. /.WORLD TRADE
ORGANIZATIONWT/CTE/9
11 July 2003
(03-3748)
Committee on Trade and Environment
REPORT OF THE COMMITTEE ON TRADE AND ENVIRONMENT
TO THE GENERAL COUNCIL
1. The Committee on Trade and Environment Regular (CTE) has held three meetings so far in
2003,1 back-to-back with the meetings of the Special Session of the CTE (CTESS).  At its first
meeting in February 2003, the CTE confirmed the appointment of Ambassador Peter Br ňo
(Slovak Republic) as its Chairman.
2. The work of the CTE was organized in accordance with the mandate contained in
paragraph 32 of the Doha Ministerial Declaration (DMD).2  Particular attention was given to market
access issues (paragraph  32(i))3, the relevant provisions of the TRIPS Agreement (paragraph  32(ii)),
and labelling requirements for environmental purposes (paragraph  32(iii)).  The CTE also continuedits analysis of the other items of its work programme.  Pursuant to paragraph 33, Members discussed
technical assistance, capacity building and environmental reviews.  Members also discussed the CTE's
report to the Fifth Ministerial Conference in Cancún on the work undertaken since Doha under both
paragraphs 32 and 33.
4  Finally, under paragraph 51, Members undertook to identify and debate the
developmental and environmental aspects of the negotiations, in order to help achieve the objective ofhaving sustainable development appropriately reflected (see paragraph 6 below).
3. At the meeting of 14 February 2003 , under paragraph 32(i), Members discussed the issues of
forestry and fisheries based on a contribution from Japan (WT/CTE/W/222).  The UNCTAD and the
OECD informed the Committee of relevant activities.  Discussion also took place on paragraph 32(ii)
on the basis of a submission presented by the European Communities (WT/CTE/W/223).  On
paragraph 32(iii), Japan referred Members to its submission to the TBT Committee on labelling
(G/TBT/W/176).  Under paragraph 33, Canada introduced its Initial Environmental Assessment of theWTO Trade Negotiations (WT/CTE/W/221) and the European Communities informed Members of a
DG Trade Seminar on Sustainability Impact Assessments (WT/CTE/W/224).  Under paragraph 51,
presentations were made by the Secretariat on the negotiations in the areas of agriculture and market
access for non-agricultural products.  Finally, it was decided that the Secretariat would prepare a first
draft of the factual elements of the Report to the 5
th Ministerial Session in Cancún on paragraphs 32
and 33.
4. At the meeting of 29 April 2003 , Japan presented a paper on fisheries subsidies under
paragraph 32(i) (WT/CTE/W/226).  Members also discussed the issue of labelling for environmental
purposes (paragraph 32(iii)) on the basis of a contribution from the European Communities
(WT/CTE/W/225).  Canada drew the CTE's attention to its communication on labelling submitted to
                                                     
1 The reports of the meetings are contained in documents WT/CTE/M/32-34.  A fourth meeting will
take place on 28-29 October 2003.
2 Hereafter paragraph numbers refer to those of the Doha Ministerial Declaration.
3 The full text of paragraph 32(i) reads:  "the effect of environmental measures on market access,
especially in relation to developing countries, in particular the least-developed among them, and those situationsin which the elimination or reduction of trade restrictio ns and distortions would benefit trade, the environment
and development".
4 WT/CTE/8.WT/CTE/9
Page 2
the TBT Committee in May 2002 (G/TBT/W/174/Rev.1, subsequently circulated as
WT/CTE/W/229).  Discussions were also held on paragraph 33, following the presentation by the
United States of its submission on technical assistance and environmental reviews (WT/CTE/W/227).
The UNCTAD and UNEP informed the CTE of their technical assistance activities and upcoming
meetings (WT/CTE/GEN/12 and WT/CTE/GEN/13).  Under paragraph 51, discussions continued on
the basis of presentations by the Secretariat on the negotiations in the rules and services areas.  It was
decided that the Secretariat would prepare a brief and factual summary on this paragraph as part of its
report to the General Council.  Finally, Members discussed the first draft of the CTE Report to
Cancún on paragraphs 32 and 33.
5. At the meeting of 7 July 2003 , under paragraph 32, Members discussed Canada's proposal for
a recommendation for the Cancún Ministerial Conference (Job(03)/105).  Under paragraph 32(iii) on
labelling for environmental purposes, Members held discussions on a proposed recommendation bythe European Communities for the Cancún Ministerial Conference (Job(03)/130).  Members adopted
the report of the CTE to the Fifth Ministerial Conference in Cancún on paragraphs 32 and 33
(WT/CTE/8).
6. On paragraph 51 , following its decision to take a sectoral approach, the CTE received
briefings by the Secretariat on relevant developments in the following negotiating areas:
(a) Agriculture (WT/CTE/GEN/8):  It was recalled that the need to protect the
environment was one of the non-trade concerns explicitly mentioned in the Preamble
of the Agreement on Agriculture. The debate was about what were the appropriate
and effective instruments to achieve these objectives, and it was in this regard that
there were differing views.
(b) Market Access  for Non-Agricultural Products (WT/CTE/GEN/9):  It was pointed out
that a main point of relevance was the discussion on environmental goods.  In this
regard, the internal coordination between th e work of the CTE Special Session under
paragraph 31(iii) and the work conducted in the Negotiating Group on Market Access
for Non-Agricultural Products was recalled.  In the latter group, relevant discussionshad taken place on definitional issues, as well as on the treatment of environmental
goods.
(c) Rules (WT/CTE/GEN/10):  It was noted that the most explicit environmental issue
was that of fisheries subsidies.  The cross-reference between paragraphs 28 and 31
was mentioned in this regard.  Discussions took place on the link between subsidies
and environmental damage to fisheries, and on the need to clarify and improve
WTO disciplines on fisheries subsidies.
(d) Services (WT/CTE/GEN/11):  The Secretariat recalled the internal coordination
between the work of the CTE Special Session under paragraph 31(iii) and the work
conducted in the Special Session of the Council for Trade in Services.  In the latter
body, relevant discussions had taken place on the desirability of more liberalization of
environmental services, regulatory issues and classification issues raised in theCommittee on Specific Commitments.
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