CUTS’ Statement at the WTO High-level Meeting on Trade and Development

March 17-18, 1999, Geneva, Switzerland

Multilateralism and a rule-based system have been the principal gain for developing countries for the World Trade Organisation (WTO), because it provides protection for the weaker countries.

However the experience gained so far shows that this has failed on various grounds. The language itself of several agreements has been crafted in a manner, which is not harmonious with the language that prevails in weaker countries. More so there are not enough safeguards that would reduce the obligations of the weaker nations. Importantly the developing and less developed countries have not been able to extract the necessary and appropriate flexibilities on the basis of the existing socio-political milieu within their boundaries.

As we come to the end of the Millennium an important step would be to assess the impact of these Agreements signed under the Uruguay Round on poverty, rural development, environment etc. This is important especially for convincing the developing and less developed countries about the positive impacts of trade liberalisation being carried out on the WTO platform.

This High Level Symposium (HLS) provides a good opportunity for the international community to deliberate and find solutions on issues that restrain market access of developing and less developed countries. Possible solutions to some of these issues have been articulated below.

Context	Way Forward
Special and differential treatment Flexibilities for developing and least developed countries through opt-outs	The international community must commit themselves to honest implementation of special and differential treatment under various Agreements as promised to developing and less developed countries. The developed countries should also assist developing and less developed countries in terms of financial and technical assistance to help them make an effective transition from their special and differential status. Flexibilities should be provided to developing and least developed countries in implementation of the accords including allowing them an opt-out where it is not possible for them to implement it. After all there are other plurilateral agreements under the WTO umbrella without a single-undertaking commitment.
Agriculture Textiles & Clothing	The international community should seriously note that the special and differential treatment provided to developed nations in these Agreements on Agriculture and on Textiles & Clothing have been used beyond their spirit. Hence the developed countries need to reduce and rein in their concessional periods provided for in these Agreements. The trade policy reviews of the developed countries should also clearly reflect the steps they have initiated in the area of structural adjustment for these sectors.
Tariff peaking Tariff escalation Non-tariff barriers Antidumping	The international community should accord high priority to the reduction and elimination of barriers, both tariff and non-tariff to trade in products and services. Efforts being taken to eliminate restrictions that differentiate unreasonably between products, in their primary and processed form, currently or potentially, of particular export interest to developing and less developed countries should be accelerated.
Capacity building with an emphasis in the area of dispute settlement	Special emphasis must be given on devising strategies whereby developing and least developed countries would be in a position to effectively use the dispute settlement mechanism for their benefit. The establishment of the ‘Legal Advisory Centre’ outside the purview of the WTO would be the first step in this direction. The rich countries should financially support this Centre.
Building constituencies	In order to build constituencies in developing and less developed countries the WTO must have rules which will empower these countries to organise awareness and training programmes on WTO issues, and to create an enabling mechanism for the same. The trainings should include media persons and the civil society.