./.WORLD TRADE
ORGANIZATIONTN/RL/W/88
1 May 2003
(03-2320)
Negotiating Group on Rules Original:  English
COMMENTS FROM THE PEOPLE’S REPUBLIC OF CHINA ON THE
UNITED STATES PROPOSAL ON FISHERIES SUBSIDIES (TN/RL/W/77)
The following communication, dated 30 April 2003, has been received from the Permanent
Mission of China.
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China would like to express its appreciation to the United States for its proposal on Possible
Approaches to Improved Disciplines on Fisheries Subsidies (TN/RL/W/77).  In its proposal, the
United States provides the Negotiating Group on Rules with the conceptual solution for the
negotiations on fisheries subsidies and the ways to  classify fisheries subsidies in "traffic lights"
approach.  China hereby would like to share its views concerning some specific issues in the US
proposal.
Disciplines on Fisheries Subsidies and Resource Management
The United States points out in the Proposal that the goal of clarified and improved rules is to
provide better disciplines on government programmes  that promote overcapacity and overfishing, or
have other trade-distorting effects.  China believes that such fisheries disciplines will help to
fundamentally resolve the problems encountered in sustainable development.  As for the managementof fisheries subsidies, China is concerned about the coastal jurisdiction of coastal countries entitled by
relevant international laws and the legal status of regional fisheries organizations.
Classification of fisheries subsidies
China welcomes the "traffic lights" approach used by the United States to classify fisheries
subsidies.  However, the method of classifying various existing fisheries subsidies should be
discussed intensely by WTO Members.  China believes that Members shall focus on the research of
the government subsidies that promote overcapacity and overfishing or have other trade-distorting
effects, and shall establish objective standards to regulate such subsidies.  Relevant international
organizations have made many researches in this regard.  China proposes that the Group should
further discuss the classification methods on fisheries subsidies of OECD and FAO.  Meanwhile,
China proposes to establish a "Green Light" catalogue so as to support fisheries subsidies conductive
to fisheries environment, trade and sustainable development.
Notification of fisheries subsidies
The strengthening of notification on fisheries subsidies and increasing transparency are the
basis for the negotiations on fisheries subsidies, and also a pre-condition for accurate assessment of
natures and effects of various relevant fisheries subsidies by this Group.  China supports the Group’s
efforts to identify an appropriate method on notification on fisheries subsidies in order to ensure WTO
Members to notify their fisheries subsidies in an efficient and comprehensive way.TN/RL/W/88
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Aquaculture and Food Safety
According to the recent FAO report on  the State of World Fisheries and Aquaculture 2002 ,
aquaculture’s contribution to global supplies of fish, crustaceans and mollusks continues to grow,increasing from 3.9% of total production by weight in 1970 to 27.3% in 2000, and aquaculture is
growing more rapidly than all other animal food pr oducing sectors.  It is evident that aquaculture
makes outstanding contribution to the protection of world's marine fisheries resources and guarantees
food supply to the mankind.  The protection and development of aquaculture is particularly important
since the world's marine fisheries resources are not in perfect status.  China believes that full
consideration should be given to the specificity of aquaculture, particularly the nature of agricultural
products embodied in aquatic products.
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