RESTRICTED  
  
WT/COMTD/LDC/M/85  
 
11 July  2019 
(19-4617) Page: 1/14 
Sub-Committee on Least Developed Countries  
Eighty -Fifth Session    
 
NOTE ON THE MEETING OF 25 MARCH  2019 
 Chairperson: Ambassador Monique  T.G. Van Daalen  (Netherlands)   
A. ADOPTION OF THE AGEN DA ................................ ................................ ....................  1 
B. MARKET ACCESS FOR LE AST DEVELOPED COUNTR IES ................................ .............  1 
(I) Market Access for Products and Services of Export Interest to Least Developed Countries 
(WT/COMT/LDC/W/66): Update by the Secretariat on Recent Trends in LDC Trade ......................  1 
(II) Everything -but-Arms (EBA) Preferences for the LDCs – Lessons Learnt and Way Forward: 
Briefing by the European Union  ................................ ................................ .............................  5 
C. TRADE -RELATED TECHNI CAL ASSISTANCE AND C APACITY -BUILDING  
INITIATIVES FOR LEAS T DEVELOPED COUNTRIE S ................................ ...........................  8 
(I) Update on the Enhanced Integrated Framework (EIF): Report by the EIF Executive 
Secretariat  ................................ ................................ ................................ .........................  8 
D. THIRD SOUTH -SOUTH DI ALOGUE ON LDCS AND D EVELOPMENT, HELD IN 
CHAVANNES -DE-BOGIS, SWITZERLAND, 7 DECEM BER 2018: REPORT BY THE 
COORDINATOR OF THE L DC GROUP  ................................ ................................ ...............  11 
E. LDC GROUP RETREAT HE LD IN MONTREUX, SWIT ZERLAND, 2 MARCH 201 9:  
REPORT BY THE COORDI NATOR OF THE LDC GRO UP ................................ ......................  12 
F. OTHER BUSINESS  ................................ ................................ ................................ .. 14 
 
 
A. ADOPTION OF THE AGENDA  
1. The Chairperson  said that the agenda for the Eighty -Fifth Session of the Sub -Committee on 
Least Developed Countries (hereinafter the Sub -Committee) was contained  in document 
WTO/AIR/COMTD/LDC/1 2/REV.1 . She mentioned that u nder "Other Business", the representat ive of  
the United Nations Industrial Development Organization ( UNIDO ) intended to  provide t he 
Sub-Committee with an update on UNIDO's work on the G20 Initiative on Supporting 
Industrialization in Africa and LDCs . 
2. The agenda was adopted . 
B. MARKET ACCESS FOR LEAST DEVELOPED COUN TRIES  
(I) Market Access for Products and Services of Export Interest to Least Developed Countries 
(WT/COMT/LDC/W/66): Update by the Secretariat on Recent Trends in LDC Trade  
3. The Chairperson  recall ed that at the previous  meeting in Octob er 2018, 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/66. She recalled that i n discussi ons of  
the Note, Members had welcomed the rebou nd in the exports of the LDCs in 2017, after three years 
of negative export growth. Members had also recogni zed the need for further progress.  As a 
follow -up, the Secretariat (Economic Research and Statistics Division (ERSD) ) would provide the 
Sub-Committe e with an update on recent trends in LDC trade as well as market access.  WT/COMTD/LDC/M/85  
 
- 2 - 
 
  4. The representative of the Secretariat  (International Trade Statistics Section, ERSD ) said that 
as official data for 2018 were still to be published, he would present preliminary trends in LDC trade 
for the first three quarters of 2018. He said that LDC exports of  all major products had shown a 
positive trend since 2015.  In the third quarter of 2018, LDC exports  of manufactures and fuels and 
mining products  had been 39% and 23% abo ve the level of the first quarter in 2015, respectively . 
In contrast, LDC e xports of agricultural products had declined in the  second and third quarter of 
2018, remaining only slightly above the level of the first quarter in 2015. He cautioned that these 
estimates were based on major traders' reported imports from LDCs and could still be revised.  
5. He went on to say that the  trend in  merchandise exports of the LDCs w as closely linked to the 
development of energy prices , particularly  for fuels and mining produ cts. Following a decline in prices 
for energy in 2016, prices had increased strongly in 2017 and 2018 . In 2018, energy prices had 
been 34% above the ir level in 2015. He noted that also prices for metals and minerals  (+23%) , 
precious metals  (+7%)  and food  (+2%)  had increased compared to 2015, while prices for 
agricultural products (-2%) and beverages ( -16%) had fallen below the ir 2015  levels.  
6. He said that LDC exports had increased by 18% in the first nine month s of 
2018 (January -September), compared to 12% export growth at the world level . He noted that it was 
likely that the LDCs would increase their share in world exports in 2018 if their strong export growth 
continued for the rest of the year.   
7. He continued by showing the top 20 importers from LDCs  in terms of growth rates  in the first 
three quarters of 2018. Compared to the same period in 2017, merchandise imports had increased 
the strongest for Portugal (+146%), Indonesia (+82%), Poland (+59%), Switzerland (+28%) and 
China (+27%). These increases in im ports were driven by mineral fuels, but import growth was also 
high for clothing ( Poland and Portugal ), gold (Switzerland), oil seeds (Indonesia), base metals 
(China) and copper (China and Indonesia).  
8. The representative of the Secretariat  (Market Access In telligence  Section, ERSD ) recalled that  
the Committee on Trade and Development (CTD) had agreed in 2010 to set up a Transparency 
Mechanism for Preferential Trade Arrangements (PTAs).  He noted that preference utilization referred 
to the utilization of a particular duty scheme . He explained that there were a number of reasons as 
to why a preference might not be utilized, including restrictive rules of origin, direct shipment rule 
or lack of awareness regarding the availability of preferences. He mentioned that work on this matter 
was also being conducted in the Committee on Rules of Origin (CRO) . 
9. He explained that imports could be classified according to five duty types . Products that were 
not covered by preferences c ould: i) enter duty free on a most favou red nation (MFN) basis , 
or  ii) enter under a positive MFN duty. In the case of products that were covered by preferences, 
imports c ould either : iii) use LDC-specific preferences, i v) use other preferences, or v) do not make 
use of preferences.  He said tha t the utilization rate was the ratio between imports that have 
benefitted from a n LDC duty scheme (iii) and those imports which were eligible for preferential 
treatment  under that duty scheme  (iii + iv + v).   
10. Giving the example of Australia, he said that a bout 21% of imports from LDCs entered 
Australia MFN duty free, 65% of imports from LDCs made use of LDC -specific preferences, 6% of 
imports enter ed under another preference scheme, mainly the South Pacific Regional Trade and 
Economic Cooperation Agreement (SPARTECA) for LDCs  in the Pacific , and another 7% of LDC 
exports d id not make use of the preferences granted. He said that  for a few preference -granting 
Members, a significant value of imports from LDCs were not covered by preferences and therefore 
subject to positive MFN duties.  He also mentioned that the United States  provided preferences under 
the Generalized S ystem  of Preferences ( GSP)-LDC scheme and the African Growth and Opportunity 
Act (AGOA), with the  latter being widely used.  
11. He went on to say that there was a varying degree of preference utilization across product 
categories . He gave the example of "fruits, vegetables and plants ", where about half of LDC exports 
were eligible to preferences but not b eing used by the LDCs. In the case of c otton , all LDC exports 
enter ed preference -granting markets duty free on an MFN basis.  He also pointed to differences in 
preference utilization expressed in shares or values. He noted that the product "sugars and 
confe ctionary " saw the highest share of imports that did not utilize preferences (78%), but it was 
not the most important product category in value terms (US$125 million). In contrast, "minerals WT/COMTD/LDC/M/85  
 
- 3 - 
 
  and metals " had a n underutilization of  only 14%, but this  correspo nded to more than US$2 billion 
of imports that did not utilize preferences despite being eligible.   
12. He summari zed that some US$8.7 billion of LDC exports had not made use of available 
preferences. The LDCs which had exported this amount in 2016 had paid around US$350 million of 
import duties which could have been avoided . He noted that further analysis of underutilization for 
country pairs and disaggregated sectors could help the LDCs in their efforts to increase the utilization 
of preferences availa ble to them.  
13. He concluded by noting that about half of preference -granting Members were submitting data 
to the Secretariat in fulfilment of the PTA Transparency Mechanism. He encouraged 
preference -granting Members to submit the data in line with the Trans parency Mechanism to 
improve the completeness and correctness of the analysis on preference utilization.  
14. The representative of the Central African Republic , on behalf of the LDC Group, thank ed the 
Secretariat for the report and the  update. He said that the  LDCs' ability to benefit fully from duty -free 
and quota -free (DFQF) market access , preferential rules of origin  and the LDC Services Waiver was 
of vital importance for enhancing their access to developed and developing markets and integration 
into world t rade. 
15. Referring to the Secretariat Note, he noted that the LDCs' share in world exports of goods and 
commercial services had stood at  0.9% in 2017 , while their share in world manufacturing exports 
had been  only 0.5% in 2017, a figure which ha d hardly changed since 2010.  He also noted that, 
despite recent progress, the LDCs had accounted for only 0.6% of world exports of commercial 
services in 2017.   
16. He went on to say that the low participation of  the LDCs in world trade reflected their 
difficulties in gaining access to the markets of developed and developing countries despite having 
been granted preferences . He expressed  the need for a detailed analysis of the reasons for the 
insufficient use of prefe rences so  that solutions c ould be found to ensure the best possible use of 
them. 
17. Referring to  the concentration of  LDCs in primary, unprocessed commodities, he highlighted 
the need to promote  their economic  diversification and to help them overcome obstacl es that 
hindered their  access to international markets. He stated that the LDCs needed adequate assistance 
and support from Members to achieve this . He concluded by saying that the LDC Group would 
continue its efforts and discussions with Members to develo p real momentum for improving their 
access to international market s. 
18. The representative of Nepal  associated h er delegation with the statement made by the Central 
African Republic on behalf of the LDC Group.  She thanked developed and developing Members for 
providing preferential market access to the products of LDCs , but regretted that the LDCs accounted 
for less than 1% of world exports, which was below the global target of doubling their export share . 
She emphasized the importance of identif ying the underl ying causes on a bilateral and case-by-case 
basis, as well as  the issues that would hamper  the full utilization of preferences  by LDCs .  
19. The representative of Cambodia  noted the increase in LDC exports in both merchandise and 
commercial services, but also that exports of agricultural products ha d decreased in recent years  
and that the use of trade preferences was still limited . He expressed appreciation that most of the 
developed Members accord ed either full or nearly full DFQF market access to LDC products and that 
a number of developing Members ha d expanded their DFQF coverage . He also welcomed  measures 
taken by Members to implement the provisions of the Nairobi Decisio n on Preferential Rules of Origin 
for LDCs. Since there had been no new notification on DFQF market access since the last Secretariat 
Note, he urged Members to fully implement and notify their preferences as mandated by Ministerial 
Decisions  in favour of L DCs. 
20. Regarding trade in services, he noted that the operationalization of the LDC Services Waiver 
continue d to remain a standing item on the agenda of the Council for Trade in Services. He urged 
Members to double their efforts to speedily move consultation s and implementation forward . He also 
encourage d Members to notify measures under the Waiver as there had been no new notification 
since the last report. He suggest ed that  the Secretariat could  conduct further analysis o f the 24 WT/COMTD/LDC/M/85  
 
- 4 - 
 
  notifications under the Service s Waiver as well as on trade preferences  in goods  to provide  advice 
to the  LDCs on how to reap the full benefits and increase the  utilization of the preferences available 
to them. He concluded by thanking Members for their implementation  of the Decisions o n DFQF  
market access , preferential rules of origin and the LDC Services Waiver .  
21. The representative of European Union  expressed appreciation for the work  undertaken by the 
Secretariat which  was important in the discussions on LDC market access , including rules of origin. 
She encourage d Members , which had not yet done so, to provide data on preference utilization to 
help with the further development of this work.  
22. The representative of Lao People's Democratic Republic  (Lao PDR)  thank ed the Secretariat for 
the update and associated his delegation with the statement made by the Central African Republic 
on behalf of the LDC Group . Regarding the issue of preference utilization, he suggested that the  
study could look at preference -granting Members  with large underutilization , assessing in more 
detail the possible reasons for the underutilization of preferences by the LDCs  such as stringent rules 
of origin.  
23. The representative of Senegal  thank ed the Secretariat  for the update and endorsed the 
statement made by the Central African Republic on behalf of the LDC Group . He said that there was 
a need for a deeper analysis of preference utilization. Noting that many products exported by LDCs 
were taxed despite being eligible to preferential treatment,  he suggested looking  in greater depth 
at the reasons for the underutilization of preferences so that this could be resolved where it occurred.  
24. He stressed that the exports of the LDCs to preference -granting markets were concentrated 
in a few products and  in a small number of exporting LDCs. This export concentration  could be linked 
to a shortage of productive capacity , rules of origin and other  non-tariff barriers. He called for a 
closer examination of these issues so that solution s could be found on how to further increase LDC 
exports . He stress ed the importance of Aid for Trade  being effective in strengthen ing the  productive 
capacity of developing countries and LDCs in particular. He believe d that greater efforts in this 
respect were  needed in the Sub -Committee and the CTD.  
25. The representative of the Russian Federatio n congratulated the Secretariat for t he in-depth  
analysis  and information provided, which represented valuable inputs to the work of the 
Sub-Committee.  
26. The representative of the United  State s express ed her appreciation for the Secretariat 's work 
in preparing the update. She said that  the information provided would provide  valuable  insight s in 
terms of market access for products and services for the LDCs.  
27. The representative of Burkina Faso associated himself with the statement made by the 
Central  African Republic on behalf of the LDC Group . He said that  trade preferences should be 
practical tools to help the LDCs enhanc e the industrialization, diversification and structural 
transformation of their economies.  He noted that despite the efforts being made by certain Members 
to provid e the LDCs with preferential market access, the LDCs nevertheless struggle d to make the 
best use of these preferen ces. He suggested t o complement the analysis of the Secretariat with a 
field survey  in LDCs , particularly with key export ing firms , to identify the reasons for the 
underutilization of preferences. This would allow for a more practical approach  and help with finding 
specific solutions.  
28. The representative of the Secretariat  (Market Access Intelligence  Section, ERSD ) noted the  
interest on the issue of preference utilization  and said that further analysis was required to identify 
the reaso ns for the underutilization of certain preferences . He mentioned that one could consider 
reach ing out to chambers of commerce to find out whether there was something intrinsic to a specific 
sector  which  hindered  the use of preferences.  
29. The Chairperson  took note of the comments made to conduct more detailed analysis on the 
issue of preference utilization. She said t hat the regular discussions in the Sub -Committee ma de an 
important contribution to enhance Members'  understanding of the market access conditions and 
other factors that shape d LDC trade.  She was  encourag ed to see that the positive trend of 2017 ha d 
continued in the first nine month s of 2018, where LDC exports ha d grown faster than world exports. 
She also noted that further improvements c ould be made in the utilization of preferences by the WT/COMTD/LDC/M/85  
 
- 5 - 
 
  LDCs.  She suggest ed that the Sub -Committee take note of the update provided by the Secretariat, 
as well as the statements made.  
30. It was so agreed . 
(II) Everything -but-Arms (EBA) Preferences for the LDCs – Lessons Learnt and Way Forward: 
Briefing by the European Union  
31. The Chairperson  said that the delegation of the European Union had requested to  brief 
Members on a recently completed mid -term evaluation of its GSP, including for EB A preferences. 
She underst ood that preparations were underway for the formulation of the next GSP regulation 
starting in 2024.  She invited the representative of the European Union ( Team Leader of the EBA 
team in the Directorate General for Trade of the Eur opean Commission ) to provide the 
Sub-Committee with the briefing  on the lessons learnt and the way forward regarding EBA 
preferences.  
32. The representative of the European Union  noted that the European Union 's GSP was a 
development tool, and not intended to benefit the European Union . The unilateral tariff preferences 
had the objectives to facilitate exports to the  European Union , attract investment to the beneficiary 
country , help countries  integrate into gl obal value chains , and promote human right s and  labour 
standards . 
33. He said that  the European Union 's GSP regulation covered three arrangements, namely the 
General Arrangement, the Special Incentive Arrangement for Sustainable Development and Good 
Governance  (GSP+), and the EBA initiative for the LDCs. While the General Arrangement provided 
a tariff cut of about 3.5 percentage  points on two thir ds of tariff lines , GSP+ provided zero tariff for 
those  two thirds  of tariff lines , while the EBA scheme provided DFQF market access on all products 
except  arms and ammunition.  
34. He said that as part of the 2012 GSP reform, the list of beneficiaries had been reduced from 
178 to 92 by excluding upper -middle income countries and countries that had a free trade agreement 
with the European Union , to increase the focus on those countries that needed it the most, especially 
the LDCs. The GSP reform had furthermore enhanced legal certainty , predictability and 
transparency.   
35. He explained that the  EBA scheme was an open-ended scheme  and had more favourable rules 
of origin  than the other two arrangements . It did not include the concept of product graduation . The 
scheme  also provided for a three -plus-one-year transition period for  graduating LDCs, and allowed 
for easier access  of them to GSP+ . He stated that in 2018, export s of the 48 beneficiary countries 
to the  European Union had a value of  EUR 42 billion .  
36. He went on to highlight that in 2018 imports from the LDCs had constituted 2.1% of total  
European Union imports, which was higher than the respective share at the world level. The EBA 
scheme  had accounted for  38% of European Union imports  from beneficiaries  of the three GSP 
arrangements , while the standard GSP and GSP + had accounted for 51% and 12%, respectively. 
Preferential imports under the EBA scheme were highest for Bangladesh (66%), followed by 
Cambodia (18%), Mozambique (4%) and Myanmar (4%) . In terms of products , imports under the 
EBA scheme were highest for apparel and clothin g, followed by mineral fuels, precious ston es and 
metals, footwear, fish, coffee and tea, and aluminium.  
37. Regarding the utilization of EBA preferences , he said that  EUR 1 billion of imports from LDCs 
out of a total of EUR 36 billion  paid the MFN duty despite being eligible for duty-free treatment. 
Referring to the discussion under the previous agenda item, he said that a potential reason for the 
non-utilization of certain preferences could be that the duties paid for  products with relatively low 
MFN rates would  be similar to the administrative costs for complying with rules of origin 
requirements. He indicated his readiness to further investigate this issue and would welcome 
feedback from the LDCs.  
38. He continued by explaining the findings of the mid -term evaluation , which had been released 
in October 2018. A main finding of the evaluation, based on a comparison of the period s 2014-2016 
and 2011-2013, was that poorer countries , particularly EBA beneficiaries, had benefitted more  from WT/COMTD/LDC/M/85  
 
- 6 - 
 
  the 2012 GSP reform , which had come into effect in 2014 . Regarding  the economic impact, he said 
that the evaluation had found an overall positive impact on GSP beneficiaries, with differences across 
countries and arrangements. The imports from 49 LDCs under the EBA  scheme  had increased by 
62%, compared to an increase of 5 4% for 8 GSP+ beneficiaries and a slight decrease of 0.3% for 
23 standard  GSP beneficiaries.  He said that one possible explanation for the increase in EBA exports 
was that the number of standard GSP beneficiaries had been reduced.  
39. He said that preference uti lization  had improved  following the GSP reform , but that there were 
variations among beneficiaries. In the case of  EBA countries, the utilization rate of preferences had 
increased from about 80% to more than 90%.  There had also been a modest improvement in  overall 
export diversification of beneficiaries, with some LDCs becoming more diversified  than others . 
Regarding poverty reduction, the evaluation argued that GSP c ould have an impact through greater 
trade and consequent economic growth , but it also depen ded on countries' policies.  
40. He went on to say that the evaluation had found that in the  textile and clothing sector the EBA 
initiative had had a positive impact on business and job creation for a good number of beneficiaries . 
In the case of Myanmar, it had helped create relatively well -paid jobs for 450,000 people, 90% of 
which were women. While  not everything had been  positive with regard to values and environmental 
impact , the private sector had contributed to make progress on the value side (e.g. occupational 
health issues and safety) due to respective demands from consumers. He regarded this as a positive 
development as the industry agenda was in line with the development agenda.  
41. He said that i n terms of conclusions, the evaluation found that possible  barriers to the 
utilization of GSP  were mostly outside the scope of the GSP.  While the GSP, particularly GSP+, could 
be seen as making a positive contribution to social progress and human rights, t he impact on the 
environment seemed limited. He said that the efficiency of GSP had improved and that it was 
coherent with other  European Union policies relevant to the development needs of beneficiaries. He 
mentioned that t he evaluation did not see the ne ed to amend the current GSP regulation.  
42. He said that it was efficient to link trade preferences with social and human rights, while 
acknowledging that it was often difficult to synchronize  the respective discussions . He mentioned  
that the GSP required beneficiaries to  adhere to the principles of 15 Conventions on Human Rights 
and Labour Rights, while the  GSP+  cover ed 27 Conventions on Human Rights, Labour Rights, 
Environment and Good Governance.  
43. He highlighted that the governments of beneficiaries c ould use the trade preferences as a 
leverage to make an economic case for legislative changes in other areas . GSP+ provided a format 
which worked well thanks to  regular  dialogues with governments. He mentioned that  the European 
Union 's Trade for All Strategy  also foresaw increased engagement in this area , with standard GSP 
and EBA beneficiaries: "The Commission will  … together with the High Representative, step up the 
dialogue with particular GSP countries and EBA beneficiaries where the  European Union can have  
most impact on the fight against human rights breaches, learning from the monitoring approach 
taken with GSP+ partners, and continue to be ready to suspend GSP benefits in the most serious 
cases" . He noted that for the last two years, the E uropean Commiss ion had been working closely 
with three  EBA beneficiary countries  (Bangladesh, Cambodia and Myanmar ) to see how concerns on 
issues on human rights  and labour rights could  be included as part of the  dialogue  on trade 
preferences. He recognized that these di scussions were not easy but had active  engagement from 
all sides.  
44. He said that  the evaluation had provided a number of recommendations, which the  European 
Union had already started to apply.  In particular , the evaluation had recommended to increase the 
awareness of the existence of preferences in both the LDCs and in the E uropean Union . He suggested 
that the LDCs could also do some outreach to attract European industries . Another recommendation 
was to further enhance cooperation with development partners , also to attract  more investment in 
LDCs.  Further improvements could be made with respect to rules of origin requirements and  
standards. Development cooperation would be  a useful instrument to help the LDCs in meeting 
standards, particularly  in the area o f food.   
45. He said that a nother lesson learned was the need to sensiti ze beneficiaries that values and 
trade went hand in hand as far  as the European Union market was concerned. H e emphasized  that 
the value dimension of trade preferences also made sense from  a business perspective. He gave the WT/COMTD/LDC/M/85  
 
- 7 - 
 
  example of large clothing brands which engaged  with governments in beneficiary countries on labour 
rights , also not to jeopardize their investments. He highlighted that it was possible to increase the 
value of products through values in terms of social and human rights  (e.g. through certification  and 
labelling). There was  also more scope for partnerships among stakeholders on this joint agenda, 
including industry, beneficiary governments,  European Union Member States and  the European 
Parliament.  
46. Besides increasing the value of trade through values, he highlighted the need to increase 
export volumes by attracting new investors and reaching out to  European Union industry, and by 
disseminating information tools on market access. He concluded with a quote from the Trade 
Commissioner which reflected the European Unions' approach towards combining trade preferences 
and values: "Our aim is not just to enable developing countries to trade their way out of poverty, 
but to help t hem do this by creating economies and societies based on core international values and 
principles. This is important for citizens, for the world and for the generations to come."  
47. The representative of the Central African Republic , on behalf of the LDC Grou p, thanked the  
representative of the European Union for the briefing. He welcomed that the  European Union 
provided the LDCs with duty -free market access on all products except arms. He also welcomed the 
introduction of the Registered Exporter System (REX)  for the self-certification of the origin of goods 
by exporters . He expressed his satisfaction with the positive direction taken by these initiatives, 
which sought  to promote the LDCs' market access.  He stated that the LDCs would  continue 
collaborating with  the European Union  on the further operational ization of these initiatives.  
48. The representative of Cambodia  said that Cambodia  had greatly benefit ted from the  utilization 
of the EBA scheme in terms of economic growth and integration into the multilateral trading system  
(MTS) . For Cambodia, the EBA provide d benefits to  a number of products in  agriculture  and industry . 
Over the last couple of years, Cambodia  had significantly increased  its rice exports and more than 
doubled its garment exports to the Europea n Union , providing direct employment to more than 
half a million of workers . He encourage d the European Union  to continue providing this form of trade 
preference to all products originating from all LDCs, including Cambodia , to lift millions of people out 
of poverty and achieve the UN 2030 Agenda for Sustainable Development.  He concluded by thanking 
the European Union for the EBA initiative . 
49. The representative of Nepal  thank ed the European Union  for providing the LDCs, including 
Nepal, with EBA preferences . She highlighted the importance of bilateral collaboration to improve 
preference utilization and for strengthening the  REX system. Consultative meeting s between  LDC 
exporter s, government officials and European Union  officials  would be important to identify 
constraints faced by LDC exporters . She further highlighted the importance of enhancing the 
awareness on the use of EBA preferences  and the REX System.  
50. The representative of China  thank ed the representative of the European U nion for the  
comprehensive briefing on the EBA  scheme , as well as on  the other two GSP arrangements. She 
considered that the presentation was helpful for the S ub-Committee to better evaluate and improve 
the impact of other  GSP and preferential schemes in p lace, as well as for China  with regard to its 
own preferential scheme for the LDCs. Regarding the evaluation, she inquired whether it had been 
done by a third party and what was the general  methodology  which the European Commission used 
for such  evaluation s. She concluded by asking what had been the recommendations to improve the 
utilization of preferences, besides easing the rules of origin requirements.   
51. The representative of the European Union  highlighted the interest of the European Union to 
have a genu ine discussion with its stakeholders  to see how to make the GSP work for the 
development agenda. He also said that for the next  GSP regulation , the European Union would 
conduct an impact assessment, which included a public consultation that would be gin in late 2019  or 
early 2020. He invited beneficiaries to participate in these consultations.  
52. Referring to the intervention by the representative of Cambodia, he provided reassurance  that 
the European Union provided trade  preferences to help countries develop and that it placed high 
importance on the predictability of the se preferences . He noted that difficult discussions with respect 
to safeguard measures or temporary withdraw al procedures  would always be held in a transp arent 
way and decisions on these discussions would  be taken as a last resort for th e countries concerned.  WT/COMTD/LDC/M/85  
 
- 8 - 
 
  53. He went on to say that the R EX System would help operators and LDC exporters to better 
utilize preferences. He acknowledged that a number of LDCs were not yet applying the System and 
offered  to follow -up with relevant  colleagues  in the Commission . Regarding the underutilization of 
preferences , he recommended that beneficiaries, together with development partners, could take 
measures to increase the visi bility and awareness on preferences.  
54. Answering the question  posed by the representative of China, he explained that the evaluation 
had been done by a consultancy firm. He mentioned that while the econometric analysis of the GSP's 
impact had been  relatively  straightforward, the analysis o f the values agenda  had consisted of a 
number of in-depth studies of beneficiary countries . He noted that besides human rights and labour 
rights, environment al issues would be included in the next regulation. He said that the European 
Commission  had drafted its own report based on the consultancy report , which was then  adopted 
by the European Parliament. He concluded by saying that in terms of transparency, all reports of 
the midterm evaluation had been made available online,  and constituted inputs for launching the 
procedure for the next regulation.   
55. The Chairperson  thank ed the representative of the European Union for the briefing and 
Members for their statements . She welcome d the efforts by the European Union to engage Membe rs 
in the review of its preference schemes , and to hear that the LDCs ha d been benefitting from 
preferential market access to the European Union . She encourage d the LDCs to continue engaging 
with the European Union to further improve the effectiveness of t he preferences. She suggest ed that 
the Sub -Committee take note of the briefing provided by the European Union, as well as the 
statements made.  
56. It was so agreed . 
C. TRADE -RELATED TECHNI CAL ASSISTANCE AND C APACITY -BUILDING INI TIATIVES 
FOR LEAST DEVELOPED COUNTR IES 
(I) Update on the Enhanced Integrated Framework (EIF): Report by the EIF Executive Secretariat  
57. The Chairperson  recalled that t he Work Programme for the LDCs mandate d the 
Sub-Committee to monitor capacity -building initiatives taken in favour of LDCs to promote 
information flows and coordination. The EIF was a flagship for the Aid-for-Trade programme 
dedicated to help LDCs use trade as a tool for sustainable development. She inv ited the Executive 
Director of the EIF Executive Secretariat  to provide  the Sub -Committee with  an update on the 
activities of the EIF.  
58. The representative of the EIF Executive Secretariat  (Executive Director)  said that the EIF 
partnership had moved from str ength to strength over the past year. He said that he would cover 
five issues  in his intervention, namely growing investments in institutional and productive -capacity 
support, the LDCs' voice in the MTS , the launch of the EIF's Strategic Plan 2019 -2022, partnership s, 
and resource mobilization.   
59. He said that investments in institutional and productive  capacity -building support  in LDCs had 
been growing . He noted that in 2018 the EIF had invested US$ 24 million  in LDCs, while for 
2019 US$40 million were in the pipeline.  He mentioned that t he portfolio of the EIF ha d been 
evolving based on the priorities and demands of LDCs. While trade policy and agriculture account ed 
for over 70%  of investments , new sectors were emerging such as e -commerce , where the EIF had 
supported nine e-trade readiness assessment s, the development of e-commerce strateg ies in 
Cambodia and Senegal , and the strengthening  of the e-commerce environment in Rwanda.  
60. He went on to  report on results related to the EIF's institutional support . Two t hirds of the  
LDCs ha d integrated trade in to their national development plans and 16 LDCs h ad absorbed the 
project teams into their government structures, which was a good example of sustainability.  He also 
said that the EIF had continued its support for fr agile countries such as Somalia and South Sudan in 
terms of institutional strengthening and WTO accessions. He highlighted the successful collaboration 
with the Central African Republic  on including  trade priorities in the National Recovery and 
Peacebuildi ng Plan 2017-2021, developing sector strategies on agriculture , mineral s and tourism , 
and the development of a post-conflict trade strategy. He mentioned that the EIF had successfully WT/COMTD/LDC/M/85  
 
- 9 - 
 
  collaborate d with the European Union to reach out to a number of LDCs , including the Central African 
Republic,  to facilitate  their uptake  of the REX System of self -certification of origin of goods .  
61. He highlighted that numerous results had been achieved i n terms of productive -capacity 
support . Support to Malawi  had resulted i n US$47 million new exports to  South Africa and Zimbabwe 
for its agriculture commodities. In Cambodia, the EIF's US$1  million in initial support had contributed 
to mobiliz ing additional investment of US$ 150 million by impact -investing companies for 
strengt hening Cambodia's cassava value chain.  
62. He continued by underscoring  that the EIF helped the  LDCs to have their voice clearly heard 
in the WTO. He said that at the EIF's Global Forum on Inclusive Trade for LDCs in June 2018 a 
number of LDC leaders, includi ng the Vice -President of The Gambia , had  expressed their 
commitment to the MTS. The EIF had also collaborate d with the Secretariats ' Development Division 
to secure the participation of 38 LDCs  in the Aid -for-Trade Monitoring and Evaluation Exercise , the 
highest number ever.  
63. He went on to say that the EIF had launched a new Strategic Plan  2019-2022 with a vision of 
"inclusive trade for better lives"  at the WTO  in December 2018 , increasing the focus on women 
economic empowerment, MSMEs and fragile co untries. In February -March 2019 , regional launches 
paired with Capacity -Building Workshops had been held in Benin  (Coutounu) , Lao PDR  
(Luang  Prabang)  and Uganda  (Kampala). He thanked the three respective G overnments for their 
support  in the organization of  activities. He mentioned that on 8 March 2019, as part of the Strategic 
Plan, the EIF had launched the initiative ''Empower Women, Power Trade"  aimed at benefit ting 
50,000 women and investing up to US$10 million.  
64. He went on to note that the EIF had been deepening  its engagement with its traditional  
partner s. The EIF had been support ing joint projects with the Standards and Trade Development 
Facility (STDF), with the WTO 's Development Division on LDC graduation,  with the 
International   Trade Centre  (ITC)  on SheTrades initiatives in The Gambia and Zambia , as well as 
with the United Nation s Conference on Trade and Development ( UNCTAD ) on e-trade readiness 
assessments . He highlighted that the EIF had strengthened its engagement  with Luxemb ourg, which 
had contributed US$1.5 million  for strengthening the value chain of shea butter sector in Burkina 
Faso, matching the  amount that had been approved  the EIF board. He indicated that this was a  
model that c ould be replicated by other partners in the future.  
65. He said t hat the EIF had also been broadening its partnerships with a number of agencies 
outside the traditional EIF family . He said that the EIF was partnering with the International Islamic 
Trade Finance Corporation  (ITFC) of the Islamic Development Bank  (IsDB) in The Gambia, Comoros 
and Guinea, with the Commonwealth Secretariat  on LDC graduation for LDCs in the Pacific , and with 
the U nited Nations Economic and Social Commission for Asia and the Pacific ( UNESCAP ) on paperless 
trade in Asia.  He also mentioned  that a visit to  Rwanda in November 2018 had provided the 
Chairperson of the Sub -Committee and a number of donors (Australia, Germany, Luxembourg, 
Sweden and the United Kingdom) with an opportunity to see the progress that was being made on 
the ground , and to better understand the  challenges  faced by LDCs  to take advantage of trading 
opportunities.  
66. Regarding resource mobilization , he said that the EIF Programme had been moving closer 
towards  achieving the revised funding target of US$150  million . He was  also pleased to inform the 
Sub-Committee that a number of new donor contributions were expected to be announced at the 
Global Review of Aid for Trade in July  2019. He concluded by  expressing  the EIF's commitment to 
deliver the best results for the LDCs, in collaboration with the LDCs,  donors and implementing  
agencies.  
67. The representative of the Central African Republic , on behalf of the LDC Group, thanked  the 
EIF Executive Secretariat for its  update on the actions taken to contribute towards building the 
export capacities of the LDCs to  help them better  integrate in to the global trading system.  He said 
that t he activities by the EIF, in collaboration with governments  and the private sector, were of vital 
importance and yield ed tangible results on the ground , creating both  domestic and foreign trade . 
68. He expressed support  for the EIF  Strategic Plan  2019-2022 to be made fully operational.  He 
appreciated  the fact that all LDCs could benefit from the EIF's capacity -building support.  He stressed WT/COMTD/LDC/M/85  
 
- 10 - 
 
  the importance of mobilizing adequate financial resources for implementing the Development 
Programmes of the EIF. He called  on Members and donors to augment their contributions to  reach 
the advanced levels needed in the context of signalling conferences.  
69. The representative of the Cambodia  thank ed the EIF for its decision to support Cambodia 's 
E-Commerce Strategy. The Strategy was an initiative responding to the priorities identifie d in the 
Rectangular Strategy Phase 4 for the 6th Mandate of Royal Government of Cambodia (2019-2023), 
which outlined that the "Fourth Industrial Revolution " would become a key determinant of all aspects 
of e-commerce development.  He also thanked  the EIF for the technical assistance that had been  
provided to Cambodia  such as the  Cassava Project , which ha d been contributing to reduce poverty 
and raise the standard of living of thousands of people.  
70. He announced that Cambodia would  launch the new Update of Cambodia 's Trade Integration 
Strategy 2019 -2023 during the Aid for Trade Global Review in July 2019. The Update would assist 
the Government in mainstreaming trade and competitiveness in to the country's development 
strategy, provide a diagnostic and analytical tool to prioritise and sequence key reforms in the area 
of trade and competitiveness, and offer a platform for development partners to coordinate and align 
technical assistance with government priorities.  He thank ed all development partners for their 
support and encourage d them to continue providing support to the EIF.  He committed and looked 
forward to working closely with the EIF and development partners to achieve further positive 
outcome s in the future . 
71. The representative of Nepal  thanked the EIF Executive Secretariat for the update . She 
expressed appreciation for the EIF's support towards the building of productive, institutional and 
human capacities . She also commended support provided for contemporary issues such as  
e-commerce. She said that the EIF's  support ha d been instrumental in leveraging domestic and 
international resources as well as  in strengthening coordination and collaboration among  Ministries 
and between the  public and private sector s. She expressed appreciation for developme nt partners 
for supporting the EIF and called upon them to continue to do so.  
72. The representative of the European Union  thanked the EIF Executive Secretariat for the report. 
She said that t he European Union  had been a strong supporter of Phase 1  of the EIF  and continue d 
to be so for P hase 2. On behalf of the delegations in  Geneva and those based on the ground, she 
thank ed the EIF Executive Secretariat  for its recent engagement  with the European Parliament in 
the Parliamentary  Committee s on International Trade and on Development.  
73. She also thanked the Executive Secretariat  for helping the European Union  with the rollout of 
the RE X System. She acknowledged that the rollout had been a challenge but stressed the System 's 
importance for facilitating market acces s for the LDCs. She welcomed the news that  the 
Central   African Republic  fulfilled the conditions to apply the REX System . She highlighted the EIF 's 
importance as  a partner  in the implementation of the European Union's  Aid-for-Trade Strategy , 
which focused  on leveraging trade instruments, including the preferential schemes  that were in place  
for the LDCs. She concluded by congratul ating the EIF Executive Secretariat for the finaliz ation of 
the Strategic Plan and looked forward to collaborating for its  implementation.  
74. The representative of Mali said that it had been benefit ting from the EIF , including for support 
relating to karité, gum arabic  and mango . She stressed that Mali still faced a number of challenges . 
Remote areas were not yet connected to the electricity  grid, which caused difficulties for the storage 
of goods, the productive chain  and the cold chain . As a landlocked LDC, Mali also had difficulties to 
get goods to markets. She stressed that these major obstacles upstream in the value chain needed 
to be resolve d before getting involved in e -commerce. She noted that Mali, with the support of 
Germany and UNCTAD, would be conducting an e -trade readiness assessment starting in April  2020.  
She acknowledged the importance of e -commerce for Mali's in tegration into global trade but 
emphasized that programmes for building productive capacity and technological  systems  were still  
relevant  and that more needed to be done in that area .  
75. The representative of Australia  thank ed the EIF Executive Secretariat for the useful update  
and expressed appreciation for having been able to participate in the EIF mission to Rwanda . He 
said that A ustralia was a strong supporter of the EIF  and highlighted the importance of its work for 
building institutional as well as productive capacity in LDCs . He welcomed the recent visit of EIF staff WT/COMTD/LDC/M/85  
 
- 11 - 
 
  to Canberra for discussions with the Government on  LDC interests . He looked forward  to contin uing 
to explor e opportunities for further support with the EIF.  
76. The representative of Burkina Faso  thank ed partners for the support they provided to 
Burkina  Faso, especially in consideration of  a landlocked  LDC. He said that Burkina Faso  had been 
benefiting from EIF support to strengthen its structures for traders and producers to help them  
exploit regional and international market opportunities , to combat poverty and to reduce its 
structural trade deficit.  
77. The representative of Norway  thank ed the EIF Executive Secretariat for the update. 
Highlighting the importance of the EIF for the LDCs' trade and development , it said that the EIF was 
Norway's highest priority in its Aid-for-Trade  engagement . Referring to a quote of his Minister in the 
new Strategic Plan, he said that the EIF "provides a unique opportunity for development of new 
trade policies and strategies where it is most needed. This is why Norway continues to be a strong 
supporter of the EIF and why we urge others to cooperate in any way they can."   
78. The representative of Lao PDR  expressed appreciation for the contribution of  partne rs to the 
funding of the EIF . He thanked the EIF for holding the launch of the new Strategic Plan in 
Luang  Prabang. He noted that the EIF had a strong country team in Lao PDR which would strengthen 
their collaboration in the future.  
79. The representative  of the EIF Executive Secretariat  thanked Members for their positive 
comments. Referring to the statement made by the representative of Mali, he stated that the EIF's  
''raison d'être'' was to help LDCs address their supply side constraints , including both institutional 
and productive -capacity constraints. In this context, the EIF provided support  to LDCs to address 
supply -side challenges to take advantage of the opportunities offered by e -commerce. He mentioned  
that in the case of Rwanda, the EIF had not conduc ted the e-trade readiness assessment but  based 
on the priorities of the Government and on a n UNCTAD study , the EIF had provided support for the  
development of a conducive e -commerce  environment . He mentioned that the EIF would be ready 
to provide support on e -commerce if it was based on evidence and solid analytical work of UNCTAD.  
80. Referring to the intervention made by the representative of the European Union, he invited 
donor partners and agencie s to u tilize the EIF National Implementation Units when  implement ing 
their priority actions in LDCs. The EIF could connect development partners with these structures on 
the ground. Referring to the intervention made by the representative of Australia, he e xpressed his 
appreciation for the  interact ions that the EIF had  with a range of stakeholders in Canberra . He also 
thanked Norway for according its highest priority to the EIF . He concluded by highlighting th at the 
EIF would pay importance to fully explor e opportunities  for collaborat ion with donors and partners . 
He gave the example of Lao PDR, where the EIF had been making an effort to engage donors and 
development partners right from the start of the Diagnostic Trade Integration Update  process .  
81. The Chairp erson  thank ed the EIF  Executive  Secretariat for the update and Members for their 
statements.  She said that t he EIF remain ed an important Capacity -Building initiative for the LDCs, 
helping them to better integrate into the MTS. She was encouraged to hear about the progress being 
made in the implementation of the EIF Programme and the positive impact of EIF interventions. She 
was confident that the new Strategic Plan w ould further enhance the effectiveness of the EIF in 
building the trade  capacities of the LDCs.  She suggest ed that the Sub -Committee take note of the 
report provided by the EIF Secretariat, as well as the statements made.  
82. It was so agreed . 
D. THIRD SOUTH -SOUTH DI ALOGUE ON LDCS AND D EVELOPMENT, HELD IN 
CHAVANNES -DE-BOGIS, SWITZER LAND, 7 DECEMBER 201 8: REPORT BY THE 
COORDINATOR OF THE L DC GROUP  
83. The Chairperson  said that t he Third South -South Dialogue had been  held in Montreux on 
7  December 2018 , focusing  on the theme "WTO Reform: Perspectives from Developing and Least 
Developed Co untries". She recalled that  the activity constitute d a pillar of China's LDC and 
Accessions Programme and had been organized by the Secretariat in cooperation with the 
Government of China.  She invited the LDC Coordinator  to provide a report on the event.  WT/COMTD/LDC/M/85  
 
- 12 - 
 
  84. The representative of the Central African Republic , on behalf of the LDC Group, thanked the 
Secretariat, particularly the Development Division,  and the People's Republic of China for their 
partnership and for organizing the Third Edition of the South -South Dialogue . He highlighted the  
relevance of the Dialogue  in the context of the ongoing changes in trade relations and the growth 
dynamic of the world economy.  He noted that the Dialogue had been  fruitful thanks to its direct 
exchanges and the information sha red. 
85. He highlighted the relevance of the Dialogue in view of the increasing discussions within the 
WTO on ways to resolve the deadlock in the Dispute Settlement system, in particular the Appellate 
Body, and on methods to improve the functioning of the WTO so that the institution would be  better 
equipped to deliver.  He emphasized the usefulness of the Dialogue , thanks to exchanges between 
the LDC Group with the main proponents of WTO reform and with key partners in global and 
South -South trade.  
86. He went on to  thank the Ambassadors, Permanent Representatives and specialists who had 
participated in the discuss ions on the LDCs'  interests and concerns regarding the proposed reform 
process.  He noted that at  the D ialogue the LDC Group had expressed its view that any reform of the 
WTO must take account of the development dimension and the vital need to promote the integration 
of LDCs into world trade in a prompt and meaningful way. He stressed that the LDCs represent ed 
barely 1% of world trade, and  that WTO reform had to address this long-standing  situation in order 
to accelerate the LDCs' economic development  and increase their participation in international trade.  
87. He stated that the LDCs were ready to play an active part in discussions  on WTO reform , on 
an inclusive and transparent basis.  At the Dialogue, the LDC Group  had listened to the various 
proposals made concerning dispute settlement, the WTO's negotiating function, and transparency.  
He called for the Appellate Body impasse to be resolved as quickly as possible  and urge d Members 
to take into account the constraints fac ed by the LDCs.  He concluded by stressing that a possible 
reform of the WTO should be balanced and fair for all Members , and focus on the finalization of 
issues relating to the Doha Development Age nda. 
88. The representative of China  thanked the LDC Coordinator  for the report and the Secretariat 
for its hard work  in preparing the Dialogue. She also thanked Members and experts that had 
participated and contribute d to an informative and timely Dialogue. She highlighted that China  would  
continue to make every effort to work with the LDCs and other developing Members to further the 
integration of the LDCs into the MTS. 
89. The Chairperson  thanked the LDC Coordinator for the report and China  for its statement.  She 
was glad to  hear that the Dialogue was rich in substance and that there was good participation from  
the LDCs, as well as from other Members. She said that it was  important that  the LDCs ha d a good 
understanding of the ongoing discussions on WTO reform , so that they c ould participate in an 
informed manner. She welcome d the support provided to further strengthen the LDCs to achieve 
their development objectives and  improve their participation in the MTS. She suggested  that the 
Sub-Committee take note of the  report provided by the LDC Coordinator, as well as the statements 
made.  
90. It was so agreed . 
E. LDC GROUP RETREAT HE LD IN MONTREUX, SWIT ZERLAND, 2 MARCH 201 9: REPORT 
BY THE COORDINATOR O F THE LDC GROUP  
91. The Chairperson  recalled that the LDC Group had held a Retreat in Montreux  on 2 March 2019 , 
titled "Perspectives on LDC Participation in WTO Work on the Road to MC12". The Retreat had 
covered a range of LDC issues , as well as issues that were being raised in the WTO. She invited the  
LDC Coordinator to provide the Sub -Committee  with a report on the Retreat.  
92. The representative of the Central African Republic , on behalf of the LDC Group, express ed his 
satisfaction regarding the elements that emerged from the in -depth and frank exchanges between 
LDC delegations and  the speakers who participate d in the LDC Group Retreat . He thanked  all 
delegations, Ambassador s, Chairs of Committee s and negotiating groups who had fostered the 
exchanges on key issues and concerns for LDCs in multilateral trade negotiations.  He particularly 
thank ed the Secretariat, which had made a significant contribution to the discussions concerning the WT/COMTD/LDC/M/85  
 
- 13 - 
 
  LDCs' goal of better integration in to global trade. He also expressed particular appreciation for the 
participation of  the WTO Director Genera l and thank ed the UNCTAD Secretary General and the ITC 
Executive Director  for their participation.  
93. He said that the interactions at the Retreat had provided for  creative, comprehensive and 
technical reflection s that would help the LDCs  further develop their priorities in the multilateral 
negotiations at the WTO.  The Retreat had shown that an approach involving multilateralism, 
exchanges and listening to each other was the best way forward in a globalized  and interconnected  
world.  He said that t he Retreat  had addressed the issues  of WTO reform, fisheries subsidies, 
agriculture , cotton , special and differential treatment  (S&D)  for LDCs, the implementation of 
Ministerial decisions in favour of LDCs, the activities of the EIF , LDC graduation , as well as  joint 
initiatives (e-commerce, micro, small and medium -sized enterprises, and investment facilitation ). 
94. He went on to summarize the  main lessons learn t from the Retreat , includ ing the need for the 
LDCs to persevere in WTO negotiations, clarify their priorities, and be present in all trade -related 
discussions held at the WTO, bearing in mind  the LDCs' constraints in terms of human and financial 
resources.  He said that the LDCs would make sure to call upon the WTO and request its technical 
assistance as much  as necessary, as  had been  proposed by the Director -General at the Retreat. He 
noted that the ITC, UNCTAD and, the WTO, and could help the LDCs determine their needs and 
priorities  by provid ing the necessary resources and assistance in accordance with thei r competencies 
and mandates , as well as  with regard to the LDCs'  ability to apply regulations, develop trade policies 
and institutional capacities . He further requested that the different programmes developed within 
the WTO to support LDCs should continue indefinitely. The EIF was a particularly relevant and 
beneficial programme for the LDCs and need ed to be supported as much as possible by Members.  
95. He went on to say that a clear message from the  Retreat was that the MTS had to  be 
preserved, and that the WTO reform underway had to sustain it and also take account of the 
particular interests of the LDCs. He expressed the Group's commitment  to the MTS, which was also 
reflected in the active involvement of the Group in negotiations  and by the fact that a number of 
LDC Ambassadors were chairing Committees and negotiating groups.  
96. He said that LDC Ambassadors ha d expressed their concern s regarding the deadlock facing 
the Appellate Body and the possible consequences for the MTS. The LDC  Group was analysing the 
proposals that were being tabled on WTO reform. He stressed that proposals should neither 
compromise the LDCs' capacity to assume their obligations gradually nor disregard the existence of 
the challenges that  the LDCs still  were facing. 
97. He said that the LDC  Group w ould further clarify its priorities and positions , and focus on S&D 
aimed at accelerating the LDCs'  integration into the global market.  He stated that the guiding 
principle for the establishment of the LDC's priorities and positions would be the extent  to wh ich 
WTO rules c ould serve to reinforce their integration into world trade, taking into account the 
constraints that they faced. 
98. He said that a t the Retreat, the LDC Group had underlined the importance of implementing 
the decisions taken in favour of the LDCs (DFQF market access, preferential rules of origin and the 
Services Waiver). Another matter highlighted had been  the importance of operationali zing TRIPS 
Article  66.2 on tec hnology transfer. He stressed the need for a decision in line with the Group's 
submission concerning LDC graduation in order to ensure a harmonious transition of graduating 
LDCs to the rank of developing country. In this regard, he welcomed the pro ject on LDC graduation 
developed by the WTO Secretariat and  which had been  presented at the Retreat.  
99. He continued by emphasizing that the LDC Group was capable of creativity and determination 
to achieve a result once it was  fully understood and supported. He called on Members to support the 
LDCs in their quest  to lift millions of people out of poverty as quickly as possible.  He said that the 
Retreat had  enabled the Group  to cover most current areas of discussion and had provided  ideas for 
making progress in these a reas, also with a view towards the 12th WTO Ministerial Conference  
(MC12) . The Retreat also helped the Group to develop a vision on various issues with regard to the 
attainment of the S ustainable Development Goals. He concluded by reiterating the fruitfulness of 
the Retreat, which would serve the LDCs as a basis for productive progress in 2019 , including with 
a view to achieving results at MC12 . WT/COMTD/LDC/M/85  
 
- 14 - 
 
  100.  The Chairperson  thank ed the LDC Coordinator for the report  and expressed her regret that  
she had not been able to participate in the Retreat . She was  glad to hear that the LDCs had a 
productive retreat  with substantive discussions on priority issues for the LDCs, as well as on WTO 
reform and Joint Statement initiatives. She encourage d the LDC s to engage in the various 
discussions taking place at the WTO, and to articulate their interests. She noted the importance of 
providing the LDCs with adequate capacity -building support in identifying their interests in these 
discussions.  She suggest ed that the Sub -Committee take note of the report provided by the LDC 
Coordinator.  
101.  It was so agreed . 
F. OTHER BUSINESS  
102.  The representative of the  UNIDO  briefed Members on UNIDO's  work on the G20 Initiative on 
Supporting Industrialization in Africa and LDCs. She said  that t he G20 Summit in Hangzhou , China, 
in 2016 had launched th is Initiative with a view to "strengthen their inclusive growth and 
development potential through voluntary policy options ". The Initiative listed policy areas including: 
(i) "promoting inclusive and sustainable structural transformation; supporting sustainable 
agriculture, agri -business and agro -industry development; (ii) deepening, broadening and updating 
the local knowledge and production base; (iii) promoting investment in s ustainable and secure 
energy, including renewables and energy efficiency; (iv) exploring ways to develop cooperation on 
industrial production and vocational training and sustainable and resilient infrastructure and 
industries;  (v) supporting industrializat ion through trade in accordance with WTO rules; (vi) 
leveraging domestic and external finance and supporting equitable access to finance - with a focus 
on women and youth; and (vii) promoting science, technology and innovation as critical means for 
industr ialization. " 
103.  She said that the Initiative provided for a follow -up mechanism led by the Development 
Working Group (DWG) and asked UNIDO and relevant IOs to report back to the DWG for a review 
of actions taken to address the above policy options.  In this co ntext, a report was being prepared 
by UNIDO in cooperation with other international organizations  to assess the progress of the 
Initiative. She mentioned that o n 6 March  2019, UNIDO, with the support of the African Union, had 
held an expert -level briefing on the G20 Initiative for the Member States of the African Union in 
Geneva. She said that f ollowing the briefing, a questionnaire had been circulated to the Permanent 
Missions of the Member States of the African Union. She encourage d concerned delegations to 
complete the questionnaire which w ould be used as input for the progress report. She also invite d 
non-African LDCs to provide inputs to the process and noted that UNIDO planned  to also circulate 
the questionnaire to these countries.  
104.  The Chairperson  thanked the representative of UNIDO for t he briefing . She said that UNIDO 
was an important partner for the LDCs in building their capacities to achieve inclusive and sustainable 
industrial development . She suggest ed that the Sub -Committee take note of the statement  made.  
 
105.  It was so agreed . 
106.  The Chairperson informed Members that  the Chair person  of the CTD had invited her to provide 
a briefing on the work of the LDC Sub -Committee  at the meeting of the CTD on 5 April 2019.  She 
also inform ed Members that the next meeting of the Sub -Committee was tentatively scheduled for 
the first half  of July  2019. The exact date would  be communicated in due course.  
107.  The meeting was adjourned . 
_____ _____