Volume 6 Number 18 Date: 15 May 2002

IMPLEMENTATION ISSUES FACING FIRST TESTS AS DEADLINES QUICKLY APPROACH

With a number of implementation issues facing mid-year and end-of-year deadlines, various regular and special session committees have been working steadfastly since the adoption of the Doha work programme last November (see BRIDGES Weekly, 15 November 2001). Coming together in both formal and informal sessions, Members have been attempting to gain ground on meeting the Doha work programme, whose scope of activities vary from reporting to the General Council on the state of the discussions, to reporting with "clear recommendations for a decision". Some items that have seen airtime in recent weeks include antidumping, textiles, and special and differential treatment.

Background

Implementation issues have been prevalent in ongoing discussions at the WTO virtually since the coming into force of the Uruguay Round Agreements. Increasingly since the Seattle preparatory process, developing countries began to focus on implementation in terms of addressing the 'implementation of existing agreements' in order to redress perceived imbalances in those Agreements. This concern stems from the perception that the Uruguay Round agreements have failed to generate anticipated benefitspartly because of incomplete implementation of commitments by developed countries and unsatisfactory 'operationalisation' of special and differential treatment provisions.

In the context of deadlines for implementation-related issues, para. 12 (b) of the Doha Ministerial Declaration notes that "the other outstanding implementation issues shall be addressed...by the end of 2002 for appropriate action." However, considerable debate exists over the full interpretation of this provision (for an in-depth discussion of implementation issues, see ICTSD's Trade Negotiations Insight, February 2002).

Antidumping a crucial element of a new round

On 22 April, an informal session of the working group on implementation of the Committee on Anti-dumping Practices (ADP) met to discuss one of the three items tasked to it by the Decision on Implementation emanating from Doha.

Para. 7.3 of the Decision notes that Article 5.8 of the WTO Agreement on Antidumping "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." It furthermore instructs the working group to come up with recommendations "with a view to ensuring the maximum possible predictability and objectivity in the application of time frames" within 12 months (i.e. by November 2002).

Discussions at the session focused around two proposals -- one from the EC and one from Indonesia.

The EC proposal provides three options for the reference period of the determination of dumping -- 12 months prior to when an antidumping petition is filed; 12 months prior to the start of an antidumping investigation; and 12 months covering the period of the investigation itself. The Indonesian proposal, supported by some large developed and developing country Members, supported the use of the period of investigation for all cases.

With the aim of the discussions to "ensur[e] the maximum possible predictability and objectivity in the application of time frames," some sources see less importance on which method is chosen, but rather that everyone is using the same one.

Agreement was not reached at the session; as a result, the Chair will conduct further consultations at future meetings of the working group.

EU reviews anti-dumping practices

In a related matter, the EU announced on 8 May that it would review its use of certain import restrictions based on a previous assessment that exposed flaws in its appraisal of whether Indian imports were dumped in its markets. (see BRIDGES Weekly, 6 March 2001, http://www.ictsd.org/html/weekly/story3.06-03-01.htm). The Union will now undertake an assessment of whether any other country is affected by anti-dumping measures using the flawed methods.

Textiles implementation agenda still awaiting momentum

On 2 May, the Council for Trade in Goods met to discuss, inter alia, two issues mandated for examination in paragraphs 4.4 and 4.5 of the Decision on Implementation. Discussions on these items are to see recommendations put forward to the General Council by 31 July 2002.

The two implementation proposals under the Agreement on Textiles and Clothing (ATC) cover the use of the most favourable methodology for calculating the expansion of textile quotas for small suppliers and least-developed countries; and the advance expansion of quotas for developing countries.

While sources indicate these proposals received a less-than-lukewarm reception from some developed country Members, all Members agreed to participate in future informal meetings on the issue. In that respect, Chair Ambassador Supperamaniam from Malaysia suggested four one-day informal meetings in May and June to consider these proposals further. At time of press, these dates were not yet available.

The Council's next regular meeting is scheduled for 23-24 May 2002.

Substantive discussions on S&D set to begin

With the third meeting of the Committee on Trade and Development's special session on special and differential treatment (S&D) scheduled for 16 May, Members will see the first substantive discussions on the Doha mandate of making S&D more "precise, effective, and operational" (see BRIDGES Weekly, 16 April 2002).

The Doha mandate specifies two particular objectives on which the special session is to "report to the General Council with clear recommendations for a decision by July 2002." These are, firstly, to identify those S&D provisions which are mandatory / non-mandatory, consider the legal implications of making non-mandatory provisions mandatory, and identify those provisions which Members consider should be made mandatory. Secondly, Members are to examine additional ways in which S&D provisions can be made more effective and to consider ways that developing country Members can make better use of S&D provisions.

As such, Chair Ambassador Ransford Smith from Jamaica scheduled four meetings prior to the deadline -- 16 May, 14 June, 2 & 17 July. The May and June meetings have been specifically designated for submitting proposals on the objectives (outlined above) falling under the 31 July deadline.

The 16 May meeting will consider submitted proposals on a number of agreements, including Agriculture, Sanitary and Phytosanitary Measures (SPS), Textiles (ATC), Technical Barriers to Trade (TBT), TRIMs (investment measures), Antidumping (Article XI of GATT 94), and the Dispute Settlement Understanding (DSU). In addition to an Indian proposal on import licensing, SPS and DSU submitted at the 9 April session (see BRIDGES Weekly link above), two more proposals have been submitted from a group of developing countries (searchable under the TN/CTD/ series at http://docsonline.wto.org/gen_search.asp). Proposals from a number of countries are expected, covering both agreement-by- agreement and cross-cutting approaches.

With regards to the Indian proposals made at the previous session, some discussion is expected on the 16th. Sources indicate some Members are watching attentively to see how these discussions play out as an indication of how much Members appear willing to tackle implementation at this time.

Further coverage will be provided in next week's issue of BRIDGES Weekly.

"EU Commission To Review Anti-Dumping Practices," DOW JONES, 8 May 2002; ICTSD Internal Files.

                                                                                                               
BACK TO TOP
Home | About | Search | © 2001 ICTSD