WORLD TRADE WT/MIN(98)/ST/54
18May1998
ORGANIZATION(98-2043)
Original: English MINISTERIAL CONFERENCE
Second Session
Geneva, 18and20May1998
SAUDI ARABIA
Statement Circulated byH.E. Mr.Osama J.Faqeeh,
Minister ofCommerce
(AsAnObserver)
ItisasingularhonourformetorepresenttheKingdomofSaudiArabiaatthisSecondMinisterial
Conference oftheWorld Trade Organization.
Mydelegation andIaredelighted toparticipate inthisConference. ThisMinisterial Conference
hasaspecial importance asitistaking place ontheeveofthe50thAnniversary ofthemultilateral
trading system. Quite befitting theoccasion, the50thAnniversary Commemoration isbeing graced
bythepresence ofsome distinguished Heads ofState andGovernment from Member countries.
Themultilateral trading system hasprovided theframework fortheconduct ofworld trade
andhasmade anoutstanding contribution totheliberalization andexpansion ofinternational tradeover
thepast50years. Thesystem hasevolved overthepasthalf-century andisnowenshrined inthe
WTO Agreement anditsrules. Themultilateral trading system isalsobecoming moreuniversal: there
were only23countries, which joined theGATT in1948, whereas WTO nowhasamembership of
more than130. Many other countries subscribe totheprinciples andrules ofthesystem andarein
theprocess ofbecoming members oftheWTO. TheKingdom ofSaudi Arabia isoneofthose countries.
The50thAnniversary isatimetopaytribute totheachievements ofthemultilateral trading
system. Itshould alsobeanoccasion forreflection andconsideration onwhysome oftheobjectives
laiddown 50years agohavenotbeenfullyachieved. Whereas liberalization andexpansion ofworld
tradehascontributed tothegrowth ofworld economy, thegains havebeenuneven fordifferent regions
andcountries. Developing countries stillaccount foralowshare ininternational trade. Thelaudable
objectiveofraisingstandardsoflivingworldwideset50yearsago,remainsunfulfilledforavastmajority
ofmankind. Further, thepursuit ofunhampered liberalization andglobalization mayhavebeenafactor
towards financial andeconomic crises insome countries.
Itisaunique opportunity forthisMinisterial Conference toreflect onhowtoredress the
imbalances between countries atdifferent levels ofdevelopment andhowtospread theglobalization
andliberalization benefits more equitably across theglobe. Therecently heldG-15 Summit inCairo
hasarticulated theviews ofmany developing countries incalling fortheadoption ofamore measured
approach toliberalization.
TheKingdom ofSaudi Arabia hasalways been astrong believer intheprinciples ofthe
multilateral trading system. Wehavewidespread trading andeconomic interests andhaveanoutstanding
recordofinternationaleconomiccooperation.TheKingdomisoneofthelargestmarket-basedeconomies
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outside theWTO. Saudi Arabia isoneoftheleading importers andexporters ofgoods andservices.
Theeconomy oftheKingdom hasalways beenopenandliberal andourtrade regime iscompatible
toalarge extent withtherules ofthemultilateral trading system. TheKingdom isthusanatural
candidate formembership oftheWorld Trade Organization.
Wearealready wellintotheprocess ofaccession. IhadsaidattheSingapore Ministerial
Conference andIrepeat: "We believe ittobeintheinterest ofWTO Members tofacilitate
Saudi Arabia 'saccession totheWTO, asouraccession willgiveourWTO partners thesecurity and
predictability ofmarket access based ontheinternational treaty rights theywillacquire". Wearedoing
ourbesttoaccelerate theaccession process bymaking commercially meaningful market access offers
ongoods andservices.
However, letmesincerely saythatwearefacing quite unexpected andnumerous demands
fromsome Member countries. Wearebeing asked tomake commitments farinexcess ofthose made
bycountries atasimilar orevenhigher levelofeconomic development. Some WTO Members have
requested ustojoincertain plurilateral agreements andtoaccept many sectoral initiatives, which we
hadalways understood tobeoptional andnotmandatory. These initiatives weresponsored bysome
developed countries andhavebeenaccepted byrelatively fewWTO Members. Itwillbenoted that
ittookdeveloped countries almost 50years toreach astage where theycould adopt suchinitiatives
andmake thecurrent levelofcommitments. Inallfairness, theyshould notexpect countries atamuch
lower stage ofdevelopment toembrace these initiatives andtomake thesame levelofcommitments.
ThisConference hastheresponsibility toguard against theapparent tendency ofmoving the
WTO inadirection, which mayresult indifferent levels ofobligations andcommitments forcountries
inasimilar situation. Itshould beourendeavour toensure thatacceding countries getfairandsuitable
conditions andarenotburdened withcommitments which could beonerous forthem tocopewith.
TheWTO isarelatively neworganization. Itneeds tobenurtured withcare. Itisimportant
nottooverburden itsagenda, andweshould notbeoverly ambitious about thescope ofitscompetence
andfuture direction. Letitfirstconsolidate thetremendous gains achieved intheUruguay Round.
Letitbecome trulyuniversal byfacilitating theexpeditious accession ofnewmembers. Letusproceed
onthetime-tested basisofadding newitems toitsfuture agenda onthebasisofrealconsensus among
itsMembers. Andletustrytoensure ajustandbalanced trading system which takes intoaccount
theparticular situation andlegitimate needs ofdeveloping andleast-developed countries.
TheKingdomofSaudiArabiastronglysupportstheobjectivesoftheWTO,sharestheaspirations
ofitsMembers andlooks forward tothedaywhen itwillbecome anactive Member oftheWTO and
joinother Members intheirendeavours tostrengthen themultilateral trading system.
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