RESTRICTEDWORLD TRADE
ORGANIZATIONWT/MIN(98)/WS/M/1
19 June 1998
(98-2496)
MINISTERIAL CONFERENCE
Geneva, 18 and 20 May 1998
MINUTES OF WORKING SESSION ON IMPLEMENTATION
Held at the Centre William Rappard
on 18 and 20 May 1998
Chairman:  Mr. Pascal Couchepin (Switzerland)
1. The Chairman, opening the first working session, recalled that the aim of the working
sessions was to provide Ministers with the opportunity to have a candid exchange of views on Item 1
of the agenda, namely, Overview of Activities of the WTO.  He invited Ministers to be very brief in
their interventions and aim not to speak for more than 3 minutes at a time, as well as not to repeat
statements already circulated.  He recalled also that the present working session would be devoted to a
discussion on the first part of Agenda Item 1 – Implementation of the WTO Agreement and
Ministerial Decisions.
2.  The representative of Japan said that the WTO was, in general, functioning effectively in
areas such as liberalization and dispute settlement, among others.  It was essential for all Members to
implement the Agreements in good faith in order to further solidify the WTO's reliability.  As shown
by the track record of the past fifty years, ther e could be no alternative to the multilateral trading
system for world economic development, and it would be meaningful for all Members to reaffirm on
this occasion the primacy of the multilateral trading system.  The recent trend towards regional
integration should be carried forward in such a way that the multilateral trading system would befurther strengthened rather than weakened.  Many  important agreements such as the Information
Technology Agreement (ITA) had recently been concluded, and work on new issues such as trade and
investment was now in progress.  Such activities were important steps towards the WTO's future
work.  Japan supported the initiation of comprehensive liberalization negotiations which included
areas such as investment rules and industrial tariffs in addition to the built-in agenda.  As for the issue
of implementation, it was vital that the WTO Agreements were adhered to faithfully by all Members.
It was important that all Members achieve steady implementation of the Agreements in areas such as
the protection of intellectual property rights and trade-related investment measures.  Japan's Ministry
of International Trade and Industry (MITI) was ready to provide the necessary technical assistance
such as training of intellectual property officials.  In order to ensure steady implementation, it wasimportant also to enhance public understanding of the rules and activities of the WTO.
3. Regarding electronic commerce, he said it ha d the potential to attract foreign cooperation
activities and to promote new forms of trade.  Th ere were no borders in the world for electronic
commerce, and it was important that a study on the trade aspects of electronic commerce be started at
the WTO without delay. Japan supported the proposition for a standstill on tariffs for the present time,and to review this upon the completion of the WT O study, with a view to promoting electronic
commerce internationally.  For Japan, agriculture wa s the biggest issue in the Uruguay Round.  In the
face of extremely strong domestic opposition, Japan was implementing the Agreement on Agriculture.
As Japan had agreed to minimum access against the backdrop of excess domestic production, it was
faced with a difficult domestic situation.  Agriculture was not Japan's strength and it was in that contextWT/MIN(98)/WS/M/1
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that Japan was implementing the Agreement. Thus far, Japan had not deviated from this
implementation, and hoped that Members fu lly appreciated these circumstances.
4. The representative of the United States said  that support from the public for new agreements
would exist if Members could show that existing agreements were fully respected and implemented.
Members had a responsibility to ensure that the public had a better understanding of how the WTOoperated and of the WTO Agreements.  The public had a tendency to focus on failures and perceived
failures in trade areas.  Members therefore had to do a better job of educating the public as to what could
be positive in terms of trade arrangements.  This was an issue that the US President would address in his
speech on the occasion of the commemoration of the 50t h Anniversary of the trading system.  The next
several years would be critical for all Members.  D eadlines had to be faced, for example in the TRIPs
and Customs Valuation Agreements, two among many ag reements that were part of the infrastructure of
the trading system.  If these Agreements did not work, Members would suffer.  Lack of intellectual
property right protection stifled innovation and investment, and poor  valuation and customs practices
invited corruption and diminished the value of conces sions that Members had bargained hard for in the
market access negotiations.  With regard to agriculture, he had often to answer  questions such as
whether the WTO was good for US agriculture and wh ether the rules were sufficient to give producers
and consumers the confidence to look to global markets.  He had always answered "yes" to thesequestions, but some actions taken, particularly in ag riculture, threatened to undermine the system.  For
the United States, a number of important agricultural cases had been brought to the dispute resolution
process.  Unfortunately, in two of the cases the losi ng party had yet to take steps to bring its measures
into compliance.  Many had said that the dispute se ttlement understanding was one of the jewels of the
Uruguay Round.  For the WTO to maintain its credib ility Members had to adhere to their obligations.
Countries were also adopting more creative ways to  keep their markets closed.  Action was now being
taken in the name of consumer protection and health regulations which did not have a basis in health or
science and in reality undermined consumer conf idence; that was not good for domestic producers or
international markets and was not good for the WTO.
5. The Committee on Agriculture had done serious work on implementation issues that should
help Members in preparing for the negotiations that  would be launched in the Third Session of the
Ministerial Conference and that would improve pub lic support for continued reform.  Members had
been successful in opening markets by the tariff re ductions agreed in the Uruguay Round.  Tariff rate
quotas had been established and, in most cases, tr ade was not restricted by arbitrary requirements.
Countries had changed their subsidy policies to meet the quantitative limits established in the
Agreement, and had changed measures that could not be justified by sound science.  The results had
been important. Trade had increased and Members could see a rationalization of domestic policies.  Inthe United States, the 1996 farm bill had taken signif icant steps to reduce subsidy levels, decoupling
much of the domestic support for production decisions and going well beyond present WTO
commitments.  The United States was eager to work w ith other countries to continue the reform process.
He agreed with others who said that the asse ssment on implementation would help guide Members
forward.  Further reductions in tariffs, and possible elimination of tariff rate quotas and betteradministration would be key to market access.  The United States saw more ways to tighten the
disciplines already provided from domestic subsidies to the operation of state trading enterprises and the
Agreement on Sanitary and Phytosanitary Measures.  On 20 May, Members would put into place an
important process for 1999.  Procedures had been taken care of, and there was need to turn to substance.
It was clear to the United States that the experi ence with implementation would help shape the way to
move forward.
6. The representative of Australia agreed with th e need to carry out full implementation. He was
also pleased that the first two speakers had mentioned agriculture and had not blanched in the process. It
was a good step forward that agriculture was part of  the WTO and part of its deliberations which was
how it should be.  The WTO, on the occasion of the 50th anniversary of the multilateral trading system,had a very modest budget of US$ 80 million and had been doing remarkably well within those limitedWT/MIN(98)/WS/M/1
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resources.  It was in one sense the best venue in the world for advancing the living standards of the
peoples of the world through improved fair-based  multilateral trade rules thereby creating a win-win
situation as part of that process.  But that would only be so if the momentum was maintained with regard
to WTO activities. The particular agenda item on implementation was all about ongoing activity.  In
fact, implementation and future work were both sides of the same coin.  To give an example, Australia
welcomed the fact that Japan had opened up eight per cent of its domestic rice market for competition
and imports from the United States, Australia and elsewhere in a fair way.  But that meant 92 per cent of
the market remained closed.  This situation was so mething which ought to be the subject of further
consideration under future work.
7. For Australia, completing the Marrakesh mandated negotiations on agriculture and on services
was as much part of implementation as the future work agenda.  It was a challenge which, against all
odds, the WTO had been able to meet.  It was a challenge because it was a substantial process that wastaking place at the second Ministerial in 1998.  There was gain from the pain.  What Members said on
this occasion was what Members had to carry throug h at home.  So since the Singapore meeting, the
Australian government had managed to get through th e Australian parliament the abolition of the sugar
tariff which was now at zero. The sugar farmers in Australia had been displeased, but the gain was that
now the industry was modern and increasing its export  efforts to the world.  Australia was therefore in
favour of maintaining the momentum.  The WTO was a valuable organization.  It should not be allowed
to slip back into the status quo.  There were thirty -one countries queuing up for membership because the
organization meant something, because it facilitate d trade with the world.  So the WTO had to move
forward. There were problems and slippages, there were some very entrepreneurial non-tariff measures,
and Members were not innocent in that regard.  But at the end of the day the correct direction was for
practical implementation and the future work was to  maintain the momentum of the WTO into the next
millennium.
8. The representative of Hungary said it believed that the overall picture on implementation was
satisfactory.  Referring to the dispute settlement mechanism as one of the cornerstones of the WTO
which distinguished it from many other internationa l organizations, he said that the mechanism had
functioned well and significantly strengthened the credibility and image of the organization.  Hungary
was especially pleased to see that the basic aim of th e dispute settlement mechanism,  namely to secure a
positive solution to a dispute, seemed to have been achieved.  In this regard, it was striking that the
number of dispute settlement cases where mutually acceptable solutions had been achieved by the
parties had significantly exceeded the number of the cases that had had to go through the panel and the
appellate body process.  At the same time, in certain areas, there were problems which were of
importance to Hungary.  It was regrettable that a common understanding on the most systemic issueswas still outstanding and that a critical backlog had emerged in the work of the Committee on Regional
Trade Agreements which hindered the review of the notified agreements.  Hungary was very interested
in the adequate protection of geographical indicat ions, and was expecting progress in increasing the
protection of individual geographical indications and in establishing a multilateral system of notification
and registration of geographical indica tions for wines.  Much remained to be done in the field of state
trading activities too.  In this area, the major tasks re lated to the strengthening and clarifying of present
rules.  Renewed efforts had to be made to en sure the required consistency with WTO rules and
principles.
9. The representative of New Zealand said that it w ould be fair to say that most Members had been
taking their implementation responsibilities quite seriously.  But he had to say that Members were very
good at speaking the rhetoric of trade liberaliza tion and equally good at manoeuvring in order to
minimize any liberalization that they might have to carry out.   Therefore, when addressing the issue of
implementation and future work, Members had to  firmly keep in mind that WTO meant trade
liberalization and that they had to act accordingly.   In looking at implementation, Members needed to
identify those rules established prior to the Urugua y Round which were not really sufficient in the post-
Uruguay Round environment.  They needed to look at issues which were not covered in the UruguayWT/MIN(98)/WS/M/1
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Round, but which had come to their attention during im plementation, such as the administration of tariff
quota regimes. Members needed to look at where im plementation had made it clear that certain Uruguay
Round commitments were not extensive enough. I ssues that had emerged as problems during
implementation should be identified and addressed in the future work agenda.  It was no good going
back over the Uruguay Round and trying to unpick what had been done there.
10. The representative of Egypt stressed the importance of the full implementation of the WTO
Agreements as the only key element to ensuring th e credibility and effectiveness of the multilateral
trading system.  There were several difficulties and challenges facing Egypt and developing countries in
the process of implementation, in particular on issues related to anti-dumping;  technical regulations and
standards;  sanitary and phytosanitary measures; the integration program of textiles and clothing in the
WTO; the non-application of the Marrakesh Decisi on on Measures Concerning the Possible Negative
Effects of the Reform Programme on Least-Devel oped and Net Food-Importin g Developing Countries;
and the modest implementation of the special and differential provisions in favour of developing
countries.  Egypt also reiterated the importance of the effective follow-up of the outcome of the High-
Level Meeting for least developed countries.  In this c ontext, Egypt requested that a separate part of the
WTO Annual Report be devoted to follow up the status of the process of implementation in all areas
under the WTO with a view to assessing difficultie s and proposing recommendations for remedies. He
stressed the importance of transparency in all aspects and areas of WTO work.  This was vital in order to
bring more understanding and create awareness among the public of issues relating to the organization,
especially in developing countries, and convince public opinion that the organization was not working
by ignoring their interest or even against their interest.
11. The representative of Greece said that to begin this debate, which would bring Members to a
new round of negotiations in the context of the WTO,  it was obvious the experience acquired over the
last three years had to be taken into account.  In Greece's view, particular attention had to be given to
agriculture given its considerable importance for a ll countries.  Greece was convinced that any progress
made so far in the area of agriculture must be consolidated further before new negotiations were entered
into.  The "Peace Clause", for example, provided th at every Member had to make a moderate use of
compensatory measures.  But, in practice, this  measure had been considerably resorted to in
circumstances that were not always justified.  In Greece's view, this was a direct violation of the
commitments entered into under that clause.  Th e future revision of the Agreement on Agriculture
should involve the development of stricter rules to avoid the non-justified use of this measure.  The
reform of agricultural policy involved a long pr ocess, and was very often accompanied by difficult
adjustments.  This involved, as was stated in the Preamble to the Agreement, taking into consideration
factors such as the protection of the environment, the protection of consumers, the assessment of the
possible impact on producers' revenues, the maintenance of social equilibrium, as well as respect for the
rules on sanitary and phytosanitary measures. Greece attached particular importance to the provisions of
the Article dealing with direct payments under the programmes of limited production.  In the course of
the Uruguay Round negotiations, these provisions, the objective of which was to facilitate the
adjustment process and the adaptation of the agricu ltural policy, were not conceived as transitional
measures.  On the contrary, they were a permanent el ement of the Agreement.  Any effort which tried to
weaken these provisions could not  but have a negative impact on the reform of agricultural policies.
12. Direct export subsidies were already subject to st rict disciplines.  However, contrary to the
commitments which had been entered into and after more than three years of implementation, Members
had not yet elaborated international disciplines for the granting and guaranteeing of export credits.  It
was essential that all Members respect ed this commitment. He also wish ed to draw attention to the link
between agricultural policy and the environment.  Th e liberalization of trade and the reform of the
agricultural policies very often had an impact on the link between agriculture and the environment.  This
impact was very complex and not always positive. It was for this reason that an overall approach had to
be developed to analyze the nature of this link.  Pa rticular attention had to be given to least-developed
regions, particularly in those countries where agri culture helped to avoid internal migration. PublicWT/MIN(98)/WS/M/1
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health, food safety and the protection of the cons umer had to be at the very centre of Members'
concerns. A sufficient level of sanitary and phytosa nitary protection had to be ensured without the
creation of unnecessary obstacles to trade.  A scientific base, risk assessment and the respect of
transparency were part-and-parcel of the approp riate mechanism which could ensure this balance.
Consumers had to be provided with an appropriate le vel of protection and their concerns had to be taken
into consideration.
13. The representative of Ireland said he wished to  focus on the need to continue to improve the
quality of dialogue between developed and developing  countries in the WTO.  The first condition for
dialogue was that countries genuinely tried to liste n and understand each others' perspective.  Developed
country Members needed to really hear what th eir colleagues from developing country Members were
so forcefully telling them.  They  needed to acknowledge and confront the reality that the benefits of
liberalization remained unevenly spread, understand th e tremendous strains which implementation of the
Uruguay Round had placed on the least-developed countri es in particular and help build confidence in
the developing world that WTO ne gotiations could really offer a fair deal all round, and not just
consolidate the position of the strong.  Of course, dial ogue was a two-way street.  For their part, leaders
in developing countries also needed to have their people understand that globalization was a fact of life,
that it could not be ignored or rolled back, and that the challenge was to manage it so as to maximize thebenefits and minimize the costs.  To make the WTO a scapegoat - to allow any feeling to grow that
WTO was the enemy - was utterly misplaced.  What was necessary was to engage, to assert and defend
legitimate viewpoints, to help the WTO become a pioneering organization while retaining the necessary
sense of solidarity among its membership.
14. The twin pillars on which Members needed to build were market access and capacity building.
The High-Level Meeting of October 1997 was impor tant in both respects and momentum had to be
maintained.  The market-access initiatives announced at  the High-Level Meeting had to be implemented
as soon as possible, and he strongly supported the Director-General's call for developed-country
Members to take further appropriate measures. The integrated framework for trade-related technical
assistance to least-developed countries was also  welcome. Waste and duplication between agencies
needed to be avoided, but Members also needed to go much further in building a positive and coherent
approach which would really make a difference on the ground. If the three days in Geneva could really
improve the quality of dialogue, then they would have been worthwhile.
15. The representative of Norway said that the overri ding challenge for the future was to secure the
relevance of the multilateral trading system to a ll Members.  Due account had to be taken of the
objective of sustainable development as reflected in the Preamble to the WTO Agreement. The WTO's
so-called built-in agenda gave certain directions for further development of the multilateral trading
system, in particular on agriculture and services. Like Australia, Norway viewed this as part of
implementation. Through Article 20 of the Agreement on Agriculture, Members were committed to
initiate negotiations for continuing the agricultura l reform process with the long-term objective of
substantial progressive reductions in support a nd protection.  However, while a reduction could be
substantial, it signified by no means an eliminati on of agricultural subsidies.  The coming negotiations
could only be one step towards this end.  Any re duction would also depend on the various factors and
conditions spelt out in Article 20, including the so- called non-trade concerns specified, such as food
security and the need to protect the environmen t.  As pointed out during the Uruguay Round, for
Norway non-trade concerns continued to be vital el ements in agricultural policies and extended not only
to food security, but comprised also elements such as  environment, rural policies and social aspects. The
concept of multi-functionality paid ample atten tion to non-trade concerns.  The 1996 World Food
Summit had stressed the importance of food production in low potential areas.  Such production might
depend on considerable levels of support and prot ection.  Therefore, while maintaining the trading
system and safeguarding the interests of devel oping countries, this multi-functional character of
agriculture would have to be a key feature in future  deliberations.  Norway intended to contribute to a
broad analytical process on these aspects.WT/MIN(98)/WS/M/1
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16. The Uruguay Round had concluded with a frame work agreement on services.  Since then,
Members had succeeded in reaching agreements on increased market access in important sectors.
Members were committed to continuing negotiations on all sectors, including maritime transport
services.  The aim was to make the GATS the global framework for all trade in services.  Work on
several other issues, such as environment, investme nt and competition policy, should be intensified and
concluded well in time for the preparations for the Ministerial Conference in 1999.  He agreed with the
Director-General that there was a need to inje ct political impetus into the work on trade and
environment, and supported the idea of organizing a high -level meeting on this issue.  In addition to this,
Members should consider taking on new tasks in order to improve and expand the rule of law in
international trade provided by the WTO.  With regard to electronic commerce, he believed it was
increasingly important and offered great opportunities in global trade. Norway welcomed a mandate for
the WTO to ensure the application of WTO rules of non-discrimination and transparency in theelectronic market.
17. In order to maintain the credibility of the tr ading system and to respond to legitimate concerns
voiced by the public, there was an obvious need to discuss in more detail how to best accommodate the
qualitative aspects - like health and environment - of  the multilateral trading system.  The substantive
work on these issues primarily took place in other inte rnational institutions.  But it was important that all
Members strived towards continued improvements of  the global framework in this respect.  The
organization - as well as its Members - had also to consciously endeavour to counter the marginalization
of the poorer countries in international trade.  Without the full integration of the least-developed
countries in the multilateral trading system, the WTO would never become a genuinely global
organization.  Coordinated technical  assistance from all relevant institutions was one important means.
In order to increase predictability and the possibil ities for long-term planning in the WTO, Members'
aim should be to cover such activities through the re gular budget.  In addition to technical assistance,
market access for least-developed countries had to be improved.  He noted with interest the idea put
forward by the Director-General to eliminate al l tariffs on least-developed country products, and
believed that with the developed as well as the more  advanced developing countries should go as far as
possible to accommodate this request.  The accession process was essential for achieving the genuine
global character of the organization.  Thirty-one c ountries were currently applying for membership, of
which several were major countries.  Norway supported the early accession of these countries to the
WTO on the basis of acceptance of the WTO rules and on meaningful market access terms.  Special
consideration had to be given to the need for leni ency in the terms by which developing-countries, and
in particular the least-developed countries, acceded to the WTO.
18. In the Singapore Ministerial Declaration, Memb ers had made clear their commitment to the
observance of internationally-recognized core labour st andards.  These were standards subscribed to by
most WTO Members.  Important work was going on in the ILO that would hopefully lead to the
adoption of a declaration on labour standards at the ILO conference in June.  In the context of the
follow-up of that declaration, Norway intended to ta ke the initiative to hold a seminar in Geneva, at
which it would request the involvement of the ILO, a nd the participation of the Secretariats of WTO and
UNCTAD.  The challenge was to build a consensus that open trade and globalization should promote
not only economic wealth, but also recognized core la bour standards.  The WTO also had a role to play
in this connection.  Addressing the issue in the WTO would contribute to maintaining support for the
multilateral trading system and to preventing unilatera l sanctions and protectionist measures from being
resorted to.  Norway believed that such standard s should be integrated into the WTO framework.
Norway attached high priority also to the full a nd timely implementation of the WTO Agreements.  The
credibility and smooth functioning of the multilateral trading system was just as dependent on Members'
ability to implement as their capab ility to deal with new challenges.  Because the system could not
function without full support, all Members - regardless of their level of development - were
"demandeurs" when it came to implementation.  Turn ing to transparency, he said it was one of the
WTO's basic principles.  It comprised notification of national laws and regulations, and modifications
therein.  But it also encompassed the inclusion of  civil society in deliberations on trade policy, inWT/MIN(98)/WS/M/1
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particular at the national level but also intern ationally.  Lack of compliance with notification
requirements had to be pursued, and Norway called fo r increased discipline.  However, he recognized
that, in particular for the least-developed countries, imperfect notifications were often closely related to
administrative capacity.  Efficient and relevant technical assistance could hopefully remedy this
situation.  Finally, he assured all of Norway's continued support for the multilateral trading system.  As asmall country with a heavy dependence on foreign trade, Norway had both a national and a systemic
interest in this.  Consequently, No rway looked forward to participatin g actively and constructively in the
preparations for the upcoming negotiations, as well as in the negotiations themselves.
19. The representative of Italy said that Members could be satisfied with the general level of
implementation of WTO Agreements and also, on this occasion, should reiterate the willingness of all to
fully comply with the commitments undertaken at Marrakesh and subsequently.  This was a
fundamental precondition for consolidating the role of  the WTO and for any further initiatives in the
field of liberalization.  The attention of each coun try was inevitably directed at implementation with
regard to some specific sectors and, in the case of  Italy, everyone was aware that the protection of
geographical indications was one of the priority ta rgets pursued in the course of the Uruguay Round
negotiations.  Although not entirely satisfactory, the re sults obtained with the provisions in Section 3 of
the TRIPS Agreement represented a sound platform for the adoption of further regulations ensuring awider and more accurate protection of those products  whose quality and international reputation were
directly linked to their geographical origin.  The firs t steps that were being taken at the WTO level for
the implementation of Article 23 of the TRIPS Agreement were encouraging.  In this regard, he viewed
very positively the decision to extend also to spirits the work for the creation of a multilateral system of
notification and registration of ge ographical indications, initially lim ited to wines only.  However, to
fully comply with the spirit of this provision of the TRIPS Agreement, it woul d be necessary to ensure
that this system was not a mere information system, but rather an instrument granting exclusive rights to
the owners of the registered geogra phical indications.  At a broader le vel, Italy advocated the extension
of the scope of Article 23 to products other than t hose currently envisaged, considering the wide range
of food and agricultural products that needed simila r protection.  In the case of Italy, he would not
mention the most famous products, but he knew that  several other countries rightly claimed protection
for their traditional products.  He hoped that the outcome of the current review relating to the
enforcement of Section 3 provisions  would contribute to strengthening the protection of all geographical
indications by phasing out the current exceptions applied to bona fide  practice or to the use of semi-
generic designations.  In particul ar, he did not consider these excep tions justified when the geographical
origin of a given product had achieved a world-wide reputation.  He knew that  some countries did not
attach to this issue the same atte ntion that existed at the level of the European Community, especially in
some of the regions. These countries should recogn ize that geographical indications guaranteed the
quality of the product on the basis of the long-standing  processing tradition and above all of the natural
characteristics of the place of origin;  in other wo rds, geographical indications provided the consumer
with the same guarantee associated with a trademark or a patent.  No one would buy a drug if they were
not completely confident that it met all the scient ific requirements related to the production process.
Similarly, buyers would not purchas e Chianti wine or Parma ham, if they were not sure of the unique
flavour that only their place of origin could guarant ee.  He therefore urged Members to give particular
attention to the issue of intellectual property protection.
20. The representative of Hong Kong, China said th at, given the breadth and complexity of the
Uruguay Round Agreements, it could be said that re latively few problems had been experienced to date
with respect to implementation.  However there wa s no cause for complacency, and the immense efforts
made by developing countries to honour their co mmitments should not be overlooked. Hong Kong,
China had particular concerns with respect to impl ementation in a number of areas.  These included the
virtual ineffectiveness to date of the integration programmes of the two largest import markets under the
Agreement on Textiles and Clothing.  Their short-sighted approach to the phasing out of preventiverestrictions boded ill for a smooth transition when the Agreement was terminated in 2005.  Problems had
also arisen from the misuse of transitional safeguar ds, repeated anti-dumping actions, and the denial ofWT/MIN(98)/WS/M/1
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better treatment for least-developed countries and sm all suppliers.  He fully associated his delegation
with the statement issued by the International textiles and Clothing Bureau.  He noted that much ground
work had been accomplished in the discussions on rule-making mandated by the General Agreement on
Trade in Services, including on emergency safeguar d measures, subsidies and government procurement
in services.  This work had now to be carried th rough to concrete results.  Hong Kong, China also
looked forward to the early completion of the wo rk undertaken by the Working Party on Professional
Services in the accountancy sector, so that one c ould move on to disciplines for other professional
services. He expressed disappointment that after mo re than two years of deliberations, the Committee on
Regional Trade Agreements had thus far been unable to make any recommendations to the General
Council with regard to the systemic implications of such agreements, despite their proliferation and the
evident inadequacies of an outdated framework of  multilateral rules which governed them.  In this
connection, he believed it vital to stress again the primacy of the multilateral trading system.
21. In other respects, he acknowledged that the implementation of Uruguay Round agreements was
placing, and would place, severe strains on certain least-developed countries which might not be fully
equipped to cope.  To avoid their marginalization, it was vital that the challenge be overcome.  The
answer lay, at least in part, in increased tech nical assistance, to which Hong Kong, China was
contributing.  This area would continue to be accorded  very high priority.  He added that some Members
were inevitably discovering that the results of  the Uruguay Round were not entirely as had been
predicted.  Where vital interests were at stake, it should come as no surprise if certain subjects that
Members had thought had already been dealt with, found their way back on the negotiating table.  It
would be healthy for the WTO if those Memb ers faced with such problems could think of
"implementation" in terms of the development of  a positive negotiating agenda for the future.  This
would demonstrate the reality that "implementati on" and "future activities", far from being mutually
exclusive, were inextricably linked.
22. The representative of Germany said that under the multilateral trading system open markets and
free competition had led to the efficient allocati on of labour, technological  innovation and economic
benefits for all.  World trade and investment flows had become the engine of growth and prosperity for
the world economy.  During the past 50 years, many Members had combatted poverty and had become
"emerging economies".  Others had freed themselves from central economic planning and had become
successful transition economies.  This was clear proof  of the outstanding achievements of the GATT and
the WTO, and justified Members' political will and courage to press ahead.  Members had been on the
right track for the past 50 years, and they should st ick to it as one entered the next century.  Countries
still outside the WTO should become full members as  soon as possible, recognizing the rules of the
system, and the WTO should become a truly universal  organization. He urged Members to direct their
work towards:  (i) a proper review of the implem entation of existing commitments, and (ii) a broad
understanding on the preparation of new comprehens ive negotiations in the year 2000.  He was aware
that, for a considerable number of Members, the ma in priority was the full implementation of existing
obligations, and believed it vital to fully implemen t and apply the multilateral rules as agreed in the
Uruguay Round.  However, while this was an essent ial aspect of Members' work, it should not prevent
them from looking ahead.  The built-in agenda meant that, as of the year 2000, many important
agreements in the WTO would need to be revi ewed anyway. Experience from the Uruguay Round had
indicated that negotiations could only be successful  if they were conducted on a comprehensive basis
with the political support of all Members.  The opportunities for globalization should be seized and
Members should commit themselves to an ambitious agenda once again.  Members should build on theagenda decided upon, as well as strive for additional liberalization with respect to tariffs on industrial
goods and non-tariff barriers.
23. As regards developing countries, he noted that  to ease their integration into the multilateral
system special and differential treatment had been agreed to.  His Governme nt strongly supported all
efforts in the WTO, the International Trade Cent er and UNCTAD designed to:  (i) further improve
market access for the exports of developing countries ; (ii) strengthen the export capabilities of theseWT/MIN(98)/WS/M/1
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countries through technical assistance;   and (iii) create the necessary conditions for the application of
multilateral trade rules. Developed countries had a great responsibility.  They should develop free
markets and provide free market access for the weakest countries in the global economy system.  Painful
setbacks, such as the financial crisis in some Asian economies, should not deflect Members from these
commitments.  It was important to clarify that Asia was not facing a crisis of the multilateral system;instead, the crisis had been caused by institutional fa ilures and a lack of transparent rules.  The Second
Session of the Ministerial Conference was a unique opport unity to define a clear political orientation for
future work and negotiations.  The General Council should prepare the ground for the coming
negotiations in substance, so that Ministers coul d decide to launch new negotiations at their Third
Session in 1999.  Trade Ministers were responsible for securing and strengthening the multilateral
system;  it was time for them to prepare new in itiatives for trade and investment liberalization.
24. The representative of India said that the inte ntion of the Uruguay Round negotiations had been
to use trade as an instrument fo r development, to raise standards of living, and expand production, while
keeping in view the needs of developing and l east-developed countries.  This was clear from the
Preamble to the WTO Agreement.  There was a need to study ways to ensure implementation of the
objectives of the Preamble, which should not be merely  left to "best endeavours". To address the needs
of  developing and least-develope d countries, provisions for the special and differential treatment of
such countries were built into various Agreements , but were not being implemented. This issue needed
to be concretely examined in the Committee on Trad e and Development.  Furthermore, the Agreement
on Textiles and Clothing was not being properly im plemented.  There had been absolutely minimum
integration of restricted products into the GAT T system, as a result of which textile exporting
developing countries had not obtained the expected benefits from the Agreement.  He urged developed
countries maintaining quantitative restrictions on de veloping country textiles and clothing exports to
speedily eliminate such restricti ons in order to provide commercially meaningful market access for
developing countries.  On another matter, he said th at India had agreed to the provisions of the TRIPs
Agreement as part of the single undertaking of th e Uruguay Round.  However, it would seek to review
the current status of implementation of this Agreem ent so as to restore the focus on its objectives,
particularly the developmental and technological obje ctives.  India would seek to address several issues
covered by the Agreement in the evaluation of its implementation.  In respect of areas where product
patents were not given (such as pharmaceuticals and ag rochemicals in India), the transition period of 10
years under Article 65 of the Agreement was effec tively withdrawn by the provision of exclusive
marketing rights.  His delegation was interested in  ensuring additional multilateral protection, available
for wines and spirits, to the products of developing  countries in respect of geographical indications.
India was interested in protecting its geogra phical indications and indigenous and traditional
biotechnology, which risked being used by patent holders in developed countries without the flow of
benefits from patentees to the original developers.
25. The Agreement on Agriculture had created the expectation that the application of WTO
disciplines would lead to greater liberalization.  This  had been belied.  While the majority of developed
countries were permitted to use export subsidies, de veloping countries were prohibited from doing so.
In countries where a large percentage of the rural population was dependent on agriculture, it was
inappropriate to suggest that liberalization, based on an open price-based system, would ensure equitable
food sufficiency.  To ensure a balance of interest s in the WTO disciplines on agriculture, he urged
developed countries to implement their subsidy and tariff reduction commitments, as well as minimum
market access commitments, without resorting to circ umvention, and developing countries needed to be
given more flexibility in their domestic subsidy re gimes to address their food security concerns.  As
regards the implementation of the GATS, it had been dominated by the conclusion of sectoral
negotiations carried over from the Uruguay Round.  India remained deeply disappointed by the
extremely limited commitments made by Members with  regard to the important issue of the movement
of natural persons.  The evaluation of the impact of  the provisions of the GATS in a systematic manner
had not yet begun, particularly with respect to the r ealization of the special provisions of the Agreement
relating to the export interests of developing c ountries.  In evaluating the implementation of theWT/MIN(98)/WS/M/1
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Agreement, an analysis and assessment of the benefits derived by developing countries from
negotiations conducted thus far would need to be undertaken.  Unless such an assessment was made of
the implementation of the Agreement, Members would not  be able to constructively engage in further
liberalization. In the area of anti-dumping, the repeated use of such measures and investigations on
products imported from developing countries created inst ability and uncertainty in the market, affecting
both production and employment.  This  was of serious concern, since such products were also already
under quota restrictions.  For example, investigations had been repeatedly commenced on unbleached
cotton fabric and bed linen from India, even though  earlier investigations had shown no dumping.  India
would call for building in specific clauses to pr event such abuse of anti-dumping provisions.
Protectionist non-tariff measures adopted by developed countries, in the form of standards and
regulations which had been adopted without taking into account the interests of developing countries,
such as export subsidies, barriers to the services  exports from developing  countries, and unfavourable
government procurement regimes, were against the provisions of the multilateral trading system.  India
would insist on the full implementation of existin g special provisions as mandated in the relevant
agreements, to ensure that non-tariff barriers were not allowed to restrict exports.
26. The representative of Turkey expressed his conv iction that a liberal multilateral trading system
based on the principles of free competition, non-discrimi nation and elimination of barriers to trade was
in the interest of the global community.  The trad e policies pursued by Turkey since the 1980s reflected
this conviction, and it would continue to pursue such  policies.  The unity of the developed, developing,
least-developed and transition economies was the most  valuable asset of the WTO.  Therefore, a
balanced approach that took into account the intere st of all Members should be ensured.  Furthermore,
due consideration should be given to the special n eeds and development requirements of the developing
and the least-developed economies, including the di fficulties encountered in implementing the outcomes
of the Uruguay Round Agreements and the notificati on requirements of the WTO.  He expressed his
satisfaction at the results of the initiatives taken si nce the first Ministerial Conference.  Ministers had
accepted a Plan of Action aimed at achieving bette r market access conditions for the least-developed
countries and enhancing their trading opportunities.  In accordance with the Plan of Action, Turkey had
put into effect a preferential tariff regime for th e least-developed countries as of 1 January 1998.  Turkey
had always supported countries applying to beco me WTO Members, and was confident that their
accession would greatly contribute to global welfare.  Turkey also attached great value to the trade
creating effects and complementary dimension of regi onal trade agreements in the world trading system.
He also expressed satisfaction regarding the Informa tion Technology Agreement.  As an original party
to the Agreement, Turkey considered  that this sectoral initiative was another positive step taken towards
freer trade.  Turkey also considered the successful conclusion of negotiations on financial services asanother important achievement in trade liberaliza tion. It further welcomed the successful and timely
conclusion of the negotiations on basic telecommunications, and supported the initiative to include
electronic commerce in the agenda of WTO.  He expected that the time frames for negotiations and
reviews indicated in the other WTO Agreements w ould be similarly respected.  He emphasized the
importance that Turkey attached to the full implem entation of the TRIPS Agreement. In this connection,
he underlined the need to extend the scope of ge ographical indications beyond wines and spirits to
foodstuffs, agricultural and industrial pr oducts and handicrafts, including carpets.
27. The representative of the Netherlands recalled previous discussions on the importance of the full
integration of developing countries into the multilateral trading system.  The GATT/WTO had begun 50
years earlier with less than 30 Members, most of them industrialized countries.  The WTO today had
132 Member countries, the majority of which were developing countries.  This was a very positive
development.  The multilateral trading system coul d only be truly multilateral if developing countries
fully participated in it.  A crucia l improvement in the trading system was the binding character of its
new dispute settlement mechanism.  On more than one occasion the new mechanism had enabled not
only the United States but also deve loping countries to successfully defend their rights within the WTO.
The system of "might makes right" no longer prev ailed.  This was something to be cherished and
preserved.  Therefore, the implementation of what was agreed to in the past was necessary.  She recalledWT/MIN(98)/WS/M/1
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that at the Singapore Ministerial Conference, the Netherlands had been an advocate of the Plan of
Action for the Least-Developed Countries that had b een adopted.  This group of countries was under the
constant threat of marginalization in the world trading system.  The assumption that these countries
could automatically reap the benefits of free trade as easily as the industrialized countries could not be
made, and Members should be ready to support them  with technical assistance.  The High-Level
Meeting of October 1997 was a first step, and its fo llow-up would continue to demand Members' full
attention.  An even more important issues was that of market access.  At the High-Level Meeting,
Members had committed themselves to improving market access conditions for the least-developed
countries.  She was pleased that the European Commun ity had taken the first steps to meet its promises.
Still, more could be done. All industrialized and th e more advanced developing countries should work
together towards completely duty-free market access fo r the products of  least-developed countries, and
she called on all to join in this effort as such an initiative would strengthen the multilateral trading
system.
28. The representative of Korea said that for the rule -based multilateral trading system to take root,
it was essential to ensure the faithful and effectiv e implementation of the WTO Agreements.  It was in
this context that Korea appreciated the signific ance of the Trade Policy Review Mechanism and took
note of the active use of dispute settlement procedures  by Members.  The fact that 131 disputes had been
referred to the new dispute settlement mechanism affirmed  its importance.  In the light of this increase in
disputes, the functioning of the dispute settleme nt mechanism, one of the crucial elements in
guaranteeing implementation of the WTO Agreements , had shown satisfactory results.  With this in
mind, he hoped that the review process on current pro cedures that would begin in June would involve
substantive and fruitful discussions on how to furthe r improve the effective operation of the mechanism.
He wished to point out the difficulties that many count ries were experiencing, particularly with regard to
panel procedures, due to their lack of human and ph ysical resources.  The review process should devote
attention to ways to address this problem.  One opti on would be to expand the legal services provided by
the Secretariat.  The WTO had been successful in providing a forum for multilateral trade negotiations.
Since its establishment, it had seen the satisfactory conclusion of negotiations in basictelecommunications and financial services.  Furthe rmore, the Information Technology Agreement had
also been concluded.  As regards agriculture, he in dicated that Korea attached great importance to food
security and the multifunctional nature that char acterized this sector. Regarding regional trade
agreements, he referred to their complementary ch aracter.  To achieve sustainable development and
stabilize the world trading system on the basis multila teralism, it was essential to ensure that regional
trade agreements did not encroach on the multilateral trad ing system but reinforced it.  In this context, he
expressed the hope that discussions on systemic issues related to regionalism currently under way in theCommittee on Regional Trade Agreements would bring a bout fruitful results in the near future.  With
regard to accessions to the WTO, Korea believed that  accession procedures for applicants such as China
and Russia, among others, should be expedited to guarantee the WTO's universality, and in order to
enable all states and customs territories to share the benefits of employment creation and economic
development brought about by trade liberalizati on.  Finally, Korea welcomed the recent decision
adopted by the General Council on the conditions of service applicable to the staff of the WTO
Secretariat, and hoped for significant progress in  the Working Group  that  would deal with more
concrete details.
29. The representative of Senegal said that trade was not simply about an exchange of goods and
services, but also involved an exchange of values, and offered the possibility of establishing a universal
culture.  The implementation of the Uruguay Round Ag reements should be seen as a yardstick against
which the solidarity between Members of the WTO coul d be measured.  It was essential to ensure that
the developing countries enjoyed a large enough shar e of international trade in order to meet their
economic development needs.  Such recognition had already led to the development of special and
differential treatment for developing countries a nd to their preferential access to developed country
markets.  These should be fully respected.  Sene gal's constitution stipulated that GATT/WTO rules
superseded national agreements in the event of a conflict between the two.  The Government undertookWT/MIN(98)/WS/M/1
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considerable work to change its legislation in or der to avoid such conflicts and to bring national
legislation into line with WTO provisions.  Sene gal had wrestled with the problem of notifications.
While notifications had made it easier to abide by different agreements, the magnitude of the work
required to prepare them necessitated institutional re sources which were sometimes not within the reach
of developing countries.  There were, therefore, delays, and this should encourage the WTO to reflect on
appropriate ways of addressing this problem.  Wh ile implementation of the Agreements took place in
the area of market access, serious obstacles remained to trade in products of particular interest to
developing countries, such as tariff peaks, tariff escalation, anti-dumping measures, sanitary and
phytosanitary measures, and had had a serious impact  on Senegal's exports.  These difficulties should be
given particular attention by the General Council , prior to the third session of the Ministerial
Conference.
30. Access to wealth generated by trade had been  very limited for Senegal.  This was due to
problems of production and limited institutional capacity, as well as to debt.  Debt, the servicing of
which absorbed all of Senegal's export revenues, shoul d be considered as the main obstacle to the full
participation of developing countri es in world trade.  On another front, he indicated that he was
encouraged by the progress made in 1996/97 with resp ect to the signing of agreements in the area of
information technology, basic telecommunications a nd financial services.  These agreements should, at
present, be incorporated into national legislation in  the different sectors.  He welcomed cooperation with
the UNCTAD, UNDP, IMF and the World Bank. He stressed that all commitments made should be
respected and the benefits extended to all developing c ountries.  He also argued that it would be difficult
to maintain momentum in the mu ltilateral trading system if problems of unemployment and illiteracy in
the developing countries  were not addressed.
31. The representative of Pakistan said that his country was committed to economic and trade
liberalization.  It was one of the first countries in South Asia to liberalize its trade and economic regime
as an autonomous initiative.  Today, its economic and trade regime was perhaps amongst the most
outward looking.  Pakistan thus had an abiding commitment to the strength ening of the multilateral
trading system. For developing countries, the fu ll and faithful implementation of the Uruguay Round
Agreements was of vital importance.  The expect ation had been that the implementation of these
Agreements would lead to tangible gains.  However,  the benefits of the Agreements, to the extent that
they had materialized, had been fairly disappointing.  This appeared to hold true for many WTO
Members.  Referring to the implementation of the Agreement on Textiles and Clothing as an example,
he said that integration programmes for the first two stages had not led to any meaningful liberalization
in the sector.  Additionally, the textiles exporting countries had continued to face export barriers due to
the frequent use of the exceptional transitional safeguard mechanism, anti-dumping measures, as well asother unilateral measures.  This had led to the si tuation where the textiles exports of developing
countries had risen by only 4.3 per cent over the past four years, less than the growth rates previously
registered under MFA restraints.  On the other hand, the textiles exports of countries maintaining MFA
restraints had risen by 9 per cent over the same period.  This was hardly a tenable situation.  Pakistan
associated itself fully with the report of the Intern ational Textiles and Clothing Bureau in this regard.
32. In the area of Agriculture, as another example,  major developed countries had been able to
transform their restrictive agricultural regimes into  extremely high levels of tariff protection, much
higher than those which the devel oping countries could maintain under the Agreement.  The aggregate
measure of support had also been used to appl y much lower reductions of production subsidies in
sensitive sectors.  The cumulative effect of such measures had been the erosion of market accessbenefits.  In the services area, Pakistan was con cerned that negotiations on the movement of natural
persons had resulted in only marginal improvements in the schedule of commitments.  Most of these
commitments were still subject to the "economic need s" test which inhibited the movement of natural
persons from developing countries like Pakistan.  Conti nuing market restrictions in key areas of interest
to the developing countries were further compounded by  certain measures that ran counter to the spirit
of the Uruguay Round Agreements.  He provided the following two examples.  First, anti-dumpingWT/MIN(98)/WS/M/1
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measures were being repeatedly used to advance obvious protectionist objectives.  While Pakistan
recognized the legal rights of Members to use an ti-dumping measures, there was an obvious need to
exercise restraint in applying such measures agains t items already subjected to quantitative restrictions
in the form of quotas.  He suggested that once a c ountry was cleared of the charge of dumping after due
investigation, there should be a minimum time limit of, say, two years before the expiry of which a freshcomplaint on the same dumping issue should not be entertained.  Second, there were efforts to minimize
and even roll back the provisions under different Ag reements on special and differential treatment for
developing countries.  This was unfortunate since th ese provisions were the only means for promoting a
more level playing field between trading partners of vastly unequal endowments.
33. In the draft Ministerial Declaration to be adopted by the Conference, agreement had been
reached to examine implementation issues and to rece ive recommendations in this regard.  However, to
be meaningful, this should not be a mechanical exercise, such as those conducted in the various
Committees and Councils of the WTO.  It should be  a broader economic and political evaluation which
would  (i) assess whether the anticipated benefi ts of the Uruguay Round Agreements were being
achieved;  (ii) identify the problems encountered in  the course of implementation or inherent in the
agreements;  and (iii) suggest ways and means to redress these problems and meet expectations
regarding the benefits supposed to flow from these Ag reements.  There was a need to ensure that the
implementation of the Agreements provided mutuality  of benefits for all Members.  If there was a
continued asymmetry of benefits, the multilateral trad ing system itself would be brought into question.
All had an interest in ensuring that this did not happen.
34. The representative of Bangladesh said that various market access commitments had been made
in the WTO Agreement with respect to trade in goods , which was of great importance to least-developed
countries like Bangladesh.  The WTO's estimates of the benefits of the Uruguay Round showed that the
annual gain in world income ranged between US$ 100-510 billion, while the increase in merchandise
trade would be between 9-24 per cent by the year 2005.  About a third of this gain was expected to
accrue to developing countries, wh ile African countries and least-developed countries in other regions
were to benefit only marginally, if at all. Moreover, the realization of estimated gains could be delayed,or even frustrated, if commitments were implemented in  form rather than in substance.  This underlined
the crucial importance of the sincere and timely im plementation of Uruguay Round commitments by the
developed countries, if least-developed countries lik e Bangladesh were to benefit from the Uruguay
Round.  Least-developed countries had not benefitted from globalization in the last decade.  They  had
been increasingly marginalized w ith disastrous consequences.  As the Least-Developed Countries
Report 1997 of the UNCTAD had shown, from 1980-1994, 22 least-developed countries had suffered
declines in real per capita gross domestic produc t of more than 10 per cent, with 12 of them
experiencing per capita income falls in excess of 20 per cent.  This disappointing performance of least-
developed countries had taken place against the b ackdrop of a generally prosperous world economy
which had experienced a growth rate of 4 per cent in 1996.  This trend had to be reversed if a stable
world economic order was to be preserved.
35. It was important to realize that trade would not expand automatically in the wake of tariff
reductions and the removal of tariff and non-tariff barriers. For Bangladesh to reap the benefits of
globalization, internationally competitive supply capabilities would have to be developed.  However, an
open and liberal trade regime was a necessary condition for enhancing export supply capabilities.
Substantial trade policy reforms woul d therefore have to be undertaken in Bangladesh.  This had already
begun, and was reflected in the fact that the im port-weighted nominal rate of protection for the
Bangladesh economy as a whole declined from 42.1 per cent in 1990/91 to 21 per cent in 1995/96. He
noted that Bangladesh had undertaken unilateral tariff  reductions over the past three years in excess of
its WTO liberalization commitments.  Bangladesh's exports had  exhibited robust growth in the 1990s.
However, the heavy dependence on two products, woven and knit garments, was a sign of economic
vulnerability and underlined the need for export divers ification.  Supply-side c onstraints had inhibited
export diversification and expansion in Banglade sh.  The problem was compounded by weaknesses inWT/MIN(98)/WS/M/1
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physical and social infrastructural  support facilities.  There was an urgent need for both technical
assistance and increased overseas development assi stance flows to strengthen the export supply capacity
in Bangladesh.  The WTO Action Plan adopted at the Singapore Ministerial Conference had reiterated
that technical assistance would be provided to leas t-developed countries to help them diversify their
exports.  He urged that such intentions be put into practice as soon as possible to enable least-developed
countries like Bangladesh to benefit from the Ur uguay Round.  Bangladesh was facing problems in
implementing certain WTO Agreements, particular ly the Agreements on Customs Valuation, Anti-
Dumping Practices, Subsidies and Countervailing Measur es, Technical Barriers to Trade, Sanitary and
Phytosanitary Measures, and Trade Related Aspects of Intellectual Property.  These problems were the
result of weak institutional capacity, inadequate legislation and under-developed human resources.  The
Singapore Ministerial Declaration had stressed the importance of the full and effective implementation
of WTO Agreements, including compliance with no tification requirements and changes in domestic
legislations.  To help Bangladesh effectively im plement the various Agreem ents, the international
community should provide the technical and financ ial assistance promised on various occasions,
including at the Singapore Minist erial Conference.  Developing a nd least-developed countries like
Bangladesh which benefited from preferential tariff reductions under the Generalized System of
Preferences in major developed-country markets, mi ght find this access cut back by the m.f.n. tariff
reductions of the Uruguay Round.  The loss of prefer ential tariffs could have adverse trade effects on
these countries.  He urged developed countries to in crease preference margins to offset the effect of
m.f.n. reductions.  Rules of origin might also be a pplied leniently to the exports of least-developed
countries to increase their access to developed country markets.
36. New issues might hinder the integration of deve loping and least-developed countries into the
global trading system and thereby have a debilitating effect on their growth.  Of particular significance
in this regard was the linking of trade to the envi ronment and labour standards.  The threat of imposition
in the near future of "social dumping" and "eco-d umping" duties by developed countries on the exports
of developing and least-develope d countries was a source of concer n.  Bangladesh had already faced
problems in complying with quality control regulations and HACCP Standards in the case of the exportof frozen foods to several developed countries.  Majo r importing countries had also threatened to impose
sanctions on Bangladesh's exports of garments and leather products on the grounds of use of azodyes in
the production process.  It was important to realiz e that lower labour and environmental standards were
not maintained deliberately by least-developed countri es like Bangladesh to gain unfair trade advantage.
They were simply the result of lower levels of development.  Moreover, eco-friendly and "clean"
technology was costly, which discouraged their use in  least-developed countries. These and other related
issues must be thoroughly examined, as agreed to  at the Singapore Ministerial Conference, before
developed countries took trade- restrictive action on these grounds.
37. The representative of Iceland said that the fu ll and faithful implementation of WTO Agreements
was of fundamental interest to all Members, develope d and developing alike.  It was a priority issue,
central to the credibility of the organization and to  the economic prosperity of Members.  Iceland's
overall assessment of implementation was positive.  It commended the work of WTO bodies inmonitoring compliance, and was particularly pleased  with the functioning of the Dispute Settlement
Understanding.  His Government recognized that real implementation problems persisted, particularly
with respect to developing countries.  These difficu lties could be dealt with effectively within the
existing WTO framework.  Iceland stood ready to work constructively with affected countries to
mitigate any genuine concerns, but cautioned against any back-tracking, or renegotiation of existing
commitments. All efforts should be made to counter the marginalization of the least-developed countries
and integrate them fully into the multilateral system.  In this respect, he welcomed the report by the
Director-General on the follow-up to the High-Level  Meeting.  With respect to agriculture, Iceland
remained fully committed to the faithful implementa tion of the Agreement on Agriculture and the future
negotiations it mandated.  But due regard should be given to non-trade concerns, such as food securityand regional policies, within a general framework of  further trade liberalization. The work of the WTO
should inspire public confidence and support.  For this to be realized, Members had to intensify effortsWT/MIN(98)/WS/M/1
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to identify optimum transparency.  The conclusion in 1997 of agreements on financial services, basic
telecommunications and information technology re presented a solid foundation for the technology-
driven trading system of the 21st century.  The WTO should prepare to build on these successes.
38. The representative of Colombia said that the text  of the draft Ministerial Declaration reflected
the role which had been carried out and was yet to  be carried out by the multilateral trading system.
However, there were areas of particular interest to Colombia on which it would have wished to see
greater emphasis in the Declaration.  Free trade coul d not be conceived of as an end in its itself but
rather as a means to generate wealth and to improve th e condition of life of people.  In this context, and
amongst the tasks of the WTO, it could be kept in mind that trade had the function of helping to narrow
the gap between developed and deve loping countries.  From this perspective, it was important that
Members adopted positive measures which would ensure significant access to their markets for products
of interest to developing countri es.  Furthermore, they should avoi d using new forms of protectionism,
such as safeguards and anti-dumping measures.  Finally, trade remedies should be used in a manner
consistent with world trade rules and, in particular, with the provisions which referred to special and
differential treatment for exports of developing c ountries.  There was a development dimension of the
multilateral trading system which should guide discu ssions throughout the Ministerial Conference.  In
assessing the ways in which Members had implemented the Agreements, abided by the commitmentsmade, and reached the goals set, it was necessary to recognize the efforts made by the developing
countries to implement the commitments undertak en during the Uruguay Round and the difficulties
encountered in this process.
39. The implementation of the Agricultural Agreement could be described as satisfactory.
Members had participated actively in ensuring comp liance with the Agreement.  That task would need
to continue, even during the negotiations which had been mandated to revise the present system.
Furthermore, the analysis and exchange of info rmation exercise had contributed positively to the
identification and understanding of the different issues which would be negotiated.  Within the
framework of the discussion on implementation, Colomb ia wished to flag its concern about the scant
compliance with the Agreement on Textiles and Clothi ng.  The progressive liberalization and integration
into the GATT system of the products subject to rest rictions had been rather limited, as had been noted
in the course of the recent examination of the implem entation of the Agreement.  It was for that reason
that Colombia urged importing countries to adopt positive measures which would provide significant
access in their markets to textiles products.  In  implementing the obligations created by certain
agreements, it had emerged that the transition peri ods established for developing countries were not
sufficient.  It was, therefore, n ecessary to adapt the transition periods to the situation in developing
countries.  The dispute settlement mechanism was one of the pillars of the system.  Nonetheless, great
care needed to be taken to ensure that all developed and developing countries had affective access to the
mechanism.  Finally, Colombia wished to highlight  one basic element:  the contribution of regional
integration agreements to the multilateral trading syst em.  Colombia was convinced of the benefits to be
obtained by promoting an integration policy within the framework of open regionalism, compatible with
the disciplines of the WTO.  For that reason, Colombia  actively participated in the modernization of the
institutions of the Andean Community.
40. The representative of Canada said he wished to make four brief points regarding
implementation.  First, there was a need to underlin e that  both global and domestic economic prosperity
relied very heavily on a healthy environment for bot h trade and investment liberalization.  Global trade
in goods alone now totalled more than a staggering US$ 5.2 trillion a year.  In fact, Canada's reliance on
trade and exports was over 40 per cent of its GDP.  If the positive forces of trade and investment were to
be spread around the globe, it was necessary to keep to the commitments that had been made in the
Uruguay Round in order to maintain the continuing  healthy environment and to provide the momentum
for any future agenda.  So, the first message was th at Canada would wish countries to keep to the
commitments that were agreed to in the Urugua y Round.  Second, the need for keeping the promise or
honouring the commitments also applied to the so ca lled built-in agenda in respect of services andWT/MIN(98)/WS/M/1
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agriculture.  Again, it was necessary to maintain th e commitments undertaken in these areas, especially
to ensure the credibility of discussions on the futu re agenda.  If there were no adherence to previous
commitments, then both international and domestic  constituencies would ask how the WTO could go
ahead into a future agenda when there remained unf inished business.  Third, like some of the Members
who had spoken previously, Canada recognized that  for certain developing countries, understanding a
range of new and often complex obligations imposed a heavy burden.  There was a need to be both
realistic and sensitive if it were desired that th e entire WTO family move  forward as a unit without
leaving anyone behind.  It was with such sensitivity and realism that Canada had recommended a high-
level meeting precisely for this purpose at the Sing apore Conference.  This meeting had been held in
1997, and was a success.  Canada would wish other count ries also to continue displaying realism and
sensitivity in this area.  Canada would continue to  find ways to improve its already liberal access under
the least-developed country tariff, with a view to expanding duty-fr ee product coverage and liberalizing
rules of origin to provide better market access for least-developed countries.  Not only was the
credibility of the organization on the line but also th e unity of the WTO family.  If trade and investment
were to be liberalized, then it must be for one a nd all.  Finally, regarding implementation, there was a
need to find ways to translate the technical, arcan e language of the WTO Agreements into a broader
support base among not only domestic firms but also dom estic civil society.  It was necessary to explain
more clearly the benefits of the unfinished business in  order to create the confidence that was needed for
further work.  Canada wished to congratulate the Di rector-General on his foresight in including the work
of leaders in the programme.  Since leaders were s een to be engaged, legitimately, in regional fora such
as NAFTA, FTAA, and APEC, if the WTO was truly a world trade organization, then it did need the
momentum and direction and the sage  advice offered by world leaders.
41. He wished to close with a few points on future act ivities.  It was necessary to recognize that it
was at the next Ministerial meeting that there woul d be a political agenda.  There was a need for all
concerned to keep an open mind and to reflect, and not to become ideologues for any one position but to
remain sensitive to the wishes of the world comm unity regarding the directions work should take.
Second, it should be recognized that this discussi on was not just for trade experts, ambassadors and
ministers, but something with which all civil societ ies must grapple.  Therefore, it was important to
determine how better to engage that civil societ y;  how meetings of WTO could be opened up and
documents derestricted; how it could be ensured that Panel reports were subject to speedier action rather
than taking the form of brown envelopes that were  leaked, thereby distorting and complicating matters;
and, broadly, how the people in Memb er countries could be engaged so that the WTO could be seen as a
forum for collective rather than exclusive action.  Fi nally, there was need for some imagination in the
spectrum of choices, rather than pitting one extreme called "anything that we haven't finished in the
Tokyo and Uruguay Rounds, lets finish and call it a  Millennium round", which implied certain things
both positive and negative, and the other extreme that sa id "lets go one sector at a time, lets cherry-pick
and lets go slow", which revealed a lack of c onfidence.  There probably was a broader agenda for
continued liberalization.  It was not a question of th e road getting there, it was a question of how to get
there.  How much traffic would the road bear, and how quickly should the traffic move, were among the
fundamental questions.  Perhaps it was appropriate to think of the concept of a cluster of issues between
the two extremes that were pitted against each other.   The adoption of an over-arching, reflective, open-
mindedness would help prepare the consensus that  was required.  Such a consensus would not be
indifferent to the anxieties that were being felt the world over, but would address those legitimate
anxieties, and help communities both domestically and internationally to overcome them and embraceglobalization by shaping it rather than being trampled by it.
42. The representative of  Argentina said that  the WTO Agreements and Decisions should be
implemented on the basis of their current texts.  If  there were a desire to introduce reservations or
changes in different Agreements and Decisions, in th e light of accumulated experience, then that could
be done only through new negotiations in the contex t of a global process.  In the Uruguay Round, all
Members had wanted to achieve better agreements  and concessions but c ould only obtain what was
possible.  Consequently, there could be no correcti on or change without negotiations, and even less soWT/MIN(98)/WS/M/1
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rectifications which covered special priorities for certain traded sectors which benefitted only a group of
Members.  The mandates for future negotiations, as in the case of agriculture and services, had to be
accomplished as stipulated in these Agreements.  There were specific cases, such as the non-
implementation of the mandate for negotiating disciplines  on agricultural export credits, which were in a
special category for implementation or rather l ack of implementation, and where it was necessary to
consider the form of immediate remedies or solu tions required.  The non-approval of disciplines on
agricultural export credits was causing distortions in international prices of agriculture products and a
shift in the position of the traditional providers.  Additionally, the tendency to use accumulated export
subsidies was putting pressure on international pric es.  Finally, Argentina was concerned about the
limited progress made in applying the disciplines  agreed in the Uruguay Round on state trading.
43. The dispute on the legitimacy of non-tariff measures whether technical or sanitary was a major
source of conflict.  It had already been addressed in the dispute settlement process by the panel on
hormones, and might arise in future with regard to issues concerning genetically modified seed,
afrotoxins and citric products.  Certain instructions  had been approved in Singapore concerning trade
facilitation, investment, competition, and transparency  of government procurement.  Argentina was not
ready to discuss opening up of the subsidies agreement, or anti-dumping and safeguards at this stage
since there was concern about the effects of rui nous competition from imports not based on fair-market
practices.  On the other hand, Argentina was open to  making progress in the area of practices of
monopolistic organizations which distorted competiti on.  It was also ready to create disciplines on
transparency in procurement and to support, as far it could, the process of creating norms for trade and
investment wherever they were considered.  Finally , with respect to regional agreements, the setting up
of the Committee on Regional Trade Agreements was a constructive step forward to cover this area inthe WTO.  However, Argentina was concerned about  the disparity of requirements when reviewing
different agreements.  Excessive conservatism in an institution of this type caused some concern, and it
might be that some Members went too far in their demands for transparency and consistency in applying
WTO rules.  That was unacceptable because it was based on their own vision rather than on existing and
applicable rules.
44. The representative of Morocco reaffirmed hi s country's support for the multilateral trading
system and for the implementation of the WTO agr eements.  His delegation w ould distribute a paper
describing the progress made in that country.  It  was a fact that for some time now, voices were
increasingly being raised questioning the advantages  of the multilateral trading system.  The success of
the system required contributions by all and, as certa in delegates had already stated, that required the
launching of a communications campaign - to explain the benefits of the system -  if the system were to
be a success.  The increasingly negative feeling was st rengthened by the fact that certain countries, even
developed countries, were increasingl y placing obstacles and barriers of all kinds in the way of exports
from countries like Morocco.  Such obstacles needed to  be eliminated if it were wished to make a
success of the system.
45. Rules of origin constituted a key stone of the success of the system.  The pace at which work
was progressing in setting up rules of origin, and th e way in which work in the area was proceeding and
being organized, did not make it possible for countries  like Morocco to follow developments effectively
and to make an efficient contribution to success in the area.  That was why Morocco had asked for
technical assistance, and possibly review and revisi on of the time schedule, so that each Member could
present its views.  Another point concerned the cu stoms valuation and anti-dumping rules.  Those
constituted measures that were necessary for the system  to be a success.  Apart from the difficulties and
the imbalance of forces in the area of anti-dumping , it was known that developi ng countries did not have
the technical ability to be able to put forward t hose measures.  Hence, Morocco appealed for increased
technical assistance in this area.
46. The representative of Tunisia reiterated the support of his country for the multilateral trading
system.  All nations, irrespective of their level of  development, had come to Geneva with theirWT/MIN(98)/WS/M/1
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respective ideas to enable the WTO to approach the third millennium as an open, prosperous and strong
forum.  At this time of celebration, Members should not be complacent or hide from future challenges.
The success of the system did not preclude criticism.   The dividends of multilateral trade development
were not fairly divided.  The developing countries , who were in a very difficult economic context and
had structural difficulties, aspired to treatment in line with their strategic priorities and their economic
needs.  It was essential to develop a trading system that was fairer and better balanced.  The contribution
of the WTO should be in line with these expectat ions, with a global integrated approach to the
challenges, designed to reduce the gaps and disparitie s and avoid potentially conflictual situations.  Such
an approach could ensure a balance between deve lopment goals and the constraints of globalization.
The contractual nature of the WTO implied a balance of interests, coherence of commitments and
harmonization of objectives, whatever the issues at stake.  In the strategies for consolidating the
multilateral trading system, the development dimension had to be at the very centre - a key stone not astumbling block.  Hence, the problems of impl ementation of the WTO agreements required more
attention and a vision that was closer to reality.  Th at was the very focus of concerns of the developing
countries.  The clause for preferential treatment gran ted to developing countries was not enough;  it had
to be redefined, and constituted one of the main elements in evaluating implementation.
47. It was also imperative to implement fully the Ag reements and Decisions in  favour of developing
countries and, in particular, the decision on net food-importing countries.  The enshrining of the
principles of objectivity and fairness would give the WTO even greater credibility and standing in
international public opinion.  There was a need to  communicate with the public at large.  Emphasis
should be placed on the difficulties of implementati on created by structural constraints.  Political
commitments could not in any way be challenged, but  the difficulties of economic integration were a
challenge which was not always easy to take up and m eant great pain and sacrifice at times.  Tunisia
expressed its full confidence in the multilateral trad ing system.  However, the process of implementing
WTO agreements was a long-term enterprise.  This enterprise had to be taken up with determination,
without jeopardizing social balance or political st ability, which were among the important achievements
of new Tunisia, under President Ben Ali.  Implemen tation was a difficult operation, but the process had
to be completed in spite of the difficulties encountered.
48. The representative of the United Kingdom said that the Ministerial Conference was significant
for further strengthening the ru les-based multilateral system and its dispute settlement mechanism,
which was indivisible from the c ontinuing importance of trade liberalization and economic growth,
improving living standards, and new job creation across the world.  Strong markets relied on open
markets and free trade.  With the dangers of protec tionism ever present, it was essential to undertake to
maintain open markets.  The Uruguay Round agreements were a great achievement.  But if all thebenefits were to be harvested, there was a need collectively and as individual nations to push ahead with
implementing all aspects of the Uruguay Round commitm ents.  Implementation was the top priority for
business. It would be a crucial factor in securing  their confidence and that of consumers in the
multilateral system.  A timetable for implementation had been agreed upon and commitments made to
deadlines.  It was imperative to stick to them.  It was in the interest of all, developed and developing
countries alike, to complete the process on time.  The United Kingdom, therefore, urged all countries to
put this high on their trade agenda.  The conti nued strength of the rules-based multilateral system
depended on it.
49. At the same time, it should be recognized that some aspects of implementation raised concerns,
particularly for developing countries.  Within the WTO, those concerns should be addressed and
positive steps taken to resolve them.  The European Community was resolved to making a constructive
contribution by helping with techni cal co-operation.  Particular attention should be given to the needs of
the least-developed countries.  The High-Level Meeting in October 1997 had been a good start, but
progress depended on the follow-up.  The Ministerial meeting was a timely opportunity to give renewed
impetus to that work.  Effective co-ordination between the institutions concerned with delivering
technical assistance programmes needed to be ensured.  At the Ministerial Conference, there should be aWT/MIN(98)/WS/M/1
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renewed determination to meet deadlines on implemen tation, a strengthened resolve to help developing
countries conform to their commitments and to enha nce their integration into the multilateral system by
further reducing trade barriers against their exports.  This was a historic meeting, but its real importance
lay not in its role in history but in the contributi on it could make to continuing liberalization in world
trade.
50. The representative of Switzerland said that the implementation of WTO agreements remained a
priority.   The very credibility of the multilateral tr ading system depended on it, and achievements in the
area were encouraging.  The evidence of this was th e will of governments to fulfil the obligations they
had contracted.  The strong growth of world tr ade that had taken place over the past few years,
demonstrated that the respect of commitments produced  tangible results.  The situation of the least-
developed countries remained a concern.  It was ther efore urgent to take decisions to further their
participation in world trade and for it to take concre te form.  For its part, Switzerland had carried out a
complete revision of its scheme of tariff preference s.  Henceforth, least-deve loped countries would pay
no duties for all industrial products and for most ag ricultural products.  Furthe rmore, Switzerland would
make a contribution of SwF 1.5 million towards the fina ncing of technical co-operation activities in the
WTO, in particular to develop and enhance assistan ce in favour of least-deve loped countries.  Finally,
there was a need to respond to the growing interest in the WTO by intensifying dialogue with the public
and by improving transparency of the activities of th e Organization.  The revision of the procedures for
circulating WTO documents which would be addresse d shortly was likely to achieve progress in that
direction.
51. The representative of Mauritius said that it was th e responsibility of Members to ensure that the
WTO developed into a more viable and durable multilateral trading system that would inspire
confidence in one and all.  To that end, there shoul d be an endeavour to preserve the basic principles
enshrined in the Agreement establishing the WTO.  One of them related to the decision-making process.
The commitment to make the WTO a fair, equitable and more rule-based system should be maintained.
Attempting to fulfil the wide range of WTO obligati ons entailed the difficult exercise of introducing
appropriate legislation.  Mauritius had taken a series  of decisions to comply with its commitments, but
there were constraints arising from a lack of techni cal capacity and financial resources.  Although it had
had recourse to the service of international consultants, it was still behind schedule in a number of areas.
Therefore, there was a need not only for technical a ssistance, but also for a longer transition period for
incorporating WTO provisions into domestic le gislation.  The notification obligations put undue
pressure on the already strained administrative and t echnical resources particularly of small developing
economies like Mauritius.  The more it strove to comp ly with its notification obligations, the more it
appeared to be an unending exercise.  The inequity of  this requirement was that issues and procedures of
notification were the same for all Members whet her developed or developing.  The notification
procedures needed to be reviewed and streamlined in order to take into account the practical problems
encountered by deve loping countries.
52. Since the conclusion of the Uruguay Round, the price of basic foodstuffs had risen
considerably, thereby increasing the food-import b ill of the least-developed and net food-importing
countries.  This had strained Mauritius's much-needed  resources and diverted funds initially meant for
the creation of development projects.  Contrary to the Marrakesh Ministerial Decision and the Singapore
Ministerial Declaration, necessary corrective meas ures had not been taken by the international
community.  There was an urgent need, therefore, to address this problem immediately.  The target date
of 2000 was approaching when devel oping countries were expected to shift to the GATT valuation
system.  Mauritius was concerned that it could run the risk of not being ready to implement the
Agreement on Customs Valuation by that time.  Artic le 20.3 of this Agreement made provision for the
possibility of developed countries furnishing tec hnical assistance to developing countries upon request.
Mauritius had been trying for more than two year s to seek technical assistance to implement the
agreement, but this had not been forthcoming.  Ma uritius, therefore, proposed that the transition period
granted to developing countries for the applicati on of the Agreement be further extended.  Moreover,WT/MIN(98)/WS/M/1
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although considerable progress had been made in the work programme for the harmonization of non-
preferential rules of origin, Mauritius could still be behind schedule by the target date of 20 July 1998.
Several developing countries had not fully participat ed in the technical discussions on rules of origin
because of resource and capacity constraints.
53. Mauritius attached considerable importance to trade in services.  Constrained by its small size,
scarcity of natural resources and geographical isol ation, Mauritius relied on a service-oriented economy.
During the past negotiations in the context of GAT S, Mauritius had made a significant contribution to
liberalization commitments in tourism, telecomm unications and financial services.  In order to
encourage the developing countries to participate e ffectively in international trade in services, it was
important that the principle of special and different ial treatment be fully incorporated in the framework
of GATS.  Mauritius was taking positive steps to co mply with the provisions of the TRIPS Agreement.
It had already brought its copyright legislation into conformity with the provisions of the WTO.  It wascurrently in the process of amending the patent a nd trademark legislation.  However, it was necessary to
ensure that countries like Mauritius had adequate resources to comply with the complex and far-
reaching provisions of the TRIPS Agreement.  Otherwise, incomplete or non-compliance could debar
them from access to technology or new plant varieties.  Worse, it could even lead to a situation where
their traditional practices were endangered, some generic names and geographical indications foregone,
and proprietary rights and patents lost.  Their se rious shortcomings in resources could result in
opportunities lost and retarded development.  Urgent  attention and concrete measures to redress the
shortcomings were therefore warranted.
54. The representative of the European Commun ities said that the starting point on the
implementation of the Uruguay Round Agreements a nd Ministerial Decisions should be the clear and
unqualified commitment of all Members to implemen t fully and in a timely manner. Anything falling
short of this would undermine the credibility of the multilateral trading system.  The WTO had rightly
devoted time and effort to its essential task of m onitoring the implementation of various Uruguay Round
Agreements.  In overall terms, the WTO had carried out  this monitoring role in an effective manner and
the process of implementation of the Uruguay Round commitments was on the right track.  The
Community believed that such work should be intensif ied in the context of the preparations for the 1999
Ministerial Conference.  The Community was proud of its record with respect to the liberalization of
imports from least-developed countries and in pa rticular regarding the implementation of the
recommendations of the High-Level Meeting on Leas t-Developed Countries. At  present, 99 percent of
the Community's imports from least-developed countri es entered duty-free.  In certain areas, however,
the record was not as positive. In particular, in ar eas as complex and controversial as agriculture, the
Community was disappointed that the commitments to  negotiate stricter disciplines on export credits
had not thus far been possible.  Furthermore, the full potential of the mandate of the Committee on
Trade and Environment had not been realized and, as  indicated by the Direct or-General, means had to
be found to intensify its work.  The dispute settlement mechanism provided an effective means of
redress when a Member was not in compliance with its WTO obligations.  It was encouraging that all
Members had thus far complied with their obliga tions under the Dispute Settlement Understanding.
55. The Community considered, however, that it wa s necessary to examine the difficulties that
might arise in the process of implementation.  Some Members had expressed concerns regarding their
difficulties in adapting national legal and administ rative texts to the Uruguay Round commitments.  In
the Uruguay Round negotiations, specific time frames had been agreed to give Members latitude to
develop appropriate legislations.  For those Me mbers who had identified their needs, technical
assistance had been provided to enable them to carry out their obligations, either at multilateral or
bilateral levels.  The Community believed that Me mbers should reaffirm their commitment to answer
promptly any further requests for such technical assi stance.  Helping Members to fully implement their
commitments within the agreed time-frames should con tinue to be an overriding aim.  The Community
was ready to play its part in this task, and had alr eady taken important steps, in particular through the
provision of very substantial technical assistance in  areas such as intellectual property, customs andWT/MIN(98)/WS/M/1
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technical barriers to trade.  Customs valuation app eared to be another area in which urgent action was
required. The Community, in consultation with the Secretariat, would examine and identify the
assistance programmes of relevance to the needs of  developing countries. The Community was prepared
to intensify its efforts and urged all its partners to do so.  He reiterated that, overall, the Community was
encouraged by the state of implementation.  Most problems were not due to unwillingness to implement
properly the WTO Agreements but due to difficult ies in developing the required legislative and
administrative basis.  Such difficulties could be jointly overcome within the time-frames set by the
different Uruguay Round commitments.  The Community  therefore looked forward to future discussions
on implementation to ensure that it would be carri ed out fully and in a timely manner. It was also
necessary to improve the understanding of the public with regard to the need  for full implementation.
This could only be achieved by further improvements in transparency and openness of the WTO.
56. The representative of Kenya said that the proper implementation of the WTO Agreements
would lead to a free and transparent global trading sy stem, which in turn would contribute to growth and
development.  However, due to technological and human resource constraints, his country had not been
in a position to fully implement and take advantag e of the provisions of the WTO Agreements. Many
developing countries were confronted with the challe nge of overcoming their constraints with regard to
their ability to manufacture products which could comp ete in international markets.  In those areas in
which developing countries had managed to produce competitive products, some major importers, in
particular from developed countries, had imposed non-tariff barriers.  The unnecessary and unwarranted
use of sanitary and phytosanitary measures and other technical barriers to trade had resulted in market
access problems.  Kenya called on all Members to implement the WTO Agreements in both letter and
spirit without creating barriers to trade.  It also  called on the major importers to remove existing quotas
on textile products and to consider faster integra tion of products of export interest to developing
countries.  Technical assistance from its developed trading partners would enable Kenya to build its
capacity of all aspects of trade and development.  In  the area of trade in services, his country welcomed
the conclusion of the Agreement on Basic Telecommuni cations and Financial Services.  In the area of
professional services, however, Keny a was concerned about marginalization of its professionals at both
global and national levels.  For example, consultancy services contracted by multilateral agencies  were
exclusively being offered to professionals from mo re developed countries.  His country called on its
regional neighbours and developed countries to apprecia te and use professionals in the services sector
available in Kenya.  Furthermore, he asked the Secr etariat to undertake an in-depth study of the currency
problems which had caused turmoil in Asia as well as the debt problems affecting developing countries.
57. The representative of Ghana reiterated his country's commitment to the rules and principles of
the open and multilateral trading system. The struct ural handicaps affecting Ghana and other African
countries were well-known.  At present, in a global economy still characterized by enormous
inequalities and asymmetries, the African region was the weakest group of countries.  The complex
obligations that the Uruguay Round had placed on African countries had resulted in additional stress on
the already limited resources of the region.  Despite the best endeavours, the fundamental problems and
negative features of African trade continued to exis t.  In spite of far-reaching trade and macroeconomic
reforms, many African countries continued to st ruggle with falling productiv ity in strategic economic
sectors, in particular in the area of agriculture and industry, weak export performance, negative balance-
of-payments and increasing foreign indebtedness.  It wa s not surprising that Africa's share in world trade
had steadily declined from 4.7 percent in 1980 to its cu rrent level of about 2 percent.  The gap between
African countries and developed countries in terms of production, technology and infrastructure
continued to widen.  With these apparent economic  weaknesses, Ghana's primary preoccupation was to
seek a change that would bring genuine competitiveness and equity in trade which would facilitate its
full integration into the multilateral trading system . While it was important to ensure compliance with
WTO obligations, it was also important to ensure th at all Members, in particular the poor and fragile
ones, could take advantage of the openings and trade opportunities which would positively transform
their economies.WT/MIN(98)/WS/M/1
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58. Members should be concerned that the trade pe rformance of African countries continued to
deteriorate. He noted that at the present meeting so me developed countries had referred to this matter.
An economically viable Africa performing its role in  the multilateral trading system would be beneficial
to all and would serve to boost global trade.  Ghana' s belief in the relevance of the multilateral trading
system in creating and maintaining opportunities for sustainable development had been demonstrated by
its active participation in WTO activities, in particular the post-Uruguay Round negotiations, despite its
limited capabilities and resources.  Ghana had participated in the negotiations on Basic
Telecommunications and Financial Services and in both areas had made substantial offers.  Ghana's
capacity to participate in future negotiations would be  enhanced if the weaknesses in its trade structure
were addressed.
59. In this context, his delegation recognized the potential benefits that the Integrated Technical
Assistance Programme carried out jointly by the WTO, UNCTAD and ITC had provided for Africa.This programme should at all stages of implemen tation involve consultations with the beneficiary
countries to ensure that practical  benefits would be achieved in the targeted countries.  The following
areas were of particular importance and should be a ddressed in the programme:  (i) Improvement of the
private sector capacity.  The international trad ing environment had undergone tremendous changes, in
particular as a result of the Uruguay Round. Numer ous changes had been made in the ways of doing
business. Since the new market opportunities resultin g from the Uruguay Round had to be seized by the
private sector, with little or no reliance on government, development of the private sector in Africa was
imperative. There was a need for the private sector  to be informed of the opportunities and changes
resulting from the Uruguay Round and the private s ector should therefore be an important aspect
covered by the programme;  (ii) Human resources trai ning in trade policy. There was a  need to upgrade
the knowledge of trade officials in Africa in order to  enhance their effectiveness and to enable them to
meet expectations with regard to their larger role in the global economy;  (iii) Access to market
information.  As a result of increased competition in  the trading environment, availability of trade
information and easy access to such information were  important. The lack of information about export
markets had been a major constraint in the export efforts of African countries.  Technical assistance
should focus on both the development of an efficien t information base and how to access and use such
information;  (iv) Improvement in diversification of the export base.  A basic problem of most African
countries, including Ghana, was that of a limited expor t base.  There was an urgent need to redress this
unfavourable situation.  It was important to devel op  specific programmes to address the supply-side
needs of Africa to diversify the production base both ho rizontally and vertically in order to ensure a
better response to market access opportunities.  Numerous market access opportunities would be
meaningless for Africa without such improvements .  It was also important to develop research
programmes for possible expansion of end-use pr oducts of export interest for African countries.
Although globalization and liberalization imposed additional strains on countries such as Ghana, his
country viewed these difficulties as challenges which could be overcome provided a cooperative
approach to their resolution was adopted.  Ghana cal led on developed countries to ensure a truly open
market regime.
60. The representative of Cyprus said that his country fully supported trade liberalization and had
given serious consideration to the need for timely implementation of WTO obligations. Thus far it had
met all its obligations.  Cyprus had demonstrated its commitment to an open economic system by
unilaterally implementing a policy of import liberaliz ation, eliminating non-tariff barriers and reducing
tariff duties beyond its commitments and obligations . In the rapidly growing area of services, Cyprus
had made new offers on financial and basic tel ecommunications services.  His country intended to
achieve greater liberalization by eventually making its inward and outward investment in those areas
more open, stable and liberal.  With regard to intellectual property, a new Trademarks and Patent
legislation had been enacted bringing it in to conformity with the TRIPS Agreement.
61. His country's accession negotiations with the European Communities had already begun.
Future membership in the European Communities woul d lead to its greater integration into the globalWT/MIN(98)/WS/M/1
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economy. Cyprus considered that this regional agr eement was complementary to the multilateral trading
system and consistent with WTO rules.   His country had a long trade history, with its unique
geographical location and its vast experience in the ar ea of trade, and the prospective membership in the
European Communities would strengthen its position as a trading centre.  Cyprus had excellent relations
with all its neighbours and could serve as an interna tional, commercial, financial and services centre in
the region.  He said that it should be ensured that benefits and opportunities of global integration accrued
to developing and least-develope d countries and economies in transi tion.  These countries should not be
marginalized but should be helped to integrate into  the world trade order.  Problems faced by small
countries, like Cyprus, should not be overlooked.  Substantial adjustment  costs were associated with the
liberalization of small countries' economies.  Tec hnical assistance would therefore be required to
increase their understanding of the obligations and rights under the new trading system.  The present
meeting was a unique opportunity to further promote th e goal of global trade liberalization and to send a
strong message in support of this goal.  However, it was important not to set demands at levels that
would make agreement impossible. All issues should be  discussed in a conciliatory spirit and decided by
consensus.
62. The representative of Belgium recalled that at Singapore, Ministers had made commitments
with regard to the following points:  (i) to further strengthen the WTO as a  forum for negotiations;  (ii)
to continue  liberalization of trade within a rule-bas ed system; and  (iii) to address the challenges of an
evolving world economy.  In a world of  accelerat ed globalization,  a new and dynamic approach was
required which would take into account the need for the opening of markets necessary for growth and
stability, as well as the expectations of all countries and their peoples.   In this context, the WTO had an
important role and responsibility.  It should adopt a hor izontal approach in order to take into account all
the issues affecting trade directly and indirectly, wh ich had become more interdependent. In this context,
the effective implementation of the Uruguay Round commitments was of primary importance, and the
application of all agreements by Members was essential for the success of the WTO.   His country
recognized that some Members had encountered diff iculties in this process and was ready to provide
technical assistance as it had done in the past.  Th e ongoing work of the WT O bodies did not preclude
the search for broad and common political grounds a nd for the understanding of civil society. With
regard to the latter, progress still had to be made.  This was the responsibility both of governments and
the WTO, which should  be able to explain the costs and benefits of trade liberalization.  The work on
transparency was particularly important in view of  the approaching deadlines set out in the Marrakech
Agreement, in particular in the areas of services a nd agriculture.  This support of civil society could also
be achieved through a more balanced approach of trade liberalization which would ensure the broadest
scope of issues and regions. Belgium believed that trade could not contribute to the well-being and
improvement of living standards unless elements such as social standards, the environment, and the need
for solidarity and development were taken into consideration.  His country supported the appeal by the
Director-General to give a political impetu s to work in the area of the environment.
63. The WTO was a universal organization, and it was therefore essential that the greatest
importance be attached to requests for accessi on without undermining the principles and demands
required for joining the WTO.  The WTO should enable the weaker economies to join the system of
trade and reciprocity, and had a major responsibility to  developing countries.   This had been recognized
in Singapore when the Plan of Action for developi ng countries had been adopted and when support had
been given to the High-Level Meeting on least-devel oped countries.  The measures adopted in favour of
developing countries should be implemented.  For its part, the European Communities had implemented
its commitments by providing new and preferential ma rket access.   His delegation believed that after 50
years of eliminating trade barriers, the WTO and its Members had to maintain this momentum and
respond to the concerns of those who considered gl obalization and liberalization as a threat to their
future.
64. The representative of Thailand  said that in spite of the on-going economic crisis, his country
remained fully committed to a fair and open tradin g system.  Thailand hoped that its trading partnersWT/MIN(98)/WS/M/1
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would do the same.  His country's economic reco very was heavily dependent on the WTO.  He
emphasized the need to pay more attention to the re sults of liberalization and not to be overtaken by
rhetoric and ambiguities.  In this regard, the follo wing points should be taken into account in order to
achieve successful implementation.  First, in order for developing countries to make efforts towards
liberalization, the benefits arising from an open and fair trading regime should be equally distributed.
Therefore, serious efforts should be made to lend s upport and offer technical assistance to enhance the
capacity of developing countries to benefit from liberalization.  Second, the continuation of trade
liberalization in agriculture was extremely importa nt, given the need to balance the Uruguay Round
benefits and to strengthen the least-developed countries  in order to prepare them  for future liberalization
efforts.  Current efforts to liberalize trade in agricu lture should not be diluted by preparations for future
liberalization.  Third, some Members had yet to dem onstrate their willingness to fully abide by their
obligations.   Thailand stressed the need for stri ct compliance with commitments.  Partial and half-
hearted participation in the liberalization process mi ght not only not bring beneficial results but might
also undermine the rule-based trading system which operated by consensus.
65. The representative of Costa Rica  highlighted hi s country's interest in implementation of the
WTO Agreement.  Over the past three years, Co sta Rica had noted a satisfactory implementation of
WTO Agreements which had enhanced predictability a nd security in international trade relations.  His
Government attached great importance to the dispute settlement system and noted with satisfaction the
strengthening of this system.  Under the Dispute Set tlement Understanding (DSU),  in situations where a
Member considered that benefits accruing to it unde r the covered agreements had been impaired by a
measure taken by another Member, the Dispute Settlement Body (DSB) had made recommendations to
preserve the rights and obligations of Members.  The DSU had made an outsta nding contribution to the
implementation  of WTO Agreements in both letter a nd spirit.  It was timely to stress the commitment
made by Members to the principles and rules of the dispute settlement system and to strict compliance
with the DSB's decisions.  Costa Rica was aware of the existence of certain problems and would
contribute to the review of the DSU to be undertaken in the near future.
66. The implementation of the Agreement on Textiles and Clothing had continued to raise serious
concerns.  The first major review of the Agreemen t carried out by the Council for Trade in Goods had
demonstrated the dissatisfaction of the textiles expor ting countries with the restrictions imposed by the
importing countries in this sector.  The first two stages of integration of these products had been
insignificant from the trade point of view, since th e most important products for the exporting countries
continued to remain subject to restrictions.  Furt hermore, use of the safeguard mechanism had caused
considerable problems which had to be rectif ied through the dispute settlement system.
67. The Agreement on Agriculture, one of the most  important achievements of the Uruguay Round,
had been applied in a satisfactory manner.  The review  of the market access commitments in the
Committee on Agriculture had given positive results.  The review of the application and use of tariff
quotas had demonstrated the need to establish clear rules on the administration of such quotas, so as to
ensure that access was provided by the quotas.  The monitoring of the application of the Agreement,
based on notifications by Members, had shown some difficulties with regard to compliance withobligations.  However, most of these problems ha d been resolved. Compliance with the notification
obligations had continued to be one of the major c oncerns of Members.  Although full transparency had
not been achieved,  improvement in compliance with th is obligation had been noted during the past three
years. The work of Members to comply with the Uruguay Round obligations had been difficult.
However, in spite of some problems, the work done in  the past three years had been satisfactory and had
demonstrated the degree of commitment of all Members to achieve the objectives set out in Marrakesh.
68. The representative of Zambia associated his dele gation with the previous speakers.  He recalled
that fifty years earlier, a challenge had been taken to  promote international trade.  Considerable progress
had been made with regard to tr ade liberalization, but much still remained to be done in the areas of
agriculture and textiles. Continued trade liberaliza tion and strengthening of an open, rule-based, non-WT/MIN(98)/WS/M/1
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discriminatory multilateral trading system remain ed very important.  However, only the actions
undertaken by countries willingly and not subject to  coercion could lead to lasting and fair trade
liberalization.  In this regard, Zambia remain ed fully committed to trade liberalization.  The
implementation of the Uruguay Round commitments should be pursued since the credibility of the
WTO depended on it.  While the WTO Agreements contained specific deadlines with regard to thetiming of the implementation of various obligations , countries like Zambia had faced constraints and
difficulties in complying with all its obligations.  These constraints were the lack of resources and
technical capacity.  This had led to his country's forfe iting certain important rights.  To ensure effective
participation and integration in the multilateral tr ading system, a mechanism should be put in place to
allow countries with difficulties, such as Zambia, to restore their lost rights and meet their obligations.
In addition, there was a great need for the internati onal community to recognize and to acknowledge that
external debt had become, and continued to be, a serious burden for least-developed countries which
expected to be integrated into th e international trading system.  This was a major constraint to economic
growth and the governments' ability to respond to the challenges of poverty reduction.
69. Commitments had been made by some developed countries to provide technical assistance to
countries like Zambia.  His delegation commended all those countries, and in particular those that had
pledged to provide technical assistance to equip developing countries with the necessary skills to
participate effectively in the multilateral trading syst em.  The integrated initiative for least-developed
countries' trade development had  demonstrated Me mbers' commitment to finding solutions to the
problems of least-developed countries.  Zambia welc omed the indications of intentions to improve
market access in favour of exports from least-devel oped countries, which would soon be notified to the
Secretariat.  However, there was a need to eliminat e all trade barriers in favour of least-developed
countries.  Consideration should be given to finding ways to enforce the intentions of improving market
access.  It should be ensured that the benefits of the multilateral trading system were extended as widely
as possible.  The WTO needed to recognize the divers ity in the level of development and trade interests
among Members.  It also needed to be a credible institution capable of responding to the aspirations of
all its Members.
70. The representative of Cuba said that with regard to implementation of the WTO Agreement
the obligations accepted by developing countries were greater than those of developed countries
despite more favourable time-frames for the latter.  In the short period of time that had elapsed since
the entry into force of the WTO Agreements, it had been difficult to amend legislations in order to
bring them into line with the new requirements. Howe ver, instead of considering the efforts made as a
positive contribution, more and more was being required of developing countries without offering
them anything in exchange.  Furthermore, in some cases attempts were being made to ignore thespecial and differential treatment for developing countries provided in some Agreements.  The same
efforts had not been made by developed countries with regard to implementation of certain
Agreements, in particular in the very sensitive areas such as agriculture and textiles.  A realistic
evaluation should consider the extent to which the application of the Uruguay Round Agreements had
positively contributed to the trade and development of developing countries.  Such an analysis wouldcontribute to a better preparation of future negotiations, in particular in the sectors of interest for
developing countries.  Therefore, the present Ministerial Conference should adopt appropriate
guidelines for the General Council to take into acc ount the interests and needs of the great majority of
developing countries and ensure that the benefits resulting from the new trade regime were distributed
equally among all Members.  Under the present realities of intense competition, special conditionsshould be guaranteed to small economies to enable  them to comply with their obligations without
further burden.
71. The representative of Burkina Faso said that his country was one of the founding Members of
the WTO and wished to reaffirm its attachment to  the multilateral trading system.  Burkina Faso
believed that the multilateral trading system had provided a framework to create prosperity andpromote the well-being of mankind.  However, sp ecial attention should be given to the concernsWT/MIN(98)/WS/M/1
Page 26
expressed at the present meeting, namely that least-developed countries had encountered enormous
difficulties in the implementation of the WTO Agreements. It was necessary to provide technical
assistance to those countries.  Burkina Faso welcomed the Plan of Action, but believed that it was
necessary to go further and to improve market access for products from least-developed countries.
This would enable those countries to build a more solid basis to reduce poverty through improvedinvestment.  The process of regional integration should be encouraged, because globalization first had
to strengthen the local and regional processes of production and marketing.
72. The representative of Venezuela said that the liberalization of trade and the integration of
economies were the fundamental bases for economic growth which could contribute to the social
development of nations.  The Uruguay Round had produced important contributions for strengthening
these bases by widening market access and consolidating a set of multilateral rules and disciplines.
On this basis, countries should be able to implement economic policies that were ever moreharmonized and complementary, as well as consis tent with the development goals of each.  The
Preamble to the WTO Agreement stated that Members' trade relations should tend towards positive
achievements in the area of employment, and an increase in real income and production.  This was
consistent with the concept of liberalization as an instrument of development.  Consequently, the
multilateral trading system through successive improvements in its rules should afford the opportunityto developing and least-developed countries to have effective policy instruments to stimulate
productive development which would serve as a foundation for their successful contribution to global
trade.  In this context, trade liberalization was a necessary component of the economic reform
programmes carried out by many developing and least-developed countries.  One had to recognize in
this context the real difficulties that some of these countries might have to face to satisfy demands toadjust to the multilateral trading system as well as to overcome the social costs and internal
difficulties in the transitional phase.  One important area where these principles could be applied for
productive development was direct foreign investment where countries had to guarantee non-
discriminatory treatment and the necessary legal s ecurity for investors, as well as maintain the
capacity to stimulate investments and the transfer of technology towards activities whosemodernization and integration were considered a priority.  Future negotiations in this area should not
do without the provisions that were required for this process.
73. The implementation of some disciplines in the agricultural area presented an important
challenge for developing countries like Venezuela that were net food importers and which were
engaged in a process of modernization and the raising of productivity.  This was a priority area for
Venezuela in the future negotiating agenda, and it hoped that the negotiations would reduce the
imbalance between developed and developing countries, offer opportunities for the adoption of rulesto facilitate the application of policies directed towards productive development, as well as increase
the competitiveness of developing country agriculture.  As regards regional agreements, Venezuela
had no doubts as to their compatibility and complementarity with the multilateral trading system.  It
believed that regional agreements strengthened the results of the Uruguay Round by contributing to
the growth and liberalization of trade.  One had to highlight the efforts by regional blocs to help the
rationalization of standards within their markets, thus consolidating the process of transparency, the
modernization of institutions, and compliance with obligations under the multilateral trading system.
Venezuela saw two basic tasks for the WTO in the immediate future:  first, to resolve the problems of
implementation and to continue evaluating compliance with obligations under agreements currently in
force, and, second, to make progress on the obligations set out in the built-in agenda and in thedecisions taken at Singapore.  The negotiations and review called for in the built-in agenda should
receive priority attention before negotiations on new issues, in particular if they led to new obligations
that would make it difficult for some deve loping countries to comply with them.
74. Venezuela believed that any initiatives to link the rules of the multilateral trading system with
issues that were outside its scope, such as defe nse of human rights and workers' rights, would be
counterproductive.  These issues should be taken up in other more suitable and specialized fora.WT/MIN(98)/WS/M/1
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Venezuela also wished to highlight the importance of the dispute settlement system as a means of
guaranteeing the confidence of Members in the WT O.  Venezuela reiterated support for the review of
this system which would permit it to be improved.  Venezuela believed that the efficacy of this
mechanism would be maintained provided that there was an effective participation in all stages of the
dispute settlement process by all Members without any constraints arising from an inability to obtainlegal advice or financial resources to cover the expenses that a resort to the procedures gave rise to.
75. The representative of Myanmar said that his Government had made its observations on the
implementation of the WTO work programme and also on the future activities of the WTO in its
statement circulated to delegations.  Myanmar ha d conducted a review and assessment of the WTO
work programme, including the items in the built-in agenda and the first Ministerial in Singapore in
December 1996.  While some progress had been made in the continued negotiations that had
followed, it believed that in the period of 16 months after the Singapore Ministerial Conference, onecould not expect more progress than this, and that the progress thus far was quite satisfactory.  As for
the future work programme, he wished to draw attention to the economic and trade sanctions
occasionally imposed by major trading partners that were the core Members of the WTO on other
developing country Members of the WTO.  Some trade preferences like GSP had been withdrawn and
different non-tariff measures had been introduced in recent years on products of the developingcountries.  This was not in line with the multilateral trading system and would be detrimental to trade
liberalization and globalization.  These kinds of undesirable activities should be stopped immediately
and should also be considered in the future work programme.
76. The representative of Spain said that his Govern ment also attached great importance to the full
implementation of the WTO Agreements and Minist erial Decisions.  Implementation was essential to
ensure the credibility of the WTO which, through the liberalization and expansion of trade, had
contributed greatly to the growth of the world ec onomy, to the creation of employment, and to the
raising of living standards for the benefit of all.  In the examination of implementation that Members
were undertaking, they had been able to see the road that had been travelled thus far, as well as certain
aspects that required further attention.  Spain wished  to emphasize, among other things, the need for full
compliance with the commitments and the obligations of notification, including at the sub-Federal level,
the faithful application of the provisions of the TR IPS Agreement, as well as the full development of the
avenues for negotiations available thereunder, in particular on the issue of denominations of origin.
Members had to renew their efforts to continue and to  complete the implementation of all that they had
agreed to, including the commitment to negotiati ons and reviews under the built-in agenda, in full
respect of the agreed deadlines.  Spain, within th e European Community, had spared no efforts for the
faithful implementation, in both letter and spirit, of its commitments under the various WTOAgreements.  It had also contributed in a meaningf ul way to the progress of liberalization carried out
since the Singapore Ministerial Conference, particular ly in the sectors of telecommunications, financial
services, and information technology products.  Spain w ould continue to devote its full attention in the
future to the implementation of the Agreements.  In  this way, all Members would benefit fully from the
opportunities that the multilateral trading system o ffered them and to which they had made their
contribution.
77. The representative of Côte d'Ivoire said that lik e most developing countri es, Côte d'Ivoire was
working very hard to implement the Marrakesh commitm ents in spite of the difficulties encountered.  It
was in this connection that Côte d'Ivoire had undertaken a number of activities with a view to honouring
its commitments.  This was also why Côte d'Ivoire had undertaken important institutional, regulatoryand legislative reforms, and liberalized trade.  Cô te d'Ivoire supported the Ministerial statements by
Ministers of various country groups, particularly the Organization for African Unity (OAU) and the
African, Caribbean and Pacific (ACP) States.  In this intervention, he wished to draw attention to a
question which his delegation felt was important:  the dispute settlement system which imposed on the
country having felt prejudiced in its relations with another country the task of proving the harm it had
undergone.  Therefore, when a country accorded subsidies, the Côte d'Ivoire was required to sendWT/MIN(98)/WS/M/1
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experts to this country in order to examine the situ ation and bring back proof. This was a dangerous and
costly procedure for countries which very often had no national expertise.  In the opinion of Côte
d'Ivoire, in view of the difficultie s connected with this kind of operation, it was highly desirable that the
multilateral system establish neutral and independent expertise which could be resorted to each time
there was a need for such an investigation, even be fore the Dispute Settlement Body took decisions.
78. He also wished to draw attention to the proble m of raw materials.  The subject had been dealt
with in other places, with a lot of consideration and in terest, and he was very gratified by that. But, trade
in the commodities that most developing countries e xported gave rise to a number of problems. It was
therefore important to stress that these products, which were among the rare ones to be quoted on the
stock exchange, underwent manipulations by speculators  of a more or less transparent nature. So, the
wish of this delegation was that in the future work of the WTO, more attention be given to this subject.
He encouraged the Secretariat to continue its assi stance in the field of training because for these
countries it was important to establish national co mpetence quickly so that the multilateral trading
system could expand and flourish.  In  conclusion, he wished to reaffirm Côte d'Ivoire's faith in the
multilateral trading system.
79. The representative of Brazil said that his Go vernment's perspective of the implementation
process had two basic parameters.  First was the continued process of economic reform in Brazil and the
Government's resolve to open Brazil's markets to foreign competition.  The second was the creation and
development of the MERCOSUR which coincided in ti me with the establishment of the WTO.  During
the initial few years of implementation of the WTO Agreements, Brazil had managed to reform its
economy by establishing monetary stabilization, curbin g inflation and maintaining the latter at very low
levels, privatizing state companies and deregulating the economy.  Those were the tasks that Brazil had
achieved together with the process of trade liberalization.  The WTO Agreements had been instrumental
for Brazil in this process.  On the one hand, the Agreements had served as a basis for the trade
instruments adopted by the Government, and on the other Brazil had been using the mechanism foreseen
in the WTO to protect and further its legitimate inte rests.  At the same time, Brazil and its MERCOSUR
partners had been actively building a customs union which had been creating trade opportunities for allBrazil's partners in full conformity with multilatera l rules.  The regional integration process had served
as a baseline for the wider opening of Brazil's economy. The figures were striking:  total imports from
countries outside the customs union had incr eased by 113 per cent between 1992 and 1996.  For
example, MERCOSUR imports from the European Co mmunity in the same period had increased by 143
per cent.  Unfortunately, trade opportunities creat ed by MERCOSUR and by the stabilization of the
Brazilian economy had not been matched by similar opportunities for Brazil's products in foreign
markets.  Exports of MERCOSUR products to count ries outside the customs union had increased by
only 47 per cent from 1992-1996 and this was at least pa rtly due to the lack of implementation of WTO
Agreements by Brazil's partners.  Brazil certainly wanted to see more commitments in areas such as
agriculture and textiles, sanitary and phytosantitary measures.  Moreover, abusive recourse to trade
remedies such as anti-dumping, in particular, wher e WTO disciplines were not too stringent, had also
lowered the standard of implementation of the ag reement. One major trading partner, for example,
currently maintained no less than 140 anti-dumping m easures in the iron and steel sector alone.  But
there was also good news with regard to implementa tion.  The best news was the working of the dispute
settlement mechanism.  Having been a frequent cu stomer of the system both as a complainant and
respondent, Brazil was encouraged by the results achiev ed by the dispute settlement mechanism.  It had
enhanced confidence in the organization and had allo wed the rapid settlement of disputes that might
otherwise have gone sour.  Also important was the dissuasive effect of the mechanism.  To conclude,
from Brazil's point of view, the WTO had work ed well and most of the Agreements had been
implemented faithfully although there was certain ly room for improvement in specific areas.
80. The representative of Peru said that from the beginning of the GATT, Peru had played an active
role in this important multilateral forum.  Continui ng this tradition, since the establishment of the WTO,
Peru had made great efforts to meet its vari ed and complex commitments under the Uruguay Round.WT/MIN(98)/WS/M/1
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Peru was aware that transparency was a fundamental principle of the multilateral trading system, in the
sense of a reciprocal surveillance mechanism dir ected towards evaluating the application of the
agreements and thereby ensuring respect for the rules of the game.  The liberalization of trade in services
was a matter of particular interest to Peru.  In the context of the reform process initiated in the early
1990s, his country had unilaterally liberalized its services market.  The successful conclusion of thenegotiations on financial services and basic telecommunications, in which Peru had participated
actively, undertaking important liberalization commit ments, had raised great expectations of the
forthcoming negotiations in this area.  As services exports from developing countries usually had a large
labour component, further progress should be made in liberalizing restrictions on the movement of
natural persons supplying services so as to achieve a satisfactory balance in trade in services.  In this
context, Peru would take an active part in the ne gotiations agreed for the year 2000 to liberalize all
services.  Peru had long been an efficient producer  of high-quality textiles and clothing, which was why
it believed that satisfactory implementation of the re levant agreement, particularly the clauses referring
to small suppliers, was of vital importance for it.  Peru believed that agricultural reform, of which the
first step was the Agreement on Agriculture curren tly being implemented, was a continuing process
aimed at achieving in the future a market-oriente d agricultural trading system in which developing
countries could compete on fair terms.  Products of interest to developing countries should therefore be
given substantially improved market access opportunities.
81. Peru considered the WTO's dispute settlement  mechanism to be an essential element in
reinforcing both security and predictability for the effe ctive exercise of the disciplines in the multilateral
trading system.  Peru therefore welcomed the in itiation of the review of the Dispute Settlement
Understanding in order to make it more effective in ensuring a multilateral trading system in which
legally binding commitments were strictly obser ved.  In view of the growing liberalization of
international trade, it was particularly important for Members to continue studying the interaction
between trade and competition policy.  To this e nd, Members had to spur the activities of the Working
Group set up to study this issue in order to design  future competition regimes within the multilateral
order capable of preventing or sanctioning possible anti-competitive behaviour, thus ensuring that this
type of behaviour did not nullify the benefits created by multilateral trade liberalization for the sound
functioning of markets and the consumer society wo rld-wide.  Members had also to continue studying
the relationship between trade and investment in or der to achieve within the WTO a comprehensive and
balanced treatment linking investment with growth and development.  Thus, the progress being made in
this forum was of particular importance, in view  of the stalled negotiations on the adoption of a
Multilateral Agreement on Investment in the OECD.  Lastly, Peru had high expectations of the future
negotiations within the multilateral framework.  Peru believed that these should follow a comprehensive
approach so as to achieve a balance among the trade and economic interests of all Members.  It was also
essential that the WTO's future agenda should only in clude issues that had been properly considered in
the WTO and on which there was a genuine consensus before they were incorporated in a negotiating
process.
82. The representative of the Philippines said that  the Philippines accorded the highest importance
to the full and faithful implementation of the WTO Ag reements.  Since the last Ministerial Conference,
Members had gained more experience in the implemen tation of these Agreements, and in the education
process for specific issues Members had decided to pursue in Singapore.  The experience thus far had
yielded mixed results and, in the case of some Agre ements, possibly pointed to some more fundamental
reassessments in the future.  He would cite onl y a few important topics.  The full and faithful
implementation of the Agreement on Textiles and Clothing was of central significance to many
developing countries.  But the manner in which certain large importing countries had eliminated
restrictions on items that were politically sensitive to them - but commercially important to exporting
countries - had cast serious doubt on whether or not the Philippines could reasonably expect the full
integration of the sector into WTO rules by 2005.  The Philippines believed that the situation had to berectified so that the original objectives of the Ag reement could be set on track before 2005.  In the area
of agriculture, the work of the Committee on Agriculture  with respect to the monitoring of commitmentsWT/MIN(98)/WS/M/1
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had thus far given disproportionate emphasis to co mpliance with market access commitments, but had
lacked close scrutiny of the implementation of commitments with respect to domestic support and
export subsidies.  The Philippines wished to see this imbalance rectified.
83. The Philippines also wished to point to the unacceptable cases of de facto  circumvention of
export subsidy commitments by certain major players who had recently decided to rollover unusedbudgets for export subsidies from a previous period to  the next.  Such action was deplorable because it
contradicted the underlying spirit of the Agreement, and only served to intensify the subsidies war and
the havoc it wreaked on the Philippines trade.  Thus, even as the Philippines devoted significant
attention to the next round of agriculture negotiations , it would devote equally serious attention to the
review and monitoring of the implementation of the Agreement.  In the case of the review of the SPS
Agreement, it was essential that the review should not  give rise to amendments  that would weaken the
basic principle that SPS measures should not be used indiscriminately and without scientific basis.  Itwould also be important to note that, in respect  of other agreements, developing countries had
encountered difficulties in comply ing with their obligations and, in some cases, had been challenged
before the Dispute Settlement Body.  The Philippine s was of the view that the pursuit of a legalistic
approach, to the exclusion of other considera tions, in resolving implementation issues was not
necessarily the best option especially if it involv ed developing countries.  Such an approach could
dampen the ability and political will of developing countries to make more ambitious commitments in
the future and might deter the full integration of developing countries into the multilateral trading
system.  Differential and more favourable treatment  of developing countries  went much beyond the
mere extended transitional time-frames allowed for developing countries.  On the contrary, it
encompassed a general frame of mind in dealing with  smaller and weaker trading partners, so much so
that, in the exercise of their rights, it was exp ected that developed country Members would act with
circumspection and due restraint when calling to ta sk developing country Members in connection with
the performance of their obligations.  This was not a ma tter of charity or mere tolerance;  rather, it was
intrinsic to an understanding among economic unequals.
84. The representative of the Czech Republic said that his Government welcomed the innovative
approach aimed at the delivery of short statements  which should allow a lively exchange of views,
including on-the-spot reactions to thoughts expressed by others.  If Members succeeded in following the
principle of being brief when commenting on the futu re work programme, the new form of discussion
could constitute an important value added by th is Conference.  The smooth implementation of WTO
commitments had contributed significantly to the tr ansformation of the Czech Republic from a centrally
planned to a market economy.  The recent cornerstones in this process were the successful negotiations
on financial and basic telecommunication services a nd on information technology products.  In these
negotiations, the Czech Republic as an open economy had undertaken meaningful commitments.  The
Czech Republic was of the view that if implementa tion of WTO Agreements continued to proceed well,
Members would opt for a more forthcoming approach vis-à-vis future comprehensive negotiations. The
Czech Republic attached great importance to the accession process, since it was a tool for further
deepening and broadening of implementation.  The Czech Republic took the view that rather modest
progress had been made since the Singapore Conferen ce.  It supported further intensification of this
process but hoped equally that the countries seeking accession would become Members on viable
commercial terms.  The achilles heel of the present WTO was unequal opportunity for the least-
developed countries to take advantage of the ach ievements of the multilateral trading system. The
Czech Republic would continue to contribute effectivel y to better involvement of these countries in the
WTO.  The post-Ministerial Conference period had to br ing further tangible results in this respect which
would increase efficiency not only of the participati on of least-developed countries but of the WTO as a
whole.  Finally, among the specific areas in which hi s country was experiencing certain difficulties, he
wished to mention the examination of regiona l agreements in the Committee on Regional Trade
Agreements.  Here, the Czech Republic shared the concerns expressed by several delegations, includingthe representative of Hungary.   In the view of the Czech Republic, between the first and the secondWT/MIN(98)/WS/M/1
Page 31
Ministerial Conferences, the WTO had generally been  successful in pursuing its liberalizing mission and
in implementing its commitments.
85. The representative of Jamaica said that Jamaica, like other countries which had already spoken,
placed great importance on the implementation proce ss, especially in those areas where developing
countries had not yet seen the expected results and benefits. Jamaica believed that the evaluation process
would be more effective if more information was available so that the gains and losses of the
liberalization process over the past few years coul d be assessed. In the draft Ministerial Declaration
which would be put to Ministers for decision, Member s would set in motion a process to ensure the full
and faithful implementation of the existing agreements.  It was Jamaica's view that this process had three
dimensions.  First, the scope of the process should be inclusive and balanced. Members needed to fully
honour mandates which had been reached by consensus and for the work to proceed as expeditiously as
possible so as to ensure that the momentum of libera lization was maintained.  It was important to ensure,
however, that all Members were able to move in  unison with the process. Secondly, in terms of
structure, there existed already a machinery whic h was supervised at the top by the Ministerial
Conference, the General Council and its many sp ecialized negotiating bodies. The principles of
transparency and consensus in decision-making at all levels in the WTO had to be respected.  The third
dimension was that of time-frame and Jamaica believed that it would be more appropriate for the third
Ministerial Conference to be held in the year 2000.
86. The representative of Indonesia said that it would be appropriate for Members, on the occasion
of the 50th anniversary of the multilateral trading syst em, to rededicate themselves to its lofty principles
and noble objectives.  At the same time, Members had to muster their resolve to consistently implement
the system to the benefit of all.  In this context,  while being encouraged by the progress achieved by the
system thus far, Indonesia felt obliged nevertheless to  register its continuing concern that, four years
after Marrakesh and eighteen months since Sing apore, the implementation of the Uruguay Round
Agreements did not yet fully meet Indonesia's expect ations, and that many of the promises remained
unfulfilled.  It was thus evident that the que stion of implementation should by no means be
underestimated.  One persistent problem of implemen tation was the lack of technical ability experienced
by many developing countries, particularly the leas t-developed among them, in fulfilling some of their
contractual obligations, such as that of notifications .  In this regard, Indonesia, encouraged the Working
Group on Notification Obligations in its work to standardize and above all simplify, notification
procedures while ensuring transparency and complia nce.  In the same vein, while appreciating the
efforts undertaken thus far, Indonesia urged the WTO to increase technical assistance to those countries
in need.  It was also disquieting for Indonesia to not e the progress, or rather lack of progress, of the
application of the provisions on special and differe ntial treatment for developing countries. Therefore,
Indonesia called upon all Members to make stronger commitment and to take more concrete actions in
the implementation of these essential provisions.  An equally important implementation problem related
to measures taken by some more sophisticated Members which might not explicitly violate the letter of
the agreement, but which in effect ran counter to its  very spirit. Examples included cases of misuse of
transitional safeguard measures, unilateral rules of  origin and the so-called "back-loading" in the
implementation of the Agreement on Textiles and Clothing which delayed and hampered the rightful
benefits for exporters.  Therefore, developed importing countries had to faithfully adhere to the
Agreement on Textiles and Clothing and fully comply  with the agreed schedule for the integration of
textiles and clothing into the system.
87. The proliferation of abusive anti-dumping meas ures was another clear example of unfortunate
problems of implementation which had to be serious ly addressed and speedily resolved.  Members were
meeting against the backdrop of the financial crises  in Asia with its profound impact on other economic
sectors, including trade, and widespread ramifications for other regions.  It was ironic to note that all the
affected countries were precisely those which ha d pursued policies of opening up their economies and
liberalizing trade and investment. In this context, Indonesia fully agreed with  the view that, while not
being the cause of the crisis, trade should constitute  an essential element for its solution through marketWT/MIN(98)/WS/M/1
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opening by all.  For their part, while conducting dras tic structural adjustment often at enormous social
cost, the affected countries like Indonesia were cons istently pursuing their trade liberalization process.
But this was one-sided and not enough.  In order to ma ke trade really an element of the solution to the
crisis, it was hoped that all trading partners would also allow greater market access for products of
export interest to the affected countries. Furthermore,  it was now becoming more urgent than ever for all
Members to have a deeper understanding of, and seri ously address, the relationship between trade and
international financial and monetary stability, incl uding the intricacies of trade in currencies.  In
conclusion, while he was here to join the distingu ished commemorative gathering mainly to discuss
what Members could do for the multilateral tradin g system, the suffering people of Indonesia were
looking forward to what the multilateral trading syst em could do for them.  He hoped that the results of
the Conference would not deceive them.
88. The representative of Bolivia said that as a signatory to the GATT and the Marrakesh Act,
Bolivia abided by their principles and welcomed the progress made in implementation of the WTO
Agreements.  Bolivia did so because it was convinced  that, through liberalization of multilateral trade,
Bolivia's economy would grow and so improve the quality of life of its people.  Bolivia had adopted a
free-market economy and was in the forefront of reforms of the first and second generation, in the
political, social and economic spheres, and this without hindering its increasingly liberalized trade.Bolivia would continue to do so because it believed that, through the WTO, it would be easier to deal
with the effects of liberalization.  As the Prime Minist er of the United Kingdom had stated in his address
on the occasion of the commemoration of the 50th anni versary of the trading system:  "... the question
now is not so much whether there should be free trade,  but how best to manage [the] ... trend".  This was
the great challenge facing the WTO.  Bolivia's d ecision to accept the rules of  the multilateral trading
system and to open its doors to liberalization invo lved a number of risks and social, political and
economic costs.  Risks because, although tariff and paratariff barriers were disappearing, "invisible
barriers" were emerging, as mentione d by the Director-General in his statement to the Trade Facilitation
Symposium on 9 March 1998.  Customs bureaucracy , documentation, the imposition of payment
regulations that did not necessarily correspond to government trade policy caused the appearance ofthese new invisible barriers which had to be eliminate d.  Bolivia was running a risk due to the low level
of competitiveness of Bolivia's export products, but this could be overcome by the WTO through
training for entrepreneurs.
89. In signing these Agreements, Bolivia's costs had been high.  Imposing regulations on a major
part of the production sector, which was informal, meant a far-reaching social and political impact.
Bolivia had to do so because of the hope it placed in the spirit and observance of the WTO Agreements
in the expectation that they would attenuate th e imbalances between industrialized and developing
countries.  In the economic area, Bolivia had a sma ll developing economy and was at a disadvantage in
comparison with more competitive developing countries.  The result was a serious trade deficit, which
would diminish as Bolivia managed to overcome its weaknesses and as equitable multilateral trade rules
were imposed.  He referred specifically to the need fo r: greater transparency in the rules of the game;
action to prevent "invisible" barriers and/or costs;   the adoption of trade rules that did not lead to
discrimination or dependence.  Effective applicati on of the dispute settlement mechanism should make
the system credible. Appropriate action should be included in trade liberalization policies, special
attention being paid to sectors that had a greater effect on countries with small developing economies.
Bolivia was becoming the energy, communications and financial services centre, and would soon
become the transport centre, for the Southern Cone of  the American continent, linking the Atlantic and
the Pacific. Bolivia had played a full part in the regional and subregional integration processes in the
Americas and had wholeheartedly supported these processes in the Andean Community, MERCOSUR
and the Free Trade Area of the Americas.  He rea ffirmed Bolivia's willingness to discuss any issue
provided that it also involved the interests of other countries.
90. The representative of Mali reaffirmed Mali's support for the multilateral system and its
achievements. He was certain that a globalization pr ocess that was orderly and based on dialogue andWT/MIN(98)/WS/M/1
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consultations with the equitable participation of all countries would be beneficial to all including the
least-developed among them.  Mali welcomed ther efore the trend of the WTO which put emphasis on
transparency and equity of the system.  Mali regre tted to note that in the implementation of the WTO
Agreements, there was a lack of effort towards l east-developed countries, and that very few of the
countries that had participated in the round table di scussions at the High-level Meeting in October 1997
had received the promised support. This was of concern to Mali because while progress was being made
in the negotiations which Mali welcomed, the accompanying measures necessary to prepare the weak
economies were not being implemented quickly enough.  Such a situation was dangerous for the system.
As had been stated by Côte d'Ivoire, necessary suppor t was needed in training so as to enable greater
participation of these countries in the various negotiations as well as for the implementation of
regulations.  More support, or perhaps a system whic h would enable countries to carry out the necessary
controls, was needed with respect to the dispute sett lement mechanism because the lack of expertise and
resources put developing countries at a disadvantage .  Finally, concerning future activities, Mali hoped
that a greater examination of the participation of the least-developed countries  and developing countries
in the system would be undertaken because thus fa r the announced measures were not sufficient.  Clear
objectives needed to be set, i.e. to see how the cu rrent downward trend of trad e, particularly of African
countries in world trade, should be reversed and to  examine what measures should be taken in order to
reverse this trend.  Under future activities, greater consideration had to be given to this subject and
specific programmes had to be designed to enable su ch countries to benefit from the process of trade
globalization which should be translated into a situa tion of mutual good and not one of advantages to a
privileged few. Members had to make sure that the multilateral system took account of the two track
system and of small countries. In the negotiations, Members had to ensure that the weakest could take
advantage of the support offered in this system.
91. The representative of the Maldives said that fi fty years of existence of the multilateral trading
system were worthy of celebration.  The system had contributed incessantly to the development of the
world economy by providing a trajectory on which global trade had continued to expand. The Maldives
affirmed its commitment to the multilateral trading system which pr ovided a rule-based mechanism
within which the possibility existed for each and every country, big and small, rich and poor alike to
claim their fair share of benefits.  This second se ssion of the Ministerial Conference offered Members
the first opportunity since the Singapore Ministerial C onference, a year and a half ago, to discuss issues
of contention, to strengthen policies and to capitalize on past achievements.  In so doing, however,
Members had to continue to not only acknowledge the existence of the need for special and differential
treatment for those genuinely needing it, but also ta ke pro-active measures to address these concerns.
The High-Level Meeting held in October 1997, and the follow-up activities that were being pursued bythe Secretariat, had provided new hopes for these c ountries.  He thanked the Secretariat and other five
agencies actively involved in the integrated progra mme.  He recorded his appreciation of and gratitude
to the European Community, Norway and other c ountries which had begun implementation of the
commitments made in the High-Level Meeting.  He called upon others to follow suit, for much
remained to be done.  There was widespread acknow ledgement of the slow progress in implementing
the Uruguay Round agreements such as Agreement on Textiles and Clothing.  He shared the views of
the International Textiles and Clothing Bureau (ITCB) in this regard.
92. Moreover, at a time when benefits of trade pr eferences were being eroded and traditional non-
tariff barriers dismantled, some countries were imposing new ones.  Other unilateral action had also
caused disruption to market access and discouraged e xports of least-developed countries.  He believed
that harmonization and regulation of preferential rules of origin pertaining to voluntary and unilateral
trade preferences would eliminate many of the problems least-developed country exports faced.
Furthermore, to redress the marginalization of least- developed countries, he believed that the developed
countries and the financial institutions in these countries could play a more proactive role by
encouraging their businesses to invest in those least- developed countries whose environment was
conducive to foreign direct investment.  Members n eeded to ask themselves whether issues such as
social and labour standards should be linked to trade.  Such a development would undermine theWT/MIN(98)/WS/M/1
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effectiveness of the WTO as a true master of worl d trade.  To conclude, he urged developed country
Members to fully honour the commitments made in the Uruguay Round and after.  Members had to say
what they meant and do what they said; only then could one speak of the WTO as a truly global
organization, and one that was not all for one but one for all.
93. The representative of Nicaragua said that looking back on the ground that had been covered
over the past fifty years, one could see that history had justified multilateralism and free trade.
Nicaragua had had the honour of participating in this multilateral system since the second round of
negotiations held in Annecy, France, in April 1948, first as a contracting party of the General
Agreement on Tariffs and Trade and then as a founding Member of the WTO.  Nicaragua had always
demonstrated its complete confidence in the sy stem and had committed itself to respecting the
agreements reached and to free trade - a liberal vocation which had distinguished Nicaragua - which it
was now ratifying with the total fulfilment of it s obligations to the organization and through the
signing of bilateral free trade treaties.  It was important to point out that, in the 1960s, the system had
recognized the need to allow developing countries to  share the benefits of trade growth. "If it does not
create well-being, this system was of no use to humanity" it was said at that time. So, developed
countries were asked to give priority to the removal of trade barriers to products from developing
countries.  Nicaragua agreed with the Director-General that developing country Members were goingthrough a difficult period at the WTO and that Members should give priority to equity because
poverty and inequality could not be admitted.  In Marrakesh, one of the most important and ambitious
rounds of negotiations, the Uruguay Round, was concluded which brought about the creation of the
WTO.  Members were already talking about globalization with a parallel trend towards regional
integration and widespread efforts at liberalization.  Countries had made great strides over these fifty
years.  Today, there were fewer barriers to trade, fewer tariffs, fewer quotas and fewer non-tariff
measures.  Countries had a code of rules and regulations which defined the rules of the game for all
aspects of trade and at every stage of the operations of buying and selling of goods and services, and
trade-related aspects of intellectual property rights.  Small countries like Nicaragua now had a dispute
settlement system which made it possible to prevent the imposition of unilateral arbitrary measures.Undoubtedly, these were great strides and Members were now considering new themes like electronic
commerce which would provide new opportunities and which would give countries like Nicaragua,
hope and optimism in the difficult task of eradicating poverty.
94. Nicaragua, as a developing country, believed in the system, which was why it considered it
important to point out that WTO had an obligation to see to the implementation of the Uruguay Round
Agreements. Members were living in a world where frontiers were being erased, where information
technology was creating a new dimension to distance.  Companies were speaking of globalcompetitiveness and were getting ready to take advantage of these new opportunities and challenges.
These companies needed to rely on clear rules of the game and, above all, to be able to compete on an
equal footing. Members had to continue to dismantle subsidy policies, especially on agricultural
products and the textile industry.  Members had to boldly advance in dismantling systems of quotas or
quantitative restrictions.  Nicaragua had great hope that in the forthcoming agricultural negotiationsmajor progress would be made in that direction.  The developed world spent more than US$ 250
million in agricultural subsidies.  This discriminatory measure constituted the most serious barrier to
trade liberalization, undermining equity and global development.  Nicaragua had opted for a model of
sustainable development which included a prominent ro le for the private sector, together with a clear
commitment to strengthen the social market economy and respect for the environment, which was inkeeping with the basis of WTO.  Man in harmony with nature was the very focus of Nicaragua's
development strategy.  However, Nicaragua noted that the temptation was strong for developed
countries to replace one type of protectionism with another.  The comparative advantages of the
developing world should not and could not in an y way justify the imposition by trading powers of
conditions of any sort with the aim of blocking access to markets.  Protectionism now had a newname: conditionality.  Members had to be firm in resisting all the consequences of market restrictions
disguised as social or environmental clauses. Nicaragua was confident that what had been built overWT/MIN(98)/WS/M/1
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the last fifty years, which was being celebrated today, would serve as a basis for promoting trade
growth.  And this growth would enable developing countries to improve the standard of living of their
populations, founded on social equity and transparency in global relations. The welfare of the human
race was the focus and raison d'être of this multilateral trading system.
95. The representative of Gabon said that certain features of the multilateral trading system had
reinforced  inequality and poverty in the African continent. In many African countries, Gabon included,
internal economic restructuring and regional inte gration had been achieved, with the purpose of
facilitating the implementation of WTO Agreements .  In this context, Gabon had organized three
workshops on handicrafts, entrepreneurial activities and commerce, to redynamise investment and trade.
Such efforts, however, had met with problems of various kinds, particularly since a large number of
economic operators, administrative managers and political decision makers were not fully convinced of
the advantages of the trading system under the WTO.   Therefore, there was a need for training and
information exchange, in order to explain the objectives and programme of the WTO and its
contribution to the development of Gabon.  Both mu ltilateral and bilateral cooperation and assistance
needed to be provided in order to ensure that  Gabon participated in the process of globalization.
96. The representative of the Dominican Republic said that his Government had carried out the
necessary institutional reforms to fully implement Uruguay Round Agreements. It had encouraged
regional integration with countries of the Western hemisphere and had signed a free trade agreement
with Central America in 1998.  Also, its negotiations were well advanced with CARICOM, in order to
liberalize trade with its members.  In addressing  the implementation of Uruguay Round Agreements, it
was important to assess the problems faced by devel oping countries and their ability to benefit from
their rights under these Agreements.  Transitional safe guards in the area of textiles needed to be used
cautiously. They should not be used against count ries which benefited from preferential tariff
reductions, without justificat ion.  Dispute settlement did not, in this  area, address the problems that had
arisen.  To increase the participation of devel oping countries, the transfer of technology and
commitments towards greater market access were necessary.  Difficulties had been encountered with
respect to achieving the objectives of the Marrakesh  Agreements under, for instance, the Agreement on
Subsidies and Countervailing Measures and the Agr eement on the Trade-Related Aspects of Intellectual
Property Rights.  Members should evaluate the mechan isms available to promote investment on a global
scale.  He hoped that the next round of negotiations  would start in 1999, and that it would be balanced
and equitable and would contribute to the well-being of all.
97. The representative of Niger said that the eval uation of the implementation of the Singapore
Ministerial Declaration and of th e Plan of Action for Least-Devel oped Countries was an opportunity to
measure the level of commitment of the internatio nal community to provide technical assistance to
Niger, as well to assess Niger's involvement in the new trading system.  He expressed his country's
appreciation of the High-Level Meeting for least- developed countries and indicated his Government's
intention to follow-up on how its results were impl emented by developed countries, particularly with
respect to granting technical assistance necessary for, amongst other things, promoting investment.
Moreover, as a least-developed net food importer, Nige r wished to address the problems related to the
trade imbalance in food products.  Its Government had committed itself to a  programme of economic
and legal reform to prepare itself for trade liberaliz ation. Increasing the participation of the private sector
had already started to take place. Before the end of 1998, discussions with th e private sector would be
organized to address the political problems which it faced, needed environmental improvements and the
measures required for added investments.  Additiona l efforts by the interna tional community to support
these efforts would be needed in the form of special and differential treatment.
98. The representative of Botswana  reaffirmed his Government's commitment to the rules-based
multilateral trading system which was founded on transparency, consensus, and predictability.  He
indicated that at the Singapore Ministerial Confer ence it was already apparent that the majority of
developing countries, and particularly the least-de veloped among them, were behind in complying withWT/MIN(98)/WS/M/1
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their WTO obligations, particularly with respect to  notification requirements and the development of
appropriate legislation.  In this regard, the need fo r targeted technical assistance was recognized as an
essential prerequisite for developing countries to meet their WTO obligations.  Additional WTO
seminars focusing on specific sectors needed to be  organized, not only to sensitize the public sector, but
also to target civil society so that it too could pl ay a meaningful role in the implementation of WTO
Agreements.  Botswana fully supported the need to in volve wider civil society in WTO issues.  It was
only through this process that the different constitu encies could appreciate and begin to participate in
reshaping the world trading system for the benefit of  all.  However, to achieve this, it was even more
urgent for developing countries to be assisted in  capacity-building.  He not ed with satisfaction the
progress made in the implementation of the Sing apore Ministerial Declaration on Least-Developed
Countries.  He urged all the organizations involved to maintain momentum in the implementation of this
programme of assistance.  While a lot had been achieved in implementing some of the Singapore
decisions, further work was required by Members and the Secretariat to assist developing countries,
especially the net-food importing among them.  There was also a need to formulate a special assistance
programme for net-food importing countries as provided for in the Marrakesh Agreement.
99. The representative of Sri Lanka said that his Go vernment attached great importance to the full
implementation of Uruguay Round Agreements, and to market access commitments for products of
interest to developing countries, such as in agricu lture, textiles, and other industrial goods.  Such access
held the key to the implementation of the Agreemen ts.  He attached importance to the Ministerial
Decision on Net Food-Importing Count ries, since countries like Sri Lanka imported food products, such
as milk and rice.  The implementation of the D ecision required high priority.  He attached great
importance to regional trading arrangements, particularly as Sri Lanka was a member of the South AsianPreferential Trading Arrangement.  Such arrangements  were to be seen as a springboard for broader
trade liberalization. All such arra ngements would in the end merge into in a single global trading
environment.  Technical assistance should be prov ided to these arrangements to facilitate their
integration into the global market.  Sri Lanka also a ttached great importance to the provision of technical
assistance, particularly in the area of dispute set tlement.  Although the new mechanism was transparent,
it was knowledge intensive and extremely complex, and countries such as Sri Lanka required technical
assistance to properly utilize it.  Technical assistan ce was also needed to implement the Agreements,
particularly on notification requirements. Notifications  should not become a non-tariff barrier, and the
International Trade Centre also needed to take pa rt in extending technical assistance to developing
countries.
100. The representative of Macau said that as the system celebrated its fiftieth anniversary Macau
looked forward optimistically to it being strengthene d, and to the positive role trade liberalization could
play in the framework of WTO's rules.  Referring to the Agreement on Textiles and Clothing, he said
that the second stage of liberalization had recently had begun, integrating the textiles and clothing
sectors progressively into the GATT/WTO rules.  Ho wever, he expressed concern at the high level of
protection that still existed in impor ting countries, and believed it essential that the spirit of liberalization
in the Agreement be fully respected.  The opening up of the textiles and clothing markets should be
gradual but significant, so as to allow for pr ogressive adjustment and preyent sudden exposure to
competition.  Macau called on importing countries to adopt positive measures, remove discriminatory
treatment in this sector, and avoid creating new forms of protectionism through the use anti-dumping
measures or of other administrati ve procedures.  The success of the multilateral trading system over the
years could be explained by the soundness of the pr inciples of legal regulation, non-discrimination and
decision making by consensus on which it was based.  Nevertheless, in order for these principles to be
applied equitably, the diversity in economic size and the negotiating capacity amongst Members had to
be kept in mind.  Macau believed that the full and effective implementation of the Uruguay Round
Agreements should be regarded as an essentia l step towards the launching of a new round of
negotiations.  Macau believed that consolidating the results of the Uruguay Round was a major objectiveto be pursued at present, to ensure the increasingl y important role of the multilateral trading system in
promoting growth, employment and development on a global scale.  Confronted with the challenge ofWT/MIN(98)/WS/M/1
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the globalization of the world economy, an open and transparent multilateral trading system had a
fundamental role to play, and it was important to ensu re that developing countries participated in the
system on an effective, and equitable basis.  M acau urged the WTO to provide developing countries
with increased technical assistance to implem ent the Agreements in an appropriate way.
101. The representative of Trinidad and Tobago said that since the last Ministerial Conference in
Singapore less than two years ago, developing count ry Members had witnessed an accelerating process
of globalization and liberalization.  The Agreemen ts on Basic Telecommunications, Financial Services
and Information Technology had been concluded, quickening the already rapid pace at which the
developing world had been required to open up its markets to foreign competition.  To a considerable
extent, this accelerated pace of liberalization, occurring as it did in sectors of advanced, modern
technology, had benefitted countries  already equipped to take advantage of these developments.  Much
had been said about the potential for developing countries receiving spin-off benefits from these
agreements.  However, he supported others who had expressed concerns regarding the absence of
tangible benefits from these sectoral Agreements, a nd challenged the Ministerial Conference to address
some of the concomitants of rapid liberalization and the hesitations on the part of some trading partners
to follow through with their responsibility in comply ing with WTO rules.  To  take an example, the
process of liberalization required that public sector companies be privatized in an open and transparent
fashion to give equal opportunities to all interested  parties to compete.  His Government had adopted
extensive trade and economic reform measures specifi cally designed to promote export-led growth, and
development based on trade facilitation, tariff reduction and greater market access.  However, such
private enterprises faced the prospects, after many years of operation in accordance with strict
application of multilateral trading rules, of being subj ected to unilateral restrictions, ostensibly deriving
from their past history as public sector companies.  Small developing countries such as Trinidad and
Tobago were at the mercy of larger developed countries even when they complied with WTO
obligations.  The WTO had a responsibility to ensure that a level playing field was created and to deter
the strong from unilateral actions.  It was in this regard he hoped that this Session of the Ministerial
Conference would provide the WTO bodi es with the basis for addressing developing countries' concerns
about implementation of the existing Agreements.
102. The representative of Haiti said that the greates t problem experienced by the least-developed
countries was that of their low productive capacity and limited export opportunities for their goods,
which resulted in their marginalization.  The limited exports of least-developed countries could be
explained by institutional and infrastructural proble ms and the lack of human resources. The High-Level
Meeting on least-developed countries had raised hopes for liberalizing trade for their exports.  Haiti was
pleased with the outcome of the meeting, and w ith the commitments made.  Haiti itself was committed
to carrying out its share of the measures agreed upon.  Haiti was the only least-developed country in the
Americas, and was situated in close geographic proxi mity to the most highly industrialized country of
the continent.  This was an embarrassing and an intolerable situation.  He called upon his neighbours to
help Haiti benefit from their experience in instituti onal development and technological training, as well
as in other areas.
103. The representative of Papua New Guinea said that when his Government had joined the WTO,
it had not been aware that there would be such a large number of agreements to understand and comply
with.  Small developing countries simply did not have the institutiona l capacity to deal with all these
agreements, let alone to implement them.  In severa l countries, the private sector was not fully aware of
the agreements and their implications.  He re-empha sized the urgent need for technical assistance from
the WTO and other United Nations agencies to assist  the developing countries in this regard.  He
appreciated the seminars conducted by th e WTO and UNCTAD on WTO requirements and
Agreements.  More such seminars were neede d.  With respect to the implementation of WTO
Agreements, his Government had initiated major structural adjustment programmes and reforms to
address structural rigidities including trade a nd investment.  These were being undertaken in
collaboration with the World Bank and the IMF.  He suggested that WTO Agreements be simplified soWT/MIN(98)/WS/M/1
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Members could more easily implement them, pa rticularly since implementation problems were
experienced by numerous countries.  The large volu mes of documents received on a regular basis were
becoming difficult for Members to cope with.  His Government's experience in implementing WTO
Agreements was limited, and it would take some time even for the benefits of trade liberalization to
materialize.  However, in the two years in whic h it had implemented the Agreements, serious problems
had been confronted.  The trade preferences accorded to Papua New Guinea and other countries of the
African, Caribbean and Pacific Gr oup of countries under the Lomé Convention were now under serious
threat.  In the near future, these trade preferences might no longer be enjoyed.  According to the United
Nations, of the 71 ACP States, 38 were amongst the poorest in the world.  The economies of most of
these countries were fragile, and were dependent on the European Community market for their exports.
Serious consideration should therefore be given to maintaining the trade pref erences currently provided
under the Lomé Convention.  While the basic principles of trade liberalization were to be supported,small developing countries could not compete on equa l footing with developed industrial countries.  To
deny this reality would only worsen the current  developmental problems of the developing world.
Adequate time must be given to developing count ries to diversify and restructure their economies.
Assistance by developed countries to  help stimulate growth in devel oping countries was also needed.
Another area of great concern related to the appli cation of sanitary and phytosanitary requirements.
While he acknowledged the importance of strict adherence to health requirements, there was a
misconception that all food products from developing  countries required close scrutiny.  This had
developed into another form of invisible trade barrie r for the exports of developing countries.  He urged
the WTO to be vigilant in ensuring that such disc rimination was not allowed to  take root, and that it
strive to meet the difficult realities that confr onted developing countries, particularly small and
vulnerable economies.
104. The representative of Nigeria said that Nigeria was committed to the rules and disciplines of the
multilateral trading system, and underscored its determ ination to implement its contractual obligations.
The problems of uneven distribution of the benef its of the trading system, the marginalization of
developing countries and their slow pace of integr ation, the limited effects of technical assistance and
the insufficiency of the special and differential tr eatment provisions for addressing these problems were
sources of instability for the trading system.  They needed to be addressed and properly managed.  There
was also a need to strengthen the development di mension in WTO Agreements, in the work of the
Secretariat, and in the multilateral trading system as a whole.  The integration of the development
dimension in WTO work was based on the logic and the recognition that, although trade was the major
engine of growth, the relationship between trad e and prosperity was not automatic and required
appropriate developmental policies.  Furthermore,  pursuant to Article III:5 of the WTO Agreement,
greater coherence had to be achieved in global economic policies.  Beyond maintaining observer status
at each others' meetings, the International Moneta ry Fund, the World Bank and the WTO should address
the trade-related economic problems confronting many  WTO Members.  There was also an urgent need
to assist African countries in developing capacity for effective participation in the dispute settlement
mechanism, and to rectify the anomaly of the virtual absence of African panelists in dispute settlement.
105. Nigeria endorsed the proposals contained in the Report of the Director-General on the outcome
and follow-up to the High-Level Meeting for least-de veloped countries, and hoped that the results of the
Meeting would be extended to other developing A frican countries.  He indicated that the lack of
technical expertise and capacity, of market acce ss opportunities, and the imposition of tariff and non-
tariff barriers and sanitary and phytosanitary meas ures, among others issues, were of concern to his
country.  Nigeria's position was that these implementa tion issues should be given greater attention, and
that there should be no rush to address new issues, w ithout prejudice to the cont inuing discussion of the
built-in-agenda. Trade barriers affecting developing countries should also be abolished.  Nigeria
continued to attach importance to increasing foreig n direct investment in the Nigerian economy, and to
accessing modern technology, and expertise.  This was why it had accorded great importance to theexchange of information and to the educational pr ocess taking place in the Working Group on Trade and
Investment.  He reiterated that the full implem entation of all WTO Agreements was vital andWT/MIN(98)/WS/M/1
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indispensable to the credibility of the trading system.  It provided the necessary incentive for
maintaining the momentum for furthe r negotiations in new areas, and for the expansion of liberalization
efforts in other areas.  If existing Agreements were only partly implemented, the projected benefits
would remain only potential ones and would not mate rialize.  Many devel oping countries, including
Nigeria, had felt betrayed that certain countries that  had pushed hardest for trade liberalization continued
to protect certain economic sectors such as agricu lture.  This denied developing countries increased
revenues in the agricultural sector, as well as the pos sibility to diversify their exports. To maintain the
system's credibility and the momentum for liberaliz ation, current agreements needed to be fully
implemented but at an attainable pace for deve loping countries.  The WTO had begun to assist
developing countries but more needed to be done.
106. The representative of Poland said that at the first Ministerial Conference, Poland had had a
positive assessment of the implementation of WTO Ag reements.  Since then, implementation had been
proceeding satisfactorily, and achievements had been made in areas such as financial services.  The
WTO system was complex, and it required significant legal and administrative capacity.  This was
burdensome for some Members, and delays were experienced.  He expressed his belief that
transparency, while commendable as an objective, should be achieved in the simplest possible way.
Poland applied WTO rules and liberalized trade in goods and services in accordance with WTOobligations.  It attached great importance to the di spute settlement system, which was one of the pillars
of the multilateral trading system.  No proceedings  had been initiated against Poland under the dispute
settlement system.  Its accession to the European Union would enhance its commitment to the WTO.
Much of Poland's trade fell under regional trade agr eements.  These were compatible with WTO rules
and should be considered as being in harmony with global trade liberalization.  Poland did not intend tolimit anyone's right to analyze the consistency of th ese agreements with WTO rules.  However, it did not
believe that such examinations should be based solely on the criteria established under Article XXIV of
GATT 1994 and the practice relating to its application.
107. The representative of Guyana said that his Government was committed to:  (i) promoting an
open, non-discriminatory, fair and equitable multilateral trading system that would enable countries  -
particularly developing countries - to improve their economic systems and enhance the living
standards of their peoples through sustained economic development;  (ii) improving market access for
trade in goods and services;  (iii) promoting and supporting policies, both domestic and international,
which would make economic growth and environmental protection mutually supportive; and (iv)
fostering global economic policy-making that safeguarded the vital interests of the small and
vulnerable economies of the developing world.  Much had been achieved since Singapore, including
the Agreements on Basic Telecommunications and Financial Services and the implementation of theAgreement on Information Technology.  The dispute settlement system was functioning well but
could be improved.  The membership of the WTO had expanded and new members were being
accepted.  These successes of the WTO had been reflected in its significant contribution to economic
growth, employment and stability.  However, there was a need to more closely examine the impact of
the WTO at the national level, particularly for small economies. Guyana had undertaken acomprehensive structural adjustment programme in collaboration with the World Bank and the
International Monetary Fund.  It recognized the importance of restructuring its economy in order to
take advantage of the opportunities afforded by the liberalization of the multilateral trading system.
However, Guyana's debt burden was very severe.  Debt servicing as a percentage of current revenues
increased from 42.6 per cent in 1996, to 54.1 per cent in 1997 and was expected to further increase in1998.  Its current account balance had deteriorated by Gy$10.2 billion between 1995 and 1997.  It
continued to experience a net outflow of financial resources.  Subsequently, it welcomed the initiative
of multilateral financial institutions regarding HIPC countries, and urged that every effort be made to
ensure that the debt problem was solved.  In light of trade expansion and improved standards of living
in the developed world, it was necessary that developing countries be helped in experiencing similarimprovements;  otherwise poor people in these countries were likely to resort to the production and
export of drugs to developed countries.  This was a situation which had to be prevented at all cost.  InWT/MIN(98)/WS/M/1
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constructing a single global village, he believed that there was a need to build a political framework
underpinned by the rule of law, democracy and good governance, and which was based on consensus.
108. The representative of Fiji said that for developing countries, constrained by resources, the
emphasis should surely be to concentrate on the implementational aspects of the WTO Agreement.
Developing countries lagged behind the developed countries in compliance with the provisions of theAgreement.  They still needed to establish their domestic administration to monitor and coordinate the
numerous notification requirements.  In addition, they needed to draft and implement much-needed
legislations and policies, and to establish work and procedural systems that were essential for
compliance.
109. The representative of Uganda said that the objective of facilitating and promoting the
economic development of developing countries was reiterated in the Uruguay Agreements.  As he
Preamble of the Marrakesh Agreement clearly stated: "There is need for positive efforts designed toensure that developing countries, and especially the least developed among them, secure a share in the
growth in international trade commensurate with the needs of their economic development."
Globalization and liberalization, while increasing efficiency, had resulted in the marginalization of
developing countries, especially the least-developed among them.  Many countries lacked various
elements, - physical, financial, human and institutional infrastructure – necessary to enter andcompete effectively in international markets.  Domestic supply side constraints seriously limited
developing countries' export response and the ability to exploit their market access potential.
110. The key issue for Uganda, as indeed for all developing countries, was that the Agreements
emanating from the multilateral agenda for negotiations be supportive of developing countries'
strategy for national economic development, and in particular the role played by trade.  Investmentand removal of economic barriers were crucial to strengthening the capacity of developing countries
to manage their development process.  Uganda was committed to economic and trade liberalization.
For a least-developed country, its economic and trade regime stood out as being among the most
liberal in the world.  If such economies were to be able to attract investment, expand production,
improve product quality, meet standards and benefit from the opportunities presented by themultilateral trading system, this liberalization had to  be complemented by a supportive international
environment.  This meant addressing the problems of debt, market access and supply constraints.
111. As a developing country, Uganda placed great importance on the implementation of the
Uruguay Round Agreements.  For Uganda and others, the success of the WTO would be measured on
the basis of whether implementation had succeeded in contributing significantly to the development of
their economies.  The WTO should take stock of the implementation process to evaluate whether the
prospects of economic growth and sustainable development of developing countries had beenachieved as anticipated in the Uruguay Round Agreements.  For most developing countries,
implementation of the WTO Agreements had been burdensome and, therefore, required significant
technical assistance.  For example, a number of ACP countries had faced difficulties in fulfilling their
notification obligations, as well as in seeking to exploit opportunities which the Uruguay Round
Agreements offered, due to limited human and institutional capacity.  These countries also faceddifficulties in meeting the time frames of the transition periods.  There was an urgent need for these
countries to be provided with resources, both financial and technical, to prepare domestic legislation
in conformity with the Uruguay Round Agreements.  The reason for the transition arrangements had
been not only to give developing countries a longer time to prepare legislation.  There had also been
an implied assumption, especially for the least-devel oped countries, that they would be provided with
the economic assistance to develop and reach a stage where they had the capacity to comply with, and
reap the benefits from, the Uruguay Round Agreements.  The ACP Group had supported the initiative
for the least-developed countries, but had noted the need for appropriate measures and mechanisms
for the effective implementation of the decision.  Various disadvantages characterized the vulnerable,
low-income, landlocked and small island economies, and special consideration should be given toWT/MIN(98)/WS/M/1
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them in the WTO.  Uganda urged the WTO and other agencies to improve the technical assistance
provided to ACP countries in order to meet their specific needs.  The technical assistance should
target both the need to understand the various Uruguay Round Agreements, and the need to develop
their capacity to meet their WTO obligations and to overcome supply-side constraints.  Regarding the
process of accession, developing countries, especially small and island economies, should not berequired to undertake obligations beyond those relating to the strict application of WTO Agreements.
To facilitate the integration of developing countries in the globalized and liberalized international
economy, the role of the private sector in enhancing development was vital.  The multilateral trading
system should adopt measures supporting the private sector in developing countries.  Uganda urged
the WTO and the Bretton Woods institutions to improve their coordination in global policy-making.
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