Select Committee on International Development Seventh Report


4  BEYOND AGRICULTURE: OTHER ISSUES FOR CANCÚN

81. Agriculture is the key obstacle to progress at Cancún, but a genuine development round would include progress on other fronts too. In this chapter, we look more briefly at non-agricultural market access, the Singapore Issues, Trade-Related Intellectual Property Rights (TRIPS) and public health, the General Agreement on Trade in Services (GATS), and commodities. For each topic in turn we outline what was agreed at Doha, examine the key issues and suggest what action the Government should be taking to secure such a development-friendly outcome.

Non-agricultural market access: Providing real market access?

82. The WTO and its predecessor, the General Agreement on Tariffs and Trade, have helped to reduce average tariffs on industrial goods from 40 percent in 1947 to less than four percent at the end of the Uruguay Round in 1994. But barriers continue to restrict access to developed country markets for products where developing countries have a comparative advantage. These products extend beyond agriculture to include textiles, footwear, clothing, and low-tech manufactures.[167] Most damaging of all to developing countries' interests are tariff peaks which restrict their ability to export key products to developed countries' markets, and escalating tariffs which act as a disincentive to adding value to products through pre-export processing.[168] The EU for instance imposes a zero tariff on unprocessed textiles, 2.8 percent on semi-finished textile products and 10.6 percent on finished products.[169] However, the final phasing out of the Multi-Fibre Arrangement by 2005 is welcome.

83. A forty percent reduction in industrial tariffs would lead to a $380 billion annual increase in the volume of international trade. Three-quarters of the associated welfare gains would accrue to developing countries.[170] But the distribution of benefits would be highly uneven; countries with low export capacities would be unable to take advantage of trading opportunities. This is why building the export capacities of developing countries is so important.[171] Nevertheless, the majority of developing countries are keen to see developed countries reduce their tariff levels, and tackle tariff peaks and escalation. They are less keen to reciprocate, fearing that they will be flooded with products, to the detriment of their vulnerable infant industries. Developing countries also tend to have low tax bases and the loss of tariff revenues could have a major impact on their government finances.[172] And as we explained earlier for the cases of bananas and sugar (see paras 62-69), the ACP countries are concerned about preference erosion as a result of multilateral liberalisation and initiatives to extend duty and quota-free access to a wider range of countries. The landscape of market access is indeed in flux, with the EU, Norway, Australia, Hungary, the Czech Republic and Slovakia now providing duty-free and quota-free access to LDCs' exports, and the USA offering preferential access to qualifying African countries through its Africa Growth and Opportunity Act.[173]

84. The Doha Ministerial Declaration sets out the aim of negotiations on non-agricultural market access as "by modalities to be agreed … to reduce, or as appropriate eliminate tariffs, including the reduction or elimination of tariff peaks, high tariffs, and tariff escalation, as well as non-tariff barriers, in particular on products of export interest to developing countries". Members also agreed at Doha to take into account the special needs and interests of developing and Least Developed Countries, and to recognise that such countries should not be expected to provide fully reciprocal tariff-reduction commitments. "Studies and capacity-building measures to assist least-developed countries to participate effectively in the negotiations" were also requested.[174] The Doha Ministerial Declaration did not set a deadline for agreeing modalities, but following much debate in 2002, a deadline of 31 May 2003 was set. That deadline has now passed. Discussions continue around draft negotiating modalities issued by the Chairman of the Negotiating Group on Market Access. Any attempt to define a development-friendly outcome for non-agricultural market access on the basis of the highly ambiguous Doha Ministerial Declaration is fraught with difficulty. But at a minimum, we believe that a development-friendly outcome would make substantial progress on reducing tariffs, tackle tariff peaks and tariff escalation, address the issue of preference erosion, and acknowledge the developmental value of less than full reciprocity.

85. The draft agreement on modalities produced by the Chair of the Negotiating Group on Market Access reflects the slow progress made in negotiations and the diversity of views. Disagreement remains on a range of issues including, in addition to the approach to be taken to tariff reduction: the range of products to be covered; the timeframes to be employed; the baseline years to be used for calculating reductions; whether or not to grant developing countries credit for liberalisation undertaken outside of WTO disciplines; the meaning of less than full reciprocity; and whether and how adjustments might be made for preference erosion. The Chairman's proposal is for a formula approach towards tariff reductions which would move towards tariff harmonisation - getting rid of the peaks - whilst requiring less than full reciprocity from developing countries. The proposal also includes the elimination of tariffs for seven categories of products which are of particular export interest to developing and Least Developed Countries (electronics and electrical goods; fish and fish products; footwear; leather goods; motor vehicle parts and components; stones, gems and precious metals; and textiles and clothing). As the Doha Ministerial instructed, the proposal includes longer implementation periods and more flexibility for developing countries, and no reduction commitments for LDCs.

86. For the USA, the proposal falls far short of its own ambitious proposal to eliminate all non-agricultural tariffs by 2015. Japan would prefer to see more tariff reduction in developing countries, apparently because it wants to see more South-South integration. For some countries, including India, the draft modalities do not do enough for developing countries. From a developmental perspective, given the lack of clarity, it is hard to say whether discussions are headed in the right direction. But a few points are worth stressing. First, the "appropriate studies and capacity-building measures to assist least-developed countries to participate effectively in the negotiations" which were mandated in Doha, seem to have slipped off the agenda.[175] Second, tackling tariff peaks and escalation must be a priority; any formula or other approach to calculating tariff reduction commitments must achieve this goal. Third, tariff reduction calculations must also take account and give credit for liberalisation which developing countries have undertaken of their own accord, or, more likely, at the request of the International Financial Institutions (IFIs). Fourth, less than full reciprocity for countries at an early stage of development should be acknowledged as an important way of delivering a development-friendly round.[176] And fifth, tariff barriers must not simply be replaced by strict rules of origin, Sanitary and Phyto-sanitary Standards which cannot be met by developing country exporters without technical assistance from the imposers of standards, and other non-tariff and technical barriers to trade.[177] Ninety-nine percent of all EU imports from LDCs were eligible for preferential access in 1999, but only 34 percent received them, a statistic which illustrates how far there is to go to achieve real market access.[178] As Rob Davies, Chairman of the National Assembly of South Africa's Committee on Trade and Industry told us by video-link from South Africa's National Assembly:

    "We need this [enhanced market access] to be implemented on an asymmetrical and preferential basis, which means addressing tariff peaks, escalation, subsidies, rules, technical barriers to trade, and not allowing a process in which the negotiated removal of one barrier sees its replacement by another. Therefore Africa needs an asymmetrical and development-focused process, a process which will build the capacity of developing countries to participate in multilateral negotiations."[179]

87. Most importantly, we urge developed countries to keep to their Doha promises,[180] and to respond positively to the calls from LDCs for "binding commitments on duty-free and quota-free market access for all products from LDCs on a secure, long-term and predictable basis with realistic, flexible and simplified rules of origin to match the industrial capacity of LDCs in order to raise their market share in world trade."[181] The USA's Africa Growth and Opportunity Act[182] and the EU's Everything But Arms agreement are important steps in opening up markets.[183] But more should be done, and more should be done on a multilateral basis, to provide developing countries - including non-LDCs such as Kenya and India where some half a billion people live on less than a dollar a day[184]—with enhanced market access.[185]

88. Enhanced market access ought not to be solely about South-North trade. Instead developing countries need to consider the benefits of the increased South-South trade and regional integration which could result from a lowering of their barriers.[186] Richard Eglin at the WTO reminded us that 75 percent of the tariffs applied to developing countries' exports are applied by other developing countries.[187] In summary, the Government must, through the EU, actively push the case for offering real market access to developing countries, delivered and guaranteed on a multilateral basis, with special attention paid to tariff peaks and escalation. The erosion of preferences must be addressed and the principle of less than full reciprocity, based on a country's developmental state, should be adopted.

The Singapore Issues: Overloading the agenda?

89. WTO Working Groups on Investment, Competition, Transparency in Government Procurement, and Trade Facilitation were established at the WTO's Singapore Ministerial in 1996 (see figure 8). At Doha, developed countries, including the EU and Japan, were keen to see these "New" or "Singapore Issues" added to the negotiating agenda for Cancún and beyond. But there was much opposition. Twenty-nine developing countries mentioned the Singapore Issues explicitly in their statements. Twenty-two of these countries opposed their inclusion. Three - Mexico, South Korea and Venezuela - supported their inclusion.[188] At the last minute, the EU—the principal demandeur for the inclusion of the Singapore Issues—was able to persuade developing countries, including eventually India, to agree to this conditionally, in return for promises of significant concessions on agriculture. The condition is that the scope and timeframe of negotiations, and whether or not they will take place at all, must be decided "by explicit consensus" at Cancún.[189] There would then be 15 months for negotiations to be concluded by 1 January 2005 as part of the Single Undertaking.

90. The EU, and within it the UK, has been the prime mover behind the proposal to include the Singapore Issues on the agenda.[190] By 1 June 2003 only the EU had tabled formal modalities proposals.[191] One of the Government's stated priorities for Cancún is to "ensure that the 'new issues' of competition, investment, trade facilitation and government procurement are put firmly on the negotiation agenda of the Round." The Government argues that agreement on these issues offers benefits for countries at all stages of development,[192] and states that it will "not sign up to something that it did not believe to be in the interests of developing countries."[193] Opposition is not unanimous, and the strength of opposition varies by issue, but it seems clear to us that a majority of developing countries do not want to launch negotiations on a package of Singapore Issues.[194] Discussions about whether or not they should be included on the post-Cancún negotiating agenda, and about whether the EU and the UK should be pushing for their inclusion, concern both the issues themselves, and general questions of principle and process.
Figure 8: The Singapore Issues

Issue Questions posed to Working Groups by the Doha Ministerial Declaration
InvestmentHow to develop non-discriminatory multilateral rules for investment which will: increase transparency and stability; balance the needs of countries receiving investment with the needs of countries where investment originates; pay due attention to countries' right to regulate; and work through a positive-list approach.
CompetitionHow to develop a multilateral framework to enhance the contribution of competition policy to international trade and development, and how issues of transparency, non-discrimination and procedural fairness might be addressed.
Transparency in
Government Procurement
How to develop a multilateral framework to enhance the transparency of government procurement. For transparency only; not to restrict countries scope to give preferences to domestic suppliers.
Trade FacilitationHow to expedite the movement, release and clearance of goods, by clarifying and improving relevant WTO agreements on issues including import and export fees and formalities, and customs procedures. And, what are the needs and priorities of WTO members in this regard?

Data source: WTO Doha Ministerial Declaration, paras 20-27 - see footnote 3.

91. Trade Facilitation and Transparency in Government Procurement are the least contentious of the four issues. Multilateral rules on these issues would increase the transparency and efficiency of international trade, and play an important role in improving governance and tackling corruption.[195] There is some concern amongst NGOs that an agreement on Transparency in Government Procurement might be the thin end of a wedge which would in time prevent developing country governments favouring suppliers from their own countries, but these are relatively muted concerns. Basic WTO agreements in these two areas are desirable.

92. As far as Competition is concerned, the UK wants a framework agreement based on common core principles, which, alongside the national competition policies it would foster, would help to tackle hard core cartels and anti-competitive business practices and work to maximise the benefits of liberalisation.[196] DFID referred to a World Bank study which found that the effects of just 16 cartels on developing country imports in 1997 amounted to an estimated $81.1 billion.[197] Tackling hardcore cartels and restrictive business practices is important. But developing countries, including the LDCs, lack the exposure to and experience with competition law. This has hampered their participation in discussions. We ask the Government to provide aid for increased technical assistance to enable their effective participation.[198]

93. Investment is without doubt the most contentious of the Singapore Issues. Many NGOs including Action Aid, CAFOD, Christian Aid, Oxfam, Save the Children and the World Development Movement are vigorously opposed to launching negotiations on Investment at the WTO.[199] They, and we, acknowledge that foreign investment can deliver economic benefits to developing countries, including jobs, technology transfer, increased efficiency and better infrastructure. Indeed without foreign investment and engagement with the private sector, there will be little or no development. The Government takes the view that fair and transparent multilateral rules on investment will produce a secure, stable and predictable regime which will increase investment, and increase the flow of investment to developing countries.[200] The CBI shares this view, and regards an investment agreement as a high priority.[201] But we have seen no evidence that multilateral or bilateral investment agreements increase the flow of investment to developing countries. The World Bank concludes that the overall impact of new multilateral investment rules on new flows of investment would be "small - and virtually non-existent for low-income developing countries."[202] The Government, even in its most recent attempt to persuade its doubters, does not dispute this.[203] In the absence of evidence to the contrary, we fail to see how the Government can claim[204] that a new multilateral agreement on investment would increase the flow of investment to developing and Least Developed countries, and contribute to a genuine development round. However, we do believe that the application of good governance and the rule of law is important for all countries.

94. An argument which is made in support of including the Singapore Issues, and particularly investment, on the WTO's negotiating agenda is that a multilateral agreement is preferable to a complex patchwork of bilateral agreements. In multilateral fora, developing countries are less vulnerable to arm-twisting by more powerful countries, less likely to be excluded, and more able to keep track of negotiations.[205] This is a persuasive argument, but in practice multilateral trade agreements are more likely to supplement rather than replace bilateral agreements.[206] And, multilateral agreements on investment would in practice work through bilateral request-offer processes. Multilateral agreements are certainly preferable to bilateral, but if multilateral agreements supplement rather than replace bilateral agreements, they will not entirely eradicate arm-twisting.

95. An investment agreement at the WTO, as currently envisaged, would do nothing to promote corporate social responsibility, such as the improved transparency called for by the "publish what you pay" initiative. And if applied to investment, the WTO's fundamental principle of non-discrimination between domestic and foreign investors would, so the argument goes, prevent developing countries from implementing policies such as limits on ownership, performance requirements on local employment, and insistence on joint ventures to maximise the developmental benefits of foreign direct investment.[207] The UK and the EU claim that their plans for an investment agreement would not rule out such policies. The UK argues, somewhat confusingly, firstly that countries will be able to discriminate between domestic and foreign firms, and secondly that non-discrimination will not rule out national development-focussed investment policies.[208] Indeed the Government emphasises that the "UK wants the inclusion of provisions that would allow developing WTO members to pursue development policies".[209] In a "Development Round" this should be a prerequisite, not a desire. The Government is also "interested in hearing developing countries' proposals relating to the flexibilities they would wish to have."[210] In a "Development Round" it is important that this is spelt out. Despite strident assurances to the contrary, NGOs and others are concerned that simply by acting in accordance with its core principles, the WTO will necessarily squeeze developing countries' policy space on investment (see paras 138-143).

96. We are not persuaded that an agreement on investment would be a driver for development, or that the WTO is the right place to conclude an investment agreement, especially as part of a development round. In the absence of evidence to suggest that multilateral rules will increase investment flows to developing countries, and in the face of persuasive arguments that an investment agreement at the WTO might not be developmentally-optimal, we were pleased to hear Baroness Amos acknowledge that the Singapore Issues are not a priority.[211] We trust this means that the Government no longer supports the launch of WTO negotiations on investment in this round.

97. There are other more general objections to the inclusion of the Singapore Issues on the WTO's negotiating agenda. First, that their inclusion would over-stretch developing countries' capacities, to negotiate agreements, and to implement them. Second, that their inclusion would over-burden an already full agenda for Cancún and beyond. We have received a great deal of evidence to suggest that the inclusion of the Singapore Issues on the agenda would stretch developing countries' negotiating capacities.[212] Baroness Amos totally agreed.[213] In their Dhaka Declaration LDC Trade Ministers noted that: "In view of the overwhelming workload … LDCs with limited resources are not being able to follow negotiations and evaluate the implications/impact of negotiations on Singapore Issues on their economies."[214] Over-stretching developing countries' capacities makes an already demanding bargaining framework simply unfair.

98. The UK Government is committed to improving the capacity of developing countries to negotiate effectively in the Doha Round. In responding to suggestions that this valuable commitment might be undermined by including the Singapore Issues on the agenda, DFID states that the "significant benefits" which the Issues offer for developing countries "should be set against the costs of negotiating and implementing the proposed agreements."[215] In the absence of reliable estimates of either the costs or the benefits, and in the face of opposition from many developing countries who argue that pushing the Singapore Issues will not lead to a genuine development round, we urge the Government not only to stop promoting the inclusion of the package of Singapore Issues on the WTO's negotiating agenda, but to persuade its EU partners and the Commission to do so too.

99. Other concerns about the inclusion of the Singapore Issues on the post-Cancún agenda are more systemic. It has, for instance, been suggested that the EU will lose interest in the Round and will not deliver on agricultural liberalisation unless the Singapore Issues are included as part of a Grand Bargain. The more cynical observer may be tempted to conclude that the EU has hedged its bets, pushing for the Singapore Issues, secure in the knowledge that a refusal of this demand would provide a good excuse for not delivering on even the limited CAP reform agreed to. Speaking frankly about the EU's strategy, Pascal Lamy told us that: "We got them on the agenda because of the view we have that overall it is good for the system and good for them [developing countries]."[216] We appreciate that within a hard-bargaining framework, the EU, and the interests it represents, will want to win something, and that such motivations drive the system of negotiations forward. Indeed, we would welcome more openness about the likely benefits to the UK economy of various WTO agreements; we, and the public, might then be better able to understand the dynamics. But Rounds have been concluded before, without the Singapore Issues included. And if the EU believes what it says about the benefits of trade liberalisation, and indeed about the internal benefits of CAP reform, then agricultural liberalisation should not be conditional on the inclusion of the Singapore Issues.

100. Rather than being good for the system, there are serious concerns that the Singapore Issues may overload the WTO and lead to failure at Cancún and beyond. Duncan Green of CAFOD told us that: "I do not think one should underestimate the extent to which the new issues are, along with other things admittedly, a potential round-breaker or round-spoiler."[217] Carlos Fortin of UNCTAD, who was broadly supportive of having a multilateral investment agreement, noted an emerging view that "pushing the new issues, the Singapore issues, at this stage may not be the best way to unblock things."[218] The chances of a genuine development round being delivered, and of Cancún being a success, are not improved by overloading an already crowded agenda. A genuine development round needs to focus on issues which are - and are felt by the majority of developing countries to be - development priorities.[219]

101. We appreciate fully the important role which multilateral rules can play in shaping a more secure, stable, predictable, transparent and well-governed environment for development and for the firms who are the engine of development. Attracting investment, developing appropriate competition policies, increasing the transparency of government procurement, and facilitating trade through more effective customs procedures are important. We are very supportive of development-friendly multilateral rules. But in a development round, the priority must be pro-poor development. There is little evidence to suggest that WTO agreements, particularly on investment and competition, are a pro-poor development priority. In addition, process matters (see paras 129-134). The WTO may by definition be a hard-bargaining framework, but there is a limit to just how hard bargaining can be without it undermining the developmental objectives of a round. Pushing for the inclusion of the Singapore Issues on the post-Cancún agenda is excessively hard bargaining. We trust that the Government's move to disassociate itself from supporting the Singapore Issues[220] signals that the views of developing countries have been heard and acted upon. If there is no support for the Singapore Issues, they surely must be dropped.

102. Multilateral agreements on investment, competition, procurement and trade facilitation are desirable. The WTO provides a good home for agreement on some of these issues. On others it probably does not, and certainly does not at the moment. Developing countries' capacities to negotiate should not be over-stretched. Cancún and the development agenda must not be over-loaded. The Singapore Issues should be unbundled and the case for including each issue considered on its own merits. Trade Facilitation and Transparency in Government Procurement offer the clearest and least contentious development gains. WTO negotiations in these areas should be launched, and included as part of the Single Undertaking; WTO negotiations on Competition and Investment should not. Before progress can be made on Competition, either in the WTO or elsewhere, there needs to be a better understanding of the needs of developing countries in this area. In the meantime, work to deal with hardcore cartels should proceed as a matter of some urgency. A future investment agreement must be based on a better understanding and greater consensus about what a pro-poor development-friendly investment agreement would look like. And the relationship of any such agreement with existing WTO agreements and disciplines would need to be clarified. In these views we are broadly in agreement with the excellent recent report by the Federal Trust.[221]

TRIPS: Enabling public health needs to be met?

103. Property rights secure ownership and control of land and other assets. Intellectual property rights (IPRs) secure ownership and control over the use of knowledge.[222] Rules about IPRs attempt to square the circle by maintaining the incentives for technological innovation by protecting the holders of rights and their profits on the one hand, and, on the other, facilitating the transfer and use of technological innovation. Effective well-balanced rules on IPRs are crucial for development.

104. In 1995, the Agreement on Trade-Related Aspects of Intellectual Property (TRIPS) was established within the WTO. The TRIPS Agreement sets minimum levels of protection that all WTO members must provide, for the main categories of intellectual property.[223] But since it was signed the concerns that it may not be development-friendly have grown. Many NGOs, developing countries and indeed the UK Government,[224] feel that the TRIPS Agreement and the patent protection it requires may limit developing countries' access to technologies - including medicines and seeds—which are important for public health and food security needs.[225] There are also concerns that the Agreement fails to protect so-called Traditional Knowledge from patenting and exploitation by foreign companies and that it provides virtually no protection for indicators of geographic origin. Of most concern are questions about whether the TRIPS Agreement allows developing countries sufficient flexibility to address their public health needs. That is, can they over-ride patents (compulsory licensing) to produce cheap versions of medicines (generics), for domestic use and for export to other needy countries, in order to improve the availability and affordability of medicines to address public health needs such as those resulting from HIV/AIDS, tuberculosis, malaria and other epidemics?[226]

105. The Doha Ministerial Declaration and a separate Declaration on TRIPS and public health sought to clarify matters by reaffirming that the Agreement "can and should be interpreted and implemented in a manner supportive of WTO Members' right to protect public health and, in particular, to promote access to medicines for all."[227] Countries can, therefore, engage in compulsory licensing, producing generics in order to address serious public health problems. The declaration acknowledged however that under the TRIPS Agreement, countries without sufficient capacity in pharmaceutical manufacturing "could face difficulties in making effective use of compulsory licensing".[228] For such countries, the right to engage in compulsory licensing would be of little or no use. The solution would seem to lie in the export of generics from countries with the production capacity to countries without the capacity but with pressing public health needs. But the stumbling block is article 31f of the TRIPS Agreement, which requires generics to be produced primarily for the supply of the domestic market.[229] At Doha, WTO members instructed the Council for TRIPS to "find an expeditious solution to this problem and to report to the General Council before the end of 2002."[230] This deadline was missed.

106. Back in November 2001, the declaration on TRIPS and public health was seen as a major gain for developing countries. Since then, as with so much of the promised "Doha Development Agenda", deadlines have been missed and hopes have been disappointed. All that was and still is needed for a development-friendly outcome on TRIPS and public health is for all WTO members to honour the letter and spirit of their Doha commitments. In this case the blame for failure lies squarely with the USA; it was the only country that would not agree to a compromise agreement in December 2002.[231] Since November 2001, the USA has insisted that developing countries should not themselves be able to determine when their public health needs are sufficiently serious to necessitate the importation of generics, and that the right to import generics for public health reasons should only apply to the poorest countries. The USA has also argued that cheap generic drugs from developing countries might be diverted into developed countries' markets, undermining the profitability of the pharmaceutical industry, and that without sufficient patent protection there would be no incentive for research and innovation. There does need to be a balance between enabling legitimate public health needs to be met, and securing the rights of ownership and maintaining the incentives for innovation. Doha had that balance right. The US Government, in its unwillingness to stand up to its powerful pharmaceutical lobby, has the balance wrong, to the detriment of the public health needs of developing countries.[232] And US opposition to agreement on TRIPS and public health[233] puts Cancún and the whole "development agenda" at risk. Now that the EU has moved on agriculture, the USA should move on TRIPS and public health.

107. Since the end-2002 deadline for "an expeditious solution" was missed, there have been several proposals for compromise, most of which have sought to narrow the range of diseases and/or the range of countries which should be eligible for any flexible treatment under TRIPS.[234] Following the breakdown of talks in December 2002 the USA announced that it would not challenge any country breaking WTO rules to export generics to a country in need. Switzerland and Canada have joined the US moratorium. The EU has declared its own. Temporary solutions are better than nothing but what is needed is a clear and permanent multilateral solution, based on the full acceptance of the Doha Declaration on TRIPS and public health. As Pascal Lamy explained, a multilateral rule is preferable to a temporary moratorium so that both the pharmaceutical industry and other contributors to public health needs can base their plans on a sure footing.[235] A satisfactory resolution on TRIPS and public health prior to Cancún, not as part of a new exchange of concessions, is hugely important. As well as enabling developing countries to better meet their public health needs, agreement would go some way to restoring their faith in the WTO process and the ability of developed countries to keep to their promises.

108. At Doha it was agreed that LDCs should not be obliged to implement or apply the TRIPS Agreement to pharmaceutical products until 2016. This was a welcome move and may suggest a simple and direct solution to the TRIPS and public health impasse. If transition periods to full patent protection were determined by developmental progress rather than arbitrary deadlines, developing countries would have more flexibility to deal with their legitimate public health needs. Oxfam's proposal to establish a mechanism for determining and extending transition periods for individual developing countries on the basis of the achievement of agreed development milestones makes good sense.[236] This principle could, if related carefully to the MDGs and to countries' MDG commitments, play an important role across the multilateral trading system and beyond. We intend to return to this and other issues relating to intellectual property rights, development, TRIPS and the lessons of TRIPS in a post-Cancún report.

GATS: Maintaining the right to regulate?

109. Services and trade in services are increasingly important to developing countries.[237] At Dhaka recently, LDC trade ministers noted that the services sector is the "fastest growing component of GDP growth in many LDC countries", and that along with generating economic benefits services play an important role in achieving social and economic development objectives.[238] Services, provided by the public and the private sector, have a vital role to play in development and poverty reduction. Private sector involvement in service provision, properly regulated, is essential to improving the supply of public services and the lives of poor people. As Pascal Lamy explained, the idea that the developing world is a landscape of high-quality efficient providers of public services which the developed world is seeking to undermine by forced privatisation is pure fantasy.[239]

110. The General Agreement on Trade in Services (GATS) was established in 1995. GATS seeks to establish a framework of legally-binding multilateral rules, which, by increasing certainty, security and transparency, and guaranteeing market access, will make it easier for firms to sell their services in foreign markets.[240] GATS commits member governments to undertake negotiations on specific issues and to enter into successive rounds of negotiations to progressively and—effectively irreversibly—liberalise trade in services. Restrictions which apply to foreign but not domestic firms must first be listed, and then progressively removed as liberalisation proceeds. Negotiations on services began in 2000 and were incorporated into the "Development Agenda" at Doha, where Ministers declared that "negotiations on trade in services shall be conducted with a view to promoting the economic growth of all trading partners and the development of developing and least-developed countries."[241] The Declaration recognised the work that had already been undertaken, reaffirmed the guidelines and procedures for negotiations, and reiterated the need for appropriate flexibility to be granted to developing countries.

111. The GATS Agreement differs from most other WTO agreements in two ways. First, it is designed to work through a bottom-up or positive-list approach. Countries choose which sectors to liberalise, and to what extent to liberalise them. Second, negotiations proceed through requests and offers. Countries make requests to other countries to open up particular sectors, and countries make offers to open up particular sectors. These offers and requests then become the subject of bilateral bargaining between requesting and offering countries. At Doha, countries were invited to submit requests to other countries for GATS commitments by 30 June 2002, and to respond with offers by 31 March 2003. Cancún is to be a stocktaking exercise, and negotiations are to be completed as part of the Single Undertaking by 1 January 2005. Thirty WTO members have tabled GATS requests. The US and the EU made detailed requests of many countries for market access commitments in most services sectors. Some developing countries, including India, made requests of developed countries in relation to the temporary movement of labour. By 30 June 2003 twenty-seven had submitted offers. Only one is an LDC (Senegal); the vast majority of the rest are developed countries.[242] Also in June, a group of 26 developing countries described progress as moderate, and suggested that there was a need to increase the number of requests and offers.[243]

112. GATS has come in for severe criticism from many NGOs, particularly as regards its possible impact on the provision of pro-poor public services.[244] But from a development perspective the positive-list approach to liberalisation makes GATS perhaps the best-designed WTO Agreement. Patricia Hewitt reported to us that GATS is seen by most developing country governments as "a model of a trade agreement precisely because it is bottom up and it allows governments to determine the pace and the extent of market opening for themselves",[245] a view which was endorsed with some reservations by Lakshmi Puri at UNCTAD.[246] But the NGO campaign on GATS persists. Patricia Hewitt described it as a dialogue of the deaf,[247] suggesting that the NGOs do not understand GATS and that whilst their criticisms may have been warranted in relation to the mid-1990s proposal for a Multilateral Agreement on Investment, in relation to GATS their fear is unfounded.[248]

113. Some critics claim that GATS will lead to privatisation. The Government on the other hand asserts that "it is totally a matter of legal fact that GATS does not and cannot require any government, whether it is us or one of the poorest countries in the world, to privatise public services or indeed to open markets that a government does not want to open."[249] This is true. GATS cannot force the privatisation of public services; indeed services supplied exclusively by public authorities are excluded. In addition, the Government emphasises that "properly regulated private sector participation in public services can sometimes provide increased efficiency and investment which brings real benefits to poor people."[250] We concur with this too. But that is not the end of the matter.

114. GATS does not force privatisation, but if that option has been selected then it will be "locked-in" by GATS. The provision of such certainty is part of GATS' raison d'être. Some NGOs fear that GATS may lock-in privatisation policies that developing countries have been pressurised to implement as a condition of receiving financial assistance from the International Financial Institutions (IFIs). Some NGOs are concerned too that if countries privatise or partially privatise the provision of public services this may make such services a legitimate target for GATS requests.[251] Public services are excluded from GATS, but the situation as regards services delivered through public-private partnerships is less clear. Both of these issues—locking-in privatisation and opening up public services for GATS requests—are legitimate concerns which raise important issues about the coherence of policies followed by the WTO and other international organisations. A further coherence issue concerns the crediting of developing countries within the GATS negotiations for liberalisation undertaken "autonomously" and at the behest of the IFIs. These are not insurmountable problems, but they do demand the vigilance of the UK and others who are keen to ensure that GATS really is development-friendly.

115. Critics of GATS are also concerned that a country making GATS commitments will effectively surrender its right to regulate the provision of services in those sectors which are part of its GATS commitments. The Government denies this, pointing out that GATS recognises explicitly the right of governments to regulate for national policy objectives. The Government argues that national treatment—the requirement that domestic and foreign enterprises are treated in the same way—does not remove a country's right to regulate. Rather it means that whatever level and type of regulation a country decides upon must apply equally to domestic and foreign firms.[252] This is a helpful clarification, but it should be noted that some developing countries, including the Least Developed Countries, regard the right to discriminate in favour of local firms as important.[253]

116. GATS guarantees governments' right to regulate. But, Article VI.4 of GATS does require countries to develop rules aimed at restricting their domestic regulation to measures which are "not more burdensome than necessary." This may limit the right to regulate. Whether or not GATS will limit a country's right to regulate in a pro-poor manner would seem to hinge on whether such regulation is deemed "more burdensome than necessary." The UK Government supports the development of a "necessity test" and proposes to add to GATS some wording which will require that a regulatory measure be proportionate to its objective. Judgements will need to be made about necessity and proportionality. Such judgements need not rule out pro-poor regulation. But to address the concern that judgements made by the WTO's dispute settlement panel may not be development-friendly, any tests of necessity and proportionality must leave space for nationally-determined pro-poor development policies.

117. For its supporters the architecture of GATS, and what they perceive as the WTO's democracy, will ensure that developing countries are not unduly pressured into making liberalisation commitments. As Patricia Hewitt insisted: "The whole GATS process depends on governments making requests and then governments making offers. Obviously nobody has to accept a request if they do not want to."[254] GATS is designed to allow developing countries to choose the scope, speed and extent of liberalisation. And in a multilateral forum, developing countries perhaps have more power to refuse requests for market opening. But the critics of GATS dispute this.[255] They point out that whilst GATS is an opt-in process, its aim is progressive liberalisation. So, as Ambassador Ransford Smith put it: "the freedom that you thought you had is precisely what is being targeted when you next negotiate."[256] They also suggest that in practice GATS boils down to a series of bilateral negotiations. These points are true, but they are aspects of GATS to which WTO members willingly signed up. And at present there is no evidence of developing countries having been forced to accede to requests. As Mauro Petriccione of the European Commission noted: "I think that the history of the original GATS negotiation—and what we are seeing across the board in the Doha development agenda—shows that our ability to twist the arm of developing countries, even if we wanted to, is not what it is said to be."[257]

118. If countries are to gain benefits from the GATS negotiations—making sensible offers and requests, and refusing requests that are not in their best interests—they must be able to make well-informed decisions. This requires that a country is able to determine its interests and the likely implications of agreeing to liberalise, and has the capacity to understand, follow and participate in complex negotiations. Given the complexity of GATS, and the detailed requests made by the EU and others, there are serious concerns about whether developing countries have the capacity and information to make well-informed decisions about GATS. LDC trade ministers recently drew attention to their "difficulties in addressing complex issues of Services negotiations due to a lack of institutional and human capacities", calling for this to be factored in to the process of making requests of and negotiating with the LDCs.[258] We are concerned about the ability of developing countries to handle negotiations on GATS and urge the UK and its developed country partners to seek to ensure that developing countries can participate effectively (see paras 129-134). A rushed process, with developing countries unable to follow negotiations, will not make for a development-friendly outcome, and would be detrimental to the long-term health of the multilateral trading system.

119. The Government has played an important role in building the capacity of developing country negotiators. This is very welcome. The Government is also supporting an assessment of GATS by UNCTAD.[259] This too is very welcome although it remains to be seen whether this will satisfy the GATS Guidelines' request for an "assessment of trade in services on overall terms and on a sectoral basis", so that the negotiation process can be revised in the light of this assessment.[260] Nevertheless, along with UNCTAD, the Government is to be applauded for its commitment to assessing GATS and for its tentative acknowledgement that there may be some lessons to be learnt from how GATS operates in practice.[261] There is perhaps some hope that the "dialogue of the deaf" on GATS might be replaced by a more useful conversation. NGOs have a responsibility in this regard too; to portray GATS and its implications as fairly and accurately as possible, and to shift the balance of their commentary from outright condemnation to constructive advocacy.

120. Developing countries are particularly interested in progress with what is termed Mode 4 of GATS.[262] Mode 4 concerns the trading of services through temporary migration. Recent research suggests that a visa scheme allowing three percent of the OECD labour force to be provided by the temporary movement of labour would produce economic benefits for developed and developing countries amounting to between $150 and $200 billion.[263] Progress on Mode 4 has been painfully slow. In the Dhaka Declaration, the LDCs noted that there had been—"virtually no liberalization of markets for cross-border labour services."[264] Security concerns post-September 11th may hamper progress on Mode 4, and care will be needed to minimise and compensate for the loss of skilled and trained personnel from developing countries, but the potential benefits for developing countries—particularly if the developed world were to offer market access to low-skilled labour—cannot be ignored. We intend to return to this issue, the relationship between migration and development, in a future inquiry. In the meantime we urge the Government and the EU to consider seriously developing country requests on Mode 4.

121. If attention is paid to how GATS works in practice, it could fulfil its promise of being the WTO's most development-friendly agreement. It could provide a model for other agreements. But for this to happen, WTO members need to ensure that the development-friendly architecture of GATS is translated into development-friendly outcomes. Otherwise GATS could join the TRIPS Agreement in being regarded as little more than a burden for many developing countries. The UK and the EU have a huge responsibility. If GATS is to fulfil its promise, the UK and the EU must ensure that the right to regulate includes the right to regulate for development as well as to provide a welcoming business environment. They must ensure that this right is supported by the IFIs. They must not put undue pressure on developing countries to make liberalisation commitments. They must seek to address capacity constraints. And they must—in return for market access commitments for their service providers—make progress on Mode 4.

Commodities: Sustaining livelihoods?

122. It is not the role of the WTO to stabilise prices or sustain livelihoods, but a report on trade and development cannot neglect the crisis currently facing commodity producers. Commodity dependence and extreme poverty, particularly amongst the LDCs, are very much linked and "commodity dependency continues unabated."[265] Coffee provides a good example. More than 50 developing countries depend on three or fewer commodities for at least 50 percent of their export earnings. In Uganda, a quarter of the population depends in some way on coffee production. In Ethiopia, coffee provides more than half of export revenues; in Burundi, the dependency ratio is more than 80 percent.[266]

123. The crisis for commodity producers is that the share of commodities in world trade has been declining for at least 50 years, and prices have been falling and remain volatile. The price of coffee beans has fallen by nearly 50 percent in the past three years to a 30-year low.[267] The world market for coffee has expanded from $30 billion per year in the early 1990s, to $60 billion in 2000-01, but the developing countries' share of this revenue has shrunk from around $10 billion to just under $6 billion. Not only are developing countries earning a smaller share of the coffee market, they are also earning less in absolute terms.[268] Lower export earnings means lower growth, lower investment in basic public services, and less development. For coffee-farmers' families lower earnings means less money to buy food and schoolbooks, less money to pay for health services, increased insecurity, and less money to invest in alternative livelihoods.

124. The immediate cause of the situation facing coffee growers is low, declining and volatile export earnings. The deeper cause is the nature of the international coffee market: excess supply and a buyer's market, resulting in low prices and a small share for those at the bottom of the commodity chain. The supply of coffee has increased as a result of new producers such as Vietnam, being encouraged to move into coffee by the World Bank, and technological change which allows the use of lower quality beans. At the processing level, the market is dominated by a small number of companies including Kraft, Nestlé, Procter and Gamble, and Sara Lee. Each of these firms is in a powerful position to dictate the terms of trade down through the commodity chain. Oxfam reports that Nestlé makes 26p profit for every £1 of instant coffee sold,[269] whilst coffee growers receive only 6 pence.[270]

125. A long-term solution to the commodity crisis is for developing countries to reduce their dependence on a small number of commodities by diversifying their economies, and exporting products which can earn them more, and more stable, revenue. A medium-term solution would lead to commodity-dependent countries and smallholders receiving a higher income for their efforts. Various measures have been suggested but as Oxfam acknowledges there is no magic policy that will solve the coffee crisis overnight. First, as Sainsbury's and Co-operative Retail particularly explained to us, niche marketing of products on the basis of their being produced in particular places or in particular ways (including organically), and fair trade can provide higher prices to farmers.[271] Second, actions taken to reduce the supply and increase the quality of coffee may also increase the prices received by farmers; this indeed is something that coffee-producing governments have agreed to do under the auspices of the International Coffee Organisation. Nestlé supports this move. Third, coffee-producing countries should be encouraged and assisted to move up the commodity chain by adding more value to their coffee prior to its export. As the Prime Minister of Ethiopia explained, when coffee prices fall it is the people at the bottom of the commodity chain who suffer most. If Ethiopian producers could move to the "softer end" of the market, they would fare better.[272] Fourth, although there is little support for such a step given their previous perceived failures, international action might be taken to stabilise the price of commodities through the sort of international commodity policies supported by UNCTAD and others in the 1970s.

126. The WTO has a marginal role to play in relation to these measures. But by tackling tariff escalation the WTO could enable coffee producers to add more value prior to export. As Franz Fischler intimated, rather than protecting Nestlé and other companies, the EU and other developed country markets should be tackling tariff escalation.[273] Tariff reduction would also open up possibilities for coffee-producing countries and farmers to diversify into other areas. Reducing tariffs and protection on dairy, sugar, bananas and cotton would provide new and improved trading opportunities for many developing countries, and reduce countries over-dependence on such a narrow range of commodities.

127. The WTO is not central to tackling the commodity crisis, but a development-friendly agreement on agriculture which reduced tariffs, tackled tariff escalation and provided processed coffee and other goods from developing countries with easier access to Northern markets, would enable countries to better address the crisis. This illustrates the need for coherent and coordinated policies at international and national levels. Donors should commit themselves to assisting commodity-dependent countries and farmers to increase their productivity, to add more value, and to diversify their activities. And, to increase coherence further, serious consideration should be given to linking the debt service schedules of commodity-dependent LDCs to changes in commodity prices which are beyond their control.



167   Q 489 [Rob Davies, South African National Assembly] Back

168   Q 460 [David Willers, South African Sugar Association] Back

169   UNCTAD, Back to basics: Market access issues in the Doha agenda, 2003, p. 27. Back

170   Ev 5, para 23 [HMG memo] Back

171   This issue, whilst important, is not a key issue for Cancún. We will return to it in a post-Cancún report.  Back

172   Ev 285, para 8 [CREDIT memorandum]. In correspondence with the Committee, Oliver Morrissey of CREDIT confirmed that "It would be fair to say that trade taxes rarely account for less than 15% of government revenue and often account for over 50% in sub-Saharan African countries." Back

173   Ev 116 [Save the Children memorandum] Back

174   WTO, Doha Ministerial Declaration, para 16 - see footnote 3. Back

175   Ev 250, para 3.4 [ActionAid memorandum] Back

176   Q 83 [H.E. Meles Zenawi, Prime Minister of the Federal Republic of Ethiopia] Back

177   Q 489 [Rob Davies, South African National Assembly] and Ev 139 [Co-operative Retail memorandum] Back

178   Q 383 [Charles Gore, UNCTAD] Back

179   Q 489 [Rob Davies, South African National Assembly] Back

180   WTO, Doha Ministerial Declaration, para 42 - see footnote 3. Back

181   Second LDC Trade Ministers Meeting, Dhaka declaration, 2 June 2003, p. 5, para 5-see footnote 84. Back

182   Q 92 [H.E. Meles Zenawi, Prime Minister of the Federal Republic of Ethiopia] Back

183   Ev 23, answer 4 [DFID response to written questions] Back

184   DFID, India Country Strategy Paper, p. 1. Back

185   Ev 285, para 7 [CREDIT memorandum] and Ev 262, para 29 [Action for Southern Africa memorandum]  Back

186   Q 497 [Rob Davies, South African National Assembly] Back

187   Q 324 [Richard Eglin, WTO] Back

188   ActionAid, CAFOD, Christian Aid, Oxfam, Save the Children and World Development Movement, Unwanted, unproductive and unbalanced: Six arguments against an investment agreement at the WTO, May 2003, p. 7. Available at http://www.oxfam.org.uk/policy/papers/argumentswto/sixarguments.htm Back

189   WTO, Doha Ministerial Declaration, paras 20. 23. 26 and 27 - see footnote 3. See also ICTSD and IISD, Doha Round Briefings Series, Singapore Issues, February 2003 - see footnote 133. Back

190   Ev 7, paras 34-37 [HMG memorandum] Back

191   The Federal Trust, Expanding WTO rules? June 2003, p. 9-see footnote 81. Back

192   Ev 1, para 3 [HMG memorandum] Back

193   HMG, UK Government briefing on the proposed WTO agreements on investment and competition, 16 June 2003, p. 2. Available at http://www.dti.gov.uk/ewt/ukgvt.pdf Back

194   Second LDC Trade Ministers Meeting, Dhaka declaration, 2 June 2003, p. 14 - see footnote 84. See also WTO, The Doha agenda: Towards Cancún, Communication from Argentina, Bolivia, Botswana, Brazil, Chile, China, Colombia, Cuba, Dominican Republic, Ecuador, El Salvador, Gabon, Guatemala, Honduras, India, Malaysia, Mexico, Morocco, Nicaragua, Pakistan, Paraguay, Peru, Thailand, Uruguay, Venezuela and Zimbabwe, 6 June 2003, (TN/C/W/13), p. 3 - available at http://www.wto.org Back

195   Q 116 [Patricia Hewitt, Secretary of State for Trade and Industry] Back

196   Q 47 [Elaine Drage, DTI] and Ev 26, answer 12 [DFID response to written questions] Back

197   Ev 26, answer 12 [DFID response to written questions]. See also The Federal Trust, Expanding WTO rules?, June 2003, footnote 3 - see footnote 81. Back

198   Second LDC Trade Ministers Meeting, Dhaka declaration, 2 June 2003, p. 15, para 30a-see footnote 84. Back

199   ActionAid, CAFOD, Christian Aid, Oxfam, Save the Children and World Development Movement, Unwanted, unproductive and unbalanced: Six arguments against an investment agreement at the WTO, May 2003 - see footnote 188. Back

200   Ev 7, para 34 [HMG memorandum] Back

201   Ev 291, para 17 [CBI memorandum] Back

202   World Bank, Global Economic Prospects, 2003, p. 133. Available at http://www.worldbank.org/prospects/gep2003/ Back

203   HMG, UK Government briefing on the proposed WTO agreements on investment and competition, 16 June 2003, p. 7-see footnote 193. Back

204   Ev 26, answer 12 [DFID response to written questions] Back

205   Q 365 [Carlos Fortin, UNCTAD] Back

206   Q 78 [Michael Bailey, Oxfam] Back

207   ActionAid, CAFOD, Christian Aid, Oxfam, Save the Children and World Development Movement, Unwanted, unproductive and unbalanced: Six arguments against an investment agreement at the WTO, May 2003, p. 3 - see footnote 188. Back

208   HMG, UK Government briefing on the proposed WTO agreements on investment and competition, 16 June 2003, p. 8-see footnote 193. Back

209   Ev 7, para 35 [HMG memorandum] - "development" was underlined in the original document. Back

210   HMG, UK Government briefing on the proposed WTO agreements on investment and competition, 16 June 2003, p. 8-see footnote 193. Back

211   Q 517 [Valerie Amos, Secretary of State for International Development] Back

212   Ev 36, section 4 [CAFOD memorandum]; Ev 256, section 8.1 [ActionAid memorandum]; Ev 126, section 4 [World Development Movement memorandum]; Ev 51, para 57 [Oxfam memorandum]; and Q 72 [Claire Melamed, Christian Aid] Back

213   Q 517 [Valerie Amos, Secretary of State for International Development] Back

214   Second LDC Trade Ministers Meeting, Dhaka declaration, 2 June 2003, p. 14, para 28 -see footnote 84. Back

215   Ev 26, answer 12 [DFID response to written questions] Back

216   Q 153 [Pascal Lamy, European Commission] Back

217   Q 53 [Duncan Green, CAFOD] Back

218   Q 359 [Carlos Fortin, UNCTAD] Back

219   Q 491 [Rob Davies, South African National Assembly] Back

220   Q 517 [Valerie Amos, Secretary of State for International Development] Back

221   The Federal Trust, Expanding WTO rules?, June 2003-see footnote 81. Back

222   Commission on Intellectual Property Rights, Integrating intellectual property rights and development policy, 2002, p.174. Available at http://www.iprcommission.org/ Back

223   Ev 6, para 31 [HMG memorandum] Back

224   In 2001 the UK Government took the highly commendable step of establishing an independent international Commission on Intellectual Property Rights. The Commission reported in September 2002 and the UK Government responded in turn in May 2003. We will consider the report, the Government's response and wider issues concerning IPRs in a post-Cancún report. Back

225   Ev 6, para 31 [HMG memorandum] Back

226   International Development Committee, Third Report of Session 2002-03, The humanitarian crisis in Southern Africa, HC116, paras 141-153. Available at http://www.publications.parliament.uk/pa/cm200203/cmselect/cmintdev/690/690.pdf Back

227   WTO, Ministerial declaration on the TRIPS Agreement and Public Health, 14 November 2001, (WT/MIN(01)/DEC/2), para 4 - available at http://www.wto.org- see also Ev 6, para 33 [HMG memorandum] Back

228   WTO, Ministerial declaration on the TRIPS Agreement and Public Health, para 6. Back

229   Ev 253, para 5.7 [ActionAid memorandum] Back

230   WTO, Ministerial declaration on the TRIPS Agreement and Public Health, para 6. Back

231   Q 508 [Baroness Amos, Secretary of State for International Development] Back

232   Q 501 [Rob Davies, South African National Assembly] Back

233   Q 118 [Patricia Hewitt, Secretary of State for Trade and Industry] Back

234   Ev 314, section 5 [Quaker Peace and Social Witness memorandum] Back

235   Q 157 [Pascal Lamy, European Commission] Back

236   Ev 250, para 3.7 [Oxfam memorandum] Back

237   Such claims are not made in the evidence we received, but the close relationship between GATS and privatisation is a key theme of some NGOs' campaigning. The World Development Movement's "Sale of the century" national tour is one example. Back

238   Second LDC Trade Ministers Meeting, Dhaka declaration, 2 June 2003, p. 6, para 9 -see footnote 84. Back

239   Q 155 [Pascal Lamy, European Commission] Back

240   Q 116 [Patricia Hewitt, Secretary of State for Trade and Industry] Back

241   WTO, Doha Ministerial Declaration, para 15 - see footnote 3. Back

242   Communication from WTO. Countries are: Argentina, Australia; Bahrain; Canada; Chinese Taipei; Czech Republic; European Communities and its Member States; Fiji; Hong Kong, China; Iceland; Israel; Japan; Republic of Korea; Liechtenstein; Macao; China; Mexico; New Zealand; Norway; Panama; Paraguay; Poland; Senegal; Slovenia; St Christopher and Nevis; Switzerland; United States and Uruguay. Back

243   WTO, The Doha agenda: Towards Cancún, 6 June 2003, (TN/C/W/13), p. 2, paras 11 and 12-see footnote 194. Back

244   Save the Children, GATS and water: The threat of services negotiations at the WTO, 2003 - available at http://www.savethechildren.org.uk/campaigns/trade/GATSandwater.pdf- see also Ev 118 [World Development Movement memorandum] Back

245   Q 120 [Patricia Hewitt, Secretary of State for Trade and Industry]. See also Q 43 [Elaine Drage, DTI] Back

246   Q 406 [Lakshmi Puri, UNCTAD] Back

247   Q 120 [Patricia Hewitt, Secretary of State for Trade and Industry]. It seems to us that it is not a dialogue of the deaf, but a dialogue devoid of trust. The Government suspects that some NGOs are anti-WTO, anti-liberalisation and perhaps anti-capitalist; some NGOs think the government is excessively pro-business. Back

248   Q 522 [Valerie Amos, Secretary of State for International Development] Back

249   Q 120 [Patricia Hewitt, Secretary of State for Trade and Industry] Back

250   http://www.dfid.gov.uk/News/News/files/gats_brief.htm Back

251   Ev 269, section 6 [Bretton Woods Project memorandum] Back

252   Q 43 [Elaine Drage, DTI] Back

253   Second LDC Trade Ministers Meeting, Dhaka declaration, 2 June 2003, p. 7, para 12b-see footnote 84. Back

254   Q 122 [Patricia Hewitt, Secretary of State for Trade and Industry] Back

255   Q 254 [John Hilary, Save the Children] Back

256   Q 424 [H.E. Ransford Smith, Jamaican Ambassador to the UN in Geneva] Back

257   Q 185 [Mauro Petriccione, European Commission] Back

258   Second LDC Trade Ministers Meeting, Dhaka declaration, 2 June 2003, p. 7, para 11-see footnote 84. Back

259   Ev 5, para 25 [HMG memorandum] Back

260   ICTSD and IISD, Doha Round Briefings Series, Services, February 2003, p. 2-see footnote 133. Back

261   HMG, UK Government briefing on the proposed WTO agreements on investment and competition, 16 June 2003, p. 10-see footnote 193. Back

262   Ev 266, section 10 [Bangladesh Parliament Secretariat memorandum] Back

263   World Bank, Global Development Finance, 2003, p.168. Available at http://www.worldbank.org/prospects/gdf2003/ Back

264   Second LDC Trade Ministers Meeting, Dhaka declaration, 2 June 2003, p. 7, para 10-see footnote 84. Back

265   Q 370 [Carlos Fortin, UNCTAD] Back

266   Ev 46, para 29 [Oxfam memorandum] Back

267   Oxfam, Mugged: Poverty in your coffee cup, 2002, p. 2. Available at http://www.maketradefair.org/assets/english/mugged.pdf Back

268   Q 388 [Charles Gore, UNCTAD] Back

269   Oxfam, Mugged: Poverty in your coffee cup, 2002, p. 26-see footnote 267. Back

270   Ev 47, para 32 [Oxfam memorandum] Back

271   Q 273 [Terry Hudghton, Co-operative Retail] and Q 274 [Tony Sullivan, Sainsbury's] Back

272   Q 87 [H.E. Meles Zenawi, Prime Minister of the Federal Republic of Ethiopia] Back

273   Q 205 [Franz Fischler, European Commission] Back


 
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