Accession to the WTO Process and Practice Sajal Mathur Economic Affairs Officer Accessions Division
WTO Accessions - Overview GATT/WTO m ship has increased 23 in 1947/8 Around 125 Members in 1995 147 Members today Currently 25 Countries acceding (incl.) LDCs Developing Countries Transition Economies 2
WHY ACCEDE TO THE WTO? Globalization Increased Trade/Investment Flows.. Enhancing and Diversifying Commercial Relations WTO Rules and Disciplines on International Trade Membership = Seat in Negotiating Table/WTO Bodies Membership entails rights and obligations Non-Discrimination Predictability Transparency Progressive Improvements in Market Access Dispute Settlement Mechanism 3
GATT TO WTO GATT/WTO has evolved So has the accession process... Coverage and Scope Trade in Goods (GATT 1994 +) Trade in Services TRIPS Evolution of Trade Measures/Instruments 4
GATT TO WTO Degree of protection Issues: Customs tariffs TRIPS, services, Tariffs, NTMs etc. CPs GATT 147 members WTO 5
ARTICLE XII AGREEMENT ESTABLISHING THE WORLD TRADE ORGANIZATION... Article XII Accession 1. Any State or separate customs territory possessing full autonomy in the conduct of its external commercial relations and of the other matters provided for in this Agreement and the Multilateral Trade Agreements may accede to this Agreement, on terms to be agreed between it and the WTO. Such accession shall apply to this Agreement and the Multilateral Trade Agreements annexed thereto. 2. Decisions on accession shall be taken by the Ministerial Conference. The Ministerial Conference shall approve the agreement on the terms of accession by a two-thirds majority of the Members of the WTO. 3. Accession to a Plurilateral Trade Agreement shall be governed by the provisions of that Agreement. Any State or separate customs territory On terms to be agreed... 6
Accession Negotiations Multilateral Track WTO Rules and Disciplines Working Party Report Accession Protocol Bilateral Track Market Access Negotiations Goods Schedule Services Schedule 7
Accession Negotiations Adherence to General Agreement on Tariffs and Trade In particular Articles: I MFN Treatment III National Treatment V Transit VIII Fees and Charges X Transparency/Right of Appeal XI Elimination of Quantitative Restrictions XII Balance of Payments XVII State Trading XX General Exceptions XXI Security Exemptions XXIV Customs Unions/FTAs Plus Trading Rights Adherence to WTO Multilateral Agreements Agriculture Sanitary and Phytosanitary Measures Textiles and Clothing Technical Barriers to Trade Trade Related Investment Measures Customs Valuation Rules of Origin Import Licensing Procedures Subsidies and Countervailing Measures Anti-dumping Safeguards Preshipment Inspection GATS TRIPS 8
Average tariff bindings of new WTO Members: Agriculture 45 42.3 40 PER CENT 35 30 25 20 15 25.8 18.4 34.9 33.6 26.1 17.7 11.7 25 30.5 15.6 12.1 12.4 10.6 10.4 15 17.5 14.8 15 29.3 10 5 ECU MON BUL PAN KGZ LVA EST JOR GEO ALB HRV OMN LTU NEW MEMBERS (by date of membership) MOL CHN TPKM ARM FYROM KHM NPL 9
Average tariff bindings of new WTO Members: Non-AG products 25 23.7 20 20.1 20 18.4 PER CENT 15 10 5 12.6 11.5 6.7 9.3 6.6 15 5.8 6 5 11 8.2 5.7 8.9 4.8 7.5 6.1 0 ECU MON BUL PAN KGZ LVA EST JOR GEO ALB HRV OMN LTU MOL CHN TPKM ARM FYROM KHM NPL NEW MEMBERS (by date of membership) 10
ACCESSION PROCESS DG 147 Members WTO Secrt. General Council 11
Working Party WTO Secretariat Chairman Members Acceding Govt. 12
Fact-finding phase Memorandum Legislation Questions and replies First meeting + Other documents (Agriculture, Services, TBT/SPS, TRIPS) 13
Fact-finding + Negotiations Additional meetings Bilateral meetings Questions and replies Action Plans Factual summary Draft report Informal meetings Offers on goods and services Agriculture Plurilaterals 14
Final Steps Final meeting Accession package: Draft Report Draft Schedules Draft Protocol of Accession Ratification Membership 15
Other Issues... Length and Complexity of WTO Accession A political and technical process Reforms at the national level Members requests (market access, WTO-Plus?) Technical Assistance 16
DOHA New prospects? Paragraphs 9 and 42 Guidelines on LDCs accession Recent developments and prospects 17
DDA and Accessions W ORLD T RADE O RGANIZATION MINISTERIAL CONFERENCE Fourth Session Doha, 9-14 November 2001 W T/M IN(01)/DEC/1 20 November 2001 (01-5859) 1. MINISTERIAL DECLARATION Adopted on 14 November 2001... 9. We note with particular satisfaction that this Conference has completed the WTO accession procedures for China and Chinese Taipei. We also welcome the accession as new Members, since our last Session, of Albania, Croatia, Georgia, Jordan, Lithuania, Moldova and Oman, and note the extensive market-access commitments already made by these countries on accession. These accessions will greatly strengthen the multilateral trading system, as will those of the 28 countries now negotiating their accession. We therefore attach great importance to concluding accession proceedings as quickly as possible. In particular, we are committed to accelerating the accession of least-developed countries.... L EAST-D EVELOPED C OUNTRIES 42.... Accession of LDCs remains a priority for the Membership. We agree to work to facilitate and accelerate negotiations with acceding LDCs. We instruct the Secretariat to reflect the priority we attach to LDCs' accessions in the annual plans for technical assistance... 18
LDC Accessions DDA Mandate to facilitate and accelerate WTO Work Programme for LDCs Guidelines for LDCs Accessions (WT/L/508) Market Access WTO Rules Process Technical Assistance Cancún: Accession of Cambodia and Nepal 19
References & Documents (1) WT/ACC/1: Procedures for Negotiations under Article XII WT/ACC/4: Information to be Provided on Domestic Support and Export Subsidies in Agriculture WT/ACC/5: Information to be Provided on Policy Measures Affecting Trade in Services WT/ACC/8: Information to be Provided on Policy Measures with respect to SPS and TBT issues WT/ACC/9 and Corr.1: Information to be Provided on the Implementation of the TRIPS Agreement 20
References & Documents (2) WT/ACC/10: Technical Note on the Accession Process WT/ACC/11/Rev.2: Information on Current Accessions WT/ACC/12: State of Play of LDCs Accessions WT/L/508: General Council s Decision on LDCs Accession 21