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WT/COMTD/LDC/M/90  
 
17 June 2021  
(21-4956) Page: 1/13 
Sub-Committee on Least Developed Countries  
Ninetieth Session    
 
 
NOTE ON THE MEETING OF 19 APRIL 2021  
Chairperson: Ambassador Monique T.G. Van Daalen (Netherlands)  
A. ADOPTION OF THE AGENDA  ................................ ................................ ....................  1 
B. FIFTH UN CONFERENCE ON THE LDCS (LDC5), DOHA, QATAR, 23 -27 JANUARY 
2022: BRIEFING ON PREPARATORY PROCESS BY THE UN OFFICE OF THE HIGH 
REPRESENTATIVE FOR THE LEAST DEVELOPED COUNTRIES, LANDLOCKED DEVELOPING 
COUNTRIES AND SMALL ISLAND DEVELOPING STATES (UN -OHRLLS)  .............................  1 
C. LEAST DEVELOPED COUNT RIES REPORT 2020 - PRODUCTIVE CAPACITIES FOR THE 
NEW DECADE: PRESENTATION BY THE UN CONFERENCE ON TRADE AND DEVELOPMENT 
(UNCTAD)  ................................ ................................ ................................ ........................  7 
D. MARKET ACCESS FOR LEAST DEVELOPED COUNTRIES: UPDATE BY THE 
SECRETARIAT ON RECENT TRENDS IN LDC TRADE  ................................ .........................  11 
E. OTHER BUSINESS  ................................ ................................ ................................ .. 13 
 
A. ADOPTION OF THE AGENDA  
1. Opening the meeting, the Chairperson  thanked  Members for re -electing her as the Chair of 
the Sub-Committee  on Least Developed Countries ( hereinafter the Sub -Committee ). She said that 
the agenda for the Ninetieth Session of the Sub -Committee was contained in document 
WTO/AIR/COMTD/LDC/ 17. 
2. The agenda was adopted . 
B. FIFTH UN CONFERENCE ON THE LDCS (LDC 5), DOHA, QATAR, 23 -27 JANUARY 2022: 
BRIEFING ON PREPARATORY PROCESS BY THE UN OFFICE OF THE HIGH REPRESENTATIVE 
FOR THE LEAST DEVELOPED COUNTRIES, LANDLOCKED DEVELOPING COUNTRIES AND 
SMALL ISLAND DEVELOPING STATES (UN -OHRLLS)  
3. The Chairperson  recalled that  preparations ha d begun for the LDC5 Conference which w ould 
take place in Doha, Qatar, from 23 to 27 January  2022. The LDC5 Conference was expected to adopt 
a new Programme of Action (PoA) for the LDCs as the successor to the Istanbul Programm e of Action 
(IPoA). Trade ha d been one of the priority areas in the IPoA with a view to enhancing LDCs ' 
integration in the global economy.  She welcomed the Under -Secretary -General and the High 
Representative for the Least Developed Countries, Landlocked De veloping Countries and Small 
Island Developing States , Ms Fekitamoeloa Katoa 'Utoikamanu , in the Su b-Committee . This 
demonstrated  the commitment of her office  as well as of the UN to promote the cause of the LDCs, 
especially at a time when the world  was going through an unprecedented crisis. She noted that 
UN-OHRLLS was  the focal point for the preparations for the LDC5 Conference . She  invite d the 
Under -Secretary -General  to brief Members on the preparatory process for this importance 
Conference . 
4. The UN Under -Secretary -General  said that international trade was central to the IPoA and was  
expected to remain a central theme of the next PoA for the LDCs for the decade 2022 -2031. She 
highlighted the critical importance of t he interaction with Members in the S ub-Committee on LDCs 
on the road to the LDC5  Conference, which  would take  place as the world was grappling with the WT/COMTD/LDC/M/90  
 
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  devastating impacts of the COVID -19 pandemic. She underlined that LDCs were affected severely 
and often disproportionately.  Prior to the pan demic, LDCs had already lagged in their implementation 
of the  IPoA as well as the  2030 Agenda.  COVID -19 ha d pushed all indicators backward  and 
threatened  the development prospects of LDCs , putting them at high risk of being left behind.  
5. She emphasized that the LDC5  Conference  was therefore  of added significance  and would 
likely be one of the most comprehensive development conferences of the decade. It was the shared 
opportunity of the international comm unity to develop an ambitious agenda together with the LDCs 
to build back better, enhance  resilience and get back on track to achieve the 2030 Agenda.  
6. She went on to note that, in-line with a UN General Assembly Resolution, the LDC5 Conference 
would be he ld at the level of Heads of States and Governments  and centr ed around four distinct 
mandates : (i) including a comprehensive appraisal of the implementation of the IPoA; (ii) looking at 
new and emerging challenges and opportunities; (iii) reaffirming a global commitment to addressing 
the special needs of LDCs; (iv) and mobilizing international support and formulate and adopt a 
renewed partnership for the LDCs. She also mentione d that the UN Secretary -General ha d already 
confirmed his participation.  
7. In leading the preparations, s he expressed  UN-OHRLLS 's commitm ent to ensur e that the 
challenges that the LDCs face d were well understood and brought to the attention of the global 
community. A comprehensive preparatory process ha d already been laid out at the national, regional 
and global levels. The strategic approach to the preparatory process consist ed of five inter -connected 
streams of work , i.e. (i) conferences and dialogues; (ii) reports and analytical works; 
(iii) inter-governmental support; (iv) host country affairs, and (v) advocacy and resource 
mobilization.  Beyond government s and international  agencies, the preparatory process included 
parliamentarians, private sector, academia, civil society , youth  and South -South partners . 
8. She said that several pre-conference events had already taken place on themes such as 
COVID -19, employment and decent work, food security, information and communication 
technologies ( ICT), industrialization, climate change, innovative finance, and broadband 
connectivity. The Organizational Session of the Intergovernmental Preparatory Committee 
(PrepCom) had been  held on 8  February 2021. The Permanent Representatives of Bangladesh and 
Canad a had been  elected as the Co -Chairs of the PrepCom  and would  facilitate the negotiations for 
the outcome document. The meeting had recorded issues such as the need to address the unfinished 
business of the IPoA, recovery from COVID -19, building resilience against multiple vulnerabilities, 
climate change, debt crises, structural transformation, productive capacity building, fostering 
international trade, graduation and digitalization.  
9. She said that discussions at the African Regional Review meeting , held on 
22-26 February  2021, had highlighted the extreme vulnerabilities of the LDCs and the need for a 
broad -based approach to build back better and enhanc e resilience against future shocks. It had also 
been stressed that a people -centred  approach was needed to eradicate poverty in the LDCs. 
The Political Declaration  of the Review,  negotiated by the LDCs  in Africa  and Haiti , called for a 
renewed partnership for sustainable development between the LDCs and their development 
partners. The Declaration had been adopted at the Economic Commission for Africa Conference of 
Ministers in March 2021 and was a key input into the LDC5 process es. 
10. She noted  that t he Asia -Pacific Regional Review Meeting was tentatively scheduled  in Dhaka , 
Bangladesh , from 28 June  to 2 July 2021. The focus of the meeting would be on graduation as nine 
out of eleven  LDCs in the Asia-Pacific were in the graduation pipeline. Furthermore , the Review 
would undertake a comprehensive appraisal of the implementation of the IPoA and discuss best 
practices and lessons learned , as well as challenges  encountered in the context of the COVID -19 
pandemic.  The Review was expected to agree on a Ministerial Declaration and generate  political 
momentum for global partnerships to make graduation sustainable and a stepping -stone to achieve 
the Sustainable Development Goals ( SDGs ).  
11. She mentioned that further events included : (i) a special United Nations Economic and Social 
Council ( ECOS OC) meeting on 23 April 2021 on "Financing a resilient recovery from cascading effects 
of COVID -19 in LDCs and LLDCs",  (ii) a Joint General Assembly and ECOSOC event on "Accelerated 
implementation of the 2030 Agenda in LDCs to leave no one behind in the co ntext of COVID -19" on WT/COMTD/LDC/M/90  
 
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  18 June 2021, and (iii) an Academic Conference "LDC Future Forum" in Helsinki, Finland, from 
30 August  to 1 September 2021.   
12. She went on to say that t he First Session of the PrepCom w ould be held from 24  to 28 May 
2021 and cover  six interactive thematic discussions : (i) investing in people in LDCs  by eradicating 
poverty and building capacity to leave no one behind ; (ii) s tructural transformation as a driver of 
prosperity ; (iii) l everaging the power of science, technolog y, and innovation to fight against 
multidimensional vulnerabilities and to achieve the SDGs ; (iv) e nhancing international trade of LDCs 
and regional integration ; (v) s upporting our climate, recovery from COVID -19 pandemic, and 
building a resilient society against future shocks ; (vi) m obilizing international solidarity, 
reinvigorated global partnerships and innovative tools for risk -informed sustainable development - 
a march towards sustainable graduation .  
13. She noted  that negotiations on the next PoA would t ake place in the Second Session of the 
PrepCom from  26 to 30 July 2021 , based on a zero draft to be prepared by the UN Group of LDCs, 
which was expected to be submitted through the G roup of 77 (G-77) in June 2021. After the 
Second  Session, i nformal consultations w ould continue  towards finalizing  the draft outcome 
document.  
14. She went on to say  that t o fully engage UN entities and to ensure coordination and coherence, 
UN-OHRLLS ha d convened five Inter-Agency Consultative Group (IACG) meetings where mor e than 
40 agencies were represented. The next meeting of the IACG  would be held on 20 April 2021, with 
UN Deputy  Secretary -General Amina Mohammed being expected to address the Group. She thanked 
WTO for attending all IACG meetings and making important cont ributions to the discussions . 
15. Regarding analytical work , she said that UN-OHRLLS had undert aken substantive work on the 
implementation of the IPoA and various thematic  priority  areas of LDCs. She noted that 28 LDCs 
had already submitted their national reports ; a summary report ha d been prepared , which 
synthesized  lessons learned and best practices in the implementation of IPoA , highlighted challenges 
as well as success stories , and outline d ways forward to overcome challenges.  UN-OHRLLS ha d 
furthermore prepared a report on UN system support for the implementation of the IPoA , highlight ing 
the need to address the persistent structural challenges and vulnerabilities of LDCs.  
16. She also said that  UN-OHRLLS had just finalized the Report of the Secretary -General on the 
implementation of the IPoA over the past decade. The Report highlighted  the continued importance 
of structural transformation and building resilience , as well as  the need to harness  the potential of 
new technologies and narrow  the digital divide. This  was key not only for economic progress , but 
also for enhancing environmental sustainability as well as social inclusion. The emphasis of the IPoA 
on a strong governance system remain ed critical, including the importance of building strong 
institutions.  She also mentioned that t he forthcoming  UN-OHRLLS flagship report "State of the Least 
Developed Countries 2021 " would focus on building back better in response to COVID -19.  
17. Regarding intergovernmental support , she highlighted that UN-OHRLLS provide d substantive  
support to LDCs  in preparation of conferences, meetings and negotiations , as well as  through 
monthly meetings between the Chair of the LDC Group and the Director of UN-OHRLLS.  As the 
High Representative, s he herself  held coordination meetings with the LDCs on a quarterly basis to 
update on the preparations for the LDC5  Conference  and other activities.  She thank ed the host 
country Qatar , including for its generous support for the preparations and the partici pation of LDCs 
in the Conference.  
18. Regarding advocacy, communications and resource mobilization , she underlined t he objective 
to ensure visibility  of the LDC5 Conference  on the international calendar , to secure the highest level 
of attendance , and to hold attendees accountable to decisions taken. This include d building 
partnerships, including with global creative partners, rais ing awareness and building multimedia 
experiences in Doha, including a digital music festival, a storytelling installation and a photography 
exhibition. She also mentioned that the LDC5  Conference  would mark the 50th anniversary of the 
establishment of the LDC  Group . 
19. She went on to say that  the LDC5 Conference w ould comprise high -level plenary meetings 
and parallel thematic roundt ables. Agencies and other stakeholders w ould have the opportunity to 
organize side events on their thematic areas of interest. The UN Secretary -General w ould convene WT/COMTD/LDC/M/90  
 
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  a UN systemwide meeting at the principals ' level on the side -lines of the Conference. She stressed 
that the LDC5 Conference provide d an extraordinary opportunity  to chart -out a new global action 
agenda for  the LDCs.  The new PoA should come up with a concrete action agenda that c ould enable  
the LDCs to fully harness the potentials offered by international trade.  
20. She concluded by inviting Members  to attend the LDC5 Conference and its preparatory 
activities. Member's active participation in the preparatory process w ould enrich the next 
decade -long PoA for the LDCs. She called on Members to work together to make the 
LDC5  Conference a turning point for the peoples of the LDCs.  
21. The representative of Chad, on behalf of the LDC Group , thank ed the Under -Secretary -General 
for the comprehensive  briefing  on the preparations for the LDC5  Conference . He said that the new 
decade had to  be conducive to economic and social progress in  the LDCs in order to help them 
overcome poverty.  The next PoA would have to  focus on large -scale action aimed at the technological 
development  and digitalization of the  LDCs' economies to enhance their entrepreneurial capacity a s 
well as trade in goods and services.  He said that t he COVID -19 pandemic had shown the importance 
of ICT infrastructur e in ensuring the continuity of economic activity when  the movement of 
individuals  had been  restricted.  
22. He said that t he SDGs  remain ed a compass to guide the new PoA  over the next decade, while 
a critical analysis  would be carried out  of the achievements a nd challenges faced by the LDCs over 
the past decade.  In drawing up the new PoA, it was  importan t to take into consideration and draw 
lessons from the exceptional context of the current global health and economic crises. This was 
required to prepare  a new PoA that was tailored, specific and  as ambitious as possible.  He expressed 
interest to learn more about the partnership between the  UN and the WTO to ensure that the 
LDC's trade  priorities w ould feature  prominent ly at the  LDC5 Conference.  He also was interested to 
obtain more detail on the Regional Review Meetings  given their importance in the preparatory 
process .  
23. The representative of Cambodia  underlined the importance of adopting an ambitious new PoA 
for the LDCs at the LDC5  Conference , which  would coincide with  the last decade of the 2030 Agenda. 
After a comprehensive review of the implementation of the IPoA, she expected the international 
community  to agree on a renewed partnership between  the LDCs and their development partners to 
overcome structural challenges  and poverty, achieve internationally agreed development goals and  
enable graduation from the LDC category. She noted that Cambodia was looking forward to 
participating in the preparatory process a s well as the LDC5 Conference.  
24. The representative of  the United States  welcomed the briefing by the 
Under -Secretary -General . She expressed appreciation  that preparation s had begun for the 
LDC5  Conference which would provide further insights into the state of  LDCs. 
25. The representative of Niger  said that the COVID -19 pandemic had added to the vulnerab ilities 
of the LDCs and  affected  their progress towards achiev ing the SDGs. He commended the 
organization of meetings in the context of the LDC5 Conference, including on  investment , structural 
transformation and the strengthening of partnerships. He noted that the global objective of enabling 
half of the LDCs to graduat e from LDC status had not been achieved. As the overwhelming majority 
of LDCs were depend ent on foreign aid,  he asked whether  any specific provisions were envisaged 
with regard  to the strengthening of international solidarity and the reinvigoration of global 
partnerships to ensure that the category of LDC countries would cease to exis t at the end of the next 
PoA. 
26. The representative of the United Kingdom  said that the LDC5 Conference  was being prepared  
at a critical moment to assess the impact of the COVID -19 crisis on LDC s' development trajectories , 
including  the S DGs. The new programme framework between LDCs and partner countries should 
ensure sustainable, inclusive and green recovery. She said that the United  Kingdom was  committed 
to collaborat e closely with the LDCs to deliver an ambitious outcome. She stressed that the  new PoA 
would need to consider the new emerging priorities including the recovery from C OVID -19, access 
to vaccines, food security, digital d ivide as well as humanitarian and climate cris es.  
27. She also underlined  the need to reassess approaches to graduation from the LDC category to 
ensure that mechanism s were fit for purpose  and support governments in the long -term. She said WT/COMTD/LDC/M/90  
 
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  that the United Kingdom  looked forward to engaging in the process towards the LDC5  Conference  
and to s upport UN-OHRLLS and the Government of Qatar in their preparation s. She concluded by 
welcoming possible guidance from the Under -Secretary -General on how development partners 
should best contribute input s ahead of the negotiations  on the outcome document.  
28. The representative of Nepal  associate d his delegation  with the statement delivered by Chad 
on behalf of the LDC Group. He commended i nitiatives taken by the UN to support  the sustainable 
graduation of  LDCs and expressed appreciation for UN-OHRLLS for engaging development partners 
in the implementation of PoAs for LDCs as well as for leading the preparations on the LDC5 
Conference . 
29. He highlighted the importance of support from development partners to help the LDCs a chieve 
the global targets of both LDC graduation and SDGs . He stressed the severe impact of the pandemic 
on LDCs, with r ecovery of LDC economies being  almost impossible without additional support 
measures from donors and international organizations. Otherwise, the SDG commitment of "leaving 
no one behind " would remain meaningless. He stressed the urgency of  assisting  all LDCs to make 
progress towards graduation through robust support mechanism s.  
30. He went on to say that s ustainable and inclusive trade  constitute d a critical pillar for the 
socio-economic development of all WTO Members , including the LDCs. However, graduated LDCs 
would lose  access to a wide range of international support measures  (ISMs) , which might  widen the  
development gap if sufficient support was not provided to sustain gradu ation. In this regard, he 
called for the recognition of the globally accepted principle of "smooth transition ", and the 
continuation of support measures for a longer transition period. He highlighted the critical 
importance of duty-free quota -free (DFQF) market access, preferential rules of origin and other 
trade -related facilities  for LDCs to sustain their export s in destination markets.  
31. He underlined the need to assess the implementation of the IPoA and design a more 
result s-focused global roadmap at the LDC5 Conference with a view to enabling all LDCs to graduate 
and sustain their graduation through enhanced level s of development cooperation , including 
meaningful trade -related support measures. It was crucial that this global  roadmap  would  focus on 
enhancing export competitiveness and productive capacity  in LDCs , as well as sustaining their export 
performance after graduation.  
32. The representative of Vanuatu  recalled that Vanuatu had recently graduated from LDC status . 
He assoc iated his delegation with the statement made by Chad  on behalf of the LDC Group. He said 
that Vanuatu was in the process of transition but looked forward to the LDC 5 Conference . He called 
on the international communit y to keep supporting LD Cs as well as  graduating LDC s and to adopt a  
strengthened new PoA  at the LDC5 Conference .  
33. The representative of the European Union  thank ed the Under -Secretar y-General  for the timely 
briefing on the road to the LDC5 Conference. She sa id that the European Union and its member  
states were strong support ers of the LDCs both as development partners and as trading partner s. 
The European Union had been  the top destination for LDC exports.  In respon ding to the  COVID -19 
crisis, Team  Europe 's interventions and support to the COVID -19 Vaccines Global Access ( COVA X) 
Facility had given priority to LDCs. She reiterate d the European Union 's commitment to accompany 
the LDCs towards recovering better and greener from the impact of the C OVID -19 pandemic a s well 
as to meeting the SDGs  and the goals of the Paris  Agreement.  The European Union looked  forward 
to engaging in the preparation s for the LDC5 Conference as well as to the adoption of a  new PoA for 
the LDCs .  
34. The representative of Bangladesh  associated his delegation with the statement made by Chad 
on behalf of the LDC Group . He noted that the LDC Group ha d made a number of  submissions  in the 
WTO, including with regard to possible permanent exemptions from  TRIPS obligations for LDCs as 
well as with regard to a transition mechanism for graduating LDCs. He said that the LDCs 
furthermore needed support in other areas such as  DFQF market access and  preferential rules of 
origin. He request ed Members to favourably  consider those LDC submissions , as well as the 
agreement -specific proposals on special and differential treatment submitted by the G90 . 
35. The representative of the  United Nations Industrial Development Organization ( UNIDO ) 
thanked the  Under -Secretary -General for the timely briefing on the LDC5 Conference. He said that WT/COMTD/LDC/M/90  
 
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  UN-OHRLLS  was a long-standing partner of UNIDO in accelerating the implementation of the PoA for 
LDCs, and the co -organizer of the UNIDO Ministerial Conferences of the LD Cs. He noted  that UNIDO 
had been  actively engaged in the LDC5 preparatory process , working with Member States at the 
African Regional Review Meeting , and  organiz ing side events at the  53rd Session of the Economic 
Commission for Africa and the WTO Aid -for-Trade Stocktaking Event held from 23 to 25  March 2021 . 
These events had underscored the importance of building a resilient manufacturing sector, with 
UNIDO 's Programme for Country Partnership (PCP) model being identified as an effective way of 
supporting countries towards that goal.  
36. He said that UNIDO ha d reviewed the implementation of its 2012 -2020 Operational Strategy 
for LDCs  in the run -up to the LDC5  Conference ; a copy of the preliminary findings had been  shared 
with UN -OHRLLS . He hoped  that some of the conclusions w ould feed into the formulation of the next 
PoA, especially in light of LDCs' lacklustre  progress towards SDG  9 as well as  the impact  of the 
COVID -19 pa ndemic on the ir manufacturing sectors. He said that UNIDO look ed forward to 
continuing its cooperation with UN -OHRLLS in the preparatory process for the  LDC5 Conference , and 
that UNIDO field offices stood  ready to support Member States in the LDC5 national  processes.  
37. The UN Under -Secretary -General  expressed appreciation for Members'  interventions and 
support. She  underlined the strong partnership between UN-OHRLLS and WTO which ensured that 
LDC issues were discussed in a prominent manner . This include d regular interactions through the 
IACG, briefings of respective constituencies and collaboration on events . WTO had also provid ed 
substantive contributions  to the Secretary -General's report on the IPoA  and the UN systems best 
practice report . She recalled that the  First Session of the PrepCom  would provide an opportunity to 
chart-out a new action agenda in the area of trade for the LDCs.   
38. She said that the African Regional Review meeting had a focus on trade issues  and the 
Political  Declaration  made a strong call for the implementation of WTO Ministerial Decision s on LDCs. 
The Asia-Pacific Review was  also expected to come up with concrete recommendations on how to 
exploit the  potential of trade as an engine of growth and development.  She also expressed 
confidence that Members would give due consideration to proposals submitted by the LDCs in the 
WTO.  
39. She continued by saying that even though  the target on graduation in the IPoA had not been 
fully achieved, good progress had been made by a number of LDCs in moving towards graduation. 
While only two LDCs had graduated between the creation of the LDC categ ory and 2010, four LDCs 
had graduated in the last decade, namely  Maldives (2011), Samoa (2014), Equatorial Guinea (2017)  
and Vanuatu (2020). In addition , 16 LDCs were currently at different stages of the graduation 
process . At the Triennial Review of the UN Committee for Development Policy (CDP) in 
February  2021, five LDCs (Cambodia, Comoros, Djibouti, Senegal and Zambia ) had met the 
graduation criteria for the first  time.  
40. She highlighted  that enormous challenges could be faced by  graduated countries . It was 
expected that the LDC5 Conference would  come up with a package of support measures for LDCs 
with regard to graduation . She also said that UN-OHRLLS was leading an inter -agency task force on 
LDC graduation to support graduating LDCs, including with the development of smooth transition 
strategies and to ensure that graduation would be  sustainable . 
41. She underlined the importance of  mobili zing different sources of finance to strengthen  
international support for LDCs.  Discussions were ongoing regarding innovative sources of financing, 
including blended finance.  She also mentioned that t he UN LDC Group had  called for a 
comprehensive debt relief  as more than half of the LDCs were  either in debt distress or at  high risk 
of debt distress.  
 
42. Thanking Members  for their commitment to the preparatory process , she  underlined the 
importance of active engagement by development partners in the PrepCom . She said that the  Friends 
of LDC Group , chaired by Austria  and Turkey , provide d the opportunity for informal engagement 
between LDCs and their  development partners , and that  a retreat was being planned.  She also 
expressed appreciation for UNIDO's active participation in inter -agency meetings a nd inputs to the 
preparatory proc ess for the LDC5 Conference .  WT/COMTD/LDC/M/90  
 
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  43. The Chairperson  express ed her appreciation  to the Under -Secretary -General for the briefing , 
and thank ed Members for their statements. She said that the LDC5  Conference  would  be a vital 
occasion to renew support and cooperation for the world's most vulnerable countries. The pandemic 
had caused major socio -economic setbacks in the LDCs. Progress at the WTO, in particular on issues 
of interest to the LDCs, was important to stren gthen the role of trade as key enabler of inclusive 
economic growth in the LDCs. She hoped that measures considered in the area of trade remain ed 
responsive to the specific needs and priorities of LDCs  and looked  forward to a successful 
LDC5  Conference.  She suggest ed that the Sub -Committee take note of the briefing provided by the 
Under -Secretary -General, as well as the statements made.  
44. It was so agreed . 
C. LEAST DEVELOPED COUNTRIES REPORT 2020 - PRODUCTIVE CAPACITIES FOR THE 
NEW DECADE: PRESENTATION BY THE UN  CONFERENCE ON TRADE AND DEVELOPMENT 
(UNCTAD)  
45. The Chairperson  said that the LDC Report was an annual flagship publication  of the UNCTAD. 
The 2020 Report focuse d on productive capacities which ha d been a recurrent theme in the discourse 
on structural transformation in LDCs. She noted that UNCTAD's  presentation would first cover the 
main points of the LDC Report 2020 , and then  its new Productive Capacities Index  (PCI), which 
formed the basis for the analysis carried out in the Report. She invited the representatives of 
UNCTAD  from the  Division for Africa, LDCs and Special Programmes  to provide the presentation.  
46. The representative of UNCTAD  (Chief, LDC Section) said that the LDC Report 2020 had the 
objective to serve as an input to the LDC5 preparatory process. Regarding the COVID -19 crisis in 
LDCs, he said that the health impact on LDCs , as a whole,  had so far been less extreme  than feared 
given their weak healt h systems. LDCs had shown innovative production and policy mechanisms in 
the health sector, and those with more developed productive and institutional capacities had been 
better equipped  to put in place effective measures to combat the pandemic.  For instan ce, Senegal 
had been able to produce rapid and cheap COVID -19 testing kids, and Bangladesh ha d repurpose d 
part of its manufacturing capacity for the production of personal protective equipment.  
47. He underlined the severe economic and social impacts of the crisis, with the LDCs suffer ing 
their worst economic performance in 30 years and  a 35% increase  of people living in extreme poverty 
to an estimate d 377 million people. This had the lasting consequence of the SDGs bec oming  a more 
distant prospect.   
48. He went on to say that the UNCTAD had been a long -standing advocate of  the importance of 
productive capacities  for LDCs to reach their development goals. Productive capacities in UNCTAD's 
analysis were viewed as productive resour ces, entrepreneurial capabilities, including technological 
capabilities , and production linkages  which determined a country's capacity to produce goods and 
services. Therefore, productive capacities  enable d a country to grow and develop to reach 
sustainabl e development. The development of productive capacit ies would lead to  structural 
transformation of  econom ies. Structural transformation consisted in the transfer of productive 
resources  (labour, technology , capital , and natural resources ) from low -productiv ity to 
high-productivity activities . 
49. He expressed concern that over the past two  decades only a few LDCs (e.g. Bangladesh, 
Cambodia, Ethiopia, Lao  People's Democratic Republic , Myanmar, Nepal  and Rwanda ) had 
experi enced some degree of structural transformation towards  industry and modern service sectors , 
which had been accompanied by  increasing labour  productivity. In the large majority of LDCs 
traditional agriculture and services  continued to be the predominant economic activities . The low 
labour productivity in these activities prevented  living standards to rise . He also noted that w eak 
productive capacities and limited structural transformation in LDCs  had resulted in a divergen ce of 
income levels.  While  the average  income level of other developing countries had been less than 
double the average income of LDCs  in 1970 , it had be en almost six times higher in 2018 . 
50. He continued by elaborating on the need to transition to the digital economy in the new 
decade . Digital technologies would strongly influence the development of future productive 
capacities. He said that new technologies and innovations since  the early 2000s  had raised hopes of 
technological leapfrogging in LDCs and clos ing the technological gap with other countries. However, WT/COMTD/LDC/M/90  
 
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  while there had been rapid diffusion of access to mobile phones in LDCs, the generalized uptake of 
advanced technologies by producers in agriculture, industry and services was still incipient. 
The reasons for why firms in LDCs had  not yet embarked on the Fourth  Industrial Revolution included 
the fact that enterprise learning and skills acquisition w ere costly and sequential . Insufficient skills , 
inadequate infrastructure s, and a lack of accumulated technological capabilit ies did no t allow LDCs 
to reap the benefits from previous industrial revolutions.  
51. He went on to outline policy priorities for LDCs to develop productive capacities in the new 
decade. He said that countercyclical policies were required to  cushion the impact of the COVID -19 
crisis. While LDCs had taken countercyclical measures, their policy response s had been constrained 
by a lack of fiscal space . In the middle to long -term, the LDCs required an investment push to 
address long -standing  infrastructur al gaps (e.g. electricity, transport, as well as ICTs) and support 
employment creation given their fast labour for ce growth.  A third policy priority was to adopt 
forward -looking science, technology and innovation (STI) policies, including in terms of education 
and training.  
52. He went on to highlight the importance of bold industrial and sectoral policies to bring about 
structural transformation  through the promotion of domestic valu e addition and the deepening of  
productive  linkages. Industrial  policies were important to build a solid manufacturing base , which 
had the capacity to generate technolog y spillovers  and complementary skills  that could be applied 
in other sectors. He also emphasized that industrialization needed to be sustainable and incorporate 
advanced technologies in line with the  Fourth  Industrial Revolution. The pandemic  had also 
highlighted the pivotal role of the  state, especially as a coordinator,  to steer the development path 
of economies . 
53. He said that ISMs in support of LDCs had so far only had modest concrete impacts in fostering 
productive capacities and structural transformation. He underlined  the need to devise  a new 
generation of ISMs for LDCs , which  took into account the new realities  and were coherent and 
complementary , especially  in the fields of technolo gy, trade and finance. Particularly important was 
to strengthen  the technological capabilities of enterprises and to reduce the technological divide  
between LDCs  and other countries.  
54. He concluded by highlighting the importance of strengthening the global partnership in support 
of LDCs at the LDC5 Conference, going beyond the commitment to "leave  no one behind " included 
in the 2030 Agenda . Addressing the most stressing development chall enges in LDCs was an 
investment in systemic resilience  as it would pre -empt crises and instabilities in LDCs and related 
effects on other countries. In this respect, the preparatory process for the LDC5 Conference was  
crucial as it signal led the engagement  of the international community with the  LDCs, and the need 
to come up with more effective support measures.  
55. The representative of UNCTAD  (Chief, Landlocked Developing Country  Section)  said that 
UNCTAD's PCI had  been launched  in February 2021 after a thorough vetting by experts and testing 
in pilot countries. He underlined that productive capacities were key to unlock binding structural 
constrain ts as well as to address growth paradoxes in the LDCs' economies.  While LDCs had 
experienced ec onomic growth, this had not resulted in the desired structural change, with poverty 
and joblessness remain ing high. M any LDCs found themselves in low er and middle -income traps , 
even after graduation from LDC status.  He emphasized that  that productive capac ity building, based 
on both domestic and global policies, were central to creat e competitive sectors with diversified 
exports, generate employment , enhance industrialization  and fo ster structural transformation.  
56. He went on to say that the PCI was a multidimensional  index  which was composed of 
eight categories and 46 indicators. It helped to measure economywide productive capacities, assess 
the degree of structural transformation and benchmark productive capacity a cross 193 economies. 
He said that the index was a diagnostic tool to : (i) guide evidence -based policy formulation and 
implementation, (ii) to place productive capacities at the centre of domestic policies and global 
partnerships, and (iii) to track socioec onomic progress vis -à-vis domestic objectives and global 
frameworks such as the SDGs.  
57. He noted  that the PCI 's eight categories included : (i) human capital ( six sub-indicators) ; 
(ii) natural capital ( five sub -indicators ); (iii) institutions ( six sub-indicators ); (iv) energy 
(six sub-indicators ); (v) transport infrastructure ( five sub -indicators) ; (vi) ICT (five sub -indicators ); WT/COMTD/LDC/M/90  
 
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  (vii) private sector ( nine sub -indicators ); and (viii) structural change ( four sub -indicators ). 
He pointed to the gap in the PCI between LDCs and other developing and developed countries. LDCs 
that were on the path of graduation from the LDC category had a higher PCI than other LDCs. 
The average PCI of graduated countries was above that of LDCs, but still had not reached the  
average PCI of developing countries. He highlighted the importance of the PCI for monitoring the 
development of graduated countries and to measure  progress in the implementation of the next PoA 
for the LDCs .  
58. He went on to say that say that the LDCs were lagging behind other countries in all indicators 
except for natural  capital. The gaps were particularly large in human capital, ICTs, energy, structural 
change as well as in  institutions . He regretted that the LDCs' abundanc e in natural capital had not 
been captured in the transformation of human capital  (education, health  and nutrition) . He 
mentioned that the underperformance in terms of human capital had ramifications for the quality of 
policies during the COVID -19 crisis a nd for subsequent recovery, while the gap in ICT explained the 
difficulties faced by LDCs in embracing the  Fourth  Industrial Revolution. He pointed to the need to 
move towards new policy narratives, with appropriate policies and institutions foster ing productive 
capacities and structural transformation of LDC economies.  
59. He highlighted the possibility to use the PCI for country -specific productive capacities gap 
assessments (PCGA). He noted  that the UN CDP, the body responsible for recommending LDCs for 
graduation, had already requested UNCTAD to embed the PCGA in its work related to 
LDC graduation. He underlined that the PCI could help with the realignment of ISMs for the next PoA 
by identi fying sectors of comparative advantage and binding constraints to development . This would 
help with the design and targeting of domestic interventions , donor  support, special and differential 
treatment and market access.  
60. He concluded by saying that : (i) the LDCs ' low PCI scores meant that their economies were 
weak and vulnerable to shocks ; (ii) policy outcomes were not enough to have a dent on 
socio-economic challenges ; (iii) the extraction of natural resources and commodity -driven growth 
had failed to deliver promises ; (iv) and fragmented interventions could not unlock binding 
development constraint s. Repeating business as usual was no longer an option . He highlighted the 
importance of  a new generation of policies and the need for the LDC5 Conference to provide a 
framework for fostering economy -wide productive capacities in LDCs.  
61. The representative of Angola  thank ed the UNCTAD for the comprehensive presentation  and 
the Report.  She stressed that LDCs were suffering disastrous economic consequences arising from  
the COVID -19 pandemic.  To address the pre -existing economic conditions that had left LDCs  
disproportionately vulnerable to the effects of the global pandemic, the LD Cs needed an action plan 
focused on developing productive capacities for their successful structural transformation.  
The LDC Report 2020 demonstrate d the dire situation of LDCs and alerted  the international 
community about the difficulties LDCs would continue to face if there were no clear commitments 
aimed at addressing the ir main challenges to allow them to make progress  towards meeting the 
SDGs.  
62. She said that  the health crisis generated by the COVID -19 pandemic had been exacerbating 
the weak socio -economic structures and productive capacities in the LDCs. The LDCs  needed to 
revise their economic development strategies, including the ir domestic  economic policie s, to achieve 
sustainable structural transformation and high productive capacity that w ould lead to an inclusive, 
sustainable and resilient economic growth aligned with the SDGs.  LDCs, particularly those with a 
high export concentration in one commodity li ke Angola, should use their high natural capital income 
for socio-economic transformation, including investments in industrialization , economic 
diversification , human capital and ICT. She said that the  PCI could help with the  formulation of 
LDCs' national policies  to increas e their  productive capacities that were key for resilience building, 
inclusive growth, and development, in particular when properly supported through assistance by 
develop ment partners.  
63. The representative of Chad, on behalf of the LDC Group , thanked UNCTAD for the presentation 
and expressed appreciation for the LDC Report  2020. He said that the  development of productive 
capacities was vital for the LDCs to create jobs  and modernize their economi es. Together with  the 
streamlining of processes for trade in goods and services , it would be important for increas ing the 
LDCs' attractiveness to  foreign investment and  improving  access to finance for small and 
medium -sized enterprises , both in terms of internal  financing as well as through the banking system . WT/COMTD/LDC/M/90  
 
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  The development of the LDCs'  productive capacities w ould also foster a climate of trust and a positive 
business environment , allowing LDCs to envisage the future  more confidently  at the domestic level 
and with external  partners.  
64. He highlighted that LDCs were severely  affected by the COVID -19 crisis  and required the 
support by the international community to  emerge more resilient from this situation. He expressed 
concern that the LDCs risked losing years of hard-won progr ess. Global cooperation was vital to help 
the most vulnerable countries so as to not further unsettle the ongoing crisis.  He said that t he LDC s 
intend ed to make every effort to use existing leverage to increase their productive capacities and 
diversify their activities. In this endeavour, he called on development partners to continue support ing 
the LDCs and  work with them constructively to achieve win -win outcomes.  
65. Referring to UNCTAD's LDC Report  2020, he noted the severe impact experienced by the LDCs 
because of the COVID -19 pandemic.  The number of people living in extreme poverty in LDCs was 
expected to increase by 32 million  to reach  377 million  (35% o f population). He also noted the 
inadequate access to health in LDCs, which had three medical doctors per 10,000 inhabitants 
compared to 14 and 31 medical doctors in other developing and developed countries, respectively. 
He concluded by expressing interes t to learn more about digital divides within LDCs  including a 
gender gap in access to the internet , the implications of the fast demographic growth in LDCs for 
their economic development, as well as opportunities created by the African Continental Free Tra de 
Area (AfCFTA) . 
66. The representative of Cambodia  thank ed UNCTAD  for th e comprehensive presentation on the 
LDC Report 2020 and its new  PCI. She noted that the COVID -19 pandemic ha d affect ed LDCs  not 
only in terms of health but also in other areas,  reversing some of the progress that had been made 
towards the SDGs  and possibly leading to long -term consequences . She called for  support from 
development partners  and the international community  to help LDCs recover  from the crisis , 
underlining  the import ance of t rade preferences , adequate financial resources and suitable policy 
space.  
67. The representative of Bangladesh  expressed appreciation for the work by UNCTAD  in support 
of LDCs . He noted that the LDCs' specialization in a few export products and their lack of structural 
transformation were main challenges for their development. He wondered whether  productive 
capacity implied production with less input, which could disadvantage LDC s with  product prices , and 
ultimate gains possibly being  reaped by  consumers in developed markets. Against this background, 
he expressed interest to learn more about the importance of productive capacity for LDCs and how 
to ensure that related benefit s accrued to the LDCs. 
68. He was  furthermore  interest ed to better understand the reasons for the LDCs not being able 
to develop the infrastructures, production capacities and policy frameworks necessary to further 
develop and graduate from LDC status. In this resp ect, he regretted that Article 66.2 of the 
TRIPS  Agreement had only a minimal impact on technology transfer from developed countries to 
LDCs. He asked how Article 66.2 could be better used to have  developed countries incentivi ze their 
enterprises  to transfer technology.  He also asked why Bangladesh was found to have a higher 
PCI score  than some developing countries such as  Nigeria . 
69. He went on to highlight  the importance of the LDC5 Conference. He said that in the WTO, his 
delegation was seeking to achieve an extension of ISMs  for graduating LDCs to allow for their smooth 
transition.  He agreed with the representative of Nepal that  the smooth transition prin ciple should be 
respected . He noted that the IPoA included the objective to enable half of the LDCs to meet the 
graduat ion criteria  by 2020. However, only four LDCs had graduated in the past decade  and a 
number of  LDCs were reluctant to graduate because of concerns related to the loss of ISMs . That 
was why the LDC Group had submitted proposals relating to smooth transition in the WTO.  
70. The representative of UNCTAD  (Chief, LDC Section) thanked Members  for their support to 
UNCTAD , mentioning  that LDCs  were at the heart of its work.  Referring to the intervention by the 
representative of Bangladesh, he said that the development of productive capacities and the use of 
more advanced  technologies would not necessarily lead to a reduction in prices  of LDC products that 
would benefit consumers rather than producers. Instead, it would allow the transition of production 
to higher value -added activities which would benefit producers in LDCs.  WT/COMTD/LDC/M/90  
 
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  71. He said that technology transfer  and the strengthening of tec hnological capabilities of LDCs  
were highly important  for their economic  growth and for achieving graduation. He agreed with the 
representative of Bangladesh that the provision on  technology  transfer in Article 66 .2 of the 
TRIPS  Agreement had not been very effective  so far . He mentioned that alternatives to achieve 
technology transfer  were available , in particular as m any technologies which were useful for LDCs  
would  no longer  be protect ed by patents or other intellectual property rights . Various  initiatives had 
been taken to facilitate  technology  transfer  to LDCs , including by the UNCTAD, the UN Technology 
Bank for LDCs  and at the bilateral level. In preparing for the LDC5 Conference, it was important to 
discuss how these initiatives  could be further exploited and scaled -up. He reiterated  the need for 
more effective ISMs in the area of technology upgrading and technology transfer.  
72. He went on to say that the issue of smooth transition was receiving increased attention by the 
international community as a growing number of LDCs were on the path of graduation. He recalled 
that there had been UN resolution s on the importance of smooth transition , calling on the 
international community to take proactive measures to support the LDCs in th e graduation  process . 
He noted that when LDCs met the graduation criteria for the first time, a graduation impact 
assessment and a vulnerability profile w ere prepared , providing LDCs with an in -depth analysis of 
their situation and how they could best prepare for graduation. In addition, UNCTAD and other 
international organizations had been taking  on new initiatives , had strengthened technical assistance 
and had intensified their continuous dialogue  with graduating LDCs  to help them better prepare for 
graduation . 
73. Referring to the intervention by the representative of Chad, he underlined the importance of 
providing the LDCs with support to strengthen their health systems to become more resilient for 
future health cris es. He highlighted the importance of  reduc ing the considerable digital divides within 
LDCs. This required strong political will and appropriate policies, such as rural development policies  
which integr ated infrastructure and technology  issues . He said that in order for the demographic  
development in LDCs to be a windfall, it was essential to develop productive capacities and to create 
jobs for the young generation. He concluded by saying that the AfCFTA would be important for 
developing  regional markets , which  were key for strengthening  economic diversification and building 
produ ctive capacities  in LDCs in Africa.  
74. The representative of UNCTAD  (Chief, LLDC Section) , referring  to the intervention of 
Bangladesh, explained that productiv e capacity was different from production capacity. Productive 
capacity was not about mass productio n, but about the upgrading of production  towards a more 
effective use of resources and higher value addition.  He said that Bangladesh had a higher PCI score 
compared to  Nigeria  due to its better performance in the areas of energy, human capital, structural 
transformation, and transport infrastructure . However, graduating LDCs such as Bangladesh were 
still in need of support  to further develop their productive capacities , which w as essential  for a 
smooth transition and to sustain the  momentum . 
75. The Chairperson  thank ed UNCTAD for the presentation, and Members for their statements.  
She said that UNCTAD's LDC Report 2020 and the presentation ha d highlighted the importance of 
building productive capacities in LDCs to better integrate into the global economy. The PCI could be 
a useful tool to help LDCs identify areas where improvements were most needed. A broad range of 
national and international e fforts were required to strengthen productive capacities in LDCs. In the 
area of trade, initiatives such as preferential market access for LDCs and aid -for-trade support were 
important elements of such efforts.  She suggest ed that the Sub -Committee take not e of the 
presentation provided by the UNCTAD, as well as the statements made.  
76. It was so agreed . 
D. MARKET ACCESS FOR LEAST DEVELOPED COUNTRIES: UPDATE BY THE SECRETARIAT 
ON RECENT TRENDS IN LDC TRADE  
77. The Chairperson  recall ed that at the last meeting on 11  November 2020, the Sub -Committee 
had considered the Secretariat Note titled "Market Access for Products and Services of Export 
Interest to LDCs" contained in document WT/COMTD/LDC/W/68. In the discussion of LDC trade in 
the first half of 2020, Members had underlined the importance  of continu ed monitoring of trade 
trends in LDCs, especially to assess their trade performance as the COVID -19 pandemic continued  WT/COMTD/LDC/M/90  
 
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  to pose formidable challenges for LDC economies. She invite d the Secretariat's Economic Research 
and Statistics Division (ERSD) to provide an update on the most recent trade data available for LDCs.  
78. The representative of the Secretariat  (ERSD ) said that the merchandise exports of LDCs had 
decreased  by 10.3%  in 2020 ( from USD 193 billion in 2019 to USD 173  billion ), a steeper decline 
compared to world merchandise exports  (-7.7%) . Merchandise imports of LDCs had declined by 
10.5%  in 2020  (from USD 276 billion  in 2019  to USD 247 billio n). The LDCs' share in world 
merchandise exports  had declined from 1.04% in  2019 to 1.01% in 2020, while their import share  
had declined from 1.47% 2019 to 1.42% in 2020.  
79. He went on to say that the merchandise trade deficit of LDCs had shrunk from USD  84 million 
in 2019 to USD  75 million in 2020, as imports had declined more than exports. LDC exporters of 
manufactures experienced the largest reduction in their trade deficit – from USD 42 million in 2019 
to USD 35 million in 2020. In contrast, LDC oil exporters moved from a USD 7 million trade surplus 
in 2019 to USD 2 million trade deficit  in 2020 .  
80. He noted  that in 2020, merchandise exports had dropped the most for LDC oil exporters 
(-28%), follow ed by LDCs with diversified/other exports ( -15%) and LDC exporters of manufactures 
(-8%). In contrast, LDC exporters of agriculture and non -fuel minerals had registered increases in 
exports of 4% and 7%, respectively.  He explained that the negative trade p erformance LDC oil 
exporters had been driven by a 30% drop in prices for fuels in 2020, while prices for other 
commodities saw only slight changes downwards (raw materials) and upwards (food and beverages, 
and metals and minerals).  
81. He went on to say that t he second quarter of 2020 had been the  most affected by the 
COVID -19 crisis , with  LDC merchandise exports  declin ing by 30%  year-on-year. While LDCs' exports 
of agricultural products had only declined by 9% , their exports of fuels and mining products , as well 
as manufactures  had declined by 41%  and 35%, respectively . LDC merchandise exports had partially 
recovered  in the third and fourth quarter , even though registering a decline  of 10% and 3%  
compared to the respective quarters  in 2019 . 
82. He said that  the trade impact of the pandemic had been uneven across LDCs ; 32 LDCs had 
experienced a sharp fall in exports while the other 14 LDCs had seen their exports increase in 2020. 
The decrease in merchandise exports had been steepest for Timor -Leste ( -72%), Tuvalu  (-70%), 
and South Sudan ( -43%), while Burkina Faso (+39%), the Democratic Republic of Congo (+33 %) 
and Ethiopia (+25% ) had registered the highest merchandise export growth in 2020. On the import 
side, 37 LDCs had experienced negative growth, wi th Haiti ( -34%), Angola ( -31%) and Yemen 
(-29%)  experiencing  the largest drops . 
83. He continued by saying that LDC exports of commercial services were estimated to ha ve 
plummeted 39% in the first three -quarters of 2020 , compared to a decline of 19% for  the rest of 
the world.  The drop in LDC services exports had been most severe in the second quarter ( -55%), 
with no significant recovery in the third quarter ( -50%). At the sector level, LDC travel exports , 
which accounted for around half of LDC services e xports,  had been hit hardest, declining by 88% 
year-on-year in the second quarter. In contrast, LDC exports of transport services as well as other 
business services had dropped by 31% and 18% in the second quarter, respectively. While 
merchandise trade had partly recovered in the second half of 2020, travel exports remained subdued 
due to travel restrictions imposed by countries to curb the spread of the pandemic.  
84. He went on to illustrate the steep declines in travel exports for LDCs in Africa and Asia  for 
which data were available. In the fourth quarter of 2020, travel exports had still been at an almost 
standstill in Angola, Lesotho, Rwanda and Madagascar; and down by more than 80% year-on-year 
for Mozambique , Tanzania and Zambia.  Similarly, i n Asia travel exports  had dropped by more than 
80% in the fourth quarter for a number of LDCs ( Cambodia, Lao People's Democratic Republic, 
Myanmar , Nepal, Solomon Islands  and Timor -Leste ). He explained that the drop in travel exports 
had a strong impact on overal l services exports as travel was the dominating export sector for a 
number of these LDCs.   
85. The representative of Chad, on behalf of the LDC Group , thanked  the Secretariat for the 
update . He said that m arket access for LDC products was a priority  issue for the LDCs  as it played 
an important role in  generating income and improving their participation in  international trade . He WT/COMTD/LDC/M/90  
 
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  expressed concern regarding the recent trend s in the LDCs'  exports , especially against the 
background of their low market share in world trade.  He underlined the importance of a global 
economic recovery and effective DFQF market  access , especially  to help the LDCs recoup from the 
ongoing crisis . It also require d the removal of variou s obstacles to the export s and movement of 
goods from LDCs to developed and developing country markets.  He concluded by saying that the 
LDC Group would continue to closely monitor and advocate  for improved market access for 
LDC products.  
86. The representative  of the Secretariat  (ERSD ) said that the development of LDC merchandise 
trade was broadly in line with world trade in 2020. However, due to the fall in prices of fuels and the 
LDCs' dependence on fuel exports, their merchandise exports had experienced a steeper declined 
compared to the rest of the world, further  decreas ing their share in world  merchandise exports . 
87. The Chairperson  thanked  the Secretariat for the update , and Members for their statements.  
She trusted that the discussion in the Sub-Committee  made an important contribution to enhance 
Members' understanding of the trade impact of the pandemic on LDCs. She said that t he trade of 
LDCs ha d been hit hard by the pandemic. Merchandise exports had dropped by more than 10% in 
2020, a steep er decline compared to world trade. Due to their dependence on travel exports, 
LDC services exports were estimated to have plummeted around 40% in the first three -quarters of 
2020, double the drop experienced by the rest of the world. While LDC merchandise exports had 
registered a partial recovery in the second half of 2020, the recovery in trade in travel services w ould 
remain uncertain until the pandemic abate d. She suggest ed that the Sub -Committee take note of 
the update provided by the Secretariat, as well as the statements made.  
88. It was so agreed . 
E. OTHER BUSINESS  
89. Since there were no suggestions for any item , the Chairperson  inform ed Members that the 
next meeting o f the Sub -Committee was tentatively scheduled for the first half of July 2021. 
The exact date w ould be communicated in due course.  
90. The meeting was adjourned . 
 
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