WORLD TRADE WT/CTE/W/64
29September 1997
ORGANIZATION(97-4023)
Original: English Committee onTrade andEnvironment
THE CONVENTION ONBIOLOGICAL DIVERSITY AND ITSRELATION TOTRADE
Communication from theExecutive Secretary of
theConvention onBiological Diversity
I. SUMMARY
1. TheConvention onBiological Diversity (CBD) contains asetoflegally binding commitments
which aimtoensure thattheworld 'sbiological diversity ismaintained inperpetuity. TheConvention
alsoestablishesanintergovernmentalprocesstodevelopthesecommitmentsasneededinordertoaddress
theissues associated withthemaintenance ofbiological diversity andtoallow theregime torespond
toemerging issues. Theintergovernmental process includes theparticipation of169Parties, afurther
18states which aresignatories, andtheactive involvement ofmajor international organizations, such
astheUnited Nations, theFAO, theWorld Bank, theGlobal Environment Facility, UNCTAD, UNDP
andtheOECD. Assuch, theConvention hasbecome thecentral international instrument foraddressing
issues relating tobiological diversity.
2. Biological diversity asdefined bytheConvention isacomplex scientific concept which attempts
tocomprehensively describe theliving resources oftheplanet. Thetheoretical basis forthisconcept
embodied intheConvention relies onidentifying andmanaging theseliving resources atthreedifferent,
although interdependent, levels: thegenetic diversity ofspecies; thediversity ofspecies themselves;
andthevariety ofecosystems ortheassemblages thatthese species existwithin.
3. Theregime thattheConvention embodies isbased upontheconcept ofsustainable development,
which inessence seeks toreconcile therequirements ofdevelopment withtheneedtoensure thatthe
natural environment oftheplanet andtheservices tosociety derived there fromaremaintained. This
approach isbased onthepremise thatonlybyrealising bothofthese objectives willdevelopment be
sustainable. AssuchtheConvention represents oneoftheimportant products oftheUNCED process
andisacentral element ofthisattempt bytheinternational community totranslate theprincipal of
sustainable development intoconcrete actions.
4. TheConvention adopts aholistic approach tomeeting these aims, which means identifying
andaddressing alltheimpacts thatsociety 'sactivities haveonbiological diversity. Thisincludes those
activities which directly andindirectly havepositive aswellasnegative impacts.
5. Assuch, realization oftheConvention 'sobjectives willnotonlybedependant uponaddressing
thenegative impacts thattrade mayhaveonbiological diversity butwillalsodepend onharnessing
thepositive impacts. Forexample, sustainable useofbiological diversity canonlyproperly occur
iftheterms oftradeofproducts which aredependant upon, andwhose usehasanimpact onbiodiversity
areconducted inamanner which ensures thattherelevant externalities canbeinternalized. Thismeans
notonlyaddressing thecauses ofbiodiversity loss,suchashabitat conversion tosupport mono-cultural
agricultural practises, butalsoencouraging useswhich maintain biodiversity andwhich provide the
necessary resources tostakeholders toallow them toproperly maintain biodiversity.WT/CTE/W/64
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6. AstheConvention deals withallaspects ofliving resources, trade isanintegral partofits
areaofconcern. Provisions ofmajor importance fortrade are,forexample, Article 11oftheCBD
onincentive measures andArticle 10onthesustainable useofcomponents ofbiodiversity, including
itslitera (e)which encourages cooperation between governmental authorities andtheprivate sector
indeveloping methods forsustainable useofbiological resources.
7. TheDecisions oftheConference oftheParties (COP), thesupreme governing body ofthe
Convention, havealsoraised anumber ofareas ofrelevance totheWTO. Forexample, theCOP
Decision onconservation andsustainable useofagricultural biodiversity callsforaction bytheParties
toaddress notonlythecauses oflossofbiodiversity butalsotoconsider thebeneficial impacts that
agriculture canhave onbiodiversity. InthisDecision, Parties alsorecognized thatensuring the
conservation andsustainable useofagricultural biodiversity willnotbepossible without understanding
theroleoftrade. TheDecision recalls paragraph 39(g) fromtheWorld Food Summit PlanofAction
andencourages "theWorld Trade Organization through itsCommittee onTrade andEnvironment,
incollaboration withother relevant organizations, toconsider developing abetter appreciation ofthe
relationship between trade andagricultural biodiversity and,inthisconsideration, recommends the
collaborationwiththeConventiononBiologicalDiversityandrequeststheExecutiveSecretarytoconvey
thisrequest totheWorld Trade Organization".
8. Thisnotebriefly outlines thepurposes oftheConvention, highlighting therelationship between
theemerging regime under theConvention andtradeissues generally. Itisclearfromthisbriefoutline
thatcoordination andcooperation between theCBD andtheWTO arerequired ifbothregimes are
toachieve theirrespective aims. Thisnotetherefore concludes withsome observations onareas which
willrequire cooperation intheimmediate future andinvites theWTO Committee onTrade and
Environment tosuggest ways totheforthcoming COP astothemosteffective manner toimplement
thiscooperation.
II. THE CONVENTION ONBIOLOGICAL DIVERSITY AND INTERNATIONAL TRADE
9. TheConvention onBiological Diversity recognizes "theimportance ofbiological diversity for
evolutionandmaintaininglifesustainingsystemsofthebiosphere",andacknowledgesthat"conservation
andsustainable useofbiological diversity isofcritical importance formeeting thefood, health and
other needs ofthegrowing world population". According toitsPreamble, thevalue ofbiological
diversity isintrinsic andbiodiversity anditscomponents haveecological, genetic, social, economic,
scientific, educational, cultural, recreational andaesthetic values.
10. Thetermbiological diversity iscommonly usedtodescribe thevariety ofliving organisms
oftheplanet. Itisdefined interms ofgenes, species andecosystems, which aretheoutcome ofover
3000million years ofevolution. Todate,anestimated 1.7million species havebeenidentified. The
exact number ofexisting species, however, isstillunknown. Estimates varyfrom 5million to
100million.
11. Agreater partofbiological diversity, however, isatsignificant riskofextinction inthe
foreseeable future. Thecrisis ofbiodiversity lossiswelldocumented inrecent literature. Theestimates
fortheminimum numbers ofglobally threatened animal andplantspecies in1994were5,366 animals
and26106plants. Forindividual groups, 11percentofbirds, 18percentofmammals, 5percent
offish,and8percentofplants arethreatened. Thecurrent rateofbiodiversity losses isestimated
tobethehighest inmillions ofyears. Theextinction ofspecies andtheerosion ofgenetic resources,
aswellasthedepletion anddestruction ofunique ecosystems, continue atanunprecedented rate.
12. These losses areanthropogenic andstemfrom adiversity ofdirect andindirect economic,
political, andsocial factors. Trade asoneoftheimportant activities ofhumankind hasanimpact onWT/CTE/W/64
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biological diversity which isyettobeclearly understood. However, there isalready good evidence
andsound scientific findings foronedirect impact oftrade onbiological diversity: theintroduction
ofalienspeciesintoecosystems.Transportationusedininternationaltradecontributestotheintroduction
ofalien species through, forexample, insects intimber, pests (bacteria, viruses andother
microorganisms) inshipments, andthedischarge ofballast water brought fromabroad. Alien species
canhavecatastrophic consequences astheydestabilize thebalance intheecosystem andmayleadto
theextinction ofawhole range ofspecies.
13. Theconsequences ofbiodiversity lossareserious andinclude: thelossofsources ofvaluable
pharmaceutical compounds, foods, andother goods; thelossofvaluable ecological services provided
byhealthy ecosystems, suchasflood control andwater quality protection; and,possibly inthelong
run,widespread destabilization anddestruction ofecologically andeconomically productive ecosystems.
14. TheConvention translates itsguiding principles ofconservation, sustainable useandequitable
sharing ofthebenefits oftheuseofgenetic resources intobinding commitments initsnormative
provisions contained inArticles 6to20.These Articles contain keyprovisions on:measures forthe
conservation ofbiological diversity, bothinsituandexsitu;incentives fortheconservation and
sustainable usebiological diversity; further research; education; assessing theenvironmental impacts
ofprojects; regulating access togenetic resources andthetechnology tousesthese resources; and
finally, financial resources.
A. TheRelationship Between Biodiversity andTrade
15. Thefollowing highlights some ofthekeyprovisions oftheCBDastheyrelate totherelationship
between biodiversity andtrade.
16. Article 6requires Parties notonlytodevelop national conservation plans, programmes or
strategies forconservation andsustainable useofbiodiversity butobliges themtointegrate biodiversity
protection anditssustainable useintorelevant sectoral andcross-sectoral plansandpolicies. Obviously,
suchefforts willneedtoaddress theroleoftrade ingeneral, aswellastrade sectors which havean
impact onbiological diversity.
17. Article 7requires thatprocesses andcategories ofactivities which haveorarelikely tohave
significant adverse impacts ontheconservation andsustainable useofbiological diversity beidentified
andmonitored. Although thereisevidence thattradeandtrade-related activities haveanimpact, more
research isneeded todetermine theprecise nature ofthese impacts.
18. Article 8(l)provides thatwhere asignificant adverse effect onbiological diversity hasbeen
determined, theContracting Parties totheCBD shallregulate ormanage therelevant processes and
categories ofactivities.
19. Article 2defines sustainable useas"theuseofcomponents ofbiological diversity inaway
andataratethatdoesnotleadtothelong-term decline inbiological diversity, thereby maintaining
itspotential tomeettheneeds andaspirations ofpresent andfuture generations". Inorder toachieve
sustainable use,Article 11,forexample, requires thatParties adopt economically andsocially sound
measures thatactasincentives fortheconservation andsustainable useofcomponents ofbiological
diversity. Article 8(e)callsforthepromotion ofenvironmentally sound andsustainable development
inareas adjacent toprotected areas withaviewtofurthering protection ofthese areas. Article 10(e)
callsforthecooperation between governmental authorities andtheprivate sector indeveloping methods
forsustainable useofbiological resources.
20. Indigenous andlocalcommunities embodying traditional lifestyles arethesubject ofanumber
ofcommitments byParties under theConvention. Inparticular, Article 8(j)provides thatParties shall,WT/CTE/W/64
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subjecttotheirnationallegislation,"respect,preserveandmaintainknowledge,innovationsandpractices
ofindigenous andlocalcommunities embodying traditional lifestyles relevant fortheconservation and
sustainable useofbiological diversity andpromote their wider application withtheapproval and
involvement oftheholders ofsuchknowledge, innovations andpractices andencourage theequitable
sharing ofthebenefits arising from theutilization ofsuchknowledge, innovations andpractices".
Article 10(d) reinforces andexpands thiscommitment andcallsforprotection ofthecustomary use
ofbiological resources inaccordance withtraditional cultural practices thatarecompatible with
conservation orsustainable userequirements. Article 18.4provides further elaboration ofthese
commitments withrespect toscientific andtechnical cooperation between Parties.
21. Thethirdobjective oftheCBDisthesharing ofbenefits arising outoftheutilization ofgenetic
resources. Aprincipal means forachieving thisisthrough theprovisions oftheConvention dealing
withaccess togenetic resources. Article 15,which contains theprincipal elements oftheCBD regime
dealing withtheuseofgenetic resources, recognizes thesovereign rights ofStates overtheirnatural
resources and,asaconsequence, theauthority todetermine access togenetic resources restswiththe
national governments andissubject tonational legislation.
22. Thisis,however, qualified bycertain conditions. Article 15.2provides thatParties "shall
endeavour tocreate conditions tofacilitate access togenetic resources forenvironmentally sound uses
byother Contracting Parties andnottoimpose restrictions thatruncounter totheobjectives ofthis
Convention". TheConvention alsocontains provisions calling upon Parties totakethenecessary
measures aimed atsharing, inafairandequitable way, theresults ofresearch anddevelopment and
thebenefits arising fromthecommercial andother utilization ofgenetic resources. Scientific research
based onthose genetic resources should becarried outwiththefullparticipation of,orevenin,the
country oforigin.
23. Another formofbenefit sharing isthetransfer oftechnology, which includes biotechnology.
Theprovisions oftheConvention dealing withthetransfer oftechnologies apply tothose technologies
which arerelevant totheconservation andsustainable useofbiological diversity, ormake useofgenetic
resources anddonotcause significant damage totheenvironment. These include technologies protected
bypatents andother intellectual property rights. However, suchtransfer shallbeprovided onterms
which recognize theprotection ofintellectual property rights. Inorder toreconcile divergent interests
thatmight beinvolved inthetransfer ofprotected technology, Parties shalltakemeasures aimed at
theprivate sector tofacilitate access tojointdevelopment andtransfer oftechnology. Aspatents and
other intellectual property rights mayhaveaninfluence ontheimplementation oftheConvention,
Article 16.5callsupon Parties tocooperate inorder toensure thatsuchrights aresupportive ofand
donotruncounter toitsobjectives.
III. THE INSTITUTIONAL STRUCTURE OFTHE CBD AND ITSOPERATION
24. TheConvention establishes anintergovernmental process todevelop thecommitments cited
above, asneeded, inorder tofurther address theissues associated withthemaintenance ofbiological
diversity andtoallow theregime torespond toemerging issues. Indeed, anymeaningful consideration
ofthenature ofParties 'commitments under theConvention requires anunderstanding ofthenature
oftheinstitutional structure which supports thisintergovernmental process.
25. Article 23establishes aConference oftheParties (COP), which isthesupreme body ofthe
Convention. Theprincipal function oftheCOP istoregularly review theCBD'simplementation.
Inparticular, theCOPisestablished toconsider andadopt amendments totheConvention; establish
suchsubsidiary bodies, particularly toprovide scientific andtechnical advice, asaredeemed necessary
fortheimplementation oftheConvention; consider anyinformation provided bysuchsubsidiary bodies
aswellasreports bytheParties totheConvention asrequired byArticle 26;andcontact, throughWT/CTE/W/64
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theSecretariat, theexecutive bodies ofconventions dealing withmatters covered bytheConvention
withaviewtoestablishing appropriate forms ofcooperation withthem. Article 23requires theCOP
tomeetonaregular basis. TodatetheCOPhasmetthree times: intheBahamas from28November
to9December 1994; inJakarta from6November to17November 1995; andinBuenos Aires from
4November to15November 1996. Itsfourth meeting willbeheldinBratislava from4to15May1998.
Itislikely thatfuture COPs willbeheldonabiannual basis.
26. Article 24establishes aSecretariat whose principal functions aretoprepare forandservice
meetings oftheCOPandothersubsidiary bodies oftheConvention andtocoordinate withotherrelevant
internationalbodies.ThehostinstitutionofthepermanentSecretariatisUNEP.TheSecretariatcurrently
has55positions andislocated inMontreal.
27. Article 25establishes anopen-ended intergovernmental scientific advisory body called the
SubsidiaryBodyonScientific,TechnicalandTechnologicalAdvice(SBSTTA).SBSTTAisasubsidiary
body oftheCOP andreports regularly totheCOP onallaspects ofitswork. Itsfunctions include:
providing assessments ofthestatus ofbiological diversity; assessments ofthetypes ofmeasures taken
inaccordance withtheprovisions oftheConvention; andresponding toquestions thattheCOPmay
puttothebody. TheSBSTTA hasmetthree times: inParis from 4to8September 1995; andin
Montreal from 2to6September 1996 andfrom 1to5September 1997. TheBody develops much
ofitsadvice inter-sessionally through theuseofsmall groups ofexperts. Forexample, thepreparations
onmarine andcoastal biodiversity, forest biodiversity andindicators haveallbenefited from such
mechanisms.
28. Article21establishesamechanismfortheprovisionoffinancialresourcestodevelopingcountries
forthepurposes oftheConvention. InArticle 20,developed countries undertake toprovide "new
andadditionalfinancialresourcestoenabledevelopingcountryPartiestomeettheagreedfullincremental
cost"ofimplementing theobligations oftheConvention. Article 39appointed theGlobal Environment
Facility onaninterim basis tooperate thefinancial mechanism oftheConvention. Themechanism
istofunction under theauthority andguidance of,andbeaccountable totheCOP. Thefirstmeeting
oftheCOP adopted guidance forthefinancial mechanism. Thisguidance hasbeenrefined ateach
ofthesubsequent meetings oftheCOP. Asof1May1997 thefinancial mechanism hasapproved
87projects withatotalcommitment ofoverUS$511million. Pursuant toArticle 20.3, developed
country Parties mayalsoprovide suchfinancial resources through bilateral andmultilateral channels.
29. Paragraph3ofArticle18anticipatedtheestablishmentofaclearing-housemechanismtopromote
andfacilitate technical andscientific cooperation. APilotPhase ofthemechanism hasbeenestablished
pursuant toDecisions I/3andII/3oftheCOP.
A. Relations With Other International Organizations
30. Theinstitutional structure oftheConvention hasalready established anumber ofprocesses
todevelop thesubstantive elements oftheConvention. These include: theestablishment ofanAdHoc
Working Group ofExperts onBiosafety tonegotiate aprotocol totheCBD; programmes ofwork
onvarious thematic areas, including coastal andmarine biodiversity, forest biodiversity andagricultural
biodiversity; andaninternational process tofurther consider therights ofindigenous andlocal
communities under theCBD. Atitsfourth meeting inMay1998, itwillconsider thebiological diversity
ofinland waters. TheCOP hasadopted anecosystem approach toaddress themanagement ofthese
thematic areas. Thismeans thattheapproach totheconservation andsustainable useofbiological
diversity isaholistic one,which integrates abiotic andbiotic elements andtheirinteractions, aswell
asactivities byhuman beings inallsectors andlevels ofsociety. Theecosystem approach wasendorsed
bytheSpecial Session oftheUnited National General Assembly three months agoinJune1997.WT/CTE/W/64
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31. TheCOPhasalsocovered anumber ofsignificant cross-cutting issues, including: access to
genetic resources, technology transfer, monitoring ofbiological diversity, national strategies andthe
reporting requirements ofParties.
32. Thenature oftheissues which theConvention seeks toaddress means thatitseffectiveness
isheavily dependant ontheactions ofother institutions. Theneedtodevelop institutional linkswith
otherinternational bodies, todevelop cooperative relationships withsuchbodies, andhence mechanisms
forcoordinating theserelationship, isfundamental totheimplementation oftheCBD. Theimportance
ofcooperation andcoordination between theCBD andother conventions, institutions andprocesses
ofrelevance hasbeenaffirmed atevery meeting oftheCOP. Consequently, oneshould notconceive
theinstitutional structure oftheConvention simply interms ofthose institutions established under the
CBD process itself.
33. Institutional links have already been established withawide range ofother bodies. The
Secretariat oftheCBD participates intheInter-Agency TaskForce onForests andtheInter-Agency
Committee onSustainable Development (IACSD) oftheUnited Nations. Agreements onframeworks
fordeveloping institutional linksandcooperation havebeenconcluded between theSecretariat ofthe
CBD andtheSecretariats oftheRamsar Convention onWetlands ofInternational Importance; the
Convention onInternational Trade inEndangered Species ofFauna andFlora; theConvention on
Migratory Species; theIntergovernmental Oceanographic Commission, theWorld Bank, IUCN,
UNCTAD andtheFAO.
34. TheCOPhasregularly adopted Decisions directed towards other processes andinvited them
totakeanactive roleinimplementing aspects oftheConvention. Forexample, thethirdmeeting of
theCOPinvited theConvention onWetlands ofInternational Importance tocooperate asaleadpartner
intheimplementation ofactivities related towetlands under theCBD. TheRamsar Bureau hasplayed
animportant roleinthepreparations fortheconsideration ofthebiological diversity ofinland waters
attheforthcoming COP. Asaresult, itisexpected thattheprogramme ofwork which theCOPmay
establish toaddress theissue willinvite thesupport andparticipation oftheConvention onWetlands
ofInternational Importance.
35. Theinstitutional structure oftheConvention involves awiderange ofactors inthedevelopment
ofdecisions oftheCOP, andconsequently inthedevelopment ofthecommitments oftheConvention.
36. Atmeetings ofboththeCOP andtheSBSTTA, theinternational community ofbiological
diversity experts, stakeholders, interest groups andpoliticians iswidely represented. Over1,100 people
attended thelastCOP inBuenos Aires inNovember 1996, including 453representatives of230
international andnational non-governmental organizations andindigenous peoples. 427experts attended
thethirdSBSTTA inSeptember 1997. Thissupport wasaugmented bytheSBSTTA drawing heavily
ontheresults ofmeetings which wereheldalong sideSBSTTA. Forexample, thescientific network
ofDIVERSITAS, aninternational programme ofbiodiversity science supported bytheInternational
Union ofBiological Sciences (IUBS), theScientific Committee onProblems oftheEnvironment
(SCOPE),theUnitedNationsEducation,ScienceandCulturalOrganization(UNESCO),theInternational
Council ofScientific Unions (ICSU), theInternational Geophere-Biosphere Programme (IGBP/GCTE)
andtheInternational Union ofMicrobiological Societies (IUMC) metfortwodaysprior tothelast
meeting ofSBSTTA andthereby provided significant scientific input tothemeeting ofSBSTTA.
B. Cooperation Between theCBD andtheWTO
37. Most importantly forthepurposes ofthismeeting oftheCTE, istherequest oftheCOP to
theExecutive Secretary todevelop linkswiththeWorld Trade Organization. Inparticular theCOP,
inDecision III/17, requested theExecutive Secretary totransmit totheSecretariat oftheWTO, forWT/CTE/W/64
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usebyappropriate WTO bodies, Decisions ofthethird meeting oftheCOP, aswellasdocuments
placed before thethirdmeeting oftheCOP, andtoendeavour toundertake further cooperation and
consultation withtheWTO Secretariat asappropriate. TheCOP inthisDecision alsorequested the
Executive Secretary toapply forobserver status intheCTE. TheCOPwelcomed thedecision ofthe
CTEtoderestrict andtransmit documents totheExecutive Secretary relating toitswork andinvited
theCTEtotransmit future relevant documents totheExecutive Secretary astheyareproduced. The
COP alsorequested theExecutive Secretary tocontact relevant international organizations toinvite
themtotakeintoaccount intheirdevelopment cooperation programmes, where appropriate, theneed
tobuild capacity toachieve theobjectives oftheCBD asrelated tointellectual property rights. The
necessary actions toimplement these requests havealready taken place andtheExecutive Secretary
wishes toacknowledge andthank theWTO Secretariat andtheCTEforitscooperation andassistance
inthisrespect.
IV. KEY ISSUES OFIMMEDIATE RELEVANCE FOR COORDINATION BETWEEN THE
WTO AND THE CBD
38. Asisevident from theabove, there areoverlaps intherespective mandates oftheWTO and
theCBD. TheExecutive Secretary recognizes thattheCBD willneed tobemindful ofrelevant
developments intheWTO ifduplication, variation andeveninconsistency istobeavoided. Granting
observer status totheSecretariat intheCTEisaconcrete manifestation thattheWTO alsorecognizes
theneedforcooperation withtheCBD. Indeed, afundamental purpose ofbothregimes, toharmonize
legislation, canonlybeachieved between twodifferent international regimes ofuniversal standing if
there isclose cooperation andcoordination.
39. Although there areawiderange oftopics which fallwithin thescope ofbothprocesses and
which therefore willrequire some degree ofcooperation andcoordination, theDecisions ofthelast
meeting oftheCOPidentify anumber ofpriorities forthiscooperation. TheExecutive Secretary of
theCBD would liketobring these totheattention oftheCTE. TheDecisions ofthethirdmeeting
oftheCOPwhich contain explicit reference totheWorld Trade Organization raiseanumber ofissues
which theExecutive Secretary wishes toexplore withtheWTO ingeneral, andtheCTEinparticular.
These are:Decision III/11 on"Conservation andsustainable useofagricultural biological diversity";
Decision III/14 on"Implementation ofArticle 8(j)";Decision III/15 on"Access togenetic resources";
andDecision III/17 on"Intellectual property rights".
40. Inaddition tothese Decisions, there areanumber ofother Decisions which eventhough they
contain nospecific reference totheWTO, theExecutive Secretary feelsthat,inlightoftheirsubject
matter andthenature ofdevelopments within theCBD, itisappropriate thattheybebrought tothe
attention oftheCTE. These are:Decision III/4on"Clearing-house mechanism topromote andfacilitate
technical andscientific cooperation"; andDecision III/20, "Issues related tobiosafety".
41. TheseDecisionshavebeenmadeavailabletotheMembersoftheCTEindocumentWT/CTE/44.
TheExecutive Secretary oftheCBDinvites theCTEtoconsider themostappropriate manner inwhich
todevelop thenecessary cooperation inorder toaddress thematters addressed inthese Decisions.
42. Inthisregard, theExecutive Secretary would liketotakethisopportunity tosuggest themost
immediate priorities withrespect totherelationship between theConvention andtheWTO.WT/CTE/W/64
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A. Relevance oftheAgreement onTrade-Related Aspects ofIntellectual Property Rights (TRIPS)
43. Therelationship between theaimsandtheprovisions oftheConvention andintellectual property
rights (IPRs) iscomplex andmultidimensional. TheroleofIPRs within theframework ofthe
Convention, andthebearing these would haveonthework oftheWTO from theviewpoint ofthe
Conventionprocess,wasbrieflydescribedbytheExecutiveSecretaryinseveralnotestothethirdmeeting
oftheCOP, inparticular, indocuments UNEP/CBD/COP/3/22, "The Impact ofIntellectual Property
RightsSystemsonConservationandSustainableUseofBiologicalDiversityandontheEquitableSharing
ofBenefits fromitsUse" andUNEP/CBD/COP/3/23, "The Convention onBiological Diversity and
theAgreement onTrade related Intellectual Property Rights (TRIPS): Relationships andSynergies".
These documents have been transmitted bytheCOP ascontributions todeveloping aprocess of
consultation andcooperation aimed atpromoting theharmonious implementation ofthetwoagreements.
44. InDecision III/17 theCOPalsonoted thepotential mutual benefits ofexchanging information
related toArticle 16oftheCBDandtothelawsandregulations received bytheTRIPS Council pursuant
tothenotification requirement ofArticle 63oftheTRIPS Agreement.
45. TheCOP alsorecognized inDecision III/17 thatfurther work isrequired tohelpdevelop a
common appreciation oftherelationship between IPRs andtherelevant provisions oftheTRIPS
Agreement andtheCBD. TheCOP particularly identified issues relating totechnology transfer and
conservation andsustainable useofbiological diversity andthefairandequitable sharing ofbenefits
arising outoftheuseofgenetic resources, including theprotection ofknowledge, innovations and
practices ofindigenous andlocal communities embodying traditional lifestyles relevant forthe
conservation andsustainable useofbiodiversity.
46. TheExecutive Secretary wasrequested inDecision III/17 toapply forobserver status inthe
CTE, forthepurpose ofrepresenting theCBD inmeetings whose agendas havearelationship with
theConvention. Inlightoftheissues raised byDecision III/17 andtheinstitutional structure ofthe
Convention, theExecutive Secretary invites theCTE toconsider themost appropriate institutional
arrangements tocontinue thedialogue andcooperation called forbytheCOP ontheissue ofIPRs,
inparticular between theExecutive Secretary andvarious relevant WTO bodies.
47. Inlight oftheabove description oftheinstitutional structure oftheConvention, the
Executive Secretary alsoinvites theCTEtoconsider howtheWTO might bestberepresented inthe
discussions within theConvention which address theimpact ofIPRs.
B. Agricultural biological diversity
48. Decision III/11 onconservation andsustainable useofagricultural biological diversity initiates
amulti-year programme ofactivities onagricultural biodiversity. Itaimsatpromoting thepositive
effects andmitigating thenegative impacts ofagricultural practices onbiological diversity in
agro-ecosystems andtheirinterface withother ecosystems. Italsoaimsatpromoting theconservation
andsustainable useofgenetic resources ofactual orpotential value forfoodandagriculture andthe
fairandequitable sharing ofbenefits arising outoftheutilization ofgenetic resources.
49. Decision III/11 initiates avariety ofactivities tobetaken byParties toachieve these goals.
Partiesaretodevelopnationalstrategies,programmesandplanswhich,interalia,shouldredirectsupport
measures which runcounter totheobjectives oftheConvention. ThisDecision encourages Parties
topromotethetransformationofunsustainableagriculturalpracticesintosustainableproductionpractices
adapted tolocalbiotic andabiotic conditions, inconformity withtheecosystem orintegrated landuse
approach; tousefarming practices which notonlyincrease productivity, butalsohaltdegradation
andreclaim, rehabilitate, restore andenhance biological diversity; tomobilize farming communitiesWT/CTE/W/64
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forthedevelopment, maintenance anduseoftheir knowledge, innovation andpractices inthe
conservation andsustainable useofbiological diversity intheagricultural sector, withspecific reference
togender roles.
50. TheCBD Secretariat understands theWTO Agreement onAgriculture aimstoestablish afair
andmarket-oriented agricultural trading system andinitiates areform process. Efforts bytheWTO
toimprove predictability andsecurity forimporting andexporting countries inestablishing newrules
andcommitments inmarket access, domestic support andexport competition andlesstrade-distorting
domesticsupportpolicieswithintheframeworkoftheAgreementonAgricultureshouldtakeintoaccount
theprovisions oftheConvention anditswork programme onagricultural biological diversity.
51. However, theCOPrecognized thatforthistobepossible, therelationship between trade and
biodiversity needs tobetter understood. Consequently, theCOPrecalled paragraph 39(g) oftheWord
FoodSummitPlanofActionandencouragedtheWTOthroughitsCommitteeonTradeandEnvironment
toconsiderdevelopingabetterappreciationoftherelationshipbetweentradeandagriculturalbiodiversity.
TheExecutive Secretary isready toassist theCTE, oranyother relevant WTO body, indeveloping
thisunderstanding.
52. Recalling Decision III/17, theExecutive Secretary alsoinvites theCTEtoconsider ways that
therelevant elements ofDecision III/11 andtheresulting work programme oftheConvention canbe
brought totheattention oftherelevant WTO bodies, inparticular, ifappropriate, theCommittee on
Agriculture oftheCouncil forTrade inGoods. Moreover, theExecutive Secretary recognizes the
important rolethattheWTO canplayindeveloping aneffective workprogramme under theConvention
andconsequently invites theCTE toconsider ways thatthiswork programme canmost effectively
draw onWTO expertise andincorporate thework ofrelevant WTO bodies intheConvention 'swork
programme onagricultural biodiversity.
C. Biosafety
53. Despite theconsiderable benefits which biotechnology maybring, technology alsohasthe
potential tocause harm totheenvironment andtohuman health. Mindful ofthese dangers, theCOP
established anAdHocWorking Group ofExperts onBiosafety todevelop aninternationally legally
binding protocol, specifically focusing onthetransboundary movement ofanyliving modified organism
resulting from biotechnology thatmayhaveanadverse impact ontheconservation andsustainable
useofbiodiversity. ThisGroup metinJuly1996andMay1997. Itwillmeetagain inOctober 1997
andischarged withcompleting itswork bytheendof1998.
54. Atitslastmeeting,arangeoftopics,consideredcentraltotheprotocol,werediscussedincluding
procedures forthetransfer ofliving modified organisms, theAdvanced Informed Assent (AIA) process,
information sharing, competent authorities, riskassessment andriskmanagement. Sections ofdraft
textofaprotocol arebeing prepared forconsideration atthenextmeeting oftheGroup. Draft articles
onafinancial mechanism, institutional framework, jurisdictional scope andrelationship withother
international instruments willbeconsidered inOctober, together withsocio-economic issues associated
withtheproposed regime.
55. Acentral consideration inthese negotiations istherelationship between themeasures being
developed under thefuture protocol andtheinternational trade regime. TheExecutive Secretary,
therefore, invites theCTE toconsider howtherelevant principals oftheinternational trade regime
canbemost effectively fedintothenegotiations todevelop aprotocol onbiosafety.WT/CTE/W/64
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D. Alien Species
56. Theintroduction ofalienspecies hasbeenidentified bytheSBSTTA, aswellasbyseveral
other international fora, asamajor threat tobiodiversity. Thethird meeting oftheCOP endorsed
theadvice oftheSBSTTA inthisrespect, noted theconclusions andrecommendations ofthe
UnitedNations-NorwayConferenceonAlienSpecies(Trondheim,Norway,1-5July1996)andsuggested
thatParties maywishtousethese results intheirimplementation ofArticle 8(h)oftheConvention,
which callsuponParties toprevent theintroduction ofalienspecies which threaten ecosystems, habitats
orspecies andtocontrol anderadicate those alienspecies asfaraspossible. TheCOP inthesame
decision alsoencouraged theScientific Committee onProblems oftheEnvironment andtheInvasive
Species Specialist Group oftheWorld Conservation Union tocontinue theirefforts todevelop aglobal
strategy andaction plantodealwiththeproblem ofalieninvasive species. Thefinancial mechanism
oftheConvention, theGEF, iscurrently considering providing financial support forthese efforts to
develop aglobal strategy andaction.
57. Transportation hasbeenidentified bytheUnited Nations-Norway Conference onAlien Species
andtheSBSTTA asasignificant cause fortheintroduction ofalienspecies through, forexample, insects
intimber; pests(bacteria, viruses andothermicroorganisms) inshipments; andthedischarge ofballast
water brought from abroad. TheStrategy, consequently, willbetoconsider measures bywhich to
minimize theimpact thissector hasonbiodiversity through theintroduction ofalienspecies.
58. Aware thatsuchdeliberations would touch upon several issues ofconcern totheWTO, in
particular theactivities oftheCommittees onSanitary andPhytosanitary Measures andRules ofOrigin,
theExecutive Secretary invites theCTEtoconsider ways thatthework ofrelevant WTO bodies can
bebrought totheattention oftheScientific Committee onProblems oftheEnvironment andtheInvasive
Species Specialist Group oftheWorld Conservation Union, through theSecretariat oftheConvention
onBiological Diversity, ifappropriate, andthebestwaytoinform relevant WTO bodies oftheresults
ofthisstrategy andaction.
E. Dispute Resolution Procedures
59. Thedispute resolution mechanism oftheWTO isanimportant forum through which the
obligations oftheWTO arenotonlyinterpreted butalsodeveloped. Several matters which havecome
before thismechanism havehadasignificant impact onMembers 'understanding oftheircommitments
undermultilateralenvironmentalagreementsingeneral,includingtheConventiononBiologicalDiversity.
TheCOP requested theExecutive Secretary totransmit totheWTO Secretariat theDecisions ofthe
thirdmeeting oftheCOP, aswellasthedocuments placed before thatmeeting forusebytheappropriate
WTO bodies. Inthislightandgiven therapid paceofdevelopments generally under theConvention,
theExecutive Secretary recognizes theneedtoensure effective andefficient mechanisms tocommunicate
these developments totheappropriate dispute resolution bodies within theWTO. The
Executive Secretary, therefore, invites theCTEtoconsider appropriate ways thattheinstitutions of
theConvention maybeabletosupport theeffective andefficient communication ofdevelopments under
theConvention tothedispute resolution mechanism oftheWTO. Inthislight, theExecutive Secretary
would, ifappropriate, bewilling toexplore withtherelevant WTO bodies ways inwhich theWTO
dispute resolution process could drawontheexpertise oftheSBSTTA, theCBDSecretariat, orperhaps
aroster ofexperts established bytheWTO together withtheCBD.