WTO DECISION PUTS DOHA WORK PROGRAMME ‘BACK ON TRACK’, SAYS UNCTAD SECRETARY-GENERAL

WTO DECISION PUTS DOHA WORK PROGRAMME ‘BACK ON TRACK’,

SAYS UNCTAD SECRETARY-GENERAL

(Reissued as received.)

GENEVA, 4 August (UNCTAD) -– The United Nations Conference on Trade and Development (UNCTAD) Secretary-General Rubens Ricupero yesterday welcomed the World Trade Organization’s approval last weekend of a package of agreements intended to resume the stalled Doha round of trade talks.

Speaking at a press conference in Benin, he said that the agreements “reaffirm the value of multilateralism in the area of trade, while also re-establishing the viability” of the Doha work programme and the related negotiations.

One of the thorniest issues in those negotiations has been the elimination of subsidies on key agricultural products exported by both developing and developed countries.  In Mr. Ricupero’s view, the agreement’s promise to address cotton subsidies “ambitiously, expeditiously and specifically” meant that an “early harvest” of significant results would be delivered in that area – of particular benefit for cotton producers and exporters in Benin and the other African least developed countries (LDCs), which are already losing export income this year due to the continuing “market-distorting effects” of subsidies.  Benin, where Mr. Ricupero has been on an official visit this week, is one of several in its region with a particular interest in cotton.  It also currently serves as coordinator of the group of LDCs at the United Nations.

The decision fostered “new hope” that the Doha development agenda will be dealt with as a matter of priority and bring tangible and timely results for developing countries – results that would in turn support efforts to meet the Millennium Development Goals, Mr. Ricupero added.  It could potentially end the uncertainty in the multilateral trading system, calm protectionist fears and tendencies and contribute to one of the key objectives adopted at UNCTAD XI this past June, that of “upholding and safeguarding an open, equitable, rule-based, predictable and non-discriminatory multilateral trading system”.

The UNCTAD, the United Nations’ focal point for trade and development, held its most recent quadrennial conference in São Paulo, Brazil, in June.  The “São Paulo Consensus” adopted there, along with the “proactive” role played by developing countries both at UNCTAD XI and in the ensuing World Trade Organization (WTO) meetings, contributed to the 31 July decision by the WTO General Council, Mr. Ricupero said.

The decision brings the Doha negotiations “back on track”, he continued, “by focusing on the core agenda of multilateral trade negotiations of importance to developing countries, involving agriculture, non-agricultural market access and services”.  In all those areas, the framework agreements seek to incorporate the concerns of developing countries, such as special and differential treatment (S&D).  These elements would need to be made an integral part of the negotiations and to ensure balanced and meaningful outcomes for them.  In terms of their “positive agenda” and gains, the negotiations would be expected to deliver enhanced and predictable market access for goods and services of export interest to developing countries, such as agriculture, textiles, and mode 4 (provision of services through the temporary movement of workers).

The decision and frameworks further represented a “step forward” in several areas, particularly agriculture, Mr. Ricupero said.  That should provide a good basis for the adoption of modalities and actual negotiations in the near future.  The decision also reflected a “more flexible and realistic approach” to the time frame for concluding the Doha round, while at the same time setting deadlines for operationalization of aspects of the work programme, such as on S&D and implementation and services.  Given the vital importance of agriculture for development, poverty reduction and food security, the removal of “trade-distorting” domestic and export support by developed countries should be treated as a matter of urgency, he added.

The decision reaffirms the importance of long-standing trade preferences and calls for addressing preference erosion.  This should be done through the use of trade and development instruments that not only provide adjustment support but also help build sustainable supply capacity, especially in LDCs.

The modalities for negotiations on trade facilitation state that negotiations aim at enhancing technical assistance and support for capacity-building in this area.  Particularly welcome to developing countries, Mr. Ricupero stressed, is the recognition of the principle that the extent and timing of entering into commitments shall be related to the implementation capacities of developing and least developed countries and that, where they lack the necessary capacity, implementation will not be required.

In addition, by dropping the other “Singapore issues” (trade and investment, trade and competition policy, and transparency in government procurement) from the Doha work programme, the decision allowed developing countries to focus their efforts and scarce resources on pursuing their core trade and development interests.

In the resumed Doha negotiations, in accordance with its intergovernmental mandate, UNCTAD will continue to provide technical and analytical support to help developing countries derive development gains from the Doha negotiations.  The organization will also continue its role as a forum for intergovernmental policy dialogue and consensus-building on the development dimension of international trade and related negotiations.

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