DOHA NEGOTIATING AGENDA

Update on State of Play and

Developing South Africa’s Negotiating Position

Presentation Content

• Scope of Negotiations/Work Programme

• Context (Current)

• Negotiating Bodies – Issues/Timetable

• Elements for Consultative Process

• Phased approach

• Challenges, Strategy and Linkages

Negotiating Groups (Special Sessions)

The Scope of Negotations

• Agriculture• Services• Intellectual Property Rights (TRIPs)• Non-Agricultural Market Access (industrial tariffs)• Rules (Anti-Dumping, Subsidies, Regional

Arrangements, Fisheries)• Trade & Environment

Negotiating Groups (Special Sessions)

• Special & Differential Treatment (Report to General Council with Recommendations by July 2002)

• Dispute Settlement (not part of single undertaking – deadline – May 2003)

Possible NegotiationsDecision at 5th MC (10 – 14 Sept 2003):• Trade & Investment• Trade & Competition• Transparency in Government Procurement• Trade Facilitation

Working GroupsRecommendation to 5th MC:• Small Economies• Trade Debt & Finance• Trade & Technology Transfer

Context (current)

• Broad Agenda• Impetus/dates to Mandated Negotiations• Focus on Negotiating Procedures/Timetable

• Window for domestic preparations

• US Farm Bill• Steel• Implications

Issue – Agriculture (1)

• Market access – tariffs, NTBs (SPS)

• Domestic support - phase down commitments/tighten disciplines

• Export subsidies - Reductions/elimination

• Non-trade concerns – environment, rural development, food security (others?)

• Special and Differential Treatment

Issue - Agriculture (2)

2002 Special Sessions Timetable:

• June – export subsidies & restrictions

• Early Sept – market access

• Late Sept – domestic support

18 Dec – Circulation of Chair’s Overview Paper

Issue - Agriculture (3)

2003 Timetable:

• January: comprehensive review based on overview ; first draft of modalities document

• February – comments on first draft and redrafting

• 31 March – deadline for modalities.

Issue – Services (1)

Market access• Requests• Offers• Focus: increase commitments & remove limitations

Rules (applicable to all services)• Classification of services• Domestic regulation• ESM• Subsidies• Government procurement

Issue - Services (2)

Time table• Initial requests for specific commitments – 30 June 2002• Initial offers of specific commitments – 31 March 2003• Rules negotiations - ongoing• Sevices Weeks with Special Sessions – Every Quarter

Key players• Communications, Treasury, Transport, DEAT, Minerals

and Energy, Health, Education

Issue – TRIPs (1)

Public Health Declaration

•Compulsory licensing without manufacturing capacity (end 2002) Geographic Indications

•Register of GIs for Wines & Spirits (negotiations)

•Expansion of List of products for higher protection (discussion)

Issue – TRIPs (2)Art 27.3(b)

• exclusion from patentability of plants & animals and essentially biological processes

• Compulsory patenting of micro-organisms; non-biological and microbiological processes.

• Protection of plant varieties by patents or sui generis system.

• Implications – biotechnology, food security, biodiversity, traditional knowledge

Issue – TRIPs (3)

Non-violation Compliants

•Dispute based on loss of benefit caused when when no WTO agreement or commitment has actually been violated

Technology transfer for LDCs (Article 66)

•Measures to encourage technology transfer to LDCs

Issue - TRIPs (4)

Timetable:

By 5th Ministerial – recommendations on the scope and modalities for non-violation complaints; Register

End 2002 – mechanism to effect Article 66 provisions

Key players: NDA; DACST; DEAT; SA Law Society (IP Division); NGOs; Wine & Spirit Industry; Labour.

Issue - Non-Agricultural Market Access (1)

Issues:• Tariff peaks (Above average levels)• Tariff escalation (escalating tariffs “lock in” low

value-added production)• High tariffs (Targeting Developing Countries

Africa/South Asia)• S & D (“less than full reciprocity”)• Non-tariff barriers (TBT)

Issue - Non Agricultural Market Access (2)

First phase of negotiations• Agree on Modalities (method for tariff liberalisation)

– Request/ offer; Formula; Sectoral – Combinations– New method

Time table• Agree on modalities before 5th Ministerial

Key players: BTT, NEDLAC

Issue – Rules (1)Anti-Dumping, Subsidies and Countervailing

Measures, Regional Trade Agreements• Clarify and improve disciplines

First phase of negotiations• Identify provisions for clarification and improvement

Issues (AD & Subsidies)• methods of calculation• relationship between dumping and injury• lesser duty rule • Cumulation• S&D

Issue – Rules (2)

Subsidies Issues• Non-actionable subsidies to include those for

development?• Equitable disciplines on export credits

RTA issues• “substantially all trade”• RTAs between North and South (Art. XXIV)

Issue - Trade & Environment

Mandate• MEAs and WTO relationship• Exchange of Information (MEAs and WTO)• Market Access negotiations on environmental gods

and services• Recommendation to 5th MC (other possible

negotiations): • Eco-labelling• Linkages to TRIPs• Linkages between market access,

development and environment

Issue - Trade & Environment (2)Circumscribed negotiations

•Rules would apply only to Members of both WTO and MEA (i.e. not non-parties of MEAs)

• Must be compatible with open, non-discriminatory trade system

•Shall not add or diminish rights and obligations of Members (SPS, in particular)

•Account for developing countries needs

Timetable: 2003 – other issues; 2005

Developing SA’s Negotiating Position

• Establish formal consultative process• Identify key national players/stakeholders• Prioritise six negotiating groups; i.e. those underway• Identify negotiating issues per group• Follow timeline for negotiations as agreed in Doha

• Define government approach – through IRPS• Stakeholders to define their approach• Stakeholder engagement in Nedlac

Phased Approach

1st Phase (until September 2002)• Define Government position• Stakeholders to define positions

2nd Phase (from September 2002 – March 2003)• Nedlac engagement• Wider engagements

3rd Phase (after March 2003)• Engage Geneva negotiations

Nedlac Task Teams

• Engagement to define SA’s negotiating position

• Six Task Teams (initally)

• Focused interaction around negotiating issues in the WTO negotiating bodies

• Preparation of consolidated national positions

• Process to Cabinet for Negotiating mandate

Challenges, Strategy and Linkages

• Domestic consultations/mechanism

• Research – empirical/technical/legal

• Forging an African Negotiating Agenda

• Linkages to Cotonou Negotiations

• Capacity building