Volume 7 Number 19 Date: 2 November 2007

In Brief


LDC GROUP SUPPORTS BIODIVERSITY AMENDMENT IN WTO COUNCIL ON INTELLECTUAL PROPERTY

At a recent meeting on intellectual property at the WTO, the group of least-developed countries come out in support of a proposal to amend TRIPS rules to require patent applicants to disclose the origin of genetic resources or traditional knowledge used in their inventions.


At the WTO Council for Trade-related Aspects of Intellectual Property Rights (TRIPS) from 23-24 October, the 32 LDC Members of the WTO officially announced support for the biodiversity-related TRIPS amendment proposed by a group of several developing countries including Brazil, China, Ecuador, India, and South Africa (see Bridges Weekly, 13 June 2007, http://www.ictsd.org/weekly/07-06-13/story4.htm). The proposal also has the support of the African Group.

This potential addition to multilateral trade rules has been championed by Peru, one of the most vocal critics of the misappropriation of biological resources and traditional knowledge through patents ("bio-piracy") without adequate recompense. The Peruvian delegation presented to the TRIPS Council a document on the country's experience with 'bad' patents - those that failed to involve proof of consent or benefit sharing. The delegation reiterated that a formal TRIPS amendment was necessary to combat bio-piracy. It stated that "the patent system works only if the rights of those who made the invention possible are acknowledged… there is an urgent need to rethink the patent system and to consider how to make it more balanced."

Brazil, India, Pakistan, Thailand, Tanzania and other developing country backers of the proposed new TRIPS article ('29bis') expressed support for Peru's statements. They insist that such requirements -- with penalties including patent revocation -- are necessary to support patent-related obligations arising from the Convention on Biological Diversity (CBD).

The US and Japan are sceptical of - or outright opposed to -- claims that a mandatory disclosure requirement in the TRIPS Agreement is necessary. They argue that bio-piracy could be addressed by other means.

Due to this lack of agreement, Members are set to continue discussions of the issue at the next TRIPS Council, which is tentatively scheduled for February 2008.

For a full report on the WTO TRIPS Council, see Bridges Weekly at http://www.ictsd.org/weekly/07-10-31/story2.htm

ICTSD reporting.

 



US DRAFT CLIMATE BILLS TRIGGER TRADE CONCERNS

Two climate change bills currently under review in the US Senate include elements that have raised concern among some trading partners because they would require exporters of energy intensive goods to the US to buy greenhouse gas "emissions allowances" on the US market.


The most recent bill, introduced on 18 October by Joe Lieberman (Independent) and John Warner (Republican), would cap greenhouse gases stemming from 75 percent of the US economy and would introduce emissions trading and other market-based tools.

Defensive action to mitigate potential trade and competitiveness impacts envisioned in the draft bills would target countries without stringent climate regulatons in place, such as China, which is currently not required to make emissions reductions under the Kyoto Protocol. The US itself has also rejected the Kyoto Protocol, and the actual enactment of any legislation to cap greenhouse gas emissions is not expected in the near future.

Meanwhile, on 25 October French President Nicolas Sarkozy called for a European levy on imports from countries outside the Kyoto Protocol, namely the US and Canada. European legislators have called for such border tax adjustments from time to time, but the European Commission has not moved on the issue, preferring a less confrontational approach (see Bridges Trade BioRes, 18 March 2005, http://www.ictsd.org/biores/05-03-18/inbrief.htm#3).

Michael Moore, former Director-General of the WTO, commented on the draft US legislation, saying it "could be the focus of some disputes" at the WTO. He questioned whether de facto price adjustments at the border were legal, especially in cases where some trading partners were non-parties to the environmental agreements underpinning such adjustments. The WTO-compatibility of climate-related border tax adjustments discussed in Europe is also contested.

Countries are set to discuss the future of the global climate change regime at a summit in Bali, Indonesia, from 3-14 December this year. Trade ministers will also convene at the event.

"U.S. Senators Propose Compulsory Greenhouse Gas Cuts," ENS, 18 October 2007; "INTERVIEW:US Climate Change Bills Risk Trade Rows-Ex WTO Head," DOW JONES, 24 October 2007; "Climate change: Sarkozy backs carbon tax, EU levy on non-Kyoto imports," AFP, 25 October 2007.



TOYS MADE IN CHINA UNDER FIRE

A batch of toys made in China has recently been recalled in the US due to lead-related concerns.

Approximately 20 million Chinese-manufactured toys have been recalled in the US over the past four months. Concerns have surfaced in other markets as well, and over products such as dog food and toothpaste.

These issues have gotten considerable media attention and triggered consumer weariness in many countries. A US Consumer Report poll showed that 89 percent of consumers are aware of the recalls, with 30 percent saying they would buy few toys for the holidays and 30 percent saying they would not buy toys made in China.

US Congress has started discussing new legislation to decrease the levels of lead permitted in toys, and some congressmen have even suggested a ban on lead-containing products altogether. It is also looking to increase the mandate, workforce, and budget of its Consumer Product Safety Commission (CPSC) in order to better regulate possibly harmful products. Currently the CPSC has one staffer in charge of product inspection.

The EU is also looking to tighten legislation.

China has raised concerns that new product regulations in the EU and the US are branding a "new form of protectionism" at a time when China's exports have been growing at unprecedented levels.

"US Recalls More China-Made Products for Lead in Paint," PLANET ARK, 26 October 2007; "Kuneva welcomes Mattel recall on lead paint toys," NEW EUROPE: THE EUROPEAN WEEKLY, 27 October 2007; "New Safeguards Against Lead in Thomas and Friends Toys, but Parents Wary," ABC NEWS, 29 October 2007; "Union: Trade deals partly to blame for lead problems," PITTSBURGH POST-GAZETTE, 30 October 2007.



FRANCE REMAINS SUSPICIOUS OF BIOTECHNOLOGY

French President Nicolas Sarkozy recently said he would allow no planting of genetically modified (GM) crops in France until they were evaluated by a new authority on genetically modified organisms (GMOs) set to be launched later this year.

Speaking at a national conference on the environment on 25 October, Sarkozy said "I don't want to be in contradiction with EU laws, but I have to make a choice. In line of the precautionary principle, I wish that the commercial cultivation of genetically modified pesticide GMOs be suspended." He added that this did not mean that no GMOs would be allowed in the future.

Sarkozy's statement came as Europe is seeking to implement a WTO ruling against EU-wide and national moratoria on the approval of new biotech products (see Bridges Trade BioRes, 6 October 2006, http://www.ictsd.org/biores/06-10-06/story1.htm).

European Agriculture Commissioner Mariann Fischer Boel said a full ban on GM crops would clearly go against the rules and that France would lose in court if it implemented such a ban

The MON810 corn variety, produced by US-based biotech firm Monsanto, is the only biotech maize approved for cultivation in the EU. The corn is designed to resist the European corn borer, a pest that attacks maize stalks and thrives in warmer climates in southern Europe. In France, which has been notoriously sceptical of GMOs, only 1.5 percent of cultivated maize land was sown with GMO maize this year, but some farmers have supported the use GM crops to boost yields.

Several EU countries have banned the use of GM maize. Hungary, one of the EU biggest grain producers, banned the planting of MON 810 seed in January 2005. This year, Germany decided that maize produced from MON 810 seeds could only be sold with an accompanying monitoring plan for assessing environmental impacts. Austria is under pressure to lift regional bans on GMOs.

In a statement, US biotech company Monsanto said Sarkozy's statement was "incomprehensible" and that its GMO technology helped fulfil environmental goals such as reducing pesticide use and economising on water.

In related news, the European Commission authorised three GM corn varieties and a GM sugar beet on 24 October after member states had failed to reach agreement on their approval (see Bridges Trade BioRes, 5 October 2007, http://www.ictsd.org/biores/07-10-05/inbrief.htm#4).

"France bans GM crops before evaluation", ALLABOUTFEED.NET, 30 October 2007; "French Skepticism of GMO Crops Signals Policy Shift", DEUTSCHE WELLE, 27 October 2007; "Monsanto Regrets Sarkozy Stance on GMOs", REUTERS, 26 October 2007; "France Suspends Planting of GMO Crops", PLANETARK, 26 October 2007; "EU Environment Chief Opposes Two GMO Maizes", CHECKBIOTECH.ORG, 26 October 2007.


GEO-4: GLOBAL GROWTH IS OUTPACING SUSTAINABLE DEVELOPMENT

Twenty years after the Bruntland Commission coined the concept of sustainable development, a major UNEP stocktaking exercise of the state of the global environment has found that humanity has failed to come even close to achieving it.


The fourth edition of UNEP's Global Environmental Outlook (GEO-4), focusing on Environment for Development and launched on 25 October, warns that humans are destroying the planet faster than it can regenerate. Despite best intentions and leaps of progress - especially in cutting emissions and ensuring clean water - there has not been enough progress to hem in the destructive externalities of global growth. According to the report, twenty years of political support for sustainability has not produced enough results.

The world may now be facing its sixth major wave of extinctions, warns the GEO-4 report. Many of our ecosystems are not being used sustainably; 64 percent are degraded. Fisheries exploitation, for example, is 250 percent above a sustainable level.

Looking at human populations specifically, the report notes that global population has grown 34 percent since 1987, and its growing needs are quickly eroding the planet's resources through overfishing, deforestation, desertification, reduction in water quality and quantity and increased air pollution. According to a UNEP official, climate change is intricately linked with all of these issues, and should remain on the forefront of the battle to save the planet.

To access the GEO-4 report, visit http://www.unep.org/geo/

ICTSD reporting; "UN Planetary Report Paints Bleak Regional Picture," PLANET ARK, 26 October 2007.


 

                                                                                                               
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