RESTRICTED
WORLD TRADE G/C/W/57
9September 1996
ORGANIZATION(96-3498)
Original: English COUNCIL FOR TRADE INGOODS
19September 1996
ZIMBABWE -PARAGRAPH 4OFARTICLE IOFGATT 1994
Draft Decision
Taking noteoftherequest1fromtheGovernment oftheRepublic ofZimbabwe forarenewal
ofthewaiver fromitsobligations under paragraph 4ofArticle IoftheGeneral Agreement onTariffs
andTrade (hereinafter referred toas"GATT") 1994, withrespect todates applicable toMembers for
purposes ofparagraph 4andAnnex GtoGATT 1994, which waiver wasoriginally granted bythe
CONTRACTING PARTIES toGATT 1947(hereinafter referred toastheCONTRACTING PARTIES)
on19November 19602;
Considering thatthefootnote toAnnex 1A,Section onGATT 1994, subparagraph 1(b)(iii)
oftheAgreement Establishing theWorld Trade Organization (hereinafter referred toas"theWTO
Agreement") requires theMinisterial Conference toestablish atitsfirstsession arevised listofwaivers
granted under Article XXV ofGATT 1947andstillinforce onthedateofentry intoforce oftheWTO
Agreement;
Bearing inmindthatbyaDecision of31January 19953theGeneral Council established alist
ofwaivers existing attheentry intoforce oftheWTO Agreement, which included thewaiver granted
toSouth Africa, Malawi andZimbabwe on19November 1960;
Taking intoaccount thatparagraph 2oftheUnderstanding inRespect ofWaivers ofObligations
under GATT 1994 provides thatanywaiver ineffect onthedateoftheentry intoforce ofthe
WTO Agreement shall terminate, unless extended inaccordance withtheprocedures setoutin
paragraph 1oftheaforementioned understanding andthose ofArticle IXoftheWTO Agreement,
onthedateofitsexpiry ortwoyears from thedateofentry intoforce oftheWTO Agreement,
whichever isearlier;
Considering thatbyaDecision of3December 19554andsubsequent related actions, the
CONTRACTINGPARTIESacceptedtheincreaseinmarginsofpreferenceresultingfromtheapplication
ofthe1955 tariff ofMalawi andZimbabwe andtheir1955 Agreements withSouth Africa asnot
increasing theoverall levelofpreferences accorded bythethreecountries involved, andmade provision
that,following thecompletion oftheadjustments permitted bythe1955Decision, theCONTRACTING
PARTIES would establish newdates forthepurposes ofparagraph 4ofArticle IofGATT 1994 for
Malawi andZimbabwe, andforSouth Africa inrespect ofproducts ofMalawi andZimbabwe;
1G/L/106
2BISD 9S/46
3WT/L/3/Corr.1
4BISD 4S/17
./.G/C/W/57
Page2
Bearing inmindthatanumber ofadjustments inmargins ofpreference havebeenmade under
the1955Decision, andthattheperiods thereunder formaking anyfurther adjustments under theterms
ofthatdecision haveexpired;
Having regard totheGuiding Principles tobefollowed inconsidering applications forwaivers
adopted on1November 1956, theUnderstanding inRespect ofWaivers ofObligations under
GATT 1994, andparagraphs 3and4ofArticle IXoftheWTO Agreement;
Members,actingpursuanttotheprovisionsofparagraph3ofArticleIXoftheWTOAgreement,
Decide that
1. Subject totheterms andconditions setouthereunder, theprovisions ofparagraph 4ofArticle I
ofGATT 1994shallbewaived withrespect totheGovernment ofZimbabwe until31December 1997,
totheextent necessary topermit theGovernment ofZimbabwe tomake thefollowing changes inthe
dates applicable toitforthepurposes ofparagraph 4andAnnex GtoGATT 1994, provided they
satisfy theGeneral Council bymeans ofsuchconsultations asmaybeheldpursuant tothisDecision,
together withtheinformation required tobereported totheGeneral Council, thattheiractions inthe
exercise ofthiswaiver areconsistent withtheintent ofGATT 1994.
Zimbabwe: 3December 1955, provided thatthetariff adjustments made byZimbabwe on
8March 1957 andtariff adjustments made atanytimebyitpursuant tothedecision of
3December 1955 shallbedeemed forthispurpose, tohavebeenineffect onthatdate.
2. TheGovernment ofZimbabwe shall, uponrequest, promptly enterintoconsultations withany
interested Member withrespect toanydifficulty ormatter thatmayariseasaresult ofthewaiver,
where aMember considers thatanybenefit accruing toitunder GATT 1994maybeorisbeing impaired
unduly asaresult ofthewaiver, andsuchconsultation shallexamine thepossibility ofaction fora
satisfactory resolution oftheproblem ormatter. ThisDecision doesnotaffect Members 'rights as
setforth intheUnderstanding inrespect ofWaivers ofObligations under GATT 1994.