G-33 eases rules in classifying ‘products’ exempt from tariff cuts
The Group of 33, an alliance of over 40 developing countries coordinating on a common stand in trade and economic issues, has relaxed its criteria in the classification of "special products" to be exempted from tariff cuts under the World Trade Organization (WTO) deal, the top Philippine trade negotiator said.
Ambassador Manuel J. Teehankee, the Philippines’ representative to the WTO in Geneva, told The STAR that the G-33 ministers have approved in Jakarta the streamlining from 24 down to 12 the list of indicators in designating such special products or SPs.
"This represented movement for the G-33 in making their selection of SPs more transparent and was accompanied by the call that all the major players should now translate their political movements to concrete and meaningful proposals on the numbers if we are to take advantage of the limited window of opportunity to conclude the Doha Round and deliver on the development mandate," he said.
In classifying SPs, the G33 has expressed several of their food and livelihood security concerns and considerations in relation to these special products. These include the importance of particular products for the subsistence strategies of the rural poor and small and vulnerable farmers; the importance that a product may represent a source of livelihood for the population of a disadvantaged region; the significance of a crop or product for the consumption profile of a country; the potential structural effects of an import substitute in the consumption profile of the country; and the contribution of a product to the economy as a whole.
The group conceded though that while the application of a common set of indicators across the developing world for designating SPs would be very difficult, to come up with a "multilaterally agreed threshold level for each plausible indicator, capable of capturing the size and diversity of the agriculture sector in all developing countries, would be even more difficult."
The group reviewed and approved a revision of the list of indicators for the selection of SPs in a manner as to assure transparency while enabling all developing countries to appropriately self designate an appropriate number of products based on the mandated criteria.
The indicators represent the simplest and most rational approach to operationalizing the mandate for SPs as they take into consideration the wide range of domestic circumstances of developing countries.
While the G33 Ministers expressed their readiness to be responsive to significant movements in the positions held by the developed countries and contribute to the successful conclusion of the Doha Round, they stressed that the mandate on SPs does not require developing countries to provide any compensation including through tariff quota commitments.
In their official statement, the G33 Ministers welcomed the renewed political commitment of all WTO members to reinvigorate the negotiations in order to achieve a breakthrough. They called on members, particularly the developed countries, to translate this political engagement into concrete movements in positions to capitalize on the window of opportunity to conclude the round of talks and deliver on the development mandate.
The G33 Ministers also affirmed the view that food security, livelihood security and rural development needs are vital human concerns, reiterating that the early removal of distortions, caused by huge subsidies and significant market access barriers in developed countries, would contribute to the attainment of the Millennium Development Goals.
They stressed that it is essential that the outcome of the negotiations upholds the proposals of developing countries resulting in real and effective substantial reduction of trade distorting domestic support coupled with meaningful discipline, elimination of all forms of export subsidies, and substantial improvements in access to the markets of developed countries, including through tariff simplification and the elimination of tariff escalation which impede or deny market access opportunities to products of export interest to developing countries.
"Developing countries stand ready to engage in negotiations based on meaningful proposals taking fully and effectively into account the principle of overall proportionality in tariff reduction commitment and special and differential treatment in all aspects of the negotiations," the group statement said.
The G-33 countries include Antigua and Barbuda, Barbados, Belize, Benin, Botswana, China, Congo, Cote d’Ivoire, Cuba, Dominican Republic, Grenada, Guyana, Haiti, Honduras, India, Indonesia, Jamaica, Kenya, Korea, Mauritius, Madagascar, Mongolia, Mozambique, Nicaragua, Nigeria, Pakistan, Panama, Peru, Philippines, St Kitts and Nevis, St Lucia, St Vincent and the Grenadines, Senegal, Sri Lanka, Suriname, Tanzania, Trinidad and Tobago, Turkey, Uganda, Venezuela, Zambia, and Zimbabwe.
BY MARIANNE V. GOThe Philippine Star
Ambassador Manuel J. Teehankee, the Philippines’ representative to the WTO in Geneva, told The STAR that the G-33 ministers have approved in Jakarta the streamlining from 24 down to 12 the list of indicators in designating such special products or SPs.
"This represented movement for the G-33 in making their selection of SPs more transparent and was accompanied by the call that all the major players should now translate their political movements to concrete and meaningful proposals on the numbers if we are to take advantage of the limited window of opportunity to conclude the Doha Round and deliver on the development mandate," he said.
In classifying SPs, the G33 has expressed several of their food and livelihood security concerns and considerations in relation to these special products. These include the importance of particular products for the subsistence strategies of the rural poor and small and vulnerable farmers; the importance that a product may represent a source of livelihood for the population of a disadvantaged region; the significance of a crop or product for the consumption profile of a country; the potential structural effects of an import substitute in the consumption profile of the country; and the contribution of a product to the economy as a whole.
The group conceded though that while the application of a common set of indicators across the developing world for designating SPs would be very difficult, to come up with a "multilaterally agreed threshold level for each plausible indicator, capable of capturing the size and diversity of the agriculture sector in all developing countries, would be even more difficult."
The group reviewed and approved a revision of the list of indicators for the selection of SPs in a manner as to assure transparency while enabling all developing countries to appropriately self designate an appropriate number of products based on the mandated criteria.
The indicators represent the simplest and most rational approach to operationalizing the mandate for SPs as they take into consideration the wide range of domestic circumstances of developing countries.
While the G33 Ministers expressed their readiness to be responsive to significant movements in the positions held by the developed countries and contribute to the successful conclusion of the Doha Round, they stressed that the mandate on SPs does not require developing countries to provide any compensation including through tariff quota commitments.
In their official statement, the G33 Ministers welcomed the renewed political commitment of all WTO members to reinvigorate the negotiations in order to achieve a breakthrough. They called on members, particularly the developed countries, to translate this political engagement into concrete movements in positions to capitalize on the window of opportunity to conclude the round of talks and deliver on the development mandate.
The G33 Ministers also affirmed the view that food security, livelihood security and rural development needs are vital human concerns, reiterating that the early removal of distortions, caused by huge subsidies and significant market access barriers in developed countries, would contribute to the attainment of the Millennium Development Goals.
They stressed that it is essential that the outcome of the negotiations upholds the proposals of developing countries resulting in real and effective substantial reduction of trade distorting domestic support coupled with meaningful discipline, elimination of all forms of export subsidies, and substantial improvements in access to the markets of developed countries, including through tariff simplification and the elimination of tariff escalation which impede or deny market access opportunities to products of export interest to developing countries.
"Developing countries stand ready to engage in negotiations based on meaningful proposals taking fully and effectively into account the principle of overall proportionality in tariff reduction commitment and special and differential treatment in all aspects of the negotiations," the group statement said.
The G-33 countries include Antigua and Barbuda, Barbados, Belize, Benin, Botswana, China, Congo, Cote d’Ivoire, Cuba, Dominican Republic, Grenada, Guyana, Haiti, Honduras, India, Indonesia, Jamaica, Kenya, Korea, Mauritius, Madagascar, Mongolia, Mozambique, Nicaragua, Nigeria, Pakistan, Panama, Peru, Philippines, St Kitts and Nevis, St Lucia, St Vincent and the Grenadines, Senegal, Sri Lanka, Suriname, Tanzania, Trinidad and Tobago, Turkey, Uganda, Venezuela, Zambia, and Zimbabwe.
BY MARIANNE V. GOThe Philippine Star
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