WORLD TRADE WT/MIN(96)/ST/42
10December 1996
ORGANIZATION(96-5164)
MINISTERIAL CONFERENCE Original: Spanish
Singapore, 9-13December 1996
NICARAGUA
Statement byH.E. Mr.Pablo Pereira
Minister oftheEconomy andDevelopment
SincetheMarrakeshMeetinginApril1994,thedevelopmentoftheworldeconomyhascontinued
tomove along thepathofglobalization, inparallel withthetrend towards regional integration and
widespread trade liberalization.
Now, aswemeetinSingapore, itistimeforustopause toassess ourprogress andconsider
where wewishtogonext.
Central America, which includes Nicaragua, haschosen theroadtoregional andcontinental
integration. Oursteady institutionalized pursuit ofintegration, hasnowbeenstrengthened bythe
framework established bytheWTO andtheincorporation ofallourregional partners intothe
Organization. Webelieve thateconomic integration willreinforce theeconomies ofCentral America
andenergize world trade. Wehavechosen amodel which, farfrompromoting protectionism, adheres
strictly toWTO rules anddisciplines andbolsters themultilateral trading system.
Nicaragua ismaking agreat effort, atthedomestic level, tocheck itsnational legislation with
aview tofulfilling theobligations itassumed bysigning andratifying theWTO Agreements. We
believe thatthebestencouragement tocontinue along thispath, andthebestsupport wecould receive,
would beforalltheMembers oftheOrganization tocomply withtheUruguay Round Agreements.
Most developing countries, likeNicaragua, areendeavouring tomeet their commitments.
However, wemust say,loudandclear, thatsome industrialized countries should bedoing more to
liberalize trade.
Itisworth noting thatthetradepolicy reviews undertaken bytheWTO haverevealed atendency
forthedevelopedcountriestoprotecttheirsensitivesectors,whereasthedevelopingcountriesaremaking
progress inareas suchasliberalization, deregulation andprivatization. Thisleads ustoconclude that
we,inthedeveloping countries, aremaking arelatively greater contribution tothemultilateral trading
system.
TheWTO agenda is,ofcourse, quite extensive and,without wishing toprioritize orexclude
certain topics, since theyareallofinterest tous,Nicaragua would liketoreferspecifically tosome
ofthem.
Intheareaofagriculture, continued quota setting, thegranting ofsubsidies tothetune
US$250 million andtheapplication oftechnical andsanitary measures bythedeveloped countries are
creating unfair competition forourproducts. Those measures havehadadevastating effect onour
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fragile economies and,ingeneral, Nicaragua hasyettoseeanypositive results fromtheUruguay Round
negotiations inthissector.
Thetextiles sector isofgreat importance toCentral America, bothfrom theperspective of
jobcreation andasapercentage oftotalexports. Results inthisindustry havealsobeenunsatisfactory:
theintegration oftextile products andclothing hasbeenlimited andproducts ofparticular interest to
Central American countries havenotbeenincluded. Wealsodeplore theexcessive useoftransitional
safeguards applied during thefirsttwoyears oftheAgreement andweappeal toimporting countries
toexercise thegreatest possible restraint intheapplication ofthese safeguards, inconformity with
theprovisions andprocedures oftheAgreement.
Thecountries ofCentral America earnestly hopethattheSingapore Conference willproduce,
atleast, acommitment toimprove theintegration oftextile products, moderate theuseof"quota calls"
andbring greater transparency tothedispute settlement mechanism under theAgreement onTextiles
andClothing.
WealsonotethattheWTO dispute settlement mechanism isanachievement withwhich we
areallpleased. Wemustcontinue tonurture it,through strict compliance withtherecommendations
ofthevarious panels, toensure theinstitutional strengthening oftheOrganization. Theapplication
ofunilateral orextraterritorial measures undermines thisachievement andjeopardizes themultilateral
trading system.
Basically, webelieve thatthisConference should concentrate onevaluating theprogress made
withtheprogramme ofwork approved inMarrakesh, andonadopting agreements which willlead
tothefulfilment oftheprogramme ofwork forthenextfewyears insectors ofspecial sensitivity for
thedeveloping countries, suchasmarket access, agriculture, andtextiles andclothing.
Wenotewithsatisfaction theever-increasing recognition within thisinstitution ofthespecial
characteristics andproblems ofthesmall economies.
Inthisregard, thecomparative advantages ofthedeveloping world, including labour costs,
should notandcannot justify, inanycircumstances, theimposition bythetrading powers ofconditions
ofanykindthathavetheeffect ofblocking market access.
Wedeveloping countries withsmall economies wantastrong World Trade Organization. It
isneeded toenable usalltoprotect ourinterests onanequal footing, sothatwecanallbenefit from
theexpansion ofworld trade.
Thisisanappropriate timetolaythefoundations foradiscussion ofamultilateral codeto
stimulateandregulatefreecompetitionandtoestablishrulesongovernmentprocurementwhichguarantee
transparency.
Indiscussing these newtopics dueallowance should bemade fortheability ofallMembers
toparticipate, without theimposition ofexclusionary work patterns. Itshould berecalled that
"transparency isparticipation". Wemust, therefore, maintain aparticipatory andconsensual process
ofdiscussion anddecision making.
Wecould notendthisstatement without paying tribute tothetenacious andhard-working people
ofSingapore, anexample ofperseverance foralldeveloping countries. Singapore hasdisplayed an
enviable ability toovercome barriers andobstacles inorder toachieve thehighstandards ofliving
towhich other countries aspire. Wecongratulate themontheirachievements andexpress ourgratitude
forthefraternal hospitality andcheerfulness withwhich theyhavereceived us.Wehavebeenmade
tofeelathome, withawarmth equal tothatofthetropical climate ofCentral America.