ministerial Conference, and set the deadline for completion of the negotiations as 1 May 2003, instead of the general 1 January 2005 deadline. This negotiation is not part of the single undertaking (see paragraph 23 above). "We agree to negotiations on improvements and clarifications of the Dispute Settlement Understanding. The negotiations should be based on the work done thus far as well as any additional proposals by Members, and aim to agree on improvements and clarifications not later than May 2003, at which time we will take steps to ensure that the results enter into force as soon as possible thereafter."(71) 57. The negotiations take place under the auspices of Special Sessions of the Dispute Settlement Body. In this regard, see paragraphs 82-85 below. Trade and environment 58. The Doha Declaration initiated negotiations on the relationship between the existing WTO rules and specific trade obligations as set out in multilateral environmental agreements (MEAs). Members agreed to negotiate procedures for regular information exchange between secretariats of MEAs and the WTO and for developing criteria for observership in WTO. Ministers also agreed to negotiations on the reductions or elimination of tariff and non-tariff barriers to environmental goods and services. Finally, Ministers agreed to clarify and improve WTO rules that apply to fisheries subsidies referring to the negotiations under paragraph 28 of the Doha Declaration: "With a view to enhancing the mutual supportiveness of trade and environment, we agree to negotiations, without prejudging their outcome, on:
(i) the relationship between existing WTO rules and specific trade obligations set out in multilateral environmental agreements (MEAs). The negotiations shall be limited in scope to the applicability of such existing WTO rules as among parties to the MEA in question. The negotiations shall not prejudice the WTO rights of any Member that is not a party to the MEA in question;
(ii) procedures for regular information exchange between MEA Secretariats and the relevant WTO committees, and the criteria for the granting of observer status;
(iii) the reduction or, as appropriate, elimination of tariff and non-tariff barriers to environmental goods and services.
We note that fisheries subsidies form part of the negotiations provided for in paragraph 28.
We instruct the Committee on Trade and Environment, in pursuing work on all items on its agenda within its current terms of reference, to give particular attention to:
(i) the effect of environmental measures on market access, especially in relation to developing countries, in particular the least-developed among them, and those situations in which the elimination or reduction of trade restrictions and distortions would benefit trade, the environment and development;
(ii) the relevant provisions of the Agreement on Trade-Related Aspects of Intellectual Property Rights; and
(iii) labelling requirements for environmental purposes.
Work on these issues should include the identification of any need to clarify relevant WTO rules. The Committee shall report to the Fifth Session of the Ministerial Conference, and make recommendations, where appropriate, with respect to future action, including the desirability of negotiations. The outcome of this work as well as the negotiations carried out under paragraph 31(i) and (ii) shall be compatible with the open and non-discriminatory nature of the multilateral trading system, shall not add to or diminish the rights and obligations of Members under existing WTO agreements, in particular the Agreement on the Application of Sanitary and Phytosanitary Measures, nor alter the balance of these rights and obligations, and will take into account the needs of developing and least-developed countries.
We recognize the importance of technical assistance and capacity building in the field of trade and environment to developing countries, in particular the least-developed among them. We also encourage that expertise and experience be shared with Members wishing to perform environmental reviews at the national level. A report shall be prepared on these activities for the Fifth Session."(72) 59. To oversee the negotiations, the Trade Negotiating Committee established a Special Session of the Committee on Trade and Environment. In this regard, see paragraph 86 below: Electronic commerce 60. The Doha Declaration endorsed the work already done since the 1998 Ministerial Conference in Geneva and instructed the General Council to consider the most appropriate institutional arrangements for handling the work programme, and to report on further progress to the Fifth Ministerial Conference: "We take note of the work which has been done in the General Council and other relevant bodies since the Ministerial Declaration of 20 May 1998 and agree to continue the Work Programme on Electronic Commerce. The work to date demonstrates that electronic commerce creates new challenges and opportunities for trade for Members at all stages of development, and we recognize the importance of creating and maintaining an environment which is favourable to the future development of electronic commerce. We instruct the General Council to consider the most appropriate institutional arrangements for handling the Work Programme, and to report on further progress to the Fifth Session of the Ministerial Conference. We declare that Members will maintain their current practice of not imposing customs duties on electronic transmissions until the Fifth Session."(73) Small economies 61. The Doha Declaration mandated the General Council to examine the specific problems of small economies and to make recommendations to the Fifth Ministerial Conference concerning trade-related measures that could improve the integration of small economies. "We agree to a work programme, under the auspices of the General Council, to examine issues relating to the trade of small economies. The objective of this work is to frame responses to the trade-related issues identified for the fuller integration of small, vulnerable economies into the multilateral trading system, and not to create a sub-category of WTO Members. The General Council shall review the work programme and make recommendations for action to the Fifth Session of the Ministerial Conference"(74) Trade, debt and finance 62. Ministers decided in Doha to establish a Working Group on Trade, Debt and Finance to look at how trade-related measures can contribute to finding a long-lasting solution to the problems related to external debt. The Declaration provided that this working group will report to the General Council which will in turn report to the next Ministerial Conference: "We agree to an examination, in a Working Group under the auspices of the General Council, of the relationship between trade, debt and finance, and of any possible recommendations on steps that might be taken within the mandate and competence of the WTO to enhance the capacity of the multilateral trading system to contribute to a durable solution to the problem of external indebtedness of developing and least-developed countries, and to strengthen the coherence of international trade and financial policies, with a view to safeguarding the multilateral trading system from the effects of financial and monetary instability. The General Council shall report to the Fifth Session of the Ministerial Conference on progress in the examination."(75) Trade and transfer of technology 63. The Doha Declaration established a working group to examine the issue of how the transfer of technology should take place in practice and if specific measures might be taken within the WTO to encourage such flows of technology. The working group will report to the General Council which itself will report to the Fifth Ministerial Conference. "We agree to an examination, in a Working Group under the auspices of the General Council, of the relationship between trade and transfer of technology, and of any possible recommendations on steps that might be taken within the mandate of the WTO to increase flows of technology to developing countries. The General Council shall report to the Fifth Session of the Ministerial Conference on progress in the examination."(76) Technical cooperation and capacity building 64. The Doha Declaration confirmed that technical cooperation and capacity building are core elements of the development dimension of the multilateral trading system, and Members endorsed the "New Strategy for WTO Technical Cooperation for Capacity Building, Growth and Integration". The Doha Declaration instructed the Director-General to consult with the relevant agencies, bilateral donors and beneficiaries, to identify ways of enhancing and rationalizing the Integrated Framework for Trade-Related Technical Assistance to Least-Developed Countries and the Joint Integrated Technical Assistance Programme (JITAP). The Committee on Budget, Finance and Administration was instructed to develop a plan for adoption by the General Council in December 2001 that will ensure long-term funding for WTO technical assistance. Finally, paragraph 41 listed and reaffirmed all the references to commitments on technical cooperation contained within the Doha Declaration. "We confirm that technical cooperation and capacity building are core elements of the development dimension of the multilateral trading system, and we welcome and endorse the New Strategy for WTO Technical Cooperation for Capacity Building, Growth and Integration. We instruct the Secretariat, in coordination with other relevant agencies, to support domestic efforts for mainstreaming trade into national plans for economic development and strategies for poverty reduction. The delivery of WTO technical assistance shall be designed to assist developing and least-developed countries and low-income countries in transition to adjust to WTO rules and disciplines, implement obligations and exercise the rights of membership, including drawing on the benefits of an open, rules-based multilateral trading system. Priority shall also be accorded to small, vulnerable, and transition economies, as well as to Members and Observers without representation in Geneva. We reaffirm our support for the valuable work of the International Trade Centre, which should be enhanced.
We underscore the urgent necessity for the effective coordinated delivery of technical assistance with bilateral donors, in the OECD Development Assistance Committee and relevant international and regional intergovernmental institutions, within a coherent policy framework and timetable. In the coordinated delivery of technical assistance, we instruct the Director-General to consult with the relevant agencies, bilateral donors and beneficiaries, to identify ways of enhancing and rationalizing the Integrated Framework for Trade-Related Technical Assistance to Least-Developed Countries and the Joint Integrated Technical Assistance Programme (JITAP).
We agree that there is a need for technical assistance to benefit from secure and predictable funding. We therefore instruct the Committee on Budget, Finance and Administration to develop a plan for adoption by the General Council in December 2001 that will ensure long-term funding for WTO technical assistance at an overall level no lower than that of the current year and commensurate with the activities outlined above.
We have established firm commitments on technical cooperation and capacity building in various paragraphs in this Ministerial Declaration. We reaffirm these specific commitments contained in paragraphs 16, 21, 24, 26, 27, 33, 38-40, 42 and 43, and also reaffirm the understanding in paragraph 2 on the important role of sustainably financed technical assistance and capacity-building programmes. We instruct the Director-General to report to the Fifth Session of the Ministerial Conference, with an interim report to the General Council in December 2002 on the implementation and adequacy of these commitments in the identified paragraphs"(77) Least developed countries 65. In the Doha Declaration, WTO Members committed themselves to the objective of duty-free and quota-free market access for least developed countries' products. The Declaration indicated that Members also committed to accelerate least developed countries' membership negotiations and to significantly increase their contributions, particularly to the Integrated Framework for Trade-Related Technical Assistance to Least-Developed Countries (IF) and WTO extra-budgetary trust funds in favour of LDCs. The Sub-Committee on Least-Developed Countries was instructed to design a work programme, taking into account the trade-related issues of the Third UN Conference on Least-Developed Countries (LDC-III). With respect to the Sub-Committee for Least Developed Countries, see paragraphs 192-197 below. "We acknowledge the seriousness of the concerns expressed by the least-developed countries (LDCs) in the Zanzibar Declaration adopted by their Ministers in July 2001. We recognize that the integration of the LDCs into the multilateral trading system requires meaningful market access, support for the diversification of their production and export base, and trade-related technical assistance and capacity building. We agree that the meaningful integration of LDCs into the trading system and the global economy will involve efforts by all WTO Members. We commit ourselves to the objective of duty-free, quota-free market access for products originating from LDCs. In this regard, we welcome the significant market access improvements by WTO Members in advance of the Third UN Conference on LDCs (LDC-III), in Brussels, May 2001. We further commit ourselves to consider additional measures for progressive improvements in market access for LDCs. Accession of LDCs remains a priority for the Membership. We agree to work to facilitate and accelerate negotiations with acceding LDCs. We instruct the Secretariat to reflect the priority we attach to LDCs' accessions in the annual plans for technical assistance. We reaffirm the commitments we undertook at LDC-III, and agree that the WTO should take into account, in designing its work programme for LDCs, the trade-related elements of the Brussels Declaration and Programme of Action, consistent with the WTO's mandate, adopted at LDC-III. We instruct the Sub-Committee for Least-Developed Countries to design such a work programme and to report on the agreed work programme to the General Council at its first meeting in 2002.
We endorse the Integrated Framework for Trade-Related Technical Assistance to Least-Developed Countries (IF) as a viable model for LDCs' trade development. We urge development partners to significantly increase contributions to the IF Trust Fund and WTO extra-budgetary trust funds in favour of LDCs. We urge the core agencies, in coordination with development partners, to explore the enhancement of the IF with a view to addressing the supply-side constraints of LDCs and the extension of the model to all LDCs, following the review of the IF and the appraisal of the ongoing Pilot Scheme in selected LDCs. We request the Director-General, following coordination with heads of the other agencies, to provide an interim report to the General Council in December 2002 and a full report to the Fifth Session of the Ministerial Conference on all issues affecting LDCs."(78) Special and differential treatment 66. In the Doha Declaration, Members agreed that all special and differential treatment provisions should be reviewed with a view to making them more effective. In addition, the Declaration read with the Decision on Implementation-Related Issues and Concerns(79) mandated Members to identify those special and differential treatment provisions that needed to be made mandatory, and the implications of doing so: "We reaffirm that provisions for special and differential treatment are an integral part of the WTO Agreements. We note the concerns expressed regarding their operation in addressing specific constraints faced by developing countries, particularly least-developed countries. In that connection, we also note that some Members have proposed a Framework Agreement on Special and Differential Treatment (WT/GC/W/442). We therefore agree that all special and differential treatment provisions shall be reviewed with a view to strengthening them and making them more precise, effective and operational. In this connection, we endorse the work programme on special and differential treatment set out in the Decision on Implementation-Related Issues and Concerns"(80) 67. For more information on the negotiations see paragraphs 89-91 below. 68. The Decision on "Implementation-related Issues and Concerns"(81) set out some specific provisions with respect to special and differential treatment relating to: assistance to developing countries to enable them to make the best use of special and differential treatment provisions; the Doha Work Programme and the Enabling Clause; and as mentioned in paragraph 66 above, mandatory and non-binding provisions. "The Committee on Trade and Development is instructed:
(i) to identify those special and differential treatment provisions that are already mandatory in nature and those that are non-binding in character, to consider the legal and practical implications for developed and developing Members of converting special and differential treatment measures into mandatory provisions, to identify those that Members consider should be made mandatory, and to report to the General Council with clear recommendations for a decision by July 2002;
(ii) to examine additional ways in which special and differential treatment provisions can be made more effective, to consider ways, including improved information flows, in which developing countries, in particular the least-developed countries, may be assisted to make best use of special and differential treatment provisions, and to report to the General Council with clear recommendations for a decision by July 2002; and
(iii) to consider, in the context of the work programme adopted at the Fourth Session of the Ministerial Conference, how special and differential treatment may be incorporated into the architecture of WTO rules.
The work of the Committee on Trade and Development in this regard shall take fully into consideration previous work undertaken as noted in WT/COMTD/W/77/Rev.1. It will also be without prejudice to work in respect of implementation of WTO Agreements in the General Council and in other Councils and Committees.
Reaffirms that preferences granted to developing countries pursuant to the Decision of the Contracting Parties of 28 November 1979 ("Enabling Clause")(82) should be generalised, non-reciprocal and non-discriminatory."(83) (iii) How the negotiations are organized: negotiating bodies 69. The Doha Declaration provided that, in order to facilitate the completion of the mandate of the Work Programme (see paragraphs 28-30 above), the negotiations will be carried out by a new Committee - the Trade Negotiations Committee (TNC) and the specialized bodies which the TNC established, such as the special sessions of various committees and the new negotiating groups: namely the Negotiating Group on Market Access and the Negotiating Group on WTO Rules(84). Further work under the Doha mandate takes place in other WTO councils and committees. For an overview of the structure in which the negotiations are organized, see paragraphs 70-91 below and the flowchart in Article IV, paragraph 103. Trade Negotiations Committee (TNC) |
