Distinguished guests,

Ladies and gentlemen,

Thank you for inviting me to this prestigious event.

It is a great pleasure to be in Bangladesh. I thank the hospitality and warmth of the Bangladeshi government and people and also the words of support and encouragement pronounced. But I also heard the words of concerns and hopes, which I take to heart, and will follow through in Geneva.

Bangladesh is a very important member of the WTO as well as of the LDC Group.

As a long-standing advocate of LDC interests, Bangladesh played a crucial role in creating the conditions in which WTO members could deliver the Bali Package at the Ministerial Conference in Bali last December. I’d like to take this opportunity to thank you all for your support.

The Bali success demonstrated, for the first time, that the WTO can reach multilaterally agreed outcomes. It was the first such deal since the organization was created in 1995. So it has given the WTO a new and fresh perspective for the future.

But it also evidenced a new dynamic within the WTO. Developing and least-developed countries made their voice heard loud and clear during the negotiations — and the outcomes of the deal reflect that.

I’m here today to make the case for going even further — to talk about our vision for the future of the WTO, and how Bangladesh could fit into that vision.

Bangladesh is an increasingly meaningful player in the WTO — and I think that the WTO will be increasingly important for Bangladesh as well.

If you’ll forgive me, I’d like to start by offering an outsider’s perspective on Bangladesh’s economy.

GDP growth rates have been steady and strong at around 6% over the past decade, outperforming most other least-developed economies. This has supported you to cross the threshold of 130 billion US dollars in GDP and 30 billion US dollars in exports.

Bangladesh’s exports — 90% of which are merchandise products — have risen from 6 billion US dollars in 2000 to 25 billion US dollars in 2012 — a four‑fold increase since the time of launching the Doha Development Agenda.

Bangladesh is:

• largest economy among LDCs;
• largest LDC importer;
• second largest LDC exporter; and
• second in the production of apparels in the world.

The empowerment of women has been central in many of these schemes. Bangladesh is also on track to meet the Millennium Development Goal of halving extreme poverty by 2015. It proves that Bangladesh has combined economic progress with much needed social development.

I am sure that, under the leadership of Prime Minister Sheikh Hasina whom I just met, Bangladesh can continue to consolidate its economic and social advancement.

And I think this economic and social performance is perhaps one factor behind the active and constructive leadership role you are taking at the WTO.

Bangladesh does not negotiate alone in the WTO — but rather as part of the LDC Group.

As a prominent member of the LDC Group, Bangladesh has provided strong leadership in the LDC work since the launch of the Doha Round by coordinating the Group on several occasions. You have played a critical role in all achievements of the Group.

Therefore, Bangladesh — in this leadership role — has great influence on what happens in Geneva and makes a great contribution to the work of the WTO.

Lower income countries have much greater influence in the WTO than they would in other types of arrangements, like the bilateral agreements that are taking place around the world.

This is firstly because in the WTO all voices are heard and all decisions are taken by consensus. And secondly it is because your strength is multiplied by speaking in unison with others who share your position.

Imagine for a moment that the WTO didn’t exist.

The voices of the poor would not be heard. And their interests would certainly not be on the negotiating agenda.

The opportunity for Bangladesh to negotiate would be seriously reduced.

But thankfully we are not in this position. And for the first time in some years, the WTO is negotiating again.

Look at what members achieved together in Bali.

In many ways Bali was an LDCs’ deal. It meant that the WTO was working again as a negotiating forum, and could therefore continue to serve your interests. Bali was not the first Ministerial to deliver for the LDCs — nor will it be the last. But it did have more immediate effects as well.

• Bali brought a deal on trade facilitation.
• It delivered a package to support LDCs.
• And it provided for a Monitoring Mechanism on special and differential treatment.

I think the Monitoring Mechanism is an important step because it will increase the WTO’s responsiveness to the concerns of developing countries in how special & differential provisions are used and implemented.

And let me just say a few words about trade facilitation.

By streamlining customs procedures, this agreement could provide a major boost to the global economy — and, moreover, the majority of the benefits will accrue to developing countries and LDCs.

The estimates vary but economists think this could lead to an expansion in developing country exports of up to 9.9% — and the creation of up to 18 million jobs in developing economies.

Besides, the Trade Facilitation Agreement broke new ground for developing countries in the way it will be implemented. It puts the power in their hands.

For the first time, implementation of the Agreement will be directly linked to the capacity of the country to do so. The level of capacity will be self-determined by the country concerned. And they will receive support to build that capacity.

• Bangladesh has already undertaken deep reforms on trade facilitation. And the Bali Package will help to consolidate this progress. Early ratification of the Trade Facilitation Agreement by Bangladesh will send a strong signal to the donor community about Bangladesh’s commitment to the Agreement. And this will no doubt facilitate assistance and support for capacity building.

•  Achieving economic growth with social development is undoubtedly complex. It involves a large number of policies covering many areas. But it’s clear that a key component in this mix of development-orientated policies is trade.

Trade is particularly important for developing countries: the smaller the economy, the more relevant trade becomes as a tool for economic growth, job creation and technological improvements.

Progress on these economic fronts will in turn lead to progress in social development in areas such as labour conditions as well as the overall living standards. Trade can create not only more jobs but also better jobs with advanced skill sets and better working conditions. I believe that Bangladesh is definitely heading towards the right direction, and it must continue down this road.

A number of the Bali decisions for LDCs will also benefit a country like Bangladesh.

One of them is the duty-free and quota-free market access decision for LDCs.

The first breakthrough on this issue, with a concrete decision, was made at the Hong Kong Ministerial Conference in 2005. Since then, we have seen gradual improvement of LDC market access in developed as well as developing country markets.

Certainly, there is scope for improvements to further integrate LDCs in global trade, and Bali has seen some seeds for fruition. I understand that securing duty-free and quota-free market access to developed country markets is a key priority for Bangladesh.

My experience in the negotiations on this issue has shown that the implementation of duty-free access is not straightforward. Progress is possible, but will very much depend on the level of ambition and the balance that can be struck taking into account the sensitivities surrounding the issue.

I would thus encourage you to reach out to all the stakeholders involved, particularly other LDCs, and continue to engage them in a pragmatic manner.

Bali also delivered on a market access issue which had not yet been fully or properly addressed in the WTO — preferential rules of origin for products from LDCs.

The Bali decision on preferential rules of origin in fact responded to a long-standing demand from the LDCs to make preferential rules of origin simple and flexible. The Bali decision therefore will further help members reform their individual rules of origin for LDCs.

Bangladesh is well placed to take a leadership position on this issue among LDCs. And I encourage you to remain proactive on this matter.

Another important decision taken at Bali concerns the LDC services waiver through which preferential market access is granted to LDC services and service suppliers.

I understand that LDCs are working together to table a collective request in this regard. In my view, your aim should be high, but grounded in the fact that we are indeed dealing with new territory.

Let me also emphasize that the earlier the request is presented, the earlier members will indicate what they can offer to the LDCs.

I will support you in the best way I can to advance this issue in the WTO. But I also ask Bangladesh — as a country with an enormous stake in the services trade — to take a constructive and active role here.

However, reducing trade distortions and finding new markets for one’s exports is as important as expanding its trade capacity. The best way to do this is through a new global trade deal.

In Bali, ministers instructed us to prepare, by December, a clearly defined work programme to conclude, once and for all, the Doha Development Agenda.

Negotiations on the Doha agenda have been running since 2001 — that’s far too long.

And, in my view, any engagement here will have to tackle the really tough areas upfront: industrial goods, services, and agriculture.  

These three issues have not been seriously discussed in nearly six years. So now it is time to bring them back into play. We cannot avoid them anymore — we have to look at them.

We were clearly stuck before, but I think there is a different mood now — things have changed since these issues were last discussed.

I have travelled to numerous countries around the world in recent months and met many leaders — and the message I’m hearing is very positive.

Because of Bali, people are willing to give us another chance at completing these negotiations.

They say:  “it looks like you guys are back in business!”

They see us really engaged, really trying to find a way forward. And I hope they believe me when I say that every WTO member is ready to be creative, is ready to be open-minded, and is working hard to get outcomes in the short term.  

We are all doing everything we can to move the process forward and draw up this work programme by the end of the year.

I believe that your interests are best served by a strong WTO which is delivering negotiated outcomes.

Bangladesh has an enlightened and vibrant private sector and business community, like yourselves, which keeps track of developments in the multilateral trading system. You have a strong manufacturing capacity and have shown the drive to diversify your export items beyond the current main item — apparels.

The successful conclusion of the Doha Development Agenda will open up further opportunities for exporters.

Bangladesh has always been a strong supporter of the multilateral trading system. And it will continue to be its key player by maintaining and developing the leadership that has been so evident and so important in recent times.

Bangladesh’s substantive input and continued active engagement can help the LDC Group realize the full potential from the Bali Package and the Doha Development Agenda.

I look forward to working with you in the critical months ahead.