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Outcome of the 9 th WTO Ministerial Conference

This presentation discusses the outcome of the 9th WTO Ministerial Conference held in Bali, Indonesia in 2013. It highlights the decisions taken in areas such as regular work of the General Council, Doha Development Agenda, and Trade Facilitation Agreement. The presentation also explores the dynamics of the Bali Outcome and outlines the post-Bali process for delivering the remaining DDA issues.

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Outcome of the 9 th WTO Ministerial Conference

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  1. Outcome of the 9th WTO Ministerial Conference Dr Brendan Vickers Chief Director: Research and Policy International Trade and Economic Development Division Presentation to the Parliamentary Portfolio Committee on Trade and Industry 26 February 2014

  2. Introduction • SA is a proponent of multilateralism to manage globalisation and interdependence. • Imbalances in WTO rules that prejudice developing countries’ interests need to be addressed. • Reforms should enhance transparency and inclusiveness, and be re-balanced in favour of developing countries. • SA’s support for the Doha Round premised on overcoming identified imbalances and securing a developmental outcome for developing countries.

  3. Bali MC9 • 9th WTO Ministerial Conference held in Bali, Indonesia from 3-7 December 2013. • SA preparations for MC9 included consultations with NEDLAC, Parliament and National WTO Conference. • SA Delegation led by Minister Davies and included Members of Parliament and NEDLAC Constituencies: Business, Labour and Community. • MC9 delivered first outcome of Doha Round following prolonged impasse in negotiations since 2008. • Minister Davies, WTO DG and WTO Members paid tribute to former President Mandela on his passing.

  4. Bali Outcome • 10 Ministerial decisions taken in Bali. • Decisions on Regular Work of the General Council: • Standard decisions to extend waivers for e-commerce and TRIPS non-violation complaints. • Members instructed the Committee on Trade and Development to consider proposals on small economies and make recommendations. • Ministers reaffirmed their commitment to Aid for Trade.

  5. Bali Outcome • Decisions on Doha Development Agenda: • Agriculture: India, supported by the Africa Group, did manage to deliver positive outcome on food security through public stockholding food programmes for the poor; also deal to improve transparency and administration of Agri TRQs • No movement on key issues of interest to developing countries: elimination of agricultural export subsidies; cotton; DFQF market access for LDCs; S&D provisions diluted • Trade Facilitation

  6. Trade Facilitation Agreement (TFA) • TFA was the only fully binding agreement adopted following relentless pressure by developed countries. • Imbalances within TFA and between TFA and DDA. • TFA is imbalanced in terms of how the burden of implementation is distributed (binding rules without binding commitments to support implementation). • Developing countries required to “self-designate” their commitments under three categories: A, B and C. • Will be highly constrained and politicised process that requires agreement by other WTO Members. • TFA narrows scope of S&D treatment (“one size fits all”). • Implications for African regional integration?

  7. Dynamics of Bali Outcome • Formally, the Bali Outcome may lay the basis for re-starting the Doha Round negotiations in its totality under the single undertaking principle. • However, some concern that MC9 delivered an imbalanced trade deal. • Lays basis for an approach where issues of importance to powerful are advanced, while those of the weaker WTO Members are marginalised. • Whereas TF and its binding commitments must be implemented now, developing country issues were adopted with best endeavour language and may only be addressed in future.

  8. Post-Bali Process • Members mandated to develop a clearly defined work programme by end of 2014 to ensure delivery of the remaining DDA issues. • Priority to be given to issues in the Bali Package where legally binding outcomes could not be achieved. • Committee work has started to ensure entry into force of TFA and its implementation. • Chairs of DDA Negotiating Groups have also started work guided by principles outlined by the DG WTO. • SA will continue to build alliances with Southern partners (Africa Group, NAMA 11, G20, G90) to champion a development outcome to the Doha Round.

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