RESTRICTEDWORLD TRADE
ORGANIZATIONG/C/W/241
7 November 2000
(00-4690)
Council for Trade in Goods
15 November 2000
DRAFT
REPORT (2000) OF THE COUNCIL FOR TRADE IN GOODS
In accordance with the "Procedures for an Annual Overview of WTO Activities and for
Reporting under the WTO" (WT/L/105), the Council for Trade in Goods is to report each year to theGeneral Council on the activities in the Council as well as in the subsidiary bodies. The reports are tobe "factual in nature, containing an indication of actions and decisions taken, with cross references toreports of subordinate bodies and could follow the model of the GATT 1947 Council reports to theCONTRACTING PARTIES".
Since the last annual report, the Council for Trade in Goods met four times in formal session:
first, on 24 January;  second, 5 April and on 18 May;   third, on 7 July and 16 October;  and fourth,
on 16 October 2000.  The minutes of these meeti ngs are contained in documents G/C/M/42, 43, 44
and 45.
The following subject matters which were raised and/or acted upon in the Council are
included in the report:
1. Election of Chairperson for the Counc il for Trade in Good s  (G/C/M/43)..........................2
2. Appointment of Officers for the subsidiary bodies of the Council (G/C/M/43) ..................23. Status of Notifications under the Provisions of the Agreements in Annex 1A of
the WTO Agreemen t (G/C/M/43)............................................................................................3
4. Continuation of the Harmonization Work Programme provided for in Part IV of
the Agreement on Rules of  Origin (G /C/M/ 42) ......................................................................3
5. Periodic Reports of the Committee on Market Access (G/C/M/43 and 45).........................3
6. Waivers under Article IX of the WTO Agreement................................................................3
(a) Harmonized System - Requests for extensions of waivers from Nicaragua and
Sri Lanka  (G/C/M/43 and 45)................................................................................................... .3
(b) Zambia - Renegotiation of Sche dule LXXVIII (G/C /M/43 and 45)...........................................4
(c) Decision on the Introduction of Harmonized System (HS) Changes into WTO
Schedules of Tariff Concessions on 1 January 1996 - Extension of the time-limit
(G/C/M/43 and 45).............................................................................................................. ........4
(d) WTO Agreement on Customs Valuation – Request for waiver by Peru (G/C/M/43) ................4
(e) Request for a waiver for the application of the EU autonomous preferential treatment
to the countries of the Western Balkans (G/C/M/43, 44 and 45)................................................4G/C/W/241
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(f) Request for a WTO waiver – new ACP- EC Partnership Agreement (G/C/M/43, 44
and 45) ........................................................................................................................ ................4
(g) EC/France – Trading arrangements with Morocco:  Request for extension of the
waiver (G/C/M /43 and 44)....................................................................................................... ...5
(h) Request for a WTO Waiver – Turkey:  Preferential treatment for Bosnia-Herzegovina
(G/C/M/44 and 45).............................................................................................................. ........5
7. Trade-related technical assistance:  Customs Valuation Model Work
Programme (G /C/M/4 4) ........................................................................................................... 5
8. TRIMs Agreement .............................................................................................................. ......5
(a) Requests for extension of the transition period pursuant to Article 5.3 (G/C/M/42, 43,
44 and  45) .................................................................................................................... ..............5
(b) Review of the operation of the TRIMs Agreement (G/C/M/42, 43, 44 and 45).........................5
9. Review of the Understanding on the Interpretation of Article XXVIII of the
GATT 1994 (G/C/M/42 and 45)...............................................................................................6
10. Free Trade Agreements (G/C/M/42, 43 and 45).....................................................................6
(a) Free Trade Agreement between Hungary a nd Lithuania - Notification from Hungary
(WT/REG83/N/1 and WT/REG83/1) .........................................................................................6
(b) Free Trade Agreement between Hungary and Latvia - Notification from the Parties to
the Agreement (WT/REG84/N/1 and WT/REG84/1).................................................................6
(c) Free Trade Agreement between the Former Yugoslav Republic of Macedonia and
Slovenia - Communication from the partie s to the Agreement (WT/REG36/N/1 and
WT/REG36/1).................................................................................................................... .........6
(d) Free-Trade Agreement between Bulgaria and the Former Yugoslav Republic of
Macedonia – Communication from Bulgaria (WT/REG90/N71, WT/REG90/1........................6
(e) Free-Trade Agreement between EFTA and Morocco – Communication from the
Parties to the Agreement (W T/REG91/N/1, WT/REG90/1). .....................................................6
(f) Free-Trade Agreement between Turkey and Poland;  Notification from the Parties to
the Agreement (WT/REG107/N/1 and WT/REG107/1).............................................................6
(g) Free-Trade Agreement between Estonia and Ukraine;  Notification from Estonia
(WT/REG108/N/1 and WT/REG108/1). ....................................................................................6
(h) Free-Trade Agreement between the European Communities and Mexico;
Notification from the Parties to the Agreement (WT/REG109/N/1 and
WT/REG109/1)................................................................................................................... ........6
1. Election of Chairperson for the Council for Trade in Goods  (G/C/M/43)
1.1 At its meeting of 5 April, the Council el ected H.E. Ambassador  C. Pérez del Castillo
(Uruguay) as its Chairman for 2000.
2. Appointment of Officers for the subsidiary bodies of the Council (G/C/M/43)
2.1 At its resumed meeting of 18 May, the Council took note of the consensus on the following
persons nominated for election as Chairpersons of its subsidiary bodies:  Committee on Agriculture:
Chair:  Ambassador Jorge Voto-Bernales (Peru), Vice-Chair:  Mr. Yoichi Suzuki (Japan);  Committee
on Anti-Dumping Practices:  Mr. Yair Shiran (Israel);  Committee on Customs Valuation: Mr. RemoG/C/W/241
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Moretta (Australia);  Committee on Import Licensing:  Mr Albert Wright (Denmark);  Committee on
Market Access:  Mr. Christopher Kiener (Switzerland);  Committee on Rules of Origin:  Mr. Sándor
Simon (Hungary);  Committee on Safeguards:  Mr . Joshua Phoho Setipa (Lesotho);  Committee on
Sanitary and Phytosanitary Measures:  Mr. Shishir Priyadarshi (India) who was succeeded by Mr. S.
Nayyar (Pakistan) as confirmed at the meeting of 7 July;  Committee on Subsidies and Countervailing
Measures:  Mrs. Usha Dwarka-Canabady (Mauritius);  Committee on Technical Barriers to Trade:
Mr. John Adank (New Zealand);  Committee on Trade-Related Investment Measures:  Mr. Oscar
Hernández (Venezuela).   The Council also appointe d Mr. Breffini Carpenter (Ireland) as Chairman of
the Working Party on State Trading Enterprises (which does not have provisions on election of
Chairpersons). 1
2.2 At the same meeting, the Council agreed to proceed on the understanding that as concernsVice-Chairpersons, it would be for the subsidiary bodies to decide if they needed a Vice-Chairpersonin cases where the option existed under the respective Agreement and/or rules of procedure, and forthe respective Chairperson to hold the necessary consultations.
3. Status of Notifications under the Provisions of the Agreements in Annex 1A of the WTO
Agreement (G/C/M/43)
3.1 At its meeting of 5 April, the Council took note of document G/L/223/Rev.4 which updated
the situation with respect to the status of notifications and Members' compliance therewith and
included notifications made up to and on 31 December 1999.
4. Continuation of the Harmonization Work Programme provided for in Part IV of the
Agreement on Rules of Origin (G/C/M/42)
4.1 At its meeting of 24 January, the Council t ook note of the progress report of the Committee
on Rules of Origin (CRO) (G/RO/42) and the statement of the CRO Chairman.
5. Periodic Reports of the Committee on Market Access (G/C/M/43 and 45)
5.1 At its meetings of 5 April and 16 October, the Council took note of the periodic  reports (in
documents G/MA/107 and G/MA/111 respectiv ely) of the Market  Access Committee on inter alia  the
requests for waiver extensions and/or waiver s made in connection with the transposition or
renegotiation of schedules of tariff concessions and/or in connection with the introduction ofharmonized system changes into schedules of tariff concessions on 1 January 1996;   the situation withrespect to the operation of the Integrated Data Base (IDB) and the status of IDB submissions;progress of work on the database for consolidated tariff schedules;  and the situation of notifications ofquantitative restrictions.
6. Waivers under Article IX of the WTO Agreement
(a) Harmonized System - Requests for extensions of waivers from Nicaragua and Sri Lanka
(G/C/M/43 and 45).
6.1 At its meeting of 5 April, the Council considered requests by Nicaragua (G/L/351) and
Sri Lanka (G/L/350) for an extension until 31 Oct ober 2000 of waivers already granted in connection
with the transposition of their schedules into the Harmonized System.  The Council approved the texts
                                                     
1 The Committee of Participants on the Expansion of Trade in Information Technology Products
elected Ms.  E. Chelliah (Singapore) as Chairperson for 2000.G/C/W/241
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of the draft decisions on the waiver extensions in G/C/W/189 (Nicaragua) and G/C/W/188
(Sri Lanka), and agreed to transmit them to the General Council for adoption.
6.2 At its meeting of 16 October, the Council considered  requests by Nicaragua  (G/L/394) and
Sri Lanka (G/L/391) for a further  extension un til 30 April 2001. The Council approved the texts of
the draft decisions on the waiver extensions in G/C/W/227 (Nicaragua) and G/C/W/225 (Sri Lanka)and agreed to transmit them to the General Council for adoption.
(b) Zambia - Renegotiation of Schedule LXXVIII (G/C/M/43 and 45)
6.3 At its meeting of 5 April, the Council considered a request by Zambia (G/L/295) for an
extension, until 31 October 2000 of th e waiver granted to it in connec tion with the renegotiation of its
schedule.  The Council approved the text of the draft decision (G/C/W/190), and agreed to transmit itto the General Council for adoption.
6.4 At its meeting of 16 October, the Council  considered a request (in G/L/393) for  a further
extension until 30 April 2001 and approved the text of the draft decision in G/C/W/226 and agreed to
transmit it to the General Council for adoption.
(c) Decision on the Introduction of Harmonized Sy stem (HS) Changes into WTO Schedules of
Tariff Concessions on 1 January 1996 - Extension of the time-limit (G/C/M/43 and 45).
6.5 At its meeting of 5 April, the Council approved the text of the draft decision
(G/MA/W/22/Rev.1) granting an extension of individual waivers to Members listed in the annex to
that document until 31 October 2000 with an amendment proposed by Canada, and agreed to transmit
it to the General Council for adoption.  These waivers had been requested by those Members finding
it necessary to consult or negotiate under Article XXVIII of GATT 1994 as a result of the HS96
changes introduced in their schedules.
6.6 At its meeting of 16 October, the Council  approved the text of the draft decision in
G/C/W/228 granting a further extension  of the time-limit until 30 April 2001.
(d) WTO Agreement on Customs Valuation – Request for waiver by Peru (G/C/M/43)
6.7 At its meeting of 5 April, the Council consid ered a request by Peru (G/VAL/W/55/Add.1) for
a waiver from its obligation under Article 7 of the Customs Valuation Agreement.  The Council
approved the request and agreed that the draft decision (contained in the document) granting thiswaiver be transmitted to the General Council for adoption.
(e) Request for a waiver for the application of the EU autonomous preferential treatment to the
countries of the Western Balkans (G/C/M/43, 44 and 45)
6.8 At its meetings of 5 April, 7 July and 16 October, the Council considered the  request by the
EC (G/C/W/178) and at its meeting on 16 October 2000 the Council approved the request and agreed
that the draft decision granting this waiver (in the same document) be transmitted to the GeneralCouncil for adoption.
(f) Request for a WTO waiver – new ACP-EC Pa rtnership Agreement (G/C/M/43, 44 and 45)
6.9 At its meetings of 5 April, 7 July and 16 October, the Council considered a request by the EC
for a waiver in order to allow the maintenance of preferential trade between the EC and the ACPG/C/W/241
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(G/C/W/187,  G/C/W/187/Addendum 2 and G/C/W/204) .  The Council took note of the various
statements made.
(g) EC/France – Trading arrangements with Morocco:  Request for extension of the waiver
(G/C/M/43 and 44)
6.10 At its meeting on 5 April, the Council consid ered a request by the EC for a retroactive
extension of the waiver (G/L/357).  At its meeting on 7 July, the Council approved the request and
agreed that the draft decision granting the waiver (G/C/W/194) be transmitted to the General Council
for adoption.
(h) Request for a WTO Waiver – Turkey:  Preferential treatment for Bosnia-Herzegovina
(G/C/M/44 and 45)
6.11 At its meeting on 7 July, the Council considered a request by Turkey for a waiver with respect
to the provisions of paragraph I of Article I of GATT 1994 (G/C/W/217).  At its meeting on 16
October, the Council approved the request and agreed that the draft decision granting the waiver,
contained in the same document, be transmitted to the General Council for adoption.
7. Trade-related technical assistance:  Customs Valuation Model Work Programme
(G/C/M/44)
7.1 At its meeting on 7 July, the Council took note  of a communication by the EC (G/VAL/W/71)
referring to a technical assistance model  of broad potential use.
8. TRIMs Agreement
(a) Requests for extension of the transition period pursuant to Article 5.3 (G/C/M/42, 43, 44 and
45)
8.1 At its meetings on 24 January, 5 April, 7 July and 16 October, the Council took note of the
statements made regarding requests for extension of the transition period made by Argentina, Chile,
Colombia, Malaysia, Mexico, Pakistan, Philippines, Romania and Thailand.2
(b) Review of the operation of the TRIMs Agreement (G/C/M/42, 43, 44 and 45)
8.2 At its meetings on 24 January, 5 April, 7 July and 16 October, and 16 October, the Council
took note of  the statements made.
                                                     
2 Relevant documents under discussion:
Argentina: G/C/W/176 + Corr.1, G/ C/W/182, G/C/W/185, G/C/W/193,
G/C/W/222,G/C/W/223, G/C/W/224
Chile: G/C/W/172 + Add.1, G/C/W/181,  G/C/W/185, G/C/W/197, G/C/W/198
Colombia: G/C/W/169 + Add.1, G/C/W/180,  G/C/W/202, G/C/W/207, G/C/W/216,
G/C/W/219+Corr.1, G/C/W/220+Corr.1
Malaysia: G/C/W/174, G/C/W/183, G/C/ W/185, G/C/W/192, G/C/W/208, G/C/W/209,
G/C/W/210 + add.1
Mexico: G/C/W/171, G/C/W/185
Pakistan: G/C/W/173, G/C/ W/185, G/C/W/186, G/C/W/199
Philippines: G/L/325, G/ C/W/166, G/C/W/168, G/C/W/ 170, G/C/W/184, G/C/W/201
Romania: G/C/W/175, G/C/ W/179, G/C/W/185, G/C/W/ 191, G/C/W/196, G/C/W/206
Thailand: G/C/W/203G/C/W/241
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9. Review of the Understanding on the Interpretation of Article XXVIII of the GATT 1994
(G/C/M/42 and 45)
At its meeting on 24 January, the Council mandated the Market Access Committee to carry
out the review. The Committee provided a report to the CTG at its meeting on 16 October that the
review had been carried out.
10. Free Trade Agreements (G/C/M/42, 43 and 45)
At its meetings on 24 January, 5 April and 16 October, the Council adopted the terms of
reference under which the CRTA should examine the following agreements:
(a) Free Trade Agreement between Hungary and Lithuania - Notification from Hungary
(WT/REG83/N/1 and WT/REG83/1)
(b) Free Trade Agreement between Hungary and Latvia - Notification from the Parties to the
Agreement (WT/REG84/N/1 and WT/REG84/1)
(c) Free Trade Agreement between the Former Yugoslav Republic of Macedonia and Slovenia -
Communication from the parties to the Ag reement (WT/REG36/N/1 and WT/REG36/1)
(d) Free-Trade Agreement between Bulgaria and the Former Yugoslav Republic of Macedonia –
Communication from Bulgaria (WT/REG90/N71, WT/REG90/1
(e) Free-Trade Agreement between EFTA and Morocco – Communication from the Parties to the
Agreement (WT/REG91/N/1, WT/REG90/1).
(f) Free-Trade Agreement between Turkey and Poland;  Notification from the Parties to the
Agreement (WT/REG107/N /1 and WT/REG107/1).
(g) Free-Trade Agreement between Estonia and Ukraine;  Notification from Estonia
(WT/REG108/N/1 and WT/REG108/1).
(h) Free-Trade Agreement between the European Communities and Mexico;  Notification from
the Parties to the Agreement (W T/REG109/N/1 and WT/REG109/1).
[This report will be updated in order to reflect the work done by the Council at its
meeting of 15 November 2000.]
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