Arab Republic of Egypt Ministry of Trade and Industry
Agreements and Foreign Trade Sector
2030
Trade and Development
3/4/2019

Trade and Development

 

I. Special and differential treatment (S & Ds):

 

According to the Fourth Ministerial Meeting in Doha, which resulted in the so-called Doha Development Agenda, the tasks of reviewing and activating the provisions of special and differential treatment contained in all WTO agreements were assigned to the WTO Trade and Development Committee in Geneva. In this regard, many developed countries have failed to comply with these provisions towards developing countries, since the legal wording of these provisions is not mandatory for developed countries. In other words, developing countries can not enter into disputes with other developed countries if the latter fails to implement these provisions.

 

As agreed upon at the Bali Ministerial Conference in December 2013, the Group of 90 on behalf of the African Group and the Group of Least Developed Countries and ACP States prepared a list of proposals concerning the most important special and differential treatment provisions that are a priority for developing and least developed countries, In the framework of the meetings of the Special Session of the Trade and Development Committee of WTO JOB / DEV / 29 / REV.1

Discussions and disagreements among developing and developed countries persisted as developed countries demanded that these proposals be broken down into a package of proposals aimed at least-developed countries, and that the proposals of developing countries be excluded and that any attempts by developing countries to make any gains from round negotiations Doha, which was strongly opposed by developing countries.

Aid for Trade:

 

The World Bank and IMF responded to the request by the G7 and G-8 finance ministers to propose the so-called "Aid for Trade", which includes technical and financial assistance to developing and least developed countries to improve productive capacity and infrastructure Related to trade in those countries and to assist States in implementing their commitments under the WTO Agreements as well as to help them cope with the heavy trade costs incurred by developing and least developed countries.

 

On 8 February 2006, as agreed at the Hong Kong Ministerial Conference, the General Council established a 13-member working group to prepare recommendations to the General Council on how to activate the Aid for Trade program and achieve development goals in accordance with the Doha Development Agenda , Where it was agreed to establish an evaluation mechanism in the World Trade Organization in order to activate the Aid for Trade initiative, where it was agreed to prepare periodic comprehensive reviews every two years to discuss the achievements made by donors and the gains obtained by the recipient countries every two years.

On 21 June 2006, Egypt and the African Group prepared a paper on the concept of the "Aid for Trade Initiative", in which three key elements were emphasized: capacity building to improve productive capacities and improve infrastructure, Integration into the multilateral trading system that will result from the state undertaking domestic and international reforms so that it can implement its obligations under the multilateral trading system as well as develop its trade policies.

The financing of the "Aid-for-Trade" initiative continues to be a matter of debate between developed and developing countries. Developed countries consider that this initiative could be financed from existing and currently allocated funds for technical and financial assistance programs, better used than previously, While Egypt and the African Group emphasized the need to allocate additional funding to this initiative and to make "assistance for trade" grants unconditional, given that if adequate and sufficient financial resources are not available to improve productive capacity, international competition, institutional framework and infrastructure Infrastructure for developing and least developed countries and increasing human capacity building, this initiative will not be able to contribute to the achievement of the development dimensions of the Doha Development Round.

 

In July 2017, the sixth periodic review of WTO Assistance for Trade was completed and the experiences of countries and international organizations on the effectiveness of Aid for Trade were presented. As part of these meetings, Egypt has already presented its experience on the Qastal project to facilitate trade between Egypt and Sudan in this regard.

http://www.oecd.org/aidfortrade/casestories/casestories-2017/CS-55-Trade-Facilitation-between-the-Arab-Republic-of-Egypt-and-Sudan.pdf

 

Third: The Decision to Exempt Least Developed Countries' Exports of Quotas and Customs Fees Duty Free - Quta Free:

 

According to the Sixth Ministerial Conference in Hong Kong in 2005, one of the most significant gains made under the S & T negotiations is an agreement on the five proposals made by the least developed countries, as Annex F of the Hong Kong Ministerial Declaration states that developed countries Developing countries - in a position to do so - should grant exemptions to LDC exports of quotas and tariffs when their products enter the markets of developed countries, initially starting with an exemption of 97 percent until they reach 100 percent at the end of the tour.

In this regard, the United States of America submitted document WT / COMTD / W / 149 on the decision to exempt duty-free and quota-free exports from LDCs and WT / COMTD / 149 / W / ADD.1 on the operation of the exemption. 12 May 2006 on document WT / COMTD / W / 150 on the ways in which it will take action to implement the decision to exempt quotas and customs duties from LDC exports.

Despite the agreement in the context of the Hong Kong Ministerial Declaration for Least Developed Countries, to date, 97% of the products that will be exempted from quotas, tariffs and products under the 3% Exemptions are granted in light of the existence of complex and unclear rules of origin that prevent the access of LDC products to foreign markets.

Fourth: Mechanism of Monitoring and Evaluation

In July 2002, the General Council of the World Trade Organization issued a resolution establishing a monitoring and evaluation mechanism to activate the application of the special and differential treatment provisions contained in all WTO agreements and make them more precise, effective and mandatory. The special session of the Trade and Development Committee Results have been reached for submission to the General Council to take the necessary decisions.

 

Accordingly, the discussions - within the framework of the special session of the Committee on Trade and Development - focused on the development of an appropriate and effective mechanism for a monitoring and evaluation mechanism that would assess the extent to which developed countries applied SDT and the extent to which developing and least developed countries benefited from such materials, Developed by granting them preferential privileges.

 

Indeed, within the framework of the Ninth Ministerial Conference, the final version of the Development Control Mechanism was adopted, which would evaluate the application of special and differential treatment provisions by developed and developing countries and prepare preferential reports on the application and types of special and differential treatment obtained.

 

This mechanism is not yet operational as no Member State has offered its experience in granting or obtaining any kind of special and differential treatment.

 

Fifth: Technical Assistance and Capacity Building:

 

It was agreed that technical cooperation and capacity-building were key elements in the development dimension of the multilateral trading system. The WTO Secretariat, in coordination with the concerned authorities, will assist developing and least developed countries in implementing their obligations under all WTO agreements through workshops, seminars and specialized training courses in each agreement. It was also agreed to give priority to developing countries, the least developed countries and small economies.

Indeed, the WTO Secretariat prepares a technical assistance plan each year and prepares a quarterly assessment of all activities granted by the WTO in coordination with all other international organizations.

The role played by the central administration of the WTO on this subject:

 

Within the framework of the discussions on activating SDT provisions, the WTO Central Administration undertakes the following actions:

 

To study all provisions of special and differential treatment contained in all WTO agreements with a view to identifying the items that need improvement and clarification for their activation and negotiation within the framework of the meetings of the special sessions of the Committee on Trade and Development.

To prepare proposals to activate the application of special and differential treatment materials and to identify the possible benefits that Egypt may have in this regard and to submit recommendations to the sub-committees of the Higher National Committee on the Doha Agenda for Negotiations and then to the Commercial Representation Office in Geneva. Framework of WTO meetings.

Study and identify all the training courses needed by Egypt in the framework of the technical assistance plan prepared by the Secretariat of the World Trade Organization each year.