NEW DEADLINE SET FOR DSU NEGOTIATIONS

WTO Members have agreed on an end-May 2004 deadline for reforming the Dispute Settlement Understanding (DSU). The special session of the Dispute Settlement Body (DSB) missed its deadline on 31 May this year for completing the reform (see BRIDGES Weekly, 4 June 2003), and has been meeting informally since then. The new deadline was agreed at an informal meeting on 10 July, and formally adopted at the General Council at its 24-25 July meeting (see related story, this issue). Members had disagreed on the scope of negotiations. While a number of Members wanted to base negotiations solely on a text circulated by Chair Péter Balás (Hungary) in late May, the US and EU preferred to see some of their proposals included or better reflected in the text. Members ended up agreeing on the latter option, leaving the text open to additional proposals.

ICTSD reporting; "WTO Members Set to Agree on May 2004 Deadline for Dispute Reform Negotiations," WTO REPORTER, 18 July 2003.

CAMBODIA'S TOUGH WTO MEMBERSHIP NEGOTIATIONS COMPLETED

The WTO working party handling Cambodia's membership negotiation on 22 July adopted its accession package, which contains Cambodia's commitments under various WTO agreements, and its promises on market access for goods and services. The US, India and Panama were the last Members to sign the bilateral agreements with Cambodia, following agreements with the EU, Japan and others (see BRIDGES Weekly, 15 July 2003). The final decision approving Cambodia's membership will be made at the fifth WTO Ministerial Conference in Cancún on 10-14 September, and Cambodia will become a Member 30 days after ratifying the agreement. According to Working Party Chair Meloni and Cham Prasidh, Cambodian Minister of Commerce, the WTO membership will provide Cambodia the opportunity to fully integrate into the world economy. However, the Cambodian Minister stressed that the accession process had been difficult, and some observers commented that the package of concessions and commitments went far beyond what was commensurate with the level of development of an LDC like Cambodia. Indeed, the terms of accession accepted by Cambodia go beyond what applies to existing WTO LDC Members (See BRIDGES Monthly, June 2003). For example, Cambodia has committed to applying the Agreement on Trade-related Aspects of Intellectual Property Rights no later than 1 January 2007, while existing LDC WTO Members were granted a 10-year transition period for their introduction. In addition, Cambodia will bind its agricultural export subsidies at zero, and will not maintain or apply any export subsidies for agricultural products. After the approval of the final package, the Malaysian delegation expressed "deep regret" over the "onerous demands made by Members to acceding countries like Cambodia".

ICTSD reporting.