Trade ministers from the 49 Least-Developed Countries (LDCs) met in Zanzibar, Tanzania on 22-24 July and formed a common front towards the upcoming WTO Ministerial Conference in Doha. The meeting was an initiative of the Tanzanian government to build consensus among LDCs outside the UN framework. In a statement widely taken to be a rejection of the launch of a new round of multilateral trade negotiations in November, the LDCs expressed their determination to “reverse the marginalisation of our countries in international trade and enhance LDCs’ effective participation in the multilateral trading system”. The countries agreed on a draft Development Agenda containing negotiating objectives and proposals of LDCs for use at Doha.
A conditional yes or an outright no?
The LDCs’ common position as expressed in the final statement and the draft Agenda, although interpreted by many as a resounding “no” to a WTO trade round, was perceived by some as leaving some room for manoeuvre. Iddi Simba, Chair of the meeting and Tanzanian Minister for Industry and Trade, said, “most of us are not ready, psychologically, materially and technically, for a new round.” Some countries appear concerned that rejecting a WTO round would lead to further exclusion and increase economic marginalisation of the LDCs. Lesotho Trade Minister Mpho Malie commented that “we are saying yes, but make sure these issues [in the draft Agenda] are catered for…if we have issues to discuss we should go there and discuss them.” The LDC pessimism regarding a new round and the present trading system is clear and renders even more difficult the launch of a new trade round that requires consensus among WTO Members.
LDCs agree on negotiating objectives
In the draft Development Agenda, the LDCs were unanimous in demanding “significant movements in implementation issues” and “a commitment to ensuring an inclusive and transparent negotiating process before, during and after the Doha process”. The LDCs took the view that “the scope of future multilateral trade negotiations will have to take into account the inability of LDCs to participate effectively in negotiations on a broad agenda and implement new obligations due to the well-known limited capacity of the LDCs.” The negotiating proposals represented the LDCs’ uniform approach on market access, implementation issues, “built-in agenda” on agriculture and services, and Singapore issues in Doha, while stressing more technical assistance, a streamlined accession process for LDCs with consideration of LDCs’ development, financial and trade needs, and binding and full implementation of provisions of Special and Differential Treatment as cross-cutting issues. In particular, the LDCs reaffirmed the right to apply the Agreement on Trade-related Aspects of Intellectual Property Rights (TRIPs) to allow member countries to have easy access to life-saving medicines including those combatting HIV-AIDs, tuberculosis and malaria, and that the TRIPs Agreement is not interpreted in a manner that endangers food security.
LDCs’ position considered at GC “reality check”
The positions endorsed by the LDC draft Agenda were delivered by Tanzania and other LDC WTO Members to the WTO’s informal General Council (GC) meeting on 30 and 31 July (see related story, this issue). This GC Meeting has been designated as a “reality check”, an occasion for communication among WTO Members on their negotiating objectives to enable a realistic assessment of the possible achievements at the November session.
WTO Director-General Mike Moore, in the opening of the GC Meeting on 30 July, stressed that only negotiations can remove the inequities in the MTS, and that “opting for the status quo will not stop further trade negotiations” which would take place outside the WTO. Moore further noted that if a new trade round is not launched, the developing countries would be the ones to suffer the most.
COMESA SADC coordinate for WTO conference
On the eve of the Zanzibar meeting (21 July), South Africa called a meeting of the trade ministers of the Southern African Development Community (SADC) member countries in Johannesburg to try to persuade them to agree to a new round. However, according to reports, the LDCs within SADC, including Tanzania, Uganda and Zambia, remained unconvinced. Similarly, the Common Market for Eastern and Southern Africa (COMESA) held preparatory meetings for Doha Ministerial Meeting from 27-29 July in Cairo. On 30-31 July, ministers from COMESA and SADC countries met in Cairo to coordinate African stances in Doha. BRIDGES Weekly will report on these meetings in its next edition.
“WTO urges poor nations to support new trade talks,” REUTERS, 24 July 2001; “Poor vow to voice fears at global trade talks,” REUTERS, 24 July 2001; “LDCs reject a new round for Doha,” SEATINI Bulletin, 24 July 2001; “Statement by the Director-General,” DOHA WTO MINISTERIAL 2001: STATEMENT, 30 July 2001; “World trade talks in jeopardy,” BBC ONLINE, 31 July 2001; “COMESA-SADC to meet to coordinate stances before Doha conference,” EGYPT-REGIONAL, 28 July 2001; ICTSD Internal Files.