TRADE POLICY REVIEW MECHANISM

draft Report of the Trade Policy Review Body for 2016

Chairperson: Ms Irene YOUNG, Permanent Representative of Hong Kong, China

1.       This Report by the Trade Policy Review Body (TPRB) provides a brief assessment of its activities in 2016. The annexed tables provide information on Members that are to be reviewed up to the end of 2016, the geographical coverage of the reviews conducted to date, the programme of reviews for 2017, and candidates for review in 2018.

Sixth Appraisal of the TPRM

2.       In June, the TPRB agreed to undertake the sixth appraisal this year. Members plan to complete the appraisal by the end of 2016 and to present the results to the 11^th Ministerial Conference in 2017.

3.       Having regard to the results of the fifth appraisal, which were presented to the 9^th Ministerial Conference in 2013^[1], the main issues being discussed as part of the current appraisal include: preparation for TPR meetings; organization and structure of TPR meetings; follow-up to TPR meetings; and other areas of the Trade Policy Review Mechanism (TPRM).

Activities of the TPRB

4.       By the end of 2016, the TPRB will have conducted 452 reviews since its inception in 1989 (up from 429 in 2015), at 345 review meetings (Annex I). The reviews have covered 153 out of 164 Members.^[2] The trade policies and practices of two Members were reviewed for the first time in 2016.^[3] The TPRB will have conducted reviews of 23 Members in 2016 (Annex II).

5.       The review process, from start to finish has run relatively smoothly. The Secretariat's reports continue to be prepared in close consultation with the authorities of the Member under review. Responses to requests for data, documentation and information have generally been provided within the suggested deadlines. In preparing its reports, the Secretariat has continued its efforts to reduce the burden on Members under review by using, to the extent possible, other sources of documentation, including Members' official web-sites or other credible sources. Essential elements to the process have been the responses by the authorities to draft reports and visits to capitals by teams from the Secretariat.

6.       There have been a few adjustments to the programme of reviews during the course of the year.^[4] Efforts continue to be made to space meetings of the TPRB as evenly as possible throughout the year and to avoid clashes with other meetings at the WTO so as to reduce pressure on Members. However, the increasing number of WTO Members, while a success for the multilateral trading system, is also increasing the number of reviews necessary to comply with paragraph C (ii) of Annex 3 of the Marrakesh Agreement. This adds to the burden on Members, chairpersons and the Secretariat.

7.       The TPR programme for 2017 comprises 16 review meetings covering 24 Members, counting the EU as one (Annex III). It includes a joint review of Members of the West African Economic and Monetary Union (WAEMU) (Benin, Burkina Faso, Côte d'Ivoire, Guinea-Bissau, Mali, Niger, Senegal, and Togo), and the postponed review of Sierra Leone. Annex IV provides the list of Members that can be considered as candidates for review in 2018.

Coverage of LDCs and follow-up to TPRB meetings

8.       Trade policy reviews of LDCs have been beneficial to them in terms of improving their understanding of WTO Agreements, as well as encouraging their compliance with, and integration into, the multilateral trading system. Of the 36 least-developed Members of the WTO, 31 will have been reviewed by the end of 2016.^[5]

9.       At the request of the Member concerned, the Secretariat organizes follow-up workshops to discuss the outcome of its Trade Policy Review with domestic stakeholders. In 2016, four follow-up workshops for Botswana (Member of the Southern African Customs Union (SACU)), El Salvador, Guyana, and Madagascar are to be conducted. Building on the success of the Myanmar and Pakistan follow-ups, the WTO Secretariat has strengthened its approach. Rather than just disseminating the results/outcomes of the Review, the Secretariat now works closely with the Member under review, upon its request, to plan for a workshop that reflects its priorities and technical assistance needs. For example, in the case of Myanmar, the workshop provided the opportunity to identify priority areas for reforms requiring technical cooperation and capacity‑building assistance, and to synchronize these priorities with the Enhanced Integrated Framework (EIF) work and donor programmes. Several donors made pledges during the workshop to provide specific assistance in some of these identified areas. With regards to Pakistan, the authorities' primary objectives were to enhance awareness of the WTO and the multilateral trading system among domestic stakeholders, and to promote the Agreement on Trade Facilitation (TFA). These examples would suggest that the follow-up workshops are following more closely Members' needs and priorities.

Monitoring of trade and trade-related measures

10.    The TPRM requires Members, in between their reviews, to provide information on significant trade policy changes. The WTO Secretariat uses this and other information to prepare, on a regular basis, reports on the trade and trade-related developments of Members and Observer Governments. The information is consolidated and presented in the Director‑General's Annual Report on Developments in the International Trading Environment, as called for by paragraph G of Annex 3 of the Marrakesh Agreement. Cooperation from Members in collecting this information is improving.

11.    The latest trade monitoring report covered measures taken during the period from mid‑October 2015 to mid‑May 2016.^[6] The report provided information on the latest trends and developments with respect to trade-restrictive measures as well as those facilitating trade. The report drew attention to a significant increase in the number of trade-restrictive measures implemented by Members compared to that at the time of the previous report. The overall stockpile of restrictive measures recorded for Members grew by 11% during this last review period, largely due to the slow rate at which Members have been eliminating previous trade restrictions. The report underscored the need, in the midst of a time of economic and financial uncertainty, for WTO Members, individually and collectively, to resist protectionist measures.

12.    The Director‑General's 2016 Annual Report on Developments in the International Trading Environment will be discussed by the TPRB in December 2016.

Annex I

TRADE POLICY REVIEWS

WTO Members reviewed, 1989-2016

The parentheses indicate the number of reviews completed (where this is greater than one).

a             First review in 2016.

b             Least-developed Member.

1             Now included in European Union (EU-28).

2             Joint review but counted as individual Members for statistical purposes from 2009.

Reviews conducted at end-2016                      =        452 reviews at 345 TPRB meetings

WTO Members reviewed                               =        153 out of 164

Least-developed WTO Members reviewed                   =     31 out of 36

Annex II

Trade policy reviews conducted in 2016

Note:       Figures in parentheses indicate the total number of reviews that will have been conducted by the end of 2016.

a             Alternative timeline.

b             Least-developed country.

Annex III

Programme of reviews for 2017

a             Least-developed country.

b             Alternative timeline.

ANNEX IV

32 Candidates for review in 2018
(Due date in parentheses)

a             Least-developed country.

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