RESTRICTED
WORLD TRADE WT/COMTD/W/20
4November 1996
ORGANIZATION(96-4652)
Committee onTrade andDevelopment
DRAFT COMPREHENSIVE AND INTEGRATED
WTO PLAN OFACTION FOR THE LEAST-DEVELOPED COUNTRIES
AtitsTwelfth Session, theCommittee onTrade andDevelopment considered thefollowing
draftWTO PlanofAction fortheLeast-Developed Countries, andagreed toforward itforconsideration
totheGeneral Council andsubmission toMinisters foradoption inSingapore.
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Preamble
1. TheWTO Decision onMeasures inFavour ofLeast-Developed Countries provides forWTO
Members toadopt positive measures infavour ofleast-developed countries. Other WTO legal
instruments contain additional provisions for,interalia,enhancing theirtrading opportunities andtheir
integration intothemultilateral trading system. Theimplementation ofthese commitments remained
apriority forWTO Members. Similar objectives haveledtoinitiatives launched byother agencies -
including theUnited Nations, theUnited Nations Conference onTrade andDevelopment (UNCTAD),
theInternational Trade Centre (ITC), theWorld Bank andtheInternational Monetary Fund (IMF).
2. Acomprehensive approach, bringing together national efforts andthose oftheinternational
community, isrequired toachieve growth inleast-developed countries through appropriate
macroeconomic policies, supply-side measures andimproved market access. Least-developed countries
wishing totakeadvantage oftheopportunities provided forinsome WTO Agreements toattract foreign
direct investment should beassisted.
3. ThisPlanofAction offers acomprehensive approach andincludes measures relating tothe
implementation oftheDecision inFavour ofLeast-Developed Countries, aswellasintheareas of
capacity-building andmarket access fromaWTO perspective. Itenvisages acloser cooperation between
theWTO andother multilateral agencies assisting least-developed countries. Thisisalsoinconformity
withtheMarrakesh Declaration ontheContribution oftheWTO toAchieving Greater Coherence in
Global Economic Policymaking ,acentral purpose ofwhich istocontribute totheexpansion oftrade,
sustainablegrowthanddevelopmentofdevelopingcountries,includingleast-developedcountries,through
thecloser cooperation oftheWTO withtheWorld Bank andtheIMF.
4. TheWTO PlanofAction willbeapplied inrespect oftheleast-developed countries designated
assuchbytheUnited Nations which areMembers oftheWTO.WT/COMTD/W/20
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I. Implementation oftheDecision onMeasures inFavour ofLeast-Developed Countries
5. While theDecision onMeasures inFavour ofLeast-Developed Countries contains callsfor
action, thefollowing could contribute toamore effective implementation.
(a) TheWTO Members shallstepuptheirefforts toimprove thecapacity ofleast-developed
countries 'tomeettheirnotification obligations.
(b) Aneffective review every twoyears intheCommittee onTrade andDevelopment (in
accordance withitsterms ofreference) onthebasis ofreports bytheChairpersons
oftherelevant WTO Bodies andother available information oftheimplementation
ofmeasures infavour ofleast-developed countries. Thisshould coincide withthe
Ministerial Conferences.
(c) TheWTO Bodies areinvited toidentify means toassist least-developed countries in
implementing theirWTO commitments.
(d) TheCommittee onTrade andDevelopment willexplore ways ofensuring greater
disclosure oftheapplication oftheUruguay Round provisions infavour of
least-developedcountries1;and,ofincreasingeffortstodisseminateinformationrelating
tothose provisions.
II. Human andInstitutional Capacity-Building
6. IntheGuidelines forWTO Technical Cooperation, least-developed countries arepriority
beneficiaries. TheMembers oftheWTO shallensure thatthispriority isassigned toleast-developed
countries, andinaccordance withtheGuidelines, theeffectiveness ofthetechnical cooperation will
becontinually evaluated against thispriority.
7. With aviewtoassisting intheinstitutional capacity-building intheareaoftrade, theWTO
shallwork withother relevant agencies todevelop acomprehensive approach andoutline adivision
oflabour, inparticular withUNCTAD andtheITC, aswellaswithUNDP, theWorld Bank, IMF
andRegional Banks. TheDevelopment Assistance Committee (DAC) oftheOECD should alsobe
involved. Withregard tosupply-side constraints, priority should beattached toexport diversification
andfacilitating theimplementation ofcommitments toallow least-developed countries tobenefit from
thenewmarket opportunities deriving from theUruguay Round. TheWTO should cooperate with
other relevant institutions inorder toencourage afavourable investment climate.
8. JointWTO/ITC training courses could beorganized forpublic sector officials andtheprivate
sector.
9. TheWTO should explore theavailability ofresources fortheprovision oftechnical assistance
toleast-developed countries bydeveloping countries withsuccessful experiences intrade.
10. Theparticipation ofleast-developed countries 'officials inWTO meetings would befinanced
bystrictly voluntary contributions.
1Forexample, byimproving theflowofinformation, inparticular (a)from Members offering thebenefits
toMembers potentially using them and(b)from allMembers totheCommittee.WT/COMTD/W/20
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III. Market Access
11. Theinitiatives proposed below arepresented asoptions tobeexamined byWTO Members
inthelightoftheSingapore Ministerial Conference toimprove theaccess tothemarkets ofexports
ofleast-developed countries. Further consideration should begiven toadditional multilateral action
andcoordination inthisendeavour.
- Developed country Members, anddeveloping country Members onanautonomous
basis,would explore thepossibilities ofgranting preferential duty-free access forthe
exports ofleast-developed countries. Inbothcases exceptions could beprovided for.
- WTOMembersshouldendeavourtomakeuse,whenpossible,oftherelevantprovisions
oftheAgreement onTextiles andClothing toincrease market access opportunities
forleast-developed countries.
- Whenever provided forintheWTO Agreements, Members maydecide toextend
unilaterally andonanautonomous basis, certain benefits toleast-developed countries '
suppliers.
- WTO Members should pursue, onanautonomous basis, preferential policies and
liberalization undertakings inorder tofurther facilitate access totheirmarkets forleast-
developed countries 'exports, suchasanearly implementation ofUruguay Round
undertakings.
IV. Other Initiatives
12. TheSecretariat shallprovide factual andlegalinformation toassist acceding least-developed
countries indrawing uptheirMemorandum ontheForeign Trade Regime, aswellastheirSchedules
ofConcessions forgoods andCommitments inservices.
13. Inaccordance withitsmandate, theWTO shallendeavour towork jointly withother relevant
multilateral andregional institutions toinduce investment inleast-developed countries asaresult of
newtrade opportunities.
14. Individual Members maystudy thefeasibility ofbinding preferential tariff ratesinaWTO
preferential scheme which would beapplicable toleast-developed countries only.