RESTRICTED
WORLD TRADE S/C/W/30
18November 1997
ORGANIZATION(97-5066)
Council forTrade inServices
COOPERATION BETWEEN
THE INTERNATIONAL TELECOMMUNICATION UNION (ITU) AND THE WTO
Background Note bytheSecretariat
1. Theissue ofapossible cooperation agreement between theWTO andtheInternational
Telecommunication Union hasbeen formally considered intheITUandinformally raised bythe
Secretariat oftheITUwiththeWTO Secretariat.
2. InJune1995, atitsannual meeting, theExecutive Council oftheITUadopted arecommendation
thattheSecretaryGeneraloftheITUundertakenegotiationsonapossiblecooperationagreementbetween
theITUandtheWTO. AttheITUExecutive Council meetings in1996and1997, theSecretary General
reported totheCouncil thatalthough therehadbeennumerous contacts andcollaboration withtheWTO,
thedemands ofthenegotiations onbasic telecommunications ontheWTO Secretariat hadmade it
impossible toengage indetailed discussions onacooperation agreement. Withtheendofthenegotiations
ontelecommunications, theITUhasrenewed itsinterest indiscussions withtheWTO onthepossible
elements ofsuchanagreement.
3. Agood working relationship hasbeenestablished between thetwoorganizations andatthe
leveloftheSecretariats. During theUruguay Round, theITUwasinvited asanobserver tomeetings
oftheGNS sectoral testing exercise ontrade intelecommunications services (1989) andoftheGNS
workinggroupontelecommunications(1990)whichreviewedthedraftservicesagreementandnegotiated
theAnnex onTelecommunications. In1991, anITUHigh Level Committee charged withmaking
proposalsconcerningrestructuringoftheITU,recommendedthatthisclosecooperationshouldcontinue,
andthatwhen theUruguay Round wasconcluded anagreement should bereached setting outGATT 's
andtheITU'scomplementary rolesandhowthetwoorganizations should workcooperatively. In1994,
thestrategic planfortheITU(1995-1999) adopted atitsPlenipotentiary Conference inKyoto, stressed
thatwiththeconclusion oftheUruguay Round, theexamination ofrelations between theWTO and
theITUandtheroleofthelatter intheregulation ofinternational telecommunications services should
beapriority.
4. Since theUruguay Round cooperation between thetwoSecretariats hascontinued. TheWTO
hasbeengranted observer status inmost ITUmeetings andtheITUwasanobserver inthebasic
telecommunications negotiating groups. There hasalsobeensome jointactivity inthefieldoftechnical
cooperation .
5. TheWTO Secretariat isnotauthorized toenter intoformal discussion ofthepossibility ofa
cooperation agreement orother formal framework governing cooperation without amandate from
Members. Thiswould needtobegiven bytheGeneral Council, onthebasis ofarecommendation
bytheCouncil forTrade inServices. Inorder topermit theServices Council toconsider allelements
ofthequestion, theSecretariat proposes, iftheCouncil agrees, tosubmit amore detailed background
paper toitsnextmeeting.