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THE DOHA MANDATES THE DOHA MANDATES ON DEVELOPMENT ISSUESON DEVELOPMENT ISSUES

THE DOHA MANDATES THE DOHA MANDATES ON DEVELOPMENT ISSUESON DEVELOPMENT ISSUES

UNCTAD UNCTAD

Commercial Diplomacy ProgrammeCommercial Diplomacy Programme

October 2002October 2002

UNCTAD

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The scope of the Doha agenda

the traditional trade agenda:the traditional trade agenda:

MARKET ACCESS MARKET ACCESS

(border measures) (border measures)

•Agriculture

•Services

•Non-agric market access

•Rules (dumping, subsidies, regionalism)

the expanded trade agenda: the expanded trade agenda: DOMESTIC POLICIESDOMESTIC POLICIES (within the border measures)(within the border measures)

•TRIPS (health, GIs)•Trade and environment•Singapore issues (investment,competition, gvt. procurement, trade facilitation)

•Debt and finance, transfer of technology

Cross-cutting mandates :Cross-cutting mandates :Implementation issues (incl. textiles)Implementation issues (incl. textiles)

Technical assistanceTechnical assistanceLDCs and small economies LDCs and small economies

Special and differential treatmentSpecial and differential treatment

UNCTAD

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The The “single undertaking”“single undertaking” means that, means that,

at the end of the Doha process:at the end of the Doha process:

A complex package of A complex package of various commitments various commitments has to be agreed has to be agreed as a wholeas a whole

andand Developing countries need Developing countries need to achieve a new balance of to achieve a new balance of rights and obligations with a rights and obligations with a strong development dimensionstrong development dimension

UNCTAD

Cross-cuttingCross-cutting

Border Border measuresmeasures

WithiWithin the n the borderborder

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The Doha Work Programme will be a concrete The Doha Work Programme will be a concrete “Development Agenda” for developing countries“Development Agenda” for developing countries

IF IF ::

• On Implementation issues:On Implementation issues: satisfactory solutions are found, for example:– On the implementation of the agreement on textiles;– On the implementation of the TRIPS and Health

Declaration.

• On Special and differential treatment (S&D)On Special and differential treatment (S&D): provisions are made effective and operational, for example :– In helping the participation of developing countries in

trade in services;– In making TRIPS an instrument to transfer technology.

UNCTAD

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The Doha process will be a concrete The Doha process will be a concrete “development agenda” for developing countries“development agenda” for developing countries

IF IF ::

• On agricultureOn agriculture:: new rules accommodate both developing competitive exporters and net food importing countries.

• On servicesOn services:: the new liberalization takes into account the requests made by developing countries in their priority sectors.

• On non-agriculture productsOn non-agriculture products: barriers for the main exports of developing countries are eliminated, taking into account the erosion of preferential regimes.

UNCTAD

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The state of play of the Doha process :

The main work done so far concentrates on:The main work done so far concentrates on:• Special and differential treatmentSpecial and differential treatment = no consensus • Implementation issuesImplementation issues = fragmentation in several negotiating

bodies, poor results • Agriculture Agriculture = negotiations on “modalities” ongoing (on

reduction of domestic support, market access barriers, and export competition), many divergent positions

• ServicesServices = requests and offers process ongoing• TRIPSTRIPS: no consensus• Market accessMarket access = negotiations on modalities just starting

•The process is getting into the nitty-grittyThe process is getting into the nitty-gritty•No real progress in any issueNo real progress in any issue•Increasing participation and proposals of developing countriesIncreasing participation and proposals of developing countries

UNCTADUNCTAD

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Some deadlines to assess the development content of the process:

by December 2002:by December 2002:– Stocktaking in Stocktaking in

agriculture and agriculture and servicesservices

– Chairman’s modalities Chairman’s modalities on agricultureon agriculture

– S&D = make S&D = make recommendations to recommendations to the General Councilthe General Council

– Review of technical Review of technical assistanceassistance

– Implementation issuesImplementation issues– Mini-ministerial in Mini-ministerial in

Australia (14-15 Nov.)Australia (14-15 Nov.)

by December 2002:by December 2002:– Stocktaking in Stocktaking in

agriculture and agriculture and servicesservices

– Chairman’s modalities Chairman’s modalities on agricultureon agriculture

– S&D = make S&D = make recommendations to recommendations to the General Councilthe General Council

– Review of technical Review of technical assistanceassistance

– Implementation issuesImplementation issues– Mini-ministerial in Mini-ministerial in

Australia (14-15 Nov.)Australia (14-15 Nov.)

by March 2003:by March 2003:– Agriculture: start Agriculture: start

negotiations?negotiations?– Offers on services to be Offers on services to be

submitted submitted – Many implementation Many implementation

issues to be settled issues to be settled

by March 2003:by March 2003:– Agriculture: start Agriculture: start

negotiations?negotiations?– Offers on services to be Offers on services to be

submitted submitted – Many implementation Many implementation

issues to be settled issues to be settled

by Sept.2003 : by Sept.2003 :

55thth Ministerial Conference Ministerial Conference (Cancun) = “(Cancun) = “mid-term review”mid-term review”

UNCTAD

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The development content of the trade agenda means:

Provide Provide developing developing

countries with means countries with means to take advantage to take advantage

of the trade of the trade liberalisationliberalisation

That requires:That requires:

1. Market access

2. Balanced trade rules

3. Negotiating and institutional capacity

4. Supply capacity

1 and 2 can be negotiated at the WTO;3 means technical assistance and capacity building provided by the WTO and other agencies (UNCTAD);4 is essential to take full benefit of the trade opportunities

arising from the negotiations : role of development agencies and financial institutions

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Factors with direct implications for the negotiations

• United StatesUnited States Trade Promotion Authority Act, the Farm Bill, and the pending WTO disputes (steel, orange juice…)

• European Union’sEuropean Union’s Common Agriculture Policy: no reductions in domestic support until 2007

• Regional processesRegional processes:: ACP/EU, FTAA, APEC, subregional schemes among developing countries… and bilateral FTAs.

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UNCTAD:

• Only UN entity having a mandate to review developments and issues in the multilateral trading system and trade negotiations since the Tokyo Round from developing countries’ perspective;

• Trade and Development Board has a regular agenda item: “Review of developments and issues in post-Doha of particular concern to developing countries” which is forwarded to UN GA under the item “trade and development”;

• UNCTAD Post-Doha Technical Assistance and Capacity Building Programme (demand-driven).

UNCTAD