WTO: Where do we go from Hong Kong Lecture by: Shri G. K. Pillai, Additional Secretary, Department of Commerce Jointly organised by HCM RIPA & CUTS International Monday, 2 nd January 2006 At B. S. Mehta, Auditorium, Jaipur

WORLD TRADE ORGANISATION 150 Members Another 12 awaiting membership

BASIC PRINCIPLES M F N National Treatment Consensus Dispute Settlement Ministerial Meetings

AGREEMENT ON AGRICULTURE Heavily loaded against developing countries Legitimised subsidies Distorted Trade Institutionalised Boxes Fudging of figures Peace Clause

TRADE DISTORTING SUPPORT A M S De Minimus Blue Box Green Box – No reduction

DOHA WORK PROGRAMME Elimination of Export Subsidies Substantial Reduction in Trade Distorting Support

DOMESTIC SUPPORT Agreement on 3 Bands EU – Highest Band USA/Japan – Second Band Other Developed Countries – Third Band Cuts 70% - EU 53% - US 83% and 70% - G-20

MARKET ACCESS USA Bands >60% 40-60% 20-40% 0-20% Cuts 90% 80% 70% 60% EU>90% 60-90% 30-60% 0-30% 60% 50% 40% 30% with pivot G-20>75% 50-75% 20-50% 0-20% 75% 65% 55% 45%

NAMA Swiss formula with coefficients Para 8 Flexibility Treatment of Unbound Tariffs 100% Binding Sectorals - Non Mandatory

SERVICES Request offer – Main Mode Framework as per Annex C Plurilateral Negotiations - 28 February Request Final Offers by 31 July 2006