MC 13 Fails on Food and Fisheries; e-Commerce & TRIPS

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The World Trade Organization’s 13th ministerial conference failed to deliver outcomes in agriculture, particularly the permanent solution for public stockholding programs for food security and domestic support work program, as well as on fisheries subsidies for addressing overcapacity and overfishing caused by large-scale subsidizers depleting global fish stocks.

Trade ministers, however, approved the extension of the e-commerce moratorium and some improvements in the special and differential treatment provisions, including for countries graduating from their current least-developed country status, our correspondent writers 

They also approved the continuation of ongoing reform discussions of the WTO's dispute settlement system.

WTO Director-General Ngozi Okonjo-Iweala attempted to downplay the major setbacks suffered at MC13 in agriculture and fisheries subsidies suggesting that the work will continue based on the current texts in Geneva. She said in the face of a lot of headwinds, it is difficult to secure outcomes. She claimed that there are significant results with the agreement on the e-commerce moratorium.

On fisheries subsidies, ministers came close but on one or two issues there was no agreement, she said. The DG praised the United States for its constructive engagement in the DSS reform discussions.

On the e-commerce moratorium, which is slated to end on the first day of the 14th ministerial conference, countries that want to continue with the moratorium can do so, she said. Later, in a question from reporter about her statement that countries who want to continue the moratorium would imply that it would be extended, she said: “I think that the membership just agreed to extend the moratorium with very firm dates for its conclusion and I think that's where the membership wants to go. So I have to abide by what the membership has just decided.”

She mentioned the Investment Facilitation for Development Agreement, suggesting that despite the failure to approve the plurilateral agreement at MC13, the work will continue on this issue at the WTO.

European Union trade commissioner Valdis Dombrovskis said thecontinuation of the e-commerce moratorium for another two years is a significant outcome, adding that discussions will continue on IFDA and other issues. The EU, which is the main demandeur of the fisheries subsidies agreement, expressed its disappointment over India for blocking its conclusion.

On the failure to secure the permanent solution for public stockholding programs for food security, Indian commerce minister Piyush Goyal blamed the developed countries for their opposition to deliver on a mandated issue and for their opposition against changing the external reference price that is currently based on 1986-88 prices.

They also provided subsidies that contributed for overcapacity and overfishing for the past 50 years resulting in the depletion of their fish stocks. He said India could not accept a repeat of the Uruguay Round agriculture agreement in OC&OF subsidies.

However, as a friendly gesture and in deference the UAE minister he agreed to e-commerce moratorium. He said “the UAE minister requested it personally and he's a friend, so out of friendship India agreed,” Mr. Goyal said.

Surprisingly, India did not link the e-commerce moratorium with the other moratorium on TRIPS non-violation situation complaints.

At the informal meeting, Colombia's trade minister German Umana asked for reinstating the TRIPS moratorium, following which it was adopted, the chair for MC13 declared at the informal Head of Delegations meeting.

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