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'DEVELOPMENT'
ROUND IN THE BALANCE AT WTO GENERAL COUNCIL, TNC MEETINGS
As BRIDGES Weekly
went to press, the WTO General Council was in session for its final
meeting of 2002, and had addressed over half of its 26- item agenda
over 10-11 December. While progress was made on some smaller issues,
such as accessions, the body remained stuck over major issues of
concern to developing countries, notably intellectual property rights
and access to medicines, special and differential treatment (S&D),
and implementation concerns. Members remain divided over these contentious
areas for which decisions are due by the end of the year (see related
stories, this issue). General Council Chair Sergio Marchi (Canada)
indicated that the body could continue meeting into the weekend
in an attempt to reach agreement, with a potential resumption on
18 and 20 December. The General Council is convening one week after
a meeting of the Trade Negotiations Committee (TNC) on 4-6 December,
which took stock of negotiations in the various WTO bodies and which
also encountered roadblocks over similar issues, particularly on
implementation concerns of developing countries.
Trade sources
say that an inability to arrive at solutions favourable to developing
countries, particularly with regard to the Doha mandate on Trade-Related
Aspects of Intellectual Property Rights (TRIPs) to facilitate access
to cheap medicines, would send a discouraging signal that the WTO
is not taking its so-called "development" round seriously.
Neither the General Council nor the TNC has thus far been able to
resolve these issues.
Implementation
at the TNC blocked over GIs
Chairs of the
respective negotiating bodies presented their reports at the TNC,
painting a limited and unbalanced picture of progress made thus
far on the Doha mandate. According to TNC Chair/WTO Director- General
Supachai Panitchpakdi, "we need more clarity in negotiating
positions so we can begin to forge consensus." 46 delegations
made interventions, and much emphasis was placed on slow progress
on agriculture, TRIPs & health, and S&D.
Implementation
-- the other item on the TNC agenda -- also appeared stuck. Debate
around the approximately 80 implementation issues which Members
agreed to address in a decision in Doha last November was polarised
primarily by the EC's desire to turn geographical indications for
certain products into a negotiating item. The EC, together with
other mostly European countries who want to extend geographical
indications (GIs) beyond just wine and spirits to other products,
proposed elevating all these implementation issues to the TNC from
their respective bodies, with an agreement to be reached on them
by August 2003. Such a move would effectively lump implementation
items together with other negotiating issues to be taken up at the
Fifth WTO Ministerial in Cancun in September 2003.
India, Brazil,
and many other developing country Members who are pushing for greater
emphasis on implementation, supported the EC proposal, with India
saying that implementation concerns should be addressed in special
sessions of the TNC.
However, the
US, Australia, New Zealand and many agriculture-exporting Latin
American countries disagreed with this approach, largely due to
their opposition to the EC's attempt to elevate GIs. Mexico and
others warned that an attempt to bring all implementation issues
to the TNC could crowd the Cancun agenda and overburden ministers.
Supachai, who is also wary of overloading the Cancun Ministerial,
indicated he would consult on how to move the process forward and
that the TNC would revisit the issue at its next session, currently
scheduled for 4-5 February 2003.
General Council:
LDC accession guidelines adopted
Despite continuing
stalemates on TRIPs & Health and S&D, the General Council
nevertheless approved on 10 December new guidelines streamlining
WTO accession procedures for least-developed countries (LDCs). The
simplified and accelerated accession procedures aim to assist in
integrating LDCs into the global economy, which was identified as
a principal objective at the WTO Ministerial Conference in November
2001. The Doha Ministerial also provided the negotiating mandate
for the guidelines as part of the Work Programme on LDCs. The guidelines,
which will come into effect immediately, focus on the areas of market
access, WTO rules, process and trade-related technical assistance
and capacity building. They exempt LDCs from making excessive concessions
or commitments with regard to market access, grant transitional
periods and arrangements with regard to WTO rules, and provide for
support and technical assistance both with regard to the accession
process and general integration into the multilateral trading system.
The guidelines
(WT/COMTD/LDC/12, accessible at http://docsonline.wto.org) had been
forwarded from the Sub-Committee on LDCs, where they were agreed
on 2 December following negotiations chaired by Ambassador Johan
Molander of Sweden.
It was also
announced at the General Council that the Secretariat was working
on the establishment of a new division dedicated to LDC concerns.
This was welcomed by LDC Members.
The General
Council also agreed on the Protocol of Accession for Armenia. Once
approved by Armenia's legislature, the country will become a WTO
Member thirty days after the WTO Secretariat receives official notification
of ratification.
Internal
transparency
Following the
adoption of a Chair's paper on procedures for the appointment of
Directors-General (WT/GC/W/482/Rev.1), Members engaged in a lengthy
debate around two issues that remain unresolved. Firstly, it remains
unclear, Members say, whether or not there should be a rotation
of D-Gs between developed and developing countries. Developing countries
argue that this should be the "first and driving force"
of D- G appointments. Secondly, countries pointed to a lack of clarity
around the issue of voting, specifically the phrase "additional
procedures of voting to be decided when necessary". Members
say this leaves the process open to interpretation and effectively
undermines the communication. A second document -- Guidelines for
Appointment of Officers to WTO Bodies (JOB(02)198/Rev.1) -- was
adopted without any debate.
However, a third
document forwarded by the Chair, "Internal Transparency and
Effective Participation of Members - Preparatory Process in Geneva
and Negotiating Procedure at Ministerial Conferences" was not
approved. Some Members questioned whether their views had been fully
taken into account in the paper, with Bulgaria and India expressing
concerns that the process in the Chair's statement would leave the
question of small-scale informal meetings too open. India said it
wanted to continue consultations and come up with further guidelines.
WTO sources indicated that it was unlikely this item would be resolved
before Cancun.
The General
Council will continue meeting through this week; BRIDGES Weekly
will report on further outcomes in subsequent editions.
ICTSD reporting;
"Director-General Supachai welcomes agreement streamlining
LDC membership Initial," WTO PRESS RELEASE, 3 December 2002.
"Pascal Lamy welcomes agreement for accelerated accession of
poorest countries to the WTO," EC PRESS RELEASE, 10 December
2002.
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