WORLD TRADE
ORGANIZATIONWT/GC/W/455
6 November 2001
(01-5440)
General Council Original:  English
PREPARATIONS FOR THE FOURTH SESSION OF THE MINISTERIAL CONFERENCE
Comments on the Draft Ministerial Declaration of 27 October 2001 (Job (01)/140/Rev.1)
Communication from Cuba
The following communication, dated 1 November 2001, has been received from the
Permanent Mission of Cuba.
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General
1. It is quite disappointing to note that the revi sed Draft Ministerial Declaration of 27 October
2001 has not taken on board the comments, concerns and interests of a large number of developing
countries, expressed by them during the various consultations held by the Chairman of the General
Council on the Draft of 26 September 2001.  In this sense, we consider unacceptable this Draft
Ministerial Declaration as a base for negotiations.
Preamble - Paragraphs 1 to 11
Para 1. While an equitable and rule-based multilateral trading system can contribute to economic
growth, development and employment, it has not always been the case.  Smaller developing countries,
have felt marginalized and have not been able to reap the expected and promised benefits from the
system.  The first para therefore should be less unambiguous on this issue and recognize both the
opportunities and challenges faced by developing countries in the multilateral trading system.
Para 2. This para is too weak.  It needs to be strengthened with a view to putting development rather
than ‘their needs’ at the heart of the WTO’s work programmePara 4. Especially in the context of the current c limate, there needs to be a statement of commitment
on seeking multilateral solutions within a multilateral system, leaving no room for unilateral action of
any kind. In this regard, we propose to include the following paragraph:
We stress the importance for all countries of consistency between national trade policies and
the multilateral trade agreements. In this regard, we reiterate our concern and call for the eliminationof the continuing use of coercive economic measures against developing countries, through, inter alia,
unilateral economic and trade sanctions which are in contradiction with international law, in particular
new attempts aimed at extraterritorial application of domestic law, which constitute a violation of the
United Nations Charter and of WTO rules.
Para 6. This para devotes too much space to reaffirming the right to undertake environmental
measures. The third sentence should be deleted.WT/GC/W/455
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Para. 7. This paragraph should be located in the section on services.  However, it is probably more
adequate to simply delete it.
Para 8. This para should be deleted in the first instance.  As alternative, we propose the following
paragraph:
We reaffirm that ILO is the competent body to set and deal with all issues relating to labour
standards. We therefore firmly oppose any linkage between trade and labour standards. We believe
that issues relating to such standards should be dealt with by the competent international organization
and not by the WTO.
Para 10. The issue of an ‘expanding membership’ does not bear relationship to this problem.   A firm
decision should be taken to seriously address this re-occurring problem.  The General Council should
be instructed to develop a work programme and recommend measures which will guarantee full and
effective participation by all members and transparency by the fifth Ministerial.
Para 11. Any reference to an ‘expanded negotiating agenda’ should be deleted.
Implementation-Related Issues and Concerns - Paragraph 12
12. This para will be subject to approval of outcomes derived from Draft Decision on
Implementation-Related Issues and Concerns (Job (01)/139/Rev.1) which still falls much short of our
expectations.  With regard to para 12 of the Draft Ministerial Declaration, following can be of major
concern to developing countries:
(a) All implementation issues should therefore be addressed under the existing Special
Mechanism of the General Council, with the help of subsidiary bodies when needed,
with a view to effectively resolv ing them latest by the end of 2002.
(b) A related concern is the references in this para to paras 39 and 40 of the Draft
Declaration.  There is no agreement on the proposed organization of the new work
program and, in view of the desire of developing countries to keep the
implementation issues under the Special Mechanism of the General Council, thereshould not be any reference to other paras here.
Agriculture  - Paragraph 13
Proposed Alternative formulation  (inclusions indicated in bold):
13. We recognize the work already undertaken in the negotiations initiated in early 2000 under
Article 20 of the Agreement on Agriculture, incl uding the large number of negotiating proposals
submitted on behalf of a total of 121 Members.  We recall the long-term objective referred to in theAgreement to establish a fair and market-oriented trading system through a programme of
fundamental reform encompassing strengthened rules and specific commitments on support and
protection in order to correct and prevent restrictions and distortions in world agricultural markets.
We reconfirm our commitment to this programme.  Building on the work carried out to date, we
commit ourselves to comprehensive negotiations aimed at:  substantial improvements in marketaccess, including through the elimination or substantial reduction of tariff peaks, tariff
escalation and non-tariff barriers ; reductions of, with a view to phasing out, all forms of export
subsidies; and substantial reductions in trade-distorting domestic support.  Recognising the
vulnerability of the agriculture sector in developing countries we agree that special and
differential treatment for developing countries shall be an integral part of all elements of thenegotiations and shall be embodied in the Schedules of concessions and commitments and asWT/GC/W/455
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appropriate in the rules and disciplines to be negotiated, so as to be operationally effective and to
enable developing countries to effectively take account of their development needs, including food
security, poverty erradication  and rural development, through the provisions of an appropriate
‘development box’ . The concerns and specific problems of NFIDC’s shall also be effectively
addressed.  We take note of the non-trade concerns reflected in the negotiating proposals submitted by
Members and confirm that non-trade concerns will be taken into account in the negotiations as
provided for in the Agreement on Agriculture. NTCs must not be used as a technical barrier to
trade .
14. No changes proposed.Services - Paragraph 15
Proposed alternative formulation (inclusions indicated in bold):
15 The negotiations on trade in services shall be conducted with a view to promoting the
economic growth of all trading partners and the de velopment of developing countries.  We recognize
the work already undertaken in the negotiations, initiated in January 2000 under Article XIX of the
General Agreement on Trade in Services, and the large number of proposals submitted by Members
on a wide range of sectors and several horizontal issues, as well as on movement of natural persons.
We confirm that greater emphasis  shall be placed on the liberali zation of sectors and modes of
supply of export interest to developing and least developed countries, as provided for in Article
IV.1c of GATS.   We reaffirm the Guidelines and Procedures for the Negotiations adopted by the
Council for Trade in Services on 28 March 2001 as the basis for continuing the negotiations, with a
view to achieving the objectives of the General Agreement on Trade in Services, as stipulated in the
Preamble, Article IV and Article XIX of that Agreement.  Negotiations shall be adjusted in
accordance to progress in assessment.   A first assessment shall therefore be conducted prior to
the beginning of negotiations on specific commitments and on initial offers.   Participants shall
submit initial requests for specific commitments by … and initial offers by …  .
Market Access for Non Agricultural Products  - Paragraph 16
Proposed alternative formulation
16. We agree that negotiations shall only commence after a detailed analytical study has been
carried out with the help of UNCTAD to examine the effects of previous and future tariff
reductions on local industries and national economies of developing countries and shall aim, by
modalities to be agreed, to reduce or as appropriate eliminate tariffs, including the reduction orelimination of tariff peaks, high tariffs
, and tariff escalation, as well as non-tariff barriers , in
particular on products of export interest to developing countries, as well as non-tariff barriers .
Product coverage shall be comprehensive and without a priori  exclusions .  The negotiations shall take
fully into account the special needs and interests of developing and least-developed country
participants, in accordance with the re levant provisions of Article XXVIII bis of GATT 1994 and the
provisions cited in paragraph 43 below.
Trade-Related Aspects of Intellectual Property Rights - Paras 17 to 19
Proposed alternative formulation
17. We stress the importance we attach to implementation and interpretation of the Agreement on
Trade-Related Aspects of Intellectual Property Ri ghts (TRIPS Agreement) in a manner supportive of
public health, by promoting both access to existing medicines and research and development into new
medicines  and, in this connection, have adopted a separate Declaration.WT/GC/W/455
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18. With a view to completing the work starte d in the Council for Trade-Related Aspects of
Intellectual Property Rights (Council for TRIPS) on the implementation of Article 23.4, we agree to
negotiate the establishment of a multilateral system of notification and registration of geographical
indications for wines and spirits by the Fifth Session of the Ministerial Conference.  We also agree
note that issues related to the extension of the protection of geographical indications provided for in
Article 23 to products other than wines and spirits will be part of these negotiations addressed in the
Council for TRIPS pursuant to paragraph 12 of this Declaration .
19. We instruct the Council for TRIPS, in pursuing its work programme including under the
review of Article 27.3(b), the review of the implementation of the TRIPS Agreement under
Article 71.1 and the work foreseen pursuant to paragraph 12 of this Declaration, to examine, inter
alia, the relationship between the TRIPS Agreement and the Convention on Biological Diversity, the
protection of traditional knowledge and folklore. In undertaking this work, the TRIPS Council shall
be guided by the objectives and principles set out in Articles 7 and 8 of the TRIPS Agreement , the
proposals already submitted by Members,  and shall take fully into account the trade and
development dimension interests of developing countries .  We direct the Council for TRIPS to
complete these reviews expeditiously and, in an y case, not later than end 2002.  We also agree to
exercise due restraint in the initiation of dis putes against developing countries regarding the
TRIPS agreement.
Relationship between Trade and Investment, & Inte raction between Trade and Competition Policy –
Paragraphs 20 and 21
Proposed alternative formulation
20. The Working Group on the Relationship between Trade and Investment shall undertake
further focused analytical work, based on proposals by Members. We commit ourselves to ensuring
that appropriate arrangements are made for the provision of technical assistance and support for
capacity building to developing countries throughout this analytical process.  A report on this work
shall be presented to the Fifth Session of the Ministerial Conference .
21. The Working Group on the Interaction between Trade and Competition Policy shall undertake
further focused analytical work, based on proposals by Members. We commit ourselves to ensuring
that appropriate arrangements are made for the provision of technical assistance and support for
capacity building to developing countries throughout this analytical process. A report on this work
shall be presented to the Fifth Session of the Ministerial Conference .
Transparency in Government Procurement & Trade Facilitation  - Paragraphs22 and 23.
Proposed alternative formulation
22. We agree to continue the ongoing study process, which would inter-alia also examine both the
need and necessity of negotiations on a multilateral agreement on transparency in government
procurement. This work would, build on the progress that has been made in the Working Group on
Transparency in Government Procurement and take into account participants' development priorities.
The negotiations, if any, shall be limited to the transparency aspects and will not restrict the scope forcountries to give preferences to domestic supplies and suppliers.  Issues relating to compliance with
any new obligations to be agreed shall also be addr essed in the study process, taking into account the
concerns and constraints of developing and least-developed country participants.  We commit
ourselves to ensure that appropriate arrangements are made for the provision of technical assistance
and support for capacity building during this entire process.WT/GC/W/455
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23. We agree to continue the ongoing study process, which would inter-alia also examine both the
need and necessity of negotiations so as to build upon Articles V, VIII and X of the GATT 1994,
taking into account existing WTO provisions on matters related to customs and other procedures and
formalities to expedite movement, release and clearance of goods.  Issues relating to compliance with
any new obligations to be agreed shall be addressed in the study process, taking into account theconcerns and constraints of developing and least-developed country participants.  We commit
ourselves to ensure that appropriate arrangements are made for the provision of technical assistance
and support for capacity building during this entire process.
Dispute Settlement Understanding-Paragraph 26
26. WE AGREE TO NEGOTIATIONS ON IMPROVEMENTS AND CLARIFICATIONS OF THE DISPUTE
SETTLEMENT UNDERSTANDING . THE NEGOTIATIONS SHOULD BE BASED ON THE WORK DONE THUS
FAR AS WELL AS ANY ADDITIONAL PROPOSAL BY MEMBERS , SPECIALLY THOSE PROVIDED BY
DEVELOPING COUNTRIES  , AND AIM TO AGREE ON IMPROVEMENTS AND CLARIFICATIONS NOT LATER
THAN MAY 2003, AT WHICH TIME WE WILL TAKE STEPS TO ENSURE THAT THE RESULTS ENTER INTO
FORCE AS SOON AS POSSIBLE THEREAFTER .
Trade and Environment - Para graph 27
The last paragraph on trade and environment should be deleted and little roman (iv) must
said: “eco-labelling” instead of “labelling”.
Electronic Commerce – Paragraph 28
Proposed alternative formulation
We call upon the need of continuing the work program on e-commerce. We also reaffirm the
need to bridge the digital divide and eliminate all restrictions to the participation of developing
countries and to the access to modern technologies on a non-discriminatory basis.
Trade, Debt and Finance and Trade and Transfer of Technolog- Paragraph 30 and Paragraph 31
Proposed alternative formulations
30. We agree to an examination, under the auspices  of the General Council, of the relationship
between trade, debt and finance, with a view to formulating and of any possible  recommendations
on steps that should might  be taken within the mandate and competence of the WTO to enhance the
capacity of the multilateral trading system to contribute to a durable solution to the problem of
external indebtedness of developing and least-developed countries, and to strengthen the coherence ofinternational trade, financial and monetary policies, with a view to safeguarding the multilateral
trading system from the effects of financial and monetary instability.  We instruct the General Council
to consider the most appropriate institutional arrangements for handling this work.   The General
Council shall report with recommendations to the Fifth Session of the Ministerial Conference on
progress in the examination.
31. We agree to an examination, under the auspices  of the General Council, of the relationship
between trade and transfer of technology, with a view to formulating and of any possible
recommendations on steps that should might  be taken within the mandate of the WTO to increase
flows of technology to developing countries.  We instruct the General Council to consider the mostWT/GC/W/455
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appropriate institutional arrangements for handling this work.  The General Council shall report with
recommendations to the Fifth Session of the Ministerial Conference on progress in the examination.
Technical Co-operation and Capacity Building - Paragraphs 32-34
Proposed alternative formulation
32. We confirm that technical co-operation and capacity building are core elements for ensuring
the full and effective integration of developing countries and LDCs in the global economy and the
multilateral trading system.  We welcome the New Strategy for WTO Technical Co-operation for
Capacity Building, Growth and Integration.  We instru ct the Secretariat, in co-ordination with other
relevant agencies and in consultation with beneficiaries, to design more effective and transparent
technical assistance, including through the Integrated Framework (IF) and Joint Integrated Technical
Assistance Programme (JITAP), based on national development priorities and objectives of
beneficiary countries.  The delivery of WTO technical assistance shall be designed with a view to
building institutional capacity across the national policy framework, involving all relevantstakeholders, and focus on strengthening and diversification of export products.  We recognise that
technical assistance should be timely in order to remain relevant, and should therefore relate to the
length of transition periods before obligations become binding.  Priority shall also be accorded, to
building capacity for effective participation in multilateral trade negotiations by LDCs, and small and
vulnerable economies, as well as Members and Observers without representation in Geneva.   Wereaffirm our support for the valuable work of UNCTAD and the International Trade Centre, which
should be enhanced.   We underscore the urgent necessity for the effective co-ordinated delivery of
technical assistance with relevant bilateral donors and international and regional intergovernmental
institutions within a coherent policy framework and timetable, which is based on national
development objectives and priorities.  We shall ensure regular monitoring and evaluation of technicalassistance in order to enhance its on-going effectiveness.  There is a need to enhance and ensure the
provision of necessary resources on a predictable and regular basis and that technical cooperation
activities should be funded from the regular budget of the WTO  Technical assistance should not be
subject to conditionalities.
Least-Developed Countries paragraphs 35-36
Proposed alternative formula
35. We acknowledge the serious concerns regarding the marginalisation of the least-developed
countries (LDCs) in the global trading system and take note of the outcomes of the Zanzibar
Declaration and the Third United Nations Conference on LDCs.   We stress that the full andmeaningful integration of the LDCs into the trading system and the global economy will require
urgent and combined action by all WTO Members. Therefore we agree to: provide bound duty-free,
quota-free market access for all products originating in LDCs, together with addressing onerous Rules
of Origin requirements and relevant non-tariff barriers which impede LDC exports; accelerate
accession of LDCs by the fifth Ministerial recognising that concessions and commitments made byLDCs should be consistent with their development needs, resources and institutional capacity and we
instruct the Secretariat to reflect the priority we attach to  LDCs accessions in the annual plans for
technical assistance; not call on LDCs to assume obligations or commitments which go beyond what
is applicable to LDC members and in this regard we reaffirm the Decision on Measures in Favour of
LDCs; bind and fully implement all existing special and differential provisions in favour of LDCs andbind new provisions; enhance and increase technical assistance, including through the Integrated
Framework (IF),  in addressing supply-side constr aints, under a regular budget; not expect reciprocity
by LDCs for commitments made by developed countries and developed country Members should not
seek, neither shall LDCs be required to make, concessions which are inconsistent with the latter’s
development needs and provide sufficient flexibility to LDCs in the implementation of theirWT/GC/W/455
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obligations in light of their limited capacity; and we instruct the Sub-Committee for LDCs to design a
work programme in consultation with committee Members, particularly with input from the LDCs,
and to report on the agreed work programme to the General Council at its first meeting in 2002.
Special and Differential Treatment - Paragraph 37
Proposed alternative formulation
37. We reaffirm that provisions for special and differential treatment are an integral part of the
WTO Agreements.  We note the concerns expressed regarding their operation in addressing specific
constraints faced by developing countries, particularly least-developed countries.  In that connection,we also note that some Members have proposed a Framework Agreement on Special and Differential
Treatment (WT/GC/W/442). We therefore agree to entrust the General Council to elaborate a
Framework Agreement on Special and Differenti al Treatment.  This elaboration should be
completed by the 5
th Ministerial Conference and should include the following elements:
a)  review of the effectiveness of all existing S&D treatment provisions in favor of
developing countries with a view to ensuring that individual S&D treatment
provisions are strengthened and made more precise, effective and operational;
b)  recommendations to ensure that S&D treatment is mandatory and legally binding
through the dispute settlement system of the WTO; and
c)  recommendations to ensure that flexibil ity in consonance with the trade and
development needs of individual developing and least-developed countries isprovided in the negotiation and application of rules, including new agreements when
negotiated.
that all special and differential treatment provisions shall be reviewed with a view to strengthening
them and making them more precise, effective and operational.  In this connection, we endorse the
work programme on special and differential treatment set out in the Decision on Implementation-
Related Issues and Concerns.
Organization and Management of the Work Programme - Paragraphs 38 to 45
Proposed alternative formulations
38. No changes proposed
39. The overall conduct of the negotiations shall be supervised by a Trade Negotiations
Committee under the authority of the General Council.  The General Council Trade Negotiations
Committee  shall hold its first meeting for this purpose not later than … .  While every effort will be
made to use the existing WTO bodies to conduct negotiations under this work programme, the
General Council may It shall  establish other appropriate negotiating mechanisms if as required and
supervise the progress of the negotiations.
40. With the exception of the improvements and clarifications of the Dispute Settlement
Understanding, t  The conduct, conclusion and entry into force of the outcome of all the negotiations
under this work programme  shall be treated as parts of a single undertaking.  However, agreements
reached at an early stage may be implemented on a provisional or a definitive basis.  Early agreements
shall be taken into account in assessing the overall balance of the negotiations.
41. No changes proposedWT/GC/W/455
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42. The negotiations shall be conducted in a transparent and democratic manner among
participants, in order to facilitate the active, informed and effective participation of all , particularly
the LDCs and the Members without having missions in Geneva .  They shall be conducted with a
view to ensuring equitable benefits to all participants and to achieving an overall balance in the
outcome of the negotiations.  For this purpose, an assessment of the results of the negotiations
will be carried out with the help of UNCTAD before these results are definitively agreed upon
by Members.  The results of the negotiations will  be adjusted in the light of this assessment.
43. The negotiations and the other aspects of the Work Programme shall take fully into account
the principle of special and differential treatment for developing and least-developed countries
embodied in:  Part IV of the GATT 1994;  the Decision of 28 November 1979 on Differential andMore Favourable Treatment, Reciprocity and Fuller Participation of Developing Countries;  the
Uruguay Round Decision on Measures in Favour of  Least-Developed Countries;  and all other
relevant WTO provisions.  Each negotiating body shall regularly report to the General Council
the manner in which this is being complied with.
44. Delete.
45. Those elements of the Work Programme which do not involve negotiations are also accorded
a similar high
 priority.  They shall be pursued under the overall supervision of the General Council,
which shall report on progress to the Fifth Session of the Ministerial Conference.
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