. /.WORLD TRADE
ORGANIZATIONTN/MA/10
30 April 2003
(03-2287)
Negotiating Group on Market Access
NEGOTIATING GROUP ON MARKET ACCESS
Report by the Chairman, Ambassador Girard, to the Trade Negotiations Committee
I. STATUS OF WORK
1. Since its last meeting on 19-21 February 2003, the Negotiating Group met once on 14-
16 April 2003.  The three-day meeting was very substantive with the discussion of new papers
submitted since the Group's last meeting, the overview of proposals on tariffs, and the overview ofproposals on non-tariff barriers.  The session was interactive with much discussion on the possible
elements for modalities on tariffs and non-tariff barriers (NTBs).
2. For the discussions on tariffs, the "Overview of Proposals Submitted--Tariffs"
(TN/MA/6/Rev.1) was updated for participants at this meeting to take into account the newsubmissions.  The overview on tariffs continued to li st the twenty issues pertaining to modalities for
the negotiations on tariffs which had been identified; including the question of newly acceded
Members and LDCs.  The illustrative list of questions on each of the 20 items (JOB(03)/27) that was
circulated last time, was also referred to at this meeting. As not all of the issues were discussed at the
last meeting, the Group first took up the seven items that were not previously addressed.  In addition,the Group reverted to previously discussed items for further comment.  The ensuing discussions
allowed Members to clarify their views on the various points or issues, including where there were
points of convergence or divergence.  In particular, there was much discussion on a formula-type
approach.  Some delegations preferred a harmonizing type formula where as others preferred a linear
type one.  There was much discussion on how the type of formula would impact the tariff schedules of
the various Members and in particular how it would meet the parameters set in the mandate, such as
special and differential treatment and less than full reciprocity.  Another key issue discussed was thebinding coverage of concessions where differing views were exchanged on whether Members should
have 100 percent bound items at the end of the round or not.  Some of the technical aspects discussed,
such as nomenclature and how to address non- ad valorem  duties received broad convergence of
views.
3. On NTBs, the "Overview of Proposals Submitted—Non-tariff Barriers" (TN/MA/9) was
prepared to present the proposals received on non-tariff barriers.  The overview paper was presented
in four parts—general points, suggestions as to the scope of the negotiations, specific modalities or
methodologies for negotiating NTBs, and other issues.   As with the issue of tariffs, a list of questions
was prepared and circulated (JOB(03)/72) in order to stimulate the discussions on NTBs.  The Groupheld a substantive discussion on the basis of the overview paper and list of questions.  Much of the
discussion focused on how and where to address the NTBs, either in this Group or perhaps in other
relevant WTO bodies.  There were differing views on whether this Group could refer NTB issues to
other bodies, especially those without a negotiating mandate, and also if this would require
involvement or a mandate of the TNC.   With respect to the possible modalities discussed, such asrequest/offer, horizontal, and vertical, it was noted that all could be possibilities and it would depend
on how the issues and work progressed.  The Grou p was of the view that none of these possible
modalities should be excluded at this time.  Also, there were 18 Members who made notifications ofTN/MA/10
Page 2
NTBs, which were circulated in the compilation document, "Non-tariff Barrier Notifications"
(TN/MA/W/25).  This served as an indicative list of the areas where Members' NTBs were focused.
4. The Secretariat presented its papers on "Formula Approaches to Tariff Negotiations"
(TN/MA/S/3/Rev.2) and " Formula Approaches to Tariff Negotiations—Secretariat Simulations usingMembers' Tariff Concessions" (JOB(03)/67).  The first paper revised the earlier paper which gave an
overview of the various formulae proposed by Members and the possible effects of the formulae on a
hypothetical tariff profile.  The second paper presented simulations using the final bound duties
available in the Consolidated Tariff Schedules data base (CTS) to illustrate the impact of different
formula proposals on Members' tariff schedules.  Additionally, a dedicated question and answer
session was held by the Secretariat on 15 April 2003 to provide more explanations of these papers.
II. OUTSTANDING ISSUES
5. The Group will need to focus on the Chairman's proposal
1 on possible elements for modalities
in the coming month in order to reach agreement by the target date.  A few delegations indicated that
further proposals or submissions would be forthcoming.
III. FUTURE WORK
6. The Group will pursue its work on possible elements for modalities on tariffs and NTBs at its
meeting scheduled for 26-28 May 2003, with a view to reaching an agreement on such modalities by
31 May 2003.
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1 To be issued.