NOTE ON THE MEETING OF 30 JUNE 2014
Chairperson:
Ambassador Roderick Van Schreven (Netherlands)
A. Adoption
of the agenda. 1
b. TRADE-RELATED
TECHNICAL ASSISTANCE AND CAPACITY-BUILDING INITIATIVES FOR least-developed
countries. 1
- WTO
Technical Assistance and Training to the Least-Developed Countries: Oral Report
by the Secretariat 1
- An
Update on the Enhanced Integrated Framework (EIF): Oral Report by the EIF
Executive Secretariat 5
C. market
access for least developed countries. 9
- Duty-Free
Quota-Free Scheme by Chile (WT/COMTD/N/44) 9
d. other
business. 10
1.
The Chairman
said that the draft agenda of the meeting was contained in document WTO/AIR/4326. He invited Members' attention to the
requests made by UNCTAD and the World Bank to make statements under other
business. He added that UNCTAD would like to make a report on the Workshop it
had organized on 9 April 2014 relating to the Decision on Preferential Rules of
Origin adopted by Members at the Ninth WTO Ministerial Conference held in Bali in December 2013 (MC9). The World Bank intended to
make a statement on its new programme to support the implementation of the
Trade Facilitation Agreement (TFA) adopted by Members at MC9.
2.
The Sub-Committee
adopted the draft agenda contained in WTO/AIR/4326.
- WTO Technical Assistance and Training to the Least-Developed
Countries: Oral Report by the Secretariat
3.
The Chairman
recalled that according to the Work Programme for the LDCs
(WT/COMTD/LDC/11/Rev.1), the Sub‑Committee was required to monitor the WTO
technical assistance support provided to the LDCs. Pursuant to this mandate,
the Sub-Committee considered this item on an annual basis. He invited the
Secretariat to make a report on this item.
4.
The
representative of the Secretariat (Institute for Training and Technical
Cooperation) said that the fuller integration of LDCs into the multilateral
trading system (MTS) had been one of the main priorities of the technical
assistance provided by the WTO. The WTO biennial technical assistance and
training plan (hereafter the Plan) attached special priority to the LDCs. The
LDCs had been invited to 57% of the activities organized in 2013 – a
progression of 5 percentage points compared to 2012; they had been benefitting
from the growing proportion of the assistance provided to them on a global
basis, either face-to-face training or through e-learning programmes. He noted
that the LDCs had participated more actively in the e-learning programmes in
2013 compared to the previous year. This development was a positive indication
for LDCs' increased participation in WTO's technical assistance (TA) activities
as e-learning constituted the first step in the progressive learning strategy
(PLS) aimed at building and sustaining long‑lasting human
and institutional capacities in the beneficiary countries.
5.
He continued by
saying that some of the global activities were specifically designed for the
LDCs, such as the three-week Introduction Course and the Advanced Thematic Courses
for the LDCs. Priority had also been given to the African continent in the
implementation of WTO TA activities, where two thirds of LDCs were located. He
pointed out that the LDCs in Africa had been
invited to participate in 60% of the activities held in this region in 2013.
6.
He went on to say
that the LDCs had continued to receive priority in the long-term Internship Programmes
as well as the Reference Centres (RCs) programme of the WTO. There were mainly
three internship programmes, namely: the Netherlands Trainee Programme (NTP), the
Mission Internship Programme (MIP), and the Regional Coordinator Internship
(RCI). Apart from these programmes, under China's LDCs and Accessions Programme
(the China Programme), established in July 2011, interns were being trained
every year; one of the two interns selected under this programme in 2013 came
from an LDC, as did 13 out of 22 MIPs and 11 out of 15 NTPs. In addition, three
out of eight Regional Coordinator interns were from the LDCs. Overall, 60% of
the long-term interns represented the LDCs in 2013. The Secretariat had been
assisting the LDC interns to work on specific trade issues, including
identifying the TA needs of their respective countries.
7.
He highlighted
the point that the LDCs had also been the primary focus of the RCs programme in
2013; Eight RCs installed or upgraded were either in the LDCs or in the
Secretariat of African IGOs which had a number of LDCs as their members. That
partly explained the reason for increasing participation of LDCs in the
e-learning programme. One third of participants completing e-learning courses
in 2013 came from the LDCs – a significant progression of 40% compared to 2012.
8.
In conclusion, he
pointed out that the LDCs were also beneficiaries of academic support‑related
activities of the WTO. In this regard, LDCs were benefitting from the extended
WTO Chairs Programme (WCP). An LDC academic institution was selected for WCP,
and would receive WTO support in the next four years. He underlined the need for
more research and academic discourse on WTO topics as it would strengthen
knowledge and enhance capacity in the LDCs.
9.
The
representative of Colombia
underlined the importance of national TA activities, which could be tailor-made
to national needs. She enquired from the Secretariat as to how many national TA
activities were conducted in the LDCs in 2013 and what were the themes/topics
of those activities.
10.
The
representative of Uganda,
on behalf of the LDC Group, thanked the Secretariat for its comprehensive
report on trade-related technical assistance (TRTA). He recalled that the Decision
on Measures in Favour of Least-developed Countries adopted in 1993 recognized
the particular need for TA and capacity building support for the LDCs. Further,
WTO Ministers reiterated their commitment to assist the LDCs improve their
participation in the MTS.
11.
He noted that
since the launch of the Doha Round, the WTO TRTA had grown substantially. The
WTO had also been involved with mechanisms such as the Enhanced Integrated
Framework (EIF) and Standards and Trade Development Facility (STDF). He
acknowledged the priority that was being attached to the LDCs in the delivery
of TRTA. In this regard, he stressed that such assistance should be provided to
the LDCs on a sustainable basis, for it to have a lasting impact on their
capacity to benefit from the MTS.
12.
He said that the
main objective of WTO's TRTA was to enhance human and institutional capacity in
the LDCs. The three-week Introduction Course for LDC government officials as well
as Geneva-based courses and Regional Trade Policy Courses (RTPCs) had been
useful. He underlined the need for increased participation of LDCs in
intermediate and advanced levels of training in the WTO which could help the LDCs
formulate better trade policies as well as help their effective participation
in the activities of the WTO. He hoped that the WTO would continue to be
flexible in the application of progressive learning strategies so as to
facilitate the participation of LDC officials in various training programmes.
13.
He underlined the
importance of fostering long-term institutional capacity and knowledge building
in the LDCs. In this regard, he said that one possible avenue would be to consider
holding RTPCs in the LDCs; regular training exercises that resulted from such
courses would increase human and institutional capacity as it would involve a
wide range of stakeholders such as government agencies, academia, research
institutions and the private sector. He added that holding RTPCs in the LDCs could
also enhance collaboration between the LDC academic institutions and the WTO.
While acknowledging the existing procedure on the selection of the location of RTPCs,
he requested Members to consider LDC venues for RTPCs when this issue would be taken
up in future consultations.
14.
He noted that one
of the most important initiatives that had been taken under the biennial Plan was
the various Internship Programmes, at it gave exposure to LDC government
officials and created increased capacity on WTO matters. Both the NTP, as well
as the MIP, had proved to be useful. He thanked all donors for their generous
support to these programmes; he requested them to further strengthen this
support. He also invited Members' attention to the request that these internship
programmes fund at least one official from each LDC Member each year, so as to
build sustained capacity in the LDCs.
15.
He expressed
appreciation for the fact that the LDCs were entitled to three national
activities per year, as against two activities offered to other developing
countries. He noted that the utilization of such assistance remained low in the
LDCs, due to several factors. In this regard, he pointed out that organizational
costs often prevented the LDCs from making full use of those entitlements. He
urged donors to give positive consideration to address this problem, including
by earmarking funds with a view to facilitating the LDC governments to host
national activities. He asked the Secretariat to take note of this request.
16.
In conclusion, he
suggested that the advanced trade policy course for the LDCs, introduced under the
latest biennial Plan, should take place on a regular basis, if possible once a year.
This would enable LDC officials to get specialised training on ever-evolving WTO
negotiations including on issues such as operationalization of the LDC Services
Waiver, Preferential Rules of Origin, and the implementation of the TFA.
17.
The
representative of Nepal
associated himself with the statement made by Uganda, on behalf of the LDC Group.
He said that all forms of WTO's TA helped LDCs to build their trade capacity
and enhance their understanding of WTO matters. He expressed appreciation for
the establishment of WTO RCs in different LDCs. His delegation viewed the biennial
Plan as an important document for carrying out TA in a transparent and
predictable manner; the efficacy of the Plan would depend on the resources made
available for its smooth implementation. He echoed the point made that
well-timed and adequate funding was essential for timely and effective
implementation of WTO's TA activities. He urged donors to continue their
support so as to avoid disruption of planned activities. In conclusion, he
hoped for a successful implementation of the current biennial Plan.
18.
The representative
of Benin associated
himself with the statement made by Uganda, on behalf of the LDC Group.
He welcomed the Secretariat update on the TA provided to the LDCs. He expressed
gratitude to donors for their support which enabled the WTO to undertake activities
in favour of LDCs, and urged them to continue their assistance to meet the ever
increasing needs of LDCs.
19.
He underlined the
importance of the WCP, which helped build the research capacity of academic
institutions on trade and development issues. He also emphasized the need for
appropriate follow-up of the Chairs Programme so as to maximize the gains from
the activities generated under such Programme. He hoped that the Chairs
Programme would foster better linkages between national academic institutions
in LDCs with institutions at bilateral as well as regional level.
20.
The
representative of Mali
considered the Secretariat update useful as it provided clarifications on
various support activities in favour of LDCs. His delegation was a beneficiary
of the internship programmes in the WTO; such opportunities helped build
capacity on WTO issues. He thanked the donors for their continued support which
enabled the Secretariat to undertake activities in favour of LDCs. He
associated himself with all the suggestions made by Uganda, on behalf of the LDC Group.
21.
The
representative of Bangladesh
considered the TA of the WTO to be of critical importance in enhancing human
and institutional capacity in the LDCs. He underlined the importance of an
inclusive process in the implementation of WTO’s TRTA activities so as to
facilitate the participation of all LDC candidates in those activities. In view
of the special needs of the LDCs, he suggested that Members develop criteria to
increase the scope of selection of LDC candidates in WTO’s TA activities. He
expressed concern with the low utilization of national TA activities by the
LDCs. He was of the view that the scope of such activities should be widened
and revamped. His delegation was ready to work with the Secretariat to make the
programme more worthy. In conclusion, he reiterated the point made by Uganda, on
behalf of LDC Group, that at least one official from each LDC should get an internship
opportunity each year.
22.
The
representative of Vanuatu
associated himself with the statement made by Uganda, on behalf of the LDC Group.
His delegation attached importance to the WCP. In this regard, he noted that 14
institutions had been selected as WTO Chairs at the start of the programme. He
enquired as to whether the number of WTO Chairs had been reduced to seven.
Since no institution so far had been selected as WTO Chair from the Pacific
region, he called upon the Secretariat to select one from this region. He
called upon development partners to allocate adequate resources for this
programme.
23.
The
representative of Tanzania
associated herself with the statement made by Uganda, on behalf of the LDC Group.
She expressed appreciation for the short- as well as long-term programmes being
undertaken by the Secretariat under the biennial Plan. She emphasized the need
for strengthening the internship programmes of the WTO. In this regard, she
invited Members’ attention to the resource constraints of the LDC Missions in Geneva, which
necessitated continuous support in the form of regular interns in the Missions.
She urged the Secretariat to take necessary measures so as to increase the
number of mission interns as it would help LDC Missions to participate better
in the work of the WTO. She hoped that requests for mission interns by LDC Missions
in Geneva would
be given favourable consideration by the Secretariat.
24.
The
representative of Haiti
associated himself with the statement made by Uganda, on behalf of the LDC Group.
He enquired as to whether the Secretariat could organize video conferencing
courses for universities in the LDCs, similar to those undertaken for some
developing country universities in the past.
25.
The Chairman
noted some of the questions and issues raised by the LDCs at the meeting, which
included: (i) consideration of LDCs as venue for RTPCs; (ii) consideration for
selecting at least one intern per LDC each year; (iii) earmarking of funds to
facilitate national TA activities in the LDCs; (iv) strengthening academic
support programmes in LDCs, including the WCP; and (v) possibility of
conducting courses through Video Conference facility. He invited the
Secretariat to respond to the queries from the LDCs including the points that
he had identified.
26.
The
representative of the Secretariat responded to the questions and clarifications
made by Members. He said that the number of national TA activities held in LDCs
in 2013 would be available in the WTO's annual TA report which would be issued
shortly. The themes of national activities had been identified by the beneficiary
countries. In this regard, he recalled the consultations undertaken with each
regional grouping in 2013; some regions had identified certain priority areas
like SPS, TBT, Services, Agriculture and NAMA, which were duly taken into
account by the Secretariat in implementing the TA activities in those regions. With
a view to making the best use of limited human resources, the Secretariat
preferred not to organize general training as national activities since
information through such trainings could be obtained from regional trade policy
courses, advanced trade policy courses and through e-learning training.
National activities were envisaged on specific topics which could not be
undertaken otherwise. With respect to funding of expenses relating to national
activities, he said that all costs relating to the participation of WTO
resource persons were borne by the Secretariat. However, the expenses relating
to the organization of the event at the national level were not covered by the
WTO. He was of the view that such expenses and other facilities could be borne
by the national authorities in a cost‑effective manner.
27.
He noted the
request from the LDCs for flexible application of the progressive learning
strategy (PLS) so as to increase the participation of LDC officials in WTO
training courses. He reiterated that the Secretariat had already shown
flexibility in facilitating the participation of LDC officials who had not been
able to meet all the prerequisites on reasonable grounds. He encouraged the
LDCs to take maximum benefits from each phase of the PLS. He added that the
LDCs had been the largest beneficiary group of WTO's long-term internship programmes,
which demonstrated that the Secretariat had not been rigid in the selection of
LDC candidates. He also noted the request from the LDC Group to consider LDC
capitals as possible venues for RTPCs. He recalled that RTPCs had been held in
LDC locations in the past. He explained the selection procedure of RTPC
locations which were done on a competitive basis. He encouraged the LDCs to
submit their applications for conducting RTPCs.
28.
With regard to
the request from the LDC Group to ensure one intern per LDC each year, he said
that accommodating such a request would be difficult in view of financial
constraints, as well as physical capacity constraints in the Secretariat. In
addition, candidates from LDCs fulfilling all prerequisites for such internship
programmes were not always available. He drew attention of the LDCs to the
invitation to be sent out to delegations for the 2015 Internship Programmes. He
encouraged the LDCs to carefully review the invitation, and submit applications
accordingly. He also pointed out that the various internship programmes in the
WTO had covered almost all LDCs over the past couple of years, and that some of
the LDCs had benefitted several times, helping build cumulative capacity in
these countries to deal with WTO matters.
29.
With regard to
the WCP, he clarified that seven new Chairs had been added to the programme, in
addition to the 14 Chairs which had been selected in the first phase of the
programme. The funding support from the Netherlands had made it possible to
extend the WCP to a new group of seven institutions. He underscored the need
for regular interaction between the WTO Secretariat and the WTO Chairs. He
hoped that activities under the WCP should result in better linkages between
the academic work and trade policy formulation. In this regard, he invited
Members' attention to a case study issued under the aegis of WCP concerning
exports of mango by Senegal.
The study showed how Senegal
had adapted to the SPS requirements of its export markets and thus was gaining
access to those markets for its mangoes. He reiterated that the LDCs stood to
benefit from the academic support programme of the WTO. He noted that some
regions had not yet benefitted from the WCP; only seven Chairs had been
selected out of 77 candidates in the latest phase and that only a few LDCs
had competed in the process. Nevertheless, one LDC had already been identified
with which the WTO would soon engage.
30.
He was pleased to
note the appreciation of the LDC Group with the advanced thematic course for the
LDCs organized for the first time in 2013. He would draw the attention of his
colleagues to the request made by the LDC Group to continue such courses every
year. He also welcomed the suggestion from the delegation of Haiti to conduct video conferencing courses for
universities in Haiti,
and would get in touch with the delegation later to further discuss this.
31.
The Chairman
suggested that the Sub-Committee take note of the oral report of the
Secretariat, as well as of the statements made. He encouraged the LDCs to make
maximum use of the products offered by the Secretariat.
32. It was so
agreed.
- An Update on the Enhanced Integrated Framework (EIF): Oral
Report by the EIF Executive Secretariat
33.
The Chairman
recalled that according to the Work Programme for the LDCs, the EIF Secretariat
had been briefing the Members of the Sub-Committee on an annual basis. He noted
that the Sub-Committee attached high importance to the EIF which supported
trade capacity building in the LDCs. He invited the Executive Director of the
Executive Secretariat of the EIF to take the floor.
34.
The Executive
Director of the Executive Secretariat of the EIF provided the meeting with
an update on the EIF's work and achievements since its October 2013 report to
the Sub-Committee. He said that the EIF had continued to make progress on trade
mainstreaming as well as on the creation of national institutional structures
to conduct analytical work as well as in obtaining and managing Aid-for-Trade
resources. He recalled that Diagnostic Trade Integration Studies (DTISs) and
DTIS Updates (DTISUs) helped LDCs identify trade opportunities and constraints;
these studies also proposed measures to unlock LDCs' trade potential. He said
that 31 DTISUs and eight DTISs had been approved, of which eight DTISUs and
five DTISs had been completed. He explained that one of the essential
components of the DTIS exercise was the preparation of action matrices that
formed the basis for the preparation of Tier 2 projects aimed at building
productive capacity in the LDCs. Twenty-seven such projects in 20 LDCs had thus
far been supported.
35.
He continued by
saying that the EIF's capacity-building efforts had achieved a considerable
degree of success, as evidenced by the increased capability of LDCs to take
ownership of their trade and development agenda and of the EIF processes. The
EIF Secretariat continued to organize targeted workshops for the focal points
as well as national implementation units in various regions covering Africa, Asia and the Pacific EIF countries, which included
important topics such as trade mainstreaming, gender and trade as well as
monitoring and evaluation. Stakeholder engagement modules on the private sector
and civil society had been rolled out in three pilot countries, namely: Burkina Faso, Nepal
and Zambia.
36.
He said that the
World Tourism Organization (UNWTO) had been added to the EIF Board (hereafter
Board) as a new observer, in light of the preeminent role of tourism in the
economies of the LDCs. He hoped that the UNWTO would bring its substantive knowledge
and expertise in the area of tourism to help LDCs in achieving their
development objectives through tourism trade.
37.
He went on to say
that the High-Level Ministerial Breakfast organized on the sidelines of MC9 had
reinforced the high level of commitment to the EIF from the LDCs, donors and
the agencies. At MC9, Members had underscored the key coordination role of the
EIF in relation to the implementation of the TFA, as well as that of other
Ministerial Decisions, such as the one relating to the operationalization of
the LDC Services Waiver as well as the one on cotton.
38.
He announced that
in order to reach a wider range of stakeholders, through an effective
communications and outreach programme, the EIF would revamp its website and
would make it accessible in three languages, namely: English, French and
Portuguese. It had also initiated analytical and publications activities; the
first set of such activities included a study on SPS Measures in partnership
with the STDF and on tourism services in cooperation with UNWTO. The second set
of activities included analytical work on the role of the EIF vis-à-vis the Istanbul Programme of Action for the LDCs (IPoA)
for the decade 2011-2020, as well as the Post-2015 Development Agenda. Work had
also been initiated for delivering results in conflict and post‑conflict
environments.
39.
He drew Members'
attention to the funding situation of the EIF Trust Fund, pointing to an
imminent funding gap due to a combination of a growing number of Tier 2
projects and dwindling of existing resources. The funding situation was further
compounded by the inability of some donors to make disbursements to the EIF
Trust Fund on a timely basis. However, he acknowledged the new contributions of
nearly US$10 million from Finland
and Sweden, which enabled the
total Trust Fund to exceed the target of US$250 million set at the Pledging
Conference held in Stockholm
in 2007. He noted that the EIF Executive Secretariat and the EIF Trust Fund
Manager were making efforts to diversify funding sources, by reaching out to
non-traditional donors in addition to long‑standing supporters.
40.
In conclusion, he
said that the EIF was preparing for a comprehensive evaluation. In this regard,
the inception report submitted by the evaluator had been formally endorsed by
the Board. The formal evaluation would begin in July 2014. The evaluation, he
suggested, would be critical for the programme, as it would provide an
opportunity for the EIF partnership to make an informed decision on its future.
The EIF had organized its Board meeting in an LDC (The Gambia) on 19 June
2014 which was the first of its kind. It had provided an opportunity for the
partnership to ensure enhanced ownership of the programme by the LDCs as well
as to interact with stakeholders in the region and to observe results on the
ground.
41.
The
representative of Uganda,
on behalf of the LDC Group, recalled that the year 2015 would be a pivotal year
for the EIF, as the programme would undergo a comprehensive evaluation. He noted
from the latest EIF Annual Report that 90% of the LDCs had completed their Tier
1 projects and had included trade in their national development plans, thus
leveraging resources to promote increased synergies between trade and other
sectors of the economy. He said that Tier 2 projects, of which the EIF
supported 27 so far, served to build on this work by implementing priorities
identified in the DTISs. He took note of the guidelines recently adopted at the
Board meeting in The Gambia on the time-bound completion of DTIS and DTIS
updates. He reiterated that the DTIS process should conclude within a
stipulated time-frame. In this regard, he asked whether any time-frame had been
envisaged in those guidelines for completing the full cycle of the DTIS or DTISUs.
42.
He noted that
while the EIF was currently being implemented in 46 LDCs and three graduated
LDCs (Cabo Verde, Maldives
and Samoa), it had never been envisaged to
work in more than 40 LDCs. The implementation of Tier 1 and Tier 2 projects
meant that LDCs were beginning to reap the benefits of targeted support which
led to increased requests for Tier 1 and Tier 2 project-support. He expressed
some concern that if the support to the EIF Trust Fund was not enhanced from its
current level, the Programme would fail to meet its objectives.
43.
While expressing
appreciation to development partners for their efforts in making the EIF an
important vehicle for the coordinated delivery of trade capacity-building
interventions, he underlined the need for the replenishment of EIF resources
for successful implementation of projects. He urged all partners to consider
interim means of enhancing resource flows to the EIF such as, inter alia, through bridge funding, so as not to lose the
current momentum. He commended the EIF Executive Secretariat for its resource
mobilization initiatives.
44.
With regard to
the comprehensive evaluation of the EIF, he said that the LDCs had already
submitted comments to the consultants. Since the evaluation constituted an
important step in the life-cycle of the EIF programme, its methodology would be
critical. In this regard, he cautioned against over-engineering of expectations
on the programme’s impact on parameters such as economic growth and poverty
reduction, especially in light of the short one-and-a-half year period of the
programme following the Medium Term Review (MTR). He urged Members to recognize,
as was the case in the MTR, that the EIF’s success would often be indirect and not
highly visible; though efforts should be undertaken to make those successes
more visible. He expressed hope that the evaluation would recommend more
practical ways to make the next phase of the EIF more pragmatic and successful,
with increased ownership of the programme at the national level.
45.
In conclusion, he
made a suggestion on the EIF governing structure. In order to enhance the
participation of Geneva-based delegates in the activities of the EIF, he
proposed that the LDC Board members be accompanied to the Board meetings by
their respective Geneva-based delegates, in order to keep the LDC Group fully
informed of developments in the Board, as well as to ease the burden of the capital-based
LDC Board members. He looked forward to a post-2015 phase of the EIF.
46.
The representative of Nepal
commended the EIF programme, especially for its role in
enhancing LDCs’ supply-side capacity and trade infrastructure building. He considered
the Tier 1 projects to be effective in laying foundations for institution
building and mainstreaming the trade agenda into the national development
plans. The DTIS under the Tier 1 support had helped LDCs identify their export
potential. The Tier 2 projects, which focused on implementing the action matrix
suggested by the DTIS, had been helping LDCs strengthen their trade capacity.
47.
He thanked the
donors to the EIF Trust Fund, and encouraged them to increase support for the
EIF. He thanked the delegations of Finland
and Sweden
for their recent contributions to the EIF Trust Fund. He welcomed the
comprehensive evaluation of the EIF programme that was being undertaken. He
expressed hope that the LDC Group’s comments on the inception report, approved
at the recent Board meeting in The Gambia, would form the basis of the evaluation.
He proposed that the evaluation should not only explore the rationale for
extending the EIF beyond its current mandate, but should also suggest key
measures and improvements that would help secure adequate funding for the
smooth functioning of the programme beyond 2015.
48.
Recalling the
recognition of the EIF’s potential role in implementing the TFA adopted at MC9
as well as in the operationalization of the LDC Services Waiver and in enhancing
cotton exports, he proposed that the evaluation explore appropriate modalities
for the EIF to engage in these areas. He also urged development partners and
the agencies (mentioned in the modalities for negotiations on Trade
Facilitation) to involve the EIF in the coordination processes of their own
initiatives so as to achieve synergies. In conclusion, he reiterated the EIF's
relevance in the implementation of the Post-Bali Work Programme, the IPoA and
in the ongoing discussion on UN's Post-2015 Development Agenda. He hoped that
the evaluation of the EIF would take a forward‑looking approach as to how the
EIF could be best positioned to respond to these emerging priorities.
49.
The
representative of Bangladesh
expressed appreciation for the work being undertaken by the EIF Secretariat for
the benefit of the LDCs. He said that lessons learned through the
implementation of the EIF Programme over the past years should be taken into
consideration in the ongoing evaluation for it to deliver better results in the
future. His delegation was in support of a simpler EIF framework which could
further facilitate accessing the intended benefits from the Programme. He was
of the view that an appropriate balance between the process and the efforts on
the ground was essential with a view to ensuring better value for the EIF
resources. He pointed out that the preparation of the DTIS for his country had
been taking an unusually long time which was neither efficient nor helpful for
the LDCs. He asked for a shortened process for the completion of DTIS and other
EIF activities. He also underlined the need for enhanced national ownership in
the EIF process with a view to achieving maximum benefits from the programme.
50.
In conclusion, he
stressed the importance of enhanced and sustained level of resources so as to
adequately meet the needs of LDCs identified in the DTISs. He added that given
the size of the population and the resource scarcity in the LDCs, the scale of
assistance in the EIF programme should be broadened to address the needs of
LDCs beyond 2015.
51.
The
representative of Mali
associated himself with the statement made by Uganda, on behalf of the LDC Group.
His delegation was awaiting the results of the ongoing evaluation of the EIF
programme. He recalled that the LDCs had raised a number of issues with respect
to the initial report on the evaluation, and hoped that the views of the LDCs on
the ongoing evaluation would be taken on board. He stressed the need for
enhanced funding, in particular to ensure smooth running of the programme in
the coming years. In conclusion, he said that his authorities might revert to
the inception report of the evaluator once they had completed reviewing it.
52.
The
representative of Benin
thanked donors for their support to the EIF Programme, and urged them to continue
extending such support for the benefit of the LDCs. He associated himself with
the statement made by Uganda,
on behalf of the LDCs. In particular, he endorsed the suggestion for the
involvement of Geneva-based LDC delegations in the EIF activities in Geneva. He stressed that the
regular flow of information between the EIF Secretariat and the Geneva Missions
as well as with other partners was essential for the success of the programme.
He also encouraged the EIF Secretariat to organize regular interactions between
all stakeholders of the Programme. In conclusion, he requested the EIF
Secretariat to provide an update on the state of the Tier 2 project proposal
that his Government had submitted recently. In this regard, he suggested that
the EIF Secretariat provide periodic updates to the LDC missions once a project
proposal was submitted since this would help the missions respond to queries
from their capitals.
53.
The Chairman
noted the questions and comments made by the LDCs on the implementation of the
EIF Programme, which included: (i) establishment of a specific time-frame for
the completion of the full cycle of DTIS and DTISUs; (ii) desire for more funds
in relation to the needs that could arise after 2015; (iii) no duplication with
other TA programmes; (iv) better communication between the EIF Secretariat and
other stakeholders; (v) consideration of steps to further enhance national
ownership of the EIF Programme; and (iv) specific request from the delegation
of Benin on its Tier 2 project. He invited the Executive Director of the
Executive Secretariat of the EIF to take the floor.
54.
The Executive
Director of the Executive Secretariat of the EIF responded to the questions
and comments raised at the meeting. With regard to the specific query from the
delegation of Benin on its Tier 2 project proposal, he said that the
Secretariat was working on it and that the project would be submitted to the
Board within a week. He also explained the process as well as the approval
cycle of the Board in relation to project proposals received from the LDCs. He
said that once a project proposal was received, some necessary information was
needed before the project could be submitted for the Board’s approval. This
information collection might take some time, since a number of parties were
involved. Once a Tier 2 project was submitted to the Board, it would normally
take 20 days (i.e. no objection through electronic means) for it to get the
approval of the Board. The EIF Secretariat was considering fixing an internal
deadline to be able to complete the project review and the project approval
process within a specific period of time.
55.
He noted the
suggestion from the delegation of Benin to enhance the level of communication
between the EIF Secretariat and the LDC missions in Geneva, in particular after
the submission of projects by the LDCs. He also took note of the suggestion
made by the delegation of Bangladesh for having a timeline for the delivery of
DTIS. In this regard, he invited Members’ attention to the recent adoption of a
decision by the Board, which, inter alia,
would streamline the DTIS process. Timelines had been envisaged in all steps of
the DTIS process. He hoped that the agencies or other entities responsible for
the preparation of the DTIS would comply with that decision, and that
eventually the time required for the completion of the DTIS would be reduced.
56.
He went on to say
that the donors would await the result of the comprehensive evaluation of the Programme
before considering additional funding for the EIF Trust Fund. He reiterated that
the suggestions and comments received from the LDC Group on the inception
report submitted by the evaluator had been fully taken on board, prior to the
adoption of the inception report at the Board meeting on 19 June 2014. In conclusion,
he considered useful the suggestion of the LDC Group on the participation of
Geneva-based missions to join the LDC Board members at the Board meeting. He
would include this issue on the agenda of the future Board meeting and would
seek to present a favourable case to the Board.
57.
The Chairman
suggested that the Sub-Committee take note of the oral report made by the Executive
Director of the Executive Secretariat of the EIF, as well as of the statements
made. He noted that some important work was being undertaken in the EIF in the
coming months. In particular, he looked forward to the conclusion of the
ongoing Evaluation of the EIF.
58.
It was so agreed.
- Duty-Free Quota-Free
Scheme by Chile (WT/COMTD/N/44)
59. The Chairman said that the
notification made by Chile on its duty-free quota-free market access scheme for
LDCs was circulated as WT/COMTD/N/44. In accordance with the established
procedure, the Council for Trade in Goods had referred the notification to the
Sub-Committee. He invited the representative of Chile to introduce the
notification.
60.
The
representative of Chile invited Members' attention to the notification
(WT/COMTD/N/44) circulated in April 2014 concerning the customs duty
elimination scheme by Chile for the 48 UN‑designated LDCs. The scheme had
already entered into force. He said that the scheme, which was a unilateral (i.e.
non-reciprocal) tariff preference scheme, eliminated custom duties on imports
of goods originating from LDCs, excluding wheat, wheat flour and sugar. He
added that the benefit of the scheme would be implemented in three consecutive
stages.
61.
He reiterated
Chile's commitment to the MTS, and the importance of its development pillar. In
fact, the customs duty elimination scheme for the LDCs responded to the recent
Decision on "Duty-Free and Quota-Free (DFQF) Market Access for
Least-Developed Countries" adopted by Members at MC9. In order to benefit
from this scheme, he requested the LDCs to submit information on their respective
certification bodies as soon as possible to the Chilean authorities, since the
application of preferential treatment would require compliance with the
scheme's procedures and certificate format.
62.
The
representative of Uganda, on behalf of the LDC Group, expressed sincere
appreciation to the Government of Chile for adopting a DFQF market access
scheme for LDC products in line with the decisions adopted by Members at the Hong
Kong Ministerial Conference as well as the Bali Ministerial Conference. He considered
the scheme as comprehensive, with the coverage of duty‑free tariff lines
exceeding 97%.
63.
He recalled that
the LDCs had been asking for enhanced market access opportunities for their
products since the creation of the WTO. He noted that Chile had joined several
other developing countries in providing significant market access measures in
favour of LDCs. He also took note of the DFQF-related notifications made by
different developed and developing Members. He encouraged the remaining Members
to provide DFQF market access for all products originating from LDCs in a
manner that ensured stability, security and predictability. He urged, in
particular, developed Members to include products of commercial interest to
LDCs in their market access schemes. He commended Members that had already
attained the 97% DFQF coverage for LDCs, and encouraged other Members to work
towards the same target. He also stressed that preference-granting countries
effectively implement notification requirements, and make publicly available
the utilization rates of their DFQF schemes.
64.
He acknowledged
the recent submission by Chile concerning rules of origin requirements
associated with its DFQF scheme (WT/COMTD/N/44/Add.1). Although the LDCs had
not yet been able to examine those documents, he hoped that such requirements
would be simple, so as to facilitate exports from LDCs. He encouraged Members
to meaningfully reform their rules of origin, on the basis of the Decision on
Preferential Rules of Origin adopted by Members at MC9, with a view to making
them simple, objective and transparent. In conclusion, he put on record the
appreciation of the LDC Group to the Government of Chile for its generous DFQF
scheme for LDCs. He looked forward to seeing greater engagement of the LDCs
with Chile.
65.
The
representative of Nepal expressed sincere appreciation to the Government
of Chile, for adopting a DFQF scheme for the LDCs. He considered this
initiative encouraging for all LDCs and an important step towards implementing
Annex F of the Hong Kong Ministerial Declaration. He requested other developing
Members to take steps similar to that of Chile, and to provide LDCs with similar
market access opportunities in line with the Hong Kong Ministerial Declaration.
66.
He hoped that the
LDCs would be able to make best use of this scheme. He pointed out that the rules
of origin provisions played a crucial role in the optimal use of any DFQF
scheme. Hence, DFQF schemes alone would not be able to produce the desired
results unless supported and complemented by simple, predictable and export-friendly
rules of origin. He urged the Government of Chile to introduce simplified and
less cumbersome rules of origin criteria that could facilitate exports from
LDCs. In addition, he emphasized the need for strengthening supply-side
capacity in the LDCs so as to make full use of any preferential scheme
undertaken in favour of LDCs.
67.
The
representative of Bangladesh thanked the Government of Chile for its
DFQF scheme for LDC products. The LDCs were encouraged by this initiative, as
it would augur well for the implementation of the Decision on DFQF market
access for LDCs taken by Ministers at the Hong Kong Ministerial Conference.
He noted that most of the information relating to the scheme was available in
Spanish. His delegation might have further comments on the scheme once
information was made available in English. He invited other Members to come up
with similar initiatives like the one taken by Chile. He underlined the
importance of timely notifications of DFQF schemes undertaken by Members, which
could provide clarity and enhance transparency of market access measures taken
in favour of LDCs. He also underscored the need for simple rules of origin
provisions to facilitate exports from LDCs.
68.
The Chairman
commended the delegation of Chile for its generous initiative, which would
encourage other Members to extend similar preferences to the LDCs. He also underlined
the need for further progress in the area of rules of origin. He noted that Members
would be able to engage further on this scheme as per the procedures laid out
in the Transparency Mechanism for Preferential Trade Arrangements. He suggested
that the Sub-Committee take note of the notification made by Chile contained in
WT/COMTD/N/44, as well as of the statements made.
69. It was so agreed.
70.
The Chairman
invited the representative of UNCTAD to take the floor.
71.
The
representative of UNCTAD briefed Members on the Rules of Origin Workshop
held in UNCTAD on 9 April 2014, entitled “Way Forward on the WTO Ministerial
Decision on Preferential Rules of Origin”. The meeting had been organized with
the funding support from the Government of the Netherlands. The objectives of
the meeting were threefold: first, to brainstorm on the content of the Decision
on Preferential Rules of Origin adopted by Members at MC9; second, to explore
the possible actions that could be taken by the international community to
support the LDCs in the implementation of the MC9 Decision on Preferential
Rules of Origin; and third, to brainstorm on the mandate provided by the MC9
Decision to the WTO Committee on Rules of Origin, with a view to building on to
the existing preferential rules of origin applicable for the LDCs.
72.
He continued by
saying that the meeting had been attended by some 70 participants, among whom
22 were from the LDCs. Participants included representatives from developing
countries as well as from international organizations such as World Customs
Organization (WCO), WTO, UNDP and private sectors. Two papers from the UNCTAD
Secretariat were presented at the meeting; the first related to the value of
the MC9 Decision, and the second focused on the lessons learned in the drafting
of rules of origin provisions. He said that although the MC9 Decision was "best
endeavour" in nature, it provided a number of technical details and some
novelties which could be used as a guidance to build on to the existing rules
of origin applicable for the LDCs.
73.
He underlined the
importance of flexible rules of origin so as to facilitate exports from LDCs.
In this regard, he cited the example of Cambodia which had witnessed an
improvement of its rate of utilization of the EU preference scheme, in
particular for bicycle and clothing exports, following the introduction of EU’s
revised rules of origin in 2011. The experience of Cambodia had shown that
favourable changes in rules of origin could trigger a market response in
building productive capacities in LDCs.
74.
He said that
follow-up actions to the Workshop were being undertaken. The UNCTAD Secretariat
was undertaking a joint research along with the LDC Group. He reiterated that
the UNCTAD, in collaboration with WTO and WCO, would continue to support the
LDCs in the implementation of the MC9 Decision. In this regard, he hoped for
continued support from the Government of the Netherlands. He also underlined
the need for similar workshops prior to the meeting of WTO’s Committee on Rules
of Origin later this year, as this would help LDCs build capacity in discussing
their challenges from using existing rules of origin requirements. In
conclusion, he said that UNCTAD was in the process of finalizing its report on
the meeting which should be completed soon.
75.
The
representative of Uganda, on behalf of the LDC Group, expressed
appreciation to UNCTAD, especially to Mr. Stefano Inama for his dedication to
assist LDCs in the work related to rules of origin. He thanked UNCTAD for
holding the Workshop on 9 April 2014. He recalled that the LDC Group had
indicated at the last meeting of the WTO Committee on Rules of Origin that it
would soon come up with a paper on rules of origin highlighting the challenges
that the LDC exporters were facing in accessing markets. He hoped that the
joint research by UNCTAD and the LDC Group would provide further input into the
discussions in WTO.
76.
The
representative of Benin thanked UNCTAD for organizing the Workshop,
which had helped LDCs comprehend the technical issues involved with
preferential rules of origin. He also expressed gratitude to the Government of
Netherlands for providing financial support for this Workshop. He endorsed the
view that simple rules of origin could help achieve improved market access for
LDC products. His delegation would remain engaged with the UNCTAD and the WTO,
as well as with LDCs' trading partners to make further progress in the area of
rules of origin.
77.
The Chairman
suggested that the Sub-Committee take note of the report made by UNCTAD, as
well as of the statements made.
78.
It was so agreed.
79.
The Chairman
invited the representative of the World Bank Group to take the floor.
80.
The
representative of the World Bank Group (WBG) said that the WBG had
recently established a new Trade Facilitation Support Programme (hereafter
Programme), explicitly designed to help developing countries, in particular the
LDCs, reform their trade facilitation practices in a manner consistent with the
main components of the TFA adopted by WTO Members at MC9. The financial
commitments to the Programme had, so far, totalled US$30 million. The donor
partners included: Australia, Canada, the EU, Norway, Switzerland and the
United States. This new Programme intended to help developing countries reform
their trade facilitation laws, procedures, processes and systems to make them
consistent with the TFA. The Programme would also complement project
interventions with the development of knowledge, learning and measurement
toolkits and initiatives.
81.
He went on to say
that the Programme would draw on the WBG’s extensive experience, working with
countries across the world on trade facilitation reforms. It had already been
working with many WTO Members, and had implemented more than 120 customs and
border management projects over the past 20 years. He underscored the
importance of collaboration with other international agencies in delivering
assistance, with the aim of ensuring effective coordination among donors.
82.
He gave examples
of some specific activities that the WBG had envisaged in support of developing
countries through this new Programme. Support was available to deal with some
of the immediate priorities that the LDCs would be facing in the implementation
of the TFA, including scheduling of commitments and developing timelines for
implementation of various provisions of the TFA, reviewing the needs assessment
already undertaken in identifying gaps for further reforms, strengthening
national trade facilitation committees, reviewing, revising and drafting
trade-related laws and regulations to ensure they aligned with the TFA. The
programme could also support more complex tasks relating to harmonization of
trade procedures and documents to reduce time and cost to trade, integration of
risk-based management systems into border inspections and clearance processes,
review of inter-agency coordination as well as support for the single window
systems. He added that the WBG envisaged working across all aspects of the TFA,
both through this Programme and through other trade facilitation work of the WBG.
83.
In conclusion, he
said that the WBG was developing a list of initial partner countries for this Programme.
He invited the LDCs interested in participating in this Programme to contact
the WBG Geneva Office or their respective country offices of the WBG. He looked
forward to partnering with LDCs on this important issue.
84.
The
representative of Uganda, on behalf of the LDC Group, expressed
appreciation for the Programme that had been put in place by the WBG to extend TA
in the context of the implementation of the TFA. Since the presentation was
made under Other Business, he could not consult the Group on this Programme.
Nevertheless, he looked forward to having a detailed discussion with the WBG on
the terms within which the LDCs could access support under the Programme,
including ascertaining as to whether the support would be limited to software support
(i.e. policy-oriented assistance) or would cover other assistance projects as
well.
85.
The
representative of Tanzania thanked the WBG for its new Programme to help
developing countries implement the TFA. She enquired as to whether the Programme
would be limited to providing software support or would also cover hardware
support (i.e. infrastructure development). She noted that the funds available
so far under the new Programme were not significant enough to address some of
the infrastructure needs of the LDCs which many LDCs would need to attend to in
view of the implementation of the TFA.
86.
The
representative of Benin welcomed the new Programme of the WBG, and hoped
that the LDCs would receive a special focus in the implementation of this
Programme. He also hoped that the Programme would be able to meet the TA and
capacity‑building needs identified by the LDCs in the area of trade
facilitation. He informed Members that his Government had organized a Trade
Facilitation Needs Assessment Workshop from 2 to 6 June 2014. His authorities would
closely follow the Programme and other support programmes with a view to
meeting the identified needs of his country.
87.
The
representative of the World Bank Group reiterated that the LDCs would be
a priority of this new Programme, which was designed as a rapid response
facility to address the needs arising from the implementation of the TFA. With
respect to the scope of the new Programme, he said that it would be a gateway
to prepare the ground for larger projects relating to trade facilitation. A
country might access support from this programme which could help design a
multi-million dollar customs reform programme, addressing the requirements
arising from the TFA and even could go beyond the TFA if that was what a
country wanted to do. He noted that a large amount of funds were being provided
by the WBG, as well as by other multilateral institutions and bilateral donors
in the area of trade facilitation. In conclusion, he expressed his readiness to
discuss the Programme in more detail with the LDC Group at the earliest
opportunity.
88.
The Chairman
suggested that the Sub-Committee take note of the statement made by the representative
of the WBG, as well as of the statements made by Members.
89.
It was so agreed.
90.
The Chairman
said that the next meeting of the Sub-Committee was tentatively scheduled for
early November 2014. The exact date and time would be issued in due course.
91. The meeting was adjourned.
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