WORLD TRADE
ORGANIZATIONG/L/419
21 November 2000
(00-4960)
REPORT (2000) OF THE COUNCIL FOR TRADE IN GOODS
In accordance with the "Procedures for an Annual Overview of WTO Activities and for
Reporting under the WTO" (WT/L/105), the Council for Trade in Goods is to report each year to theGeneral Council on the activities in the Council as well as in the subsidiary bodies. The reports are tobe "factual in nature, containing an indication of actions and decisions taken, with cross references toreports of subordinate bodies and could follow the model of the GATT 1947 Council reports to theCONTRACTING PARTIES".
Since the last annual report, the Council for Trade in Goods met five times in formal session:
first, on 24 January;  second, 5 April and on 18 May;  third, on 7 July and 16 October;  fourth, on16 October 2000;   and fifth, on 15 November, where the meeting was suspended and is to bereconvened on a date to be specified.  The minutes of these meetings are contained in documentsG/C/M/42, 43, 44, 45 and 46
1.
The following subject matters which were raised and/or acted upon in the Council are
included in the report:
1. Election of Chairperson for the Counc il for Trade in Good s  (G/C/M/43)..........................3
2. Appointment of Officers for the subsidiary bodies of the Council (G/C/M/43) ..................3
3. Status of Notifications under the Provisions of the Agreements in Annex 1A of
the WTO Agreemen t (G/C/M/43)............................................................................................3
4. Continuation of the Harmonization Work Programme provided for in Part IV of
the Agreement on Rules of  Origin (G /C/M/ 42) ......................................................................3
5. Periodic Reports of the Committee on Market Access (G/C/M/43 and 45).........................3
6. Waivers under Article IX of the WTO Agreement................................................................4
(a) Harmonized System - Requests for extensions of waivers from Nicaragua and
Sri Lanka  (G/C/M/43 and 45)................................................................................................... .4
(b) Zambia - Renegotiation of Sche dule LXXVIII (G/C /M/43 and 45)...........................................4
(c) Decision on the Introduction of Harmonized System (HS) Changes into WTO
Schedules of Tariff Concessions on 1 January 1996 - Extension of the time-limit
(G/C/M/43 and 45).............................................................................................................. ........4
(d) WTO Agreement on Customs Valuation – Request for waiver by Peru (G/C/M/43) ................4
(e) Request for a waiver for the application of the EU autonomous preferential treatment
to the countries of the Western Balkans (G/C/M/43, 44 and 45)................................................5
                                                     
1 G/C/M/46 to be issued.G/L/419
Page 2
(f) Request for a WTO waiver – new ACP- EC Partnership Agreement (G/C/M/43, 44
and 45) ........................................................................................................................ ................5
(g) EC/France – Trading arrangements with Morocco:  Request for extension of the
waiver (G/C/M /43 and 44)....................................................................................................... ...5
(h) Request for a WTO Waiver – Turkey:  Preferential treatment for Bosnia-Herzegovina
(G/C/M/44 and 45).............................................................................................................. ........5
(i) Report by Uruguay concerning its request for a derogation on minimum values
(G/C/M/46) ..................................................................................................................... ............5
7. Trade-related technical assistance:  Customs Valuation Model Work
Programme (G /C/M/4 4) ........................................................................................................... 5
8. TRIMs Agreement .............................................................................................................. ......6
(a) Requests for extension of the transition period pursuant to Article 5.3 (G/C/M/42, 43,
44, 45 and 46) ................................................................................................................. ............6
(b) Review of the operation of the TRIMs Agreement (G/C/M/42, 43, 44, 45 and 46)...................6
9. Review of the Understanding on the Interpretation of Article XXVIII of the
GATT 1994 (G/C/M/42 and 45)...............................................................................................6
10. Trade Facilitati on (G/C /M/46)............................................................................................... ..6
11. Work Programme on Electro nic Commerce (G /C/M/46) .....................................................6
12. Free Trade Agreements (G /C/M/42, 43, 45 and 46)...............................................................7
(a) Free Trade Agreement between Hungary a nd Lithuania - Notification from Hungary
(WT/REG83/N/1 and WT/REG83/1) .........................................................................................7
(b) Free Trade Agreement between Hungary and Latvia - Notification from the Parties to
the Agreement (WT/REG84/N/1 and WT/REG84/1).................................................................7
(c) Free Trade Agreement between the Former Yugoslav Republic of Macedonia and
Slovenia - Communication from the partie s to the Agreement (WT/REG36/N/1 and
WT/REG36/1).................................................................................................................... .........7
(d) Free-Trade Agreement between Bulgaria and the Former Yugoslav Republic of
Macedonia – Communication from Bulgaria (WT/REG90/N/1, WT/REG90/1 ........................7
(e) Free-Trade Agreement between EFTA and Morocco – Communication from the
Parties to the Agreement (W T/REG91/N/1, WT/REG90/1). .....................................................7
(f) Free-Trade Agreement between Turkey and Poland;  Notification from the Parties to
the Agreement (WT/REG107/N/1 and WT/REG107/1).............................................................7
(g) Free-Trade Agreement between Estonia and Ukraine;  Notification from Estonia
(WT/REG108/N/1 and WT/REG108/1). ....................................................................................7
(h) Free-Trade Agreement between the European Communities and Mexico;
Notification from the Parties to the Agreement (WT/REG109/N/1 and
WT/REG109/1)................................................................................................................... ........7
(i) Euro-Mediterranean Agreement between the European Communities and Israel;
Notification from the Parties to the Ag reement (WT/REG110/N/1, WT/REG110/1)................7
(j) Euro-Mediterranean Agreement between the European Communities and Morocco;
Notification from the Parties to the Agreement WT/REG112/N /1, WT/REG112/1).................7
13. Consideration of annual reports of subsidiary bodies of the CTG (G/C/M/46)..................7G/L/419
Page 3
1. Election of Chairperson for the Council for Trade in Goods  (G/C/M/43)
1.1 At its meeting of 5 April, the Council el ected H.E. Ambassador  C. Pérez del Castillo
(Uruguay) as its Chairman for 2000.
2. Appointment of Officers for the subsidiary bodies of the Council (G/C/M/43)
2.1 At its resumed meeting of 18 May, the Council took note of the consensus on the following
persons nominated for election as Chairpersons of its subsidiary bodies:  Committee on Agriculture:
Chair:  Ambassador Jorge Voto-Bernales (Peru), Vice-Chair:  Mr. Yoichi Suzuki (Japan);  Committee
on Anti-Dumping Practices:  Mr. Yair Shiran (Israel);  Committee on Customs Valuation: Mr. Remo
Moretta (Australia);  Committee on Import Licensing:  Mr Albert Wright (Denmark);  Committee on
Market Access:  Mr. Christopher Kiener (Switzerland);  Committee on Rules of Origin:  Mr. SándorSimon (Hungary);  Committee on Safeguards:  Mr . Joshua Phoho Setipa (Lesotho);  Committee on
Sanitary and Phytosanitary Measures:  Mr. Shishir Priyadarshi (India) who was succeeded by Mr. S.
Nayyar (Pakistan) as confirmed at the meeting of 7 July;  Committee on Subsidies and Countervailing
Measures:  Mrs. Usha Dwarka-Canabady (Mauritius);  Committee on Technical Barriers to Trade:Mr. John Adank (New Zealand);  Committee on Trade-Related Investment Measures:  Mr. OscarHernández (Venezuela).   The Council also appointe d Mr. Breffini Carpenter (Ireland) as Chairman of
the Working Party on State Trading Enterprises (which does not have provisions on election of
Chairpersons).
 2
2.2 At the same meeting, the Council agreed to proceed on the understanding that as concernsVice-Chairpersons, it would be for the subsidiary bodies to decide if they needed a Vice-Chairpersonin cases where the option existed under the respective Agreement and/or rules of procedure, and forthe respective Chairperson to hold the necessary consultations.
3. Status of Notifications under the Provisions of the Agreements in Annex 1A of the WTO
Agreement (G/C/M/43)
3.1 At its meeting of 5 April, the Council took note of document G/L/223/Rev.4 which updated
the situation with respect to the status of notifications and Members' compliance therewith and
included notifications made up to and on 31 December 1999.
3.2 At its meeting of 15 November, the Counc il took note of document G/L/223/Rev.5 which
updated the situation with respect to the status of notifications and Members' compliance therewith
and included notifications made up to 30 June 2000.
4. Continuation of the Harmonization Work Programme provided for in Part IV of the
Agreement on Rules of Origin (G/C/M/42)
4.1 At its meeting of 24 January, the Council t ook note of the progress report of the Committee
on Rules of Origin (CRO) (G/RO/42) and the statement of the CRO Chairman.
5. Periodic Reports of the Committee on Market Access (G/C/M/43 and 45)
5.1 At its meetings of 5 April and 16 October, the Council took note of the periodic  reports (in
documents G/MA/107 and G/MA/111 respectiv ely) of the Market  Access Committee on inter alia  the
                                                     
2 The Committee of Participants on the Expansion of Trade in Information Technology Products
elected Ms.  E. Chelliah (Singapore) as Chairperson for 2000.G/L/419
Page 4
requests for waiver extensions and/or waiver s made in connection with the transposition or
renegotiation of schedules of tariff concessions and/or in connection with the introduction ofharmonized system changes into schedules of tariff concessions on 1 January 1996;   the situation withrespect to the operation of the Integrated Data Base (IDB) and the status of IDB submissions;progress of work on the database for consolidated tariff schedules;  and the situation of notifications ofquantitative restrictions.
6. Waivers under Article IX of the WTO Agreement
(a) Harmonized System - Requests for extensions of waivers from Nicaragua and Sri Lanka
(G/C/M/43 and 45).
6.1 At its meeting of 5 April, the Council considered requests by Nicaragua (G/L/351) and
Sri Lanka (G/L/350) for an extension until 31 Oct ober 2000 of waivers already granted in connection
with the transposition of their schedules into the Harmonized System.  The Council approved the textsof the draft decisions on the waiver extensions in G/C/W/189 (Nicaragua) and G/C/W/188(Sri Lanka), and agreed to transmit them to the General Council for adoption.
6.2 At its meeting of 16 October, the Council considered  requests by Nicaragua  (G/L/394) and
Sri Lanka (G/L/391) for a further  extension un til 30 April 2001. The Council approved the texts of
the draft decisions on the waiver extensions in G/C/W/227 (Nicaragua) and G/C/W/225 (Sri Lanka)and agreed to transmit them to the General Council for adoption.
(b) Zambia - Renegotiation of Schedule LXXVIII (G/C/M/43 and 45)
6.3 At its meeting of 5 April, the Council considered a request by Zambia (G/L/295) for an
extension, until 31 October 2000 of th e waiver granted to it in connec tion with the renegotiation of its
schedule.  The Council approved the text of the draft decision (G/C/W/190), and agreed to transmit itto the General Council for adoption.
6.4 At its meeting of 16 October, the Council  considered a request (in G/L/393) for  a further
extension until 30 April 2001 and approved the text of the draft decision in G/C/W/226 and agreed to
transmit it to the General Council for adoption.
(c) Decision on the Introduction of Harmonized Syst em (HS) Changes into WTO Schedules of 
Tariff Concessions on 1 January 1996 - Extension of the time-limit (G/C/M/43 and 45).
6.5 At its meeting of 5 April, the Council approved the text of the draft decision
(G/MA/W/22/Rev.1) granting an extension of individual waivers to Members listed in the annex to
that document until 31 October 2000 with an amendment proposed by Canada, and agreed to transmit
it to the General Council for adoption.  These waivers had been requested by those Members finding
it necessary to consult or negotiate under Article XXVIII of GATT 1994 as a result of the HS96
changes introduced in their schedules.
6.6 At its meeting of 16 October, the Council  approved the text of the draft decision in
G/C/W/228 granting a further extension  of the time-limit until 30 April 2001.
(d) WTO Agreement on Customs Valuation – Request for waiver by Peru (G/C/M/43)
6.7 At its meeting of 5 April, the Council consid ered a request by Peru (G/VAL/W/55/Add.1) for
a waiver from certain obligations under the Customs Valuation Agreement.  The Council approvedG/L/419
Page 5
the request and agreed that the draft decision (con tained in the document) granting this waiver be
transmitted to the General Council for adoption.
(e) Request for a waiver for the application of the EU autonomous preferential treatment to the
countries of the Western Balkans (G/C/M/43, 44 and 45)
6.8 At its meetings of 5 April, 7 July and 16 October, the Council considered the  request by the
EC (G/C/W/178) and at its meeting on 16 October 2000 the Council approved the request and agreed
that the draft decision granting this waiver (in the same document) be transmitted to the General
Council for adoption.
(f) Request for a WTO waiver – new ACP-EC Pa rtnership Agreement (G/C/M/43, 44 and 45)
6.9 At its meeting of 5 April, the EC and the ACP countries submitted for consideration to the
CTG a request for a waiver in order to allow the maintenance of preferential trade between the EC
and the ACP countries (G/C/W/187,  G/C/W/187/Ad dendum 2 and G/C/W/204).  Deliberations were
held on the request and the Council took note of the various statements made at the meetings on 5
April, 7 July , 16 October  and 15 November .  Consultations are under way in order to find a solution
acceptable to all concerned parties.
(g) EC/France – Trading arrangements with Morocco:  Request for extension of the waiver
(G/C/M/43 and 44)
6.10 At its meeting on 5 April, the Council consid ered a request by the EC for a retroactive
extension of the waiver (G/L/357).  At its meeting on 7 July, the Council approved the request and
agreed that the draft decision granting the waiver (G/C/W/194) be transmitted to the General Council
for adoption.
(h) Request for a WTO Waiver – Turkey:  Preferential treatment for Bosnia-Herzegovina
(G/C/M/44 and 45)
6.11 At its meeting on 7 July, the Council considered a request by Turkey for a waiver with respect
to the provisions of paragraph I of Article I of GATT 1994 (G/C/W/217).  At its meeting on 16
October, the Council approved the request and agreed that the draft decision granting the waiver,
contained in the same document, be transmitted to the General Council for adoption.
(i) Report by Uruguay concerning its request for a derogation on minimum values (G/C/M/46)
6.12 At its meeting on 15 November, the Council took note  of  Uruguay's report on the status of its
implementation of the derogation on minimum values (WT/L/354) under the Agreement on Customs
Valuation.
7. Trade-related technical assistance:  Customs Valuation Model Work Programme
(G/C/M/44)
7.1 At its meeting on 7 July, the Council took note  of a communication by the EC (G/VAL/W/71)
referring to a technical assistance model  of broad potential use.G/L/419
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8. TRIMs Agreement
(a) Requests for extension of the transition period pursuant to Article 5.3 (G/C/M/42, 43, 44, 45
and 46)
8.1 At its meetings on 24 January, 5 April, 7 July, 16 October and 15 November3, the Council
took note of the statements made regarding requests for extension of the transition period by
Argentina, Chile, Colombia, Malaysia, Mexico, Pakistan, Philippines, Romania and Thailand.4
(b) Review of the operation of the TRIMs Agreement (G/C/M/42, 43, 44, 45 and 46)
8.2 At its meetings on 24 January, 5 April, 7 July, 16 October and 15 November, the Council took
note of  the statements made.
9. Review of the Understanding on the Interpretation of Article XXVIII of the GATT 1994
(G/C/M/42 and 45)
At its meeting on 24 January, the Council mandated the Market Access Committee to carry
out the review. The Committee provided a report to the CTG at its meeting on 16 October that the
review had been carried out.
10. Trade Facilitation (G/C/M/46)
At its meeting of 15 November the Council took note of a report by the Chairman on work
carried out in formal meetings held on 7 June, 13 July and 26 October and of his intention to make a
factual report on his own responsibility on wo rk undertaken to the General Council (G/L/-)5.
11. Work Programme on Electronic Commerce (G/C/M/46)
At its meeting of 15 November, the Council took note of a report by the Chairman on work
carried out in two informal meetings on 4 October and 8 November and of his intention to make a
factual report on the state of play to the General Council.
                                                     
3 The meeting of 15 November was suspended on this agenda item.  It is to be resumed on a date to be
determined.
4 Relevant documents under discussion:
Argentina: G/C/W/176 + Corr.1, G/ C/W/182, G/C/W/185, G/C/W/193,
G/C/W/222,G/C/W/223, G/C/W/224
Chile: G/C/W/172 + Add.1, G/C/W/181,  G/C/W/185, G/C/W/197, G/C/W/198
Colombia: G/C/W/169 + Add.1, G/C/W/180,  G/C/W/202, G/C/W/207, G/C/W/216,
G/C/W/219+Corr.1, G/C/W/220+Corr.1
Malaysia: G/C/W/174, G/C/W/183, G/C/ W/185, G/C/W/192, G/C/W/208, G/C/W/209,
G/C/W/210 + add.1
Mexico: G/C/W/171, G/C/W/185
Pakistan: G/C/W/173, G/C/ W/185, G/C/W/186, G/C/W/199
Philippines: G/L/325, G/ C/W/166, G/C/W/168, G/C/W/ 170, G/C/W/184, G/C/W/201
Romania: G/C/W/175, G/C/ W/179, G/C/W/185, G/C/W/ 191, G/C/W/196, G/C/W/206
Thailand: G/C/W/203
5 To be issued.G/L/419
Page 7
12. Free Trade Agreements (G/C/M/42, 43, 45 and 46)
At its meetings on 24 January, 5 April and 16 October, the Council adopted the terms of
reference under which the CRTA should examine the following agreements:
(a) Free Trade Agreement between Hungary and Lithuania - Notification from Hungary
(WT/REG83/N/1 and WT/REG83/1)
(b) Free Trade Agreement between Hungary and Latvia - Notification from the Parties to the
Agreement (WT/REG84/N/1 and WT/REG84/1)
(c) Free Trade Agreement between the Former Yugoslav Republic of Macedonia and Slovenia -
Communication from the parties to the Ag reement (WT/REG36/N/1 and WT/REG36/1)
(d) Free-Trade Agreement between Bulgaria and the Former Yugoslav Republic of Macedonia –
Communication from Bulgaria  (WT/REG90/N/1, WT/REG90/1
(e) Free-Trade Agreement between EFTA and Morocco – Communication from the Parties to the
Agreement (WT/REG91/N/1, WT/REG90/1)
(f) Free-Trade Agreement between Turkey and Poland;  Notification from the Parties to the
Agreement (WT/REG107/N /1 and WT/REG107/1)
(g) Free-Trade Agreement between Estonia and Ukraine;  Notification from Estonia
(WT/REG108/N/1 and WT/REG108/1)
(h) Free-Trade Agreement between the European Communities and Mexico;  Notification from
the Parties to the Agreement (WT/REG109/N/1 and WT/REG109/1)
(i) Euro-Mediterranean Agreement between the Eu ropean Communities and Israel;  Notification
from the Parties to the Agreem ent (WT/REG110/N/1, WT/REG110/1)
(j) Euro-Mediterranean Agreement between the European Communities and Morocco;
Notification from the Parties to th e Agreement WT/REG 112/N/1, WT/REG112/1)
13. Consideration of annual reports of subsidiary bodies of the CTG (G/C/M/46)
At its meeting on 15 November the Council took note of the reports of the following bodies:
Committee on Customs Valuation (G/L/414);  Inde pendent Entity (G/L/410);  Committee on Market
Access (G/L/401);   Committee on Rules of Origin (G/L/413);  Committee on Sanitary andPhytosanitary Measures (G/L/411);  Committee on Technical Barriers to Trade (G/L/412);
Committee on TRIMs (G/L/390);  Committee on Impor t Licensing (G/L/403);  Committee on Anti-
Dumping Practices (G/L/404);  Committee on Safeguards (G/L/404);  Committee on Subsidies and
Countervailing Measures (G/L/408);  Committee on Agriculture (draft report in document Job No.
7061);  Working Party on State-Trading Enterprises (draft report in G/STR/W/37);   Committee ofParticipants on the Expansion of Trade in Information Technology Products (draft report in
G/IT/W/5);  Textiles Monitoring Body (G/L/398);   in relation to comments made regarding
paragraph 20 of the TMB report, it was decided that the Chairman would hold informal consultations
with interested Members.
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