RESTRICTEDWORLD TRADE
ORGANIZATIONG/STR/Q1/BHR/2 *
27 February 2001
(01-0963)
Working Party on
State Trading EnterprisesOriginal:  English
STATE TRADING
Reply to the Question Posed by ARGENTINA1 concerning the
New and Full and Updating Article XVII Notifications of BAHRAIN2
The following communication, dated 16 February 2001, has been received from the
Permanent Mission of Bahrain.
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Q. Argentina takes note of the information submitted by Bahrain in document
G/STR/N/4/BHR-G/STR/N/5/BHR-G/STR/N/6/BHR, dated 5 October 2000.
We note, however, that the notification (including the statistical information) has not
been prepared according to th e format agreed on for that purpose by the Working Party.
We would appreciate it if Bahrain could make the notification according to the
requirements set out in the questionnaire contained in document G/STR/3, dated 7 April 1998.
Reply
We refer to G/STR/Q1/BHR/1 dated 1 Dece mber 2000, regarding the communication from
the Permanent Mission of Argentina concer ning Bahrain's notific ation G/STR/N/4/BHR-
G/STR/N/5/BHR-G/ STR/N/6/BHR dated 5 October 2000.
The State of Bahrain is pleased to attach the notification referred to in accordance with the
format of the questionnaire contained in document G/STR/3, dated 7 April 1998.
                                                     
*This document (from page 2 onwards) is also being circulated as G/STR/N/4/BHR/Rev.1-
G/STR/N/5/BHR/Rev.1-G/STR/N/6/BHR/Rev.1.
1 G/STR/Q1/BHR/1.
2 G/STR/N/4/BHR-G/STR/N/5/BHR-G/STR/N/6/BHR.G/STR/Q1/BHR/2
Page 2
QUESTIONNAIRE ON STATE TRADING
I. ENUMERATION OF STATE TRADING ENTERPRISES
The Ministry of Commerce of the State of Bahrain is considered as a State Trading Enterprise
under the interpretation of Article XVII:4(a).  The products covered are imports of live sheep fromAustralia.
II. REASON AND PURPOSE FOR INTRODUCING AND MAINTAINING STATE
TRADING
The measure is intended as a social support mechanism to assist the population by providing
meat at affordable prices.  In this respect nationals prefer, by virtue of religious reasons (Halal), aswell as cultural preference to consume only fresh meat slaughtered in accordance with Islamic
principles.  With this in mind, the Government elected to support the public at large by itself taking
responsibility for the import of live sheep from Australia, their maintenance and subsequent slaughter
and sale.
With effect from 1 January 2001, the function of importing live sheep from Australia has
been passed to the private sector company, Bahrain Livestock Company, with the privilege given for a
period of five years.
III. DESCRIBE THE FUNCTIONING OF THE STATE TRADING ENTERPRISES
(a) The enterprise deals only with imports of live sheep from Australia;
(b) The private sector is also allowed to import live sheep, other than from Australia, and
is also free to import fresh or frozen meat, from Australia or any other country, andcompete freely with the Ministry of Commerce, and subsequently the Bahrain
Livestock Company;
(c) The quantities imported depend on an assessment of local demand, and are
determined through the experience of the Ministry of Commerce with due referenceto population growth, and seasonal fluctuations in demand;
(d) The re-sale price of the meat is established by the Government with the difference
between total cost of operations and the retail price being supported as a social
subsidy to support the basic living standard of all persons resident in Bahrain;
(e) Contracts for the supply of live sheep from Australia are exercised based on
commercial considerations as to price, quality, delivery, reliability of supply, etc.
Transportation is a major price factor influencing the selection of the country of
export.
IV. STATISTICAL INFORMATION
See attached table.
V. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE
Not applicable.G/STR/Q1/BHR/2
Page 3Ministry of Commerce
Foreign Trade Relations Directorate
State of Bahrain Imports of Live Animals:  Other Sheep (HS 01041090)
1997 1998 1999
Country Quantity Value, BD Quantity Value, BD Quantity Value, BD
Australia 306,940 5,982,800 304,209 6,084,180 452,508 9,051,160
Jordan 4,461 197,330 818 34,560
Kazakstan 3,745 164,070 5,352 160,560
Saudi Arabia 1,810 63,736 2,531 106,302 4,665 196,008
Syria 1,574 62,140 200 9,000
Qatar 875 36,748 200 8,400
Iran 485 19,400 868 34,720 10,083 458,040
Kuwait 80 3,360 100 4,200
India 250 5,000
United Arab Emirates 1,000 42,000
TOTAL 319,970 6,529,584 314,528 6,446,922 468,256 9,747,208
Australia's Share of Total 96% 92% 97% 94% 97% 93%
Source: Central Statistics Organization
Note: 1999 figures are preliminary data
BD: Bahraini Dinar
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