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DOHA DEVELOPMENT AGENDA
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BACKGROUND Doha Ministerial Conference 2001 Background: Seattle, Millennium Round Ambitions, limits of Built-in-Agenda Doha Declaration (WT/MIN/(01)/DEC/1) Negotiation mandates + other work = Doha Development Agenda
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PRINCIPAL ELEMENTS OF THE DDA Negotiations: Agriculture and Services (Cotton added in 2003) Non-agricultural Market Access (NAMA) TRIPS (Register) WTO Rules Trade and Environment Trade Facilitation (added in 2004) Dispute Settlement Understanding (outside SU) Special and Differential Treatment for developing countries
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Work under the General Council, but not part of Single Undertaking : -Electronic Commerce -Small Economies -Trade, Debt and Finance -Trade and Transfer of Technology -Relationship between TRIPS Agreement and the CBD, the protection of traditional knowledge and folklore. Process Issues: -Single Undertaking – Consensus -Trade Negotiations Committee (TNC) -Doha Round conclusion 1 January 2005 -Concept of “ Early Harvest ” -Transparency/Inclusiveness and Bottom-up approach -Special & Differential Treatment/Development Dimension. Almost 70% of Members are developing.
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WHY SO DIFFICULT? The issues – large number and complex; The high Level of Ambition; 153 Members – consensus – Single Undertaking; Public nature of negotiating – formulas instead of request-offers; Complications arising from economic crisis and overall international agenda; Electoral cycles;
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THE DEVELOPMENT DIMENSION? Special and Differential Treatment In every element of the text Applied in different ways depending on levels of development. Less than Full Reciprocity; Transparent and Inclusive Negotiating Process; Big cuts needed in developed country farm subsidies – most distortive subsidies.
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Developing Country Interests “ not one size fits all ” Solidarity among developing countries, but differences clear – LDCs, SVEs, emerging economies. North-South description in WTO is inaccurate and simplified. For example: Preference Erosion Agricultural Exporters v. Importers Those seeking ambitious outcome in manufacturing/services versus those who take a more defensive position TRIPS issues, GI extension and CBD
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AGRICULTURE Flexibilities from overall reduction commitments: Sensitive Products (largely for developed countries) Special Products exclusively for developing countries; Special Safeguard Mechanism (SSM) for developing countries; The magnitude of the cut in cotton subsidies; The fundamental trade-offs: Domestic subsidy cuts in return for market access; Political cost of providing the market access for some countries.
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NON AGRICULTURE MARKET ACCESS Flexibilities to deviate from formula, e.g. What coefficient for developing countries? Proposed coefficients of 20, 22 and 25. At 20 countries apply half the formula cut on 14% of tariff lines or no cut to 6.5%. With 22 it would be 10% with half cut and no cut with 5%. No flexibility with 25; Specific country circumstances, Argentina, South Africa and Venezuela; Sectorals – voluntary, but some see as potential solution to higher coefficients. Basically creating duty free sectors.
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SERVICES Market access – done bilaterally. Around 30 countries active in the negotiations; LDC waiver – preferences, but in all areas or just market access not clear. Domestic Regulation Subsidies, safeguards Sequencing/links with Agriculture and NAMA Modalities
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TRADE RELATED TO INTELLECTUAL PROPERTY RIGHTS Multilateral Register for geographical indications for wine and spirits: legal and participation issues divide Members Extension of Geographical Indications not a negotiation issue, but linked and controversial Link between TRIPS and CBD disclose the origin of genetic material and traditional knowledge used in their inventions when applying for a patent
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TRADE FACILITATIONS Negotiations to harmonize and streamline customs procedures. Articles V, VIII and X in the GATT, dealing with goods in transit, fees and paperwork. Capacity building/links to Aid for Trade.
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TRADE AND ENVIRONMENT Three mandates: Closer co-ordination of trade and environmental policies – no conflict to date in DSB Closer co-ordination between WTO Secretariat and MEAs Market access for environmentally related goods and services
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DEVELOPMENT DIMENSIONS Agreement specific S&D proposals totalling 88. Three categories -- 32 agreed. Special and Differential Treatment – included in every segment of the negotiations; Capacity Building/Aid for Trade Trade Facilitation formula for linking implementation to reception of technical assistance
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RULES Anti-Dumping Subsidies Fisheries Subsidies Regional Trade Agreements – Transparency Mechanism Review
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DISPUTE SETTLEMENT REFORM Not part of the Single Undertaking, but clearly linked - Systemic Issue How to improve, update in light of 15 year experience Technical issues, sequencing and remanding; Timetables, shorter response time; Enabling greater developing country participation
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WHAT NEXT????? 80% of technical negotiation done, but Agricultural and NAMA “ Modalities ” still bogged down; Services also progressing slowly. Economic crisis in 2008-9 saw first contraction (12%) in global trade for 50 years, some protectionist measures; ...but crisis focused minds of WTO Members on other roles of the Multilateral Trading System – e.g. monitoring; March 2010 stocktaking – some technical progress, but key political will absent. G20– focus likely on international financial system and reform.
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