WORLD TRADE WT/MIN(96)/ST/50
10December 1996
ORGANIZATION(96-5166)
MINISTERIAL CONFERENCE Original: English
Singapore, 9-13December 1996
TANZANIA
Statement bytheHonourable A.O. Kigoda
Minister forIndustries andTrade
(Speaking onbehalf oftheSouthern African Development
Community (SADC) States Members oftheWTO1)
Onbehalf oftheSADC member countries, letmejointheprevious speakers whoexpressed
theirgratitude totheGovernment andthepeople ofSingapore forthewarm andfriendly reception
accorded toussince ourarrival. Allow mealsotocommend allthose whoinonewayoranother
participated inthepreparations ofthisveryimportant Conference.
Indeed thisConference should influence thecourse andpaceoftheglobalization process and
thecapacity ofarule-based, international trading system, which recognizes strengths andweaknesses
ofitsMembers, tobenefit allWTO Member States andparticularly those inadisadvantaged economic
position.
WeinSADC areparticularly concerned about thisaspect, fortheSADC isaunique regional
economic grouping whose membership comprises countries atvarying levels ofdevelopment including
land-locked countries, small island States andleastdeveloped countries whoarethemajority. This
widely various group ofcountries metinMaseru, Lesotho, on24August 1996tosignaTrade Protocol
which weconsider tobeafirstbutimportant stepinmoving towards afree-trade areainSouthern
Africa.
TheSADC Trade Protocol which draws ontheprovisions oftheAbuja Treaty establishing
theAfrican Economic Community, isanambitious project which foresees theestablishment ofa
free-trade zoneinaperiod ofeight years. Oneoftheprimary objectives oftheTrade Protocol isto
enhance theeconomic development, diversification andindustrialization oftheregion foritrecognizes
thatanintegrated regional market willcreate newopportunities foradynamic business sector.
ThereisnodoubtthattheTradeProtocolwillprovideauniqueopportunitytostrengthenregional
andeconomic cooperation intheSADC region. Asstated inthePreamble oftheProtocol, thiswould
allowMemberStateswhichareatdifferentlevelsofeconomicdevelopmenttoshareequitablythebenefits
ofregional economic integration. Webelieve thatthiswould beinkeeping withoneoftheprimary
objectives oftheMarrakesh Declaration which recognizes interaliathatthereisneedforpositive efforts
designed toensure thatdeveloping countries andespecially theleastdeveloped among them secure
ameaningful share inthegrowth oninternational trade, commensurate withneeds oftheireconomic
development.
1Angola,Botswana,Lesotho,Malawi,Mauritius,Mozambique,Namibia,SouthAfrica,Swaziland,Tanzania,
Zambia andZimbabwe.WT/MIN(96)/ST/50
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WearesatisfiedtonotethattheDirector-General'sreportondiscussionsregardingtheMinisterial
Declaration recognizes thatthetradeliberalizing effects ofsuchregional arrangements mayassist least
developed, developing andeconomies invarious stages oftransition tointegrate intothemultilateral
trading system. Wetherefore urgetheWTO, initsapplication ofrules, tobeflexible enough to
accommodate efforts being made bydeveloping countries towork towards economic integration as
isthecasewiththeSADC Trade Protocol.
Inthesame vein, wemust equally recognize thecomplementary roleplayed bypreferential
trade arrangements increating asecure environment conducive totrade expansion infavour ofthe
beneficiaries.Therefore,sucharrangementsparticularlythosewhichaffectalargenumberofdeveloping
countries cannot simply bedoneaway with, regardless oftheconsequences forthese countries. We
feelitimperative thatthevarious preferential arrangements which currently existbemaintained into
thenextcentury inorder toguarantee developing countries thesecurity ofmarket access andintegration
intotheinternational trading system. Inthiscontext, weintheSADC region recognize thecritical
roleplayed bytheLomé Convention incatering forourtrade anddevelopment needs aswellasfor
theneeds ofmany other developing countries. Itisourfervent wishthatcome year2000, Lomé trade
preferences willremain.
Inthetwoyears ofWTO existence, SADC member countries have, despite sincere efforts,
been struggling with limited success tomeet their obligations asprovided forunder the
WTO Agreements. Ourcapacity therefore totakeonnewcommitments overandabove ourexisting
obligations under thebuilt-in agenda would belimited. Itisforthisreason thatweintheSADC region
believethatthisMinisterialMeetingshouldfocusonimplementationoftheUruguayRoundAgreements.
Weshould takestock oftheimplementation process andfindoutiftheexpectations wehadinMarrakesh
ontheprospects ofeconomic growth andsustainable development andofbetter international relations
thattheoutcome oftheUruguay Round hadpromised has,byanydegree, beenachieved.
ItistruethattheWTO Agreements havebrought several opportunities ourway. However,
ithasnotalways beenpossible forustobenefit fromthissituation because ofanumber ofdifficulties
besetting us.Wenotewithconcern theincreasing trend ofmarginalization oftheleastdeveloped
countries resulting from debtproblems, poor terms oftrade andsupply sideconstraints intheir
economies. Weurgeimmediate international action toreverse thistrend.
Wearegladthatsome ofourconcerns havebeenaddressed intheWTO PlanofAction for
Least Developed Countries. Theguidelines fortechnical assistance isanother example ofconstructive
effort being made tohelpdeveloping countries meet theirobligations under theWTO Agreements.
Bothofthese initiatives needtobecommended andwelookforward tomore positive action ofthis
kind, especially inthecontext oftheMarrakesh Ministerial Decision onmeasures infavour ofleast
developed countries aswellasonmeasures concerning thepossible negative effect oftheagricultural
reform programme ontheleastdeveloped andnet-food-importing developing countries.
SADC member States believe thatitwould beinappropriate toexpand thenegotiating agenda
oftheWTO, partly inview oftheir current difficulties inimplementing theUruguay Round of
Agreements. WefeelthatnotallMember States arefullyprepared toaddress thecomplex setofissues
which some countries haveproposed fortheSingapore Ministerial Conference.
Preparations fornegotiations onthese newissues intheabsence ofproper understanding of
theirexact implications andaconstructive dialogue onthem, would amount totheimposition ofrules
bythestrong upon theweak withapotentially harmful impact ondeveloping countries. Therefore,
weareconvinced thatthese issues require more thorough study andpositive discussions tobeinitiated
byUNCTAD incollaboration withother relevant international institutions. TheSADC Ministers '
Meeting inArusha on1November 1996, considered these butrecognized thatsome werepremature,WT/MIN(96)/ST/50
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others demanded more thorough consideration, whilst some didnothaveaplace inWTO. Theissue
ofinvestment, which isahighly complex matter, demands more careful study primarily byUNCTAD
inconsultation withtheWTO andother appropriate institutions aswehaveoutlined earlier. Equally
webelieve itwillbepremature toaddress theissues ofcompetition policy andgovernment procurement
atthisstage. Wefirmly believe thatlabour standards canbestbeaddressed inthetripartite forum
provided bytheInternational Labour Organization.
Finally, SADC member States welcome thejointinitiatives byWTO/UNCTAD/ITC inAfrica.
Weurgethatthecooperation ofthese agencies bestrengthened, withaview tomaximizing their
contribution totheobjective ofenabling developing countries, andinparticular theSADC member
States, toparticipate effectively asequal partners inthemultilateral trading system. Wewishtoplace
onrecord ourappreciation oftheimportant commitment oftheDirector-General oftheWTO with
respect totheleastdeveloped countries.