WORLD TRADE WT/MIN(98)/ST/46
18May1998
ORGANIZATION(98-1992)
Original: English MINISTERIAL CONFERENCE
Second Session
Geneva, 18and20May1998
JAMAICA
Statement Circulated bytheHonourable Seymour Mullings,
Deputy Prime Minister andMinister ofForeign Affairs andForeign Trade
Fiftyyears ago,23countries concluded, albeit provisionally, theGeneral Agreement onTariffs
andTrade (GATT) withamong other things, theobjective ofraising standards ofliving, ensuring full
employment, achieving steady growth inrealincome, using fullyandeffectively theworld ’sresources,
andexpanding production andtrade ingoods. 50years later, wearestillallstriving toachieve these
goals, particularly those ofusfrom thedeveloping andleast-developed countries.
TheGeneral Agreement onTariffs andTrade hasbeensuccessful inliberalizing trade and
increasing thevolume ofgoods traded. Ineight rounds ofmultilateral trade negotiations, tariff and
non-tariff barriers havebeensignificantly reduced oreliminated. However, themajor benefits ofthis
liberalization process havenotbeenequitably distributed. Trade between theequal andunequal has
inmany instances proven tobeinequitable.
Developing countries, andparticularly theleastdeveloped, havederived theleastbenefit from
tradeliberalization inspite ofmeasures taken intheGATT, beginning inthe50's,toassist developing
countries. These measures included theadoption in1979 ofthe“Enabling Clause ”which made the
principle ofspecial anddifferential treatment fordeveloping countries apartoftheGATT legal
framework.
Trade remains thelifeblood ofanyeconomy. However, tobeabletoincrease ourvolume
ofgoods traded andourexport earnings, itisnecessary tobeabletoattract investment intothe
productive sectors, tomodernize productive processes, fundresearch anddevelopment, andtake
advantage ofmarket access opportunities. Butinvestment, technology andmarket access cannot be
gained andmaintained, ifthetechnical andlegalexpertise, andtheproper institutional andphysical
infrastructures arenotinplace. Thishasbeenandcontinues tobeafundamental dilemma formany
developing countries.
Theendofthe20thcentury should seetheWTO progressing toward universal membership
making itsmembership more fullyrepresentative oftheworld ’speople atevery levelofdevelopment.
Thisachievement should result intheWTO surmounting theperception, ofitspredecessor, theGATT,
asanexclusive clubcatering totheneeds ofdeveloped countries.
TheHigh Level Conference heldlastOctober demonstrates thattheWTO isconscious ofthe
needs oftheleast-developed countries. Wewelcome thePlanofAction adopted during thisConference
andhopethatitwillbeimplemented expeditiously.
However, there areother categories ofdeveloping countries caught between theemerging
economies andtheleastdeveloped, theneeds ofwhich arebeing overlooked. Imake specific referenceWT/MIN(98)/ST/46
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tosmall developing economies which arefacing thechallenge ofbuilding theirexport andinstitutional
capacitiestoallowthemtobecomeeffectiveparticipantsinthenewhighlycompetitiveglobalenvironment
andthusavoid marginalization.
Ifsmall developing economies aretobeabletoattract investment, expand production, improve
product quality, meet standards, inshort compete effectively andgrasp theopportunities presented
intheWTO Agreements, thenitisimperative thattheirneedforadequate transitional periods and
forsupport bealsorecognized.
But,while wepress formore attention tobepaidtoourparticular concerns, werecognize
thatitisuptoustoidentify ourproblems, andarticulate these intheWTO andother international
organizations, working withthem toensure thatweriseabove ourconstraints.
Oneverytroubling areaistheexperience wehavehadintheresolution ofthedispute onthe
ECbanana import regime. Ithashadanadverse impact ontradewithourtrading partners. Webelieve
thattherearesome important principles andprocedures requiring improvement aswebegin thereview
oftheDispute Settlement Understanding (DSU). Theso-called “systemic ”complaints raised bya
major trading partner, notonlyruntheriskofupsetting thebalance ofrights andobligations, butalso
undermine thebalance ofbenefits todeveloping countries, laboriously negotiated during theUruguay
Round.
Thefocus oftheWTO, atthistime, should beonimplementation oftheexisting Agreements
andthebuilt-in agenda, andonclosing thegapwhich exists between itsMember States.
Anessential requirement ofthiswork programme should beanevaluation oftheimpact of
theimplementation oftheAgreements todetermine thebenefits tooradverse effects ondeveloping
countries. Specifically, there should beanevaluation oftheAgreement onAgriculture todetermine
theextent towhich countries aremeeting their reduction commitments andtheimpact on
net-food-importingdevelopingcountriesespeciallywithregardtotheMinisterialDecisiononthepossible
negativeeffectsofthereformprogrammeonleastdevelopedandnet-food-importingdevelopingcountries.
TheMinisterial Declaration which launched theUruguay Round in1986 recognized the
interrelationship between trade, money, finance anddevelopment andconsequently, thenegative effects
ofprolonged financial andmonetary instability ontrade liberalization. In1996, theWTO entered
intoAgreements withtheIMFandtheWorld Bank toincrease theexchange ofinformation andbring
about greater coherence inthepolicies being pursued intheirorganizations. Therecent turmoil in
international financial markets isatimely reminder theweshould continue togivehighpriority to
theinterrelationship, andtoensure thatshort termcapital flows donotleadtoprotectionist measures,
butinstead aresupportive ofexpanding trade, employment anddevelopment.
Turning totheWTO ’sroleasanegotiating forum, itismyGovernment ’sview thatany
negotiation undertaken intheWTO mustfollow theprocedures established intherelevant Agreements
tomake them genuinely multilateral.
Weagree thattheWTO willtakeonissues relevant tothemultilateral trading system. Such
issues should besubject toaprocess ofin-depth analysis toensure thatallMembers arefullyconversant
withtheissues andtheirimplications.
Wefurther believe thatnegotiations scheduled tobegin inthenexttwoyears should cover only
those areas identified inthebuilt-in agenda oragreed byMembers ataMinisterial Conference and
shouldbeunderpinnedbytheprinciplesofprogressiveliberalizationandspecialanddifferentialtreatment
fordeveloping countries.WT/MIN(98)/ST/46
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Apoint which cannot bestressed toooften withregard tonewissues, istheability ofsmall
developing countries tocopewiththeWTO ’spresent andfuture work programme, which willinvolve
negotiations. Theinability ofnational administrations toadequately prepare fornegotiations could
adversely affect theleveloftheirparticipation.
Aswehavestated inthisandother fora,Jamaica fullyrecognizes theneedtokeeppacewith
changing times, andtherapidevolution ofnewideas. Themultilateral trading environment doesembrace
theprinciples ofnon-discrimination andreciprocity. Wealsorecognize thattogainandmaintain market
access wehavetostrive tobemore competitive. However, weaskMembers ofthisOrganization
torecognize thatmeeting theobjectives setoutinthepreamble oftheGATT 50years agoispredicated
ontheachievement ofasustainable levelofgrowth byallcountries.
Weshould endeavour, therefore, tobuild acooperative process which dulyrecognizes our
differing levels ofdevelopment andgrowth. Thispositive andmore realistic attitude willenable all
ofus,inthenewmillennium, toreapthebenefits wearehoping willresult fromthismultilateral trading
system, andseetheWTO gaining thereputation asanorganization which serves theinterest ofall
itsMember States.
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