WORLD TRADE WT/MIN(98)/ST/40
18May1998
ORGANIZATION(98-2017)
Original: English MINISTERIAL CONFERENCE
Second Session
Geneva, 18and20May1998
GERMANY
Statement Circulated byH.E. Dr.Günter Rexrodt,
Federal Minster ofEconomics
Tomorrow, wewillcelebrate the50thAnniversary ofGATT. Itisatremendous achievement:
50years oftherule-based multilateral trading system. Open markets andfreecompetition havefostered
anefficient division oflabour, technological innovation andeconomic benefits --forallthecontracting
parties.
World trade andinvestment flows havebecome theengine ofgrowth andprosperity forthe
world economy.
During the50years, many Member countries haveescaped from thedarkness ofpoverty to
become so-called "emerging economies".
Andmany others havefreed themselves fromcentral economic planning tobecome successful
transition economies.
Thisisclear proof oftheoutstanding achievements oftheGATT andtheWTO.
Itjustifies ourpolitical willandpolitical courage topress ahead. Wehavebeenontheright
track forthelast50years, andwemust sticktoitasweenter thenextcentury.
Countries stilloutside theWTO should become fullMembers assoonaspossible, recognizing
therules ofthesystem.
WewanttheWTO tobeatrulyuniversal organization.
Letusdirect ourwork today andtomorrow toaproper review oftheimplementation ofour
existing commitments, andtoabroad understanding onthepreparation ofnewcomprehensive
negotiations intheyear2000.
Iamwellaware that,foraconsiderable number ofWTO Members, themain priority ison
fullimplementation oftheexisting obligations.
AndImyself, amconvinced thatitisvitaltofullyimplement andapply themultilateral rules
weagreed intheUruguay Round.
But,while thisisanessential aspect ofallourwork, itmustnotprevent usfromlooking ahead.WT/MIN(98)/ST/40
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Thebuilt-in agenda means that,asoftheyear2000, weshallneedtoreview many important
Agreements intheWTO anyway.
Some ofthemost important andcomplex issues hereareagriculture andtrade inservices.
Themain purpose ofallofthese negotiations willbeanimprovement inmarket access.
Welearned intheUruguay Round thatthese negotiations canonlybesuccessful iftheyare
conducted onacomprehensive basis withpolitical support from allWTO Members.
Ifwearetofacethechallenges andtoseizetheopportunities ofglobalization, wemustcommit
ourselves toanambitious agenda onceagain.
Theagenda decided uponinSingapore focuses ongovernment procurement, tradefacilitation,
andthesocalled "trade and"issues, likeinvestment, competition andenvironment.
Wemustbuild onthatandstrive foradditional liberalization inareas likeindustrial tariffs and
non-tariff barriers.
Weliveinaworld ofdiversity, anddifferent countries havedifferent levels ofdevelopment.
Toeasetheintegration ofthedeveloping countries intothemultilateral system, wehaveagreed
onspecial anddifferential treatment.
MyGovernment strongly supports allefforts inWTO, ITCandUNCTAD which aredesigned
tofurther improve market access forexports from developing countries, tostrengthen theexport
capability ofthese countries bytechnical assistance, andtocreate theconditions fortheapplication
ofmultilateral rules.
Thiswould weaken theforces ofprotectionism --forces which arealways onthelook-out for
scapegoats andexcuses.
Freemarkets andequal opportunities cannever beaonewayroad.
ButIdon’thavetoremind thisConference thatwe,themostdeveloped countries, haveagreater
responsibility.
Wemust develop freemarkets andprovide freemarket access fortheweakest countries in
theglobal system.
Painful setbacks, likethefinancial crisis insome Asian economies, mustnotdeflect usfrom
these commitments.
People must understand thatAsiaisnotfacing acrisis ofthemultilateral system.
Instead, thecrisis iscaused byalackoffunctioning institutions andalackoftransparent rules.
More thaneverbefore, wemust nowwork withanopen mind towards structural reforms,
regulatory reforms, adaptation tonewtechnologies andinnovation.WT/MIN(98)/ST/40
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ThisMinisterial Meeting isaunique opportunity todefine aclearpolitical orientation forour
future work andnegotiations.
TheGeneral Council should prepare theground forthecoming negotiations insubstance, so
thatMinisters candecide tolaunch thenegotiations attheirthirdmeeting in1999.
We,asMinistersoftrade,areresponsibleforsecuringandstrengtheningthemultilateralsystem;
wemusttherefore notrestrict ourselves toonlytaking stock atthismeeting. Itistimetoprepare new
initiatives fortrade andinvestment liberalization.
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