Bridges Weekly Trade News Digest • Volume 7 • Number 26 • 17th July 2003

TNC Reports Scant Progress; Draft Text For Cancun To Be Released Shortly

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The WTO Trade Negotiations Committee (TNC) met from 14-15 July for its last session prior to the fifth WTO Ministerial meeting to be held from 10-14 September in Cancun, Mexico. The TNC heard reports from the chairs of five negotiating bodies established under it, and considered the general status of negotiations with a view to Cancun. WTO Director- General Supachai Panitchpakdi informed Members that a first draft of a potential ministerial declaration for Cancun would be released at the end of the week. The TNC also considered outstanding implementation issues, on which negotiations have picked up again (see related story, this issue of BRIDGES Weekly).

Addressing delegates to the TNC, the Director-General pointed to the obvious lack of progress and urged Members to engage in real negotiations, stressing that "overall we do not yet have a real negotiation". He said "the time has come for delegations to start seriously communicating with each other and searching for compromise solutions to their substantive problems". Members remained split on most issues, however, and observers are questioning whether the Doha round of trade negotiations can be concluded according to plan by the end of 2004. Cancun would mark the midpoint in this regard.

The Chairs of the negotiating groups on agriculture, rules, services, environment and trade related aspects of intellectual property rights (TRIPs) submitted written updates on the work in the various bodies. Stuart Harbinson, Chair of the special session of the Committee on Agriculture (CoA) reported that Members’ positions remained entrenched (see BRIDGES Weekly, 10 July 2003). The CoA special session is convening from 16-18 July, for a last meeting prior to Cancun. Pierre-Louis Girard, Chair of the Working Group on Market Access, reported that during the recently concluded meeting of his group "Basic concerns have been expressed openly and clearly, and innovative ideas have been presented" (see related story, this issue).

Chair Yolande Biké of the special session of the Committee on Trade and Environment (CTE), emphasised the need to focus now on environmental goods and services in the negotiations, "in particular the identification by countries of environmental goods for import or export with a view to negotiating the reduction or elimination of tariff and non-tariff barriers according to the modalities to be defined by Members based on the progress made in the Negotiating Group on Market Access for Non-Agricultural Products" (TN/TE/7 and TN/TE/7/Suppl.1, searchable at http://docsonline.wto.org). She said given the workload, the group would have to consider holding additional sessions, and Members would have to engage in substantive work.

Chair Alejandro Jara of the special (negotiating) session of the Council for Trade in Services (CTS), outlined progress related to negotiations on specific commitments and rule-making, and pointed to outstanding issues and future work (see related story, this issue of BRIDGES Weekly). Chair Eui-yong Chung of the TRIPs Council outlined progress (TN/IP/7 and TN/IP/8), focusing on negotiations on a multilateral system of notification and registration of geographical indications for wines and spirits. He noted that Members still were split on this issue, which had been mandated to be resolved for the Cancun meeting, and said the process should continue. "It will be necessary to determine the level of ambition within the mandate which is acceptable to all sides, especially as regards legal effects and participation, and to finalise the more technical aspects concerning the multilateral system", Eui-yong said.

First draft of Cancun declaration by end of week

During the meeting, the Director-General also informed participants that he and General Council Chair Carlos Perez del Castillo would release a first, "skeletal" draft of a ministerial text for Cancun on 17 July. The paper would basically lay out the issues, and would, according to Supachai, focus on "actions necessary to provide momentum and guidance for the negotiations" — a brief and operational document. He warned that the paper "will not provide any magic solutions to major problems of substance in key areas". More substance, mainly focussing on process, would be added to each issue area following negotiations in bilateral meetings and among smaller groups of Members. The next General Council meeting, scheduled for 24-25 July, is likely to focus heavily on the draft text.

ICTSD reporting; "WTO chief has stern words for negotiators, two months before Cancun," AFP, 14 July 2003; "Supachai Intends to Issue First Draft Of Cancun Ministerial Declaration by July 18," WTO REPORTER, 15 July 2003.