WORLD TRADE WT/MIN(98)/ST/66
18May1998
ORGANIZATION(98-2062)
Original: English MINISTERIAL CONFERENCE
Second Session
Geneva, 18and20May1998
EGYPT
Statement byH.E. Dr.Ahmed A.Goueili,
Minister ofTrade andSupply
Iwould liketostartmystatement byacknowledging thattheSecond Ministerial Conference
acquires special importance, notonlybecause itcoincides withthe50thAnniversary ofthemultilateral
trading system (MTS), butbecause itisagood opportunity fortheassessment oftheimplementation
oftheAgreementsundertheWorldTradeOrganization(WTO)sinceitsentryintoforceinJanuary1995.
Inthiscontext, westrongly believe thatthefullimplementation ofthese Agreements isanecessity
toensure thecredibility andtheeffectiveness ofthemultilateral trading system, aswellasguaranteeing
theintegration ofthedeveloping countries inthissystem andavoiding theirmarginalization.
When wenegotiated theUruguay Round Agreements, signed inMarrakesh in1994, itwas
ourconviction thatthefullandfaithful implementation ofthose Agreements istheonlyguarantee for
maintaining andfurther enhancing confidence inthemultilateral trading system; thisfactwasagain
emphasized intheSingapore Conference in1996 which stressed thehighpriority oftheeffective
implementation oftheWTO Agreements inamanner consistent withthegoaloftrade liberalization.
After almost three andahalfyears ofimplementation, thequestion which imposes itself is:
"Does theimplementation process satisfactorily meetourexpectations?" Unfortunately theanswer
isstilldifficult tobeyesformany reasons:
- Theabuse andunjustifiable recourse toanti-dumping measures bycertain countries
which negatively affect ourexports;
- theremarkable useoftechnical regulations andstandards aswellassanitary and
phytosanitary measures insuchamanner thatconstitutes barriers hindering theflow
ofourexports;
- theprocess ofintegration asprovided forintheAgreement onTextiles andClothing
proved tobemodest interms ofitseffect totheliberalization ofthissector and
increasing theexports ofarticles ofinterest tous.Thisisinaddition totheincreasing
tendency totheuseofsafeguards andanti-dumping measures against theexports of
these items. Itisworth noting alsothatthechanging oftherules oforigin and
modifications incustoms procedures aswellasadministrative practices have also
disrupted access under thisAgreement;
- thenon-application oftheprovisions ofthe"Marrakesh Decision onMeasures
ConcerningthePossibleNegativeEffectsoftheReformProgrammeonLeastDeveloped
andNet-Food Importing Developing Countries", andtheabsence ofsufficient measures
pursued bydeveloped countries, Food AidConvention anddonors, havecontributed
tofurther increase theburden ofthenegative effects ofthisprogramme represented
inhigher import billsofbasic foodstuffs forthose countries;WT/MIN(98)/ST/66
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- themodest implementation ofthespecial anddifferential provisions infavour of
developing countries asprovided intheWTO Agreements.
Inthiscontext, wewould liketorequest thataseparate partoftheWTO annual report bedevoted
tofollow upthestatus oftheprocess ofimplementation inallareasunder WTO withaviewtoassessing
thedifficulties andpropose therecommendations forremedies.
Allow menowtotouch upon some other important areas ofinterest tous,welookupon
transitional periods andtheenhancement oftechnical andfinancial assistance notonlyasvitaland
importantelementstoenableoptimumimplementationoftheobligationsundervariousWTOAgreements,
butalsotoensure thebalance between therights andobligations under those Agreements.
Thereview oftheWTO Agreements musttakeintoconsideration thespecial anddifferential
treatment infavour ofdeveloping countries aswellastechnology transfer asavitalelement for
development.
Asregards theissue oftrade andenvironment, webelieve thatitsimportance dictates further
in-depth examination andanalysis withaviewofachieving objective ofsustainable development, as
called forinAgenda 21.Wenotethework doneunder theWTO Committee onTrade andEnvironment
andtheneedofbalance inaddressing allissues under itswork programme inparticular themarket
access cluster issues which should bethecoreandthefocal point ofitsdeliberations.
Itisnotdeniable thateco-labelling programmes andschemes canhelpinachieving consumer
protection. However, webelieve thattheycould adversely affect theexports ofcountries notina
positiontomeettherequirementsoftheseprogrammes.Itisourfirmbeliefthatinternationalcooperation
isthebestsolution tofaceenvironmental problems, andunilateral actions, extraterritorial measures,
andtrade sanctions willnothelpinsolving environmental problems, rather itwillcreate tensions and
tradeconflicts. Positive measures suchastechnical andfinancial assistance aswellastransfer ofsound
technologies arecrucial vehicles which could helpusinadapting ourselves topursue theenvironmental
requirements andachieve theirobjectives.
Asfarastrade inservices inconcerned, Egypt isactively participating intheongoing work
inallareas under discussion intheWTO, Egypt submitted itsimproved offer infinancial services,
andisfollowing withsatisfaction thework under wayintheareaofprofessional services, the
accomplishment ofguidelines formutual recognition agreements, andtheexpected agreement on
disciplines. Atthesame time, wehope thatthenegotiations ontheemergency safeguards can
successfully becompleted initstime-frame inviewoftheimportance ofthismechanism asasafety
valve. Wewould alsoliketoaffirm thatoneofthemost important sectors ofourinterest isthe
movement ofnatural persons, anareainwhich wehavecomparative advantage. Meanwhile, wedo
notbenefit fromthecommitment made bydeveloped countries under thissector duetotheirlinkage
withcommercial presence ortheunaffordable conditions accompanying thosecommitments. Therefore
thisareaneeds aconstructive response onthepartofdeveloped countries infuture negotiations to
compensate themissed balance intheGeneral Agreement onTrade inServices.
Asregards thefuture work intheWTO, webelieve thatourconcentration should beonthe
issues under thebuilt-in agenda (BIA) covering anumber ofagreements. Theeducative andexploratory
process should continue inWTO, UNCTAD andrelevant foraregarding subjects embodied inthe
Singapore Declaration intheareas oftrade andinvestment, competition, transparency ingovernment
procurement andtradefacilitation without prejudging whether negotiations willbeinitiated inthefuture.
Duetothefactthatthevastmajority ofdeveloping countries haveexport interest limited to
certain sectors, weadvocate thatanyupcoming trade negotiations taketheformofsectoral ones. AtWT/MIN(98)/ST/66
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thesame time, webelieve thatthenextMinisterial Conference should takeplace intheyear2000,
taking intoconsideration thelimitation ofhuman andfinancial resources ofthedeveloping countries
andinorder toprovide enough timeforthecomplete implementation ofthepresent Agreements, and
tofulfil theobligations under thebuilt-in agenda.
Concerning thenewwork programme entrusted toWTO inSingapore, andwithregard totrade
andinvestment, theeducational workintheWTO should emphasize interests andconcerns ofdeveloping
countries asrecipient parties totheforeign direct investment which isessential tosupplement domestic
savings inorder tostrengthen theproduction bases andexport capacities andhelptheirintegration
intheworld economy.
Asregards tradeandcompetition policy, itisourfirmbelief thatfaircompetition andprevention
ofanti-competitive practices isaprecondition forthemultilateral trading system, andthatnational
lawsoncompetitionarenecessaryatthenationallevelwhichshouldbecomplementedbytheinternational
cooperation tocurbmonopolistic practices attheinternational level. TheWTO working group should
analyse theimpact ofanti-competitive practices ongrowth andeconomic development. Webelieve
thattheUnited Nations SetonMultilaterally Agreed Principles andRules fortheControl ofRestrictive
Business Practices isagood basis forshaping anydisciplines inthisrespect.
With regard totrade facilitation. Weacknowledge theimportance ofthesimplification and
coordination oftrade procedures asavitalelement toreduce costandtimeoftrade transactions, we
strongly believe thatexploratory andanalytical work should continue todetermine theadded value
thattheWTO canpresent inthisconcern, making useoftheworkbyotherforainparticular UNCTAD,
inaddition totherecommendations oftheUNSymposium onTrade Efficiency. Webelieve that
completing theunfinished work insome oftheWTO Agreements could enhance theachievement of
theobjectives oftrade facilitation.
Inthiscontext werecognize electronic commerce asanundeniable phenomenon which needs
furtherin-depthstudyandanalysistodetermineitsdefinition,scope,implications,benefits,legalaspects,
aswellastherelationship between electronic commerce andtheprovisions oftheAgreements under
WTO, taking intoconsideration thedevelopmental dimensions andlimitations ofcapabilities ofEgypt
asadeveloping country toeffective participation inthisfield.
Egypt welcomes theconvening oftheHigh-Level Meeting onIntegrated Initiations for
Least-DevelopedCountriesinOctober1997,andemphasizestheimportanceofthecontinuousfollow-up
ofthepledges made bycertain Members tomeettheurgent needs ofLDCs. Inthisregard, wecommend
theoffers presented bysome developing countries including Egypt taking intoconsideration thelimited
capabilities ofthesecountries. Wealsocallfordeveloped countries tomake meaningful commitments
toLDCs covering them all.
Before concluding, there aretwoimportant issues which should behighlighted duetotheir
close relationship withthestructure andfuture ofthemultilateral trading system. Thefirstisthe
increasing tendency towards theregional tradearrangements, weacknowledge theimportance ofthose
arrangements aslongastheyarecompatible withthemultilateral trading system andenhance theflow
ofinternational trade. However, webelieve thatthisprocess should takeintoconsideration that
regionalism isnotanalternative tothemultilateral system.
Thesecond isconcerning theaccession process totheWTO anditsimportance forachieving
theuniversalityofMTSthroughfacilitatingthisprocessandensuringthespeedy,smooth,andtransparent
procedures avoiding discrimination against newapplicants interms ofimposing additional obligations
towhich existing Members arenotcommitted.WT/MIN(98)/ST/66
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Atthesametime, wewould liketoreaffirm ourclearposition regarding anynewconditionality
orprotectionist initiative suchaslabour standards, rejecting anylinkage between trade andthese
standards, thisissue isunder themandate oftheILO.
Letmeconclude byconfirming thataslongasthere isgood faithandpolitical willtoserve
"MTS" inorder toachieve itsobjectives, thissystem willallow allparticipants togainitsfruits and
benefits asanequitable mechanism based onopenness andtransparency.
Finally, Iwould liketoextend ourthanks andappreciation totheSwiss Government forits
hospitality andthewell-organized work which helped tothesuccessfulness ofsuchimportant events.
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