RESTRICTED
WORLD TRADE WT/GC/M/2
20April 1995
ORGANIZATION(95-0970)
GENERAL COUNCIL
24March 1995
MINUTES OFMEETING
atthelevelofHeads ofDelegations
Held intheCentre William Rappard
on24March 1995
Chairman :Mr.K.Kesavapany (Singapore)
TheChairman stated that,asindicated intheWTO/AIR/51, thismeeting hadbeenconvened
toconsider theappointment ofthesuccessor ofthepresent Director-General oftheWTO, Mr.Peter
D.Sutherland. Following theconsensus reached inconsultations heldoverthepastninemonths, he
proposed thattheMembers agree toformally appoint Mr.Renato Ruggiero astheDirector-General
oftheWTO foronefour-year termeffective asfrom 1May1995.
TheGeneral Council soagreed.
TheChairman saidthatduring theconsultations held, anunderstanding hadbeenreached that
thenextDirector-General would beanon-European. Another understanding reached hadbeenonthe
creation ofonemorepostofDeputy Director-General, inaddition tothethreeexisting Deputy Director-
General posts. Itwastherefore recommended thatthenecessary measures tocreate suchaposition
andtomake theappointment betaken upimmediately bytheWTO Committee onBudget, Finance
andAdministration andthenewDirector-General respectively. Inthisregard, theinterests andconcerns
ofsome regions, particularly theAfrican region, should betaken intoaccount infuture appointments.
TheChairman thenproposed thatconsultations beundertaken bytheChairman oftheGeneral
Council, atappropriate time, ondevising ofmore effective procedures forfuture appointments ofa
Director-General totheWTO.
TheGeneral Council tooknoteoftheunderstanding reached thatthenextDirector-General
would beanon-European, invited theWTO Committee onBudget, Finance andAdministration to
takeupthequestion oftheestablishment ofanother postofDeputy Director-General andreport to
theGeneral Council onthismatter, takeintoaccount theinterests andconcerns ofsome regions,
particularly theAfrican regions, onthequestion offuture appointments, andauthorized theChairman
toundertake consultations attheappropriate timeonthedevelopment ofprocedures fortheappointment
infuture ofaDirector-General.
Therepresentatives ofMorocco, onbehalf oftheAfrican countries, Turkey, Switzerland,
Bangladesh, onbehalf oftheleast-developed countries andCanada expressed great satisfaction and
relief attheconsensus finally reached bytheMembers.WT/GC/M/2
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Therepresentative ofKorea expressed appreciation tothedelegations andtheirgovernments
thathadsupported Mr.Kimtothelastmoment fortheirvaluable support andencouragement, and
tomany colleagues who,although sponsoring another candidate, hadextended understanding andmoral
support.
Therepresentative ofBrazil, onbehalf oftheLatin American andCaribbean countries said
thatMembers oftheWTO hadstrived tocome toaconclusion onthiscrucial issue. Although thehigh
qualities andrecognized authority ofthecandidates hadmade thechoice extremely difficult, ithad
enhanced thehighstandards expected from theincumbent ofthepostofDirector-General ofWTO.
Hewasgrateful toformer President Carlos Salinas ofMexico andtoAmbassador KimIlChuofKorea
forhaving contributed tothebuilding oftheconsensus.
Therepresentative ofItalyexpressed gratitude todelegations thathadsponsored thecandidate
oftheEuropean Union rightfromthebeginning andtothose whohadjoined theconsensus. Healso
extended acknowledgment totheambassadors ofKorea andMexico who, while discharging their
respective mandate andinstructions, hadalways maintained cordial relations withhisdelegation.
TherepresentativesofMorocco,onbehalfoftheAfricancountries,Korea,Turkey,theEuropean
Communities, Switzerland, France, Bangladesh, onbehalf oftheleast-developed countries, Canada
andItaly, expressed admiration andappreciation toAmbassador Szepesi, Ambassador Zahran and
Ambassador Kesavapany fortheirdedication, objectivity andprofessionalism inconducting thisnine-
month process ofselection toasuccessful conclusion.
Therepresentatives ofMorocco, onbehalf oftheAfrican countries, Turkey, Switzerland,
Bangladesh, onbehalf oftheleast-developed countries, Brazil, onbehalf oftheLatin American and
Caribbean countries andCanada expressed gratitude toMr.P.Sutherland, thepresent Director-General
oftheGATT andtheWTO. Therepresentative ofBrazil onbehalf oftheLatin American andCaribbean
countries underlined thatMr.Sutherland hadrendered agreat service tothecause ofimproving the
multilateral tradesystem andespecially totheconclusion oftheUruguay Round. Hewasalsograteful
tohimforhaving agreed toprolong hisservice forthetimeneeded forthecompletion oftheselection
process ofanewDirector-General.
TherepresentativesofMorocco,onbehalfoftheAfricanCountries,Korea,Turkey,theEuropean
Communities, Switzerland, France, Bangladesh, onbehalf oftheleast-developed countries, Brazil,
onbehalfoftheLatinAmericanandCaribbeancountries,CanadaandItalyextendedtheircongratulations
toMr.Renato Ruggiero, thenewDirector-General oftheGATT andtheWTO. Therepresentatives
ofMorocco onbehalf oftheAfrican countries, Korea, Turkey, Switzerland, theEuropean Communities,
Bangladesh onbehalf oftheleast-developed countries, Brazil onbehalf oftheLatin American and
Caribbean countries andItalywereconvinced thatthequalities ofMr.Renato Ruggiero, hisdiplomatic
experience, hisdeep knowledge inthefieldoftrade andinternational economic relations andhis
managerial skills would enable himtoperform hisduties attheheadoftheWTO withefficiency and
distinction. Therepresentative ofTurkey stated thatMr.Ruggiero would notonlyfocus onthesmooth
implementationoftheUruguayRoundresults,butalsoontheacknowledgementoftheindividualmember
country concerns andonthewell-established working atmosphere fortheSecretariat staff. The
representatives ofMorocco, onbehalf oftheAfrican countries, Switzerland, Bangladesh, onbehalf
oftheleast-developed countries andBrazil, onbehalf oftheLatin American andCaribbean countries
saidthatMr.R.Ruggiero could count upon theircooperation intheperformance ofhischallenging
task.
Therepresentative ofMorocco, onbehalf oftheAfrican countries noted withsatisfaction the
specific reference made totheconcerns voiced bytheAfrican countries which hadstemmed from a
legitimate ambition toseeaDeputy Director-General fromtheirregion inthenextnomination. AlthoughWT/GC/M/2
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theDirector-General wasresponsible fortheallocation oftasksintheSecretariat inconsultation with
theMembers, thisspecific reference totheAfrican region gaveaclear-cut direction inthisregard.
Healsowanted torefute unacceptable allegations thatAfrican countries hadintroduced aregional aspect
intheselection procedure. Hepointed outthatthiswasnotsomething thatstemmed from them. He
recalled that,although African countries hadasked neither forthecreation ofathirdnorafourth Deputy
Director-General post, theyhadshown great understanding andhadgiven theiractive support since
theyhadalways moved towards theconsensus. African countries werequitesurprised that,when they
hadvoiced theirfeelings inreaction toanevent, theyhadtofacesystematic objections.
Therepresentative ofTurkey supported theChairman 'sproposal ofundertaking consultations
oneffective procedures fortheappointment infuture ofaDirector-General totheWTO inorder to
overcome thedefects inexisting procedures.
Therepresentative oftheEuropean Communities stated thatthechoice ofaDirector-General
should bebased onthequalities andtheexperiences ofthecandidate andselection intheWTO should
notbeinfluenced byregional criteria.
TherepresentativeofSwitzerlandsaidthatalthoughhisGovernmentdidnotquestiontheeminent
qualities ofthecandidates tothepostofDirector-General, itregretted thatthestructures ofthe
organization hadcome tobeusedforobjectives which were foreign totheefficient management of
theorganization, particularly when great efforts were being made byallitsMembers tomake its
management more efficient, based onobjective criteria, inorder toenable theorganization tomeet
thenewchallenges thatitwasfacing atthestartofitsexistence. HisGovernment alsoregretted the
sudden importance thatwasbeing accorded indecisions andagreements approved atthismeeting to
theconcept of"geographical representation" intheorganization 'sexecutive structures. TheGATT
hadforthemostpartmanaged toprotect itsSecretariat fromthishandicap. Thishadbeenoneofthe
fundamental reasons fortheremarkable efficiency ofthatSecretariat. Hebelieved thatWTO Secretariat
should beatleastasefficient astheGATT Secretariat. Over themonths andyears tocome, much
careandenergyshouldbedevotedtocontrollingthisdevelopmentwhich,ifuncurbed,couldbedisastrous
fortheOrganization. Forthatreason, Switzerland strongly urged thatnoexclusion orautomatic
preference beapplied inrespect ofanyapplicant onthegrounds oftheirgeographical origin withregard
toanyjob,whatever theposition, bothnowandinthefuture. Thisapproach would bethebasis of
thepolicy pursued bySwitzerland during theconsultations andnegotiations tocome inthework that
would bepresided bytheChairman oftheGeneral Council andinanyother context.
Therepresentative ofFrance hadtaken notethat,inhisstatements, theChairman hadreferred
toequality when commenting onappointments within theWTO, bothtoheadtheOrganization and
atother levels, nowandinthefuture. Nobody could question thisequality, which consisted ofequality
ofrights, although theWTO waslesslikely thanothers tooverlook thefactthatitalsomeant equality
ofobligations. NoMembers weremore equal thanothers andnoMembers werelessequal thanothers.
Hehadfurther noted intheChairman 'sstatements thatthelatter hadalsoreferred tofraternity which
could finditsexpression inthemanner inwhich decisions byconsensus wasreached. Although
improvements would undoubtedly havetobemade, given thatthere hadbeentimes when thesystem
hadnotfunctioned smoothly, consensus wasnotonlyawayofworking, itwasaculture. Forforty-seven
years, theGATT 'sculture hadmade itpossible toavoid sterile confrontations andpoliticization. He
hoped thattheWTO would continue along thesame path.
Therepresentative ofBrazil, onbehalf oftheLatin American andCaribbean countries had
taken noteoftheunderstandings thathadjustbeenapproved bytheGeneral Council, including the
question oftheestablishment ofanewpostofDeputy Director-General, andtheremark ontheneed
fortheinterests ofdifferent regions tobetaken intoaccount. While hehadsympathy forthelegitimate
concerns expressed bytheAfrican region, hereiterated theconviction oftheLatin American andWT/GC/M/2
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Caribbean countries thattheconcerns ofother regions should beequally taken intoconsideration.
Therepresentative ofCanada saidthatregional representation criteria inselecting senior official
intheSecretariat hadbeenavoided uptothepresent time. Herecalled thatwhen appointing athird
Deputy Director-General inJuly1993, theonlyfactor taken intoaccount inthatprocess, other than
thecompetence oftheindividual, hadbeeninterms ofdeveloped anddeveloping countries. Hestated
thatwhile implementing thedecision taken today, oneshould avoid togetintotheprocess whereby
theWTO would become aUnited Nations body byformalizing regional concerns.
Mr.Metzger (France), Chairman oftheBudget Committee oftheGATT andtheWTO, said
thathehadtaken noteoftherequest totheBudget Committee atthepresent meeting. TheCommittee
would examine thematter withaviewtotherapid submission ofnecessary recommendations tothe
General Council. Thework oftheBudget Committee inthisrespect would beundertaken assoon
aspossible, inaccordance withtherelevant procedures.
Therepresentative oftheEuropean Communities wished topayspecial tribute toAmbassador
Szepesi whowastojointheSecretariat andwould beincharge oftheTextiles Monitoring Body, to
which anumber ofcountries attached agreat importance.
TheChairman, onbehalf oftheGeneral Council, alsoconveyed toAmbassador Szepesi his
bestwishes inhisfuture undertakings.
TheGeneral Council tooknoteofthestatements.