WORLD TRADE
ORGANIZATIONWT/COMTD/W/122
21 November 2003
(03-6217)
Committee on Trade and Development
DRAFT
REPORT (2003) OF THE COMMITTEE ON TRADE AND DEVELOPMENT,
COMMITTEE ON TRADE AND DEVELOPMENT IN DEDICATED SESSION,
AND THE SUB-COMMITTEE ON LEAST-DEVELOPED COUNTRIES1
I. INTRODUCTION
1. This report covers the activities of the Committee on Trade and Development (CTD) in
Regular Session, its Dedicated Session on the WTO Work Programme on Small Economies and its
Sub-Committee on Least-Developed Countries.2  Regular WTO bodies were required to report on
their activities at the July 2003 meeting of the General Council, prior to the Fifth MinisterialConference.  The report of the CTD in Regular Session is contained in document WT/COMTD/46
and the report of the CTD in Dedicated Session is contained in document WT/COMTD/SE/1.  As
these reports cover the period from the 2002 Annual Report of the CTD up to the Fifth Ministerial
Conference, the sections below relating to the activities of the CTD in Regular and Dedicated
Sessions cover the period from the Fifth Ministerial Conference to 29 November 2003.  The sectionrelating to the activities of the Sub-Committee on Least-Developed Countries however, cover the
period 22 November 2002 to 29 November 2003.
II. WORK OF THE COMMITTEE ON TRADE AND DEVELOPMENT IN REGULAR
SESSION
2. In the period after the Fifth Ministerial Conference the CTD held [two] formal regular
sessions on 16 and 23 October [and on 27 and 28 November] 2003.  These sessions were chaired by
Ambassador Habib Mansour (Tunisia).  The minutes of these meetings are contained in documentsWT/COMTD/M/46 and WT/COMTD/M/47
3 respectively.  One informal consultation meeting was
held on 18 November 2003 on how to proceed with the issue related to the declining terms of trade for
primary commodities, and its implication to trad e and development of primary commodity exporting
countries.
3. The CTD continues to have outstanding requests for observer status from the League of Arab
States, the Organization of Petroleum Exporting  Countries (OPEC), the Gulf Organization for
Industrial Consulting, the "Organisation internatio nale de la francophonie" and the Common Fund for
Commodities.  Members agreed to continue to invite a number of intergovernmental organizations on
an ad hoc meeting-by-meeting basis.  These were the Arab Maghreb Union (AMU), the Economic
Community of West African States (ECOWAS), th e Economic Cooperation Organisation (ECO), the
Inter-Arab Investment Guarantee Corporation, th e Islamic Development Bank (IDB), the African
Union (AU), the Organisation of the Islamic Confer ence (OIC), the South Centre, the South Pacific
Forum, the United Nations Environment Prog ramme (UNEP), the West African Economic and
                                                     
1 The Special Session of the Committee on Trade and Development, dealing with the issue of special
and differential treatment, has its own reporting requirements.
2 The 2002 annual report of the Committee is contained in document WT/COMTD/44 of
9 December 2002.
3 To be issued.WT/COMTD/W/122
Page 2
Monetary Union (WAEMU), and the World Intellectual Property Organisation (WIPO).  A full list of
intergovernmental organizations with observer status in the Committee is contained in
document WT/COMTD/W/22/Rev.5.
4. The principal themes addressed by the CTD in Regular Session during the period covered in
this report were the following:
A. Technical cooperation and training;
B. Notifications regarding market access for developing and least-developed countries;
C. Declining terms of trade for primary commodities, and its implication to trade and
development of primary commodity exporting countries;
D. Paragraph 51 of the Doha Declaration on identifying and debating developmental and
environmental aspects of the negotiations, in order to help achieve the objective of
having sustainable development appropriately reflected;
E. Development dimension of electronic commerce;  and
F. Notification procedures for regional trade agreements among developing countries.
A. TECHNICAL COOPERATION AND TRAINING
5. The item on technical cooperation and training solicited most discussion at the 46th Session of
the Committee.  Members had before them the draft 2004 Technical Assistance Plan(WT/COMTD/W/119), and the Second Quarterly Report on the Implementation of the 2003
Technical Assistance Plan (WT/COMTD/W/118).  The Secretariat was asked to revise both
documents for the 47
th Session [at which the Committee  ...].
B. NOTIFICATIONS REGARDING MARKET ACCESS FOR DEVELOPING AND LEAST -DEVELOPED
COUNTRIES
6. The Government of Iceland submitted a notification regarding preferences for LDCs for
consideration at the 46th Session of the CTD.4  The Committee decided that as the notification related
to improved market access for LDCs, it be referred to the Sub-Committee on LDCs for substantive
consideration and reporting back, according to the reporting procedures agreed to at the 32nd Session
of the CTD.5  However, as some Members sought clarification on the notification, the Committee
decided that the item would remain on the agenda for the 47th Session.  [At this Session the
Committee...].
7. At the 44th Session the CTD had received a notification regarding an initiative for LDCs by
the Government of Canada.6  The Committee had decided to refer it to the Sub-Committee on LDCs
for substantive consideration and reporting back.  At the 46th Session of the CTD, the Chairman drew
Members' attention to a letter received from the Chairman of the Sub-Committee on LDCs in which it
was stated that the Sub-Committee had considered the initiative by the Government of Canada at its33
rd Session.  Members had welcomed the initiative and had appreciated the improvement in the rules-
of-origin regulations for textiles and apparel products.  The Sub-Committee's discussion on the
Canadian initiative is available in the report of the 33rd Session of the Sub-Committee contained in
document WT/COMTD/LDC/M/33.
                                                     
4 WT/COMTD/N/17
5 WT/COMTD/M/32
6 WT/COMTD/N/15/Add.1WT/COMTD/W/122
Page 3
C. DECLINING TERMS OF TRADE FOR PRIMARY COMMODITIES , AND ITS IMPLICATION TO TRADE
AND DEVELOPMENT OF PRIMARY COMMODITY EXPORTING COUNTRIES
8. Discussions continued at the 46th Session on the proposals made by the delegations of Kenya,
Tanzania and Uganda in document WT/COMTD/W/113 titled:  "Non Paper on the need for urgent
action in WTO to deal with the crisis situation created by the long-term trend towards decline inprices of primary commodities to the trade and development of developing countries which are
heavily dependent on their exports."  The Committee requested the Secretariat to draw up an
inventory of documents on the issue including work already undertaken by other international
organizations in order to assist Members' consideration of the issue.  The Chairman offered to hold
informal consultations on how to proceed with the issue of commodities in the CTD.  Informal
consultations were held on 18 November 2003 [and at the 47
th Session...]
9. [The inventory, contained in document WT/COMTD/W/121 was before the 47th Session at
which Members...]
D. PARAGRAPH 51 OF THE DOHA DECLARATION ON IDENTIFYING AND DEBATING
DEVELOPMENTAL AND ENVIRONMENTAL ASPECTS OF THE NEGOTIATIONS , IN ORDER TO
HELP ACHIEVE THE OBJECTIVE OF HAVING SUSTAINABLE DEVELOPMENT APPROPRIATELY
REFLECTED
10. The item relating to paragraph 51 of the Doha Ministerial Declaration is a standing item on
the agenda of the Committee.  At the 44th Session of the CTD, Members agreed that different
Secretariat Divisions be invited to brief the Committee on the work done in their areas of
responsibility to help achieve the objective of appropriately reflecting sustainable development in the
outcome of the negotiations.  Accordingly Members were informed about the developmental aspectsof the market access negotiations at its 46
th Session, [and of the developmental aspects of the
negotiations in services at the 47th Session of the CTD...]
E. DEVELOPMENT DIMENSION OF ELECTRONIC COMMERCE .
11. The CTD is one of the four subsidiary bodies to the General Council mandated to work on the
issue of electronic commerce and the issue of electronic commerce remains a standing item on itsagenda.
12. Following a request by the Committee, the Secretariat prepared a note for its 44
th Session on
the work the CTD had carried out with respect to electronic commerce.7  The CTD also submitted a
report on its work on electronic commerce since the Doha Ministerial Conference to the General
Council in July 2003 (WT/COMTD/47).
F. NOTIFICATION PROCEDURES FOR REGIONAL TRADE AGREEMENTS AMONG DEVELOPING
COUNTRIES
13. The item relating to the "Notification procedures for regional trade agreements among
developing countries" remained on the agenda of the 46th Session of the Committee.  However, no
interventions were made with respect to the item.
                                                     
7 WT/COMTD/W/110WT/COMTD/W/122
Page 4
III. WORK OF THE COMMITTEE ON TRADE AND DEVELOPMENT IN DEDICATED
SESSION TO SMALL ECONOMIES
14. Pursuant to paragraph 35 of the Doha Ministerial Declaration8 the General Council, at its
meeting on 1 March, took note of the framework and procedures for the conduct of the Work
Programme on Small Economies.9  Paragraph 2(d) of that document states that "The General Council
shall instruct the CTD to have a programme of work on small economies which will be conducted in
dedicated sessions of the CTD."
15. Proceeding with work under this mandate, after the Fifth Ministerial Conference, the CTD
held one formal dedicated session on 17 October 2003 on the Work Programme on Small Economies,
under the interim Chairmanship of Mr. Neil McMillan (United Kingdom) in the absence of
Ambassador Habib Mansour (Tunisia).
16.   The Minutes of that meeting are contained in document WT/COMTD/SE/M/6.  Members
continued to consider the Work Programme on Small Economies at the 6th Dedicated Session and
suggested that the proponents review their pro posals contained in document WT/COMTD/SE/W/3 in
order to advance work at the next Dedicated Session.
17. The issue of land-locked developing economies was raised under "Other Business" at the
6th Dedicated Session.  The Members who raised that issue were requested to prepare specific trade-
related proposals which they believe would address their concerns.  It was agreed that any such
proposal would also be considered at the next Dedicated Session.
IV. WORK OF THE SUB-COMMITTEE ON LEAST-DEVELOPED COUNTRIES
18. During the period 22 November 2002 to 29 November 2003, the Sub-Committee on Least-
Developed Countries held four formal meetings on 2 December 2002, 24 January 2003, 21 May 2003and 2 October 2003.  The Minutes of these meetings are contained in WT/COMTD/LDC/M/31,
WT/COMTD/LDC/M/32, WT/COMTD/LDC/M/33 and WT/COMTD/LDC/M/34.  One informal
meeting was held on 2 December 2002.  Ambassador Johan Molander (Sweden) chaired all the
meetings of the Sub-Committee during the period covered in this report.
19. The principal themes addressed by the Sub-Committee during the period covered in this
report were the following:
A. WTO Work Programme for Least-Developed Countries (LDCs)
(i) Accession of LDCs;
(ii) Market Access for LDCs;
(iii) Trade-Related Technical Assistance and Capacity Building Initiatives for LDCs;
(iv) Enhancing the Participation of LDCs in the Multilateral Trading System;(v) Mainstreaming, as appropriate, into the WTO's work, the trade-related elements of
the LDC-III Programme of Action, as relevant to the WTO's mandate.
B. Preparations for the Fifth WTO Ministerial Conference - Arrangements to Facilitate
the Participation of LDCs
                                                     
8 WT/MIN(01)/DEC/1
9 WT/L/447WT/COMTD/W/122
Page 5
A. WTO W ORK PROGRAMME FOR LEAST -DEVELOPED COUNTRIES
20. Since the previous report, the work of the Sub-Committee has mainly focused on
implementing the WTO Work Programme for L east-Developed Countries (WT/COMTD/LDC/11),
adopted by Members on 12 February 2002.  Pursuant to paragraph 43 of the Doha Ministerial
Declaration, the interim report to the General Council in December 2002 (WT/GC/W/485/Rev.1) andthe report by the Director General to the Fifth Ministerial Conference (WT/MIN(03)/1) highlighted
the implementation of the WTO Work Programme for LDCs.
(i) Accession of LDCs
21. During the reporting period, the Sub-Committee considered "Accession of LDCs" at each
session of the Sub-Committee.  At its 31
st Session, the Sub-Committee adopted the Guidelines on the
Accession of LDCs and forwarded the draft Decision (WT/COMTD/LDC/12) to the General Council.
The General Council adopted the draft Decision on 10 December 2002.10  The Sub-Committee at its
32nd Session stressed on the implementation and regular monitoring of the Guidelines. Members and
acceding Governments exchanged views on how the implementation of the Guidelines could be kept
under review as mandated in paragraph 2 of WT/L/508.  Based on the interventions, it was decided
that:  (a) "Accession of LDCs" would be kept as a standing item on the agenda of the Sub-Committee;
(b) Chairs of LDCs' Accession Working Parties would be invited to the Sub-Committee for anexchange of views;  and (c) the importance of ta rgeted technical assistance was recognized.  The
Secretariat was requested to report on technical assistance for LDC accessions.
22. The Chairpersons of the Accession Working Parties of Bhutan, Cape Verde, Ethiopia, Nepal
and Yemen attended and briefed the 33
rd Session of the Sub-Committee.  The exchange of views and
sharing of best practices between Members and acceding governments indicated that the Guidelineswere increasingly being used.  Members of the Sub-Committee supported a two-track strategy with
regard to LDC accessions, namely:  (i) to complete by Cancún or as quickly as feasible, the accession
of LDCs whose negotiations had advanced;  and (ii)  to activate as quickly as possible LDC accessions
which had so far remained inactive.  A paper (Job(03)/87) on the state-of-play of LDCs' accessions
and technical assistance provided by the WTO to acceding LDCs was also considered at the meeting.It was agreed that the Secretariat would update the state-of-play document regularly.
23. Steps taken to facilitate and accelerate LDCs' accessions and implement the Guidelines were
highlighted in the Status Report of the Director-General to the Fifth Ministerial Conference
(WT/MIN(03)/2).
24. At its 34
th Session, the Sub-Committee welcomed the accession of Cambodia and Nepal.  It
was noted that paragraph 155 of the Working Part y Report for Nepal (WT/ACC/NPL/16), envisaged a
role for the Sub-Committee with regard to transi tional arrangements.  Members reaffirmed their
support to activate or advance the eight other ongoing LDC accessions.  The importance of technical
assistance and capacity building at all stages of the accession process was recognised.  The Sub-
Committee took note of an update on the state-of -play of LDCs' accessions contained in Job(03)/191.
The Secretariat was requested to take account of the comments made in future updates of the
document.
                                                     
10 Circulated as WT/L/508 following adoption by the General Council  (WT/GC/M/77).WT/COMTD/W/122
Page 6
(ii) Market Access for LDCs 11
25. To address the issues listed in paragraph 7 of the WTO Work Programme for LDCs, the Note
by the Secretariat on Market Access Issues for LDCs (WT/COMTD/LDC/W/31 and TN/MA/S/11)
was considered at the 34th Session of the Sub-Committee.  Preparations for the drafting of this
document commenced at the 33rd Session of the Sub-Committee, when the Secretariat outlined the
approach and elements of the report.  The Note by the Secretariat surveyed initiatives and
improvements made in providing market access for LDCs.  Tariff and non-tariff barriers facing LDC
exports were also discussed.  The Sub-Committee took note of the document and the statements made.
26. In line with the LDC market access reporting procedures,12 the Sub-Committee discussed two
notifications forwarded to it by the CTD for discussion and reporting back.  At its 33rd Session, the
Sub-Committee discussed the notification by Canada contained in WT/COMTD/N/15/Add.1.  The
Sub-Committee welcomed the initiative taken to improve market access for LDCs. TheSub-Committee took note of the notification and the statements made and reported back to the CTD
on the discussions held.  At its 34
th Session, the Sub–Committee considered the notification by Japan
contained in WT/COMTD/N/2/Add.12.  Upon request by Japan, the Sub-Committee agreed to revert
to this notification at its next Session.  The Sub-Committee noted the importance of notifications for
periodic monitoring of existing measures or improvements in market access for LDCs.
(iii) Trade-Related Technical Assistance and Capacity Building Initiatives for LDCs13
27. The 32nd and 33rd Sessions of the Sub-Committee considered trade-related technical assistance
and capacity building initiatives for LDCs.  At the 33rd Session, the Secretariat briefed Members on
WTO training and technical assistance for LDCs.  WTO technical co-operation activities for LDCs
implemented in the first quarter of 2003 were reported (WT/COMTD/W/112).  Activities scheduledfor LDCs in preparation for the Fifth Ministerial Conference were also highlighted.
- Integrated Framework (IF) for trade-related technical assistance to LDCs 
14
28. At its 32nd Session, the Chairmen of the Integrated Framework Steering Committee (IFSC)
and Integrated Framework Working Group (IFWG) briefed the Sub-Committee on the IFSC and
IFWG meetings held on 16 and 17 January 2003 respectively.  At the 33rd Session of the Sub
Committee, the Chairman of the IFSC gave a status report on the IF and developments at the IFSC
meeting on 16 May 2003.  It was reported that clarifications in the terms of reference for Window II
of the IF Trust Fund had been agreed upon (WT/IFSC/4).  Pledges to the IF Trust Fund were also
reported.  The Sub Committee was informed of the commencement of the IF evaluation and the
selection of the evaluation firm Capra International.  The Sub-Committee took note of the status
reports and statements made on the implementation of the IF.
                                                     
11 As agreed to in paragraph 8 of the WTO Work Programme for LDCs, the consideration of this item
by the Sub-Committee, is recorded in the end of year Annual Report adopted by the CTD.
12 These reporting procedures were agreed to by Members at the 32nd session of the CTD
(WT/COMTD/M/32) and at the CTG meeting on 14 March 2001 (G/C/M/47).
13 As agreed to in paragraph 11 of the WTO Work Programme for LDCs, the consideration of this item
by the Sub-Committee, is recorded in the end of year Annual Report adopted by the CTD.
14 Overall policy oversight and guidance on the In tegrated Framework (IF) was provided by the IF
Steering Committee.  Reports of the meetings of the IFSC during the reporting period are contained indocuments WT/IFSC/M/6,7,8 and 9 (to be issued).WT/COMTD/W/122
Page 7
(iv) Enhancing the Participation of LDCs in the Multilateral Trading System15
29. The 33rd Session of the Sub-Committee considered this element of the WTO Work
Programme.  The Secretariat circulated the document WT/COMTD/LDC/W/30 at the meeting.  The
document, based on the elements listed for review in paragraph 15 of the WTO Work Programme for
LDCs, outlined the trends in LDCs trade and the specific initiatives undertaken to enhance theparticipation of LDCs in the multilateral trading system.  The Sub-Committee took note of
WT/COMTD/LDC/W/30 and the statements made.
(v) Mainstreaming, as appropriate, into the WTO's wo rk, the trade-related elements of the LDC-
III Programme of Action, as relevant to the WTO's mandate
16
30. The Sub Committee at its 32nd Session considered the communication from Zambia, on behalf
of LDCs, contained in WT/COMTD/LDC/W/29.  The proposal sought to transform the trade-related
elements of the LDC-III Programme of Action into the WTO's rules and disciplines as bindingcontractual obligations.  Based on the comments and reservations expressed by some Members, the
Chairman indicated his availability to consult further with interested delegations.  It was also noted
that, consistent with the mandate in paragraph 42 of the Doha Ministerial Declaration, the WTO Work
Programme for LDCs took into account trade-related elements of the Brussels Declaration and
Programme of Action adopted at LDC-II I (Paragraph 2 of WT/COMTD/LDC/11).
B. P
REPARATIONS FOR THE FIFTH WTO M INISTERIAL CONFERENCE - A RRANGEMENTS TO
FACILITATE THE PARTICIPATION OF LDC S
31. At the 33rd Session, the Sub-Committee was briefed by the Secretariat on arrangements to
facilitate the participation of LDCs to the Fifth WTO Ministerial Conference.  Members were urged to
contribute to the WTO Trust Fund established to cover the travel expenses of LDCs to the MinisterialConference.  Norway announced its contribution to the Trust Fund. The Sub-Committee welcomed
the contribution and took note of the statements made.  Special arrangements for LDCs' participation
were made at the Fifth Ministerial Conference.
__________
                                                     
15 As agreed to in paragraph 16 of the WTO Work Programme for LDCs, the consideration of this item
by the Sub-Committee, is recorded in the end of year Annual Report adopted by the CTD.
16 As agreed to in paragraph 13 of the WTO Work Programme for LDCs, the consideration of this item
by the Sub-Committee, is recorded in the end of year Annual Report adopted by the CTD.