In fact, the whole conference was a
fiasco except the decision on adopting guidelines for future work on fisheries
subsidies and the almost-automatic renewal of two moratoria - one on electronic
transmission duties and the other on non-violation and situation complaints of
the Intellectual Property Rights (TRIPS) Agreement of the WTO.
The former allows goods to be imported
electronically without duties charged on them. The latter allows, for example,
government to take measures of public interest such as issuance of compulsory
licences on health grounds, enforcing proper packaging on harmful products,
among others, without being challenged at the WTO even if the measures are
consistent with TRIPS obligations.
Drawing the curtain to a close, the Conference
Chair, Minister Susan Malcorra of Argentina, summarised the Ministerial
Conference’s outcome as a decision on fisheries subsidies, renewal of the moratorium on electronic transmission duties as well as moratorium on Non-Violation and Situation Complaints of the
Intellectual Property Rights Agreement. There was no progress in the area of
agriculture and development issues, which have been the thrust of Africa’s
demands over the years.
Prior to the official opening of MC11,
Africa Trade Ministers met to tighten up their stance and reiterated Africa’s
position. The Africa Group, just like in previous Ministerial Conferences,
called on the WTO to demonstrate real commitment to its purported stance for
development. A summary of the demands would be useful.
First and foremost, the Group called
for the systemic imbalances in the WTO to be addressed. For instance, a call
was made to address the imbalance in the Agreement on Agriculture that allows huge domestic support by developed
countries – and leads to artificial
lowering of prices for agriculture commodities in the global markets, wreaking
havoc on African producers.
Secondly, demand for a permanent
solution for Public Stocking Holding (PSH) that would allow African countries
as well as other developing countries to buy food for security purposes was
tabled. In 2013, at the ninth Ministerial Conference, a stop-gap compromise in
the form of a Peace Clause was reached at as insulation for countries from
being hauled before the WTO Dispute Settlement Body (DSB) for programmes that
were in place before the ninth Ministerial in Bali, Indonesia. Since then, no
permanent solution has been reached.
Thirdly, the Group also called for an
effective, easy-to-use Special Safeguard Mechanism (SSM) as a trade remedy
instrument to protect farmers from import surges and low-priced imports.
Unlike
most African countries, most of the major developed countries have access to a Special
Safeguard Provision (SSG) that allows these countries, despite all the huge
subsidies, also to regulate influx of imports. Its invocation is also
automatic. This was obtained in the Agreement on Agriculture, adopted during
the Uruguay Round - The Round of Negotiations leading up to establishment of
the WTO.
Again, African Ministers argued that
the ultimate aim of the WTO is not to promote free trade just for the sake of
it, but rather to foster economic development - paying attention to the demands
of those members most in need. Africa is confronted with the challenge of
structural economic transformation, hence the Ministers called for real special
and differential treatment (S&DT) to support Africa’s structural, economic
transformation.
In spite of all these realistic
demands, the developed countries showed blatant disregard for all. The US, for
instance, regrettably, blocked any possible progress in the area of agriculture
and any multilateral outcome. Reacting immediately after the Ministerial Conference,
the US Trade Representative said: “We are proud to defend the interests of U.S.
stakeholders at the WTO, including our farmers and ranchers who need a result
on agriculture that is based on the realities of today”.
Instead, they went all out in attempting
to introduce corporate-driven agenda masquerading as e-commerce, investment
facilitation, Micro-Small and Medium Enterprises (MSMEs) and domestic
regulation in services. For instance, developed countries demanded any
measure in the area of domestic regulation must be published to ensure
‘transparency’ and allow entities to comment, and their interest be taken into
account. Also, the measure must be based on ‘objective criteria’, and be
‘reasonable’. The same thread runs through the other new issues.
Fortunately, the Africa Group stood its
ground against any outcome on the so-called 21st century issues. In
fact, reacting to the outcome of the conference, an African delegate who
preferred not to be mentioned said they had stopped intrusive rules happening
through e-commerce, investment facilitation, MSMEs and Domestic Regulation.
‘This is the lesson that our
negotiators and policymakers should learn for our future negotiations and
policymaking. All Africa’s positions on new issues, including on domestic
regulation, have been adopted by this conference. But rich countries
continue to have policy space to distort international agriculture markets,”
the same delegate continued.
Also, another African delegate said: “The
outcome of the MC11 can be viewed in two ways. We did not accept any further
onerous obligations, but we also did not get any of our demands”.
This attracted praise from African CSOs
at MC11. Worthy of note was the commendation by the Director of SEATINI-Uganda,
Ms. Jane Nalunga who said: ‘The stand made by the Africa Group in MC11 talks by
slowing down the juggernaut is a step to bringing development at the core of
the WTO work and talks’.
Frustrated by the negotiations on
issues of interest to them - the so-called 21st century issues - developed
countries as well as some developing ones have turned to plurilateral
initiatives.
With no tangible outcome for Africa at
the end of yet another Ministerial Conference, it is time for Africa to assess
not only the benefits but also the contribution of the Multilateral system in
tackling Africa’s development challenges.
By Sylvester BAGOORO
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