WORLD TRADE WT/MIN(96)/ST/21
9December 1996
ORGANIZATION(96-5189)
MINISTERIAL CONFERENCE Original: English
Singapore, 9-13December 1996
NORWAY
Statement byMrs. KariNordheim-Larsen
Minister forDevelopment Cooperation
TheWTOMinisterialConferenceinSingaporeisabouttradeasavehicleforeconomicgrowth-
sustainable economic growth. Itisabout trade liberalization within arule-based multilateral system.
Itisabout globalization oftheworld economy andintegration ofallcountries inthemultilateral trading
system. Anditisabout WTO 'sresponsiveness totrade-related issues ofpolitical importance toits
Members.
Trade isapowerful engine foreconomic growth. History isconsistent onthepositive role
oftrade indeveloping nations 'economic welfare. Hence, wemust safeguard andenhance trade.
However, trade bears noguarantee forpeople 'swelfare, norforsustainable useofresources orthe
protection oftheenvironment.
Inthepreamble totheWTO Agreement, sustainable development istheobjective against which
thecontribution oftrade must bemeasured. Ourwork ontherelationship between trade andthe
environment hasunderscored theneedtoclarify theinterlinkages between trade andenvironmental
policies andtomake those policies mutually supportive.
Trade liberalization ispartandparcel oftheWTO, asmuch asitwasoftheGATT. Former
GATT negotiation rounds havebrought about a90percentreduction oftariffs. We,Ministers, must
make surethatmomentum iskepttoenhance equity andopenness inworld trade. Wehaveundertaken
tocuttariffs andeliminate quotas within definite time-limits. Implementing theobligations deriving
from theWTO Agreements isourfirstandforemost priority.
Intheareaofservices, thereisstrong needtoreaffirm ourcommitment toconclude negotiations
inimportant sectors suchasmaritime services, basic telecommunications andfinancial services.
Furthermore, thereisevery reason towelcome andparticipate intheinitiative toabolish tariffs
intheareaofinformation technology. Abolition oftariffs inthissector willbenefit industries aswell
asconsumers. Applying zero-tariffs onanMFN basismakes aplurilateral initiative trulymultilateral,
andaconsensus onsuchaplanhereinSingapore willbeaconcrete andstrong signal totheeffect
thatthebasic mechanisms ofWTO arefunctioning well.
Embarking upon open, multilateral discussions onissues suchastrade andinvestment, and
tradeandcompetition willstrengthen theWTO, asitwillprovide amultilateral framework within which
toaddress issues which obviously arerelated totrade. TheWTO mustplaythatrole. Toensure a
balanced approach which willtaketheinterest ofallWTO Members intoaccount, weneedtoadvance
carefully andonthebasis ofcomprehensive analysis.
./.WT/MIN(96)/ST/21
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Globalization andintegration arekeyconcepts intheeraoftheWorld Trade Organization.
Close to30countries areknocking onthedooroftheWTO. Iadvise thatwegiveadditional political
impetus totheissue ofaccession withtheaimofconcluding theongoing negotiations forasmany
applicant countries aspossible bythenextMinisterial Meeting in1998. Therequirement mustbethat
applicant countries accept basic WTO rules andprinciples upon accession.
Aparticular challenge istointegrate theleastdeveloped Member countries. Wemustdeploy
allefforts toreverse theirmarginalization andmake thembenefit fromparticipating inthemultilateral
trading system. Some valuable initiatives havebeentaken intheWTO andneedtobefollowed up.
OneistheWTO Fund forTechnical Assistance totheLDCs. Asthesolecontributor tothatfund,
Ihereby extend aninvitation toother countries tojoinus.
Secondly, some veryvaluable proposals have been outlined intheproposed Action Plan,
particularly asregards increased market access. Yes,letuseliminate asmany barriers toimports of
theirproducts aspossible. Singapore should beanimportant stepforward inWTO 'sefforts toimprove
thetrading opportunities oftheLDCs.
Globalization oftheworld economy alsoimplies thattheWTO -andtheroleoftrade-become
more exposed topublic scrutiny. Norway welcomes thatchallenge. But,isalsoimplies thattheWTO
needs tobepolitically responsive toissues ofpolitical importance toMember countries. Amore
responsive approach inthisregard could defuse potentially damaging trade conflicts.
Whether trade andlabour standards should beontheinternational agenda ishardly theissue.
Wealready haveaninternational policy debate. Byraising theissueoftradeandcorelabour standards
inaWTO framework, Norway wants tosecure amultilateral andstructured approach which includes
allMember countries.
Ipropose thatWTO seeks toestablish abetter common understanding oftherelationships
involved. Theavailable evidence suggests thatthereisapositive andmutually reinforcing relationship
between improved corelabour standards andtradeliberalization. Inorder topursue anopen, multilateral
dialogue onthisissue Iadvocate theestablishment ofanappropriate body forthatpurpose.
TheWTO Ministerial Conference isanoccasion totakestock ofourachievements sofar,and
tosetoursights onnewhorizons. Doing sohereinSingapore seems tomeparticularly appropriate.
Trade hasbeenthevehicle forimpressive economic development. Themultilateral trading system
hasmade itpossible.