RESTRICTEDWORLD TRADE
ORGANIZATIONWT/COMTD/W/66
16 February 2000
(00-0586)
Committee on Trade and Development
CONCERNS REGARDING SPECIAL AND DIFFERENTIAL TREATMENT
PROVISIONS IN WTO AGREEMENTS AND DECISIONS
Note by the Secretariat
I. INTRODUCTION
1. This Note has been prepared at the request of the Committee on Trade and
Development (CTD) pursuant to the decision by the CTD at its 22nd Session on 2 November 1998.1
As agreed by the Committee, the purpose of this Note is to undertake a review of the implementationof Special and Differential Treatment (S&D) Provisions by compiling information on the difficulties,if any, that Members may have experienced either in the implementation of these provisions and/or
making use of the provisions.
2. It was also agreed that this review would be conducted on the basis of a questionnaire
completed by Members;
2 and, on information contained in documentation available within the
Secretariat.  This note therefore has two parts.  The first summarizes the replies by Members to thequestionnaire (to date only seven Members have replied and two have referred to communications
previously made to other WTO bodies).  The second part of this note is a compilation of statements
made by Members in the relevant Councils or Committees concerning S&D provisions, with
particular focus on the difficulties experienced by Members in their implementation.
3. The note does not incorporate views expressed in the preparatory process for the Third
Ministerial Conference, or at Seattle or the disc ussions following it held in the General Council.
However, as issues relating to special and differential treatment provisions were heavily debated inthe Seattle process, it has to be recognized that certain sections in part III of this document do not
fully reflect all concerns raised, but merely capture what has been said in the context of formal
meetings of the relevant Councils and Committees.
4. There are 97 S&D provisions in the Uruguay Round Agreements.  Essentially these
provisions can be divided into six categories as follows:
(i) provisions aimed at increasing trade opportunities;
(ii) provisions that require WTO Members to safeguard the interests of developing
country Members;
(iii) flexibility of commitments;
                                                     
1 WT/COMTD/M/22, (paragraphs 2-4).
2 Questionnaire circulated by Secretariat on 12 No vember 1999 with the initial deadline for returns by
Members fixed for 25 January 1999.WT/COMTD/W/66
Page 2
(iv) transitional time periods;
(v) technical assistance; and,
(vi) provisions relating to measures to assist least-developed country Members.
5. These were also the categories used in the questionnaire that was sent to Members.  However,
in the compilation below, categories with respect to which no information has been given by any
Member have been left out.
II. RESPONSES BY MEMBERS TO THE QUESTIONNAIRE
6. The seven Members that have responded are, in alphabetical order: Australia, Hong Kong,
China; Japan; Madagascar; Norway; and Singapore.  Egypt has referred to a joint communication
previously made to the General Council and the Committee on Trade and Development and India hasreferred to a communication previously made to the General Council.
A.
AUSTRALIA
Provisions Aimed at Increasing Trade Opportunities
7. No specific problems with respect to the implementation of the provisions aimed at increasing
trade opportunities are identified in the Australian submission.
8. The Australian System of Tariff Preferences (ASTP) is based on the general principle of a
five percentage point margin of preference, where the general tariff is 5 per cent or higher, for goods
from beneficiary countries.  The ASTP rate is free where the general tariff rate is less than 5 per cent.
In cases where a specific rate of duty applies, the ASTP rate is set at the general tariff rate less5 per cent of the value of the good.
9. The ASTP now applies to all products.  Under changes announced in 1993 and 1994, the
current policy of the Australian Government is to restrict the ASTP to least-developed countries
(LDCs) and South Pacific island territories specified in the Customs Tariff Act.  The ASTP is
currently being phased out for all other countries to wh ich it applied in the past.  This phasing is being
done in parallel with Australia’s general tariff reduction program and it is the Government’s policy
that applied tariffs will not rise for any of our trading partners.  Because not all general tariffs are
being reduced, the effect of this latter policy on the ASTP is that some countries not listed as
beneficiary countries continue to enjoy all or some of the tariff preference for some products.  They
will continue to do so until Australia’s general tariff rates are reduced further.  When all legislated
tariff reductions take effect the general tariff for most products will not exceed 5 per cent.  For the
motor vehicles sector tariffs are declining to 10 per cent in 2005 and for the textiles, clothing andfootwear sectors tariffs are declining to 5-17.5 per cent in 2005.
10. In relation to Article IV.1 of the GATS, Australia has undertaken activities which have
strengthened the domestic services capacity and the efficiency and competitiveness of developing
countries.  Australia has developed in collaboration with ASEAN member countries the Skills
Recognition Directory for Professional Occupations in ASEAN and Australia that disseminatesinformation on the requirements for entry to professional practice in the region.  Australia has also
supported the development of an APEC Professional Se rvices Directory, which will make it easier for
APEC countries, including developing countries, to access professional services markets in the region.
Australia has provided funding to developing countries for various projects on financial services,WT/COMTD/W/66
Page 3
mutual recognition of engineering qualifications, distribution systems, and services aspects of WTO
accession negotiations.
Provisions requiring Members to Safeguard Developing Countries' Interests
11. No specific problem with respect to the implementation of the provisions requiring Members
to safeguard developing countries' interests are identified in the Australian submission.
12. In relation to Article 16.1 of the Agreement on Agriculture, Australia has reported its
programs in respect of the Decision on Measures Concerning the Possible Negative Effects of the
Reform Programme on Least-Developed and Ne t Food-Importing Developing Countries, in
G/AG/N/AUS/ 5, AUS/13, and AUS/21. These notifications report on the provision of food aid by
Australia on fully grant terms under its Food Aid Convention commitment, and the provision of
technical and financial assistance.
13. In relation to Article 10.4 of the Agreement on Sanitary and Phytosanitary Measures,
Australia has encouraged and facilitated active participation of developing countries in the relevant
international organizations.   As Chair of the Pacific Plant Protection Organization Australia helped
obtain funding for delegates from several Pacific Island countries to attend the first Interim
Commission on Phytosanitary Measures in Rome in October 1998.  Australia also provided funding
for a meeting of the Asia Pacific Plant Protection Organization to discuss development of the pest riskanalysis standard.
14. In relation to Article IV.2 of the GATS, the Services and Intellectual Property Branch of the
Department of Foreign Affairs and Trade supplies information to developing countries on aspects of
Australia’s services market.
15. No specific problems with respect to the implementation of the provisions allowing for
flexibility of commitments or the provisions allowing longer transition periods for developing
Members are identified in the Australian submission.
Provision of Technical Assistance to Developing Countries
16. No specific problem with respect to the impl ementation of the provisions providing for the
provision of technical assistance to developing Members are identified in the Australian submission.
17. Australia recognises that policy reform and cooperation between developing countries and
international organisations and donors is essential to address the structural weaknesses which continue
to be so important in hampering the fuller participation of many developing countries in the trading
system.  Capacity building has been recognised as an integral part of the WTO’s work.
18. Australia has an active program of technical assistance and cooperation and policy dialogue
with developing countries aimed at strengthenin g their capacity to take advantage of trading
opportunities; administer the WTO agreements; and participate in WTO processes.  Overall,assistance is designed to promote the structural change and infrastructure investment essential to these
countries’ more effective involvement in world trade.
19. For example, during 1999-2000 Australia expects to spend, through its overseas aid program,
around A$46 million on economic management and private sector development projects;
A$50 million on human and institutional capacity building in the public sector; and A$189 million oninfrastructure.  In response to the Asian economic crisis, a special A$6 million fund was established
in 1998-99 to help the worst-affected countries overcome crisis impacts and strengthen economic
governance.  The Asia Crisis Fund was to be doubled for 1999-2000.WT/COMTD/W/66
Page 4
20. Many other development programs funded by Australia also have indirect or secondary
impacts on economic management, private sector development and public sector capacity building.
Indirect expenditures in these areas for 1999-2000 are estimated at A$107 million.  In addition, nearly
1000 students from developing countries and LDCs were studying economics, business and
administration in Australia.
21. Expenditure on development projects relating specifically to trade policy and export
promotion will total at least A$8 million in 199 9-2000.  Specific trade capacity assistance includes
bilateral projects and contributions to the Comm onwealth Trade and Investment Access Facility and
the APEC Support Program.  Recent projects  funded under the APEC Support Program have
included: analyses of regional trade opportunities; harmonisation of standards in telecommunications,
construction and engineering; and support for a regional business travel card.  Bilateral projects have
included trade policy training assistance, funding for WTO Trade Policy Reviews and a South Pacificregional customs project in association with UNCTAD.
22. A further A$1 billion over 4 years (1998/99 -2001/02) has been pledged for food security
activities.  A range of these activities will be directly relevant to helping developing countries respond
to the issues identified in the Decision Concerning the Possible Negative Effects of the Reform
Programme on Least-Developed and Net Food-Importing Developing Countries.  Such activities willinclude assistance to developing countries to improve their agricultural productivity and
infrastructure, the utilisation of food aid to meet both emergency and developmental food security
requirements, and supporting multilateral development organisations, such as FAO and WFP, that
contribute to food security activities.  A comprehensive food security strategy for the Australian aid
program is currently being developed.
23. Through these various programs, assistance is provided to help developing countries identify
and manage the potential economic and social impacts of trade and investment liberalization and
identify new sources of revenue and market opportunities.  Technical assistance and training are
provided to help countries understand and implement WTO Agreements and to develop legal and
regulatory frameworks that promote trade and investment flows.  This includes assistance to meetenvironmental, health and food safety requirements.
24. Australia has also provided assistance to a number of countries in their process of accession to
the WTO.
25. A number of WTO agreements contain specific provisions on technical assistance.  In relation
to Article 9 of the Agreement on Sanitary and Phytosanitary Measures, Australia has provided
technical assistance on SPS matters to a range of developing countries.  A number of officials from
developing country plant quarantine services have been hosted to work in the pest risk analysis, policyand operation areas of the Australian Quarantine and Inspection Service (AQIS).  Funds have been
provided to assist a number of countries wishing to export to Australia to conduct pest surveys to
confirm claims of area freedom or collect information necessary for the initiation of a risk assessment.
Assistance has also been provided for a workshop on pest risk analysis methodologies for the Pacific
Plant Protection Organisation, and other training activities on pest risk analysis, molecular detectionof pests and diseases and quality assurance training for fresh produce.  A range of capacity building
and training activities taken by Australia are outlined in G/SPS/GEN/124.
26. In relation to Article 11 of the Agreement on Technical Barriers to Trade, Australia’s
regulatory infrastructure bodies have been closely involved with, and conducted, targeted technical
assistance to developing countries in our region.  These bodies  include Standards Australia, the JointAccreditation System of Australia and New Zealand, the National Association of Testing Authorities
and the National Standards Commission.  Emphasis has been on the use of standards, conformity
assessment, certification and accreditation, as well as training of officials and accreditation auditors.WT/COMTD/W/66
Page 5
In particular, a range of APEC activities have involved assistance with standards-related issues
including:
(a) training in good manufacturing practice procedures in the pharmaceutical industry
and public health;
(b) development and recognition of national measurement standards and legal metrology;
(c) national laboratory accreditation for laboratory personnel and assessors, and
accreditation of calibrated laboratories; leading APEC projects on food labelling with
reference to Codex Alimentarius requirements and seeking ways to enhance
developing country input into development of international food standards.
27. In relation to Article 20 of the Customs Valuation Agreement and Article 3 of the Agreement
on Preshipment Inspection, Australia supports a range of bilateral projects which to aim to facilitate
trade through institutional strengthening of customs, finance and treasury departments in developing
countries.  In addition, Australia is providing funding for the implementation of the Automated
System for Customs Data (ASYCUDA) developed by UNCTAD in several South Pacific countriesthat are currently WTO Members or in the process of accession.  Australia is a provider
administration with Canada, the United States and New Zealand to the APEC Technical Assistance
Program on Valuation, and has also provided resources to the WCO to partner WCO Valuation
training.
28. In relation to the Annex on Telecommunications to the GATS, Australia has implemented
technical assistance projects with developing countries on telecommunications, including
co-financing with the Asian Development Bank a study of the telecommunications sector in the
Greater Mekong Subregion.  Australia has provided other assistance to a number of developing
countries to enhance governance of their telecommunications sector, and encouraged their
participation in the development programs of various international organisations.
29. In relation to Article 67 of the TRIPS Agreement, Australia has hosted and conducted a
number of major training programs on intellectual property.  One of these was a WTO TRIPS seminar
for LDCs in Sydney in April 1998, aimed at contribut ing to capacity building on intellectual property
issues.  In March 1998, IP Australia conducted a workshop on “The Intellectual Property Office for
the New Millennium”, and sponsored the participation of delegates from developing countries in the
Asia/Pacific region.  In December 1998, Australia conducted an extended training course on
biotechnology-related intellectual property, with an emphasis on the development of practical skillsrequired by countries of the Asia/Pacific region in dealing with intellectual property in this new and
complex area, including implementing TRIPS obligations.
30. Australia is also active at the regional level,  working closely with the APEC Secretariat and
the APEC Intellectual Property Rights Expert’s Group (IPEG).  Australia hosted a meeting of the
IPEG in March 1998.  In this forum, Australia ha s worked in close cooperation with the IPEG Chair
to strengthen APEC-wide cooperation designed to  assist APEC developing economies meet their
TRIPS obligations.
31. Bilaterally, Australia works closely with a number of WTO developing country Members to
assist them enhance their intellectual property rights protection regimes, including through training
programs.
32. In relation to Article 66.2 of the TRIPS Agreement, Australia provides various incentives to
Australian enterprises and institutions to pr omote and encourage technology transfer to LDCWT/COMTD/W/66
Page 6
Members.  These occur at the bilateral, regional and multilateral levels.  Australia has provided
information about its activities in this area to the TRIPS Council, in IP/C/W/132/Add.3.
33. In relation to the Decision on Measures Concerning the Possible Negative Effects of the
Reform Programme on Least-Developed and Net Fo od-Importing Developing Countries, Australia
has reported its programs in G/ AG/N/AUS/5, AUS/13, and AUS/21.  These notifications report on the
provision of food aid by Australia on fully grant terms under its Food Aid Convention commitment,
and the provision of technical and financial assistance through programs within the ambit of the
Decision and related to countries developing their food security.  A proportion of Australia’s core
contributions to the multilateral development banks and other relevant multilateral organisations is
used for food security related development activit ies in LDCs and NFIDCs.  Bilateral aid provided
through country programs include the provision of technical and financial assistance to improve
agricultural productivity and sustainability, agricultural storage, forestry and fisheries, environmentalmanagement, management of water resources, the provision of infrastructure related to food security
and to assist countries adjust to the new trading environment.  As indicated above, a comprehensive
food security strategy for the Australian aid program is currently being developed.
Special Provisions Relating to Measures to Assist, or Participation by Least-Developed
Members
34. No specific problem with respect to the implem entation of the special provisions relating to
measures to assist, or participation by, least-developed Members are identified in the Australian
submission.
35. The Australian System of Tariff Preferences applies to least developed countries (see
response provided in Section 1).  Many of the technical assistance activities described above havebeen provided to, or targeted at, least developed countries (see, in particular, the response provided in
Section 5).  Australia has provided assistance to a number of LDCs during their accession process to
the WTO and has also provided funding to assist LDC participation in WTO meetings (including the
High-Level Meeting on Integrated Initiatives for Least-Developed Countries’ Trade Development, the
Ministerial Conferences, and the High Level Symposiums on Trade and Development and Trade andEnvironment).
B. 
EGYPT
36. The delegation of Egypt mentioned, at the meeting of the Committee on Trade and
Development of 4-5 June 1999,3 that the communication entitled "Special and Differential Treatment
for Developing Countries in the Multilateral Trading System" dated 5 November 1998 should be
considered as the reply from the delegation of Egypt.4  This comprehensive paper contains the
following conclusions:
37. "In recent years, liberalization has been the hallmark of economic policy around the world.
Virtually all governments, in developed and developing countries alike, adopted policies to
deregulate, privatize and liberalize trade and investment regimes as well as widen the role of the
private sector in economic activity.  As liberalization commitments deepen and the multilateral trade
agenda broadens, it becomes necessary to examine the role that S&D treatment can play and adaptand develop it to suit this new environment.
38. It is obvious from the preceding analysis that a number of S&D provisions have not been
implemented, others have been partially implemented and a number of them have been adequately
                                                     
3 WT/COMTD/M/25.
4 WT/GC/W/109, WT/COMTD/W/49.WT/COMTD/W/66
Page 7
implemented. Numerous S&D provisions are vague and aspirational in nature and it is the collective
responsibility of developed and developing countries alike to ensure that these provisions are
translated into concrete benefits to developing countries.
39. This analysis also leads us to conclude the following:
(a) the state of implementation of many S&D provisions is a source of deep concern to many
developing countries.  The examination of  the implementation of S&D provisions will
therefore require a more systematic and in-depth consideration.  There is a need to address the
issue of special and differential treatment at three levels: a broad conceptual level to examine
whether special and differential provisions have achieved their objectives and if not how can
they be developed to do so.  A detailed examination of the implementation of various S&D
provisions in different WTO agreements, and finally to study the linkages between the
conceptual and provision specific levels to ensu re coherence in the approach to this issue and
that the overall objectives are adequately achieved at the level of specific provisions;
(b) the deepening of liberalization commitments, the broadening of the multilateral trade agenda,
and the experience of the implementation would confirm the necessity of strengthening S&D
provisions in the URAs as well as continue to consider S&D treatment as a fundamentalcomponent of any future negotiations.  The adhe rence to Part IV of GATT, and in particular
the principle of non-reciprocity, both in letter and in spirit, will be of fundamental importance
in this respect;
(c) the lack of information on the manner in which a number of provisions have been
implemented requires seeking information from developed countries to allow WTO to
monitor the implementation of specific provisions and undertake a comprehensive analysis of
the situation.  The objective should be to ensure  a systematic flow of information that would
allow the continuous monitoring of the implementation of various S&D provisions;
(d) provisions that are of a general nature and are expressed in best endeavour terminology
should be clarified and made more precise and action oriented on the basis of a case by case
analysis.  This can be achieved through the establishment of guidelines, reaching
understandings, adopting the necessary decisions, etc.  Whenever possible, measurable
criteria for the evaluation of the implementation of these commitments should be devised.
Clear S&D treatment based on objective criteria would enhance its transparency,
effectiveness and more importantly its predictability;
(e) any overall review of the implementation of S&D provisions cannot ignore market access
issues especially in light of the declining share of many developing countries, particularly in
Africa, in the value of world merchandise exports.  Adequate attention and follow-up should
be given to provisions that aim at increasing trade opportunities for developing countries;
(f) in a number of Agreements where transitional periods are provided there is little evidence that
countries have made sufficient progress to perm it them to fully implement their obligations in
time;
(g) S&D treatment should, as far as possible, be linked to measurable development parameters;
(h) Developing countries acceding to the WTO should not be forced to forego S&D provisions
that they are entitled to enjoy,WT/COMTD/W/66
Page 8
(i) The WTO secretariat should assume a more active role in building awareness and
disseminating information on the benefits of S&D provisions and assist developing countries,
particularly LDCs, in making the most effective use of S&D provisions;
(j) The implementation of provisions granting developing countries more favourable thresholds
should be examined in order to evaluate the adequacy of these thresholds and whether they
should be refined or even reconsidered in light of the experience of implementation."5
C. HONG KONG , CHINA
Provisions Aimed at Increasing Trade Opportunities
40. No difficulty was identified.  As a result of its liberal trade policy, Hong Kong, China notes,
for instance, that it applies zero tariffs and has no restrictions on access for goods and services from
all sources, including those from developing and least-developed Members.  Therefore, it is
practically not possible for Hong Kong, China, to accord more favourable treatment to developing
country Members.
Provisions Requiring Members to Safeguard Developing Countries Interests
41. No difficulty identified.  Strict account is taken of the need for positive efforts to ensure that
developing economies, in particular the LDCs, secu re a share in the growth in international trade
commensurate with their needs for economic development.
Provisions Allowing for Flexibility of Commitments
42. Hong Kong, China, has not invoked any of these provisions.  Hence no difficulty identified.
Provisions Allowing for Transitional Time Periods
43. No difficulty was experienced.  Hong Kong, China has taken advantage of the transitional
period provided for under Article 65.2 of the TRIPS Agreement; and is now ready for the review of its
regime at the end of the transitional period.
Provisions for Technical Assistance to Developing Country Members
44. Although a developing Member, Hong Kong, China contributes to the technical assistance
fund for developing countries, as it did in 1997 for the sum of US$1.25 million.
Provisions for Measures to Assistance LDCs Members
45. No difficulties experienced.  Hong Kong, China, maintains an open free market.
D. INDIA
46. The delegation of India mentioned, at the meeting of the Committee on Trade and
Development of 4-5 June 1999,6 that the communication entitled "Concerns regarding implementation
of provisions relating to differential and more favourable treatment of developing and least-developed
countries in various WTO Agreements" dated 13 November 1998 should be considered as the reply
                                                     
5 WT/GC/W/109;  WT/COMTD/W/49, paragraphs 100–102.
6 WT/COMTD/M/25.WT/COMTD/W/66
Page 9
from the delegation of India.7 This paper, which focuses on the balance-of-payments provisions of
GATT 1994, anti-dumping measures, subsidies and countervailing measures, SPS and TBT, TRIMs,
Services and Dispute Settlement, concludes that:
47. "There is thus a strong need for immediate review of the special and differential treatment
provisions for developing and least developed countries with a view to ensuring that the full benefitsof the multilateral trade system accrue to developing countries.  A process of evaluation has to be
immediately initiated, either through a specially  constituted Working Group or through special and
dedicated sessions of the Committee on Trade and Development in order that necessary amendments
to various agreements are formulated and placed for discussion before the General Council.  This
process of evaluation and formulation of amendments has to be a time bound process to be completed
by December 1998 so that serious discussion in the General Council can commence in
January 1999."
8
E. JAPAN
Provisions Aimed at Increasing Trade Opportunities
48. No difficulty was experienced.  155 countries and 25 territories have benefitted from Japan's
GSP scheme.  Nineteen  countries were added since 1995.  Specifically, Japan has:
(a) reduced tariff rates on 12 agricultural products of export interest to developing
countries since the end of the Uruguay Round of MTN;
(b) cut preferential tariff rates for agricultural and fishery products to equalize them with
agreed rate at the first year of the post-Uruguay Round;
(c) exemptioned 200 HS headings from documentary requirements (or submission of
certificate of origin); and
(d) applied a one stage of manufacturing process rule instead of a two stage rule,
since 1993, for rules of origin for apparel and clothing accessories, in which
developing countries have an interest;
Provisions requiring Members to Safeguard Developing Countries Interests
49. In its submission, Japan reviews its measures  and policies regarding S&D Provisions that
require the safeguard of the interests of developing Members and LDCs in several Agreements,namely, SPS, TBT, Import Licensing Procedures, GATS, DSU, and Customs Valuation
(GATT Article VII).  Japan states that, generally, no difficulties were experienced in the
implementation of the S&D Provisions in these Agreements requiring the safeguard of developing
countries interests. However, under Article 12.2 and 12.3, of the TBT Agreement, it is stated that the
special development, financial and trade needs of developing country Members have not been clearlystated by developing countries.
50. Pursuant to Article IV.2 of the GATS, Japan has established contact points since 1995 to
facilitate the access of developing country service suppliers to relevant information.
                                                     
7 WT/GC/W/108.
8 WT/GC/W/108, paragraph 30.WT/COMTD/W/66
Page 10
51. Japan states that it has accorded special attention to the particular problems and interests of
developing countries Members in recent DSU consultations under Article 4.10 of the DSU.  Within
this framework, under Article 8.10 of the DSU, Japan does not object to the inclusion of at least one
developing country panellist in a dispute between a developed and a developing country Member.
Provisions Allowing for Flexibility of Commitments
52. Japan states that it reviews its policies and measures regarding the S&D provisions that allow
for the flexibility of the commitments of develo ping Members and LDCs in several Agreements,
namely, SPS, TBT, Customs Valuation, Import Licensing Procedures, Subsidies and Countervailing
Measures (SCM), Safeguards, GATS, and Customs Valuation (GATT Article VII).  The review
shows that no difficulties were experienced in the implementation of these S&D Provisions that allow
for the flexibility of commitments of developing country and LDCs Members.  Examples are:
(a) In paragraph 2 of Annex B in the SPS Agreement, Japan states that it allows a
reasonable interval between the publication of sanitary or phytosanitary regulation
and its entry into force (except for case where the new or modified measure would
increase trade opportunity; i.e. lifting an import ban).  It is noted that under Article
12.4 of the TBT Agreement, Japan has not obtained any clear requests or informationon needs of developing country Members.
(b) In the Customs Valuation Agreement, Japa n agreed to Morocco's request to retain
valuation on the basis of minimum values after the end of the 5-year transitional
period.  Two additional years had been granted to Morocco.  In addition, longertransitional periods had been allowed for Senegal and Maldives (in January 1999)
pursuant to Annex III of the Customs Valuation Agreement
(c) Japan states that it has neither implemented any countervailing measure or initiated
countervailing duty investigations against developing countries nor applied safeguardmeasures under Article 9.1 and footnote 2 of the Safeguards Agreement against
products originating in developing countries.
(d) Pursuant to Article III.4 of the GATS, Japan has established contact points,
since 1995, to provide relevant information to other Members.
Provisions for Technical Assistance to Developing Country Members
53. Japan states that it has contributed to the requests and needs of developing country Members
such as for training courses.  No difficulties have been identified vis-à-vis requests from developing
country Members.
Provisions for Measures to Assist LDCs Members
54. It is submitted in the questionnaire that Japan is giving due consideration for the special needs
of developing country Members, provided the appropriate level of sanitary or phytosanitary protection
allows scope for the phased introduction of new measures.  Due consideration has also been accorded
to developing countries, including the least-deve loped Members, to allow flexibility for compliance
with their obligations under the SPS Agreement in relation to their own import measures.WT/COMTD/W/66
Page 11
F. MADAGASCAR
55. Madagascar identifies no specific difficulties in the first four categories of S&D treatment.
Provisions for Technical Assistance to Developing Country Members
56. Madagascar states "observations" that point to difficulties that could arise in the
implementation of seven WTO Agreements, namely, Agriculture, SPS, TBT, TRIPS, GATS, Trade
Policy Review Mechanism and Import Licensing.  In this regard, several relationships between  S&D
Treatment provisions and technical assistance are drawn as follows:
(a) Under the Agreement on Agriculture, the absence of specific measures for mitigating
negative effects of the Agreement is noted.  The implementation of the Decision on
the Measures Concerning the Possible Negative Effects of the Reform Programme on
Least-Developed and Net Food-Importing Deve loping Countries is identified as a
difficulty.  In that context, it was "observed" that Madagascar was awaiting technical
assistance following a request made in course;
(b) for the SPS Agreement, the "CEE Directives sur exigences sanitaires" for the export
of fish and meat is noted.  Implementation of this directive is identified as a difficulty.It is then "observed" that technical assistance for the implementation of this
Agreement requires an extension of the transitional period (2002);
(c) on the TBT Agreement, elaboration of texts that focus on the establishment of
legislation for Madagascar, and the creat ion, organization and functioning of a
National Standards Council "de normalisation" (harmonization?) are noted.  No
difficulty is identified.  However, an "observation" is made for technical assistance,
advice and support for the initiation of work on the standards organization;
(d) on the TRIPS Agreement, Madagascar refers to the "application of texts in force: Law
No. 94 036 of 18 September 1995 relating to literary and artistic property.  Ordinance
No. 89 019 instituting a regime for the protection of industrial property".  The
alignment of the text (bringing into confor mity) with the regime for the protection of
industrial property is identified as a difficulty.  In this connection, an "observation" is
made for technical assistance with a view to respecting the expiry date of
1 January 2006;
(e) on the GATS, the progressive liberalization of Basic Telecommunications and
Financial Services are cited.  The modification of the list of commitments, and the
identification of new possibilities for market access are listed as difficulties.  Finally,
an observation is made for technical assistance in the evaluation of "these
possibilities";
(f) on the Trade Policy Review Mechanism (TPRM), there is a reference to the National
Committee responsible for monitoring WTO Agreements which is in the process of
being created.  The drafting of a report on the trade policy of Madagascar is identified
as a difficulty.  Thereafter, an "observation" is made which recalls a request fortechnical assistance demanded during the needs assessment in 1997; and,
(g) finally, the Agreement on Import Licensing Procedures is listed.  There is a reference
to the measure of the non-application of the regime of import licensing.  No difficulty
is stated, and no further observations are made.WT/COMTD/W/66
Page 12
57. It is to be noted that difficulties cited by Madagascar are those apparently encountered in the
implementation of the Agreements cited.  However, the difficulties cited are not necessarily those
encountered either in implementing S&D Treatment Provisions or in seeking to use those provisions.
Provisions for Measures to Assist LDCs Members
58. No difficulties are identified.
G. NORWAY
Provisions Aimed at Increasing Trade Opportunities
59. Norway's external trade is mainly with countries within the European Economic Area.
Consequently, trade with developing countries is a small proportion of Norway's total exports and
imports.  Textiles and agricultural products are am ong developing countries' main export products to
Norway.  In these two product areas,  Norway has taken specific steps.
(a) First, in textiles, and under the Agreement on Textiles and Clothing (ATC), in order
to achieve early liberalization, Norway has applied Article 2.15 of the ATC.  In
practical terms, in three stages, Norway eliminated 94 per cent of the 54 Quantitative
Restrictions (QRs) in respect of developing country Members at the time of theestablishment of the WTO.  Second, Norway has not introduced any transitional
safeguard measures under the ATC; and, therefore has not applied the provisions of
Article 6 of the ATC which could have provided for more favourable treatment of
developing countries when new safeguard measures are introduced.  Third, Norway
has never maintained restrictions under Article 2 of the ATC towards "smallsuppliers" as defined in Article 2.18 of the ATC;
(b) in the product area of agriculture, several products (tropical and sub-tropical
products) of special interest to developing countries or least-developed countries may
be imported duty free or at low tariff rates;
(c) Norway's GSP scheme aims to improve market access for developing countries by
securing preferential treatment for imports from developing countries and LDCs.
Pursuant to the GSP scheme, all industrial products from the LDCs are granted duty
free access to the Norwegian market.  Duty free access is also granted to industrial
products from developing countries, except for textiles, clothing and footwear.
Imports of agricultural products from LDCs are duty free with the exception of flour,
grains and feeding stuffs to which are applied a tariff reduction of 30 per cent within
indicative ceilings.  Imports of non-sensitive agricultural products from developing
countries are duty free.
Provisions requiring Members to Safeguard Developing Countries Interests
60. No difficulty has been experienced.  Norway is among the advocates for the establishment of
an independent legal advisory centre for LDCs.
61. Norway has not introduced measures such as anti-dumping, countervailing duties or
safeguards in recent years.
62. Norway identifies no specific difficulties in the third and fourth category of S&D treatment.WT/COMTD/W/66
Page 13
Provisions for Technical Assistance to Developing Country Members
63. No specific difficulty was expressed.  Norway is pursuing an active programme of targeted
development assistance.  Trade-related technical assistance is allocated through different
organizations such as WTO, UNCTAD, ITC.  For instance, assistance has been offered to developingcountries, including LDCs to facilitate their participation at WTO meetings such as the last WTO
Ministerial Conference and the High Level Symposium (HLS) on Trade and Development,
17-18 March 1999.
64. Norway also allocates substantial sums of m oney for development assistance to developing
countries for addressing domestic supply-side and policy constraints.  This assistance is distributed
through multilateral, bilateral and non-governmental organizations
65. It was emphasised that maximising financial and technical assistance given require better
coordination and user-orientation.
Provisions for Measures to Assist LDCs Members
66. No specific difficulties were expressed.
H. 
SINGAPORE
Provisions Aimed at Increasing Trade Opportunities
67. No difficulty was experienced in the implementation of S&D Treatment Provisions in
implementing these provisions aimed at increasing trade opportunities.  Singapore maintains an
almost duty-free trading regime.  This regime provides LDCs easy access to Singapore's markets.  Inaddition and specifically, at the High Level Meeting (HLM) on Integrated Initiatives for
Least-Developed Countries Trade Developmen t, 25-27 October 1997, Singapore undertook to
maintain zero tariffs on 107 products of export interest to LDCs.
68. Singapore identifies no specific difficulties in the second, third and fourth category of S&D
treatment.
Provisions for Technical Assistance to Developing Country Members
69. Several programmes have been taken and funding provided to implement these provisions for
technical assistance to developing country Members.
(a) In December 1996, Singapore concluded an agreement with the WTO to jointly
organize trade policy training courses on a cost-sharing basis for trade officials from
the developing countries and the LDCs.  The first course took place in Singapore inJanuary 1998.  The second took place in March 1999;
(b) In February 1997, Singapore conclude d a Memorandum of Understanding (MOU)
with WIPO to establish a Joint Training  Programme in the Field of Industrial
Property.  The first two courses took pl ace in October 1997 and October 1998; and,
(c) Singapore has been providing technical assistance to other developing countries
through the Singapore Cooperation Programme which has an annual budget of
US$12 million.  The Programme reaches out to over 80 developing countries and
LDCs.  It is focussed on human resource training in fields such as port management,WT/COMTD/W/66
Page 14
civil aviation, environmental management, trade and investment promotion, banking
and finance, English language training and public administration.
Provisions for Measures to Assist LDCs Members
70. No measures were cited different from those listed under, "provisions aimed at increasing
trade opportunities".  Furthermore, no difficulties were identified.
III. INFORMATION AVAILABLE IN WTO DOCUMENTATION
71. This part is a compilation of statements relating to S&D treatment made by Members in the
bodies administrating the specific WTO Agreements and Decisions.
72. It has to be re-emphasized that although views relating to special and differential treatment
provisions were expressed in the Seattle process, such views have not been included in this paper.
The following section only captures what has been stated at formal meetings of the relevant Councils
and Committees.  This paper might therefore not in all cases give a completely up-to-date description
of concerns raised with respect to special and differential treatment provisions.
73. Many of the references made to S&D provisions in the relevant Councils and Committees
simply point to or repeat those provisions.  Only specific comments or concerns have been included in
the compilation below.  In some cases, discussion of S&D provisions has also highlighted broader
concerns raised by developing countries regarding implementation of the Agreements.  However, the
objective of this Note is not to focus on those broader issues of implementation that have been raised
by developing countries, but to compile specific concerns relating to particular special and differentialtreatment provisions.
74. Where possible, the specific provisions with re spect to which concerns have been raised are
noted in the left-hand column, with the concern itse lf on the right.  Only provisions with respect to
which specific comments have been made are included.
9 General comments are listed at the head of
the section concerning each Agreement or Decision, apart for the text on the Enabling Clause.
                                                     
9 A complete list of S&D provisions is contained in document WT/COMTD/W/35.WT/COMTD/W/66
Page 15
Agreement on Agriculture
General Comments with Respect to the Agreement on Agriculture
No concern with respect to specific special and differential treatment provisions of the
Agreement on Agriculture has been raised during th e formal meetings of the Committee on Agriculture.
However, many developing countries submitted papers and discussed general issues with respect to
special and differential treatment provisions and the need  for flexibility in certain areas in the process of
Analysis and Information Exchange(AIE process).
Decision on Members Concerning the Possible Negative Effects of the Reform Programme on
Least-Developed and Net Food-I mporting Developing Countries
General Comments with Respect to the Decision on Measures Concerning the Possible Negative
Effects of the Reform Programme on Least-Devel oped and Net Food-Importing Developing Countries
Concern has been raised that the expectations of the net food-importing developing countries
at the conclusion of the Uruguay Round have not been met in areas like concessional finance,concessional export credit and technical assistance to raise productivity and address infrastructure
needs of these countries.  The concern expressed was th at there seemed to be a lack of political will to
implement the commitments under the Decision.
Agreement on Sanitary and Phytosanitary Measures (SPS)
General Comments with Respect to the SPS Agreement
Regarding Article 3:4 (Harmonization)  developing country Members have reported to the SPS
Committee their difficulties to actively participate in  the work of the international organizations, in
particular with regard to the procedures for th e elaboration and adoption of international standards.
The SPS Committee has taken note of these concerns, but considered that it would be more appropriate
to address such concerns in the relevant interna tional organizations, where the issue is already under
discussion.
Regarding Article 4.1 (Equivalence) a number of   developing country Members have reported
to the SPS Committee that they have entered into  consultations with other Members and achieved
bilateral recognition of the equivalence of speci fic SPS measures. Several other developing country
Members have reported that some importing countries  insisted essentially on sameness rather than
equivalence of measures. The SPS Committee enc ouraged Members to submit information on their
bilateral equivalency agreements and determinations.
Some developing countries have drawn the attention of the SPS Committee to difficulties in the
practical implementation of Article 6.1 (Adaptation to Re gional Conditions)  including divergences in
the interpretation of international guidelines, lengt h of administrative processes for the recognition of
pest- or disease-free areas and the relationship with other provisions of the Agreement, such as risk
assessment and equivalence.
In the area of sanitary and phytosanitary measures it has been reported to the Trade Policy
Review Body  that although developing countries participate in the policy-making committees of
international bodies such as the Codex Alimen tarius they are grossly outnumbered in these
deliberations, at times resulting in standards de velopment not conducive to their implementation.
Another issue raised is that as developing countries lack access to technologies developed abroad for
achieving standards acceptable to importing countries, specific measures need to be taken by
developed country Members to give effect to the clauses extending special and differential treatment
to developing countries in the implementation of these Agreements. (WT/TPR/G/33, page 12)WT/COMTD/W/66
Page 16
Provision Comment
Article 9:2 (Technical assistance)
Where substantial investments are required in
order for an exporting developing country Member
to fulfil the sanitary or phytosanitary requirements
of an importing Member, the latter shall considerproviding such technical assistance as will permit
the developing country Member to maintain and
expand its market access opportunities for the
product involved.In the review of the operation and implementation
of the Agreement, the Committee stressed the need
for increased technical assistance and
cooperation, in particular with regard to humanresource development, national capacity building,
transfer of technology and information,
particularly by way of concrete, "hands on"
assistance.
Article 10 (Special and Differential Treatment)In the preparation and application of sanitary or
phytosanitary measures, Members shall takeaccount of the special need s of developing country
Members, and in particular of the least-developed
country Members. (Article 10:1)Taking into account concerns raised by some
developing countries, the SPS Committeeconsidered, as part of its review of the operation
and implementation of th e Agreement, certain
amendments of the notification procedures.
Article 10:2Where the appropriate level of sanitary or
phytosanitary protection allows scope for the
phased introduction of new sanitary or
phytosanitary measures, longer time-frames for
compliance should be accorded on products ofinterest to developing country Members so as to
maintain opportunities for their exports.Several developing country Members have noted
that this provision is not  being implemented in a
satisfactory manner.  However, in its review of the
operation and implementati on of the Agreement,
the SPS Committee noted that it had noinformation on the extent to which the provision
had been applied to developing country Members,
nor how the latter had made use of it.
Annex B, paragraph 9The Secretariat shall promptly circulate copies of
notifications to all Members and interested
international organizations and draw the attentionof developing country Members to any
notifications relating to products of interest to
them.Under the review of the operation and
implementation of the Agreement, the SPS
Committee introduced improvements in theprocedures for notification of SPS measures which
should better permit identification of notifications
of particular interest to developing countries. The
Committee is currently considering additional
procedures which should further facilitate asmoother implementation of this provision.
Agreement on Textiles and Clothing
General Comments with Respect to the Agreement on Textiles and Clothing
One TPR secretariat report refers to the statement by one Member at the 1998 WTO
Ministerial Conference concerning the "backloading" of the provisions regarding special and
differential treatment for developing countries and that the implementation of the Agreement on
Textiles and Clothing trouble developing countries;  in particular the existence of transitional
safeguard measures and unilateral rules of origin, as  well as the abuse of anti-dumping provisions on
textiles and clothing. (WT/TPR/S/51- 2page 35)
Provision Comment
Article 1:2
Members agree to use the provisions of paragraph18 of Article 2 and paragraph 6(b) of Article 6 inSee comments on Article  2:18 and Article 6:6.WT/COMTD/W/66
Page 17
Provision Comment
such a way as to permit meaningful increases in
access possibilities for small suppliers and the
development of commercially significant trading
opportunities for new entrants in the fields of
textiles and clothing.
Article 1:4Members agree that the particular interests of the
cotton-producing exporting Members should, inconsultation with them, be reflected in the
implementation of the provisions of this
Agreement.It has been stated that Members maintaining
restraints have not allowed special concessionsto cotton-producing, exporting countries which
would have been in conformity with the letter and
spirit of the ATC. (G/L/224, paragraph 52)
Article 2:18
As regards those Members whose exports are
subject to restrictions on the day before the entryinto force of the WTO Agreement and whose
restrictions represent 1.2 per cent or less of the
total volume of the restrictions applied by an
importing Member as of 31 December 1991 and
notified under this Article, meaningful
improvement in access for their exports shall be
provided, at the entry into force of the WTOAgreement and for the duration of this
Agreement, through advancement by one stage of
the growth rates set out in Article 2:13 and 2:14,
or through at least equivalent changes as may be
mutually agreed with respect to a different mix ofbase levels, growth and flexibility provisions.
Such improvements shall be notified to the TMB.Members have noted that Article 2.18 should be
implemented both within the context and generalmeaning of the ATC which was liberalization of
trade and the purpose of the special provisions
regarding small suppliers, that is to provide
significant increases in access to them in terms of
advancement by one stage of the growth rates
with a view to contribute to the future
possibilities of developing their trade. The viewhas been expressed that the term "advancement
by one stage" in Article 2.18 does not mean
substitution of the second stage growth factor for
the first stage growth factor, that the stages have
cumulative effect, therefore the growth factor forStage 2 is to be applied in addition to the Stage 1
growth factor increase. (G/L/224, paragraph 44)
Concerns have been raised that in the
implementation of Article 2.18 the methodologiesused by only one of the Members maintaining
restraints of increasing the respective growth
rates first by 16 per cent and then by 25 per cent
had fulfilled the requirements of Article 1.2, and
that two Members maintaining restraints hadapplied only a 25 per cent increase. (G/L/224,
paragraph 44)
With respect to the treatment of the least-
developed country Members, it has been pointedout that some least-developed countries have
benefitted from the provisions of Article 2.18
while one Member has not, and that this was
discriminatory as between least-developed
countries and inconsistent with the objectives of
the ATC.  The importance of taking into account
the special concerns of the least-developedMembers in order to ensure improved market
access for their products was stressed in thisWT/COMTD/W/66
Page 18
Provision Comment
regard. (G/L/224, paragraph 48)
Article 6:6(b)
Members whose total volume of textile andclothing exports is small in comparison with the
total volume of exports of other Members and
who account for only a small percentage of total
imports of that product into the importing
Member shall be accorded differential and morefavourable treatment in the fixing of the
economic terms provided in Article 6: 8, 6:13 and
6:14.  For those suppliers, due account will be
taken, pursuant to Article 1:2
10 and 1.3, of the
future possibilities for the development of theirtrade and the need to allow commercial quantities
of imports from them.With respect to Article 6.6(b) concern was
expressed that in the application of safeguard
measures by a Member, involving Members
considered to be small suppliers, account had not
been taken of the specific requirement in Article
6.6(b) to provide differential and morefavourable treatment. (G/L/224, paragraph 44)
Agreement on Technical Barriers to Trade
General Comments Regarding the TBT Agreement
For the purpose of information exchange, Membe rs are invited, on a voluntary basis, to make
oral presentations to further elaborate on the arrangements they have in place to achieve an effective
implementation and administration of the provisions of the Agreement, including those under Article
12. The Committee has agreed that this exercise would be a useful means of sharing information with
respect to good practices and in meeting the needs of those Members that may be seeking assistance.
(G/TBT/5, paragraph 7(b))
Provision Comment
Article 2 (Preparation, Adoption and Application
of Technical Regulations by Central Government
Bodies)
Article 2:4
Where technical regulations are required and
relevant international standards exist or their
completion is imminent, Members shall use them,
or the relevant parts of them, as a basis for their
technical regulations except when such
international standards or relevant parts would be
an ineffective or inappropriate means for thefulfilment of the legitimate objectives pursued,
for instance because of fundamental climatic or
geographical factors or fundamental
technological problems.The Committee noted that difficulties might be
encountered in relation to the use of certain
international standards and that trade problems
could arise through, inter alia, the absence of
international standards, or their non-use due to
possible out-dated content.  There was a need to
examine these difficulties as well as the potentialtrade effects arising from international standards.
An examination of these i ssues would also need to
take into account the extent to which the special
development, financial and trade needs of
developing countries Members had been taken intoaccount, and the kind of technical assistance that
might be needed in this respect.
(G/TBT/5, paragraph 18)
Article 2:6With a view to harmonizing technical regulations The Committee emphasised  the importance of
                                                     
10 Pursuant to Article 1:2, small suppliers, new entrants and, to the extent possible, least-developed
countries benefit from this provision.WT/COMTD/W/66
Page 19
Provision Comment
on as wide a basis as possible, Members shall
play a full part, within the limits of their
resources, in the preparation by international
standardizing bodies of international standards
for which they either have adopted, or intend to
adopt, technical regulationsMembers playing a full part, within the limit of
their resources, in the preparation by appropriate
international standardizing bodies of international
standards, as provided for in Article 2.6.  This was
important to ensure that the international
standardization process was representative of theinterests and concerns of all parties concerned.
(G/TBT/5, paragraph19)
Article 6 (Recognition of Conformity Assessmentby Central Government Bodies
The Committee noted that there was an emerging
interest in concluding mutual recognition
agreements (MRAs) at the regulatory level byMembers on a bilateral basis. Concerns had been
expressed on possible difficulties and problems
associated with MRAs, in particular for
developing country Members. They included
those relating to cost, transparency, non-MFN
nature, opportunity to enter into negotiations for
the conclusion of MRAs, the need to take intoaccount the quality of the conformity assessment
procedures rather than the origin of the product,
and efficiency and effectiveness of MRAs to solve
problems of multiple testing and conformity
assessment procedures. (G/TBT/5, paragraph27)
Article 11 (Technical Assistance)
Article 11:1
Members shall, if requested, advise other
Members, especially the developing countryMembers, on the preparation of technical
regulations.
Article 11:2
Members shall, if requested, advise otherMembers, especially the developing country
Members, and shall grant them technical
assistance on mutually agreed terms and
conditions regarding the establishment of
national standardizing bodies, and participation inthe international standardizing bodies, and shall
encourage their national standardizing bodies to
do likewise.
Article 12 (Special and Differential Treatment of
Developing Country Members)
Article 12:4
Members recognize that, although international
standards, guides or recommendations may exist,
in their particular technological and socio-
economic conditions, developing countryAn individual developing country proposed to
exchange information on the following technicalassistance-related issues: (a) whether test
laboratories in developing countries where
substantive export takes place are accredited; (b)
whether test methods used by developing country
Members are accepted, even if they are differentfrom the advanced methods available in
developed countries; (c) number and types of
assistance provided to developing countries while
preparing technical regulations, standards and
conformity assessment procedures which maycreate obstacles to the expansion and
diversification of exports from developing
countries; and (d) any technical assistance
provided which has resulted in the increase or
diversification of exports from developingcountries.  (G/TBTM/11, paragraph 57)
The Committee noted that difficulties might be
encountered in relation to the use of certain
international standards as specified under Article
12.4, and that trade problems could ariseWT/COMTD/W/66
Page 20
Provision Comment
Members adopt certain technical regulations,
standards or conformity assessment procedures
aimed at preserving i ndigenous technology and
production methods and processes compatible
with their development needs. Members therefore
recognize that developing country Membersshould not be expected to use international
standards as a basis for their technical regulations
or standards, including test methods, which are
not appropriate to their development, financial
and trade needs.through, inter alia, the absence of international
standards, or their non-use due to possible out-
dated content. It found that there was a need to
examine these difficulties as well as the potential
trade effects arising from international
standards.  An examination of these issues wouldalso need to consider the extent to which the
special development, financial and trade needs of
developing countries Members had been taken
into account, and the kind of technical assistance
that might be needed in this respect.
(G/TBT/5, paragraph 18)
Article 12:5Members shall take such reasonable measures as
may be available to them to ensure that
international standardizing bodies and
international systems for conformity assessment
are organized and operated in a way which
facilitates active and representative participationof relevant bodies in all Members, taking into
account the special problems of developing
country MembersIndividually it has been stated that international
standards are not to be only devised by developed
countries, except where trade is confined to them.
(G/TBT/M/15, paragraph 103)
A developing country reminded that even though
transparency could be secured in terms ofprocedures, in the real world it was difficult for
small countries to actively participate in all the
different stages of decision-making and in all of
the different organizations. This would be the
case as numerous kinds of memberships exist,and the structures of the international
standardizing bodies are complex.
(G/TBT/M/15, paragraph 116)
Annex 1 of the Agreement defines an international
body as a body whose membership is open to the
relevant bodies of at least all Members.  The
Committee noted however that concerns had been
expressed by certain Members, in particular
developing country Members, on the difficultiesthey encountered in this respect.  In order for
international standards to make a maximum
contribution to the achievement of the trade
facilitating objectives of the Agreement, it was
important that all Members have the opportunity
to participate in the discussions, elaboration and
adoption of international standards.(G/TBT/5, paragraph19)
Article 12:6Members shall take such reasonable measures as
may be available to than to ensure that
international standardizing bodies, upon request
of developing country Members, examine the
possibility of, and, if practicable, prepareinternational standards concerning products of
special interest to developing country Members.The Committee reiterated t hat in the preparation
of international standards, it was important, inter
alia, that trade needs were taken into account
along with technical progress, and Article 12.6
concerning products of special interest todeveloping country Members.
(G/TBT/5, paragraph 20)WT/COMTD/W/66
Page 21
Agreement on Trade-related  Investment Measures (TRIMS)
Provision Comment
Article 4 (Developing Country Members)
A developing country Member shall be free todeviate temporarily from the provisions of Article
2 to the extent and in such a manner as Article
XVIII of GATT 1994, the Understanding on the
Balance-of-Payments Provisions of GATT 1994,
and the Declaration on Trade Measures Taken for
Balance-of-Payments Purposes adopted on 28
November 1979 (BISD 26S/205-209) permit theMember to deviate from the provisions of
Articles III and XI of GATT 1994.In the TRIMs Committee a Member cited this
provision as justifying some measures it has
taken; some other Members questioned this
justification. (G/TRIMS/M/9, paragraphs 30-37
and G/TRIMS/M/10 paragraphs 16-22)
Article 5 (Notification and TransitionalArrangements)
Article 5:2Each Member shall eliminate all TRIMs which
are notified under Article 5.1, within two years of
the date of entry into force of the WTO
Agreement in the case of a developed countryMember, within five years in the case of a
developing country Member, and within
seven years in the case of a least-developed
country Member.Issues that have arisen with respect to Article 5
include the question of what measures should be
notified under Article 5.1, as well as the question
of whether TRIMs notified after the deadline arestill entitled to benefit from the transition period.
(WT/G/TRIMS/M/2-7)
Notifications under Article 5.1 have been
submitted by 26 Members.  For most Members
having made notifications, the Article 5.2transition period for elimination of the TRIMs
expired on 1 January 2000.
Article 5:3On request, the Council for Trade in Goods may
extend the transition period for the elimination of
TRIMs notified under Article 5.1 for a
developing country Member, including a least-developed country Member, which demonstrates
particular difficulties in implementing the
provisions of this Agreement.  In considering
such a request, the Council for Trade in Goods
shall take into account the individualdevelopment, financial and trade needs of the
Member in question.As of 31 December 1999, eight Members have
requested extensions of the transition period
pursuant to Article 5.3.  In the Council for Trade
in Goods there has been discussion on how theserequests might be handled. (G/C/M/41 and
G/C/M/42)
Agreement on Implementation of Arti cle VI (Anti-dumping) of the GATT 1994
General Comments Regarding the Agreement on Implementation of Article VI (Anti-dumping)
One Member has expressed concern about the possible abusive use of anti-dumping measures
by another Member as anti-dumping measures coul d have a powerful trade-stifling effect.  Reference
was made to the examination of the accuracy and adequacy of evidence by the authorities (especially
Article 5.8) and a possible arbitrary manipulation of the comparison of normal values and export
price. (G/ADP/M/9)WT/COMTD/W/66
Page 22
Provision Comment
Article 15 (Developing Country Members)
It is recognized that special regard must be given
by developed country Members to the special
situation of developing country Members when
considering the application of anti-dumpingmeasures under this Agreement.
Possibilities of constructive remedies provided
for by this Agreement shall be explored before
applying anti-dumping duties where they would
affect the essential interests of developing
country Members.The proliferation of anti-dumping measures
directed against products from developing
countries (particularly textiles and clothing) and
the harassing effects of such measures has beenraised. Some developing countries have
emphasised that members who have reasons to
take anti-dumping action should do so with care
and responsibility and ensure that any action was
in compliance with the Agreement, so as not to
unnecessarily disrupt trade between Members.
Concerns have been expressed withinconsistencies in the legislation of certain
Members and the way in which such legislation
was applied.  The need has been expressed by a
number of developing countries for the
Committee to have more teeth in the oversight offull and effective implementation of the
Agreement by each Member.  In addition, more
attention should be given to the implementationof Article 15. (G/ADP/M/9, G/ADP/M/10)
One developed country delegation stated that
Article 15 was not void of content and that it had
always adhered to it scrupulously. (G/ADP/M/9)
One developed country Member commented
during its Trade Policy Review that there was
particular concern about the provisions relatingto S&D treatment for developing countries.  This
Member, referring to Article 15 of the
Agreement, stated that, while the Article provided
for constructive remedies to be explored before
applying anti-dumping duties where these wouldaffect the essential interests of developing
countries, it had never been implemented because
it had not been clearly defined. (WT/TPR/M/33)
Agreement on Implementation of Article VII (Customs Valuation) of the GATT 1994
Provision Comment
Article 20 (Special and Differential Treatment)
Article 20:1
Developing country Members not party to the
Agreement on Implementation of Article VII of
the GATT (Tokyo Round), may delay applicationof the provisions of this Agreement for a period
not exceeding five years from the date of entry
into force of the WTO Agreement for such
Members.  Developing country Members whoThis provision has been invoked by 54 developing
countries (of which 12 least-developed countries).
In addition, the delay provisions of the CustomsValuation Agreement 1979 continue to apply for
nine developing count ries. (G/VAL/2/Rev.7)WT/COMTD/W/66
Page 23
Provision Comment
choose to delay application of this Agreement
shall notify the Director-General of the WTO
accordingly
Article 20:2In addition to paragraph 1, developing country
Members not party to the Agreement on
Implementation of Article VII of the GATT
(Tokyo Round), may delay application ofparagraph 2(b)(iii) of Article 1 and Article 6 for a
period not exceeding three years following their
application of all other provisions of this
Agreement.  Developing country Members that
choose to delay application of the provisionsspecified in this paragraph shall notify the
Director-General of the WTO accordingly.This provision has been invoked by 49 developing
countries  (of which 11 are least-developed
countries).
Article 20:3Developed country Members shall furnish, on
mutually agreed terms, technical assistance to
developing country Members that so request.  On
this basis developed country Members shall draw
up programmes of technical assistance which may
include, inter alia, training of personnel, assistance
in preparing implementation measures, access to
sources of information regarding customs
valuation methodology, and advice on the
application of the provisions of this Agreement.In April 1998, the Committee on Customs
Valuation published an inventory of all technical
assistance activities undertaken up to that time by
WTO and WCO, on the basis of information made
available to the Secretariat.  Activities relating to
52 Members were listed. It was noted that "It islikely that many activities have not been included
for lack of information". (G/VAL/W/25)
In the Trade Policy Review mechanism, at least
one developing country Member referred to theneed for technical assistance in order to draft
laws and regulations on customs valuation.
(WT/TPR/M/5 page 14)
Decision on Texts Relating to Minimum Values and Imports by Sole Agents, Sole Distributorsand Sole Concessionaires
Provision Comment
Minimum values:  Text 1
Where a developing country makes a reservationto retain officially established minimum values
within the terms of Annex III:2 (mentioned in
Section 2.8 of this document) and shows good
cause, the Committee shall give the request for the
reservation sympathetic consideration.
Where a reservation is consented to, the terms and
conditions referred to in Annex III:2 shall take full
account of the development, financial and trade
needs of the developing country concerned.Thirty-one developing country Members have
made the reservation to retain minimum values
under  Annex III.2.
Related agents:  Text 2:1-2
A number of developing countries have a concern
that problems may exist in the valuation of importsWT/COMTD/W/66
Page 24
Provision Comment
by sole agents, sole distributors and sole
concessionaires.  Under  Article 20:1 (mentioned
in Section 2.7 of this document), developing
country Members have a period of delay of up to
five years prior to the application of the
Agreement.  In this context, developing countryMembers availing themselves of this provision
could use the period to conduct appropriate studies
and to take such other actions as are necessary to
facilitate application.
In consideration of this, the Committeerecommends that the Customs Co-operation
Council assist developing country Members, inaccordance with the provisions of Annex II, to
formulate and conduct studies in areas identified
as being of potential concern, including those
relating to importations by sole agents, sole
distributors and sole concessionaires.The Technical Committee of the WCO has
finalized its consideration of a draft case study
related to an importation by a sole distributor.
Agreement on Import Licensing Procedures
Provision Comment
Article 2:2 footnote 5 (Automatic Import
Licensing
A developing country Member, other than a
developing country Member which was a Party to
the Agreement on Import Licensing Procedures
done on 12 April 1979, which has specific
difficulties with the requirements of Article 2:2
subparagraphs (a)(ii) and (a)(iii)11 may, upon
notification to the Committee, delay the
application of these subparagraphs by not more
than two years from the date of entry into force of
the WTO Agreement for such Member.The two-year period of delay allowed under the
Agreement to bring their procedures in conformity
with the two provisions has lapsed for all 24
Members who have invoked the provisions so far.
It is therefore presumed that  the requirements of
the two provisions are now  being complied with by
all Members.  The Secretariat is not aware of any
difficulty in applying the two provisions.
Agreement on Subsidies and Countervailing Measures
Provision Comment
Part VII:  Notification and Surveillance
Article 25 (Notifications) andArticle 26 (Surveillance)Some developing countries have noted the
difficulty and cost of meeting the notificationobligations and proposed that the process be
simplified.  One has refered to the difficulty and
cost of notifying sub-national subsidy
programmes. (G/SCM/M/13)
One developed county delegation has proposed
reviewing the timing of notifications, special
                                                     
11 These subparagraphs pertain to specific provisions that apply to automatic import licensing procedures.WT/COMTD/W/66
Page 25
Provision Comment
consideration for LDCs and technical assistance;
the last point has been supported by another
delegation. (G/SCM/M/13)
Part VIII:  Developing Country MembersArticle 27 (Special and Differential Treatment of
Developing Country Members)See Part VII above.
Part VIII:  Developing Country Members
Article 27 (Special and Differential Treatment of
Developing Country Members)One developing country defendant in a dispute
settlement case relating to subsidies maintainedthat it was covered by the provisions of special
and differential treatment for developing country
Members contained in the Agreement on Subsidies
and Countervailing Measures (SCM).
Furthermore, it insisted that the terms of referenceof the Panel should contain a reference to Article
27 of the SCM Agreement which was the legal
basis for special and di fferential treatment in
favour of developing countries.
(WT/DSB/M/22, page 3)
Article 27.1Members recognize that subsidies may play animportant role in economic development
programmes of developing country MembersIn relation to the Asian economic crisis, some
developing country Members have requested that
Article 27.1 should take its relevant meaning, so
that Members in crisis could be allowed to
recover, before additional burden is placed on
them.  (G/SCM/M/16)
Annex VII (Developing Country Members,
referred to in paragraph 2(a) of Article 27)
The developing country Members not subject to
the provisions of Article 3:1 (a)  under the terms ofArticle 27:2 (a) are:
(a) Least-developed countries designated as such
by the United Nations which are Members of the
WTO.
(b) Each of the following developing countrieswhich are Members of the WTO shall be subject
to the provisions which are applicable to other
developing country Members according to
Article 27.2 (b) when GNP per capita has reached
$1,000 per annum;
12 Bolivia, Cameroon, Congo,
Côte d’Ivoire, Dominican Republic, Egypt, Ghana,
Guatemala, Guyana, India, Indonesia, Kenya,
Morocco, Nicaragua, Nigeria, Pakistan,
Philippines, Senegal, Sri Lanka and Zimbabwe.In the Committee on Subsidies and Countervailing
Measures, there was a complaint by a developingcountry Member that it had not been included in
Annex VII(b) which lists developing country
Members not subject to certain provisions of the
Agreement on Subsidies and Countervailing
Measures. (G/SCM/M/13, paragraphs 103-111)
Another concern raised with respect to Annex
VII(b) was that the criterion for inclusion was
based on a measure of GN P per capita and that a
developing country could be deleted from the listas the GNP per capita exceeded the allowed value,
but that, due to a changed exchange rate, the
country could fall back below. (G/SCM/M/15
paragraph 68)
                                                     
12 The inclusion of developing country Members in the list in paragraph (b) is based on the most recent
data from the World Bank on GNP per capita.WT/COMTD/W/66
Page 26
Agreement on Safeguards
Provision Comment
Article 9  Developing Country Members
Article 9.1 and footnote 2
Safeguard measures shall not be applied against a
product originating in a developing country
Member as long as its share of imports of the
product concerned in the importing Member doesnot exceed 3 per cent, provided that developing
country Members with less than 3 per cent import
share  collectively account for not more than
9 per cent of total imports of the product
concerned.
footnote 2:
A Member shall immediately notify an action
taken under Article 9.1 to the Committee on
Safeguards.In the Committee on Safeguards, three different
concerns have been raised with respect to
Article 9.1 of the Agreement on Safeguards.
Opposition was voiced over the manner in whichone Member had applied Article 9.1 of the
Safeguards Agreement, to exclude one developing
Member from eligibility under Article 9.1 on the
grounds that that Member was not included in the
preference-giving Member's list of GSPbeneficiaries. (G/SG/M/9)
Concern was also raised over a decision by one
developing country Member not to exclude
another developing country Member from
application of a safeguard measure, even though
that developing Member was the only developingcountry exporter of the product which individually
did not exceed the 3 per cent share of imports.
(G/SG/M/12)
In addition, there have been requests for details
regarding two developing country Members'
application of Article 9.1' s requirement to exclude
from application of a measure imports from
developing countries with small import shares.
(G/SG/M/13)
General Agreement on Trade in Services
General Comments with Respect to the General Agreement on Trade in Services
Concern was raised that, overall, developed countries continued to dominate services trade
and that the expected improvement in participation of developing countries had not taken place.  This
indicated the need for special and more favourable treatment of developing countries and suggested
that developed countries had offered service providers of developing countries inadequate access,whereas those of developed countries had been able to penetrate developing countries' markets.  The
current imbalance in comm itments across countries, sectors and modes needed to be corrected,
bearing in mind in particular the requirement for negotiating flexibility for and increased
participation of developing countries in services trade.  (S/C/M/34 paragraph 37)
It was pointed out that in order to ensure effective protection of privacy and prevention of
fraud it was important for developing countries to have access to the most advanced encryption
technology and that access to such technology was often denied to them.  A suggestion was made that
it might be necessary to consider the adequacy of current WTO rules, including those of GATS, to
deal with such matters as competition and the protection of privacy, consumers and intellectualproperty rights. (S/C/M/34 paragraph 12)WT/COMTD/W/66
Page 27
It was observed that, overall, the proportion of commitments under modes 1 and 3 assumed
without limitations (full bindings) was higher for developing than for developed countries. It was also
mentioned that the bulk of commitments undertaken by developed Members in infrastructurally
important and capital-intensive sectors were subject to market access limitations.  When noting that
entry conditions for natural persons (mode 4) were particularly restrictive, to the disadvantage inparticular of developing country suppliers, the need  to ensure special and differential treatment of
developing countries in the next round was stressed. (S/C/M/34 paragraph 25)
The view was expressed that consideration should be given to the establishment of complaints
mechanisms for persons adversely affected by visa and work permit regulations and their
implementation, and the creation of international frameworks facilitating mutual recognition of
licences and certificates.  Such frameworks might be  confined to certain aspects of the licensing
process, but should allow for the participation of developing countries.  Moreover, to defuse the
potentially restrictive effects of residency requirements, it was proposed that a distinction between
consulting-type activities performed on a short-term basis and other activities actually requiring
establishment be developed.  It was stressed that the GATS was conceived to achieve a symmetry
between investment-related commitments and the obl igations governing movement of natural persons.
(S/C/M/34 paragraph 22)
Provision Comment
Article IV: 1 Increasing Participation of
Developing Countries
The increasing participation of developing country
Members in world trade shall be facilitatedthrough negotiated specific commitments, by
different Members pursuant to Parts III and  IV  of
this Agreement, relating to:
(a)  the strengthening of their domestic services
capacity and its efficiency and competitiveness,inter alia  through access to technology on a
commercial basis;
(b)  the improvement of their access to distribution
channels and information networks; and
(c)  the liberalization of market access in sectorsand modes of supply of export interest to themOne delegation noted that an assessment of what
the GATS had achieved, in particular with
respect to the objectives of Article IV:1, wascentral to the confidence-building exercise
necessary to embark on a new round of
negotiations.  Members were urged not to
underestimate the importance of that assessment.
(S/C/M/35 paragraph 26)
A delegation was pleased to see that account had
been taken of paragraph 1 of Article IV relating to
increasing participation of developing countries.
(S/C/M/13 paragraph 5)
It was mentioned that the flexibility for developing
countries underscored by Articles IV and XIX of
the GATS must be taken into account.
(S/C/M/13 paragraph  16)
Regarding the negotiating guidelines and
procedures the importance of complying with
Article IV was underlined as such compliance
would determine the depth of developing
countries’ commitments. (S/C/M/35  paragraph
35)
The view was expressed that it was important that
developing countries identified sectors of interest
to them and that Members considered the role of
market opening in services for the growth and theintegration of a country in the global economy.WT/COMTD/W/66
Page 28
Provision Comment
(S/C/M/35  paragraph  36)
Article V:3  Economic Integration
(a) Where developing countries are parties toan agreement of the type referred to in Article V:1,
flexibility shall be prov ided for regarding the
conditions set out in Article V:1, particularly with
reference to Article V:1(b) thereof, in accordance
with the level of development of the countriesconcerned, both overall and in individual sectors
and sub-sectors.
(b) Notwithstanding Article V:6, in the case
of an agreement of the type referred to in
Article V:1 involving only developing countries,more favourable treatment may be granted to
juridical persons owned or controlled by natural
persons of the parties to such an agreement.It was felt that there was no need to clarify what
was meant by special and differential treatment
of developing countries in Article V.
(S/C/M/35 paragraph 46)
Article XIX:2:  Negotiation of SpecificCommitments
The process of liberalization shall take place with
due respect for national policy objectives and the
level of development of individual Members, both
overall and in individual sectors.  There shall beappropriate flexibility for individual developing
country Members for opening fewer sectors,
liberalizing fewer types of transactions,
progressively extending market access in line with
their development situation and, when makingaccess to their markets available to foreign service
suppliers, attaching to such access conditions
aimed at achieving the objectives referred to in
Article IV.See Article IV above.
Article XIX:3
For each round, negotiating guidelines and
procedures shall be established.  For purposes ofestablishing such guidelines, the Council for Trade
in Services shall carry out an assessment of trade
in services in overall terms and on a sectoral basis
with reference to the objectives of this Agreement,
including those set out in paragraph 1 ofArticle IV.  Negotiating guidelines shall establish
modalities for the treatment of liberalization
undertaken autonomously by Members since
previous negotiations, as well as for the special
treatment for least-developed country Membersunder the provisions of paragraph 3 of Article IV.Particular interest in studies on how developing
countries had benefitted from liberalisationunder the GATS, on the problems they had
encountered, and on how these might be
overcome was expressed.  The assessment was
said to be vital for the drafting of negotiating
guidelines and procedures and for theconfidence-building exercise necessary to embark
on a new round of negotiations.
(S/C/M/35  paragraph  26)
Disappointment at the lack of focus on
developing countries in the Secretariat
background note on the assessment of trade
(S/W/C/94) was expressed.  (S/C/M/34
paragraph. 38 and 41)
Article XXV:2  Technical Co-operationTechnical assistance to de veloping countries shall
be provided at the multilateral level by theWith respect to the draft cooperation agreement
between the ITU and the WTO three Members feltWT/COMTD/W/66
Page 29
Provision Comment
Secretariat and shall be decided upon by the
Council for Trade in Services.that the main benefit of the draft agreement
would be in the field of technical cooperation.
(S/C/M/30 paragraph 6)
Annex on Telecommunications:  paragraph 6(c)In cooperation with relevant international
organizations, Members shall make available,
where practicable, to developing countries
information with respect to telecommunicationsservices and developments in telecommunications
and information technology to assist in
strengthening their domestic telecommunications
services sector.One delegation stressed that technical assistance
was particularly needed by those Members who
were undertaking regulatory reforms.  That
delegation was already involved in providingtechnical assistance in the telecommunications
sector. (S/C/M/31 paragraph 28)
Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS)
Provision Comment
Section 3:  Geographical Indications
Article 22 (Protection of Geographical
Indications) and
Article 23 (Additional Protection for
Geographical Indications for Wines and Spirits)Concern has been raised by one developing
country Member during its Trade Policy Review
with regard to region-specific protection through
geographical indications provided to wines and
spirits under relevant WTO provisions but not todeveloping country products.
(WT/TPR/M/33 paragraph 9)
Article 64 (Dispute Settlement)
Article 66 (Transitional Arrangements
Article 65:1
Subject to the provisions of paragraphs 2, 3 and 4,
no Member shall be obliged to apply the
provisions of this Agreement before the expiry of
a general period of one year following the date ofentry into force of the WTO Agreement.
Article 65:2
A developing country Member is entitled to delay
for a further period of four years the date of
application, as defined in paragraph 1, of the
provisions of this Agreement other than Articles 3,4 and 5.Extensive use has been made of the transition
periods provided for developing and least-
developed countries in Articles 65 and 66 of the
TRIPS Agreement.
Early on there were some discussion early on the
issue of which WTO Members are eligible to
benefit from the transition period (IP/C/M/11,
paragraphs 31-42).
Generally,  no difficulties with respect to the use of
these provisions have been raised in the TRIPS
Council [although extensive discussions on it has
taken place elsewhere].
One developing country Member stated upon the
adoption of a report of the Appellate Body
(WT/DS50/AB/R) which concluded that it had not
fulfilled its obligations under the TRIPS
Agreement that the overall effect of the reports of
the Panel and the Appellate Body appeared todilute, to a certain extent, what developingWT/COMTD/W/66
Page 30
Provision Comment
countries had considered to be the flexibilities
available to them under the transitional provisions
of the TRIPS Agreement.
(WT/DSB/M/40, page 7)
A number of issues have arisen in regard to
compliance with the related "mailbox" and
exclusive marketing right provisions of
Article 70.8 and 70.9.  This matter has figured
regularly on the agenda of the TRIPS Council.
Moreover, it has been the subject of four
invocations of the dispute settlement mechanism
relating to three separate matters, one of whichwas settled with a mutually agreed solution
(IP/D/2/Add.1), another of  which was the subject
of two Panel Reports (WT/DS50/R, WT/DS79/R)
and an Appellate Body Report (WT/DS50/AB/R)
and the last of which is at the consultation phase.(IP/D/18)
Article 66 (Least-Developed Country Members)
Article 66:1In view of the special needs and requirements of
least-developed country Members, their economic,
financial and administrative constraints, and their
need for flexibility to create a viable technological
base, such Members shall not be required to applythe provisions of this Agreement, other than
Articles 3, 4 and 5, for a period of 10 years from
the date of application as defined under
Article 65.1.  The Council for TRIPS shall, upon
duly motivated request by a least-developedcountry Member, accord extensions of this period.See under Article 65:  Transitional Arrangements
above.
Article 66:2
Developed country Members shall provide
incentives to enterprises and institutions in their
territories for the purpose of promoting and
encouraging technology transfer to least-
developed country  Members in order to enablethem to create a sound and viable technological
base.At its meeting in December 1998, the TRIPS
Council made arrangements to invite developed
country Members to provide information on how
Article 66.2 was being implemented.  A number of
developed country Members have provided suchinformation (IP/C/W/132 and addenda 1-3) and
others have indicated that they are in the process
of preparing it.  Some Members have urged that,
in this information, developed countries should be
clear as to the nature of the incentives beingprovided.
Article 67 (Technical Co-operation)In order to facilitate the implementation of this
Agreement, developed country Members shall
provide, on request and on mutually agreed terms
and conditions, technical and financial cooperation
in favour of developing and least-developedConsiderable attention has been given by the
TRIPS Council to the provision of technical
cooperation pursuant to Article 67 of the TRIPS
Agreement.  This issue has been a regular item on
the agenda of the Council's meetings, with a viewWT/COMTD/W/66
Page 31
Provision Comment
country Members.  Such cooperation shall include
assistance in the preparation of laws and
regulations on the protection and enforcement of
intellectual property rights as well as on the
prevention of their abuse, and shall include support
regarding the establishment or reinforcement ofdomestic offices and agencies relevant to these
matters, including the training of personnel.to monitoring compliance with the obligation
contained in Article 67, sharing information on the
technical cooperation possibilities available and
providing an opportunity to identify any needs not
adequately being addressed.  Developed countries
have provided, on an annual basis, for a specialtechnical cooperation review meeting held in
September of each year, reports on their technical
and financial cooperation activities of relevance
(most recently in documents IP/C/W/109 and
addenda 1-6).  Furthermore, they have notified
contact points in their administrations for
technical cooperation on TRIPS. (IP/N/7, revisions
and addenda)
Intergovernmental organizations with observer
status in the TRIPS Council have also provided
written information on their technical cooperationactivities relating to TRIPS matters (IP/C/W/108
and addenda 1-6), as has the WTO Secretariat
(IP/C/W/110).  In addition, the TRIPS Council is
regularly informed of developments with regard to
the joint initiative on technical cooperationlaunched by the Heads of the WIPO and WTO in
July 1998.
No significant concerns regarding the adequate
availability of technical cooperation have beenformulated in the TRIPS Council.
Understanding on Rules and Procedures Gove rning the Settlement of Disputes (DSU)
General Comments with Respect to the Dispute Settlement Understanding
In the review of the Dispute Settlement U nderstanding, developing count ries have raised doubts
as to the effective access of developing countries to the dispute settlement process and the lack of clarity
regarding the manner in which the special and differen tial treatment provisions are implemented.  It has
been suggested that certain special and differential treatment Articles of the DSU are not articulated in
specific terms and that this needed to be corrected.  Articles 4.10, 8.10, 12.11, 21.2, 21.7 and 21.8 were
specifically mentioned in this respect.  Even t hough the words "shall" and "should" have been used, it is
claimed that there is no way to ensure that such  treatment is accorded to developing countries in
practice.  It was therefore reiterated that ther e seemed to be a need for developing a monitoring
mechanism to check whether such requirements ar e adhered to.  That may also be ensured by
strengthening the language of for example Article 4.10 and Article 21.2 by replacing the word "should"
by "shall".  Additionally, it has been suggested that  specific guidelines need to be evolved to ensure
rigorous implementation of provisions in fav our of developing countri es. (Job No. 6645, paragraph 319)
It has been stated that, as some Members have in-house legal services with WTO jurisprudence
expertise while other Members, especially developi ng country Members, lack both familiarity with WTO
law and legal experts to handle a case, it would not onl y seem fair but also consistent with the due
process principle of the DSU that a Member should be able to include private counsel in its delegationWT/COMTD/W/66
Page 32
to advocate its views and advise on legal matters before a panel and the Appellate Body.
(Job No. 6645, paragraph 142)
The view has been expressed that rather t han promoting the idea of private law firms
representing the national interests of developing country Members, the WTO should concentrate its
efforts on identifying mechanisms aimed at strengthe ning the institutional framework of those countries,
in particular by promoting the technical devel opment of their human resources.  (Job No. 6645,
paragraph 141)
In a dispute, a developing count ry Member complained that if the Panel did not reconsider its
position on third party requests and allowed third parties to present arguments in support of their
legitimate trade interests as the process unfolde d, third party developing country Members would not be
able to adequately protect their interests in keepi ng with the commitments under the WTO Agreement
which encouraged growth and development "in a manne r consistent with their respective needs and
concerns at different levels of economic development." (WT/DSB/M/19 page 4)
Provision Comment
Article 4 (Consultations)
Article 4:10
During consultations Members should give special
attention to developing country Members'particular problems and interests.One developing country Member complained that
its request for consultations with another Member(developed) had been disregarded, thus
discriminating against and impairing its interests
in deviation from the provisions of Article 4.10 of
the DSU. "  (WT/DSB/M/7, page 2)
Article 12:  Panel Procedures
Article 12.10
In the context of consultations involving and
measures taken by a developing country Member,
the parties may agree to extend the periodsestablished in paragraphs 7 and 8 of Article 4.  If,
after the period has elapsed, the consulting parties
cannot agree that the consultations have
concluded, the Chairman of the DSB shall decide,
after consultation with the parties, whether toextend the relevant period and, if so, for how long.
In addition, in examining a complaint against a
developing country Member, the panel shall allow
sufficient time for the developing country Member
to prepare and present its argumentation.  Theprovisions of paragraph 1 of Article 20 and
paragraph 4 of Article 21 are not affected by any
action pursuant to this paragraph.In a dispute, a developing country defendant
contended that the process raised a number of
questions in relation to the DSU such as (i) thereal difficulties faced by developing countries on
the insistence by a developed country that
consultations be held only in Geneva; (ii) the
meaning and significance of the consultations
stage; (iii) whether a Member could decideunilaterally that consultations had been concluded
in particular since Article 12.10 of the DSU
provided that "In the context of consultations
involving a measure taken by a developing country
Member, the parties may agree to extend theperiod established in paragraphs 7 and 8 of
Article 4." (WT/DSB/M/2,  page 4)
Article 21 (Surveillance of Implementation ofRecommendations and Rulings
Article 21:8If the case is one brought by a developing country
Member, in considering what appropriate actionmight be taken, the DSB shall take into account
not only the trade coverage of measures
complained of, but also their impact on theIt has been pointed out that the Article does not
oblige the other party to the dispute to accept suchan offer.  It was therefore suggested that a
sentence could be added saying that the parties to
the dispute shall enter into such a process, in goodWT/COMTD/W/66
Page 33
economy of developing country Members
concerned.faith, in accordance with the provisions of
Article 5. (Job 6645, paragraph 317)
Article 24 (Special Procedures InvolvedLeast-Developed Members)
Article 24:2While the Secretariat assists Members in respect of
dispute settlement at their request, there may also
be a need to provide additional legal advice and
assistance in respect of dispute settlement todeveloping country Members.  To this end, the
Secretariat shall make available a qualified legal
expert from the WTO technical cooperation
services to any developing country Member which
so requests. This expert shall assist the developingcountry Member in a manner ensuring the
continued impartiality of the Secretariat.It has been stated that there is a need to review the
application of Article 27.2 of the DSU to make it
more operational and effective in extending
assistance with respect to dispute settlementmatters to developing countries.  It has been
suggested that the budget of the Secretariat needs
to be further supplemented to enable the
Secretariat to hire full time consultants and to
upgrade the posts of legal officers so thatexperienced personnel can be employed for this
purpose.  The legal advisors should constitute an
independent legal unit within the Secretariat in
order to ensure the neutrality required of the
Secretariat itself.  It has also been stated that the
concept of "neutrality" of the WTO Secretariat
needs to be more clearly defined and perhapsmore loosely implemented as a strict
implementation of "neutral ity" limits the nature
and scope of legal services made available to the
developing Member countries and prevents legal
advisors of the WTO from effectively helpingdeveloping country Members  in defending or
pleading a case.  Another suggestion was to
establish a trust fund to finance strategic alliances
with lawyers' offices or private firms to expand the
scope of consultancy and advisory services.(Job 6645, paragraphs 327-339)
General Agreement on Tariffs and Trade:  1994
General Comments with Respect to the General Agreement on Tariffs and Trade 1994
WTO tariff concessions undertaken by developing country Members under Article II of GATT
1994 have generally been implemented over a longer or extended timeframe compared to developed
countries.  To date, the Secretariat has no information about any WTO Member who has haddifficulty in implementing tariff cuts according to their schedules of concessions and there are no
statements to that effect in the relevant WTO Committees.  Furthermore, Members that have difficulty
in implementing WTO tariff concessions can renegotiate these concessions under Article XXVIII
procedures which are available to all WTO Members and commonly utilized for various reasons.
However, in the TPRM, at least one developing country Member has stated that technical assistancewould be needed to renegotiate tariff concessions made prior to the Uruguay Round.
(WT/TPR/S/27 3 page 9)WT/COMTD/W/66
Page 34
Understanding on Balance-of-Payments Provisions
General Comments with Respect to the Understanding on Balance-of-payments Provisions
The Committee on Balance-of-payments Restrictions  agreed to a request from a least-developed
country Member for the postponement of full consultations, due before May 1999, to the year 2000,because of problems caused by flood devastation. Simplified consultations took place in May 1999
and full consultations will be held in 2000.
In the TPRM, the view has been expressed th at, in implementation, hardly any distinction
seemed now to be drawn between Article XII and Article XVIII:B of GATT 1994. (WT/TPR/M/33,
paragraph 9)
1979 Decision of the Contracting Parties on Differential and More Favourable Treatment,
Reciprocity and Fuller Participation of Deve loping Countries:  "The Enabling Clause"
Provision Comment
1. Notwithstanding the provisions of
Article I of the General Agreement, contractingparties may accord differential and more
favourable treatment to developing countries,
13
without according such treatment to othercontracting parties.
2. The provisions of paragraph 1 apply tothe following:
14
(a) Preferential tariff treatment accorded
by developed contracting parties to products
originating in developing countries in accordancewith the Generalized System of Preferences.
15
(b) Differential and more favourable
treatment with respect to the provisions of the
General Agreement concerning non-tariff
measures governed by the provisions of
instruments multilaterally negotiated under the
auspices of the GATT.See sections on individual Agreements.
General Comments with Respect to the Enabling Clause
The use of the Generalized System of Preferences GSP is frequently referred to in the TPRM
process without stating any difficulties.  However, specific concerns raised in TPRM discussions with
respect to (GSP) include the following:
- That items of particular export interest for developing countries are not eligible for
GSP benefits, or only partially included in the schemes, such as agricultural and
                                                     
13 11The words "developing countries" as used in this text are to be understood to refer also to
developing territories.
14 It would remain open for the CONTRACTING PARTIES to consider on an ad hoc  basis under the
GATT provisions for joint action any proposals for differential and more favourable treatment not falling withinthe scope of this paragraph.
15 As described in the Decision of the CONTRACTING PARTIES of 25 June 1971, relating to the
establishment of "generalized, non-reciprocal and non-discriminatory preferences beneficial to the developing
countries."WT/COMTD/W/66
Page 35
textiles and clothing items;16 (WT/TPR/M/13, page 11, WT/TPR/M/30, page 9,
WT/TPR/S/32-2 pages 7,8, WT/TPR/M/32 25)
- That some GSP schemes ignore the fact or-intensity of production in developing
countries as certain labour-intensive chem ical and textile products have been removed
from the schemes; (WT/TPR/M/3, page 20)
- That certain schemes contain binding ceiling quotas on certain products;17
(WT7TPR/S/32-2, pages.7-8)
- That not all exports of GSP-eligible goods  from developing countries to preference
giving countries actually benefit from  preferential access; (WT/TPR/S/52-2,
pages 22-23)
- That some GSP schemes in reality only benefit a few developing countries exporters of
the few products covered by the scheme and that the benefits of the scheme therefore
are highly skewed both in terms of the num ber of main beneficiaries and the range of
products; (WT/TPR/M/32, pages 24,25)
- That imports under contractual or unilate ral preferences, subject to emergency
safeguards or zero-duty quotas have ne gative effects on preference schemes;
(WT/TPR/M/3, page 15)
- That developing country exports have been progressively excluded from a number of
GSP schemes as such exports have reached the competitiveness criteria defined by
GSP-granting countries.  Th e negative effects on the ma rket position of certain
developing country products have been magnified by the maintenance of benefits tocompeting countries; (WT/TPR/S/21-2, page 10)
- That specialization and development indi ces can lead to discrimination between
developing countries competing for the same market.  Such indices favour producers of
raw materials and low-processed goods whil e penalizing more advanced suppliers;
(WT/TPR/M/3, pages 6,7)
- That sector and country graduat ion are contrary to princi ples of non-discrimination
and non-reciprocity that underpin the GSP and th erefore alien to the original intentions
underlying the GSP concept; (WT/ TPR/M/3, page 19, WT/TPR/M/30, pages 9,10)
- That the withdrawal, or the threat of withdr awal of preferences is used as leverage to
obtain non-trade objectives.  As recipient c ountries can not rely on the preferences,
they have become less useful. The consequent uncertainty of access is a major concern
to countries affected; (WT/TPR/M/16, page 9) and
- That linking the benefits to non-trade issues , such as environmental and social (labour)
standards as well as intellectual property rights and the fight against drugs curtail the
benefits under the scheme and introduce elements of discrimination and reciprocity into
the GSP scheme. These aspects go against the fundamental principles of the GSP.
                                                     
16 The following items were explicitly mentioned;  walnuts, raw coffee, meat, dairy products,
vegetables, cereals, cigars, silk, cotton, woven fabrics of cotton, footwear.
17 The following items were explicitly mentioned:  wood and articles thereof, leather articles, footwear,
electrical machinery and equipment.WT/COMTD/W/66
Page 36
(WT/TPR/M/3, pages 6, 7, 11, 15, 19, 20,  WT/TPR/M/16 pages 16, 25, 29,
WT/TPR/M/30 pages  6, 9, 10, 11, 15, 16, 17, 26)
Information Relating to Government Procurement
Transparency in Government Procurement
In the discussions of the Working Group on Transparency in Government Procurement,
attention has been given to issues of technical cooperation and special and differential treatment for
developing countries.  This matter constitutes one of  the twelve headings used in the informal note by
the Chair entitled "List of Issues Raised and Points Made", under which the Working Group has been
organizing its work (Job No. 2934, dated 21 May 1999).  Most of this discussion has related tomatters of technical cooperation, for example in re spect of the development of national legislation
and procedures, training, institution building, access to information by suppliers, and the use of
information technology.  With regard to special and differential treatment for developing countries,
the view has been expressed that this issue should be addressed in greater detail once the elements of
an eventual transparency agreement were more clearly defined.
Plurilateral Agreement on Government Procurement
Parties to the plurilateral Agreement on Government Procurement are presently engaged in
negotiations with a view to simplification and im provement of the Agreement, including adaptation to
the advances in the area of information techno logy, and expanding the coverage of the Agreement,
including by the elimination of discriminatory measures on practices.  One of the declared aims of
these negotiations is to seek the expansion of membership of the Agreement by making it more
accessible to non-Parties.  The view has been expressed that Article V of the Agreement, concerning
special and differential treatment for developing countries, should be revised.  In regard toinformation technology in particular, the importance of technical cooperation in favour of developing
country procurement entities and suppliers has been widely emphasized.  All WTO Members have
been invited to participate actively in these discussions by becoming observers to the Committee on
Government Procurement (WT/L/206).
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