WTO's 5. ministerkonference i Cancun - Mexico: ministererklæring
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emmerne af Folketingets Europaudvalg
res stedfortrædere
Journalnummer
Kontor
400.C.2-0
EU-sekr.
26. august 2003
Til underretning for Folketingets Europaudvalg vedlægges vedrørende WTO's 5. mini-
sterkonference i Cancún: Udkast af 24. august 2003 til Cancún-ministererklæring.
JOB(03)/150/Rev.1
24 August 2003
Preparations for the Fifth Session of the Ministerial Conference
Draft Cancún Ministerial Text
Revision
The attached revised draft Cancún Ministerial Text is being circulated by the Chairman
of the General Council on his own responsibility, in close cooperation with the Director-
General. The Text will be taken up for discussion at a meeting of the General Council scheduled
for the week of 25 August, which will be preceded by an informal meeting of Heads of Delegati-
ons. The Text does not purport to be agreed in any part at this stage, and is without prejudice to
any delegation's position on any issue.
_______________
Draft Cancún Ministerial Text
1.
We reaffirm our Declarations made at Doha and the decisions we took there. We take
note of the progress that has been made towards carrying out the Work Programme agreed at
Doha, and recommit ourselves to completing it fully. We also renew our determination to
conclude the negotiations launched at Doha successfully by the agreed date of 1 January 2005.
2.
In pursuance of these objectives, we agree as follows:
TRIPS &
Public Health
3.
We welcome the decision on implementation of paragraph 6 of the Do-
ha Declaration on the TRIPS Agreement and Public Health set out in document
[…].
Agriculture nego-
tiations
4.
We reaffirm our commitment to the mandate on agriculture as set out in
paragraph 13 of the Doha Ministerial Declaration. We take note of the progress
made by the Special Session of the Committee on Agriculture in this regard and
agree to intensify work to translate the Doha objectives into reform modalities.
To this end, we adopt the framework set out in Annex A to this document con-
cerning the further commitments and related disciplines on key outstanding
issues on market access, export competition and domestic support as the basis
for concluding the work in these areas. We direct the Special Session of the
Committee on Agriculture to conclude its work on establishing modalities for
the further commitments, including provisions for special and differential treat-
ment, by [...]. We agree that participants will submit their comprehensive draft
Schedules based on these modalities no later than [...] and confirm that the ne-
gotiations, including with respect to rules and disciplines and related legal texts,
shall be concluded as part and at the date of conclusion of the negotiating agen-
da as a whole.
NAMA negotia-
tions
5.
We reaffirm our commitment to the mandate for negotiations on market
access for non-agricultural products as set out in paragraph 16 of the Doha Mi-
nisterial Declaration. We take note of the progress made by the Negotiating
Group on Market Access in this regard and agree to intensify work to translate
the Doha objectives into modalities for these negotiations. To this end, we
adopt the framework for modalities for negotiations on non-agricultural pro-
ducts set out in Annex B to this document. We direct the Negotiating Group to
conclude its work on establishing modalities by [...] and to take the necessary
further steps to ensure the conclusion of negotiations by the agreed date.
Services negotia-
tions
6.
We are committed to intensifying our efforts to bring the negotiations
on specific commitments to conclusion. We stress the importance of full enga-
gement by all participants, inter alia through the continuous exchange of requests
and offers. With a view to providing effective market access to all Members,
due regard shall be given to the quality of offers, particularly in sectors and mo-
des of supply of export interest to developing countries. We call upon those
participants who have not yet submitted their initial offers to do so as soon as
possible. Improved offers should be submitted by [...]. We are also committed
to intensifying our efforts to conclude the negotiations on rule-making under
GATS Articles VI:4, X, XIII, and XV in accordance with their respective man-
dates and deadlines, noting the deadline of 15 March 2004 for emergency safe-
guard measures. The Special Session of the Council for Trade in Services shall
review progress in these negotiations by 31 March 2004. We reaffirm that the
negotiations shall aim to achieve progressively higher levels of liberalization with
no a priori exclusion of any service sector or mode of supply and shall give spe-
cial attention to sectors and modes of supply of export interest to developing
countries. We note the interest of developing countries, as well as other Mem-
bers, in Mode 4. In accordance with GATS provisions, there shall be due re-
spect for the right of Members to regulate and to introduce new regulations in
pursuance of national policy objectives.
Text to be added on modalities for the special treatment of least-developed country Members
depending on the outcome of the ongoing consultations.
Rules negotiations
7.
We instruct the Negotiating Group on Rules to accelerate its work on
anti-dumping and subsidies and countervailing measures, including fisheries
subsidies, with a view to shifting its emphasis from identifying issues to seeking
solutions. We note the progress that has been made in the negotiations on
improving transparency in Regional Trade Agreements and encourage the
Group to reach a provisional decision soon on its work on transparency and to
accelerate its work on the clarification and improvement of RTA disciplines
under existing WTO provisions, taking into account the developmental aspects
of RTAs.
TRIPS negotia-
tions
8.
We take note of the progress made in the negotiations on the establish-
ment of a multilateral system of notification and registration of geographical
indications for wines and spirits and instruct the Special Session of the Council
for TRIPS to continue the work as mandated in Article 23.4 of the TRIPS
Agreement and paragraph 18 of the Doha Ministerial Declaration. We agree
that the negotiations shall be completed by [...].
Environment
negotiations
9.
We take note of the progress made by the Special Session of the Com-
mittee on Trade and Environment in developing a common understanding of
the concepts contained in its mandate in paragraph 31 of the Doha Ministerial
Declaration. We reaffirm our commitment to these negotiations.
DSU negotiations
10.
We take note of the progress that has been made in the negotiations on
dispute settlement. We renew our determination to pursue these negotiations
with the aim of completing them not later than May 2004. Further negotiations
shall be carried out on the basis of work done thus far, including the Chairman's
text of 28 May 2003 and other proposals by participants.
S&D treatment
11.
We reaffirm that provisions for special and differential treatment are an
integral part of WTO Agreements. We recall our decision in Doha to review
special and differential treatment provisions with a view to strengthening and
making them more precise, effective and operational. We note the progress that
has been made towards meeting these objectives and adopt the decisions in An-
nex C to this document. We instruct the General Council to continue to moni-
tor closely work on the proposals referred to negotiating groups and other WTO
bodies, and direct these bodies to report to the General Council no later than
[...]. We instruct the Committee on Trade and Development in Special Session
to pursue expeditiously, within the parameters of the Doha mandate, the work
on remaining agreement-specific proposals and other outstanding issues referred
to in TN/CTD/7 and report with recommendations, as appropriate, to the Ge-
neral Council by [...]. The General Council shall submit a report on all these
issues to our next Session.
Implementation
12.
We note that, while some progress has been made under the mandates
we gave at Doha concerning implementation-related issues and concerns, a
number of the issues and concerns raised in this context remain outstanding.
We reaffirm the mandates we gave in paragraph 12 of our Doha Ministerial
Declaration and our Decision on Implementation-Related Issues and Concerns,
and we renew our determination to find appropriate solutions to these issues.
We instruct the Trade Negotiations Committee, negotiating bodies and other
WTO bodies concerned to redouble their efforts to find appropriate solutions as
a priority, and we request the Director-General to continue the consultations he
has undertaken on certain issues, including issues related to the extension of the
protection of geographical indications provided for in Article 23 of the TRIPS
Agreement to products other than wines and spirits. The General Council shall
review progress and take any appropriate action no later than [...].
Investment
13.
[Taking note of the work done by the Working Group on the Rela-
tionship between Trade and Investment under the mandate in paragraphs 20-22
of the Doha Ministerial Declaration, we decide to commence negotiations on
the basis of the modalities set out in Annex D to this document.]
[We take note of the discussions that have taken place in the Working
Group on the Relationship between Trade and Investment since the Fourth
Ministerial Conference. The situation does not provide a basis for the commen-
cement of negotiations in this area. Accordingly, we decide that further clarifica-
tion of the issues be undertaken in the Working Group.]
Competition
14.
[Taking note of the work done by the Working Group on the Interac-
tion between Trade and Competition Policy under the mandate in paragraphs
23-25 of the Doha Ministerial Declaration, we decide to commence negotiations
on the basis of the modalities set out in Annex E to this document.]
[We take note of the discussions that have taken place in the Working
Group on the Interaction between Trade and Competition Policy since the
Fourth Ministerial Conference. The situation does not provide a basis for the
commencement of negotiations in this area. Accordingly, we decide that further
clarification of the issues be undertaken in the Working Group.]
Government Procu-
rement
15.
[Taking note of the work done by the Working Group on Transparency
in Government Procurement under the mandate in paragraph 26 of the Doha
Ministerial Declaration, we decide to commence negotiations on the basis of the
modalities set out in Annex F to this document.]
[We take note of the discussions that have taken place in the Working
Group on Transparency in Government Procurement since the Fourth Ministe-
rial Conference. The situation does not provide a basis for the commencement
of negotiations in this area. Accordingly, we decide that further clarification of
the issues be undertaken in the Working Group.]
Trade Facilitation
16.
[Taking note of the work done on trade facilitation by the Council for
Trade in Goods under the mandate in paragraph 27 of the Doha Ministerial
Declaration, we decide to commence negotiations on the basis of the modalities
set out in Annex G to this document.]
[We take note of the discussions that have taken place on Trade Facilita-
tion in the Council for Trade in Goods since the Fourth Ministerial Conference.
The situation does not provide a basis for the commencement of negotiations in
this area. Accordingly, we decide that further clarification of the issues be un-
dertaken in the Council for Trade in Goods.]
Small Economies
17.
We reaffirm our commitment to the Work Programme on Small Eco-
nomies and urge Members to adopt specific measures that would facilitate the
fuller integration of small, vulnerable economies into the multilateral trading
system. We take note of the report of the Committee on Trade and Develop-
ment in Dedicated Session on the Work Programme on Small Economies to the
General Council and the recommendations made therein. We instruct the
Committee on Trade and Development, under the overall responsibility of the
General Council, to continue the work in the dedicated sessions with the aim of
completing it as soon as possible but no later than 1 January 2005. We instruct
the General Council to report on progress and action taken, together with any
further recommendations as appropriate, to our next Session.
Trade, Debt &
Finance
18.
We take note of the report transmitted by the General Council on pro-
gress in the examination of the relationship between trade, debt and finance and
agree that this work shall continue on the basis of the mandate contained in pa-
ragraph 36 of the Doha Ministerial Declaration and the progress made in the
Working Group to date. The General Council shall report further to our next
Session.
Trade & Transfer
of Technology
19.
We take note of the report transmitted by the General Council on pro-
gress in the examination of the relationship between trade and transfer of tech-
nology and agree that this work shall continue on the basis of the mandate con-
tained in paragraph 37 of the Doha Ministerial Declaration and the progress
made in the Working Group to date. The General Council shall report further
to our next Session.
CTE report
20.
We take note of the report transmitted by the General Council on the
work undertaken by the Committee on Trade and Environment pursuant to
paragraphs 32 and 33 of the Doha Ministerial Declaration. We agree that this
work shall continue on the basis of the progress made thus far and instruct the
General Council to report to our next Session.
TRIPS non-
violation
21.
We take note of the work done by the Council for Trade-Related
Aspects of Intellectual Property Rights pursuant to paragraph 11.1 of the Doha
Decision on Implementation-Related Issues and Concerns and direct it to conti-
nue its examination of the scope and modalities for complaints of the types pro-
vided for under subparagraphs 1(b) and 1(c) of Article XXIII of GATT 1994
and make recommendations by [...]. It is agreed that, in the meantime, Members
will not initiate such complaints under the TRIPS Agreement.
E-commerce
22.
We take note of the reports from the General Council and subsidiary
bodies on the Work Programme on Electronic Commerce, and agree to conti-
nue the examination of issues under that ongoing Work Programme, with the
current institutional arrangements. We instruct the General Council to report
on further progress to our next Session. We declare that Members will maintain
their current practice of not imposing customs duties on electronic transmissi-
ons until that Session.
Technical Coopera-
tion
23.
We welcome the report by the Director-General on the implementation
and adequacy of the commitments on technical cooperation and capacity buil-
ding we made in our Doha Ministerial Declaration and request him to report
further to our next Session. We note with satisfaction the establishment of the
Doha Development Agenda Global Trust Fund since our last meeting and en-
courage Members to ensure adequate financing for future technical cooperation
and capacity building programmes. We direct that in the planning of such pro-
grammes, consultations should be undertaken with beneficiary countries and
priority given to their individual needs through both regional and national activi-
ties. We welcome the improved collaboration and coordination with other
agencies, including under the Integrated Framework for Trade-Related Techni-
cal Assistance for the Least-Developed Countries and Joint Integrated Technical
Assistance Programme. We commend the work undertaken in this respect by
the Director-General and the Secretariat, and encourage the continuation of
these and other efforts so as to facilitate the greater participation of developing
countries in the multilateral trading system.
LDCs
24.
We welcome the report by the Director-General on issues affecting
Least-Developed Countries (LDCs). We reaffirm our commitment to effective-
ly integrate LDCs into the multilateral trading system. In this regard, we
acknowledge the seriousness of the concerns of the LDCs, as expressed in the
Dhaka Declaration, adopted by their Ministers in June 2003. We take note that
issues of interest to LDCs are being addressed in all areas of the negotiations.
Building upon our commitment in the Doha Declaration we shall continue to
expeditiously pursue the objective of duty-free and quota-free market access for
products originating from LDCs. We urge Members to adopt and implement
rules of origin so as to facilitate exports from LDCs. In this regard, we appre-
ciate the improved market access measures adopted by several Members.
Furthermore, in accordance with our commitment in the Doha Ministerial
Declaration, we shall take additional measures for progressive improvements in
market access, both at the border and otherwise. In services, we [shall give prio-
rity to the sectors and modes of supply of export interest to LDCs, particularly
in regard to movement of service providers under Mode 4.] We further com-
mit ourselves to provide effective trade-related technical assistance and capacity
building to LDCs on a priority basis in helping to overcome their weak human,
institutional and trade-related capacity. In this regard, we reiterate our endorse-
ment of the Integrated Framework (IF) and agree that it can truly become a
viable model for LDCs' trade development if it effectively contributes to redu-
cing supply-side constraints including through mainstreaming trade into their
national development and poverty reduction strategies. We welcome the joint
communiqué adopted by the six IF core agencies at their Third Heads of Agen-
cy meeting and urge them to intensify their assistance in trade-related infrastruc-
ture, private sector development and institution building to help countries ex-
pand and diversify their export base. We also urge cooperation with other bila-
teral and multilateral development partners. We request the Director-General to
report to our next Session on further developments.
Sectoral Initiative
on Cotton
25.
We take note of the proposal by Burkina Faso, Benin, Chad and Mali
entitled "Poverty Reduction: Sectoral Initiative in Favour of Cotton" and agree
that [...].
Commodity Issues
26.
Taking into account the dependence of many developing countries on a
few commodities and the problems created by long-term declines and sharp
fluctuations in the prices of these commodities, we instruct the Committee on
Trade and Development, within its mandate, to continue with its work on this
issue in cooperation with other relevant international organizations and report
on progress to the General Council before our next Session. We recognize also
that various trade-related aspects of this issue could be addressed in the ongoing
negotiations, particularly in the framework of the negotiations on agriculture and
non-agricultural market access.
Coherence
27.
We appreciate the efforts that have been made by the Director-General
to strengthen the WTO's collaboration with the IMF and the World Bank in the
context of our Marrakesh mandate on achieving greater coherence in global
economic policy-making. We encourage the Director-General and the General
Council to follow-up on the General Council meeting on Coherence that was
held in May 2003. We particularly welcome the statement of support from the
Executive Heads of the IMF and the World Bank, contained in their letter to the
Director-General of 20 August 2003, to work with the WTO to address pro-
blems that some developing-country Members may encounter in adjusting to a
more liberal trade environment, through preference erosion, loss of tariff reve-
nue, or other factors. We invite the Director-General to report to us at our next
Session on initiatives that have been taken in this area.
Accessions
28.
We note with particular satisfaction that this Conference has completed
the accession procedures for Cambodia and Nepal. This marks the entry of the
first two LDCs into the WTO under Article XII of the WTO Agreement. In
this regard, we take the opportunity to reaffirm our commitment to the Guide-
lines on the Accession of LDCs adopted by the General Council on
10 December 2002, and to facilitate and accelerate their accession. We also wel-
come Armenia and the Former Yugoslav Republic of Macedonia as new Mem-
bers since our last Session. We confirm that these accessions, as those of the
25 governments now negotiating accession, will greatly strengthen our multilate-
ral trading system. We shall therefore continue to give our attention and priority
to concluding the ongoing accession proceedings as rapidly as possible.
_______________
Annex A
Framework for Establishing Modalities in Agriculture
Participants reaffirm their commitment to the mandate on agriculture as
set out in paragraph 13 of the Doha Ministerial Declaration. Participants recogni-
ze that reforms in all areas of the negotiations are inter-related and agree to
conclude the work to establish modalities for the further commitments, including
provisions for special and differential treatment, within the timeframe specified in
paragraph 4 of the Cancún Ministerial Text, on the basis of the following frame-
work:
Domestic Support
1.
The Doha Ministerial Declaration calls for “substantial reductions in trade-distorting domestic
support'. All developed countries shall achieve reductions in trade-distorting support significantly
larger than in the Uruguay Round, that will result in Members having the higher trade-distorting sub-
sidies making greater efforts.
Reductions shall take place under the following parameters:
1.1.
Reduce the Final Bound Total AMS in the range of […]% - […]%.
1.2
Reduce de minimis by […]%.
1.3
Article 6.5 of the Agreement on Agriculture will be modified so as Members may have re-
course to the following measures:
(i) direct payments if:
- such payments are based on fixed areas and yields; or
- such payments are made on 85% or less of the base level of production; or
- livestock payments are made on a fixed number of head.
(ii) support under 1.3(i) shall not exceed 5% of the total value of agriculture production in
the 2000-2002 period by […]. Subsequently, such support shall be subject to an annual linear
reduction of […]% for a further period of […] years.
1.4
The sum of allowed support under the AMS, support under paragraph 1.3(i) and de minimis
shall be reduced in the first period referred to in paragraph 1.3(ii) so that it is significantly less
than the sum of de minimis, payments under Article 6.5, and the final bound AMS level, in
2000.
1.5
Green Box criteria remain under negotiation.
Special and differential treatment
1.6
Having regard to their development, food security and/or livelihood security needs, de-
veloping countries shall benefit from special and differential treatment, including lower
reductions of trade-distorting domestic support under paragraphs 1.1, 1.3 and 1.4 above,
longer implementation periods and with respect to the provisions of Article 6.2 of the
Agreement on Agriculture and of the Green Box.
1.7
Developing countries shall be exempt from the requirement to reduce de minimis trade-
distorting domestic support.
Market Access
2.
The Doha Ministerial Declaration calls for “substantial improvements in market access.'
Negotiations should therefore provide increased access opportunities for all and in particular
for the developing countries. To achieve this, commitments shall be based on the following
parameters:
2.1
The formula applicable for tariff reduction by developed countries shall be a blended formula
under which each element will contribute to substantial improvement in market access. The
formula shall be as follows:
(i)
[…]% of tariff lines shall be subject to a […]% average tariff cut and a minimum
of […]%; for these import-sensitive tariff lines market access increase will result
from a combination of tariff cuts and TRQs.
(ii)
[…]% of tariff lines shall be subject to a Swiss formula coefficient […].
(iii)
[…]% of tariff lines shall be duty-free.
2.2
For the tariff lines that exceed a maximum of […]% developed-country participants shall
either reduce them to that maximum, or ensure effective additional market access in these or
other areas through a request-offer process that could include TRQs.
2.3
The issue of tariff escalation will be effectively addressed.
2.4
The use and duration of the special agricultural safeguard (SSG) remains under negotiation.
Special and differential treatment
2.5
Having regard to their development, food security and/or livelihood security needs, develop-
ing countries shall benefit from special and differential treatment, including lower tariff re-
ductions and longer implementation periods.
2.6
The formula applicable for tariff reductions by developing countries shall be as follows:
(i)
[…]% of tariff lines shall be subject to a […]% average tariff cut and a minimum
of […]%; for these import-sensitive tariff lines market access increase will result
from a combination of tariff cuts and TRQs. Within this category, developing
countries shall have additional flexibility under conditions to be determined to
designate Special Products (SP) which would only be subject to a linear cut of a
minimum of […]% and no new commitments regarding TRQs.
(ii)
[…]% of tariff lines shall be subject to […]% average tariff cut and a minimum of
[…]%.
(iii)
[…]% of tariff lines shall be subject to […]% average tariff cut and a minimum of
[…]%.
or in place of (ii) and (iii) above
(ii)
[…]% of tariff lines shall be subject to a Swiss formula coefficient of […].
2.7
The applicability and/or extent of the provisions of paragraph 2.2 above to developing coun-
tries remain under negotiation, taking into account their development needs.
2.8
A special agricultural safeguard (SSM) shall be established for use by developing countries
subject to conditions and for products to be determined.
2.9
All developed countries will seek to provide duty-free access for at least […]% of imports
from developing countries through a combination of MFN and preferential access.
2.10
Participants undertake to take account of the importance of preferential access for developing
countries.
Export Competition
3.
The Doha Ministerial Declaration calls for “reductions of, with a view to phasing out, all
forms of export subsidies.' To achieve this, disciplines shall be established on export subsi-
dies, export credits, export state trading enterprises, and food aid programs. Reduction com-
mitments shall be applied in a parallel manner according to the following parameters:
3.1
With regard to export subsidies:
-
Members shall commit to eliminate over a […] year period export subsidies for
the following products of particular interest to developing countries […];
-
for the remaining products, Members shall commit to reduce, with a view to pha-
sing out, budgetary and quantity allowances for export subsidies.
3.2
With regard to export credits:
-
Members shall commit to eliminate, over the same period as in the first indent of
paragraph 3.1 the trade-distorting element of export credits through disciplines
that reduce the repayment terms to commercial practice ([…] months), for the
same products in the second indent of paragraph 3.1 in a manner that is equiva-
lent in effect;
-
for the remaining products, a reduction effort, with a view to phasing out, that is
parallel to the reduction in the second indent of paragraph 3.1 in its equivalent ef-
fect for export credits shall be undertaken.
3.3.
Without prejudging the outcome of the negotiations, reductions of, with a view to pha-
sing out, all forms of export subsidies mentioned in paragraphs 3.1 and 3.2 will occur on
a schedule that is parallel in its equivalence of effect on export subsidies and export cre-
dits.
3.4
The provisions related to the reductions of, with a view to phasing out, all forms of ex-
port subsidies under paragraphs 3.1, 3.2 and 3.3 above shall apply equally to all forms of
export subsidies related to or provided, directly or indirectly, to, by or through export
state trading enterprises.
3.5
Additional disciplines shall be agreed in order to prevent commercial displacement through
food aid operations.
3.6
The question of the end date for phasing out of all forms of export subsidies remains under
negotiation.
3.7
Strengthening of Article 12 of the Agreement on Agriculture on export prohibitions and ex-
port restrictions will be addressed in the negotiations.
Special and differential treatment
3.8
Developing countries shall benefit from longer implementation periods for reductions
of, with a view to phasing out, all forms of export subsidies.
3.9
Until such time as the phasing out of all forms of export subsidies is completed, develo-
ping countries shall continue to benefit from the special and differential treatment provi-
sions of Article 9.4 of the Agreement on Agriculture.
3.10
Participants shall ensure that the disciplines on export credits to be agreed shall make
appropriate provision for differential treatment in favour of least-developed and net
food-importing developing countries as provided for in paragraph 4 of the Decision on
Measures Concerning the Possible Negative Effects of the Reform Programme on Least-
Developed and Net Food-Importing Developing Countries.
Other
4.
Least-developed countries shall be exempt from reduction commitments. The objective
of duty-free and quota-free market access for products originating from least-developed
countries shall be expeditiously pursued.
5.
The particular concerns of recently acceded Members shall be effectively addressed.
6.
Subject to the provisions of the framework set out in paragraphs 1 to 5 above, relevant parts
of the Revised First Draft of Modalities and the related questions specified in the report of the
Chairman of the Committee on Agriculture Special Session to the TNC (TN/AG/10 refers)
will serve as reference documents for the further work on modalities, including with respect
to the following issues of interest but not agreed: product-specific commitments in domestic
support, terms of expansion/opening of TRQs, in-quota tariff rates, single desk export privi-
leges, export taxes, proposals for flexibility for certain groupings, certain non-trade concerns,
implementation period, sectoral initiatives, inter-pillar linkages, peace clause, continuation
clause, GIs, and other detailed rules.
Annex B
Framework for Establishing Modalities in
Market Access for Non-Agricultural Products
1.
We reaffirm that negotiations on market access for non-agricultural products shall aim to
reduce or as appropriate eliminate tariffs, including the reduction or elimination of tariff peaks,
high tariffs, and tariff escalation, as well as non-tariff barriers, in particular on products of export
interest to developing countries. We also reaffirm the importance of special and differential
treatment and less than full reciprocity in reduction commitments as integral parts of the modali-
ties.
2.
We acknowledge the substantial work undertaken by the Negotiating Group on Market
Access and the progress towards achieving an agreement on negotiating modalities. We take
note of the constructive dialogue on the Chair's Draft Elements of Modalities
(TN/MA/W/35/Rev.1) and confirm our intention to use this document as a reference for the
future work of the Negotiating Group. We instruct the Negotiating Group to continue its work,
as mandated by paragraph 16 of the Doha Ministerial Declaration with its corresponding refer-
ences to the relevant provisions of Article XXVIII bis of GATT 1994 and to the provisions cited
in paragraph 50 of the Doha Ministerial Declaration, on the basis set out below.
3.
We recognize that a formula approach is key to reducing tariffs, and reducing or eliminat-
ing tariff peaks, high tariffs, and tariff escalation. We agree that the Negotiating Group should
continue its work on a non-linear formula applied on a line-by-line basis which shall take fully
into account the special needs and interests of developing and least-developed country partici-
pants, including through less than full reciprocity in reduction commitments.
4.
We further agree on the following elements regarding the formula:
-
product coverage shall be comprehensive without a priori exclusions;
-
tariff reductions or elimination shall commence from the bound rates after full
implementation of current concessions; however, for unbound tariff lines, the
basis for commencing the tariff reductions shall be [two] times the MFN applied
rate in the base year;
-
the base year for MFN applied tariff rates shall be 2001 (applicable rates on
14 November);
-
credit shall be given for autonomous liberalization provided that the tariff lines
were bound on an MFN basis in the WTO since the conclusion of the Uruguay
Round;
-
all non-ad valorem duties shall be converted to ad valorem equivalents on the basis
of a methodology to be determined and bound in ad valorem terms;
-
negotiations shall commence on the basis of the HS96 or HS2002 nomenclature,
with the results of the negotiations to be finalized in HS2002 nomenclature;
-
the reference period for import data shall be 1999-2001.
5.
We furthermore agree that, as an exception, participants with a binding coverage of non-
agricultural tariff lines of less than [35] percent would be exempt from making tariff reductions
through the formula. Instead, we expect them to bind [100] percent of non-agricultural tariff
lines at an average level that does not exceed the overall average of bound tariffs for all develop-
ing countries after full implementation of current concessions.
6.
We recognize that a sectorial tariff component, aiming at elimination or harmonization is
another key element to achieving the objectives of paragraph 16 of the Doha Ministerial Declara-
tion with regard to the reduction or elimination of tariffs, in particular on products of export
interest to developing countries. We recognise that participation by all participants will be im-
portant to that effect. We therefore encourage the Negotiating Group to pursue its discussions
on such a component, which includes adequate provisions of flexibility for developing-country
participants.
7.
We agree that developing-country participants shall have longer implementation periods
for tariff reductions. In addition, they would be given the flexibility of keeping tariff lines un-
bound, as an exception, or not applying formula cuts, for up to [5] percent of tariff lines provi-
ded they do not exceed [5] percent of the total value of a Member's imports. We furthermore
agree that this flexibility could not be used to exclude entire HS Chapters.
8.
We agree that least-developed country participants shall not be required to apply the
formula nor participate in the sectorial approach, however, as part of their contribution to this
round of negotiations, they are expected to substantially increase their level of binding commit-
ments. Furthermore, in recognition of the need to enhance the integration of least-developed
countries into the multilateral trading system and support the diversification of their production
and export base, we call upon developed-country participants and other participants who so de-
cide, to grant on an autonomous basis duty-free and quota-free market access for non-
agricultural products originating from least-developed countries by the year […].
9.
We recognize that newly acceded Members shall have recourse to special provisions for
tariff reductions in order to take into account their extensive market access commitments under-
taken as part of their accession and that staged tariff reductions are still being implemented in
many cases. We instruct the Negotiating Group to further elaborate on such provisions.
10.
We agree that pending agreement on core modalities for tariffs, the possibilities of sup-
plementary modalities such as zero-for-zero sector elimination, sectorial harmonization, and re-
quest & offer, should be kept open. In addition, we ask participants to consider the elimination
of low duties.
11.
We recognize that NTBs are an integral part of these negotiations and request partici-
pants to intensify their work on NTBs. In particular, we encourage all participants to make noti-
fications on NTBs by 31 October 2003 and to proceed with identification, examination, catego-
rization, and ultimately negotiations on NTBs. We take note that the modalities for addressing
NTBs in these negotiations could include request/offer, horizontal, or vertical approaches; and
should fully take into account the principle of special and differential treatment for developing
and least-developed country participants.
12.
We recognize that appropriate studies and capacity building measures shall be an integral
part of the modalities to be agreed. We also recognize the work that has already been under-
taken in these areas and ask participants to continue to identify such issues to improve participa-
tion in the negotiations.
13.
The following issues of importance shall be further considered: non-reciprocal prefer-
ence erosion and high tariff revenue dependency.
Annex C
Special and Differential Treatment
GATT 1994 - Article XVIII:C
"The General Council instructs the Council on Trade in Goods to develop and adopt procedures
for recourse to Article XVIII:C. The concerns raised by developing countries, especially the least-
developed countries, including those related to the suspension of concessions or other obligati-
ons under Article XVIII:C, shall be addressed."
GATT 1994 - Article XXXVI
"The General Council agrees that the Committee on Trade and Development shall annually re-
view the implementation of Article XXXVI of GATT 1994, and report to the General Council
with concrete recommendations, as agreed, no later than the last General Council of each year."
GATT 1994 - Article XXXVII
"The General Council agrees that any Member may initiate discussions in the Committee on Tra-
de and Development on the basis of Article XXXVII and decides that a Member shall, upon
request, provide a detailed explanation to matters raised in regard to the provisions under pa-
ragraph 1, with a view to reaching a solution that is satisfactory to all Members concerned."
GATT 1994 - Article XXXVIII
“The General Council instructs the Director-General to pursue and conclude cooperation arran-
gements as may be necessary to further the objectives set forth in Article XXXVI of the GATT
1994. The General Council further instructs the Committee on Trade and Development to re-
ceive studies and reports from relevant international agencies and organizations that may assist
Members in analyzing the development plans and policies of individual developing and least-
developed country Members, export potential and market prospects over the short and medium
terms, measures that could be taken in the WTO framework and by other international agencies
and organizations as well as the assistance required by developing and least-developed country
Members to help achieve their respective development goals.'
Understanding on the Interpretation of Article XVII of the GATT 1994
"While acknowledging that the provisions of Article XVII of the GATT 1994 apply to all Mem-
bers, Members recognize that state trading enterprises may have a significant role to play in pro-
moting and protecting public policy objectives in developing and least-developed country Mem-
bers."
Understanding on Balance-of-Payments Provisions of the GATT 1994 –Paragraph 8
"The General Council mandates the Committee on Balance-of-Payments Restrictions to examine
ways and means of simplifying the administrative requirements within the full consultation pro-
cedures."
Enabling Clause
"The General Council confirms that the terms and conditions of the Enabling Clause shall apply
when action is taken by Members under the provisions of this Clause."
Agreement on Agriculture – Article 15.2
"The General Council confirms that least-developed country Members remain exempt from re-
duction commitments, as provided in Article 15.2, unless decided otherwise by consensus."
PSI Agreement - Article 3.3
"(a)
The General Council agrees that technical assistance for purposes of the Agreement on
Preshipment Inspection shall address the concerns of developing and least-developed country
Members relating among others to:
(i) training customs and revenue officials to promote and achieve the objectives of the
Agreement on Preshipment Inspection through the activities defined in Article 1.3 of the
Agreement, in order to ensure the proper inspection of consignments to be exported to
the user Member, and the prevention of false declaration, wrong classification and any
fraud;
(ii) regulation of preshipment entities.
(b)
The General Council further agrees that customs authorities of Members shall, in accor-
dance with paragraph 8.3 of the Decision on Implementation-Related Issues and Concerns, clo-
sely cooperate in the context of the Agreement on Customs Valuation, and of the Decision Re-
garding Cases where Customs Administrations Have Reasons to Doubt the Truth or Accuracy of
the Declared Value."
Agreement on Rules of Origin
"In regard to preferential rules of origin under the Common Declaration in Annex II to the
Agreement, the General Council agrees that in their arrangements for mutual reduction or elimi-
nation of tariff or non-tariff barriers, developing and least-developed country Members shall
have the right to adopt preferential rules of origin designed to achieve trade policy objectives
relating to their rapid economic development, particularly through generating regional trade.
Furthermore, the General Council instructs the Director-General to take action to facilitate the
increased participation of developing and least-developed country Members in the activities of
the Technical Committee on Rules of Origin of the World Customs Organisation as well as to
coordinate with this organization in identifying technical and financial assistance needs of deve-
loping and least-developed country Members, and report to the Committee on Rules of Origin
and the Council for Trade in Goods periodically, and the General Council as appropriate."
Agreement on Import Licensing Procedures – Article 1.2
"It is understood that the requirement to take into account the "development purposes and fi-
nancial and trade needs of developing country Members" in Article 1.2 of the Agreement means
that the burden of the administrative procedures used to implement import licensing regimes
shall be further reduced in order to facilitate trade of developing country Members and minimize
possible adverse effects to their trade, including by making import licensing procedures as expe-
ditious as possible."
GATS – Article IV
"Pursuant to Article IV.3 of the GATS, in all services negotiations, whether broad-based rounds
of negotiations or separate negotiations on specific sectors, modalities shall be developed in or-
der to allow the priorities of least-developed country Members to be presented and duly taken
into account."
GATS - Article IV.3
"The General Council agrees that the information to be provided by Members shall indicate how
the requirement that special priority be given to least-developed country Members in the imple-
mentation of paragraphs 1 and 2 of Article IV is being met, and that contact points, in this con-
text, shall provide information of particular interest to services suppliers from least-developed
country Members."
GATS – Article XXV
"The General Council instructs the WTO Secretariat to pursue with a view to concluding arran-
gements with relevant international institutions that have the technical assistance capacity to as-
sist developing and least-developed country Members in addressing their supply-side and in-
frastructural constraints and their development needs in the services sector. This shall be
without prejudice to the prerogative of the Council for Trade in Services to decide upon techni-
cal assistance to developing countries which shall be provided at the multilateral level by the
Secretariat, in accordance with Article XXV.2."
GATS, Annex on Telecommunications – Paragraph 6
"The General Council instructs the Council for Trade in Services to put in place arrangements
for prompt notification of any measures taken with regard to the implementation of subpa-
ragraphs (a) to (d) of paragraph 6 of the Annex on Telecommunications."
TRIPS Agreement – Article 66.2
"Members, having regard to Article 66.2 of the Agreement on Trade-Related Aspects of Intellec-
tual Property Rights, and having regard to the decision of the TRIPS Council of 19 February
2003, contained in document IP/C/28, reaffirm that this decision be expeditiously implemented
in a way that ensures the monitoring and full implementation of the obligations in Article 66.2."
TRIPS Agreement – Article 67
"The General Council agrees that technical and financial cooperation, in accordance with Article
67, shall be provided on request and on mutually agreed terms and conditions, with due conside-
ration given to comprehensive programmes comprising such components as improving the rele-
vant legal framework in line with the general obligations of the Agreement, enhancing enforce-
ment mechanisms, increasing training of personnel at the various levels, assisting in the prepara-
tion of laws and procedures in an effort to encourage and monitor technology transfer, making
use of the rights and policy flexibility in the Agreement, and strengthening or establishing coor-
dination between intellectual property rights, investment and competition authorities.
The General Council instructs the Council for Trade-Related Aspects of Intellectual Property
Rights to annually review the state of implementation of the Agreement between the World In-
tellectual Property Organization and the World Trade Organisation, taking into account oppor-
tunities for technical assistance as provided for in the Agreement."
TRIPS Agreement – Article 70.9
"For purposes of the requirement to grant exclusive marketing rights during transition periods, it
is understood that there is a clear distinction between “patent rights' on the one hand and “ex-
clusive marketing rights' on the other. Patent rights are set out in Article 28 of the TRIPS
Agreement. Exclusive marketing rights are not the same as patent rights. Members have the
right to define exclusive marketing rights, so long as the definition accords with the meaning of
the term in the TRIPS Agreement as interpreted under the rules of public international law.
There is no requirement to grant exclusive marketing rights unless marketing approval is granted
in that WTO Member for which exclusive marketing rights is sought."
Understanding on Rules and Procedures Governing the Settlement of Disputes – Article
8.10
"Pursuant to Article 8.10 of the DSU, the General Council agrees that in disputes between a de-
veloping country Member and a developed-country Member, at least one panellist shall be from
a developing country Member, unless the developing country Member party to the dispute wai-
ves this right."
Decision on Measures in Favour of Least-Developed Countries – Paragraph 2 (v)
"The General Council agrees that the WTO through its participation in the Integrated Frame-
work and JITAP and other relevant institutions will work to ensure that supply-side constraints
of the LDCs are identified in the Diagnostic Trade Integration Studies (DTIS) and are addressed
in the implementation and follow-up taking into account the specific circumstances of each be-
neficiary country. The General Council also instructs the Sub-Committee of the LDCs to under-
take a biennial review of the implementation of the DTIS and to monitor the possible impact of
assistance that is targeted towards the diversification of exports from LDCs, including through
comparing the composition and concentration of LDCs' export structures over time and across
LDCs and through the establishment of other relevant indicators."
Rules Relating to Notification Procedures
"Recognizing the practical difficulties faced by least-developed country Members in abiding fully
by their notification obligations, the General Council instructs the Sub-Committee on Least-
Developed Countries to examine possible improvements to the notification procedures for least-
developed country Members, taking into account the experience regarding Secretariat produced
reports that helped fulfil some of these requirements. In conducting its examination, the Sub-
Committee shall seek the input of relevant WTO bodies, which may be in a position to advise on
practical means for improving the notification procedures in relation to least-developed country
Members, for example the possibility of longer timeframes, specified exemptions and simplified
procedures for notifications, and cross-notifications. The Committee on Trade and Develop-
ment shall forward the Sub-Committee's report to the General Council by 31 December 2003
for appropriate action."
Enabling Clause 1
"The General Council agrees that in formulating schemes under paragraph 2(a), (b) and (c) of the
Enabling Clause, and in furtherance of paragraph 3 thereof, developed-country Members will
take into account, among other factors, the needs of developing and least-developed country
Members [and consult with them] with a view to ensuring that their products of export interest
are accorded meaningful market access. The Committee on Trade and Development will annual-
ly review the progress made in this regard and report to the General Council with recommenda-
tions, if any."
[Review of Progress on Market Access for Least-Developed Countries] 1
"We recall paragraph 2(d) of the Decision on Differential and More Favourable Treatment, Re-
ciprocity and Fuller Participation of Developing Countries, and Members' commitment to the
objective of duty-free, quota-free market access for products originating from least-developed
countries, as contained in paragraph 42 of the Doha Ministerial Declaration. The General Coun-
cil agrees to review the progress made in providing access to the least-developed countries on the
above basis."
Decision on Measures in Favour of Least-Developed Countries – Paragraph 2 (ii) 1
"Without prejudice to the binding commitments that may result from work under Paragraphs 13,
16 and 42 of the Doha Ministerial Declaration, and building upon our commitment in the Doha
Ministerial Declaration, Members shall continue to expeditiously pursue the objective of duty-
free and quota-free market access for products originating from [all] least-developed countries in
a manner that ensures security and predictability. We urge Members to adopt and implement
rules of origin so as to facilitate exports from least-developed countries."
1
These proposals have been agreed to ad referendum.
Annex D
Relationship between Trade and Investment
1.
The objective of the negotiations shall be to establish an agreement to secure transparent,
stable and predictable conditions for [long term cross-border investment, particularly foreign
direct investment][foreign direct investment], that will contribute to the expansion of trade, and
the need for enhanced technical assistance and capacity-building in this area. Any agreement will
reflect in a balanced manner the interests of home and host countries, and take due account of
the development policies and objectives of the host government as well as their right to regulate
in the public interest.
2.
Paragraphs 45-51 of the Doha Ministerial Declaration shall apply to these negotiations.
3.
The Chair of the Negotiating Group on Investment shall hold the Group's first meeting
within one month from the date of this decision. The Chair of the Negotiating Group shall
conduct the negotiations with a view to presenting a draft text by no later than [30 June 2004].
4.
On the basis of paragraph 22 of the Doha Ministerial Declaration and the work done
thus far under the Working Group on the Relationship between Trade and Investment, the mul-
tilateral framework shall include the following elements:
-
Scope and Definition ([long-term cross-border investment, particularly
FDI][Foreign Direct Investment]);
-
Transparency;
-
Non-discrimination (MFN and NT with limited exceptions);
-
Pre-establishment commitments based on a GATS-type, positive list approach;
-
Exceptions and balance-of-payments safeguards;
-
Consultations and the settlement of disputes between Members (investor to state
dispute settlement mechanisms shall not be included);
-
Special and Differential Treatment for developing and least-developed country
Members including flexibility regarding transparency obligations, commitments
(NT, MFN and pre-establishment commitments) and transition periods, as neces-
sary;
-
Provisions as necessary to clarify the relationship between this Agreement and re-
levant WTO provisions;
-
Provisions to clarify the relationship between this Agreement and existing bilate-
ral and regional arrangements on investment;
-
Other issues that participants may wish to put forward.
5.
Recognizing the needs of developing and least-developed countries for enhanced support
for technical assistance and capacity building, including policy analysis and development so that
they may better evaluate the implications of closer multilateral cooperation for their development
policies and objectives, and human and institutional development, we shall work in cooperation
with other relevant intergovernmental organizations, including UNCTAD, and through ap-
propriate regional and bilateral channels, to continue to provide strengthened and adequately
resourced technical assistance and capacity building to respond to these needs during the nego-
tiations and after their conclusion.
Annex E
Interaction between Trade and Competition Policy
1.
Negotiations on a multilateral agreement on trade and competition policy shall be based
on the elements contained in paragraph 25 of the Doha Ministerial Declaration and on the work
undertaken in the Working Group on the Interaction between Trade and Competition Policy.
The objective of the negotiations shall be to establish an agreement to secure better and more
equitable conditions for international trade, by facilitating effective voluntary cooperation on
anti-competitive practices which adversely affect international trade, in particular hardcore cartels
which have an impact on developing and least-developed countries' economies, and assisting
WTO Members in the establishment, implementation and enforcement of competition rules
within their respective jurisdictions. The negotiations will not deal with state-to-state arrange-
ments that limit competition or with practices implemented pursuant to such arrangements.
2.
The provisions of the agreement will be drafted in such a way that individual decisions of
national competition authorities shall not be subject to challenge or recommendations under the
WTO dispute settlement system. The principle of non-discrimination will apply only to laws,
regulations and guidelines of general application. The principle of procedural fairness will re-
spect the legal and judicial systems of each WTO Member. Consideration shall also be given to
the inclusion of a possible peer review mechanism.
3.
We reaffirm that full account shall be taken of the industrial policy, social policy and
other needs of developing and least-developed country participants and appropriate flexibility
provided to address them. The right of all Members to implement exceptions or exclusions
from the application of national competition laws on the basis of transparent domestic legal pro-
cesses will be safeguarded. Transition periods for implementation of the agreement by develo-
ping countries and least-developed countries shall apply.
4.
Recognizing the needs of developing and least-developed countries for improved sup-
port for technical assistance and capacity building, we shall continue to work to provide adequate
technical assistance and capacity building during the negotiations and after their conclusion. In
this respect, no later than the end of 2003, a meeting will be convened to start a collaborative
effort with other international organizations, including UNCTAD, the World Bank, the OECD
and others, in order to begin to identify and assess needs related to capacity building to assist in
the implementation of the results of the negotiations.
5.
Paragraphs 45-51 of the Doha Ministerial Declaration shall apply to these negotiations.
At its first meeting after this Session of the Ministerial Conference, the Trade Negotiations
Committee shall establish a Negotiating Group on Trade and Competition Policy and appoint its
Chair. The first meeting of the Negotiating Group shall agree on a work plan and schedule of
meetings.
Annex F
Transparency in Government Procurement
1.
The objective of the negotiations will be to establish a multilateral agreement on transpa-
rency in government procurement. Negotiations will be based on paragraph 26 of the Doha
Ministerial Declaration and will build on the progress made in the Working Group on Transpa-
rency in Government Procurement, in particular the 12 issues identified by the Chair.
2.
Negotiations shall be limited to transparency only and will include special and differential
treatment for developing and least-developed country Members, including flexibility regarding
the extent of commitments and transitional periods as necessary.
3.
Paragraphs 45-51 of the Doha Ministerial Declaration shall apply to these negotiations.
At its first meeting after this Session of the Ministerial Conference, the Trade Negotiations
Committee shall establish a Negotiating Group on Transparency in Government Procurement
and appoint its Chair. The first meeting of the Negotiating Group shall agree on a work plan
and schedule of meetings.
4.
Participants shall submit their initial negotiating proposals for transparency in govern-
ment procurement by [31 January 2004]. The Chair of the Negotiating Group shall conduct the
negotiations with a view to presenting a draft text by no later than [30 June 2004]. Other organi-
zational issues, including the number and timing of meetings of the Negotiating Group, shall be
determined at its first meeting or as necessary thereafter.
5.
Recognizing the needs of developing and least-developed countries for improved sup-
port for technical assistance and capacity building, we shall continue to work to provide adequa-
te technical assistance and capacity building during the negotiations and after their conclusion.
6.
No later than the end of 2003, WTO Members will convene a meeting devoted to star-
ting a collaborative effort with other international organizations, including the World Bank,
UNCTAD, and others, in order to begin to identify and assess needs related to capacity building
to assist the implementation of the results of the negotiations.