WT/GC/W/916  
 
11 December 2023  
(23-8402) Page: 1/7 
General Council  Original: English  
 
 
WORK PROGRAMME ON ELECTRONIC COMMERCE  
COMMUNICATION FROM SAMOA ON BEHALF OF THE ACP GROUP  
The following communication, dated 8 December  2023, is being circulated at the request of the 
delegation of Samoa on behalf of the ACP Group.  
 
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1  INTRODUCTION  
1.1.  At the Twelfth WTO Ministerial Conference (MC12), Ministers agreed to reinvigorate discussions 
on the WTO Work Programme on Electronic C ommerce and intensify deliberations on the Decision 
not to impose customs duties on electronic transmissions . The specific reference to the 
Work Programme  was accompanied by an emphasis on the development dimension. In particular, 
Ministers provided guidan ce to intensify discussions on the moratorium and to hold periodic reviews 
on reports submitted on the moratorium on customs duties on electronic transmissions  focusing on 
scope, definition, and impact of the moratorium .1 Unlike the previous two Ministerial Decisions on 
the Work Programme on Electronic Commerce (2017 and 2015) ,2 the emphasis on development is 
highlighted and brought back to the core of the discussions since this dimension was extensively 
mentioned in the Ministerial Decisions tha t preceded, i.e. , the 2013 and 2011 at the ninth and eighth 
Ministerial Conferences3 respectively.  
2  DEVELOPMENT DIMENSION  
2.1.  The development dimension is significant and central to our discussions given that the gap in 
the digital divide remains persistently wide between WTO developed countries and developing 
country Members, in particular with regard to Least Developed Countries (LDCs), where only 36 % 
of their populations are said to have utilized the internet in 2022 when compared to 66 % of the 
population globally having done so over the same period, according to the International 
Telecommunication Union.4 The digital divide can also be seen in the absence of an operational and 
thriving Electronic Commerce sector in many developing countries .5 There are several aspects 
underlying the divide which stem from infrastructural constraints; human capital limitations and 
institutional challenges. The enumeration below provides a non -exhaustive list to articulate 
the problem.  
2.2.  ACP States face challenges  as it relates to:  
• Having an accurate picture of the e -commerce and digital ecosystem ; 
• Designing and enforcing effective regulations;  
• Harnessing the latest generation of technologies due to high capital costs and license fees;  
• Lack of reliable, affordable,  high-speed and high -capacity broadband Internet;  and, 
• Promoting consumer trust due to a lack of cooperation agreements on e-commerce and 
consumer protection ;6  
 
1 WT/MIN(22)/32  
2 WT/MIN(17)/65 ; WT/MIN(15)/42  
3 WT/MIN(13)/32 ; WT/L/843  
4 https://www.itu.int/itu -d/reports/statistics/facts -figures -for-ldc/  
5 WT/COMTD/SE/W/45  page 63 - 72 
6 https://unctad.org/topic/competition -and-consumer -protection/consumer -protection -map  WT/GC/W/916  
 
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  • Connecting households to the electrical grid is slow and unequally distributed across 
regions ;7  
• Capitalizing on data generated through search engines and various platforms such as social 
media and booking websites can be complex given the dominance of a few large 
multinational corporations in this space and the resulting unequal playing field;  
• Acquiring and disseminating digital skills due to the lack of qualified personnel on the ground 
and limited availability of learning materials in local languages and dialects;  
• The lack of interoperability needs poses an obstacle to the growth and integrati on of the ACP 
e-commerce sector to global online payments systems;  
• Very limited e -commerce data available for the region;  
• Access to finance for e -commerce projects;  
• Lack of regulatory framework to govern e -commerce;  
• Low level of automation of border proce dures and information, insufficient alignment of 
those procedures with best e-commerce practices and standards, underdeveloped postal 
services, and difficult access e-commerce platforms.  
 
2.3.  To address and close some of the gaps mentioned above, cooperation on establishing 
governance frameworks at the multilateral level and within the context of the WTO could assist in 
creating a space to formulate and tailor solutions based on the specific ne eds of individual ACP 
Members as well as those of other developing countries. In light of the strong linkages with other 
areas of work under the rubric of the WTO, relevant areas of work could be enhanced such as 
inter alia, Trade and Transfer of Technolog y; Trade and Development; Aid for Trade; Trade 
Facilitation; Technical Barriers to Trade, and other Working Groups.  
2.4.  Beyond the promotion of electronic commerce in and of itself, further work and analysis can 
be conducted to identify opportunities for promo ting trade and development, especially for micro, 
small, and medium size enterprises (MSMEs), youth and women entrepreneurs, via electronic 
commerce. Experience sharing and cooperation could also be enhanced to support trade and 
investment promotion agenci es among ACP states and developing countries in establishing and 
enhancing their Electronic Single Windows (ESW) to stimulate and facilitate overall trade. This could 
lay the groundwork for strengthening the business environment for conducting digital trad e thereby 
making the country more attractive for foreign direct investment.  
3  REGULATORY FRAMEWORKS  
3.1.  A coherent, global harmonized regulatory framework for e -commerce is complex to attain due 
to the rapidly evolving nature of the sector. There are fundamenta l aspects to the type of regulations 
enacted that can promote confidence, predictability,  and transparency in the system. These can 
include inter alia  electronic transaction legislation; consumer protection legislation; privacy and data 
protection laws; an d cybercrime and cybersecurity laws.8 The promotion of sound regulation, 
adapted to the specific capacity and reality on the ground in each country, ought to be promoted to 
facilitate the integration of digital entrepreneurs from ACP countries. The introd uction of legislation 
in advanced economies, such as, the General Data Protection Regulation (GDPR) can give rise to 
difficulties in compliance for digital businesses in developing countries. In this regard, enhanced 
transparency, technical assistance and cooperation with trading partners and international 
organi zations, such as UNCITRAL, UNCTAD, ITU and ITC, could facilitate in laying the groundwork 
or harmonizing the existing regulatory framework in ACP countries. In particular, the ACP Group 
recognizes t he valuable input provided by UNCTAD in their E -Trade Readiness Assessments that 
enable countries to identify gaps in their e-commerce sector, formulate customized strategies to 
enable the development of the industry and allows them to be better prepared a nd informed about 
their national circumstances when it comes to negotiations on electronic commerce, including in 
negotiations that are plurilateral in nature. The ACP Group has also encouraged the WTO Secretariat 
to prepare an information note that compil es, in a thorough manner, all the relevant cyber related 
legislation in place.  
3.2.  Similar to the initiative taken by the Council for Trade in Services (CTS), the ACP Group sees 
value in bringing to the dedicated discussions table, a series of workshops, with  businesses and 
expertise active in the e-commerce sector from the ACP region to highlight the challenges and 
 
7 For instance, in Sub -Saharan Africa in 2021, close to half the population in aggregate still lacked access 
to electricity.  
8 https://unctad.org/page/e -transactions -legislation -worldwide   WT/GC/W/916  
 
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  opportunities they encounter in relation to compliance with cyber laws at a global level, including 
the costs and the manner in which various laws  and regulations affect their competitiveness. These 
examples could demonstrate the importance of formulating a harmonized set of trade -related 
standards pertaining to e-commerce, with the input from businesses in developing countries.  
3.3.  An assessment  of the degree to which countries uphold sound consumer protection must take 
into consideration the developmental dimension and in particular the challenges faced by regulatory 
authorities and governments in developing countries in doing so.  
3.4.  We need to also examine the relevant technical and regulatory issues in relation to the 
encryption systems.  
3.5.  In the African region, according to UNCTAD in its 2021 Digital Economy Report ,9 there are only 
33 countries that have electronic transaction legislati on, 28 countries have consumer protection 
legislation, 33 with privacy and data protection laws, and 39 with cybercrime laws. In the case of 
small island developing states (SIDS), the report notes that there is legislation in 23 countries for 
electronic tr ansactions, 14 for consumer protection, 14 for privacy and data protection, and 24 for 
cybercrime.  An analysis of ACP regions , coupled with data from the International 
Telecommunications Union (ITU), showed evidence of legislation facilitating electronic t ransactions 
in Antigua and Barbuda, Bahamas, Barbados, Belize, Cabo Verde, Dominica, Fiji, Grenada, Jamaica, 
Mauritius, Namibia, Seychelles, St. Lucia, St. Vincent and the Grenadines, Trinidad & Tobago, and 
Vanuatu, for example. Countries with online consu mer, or data protection regulation included among 
others, Angola, Antigua & Barbuda, Bahamas, Barbados, Cabo Verde, Cuba, Dominican Republic, 
Jamaica, St. Kitts & Nevis, St. Lucia, Suriname, Trinidad & Tobago, Mauritius,  and Namibia. The 
Organisation of Ea stern Caribbean States (OECS) provided further information on the regulatory 
areas arising from their E -readiness assessment prepared by the Commonwealth Secretariat. Here 
we would wish to stress the importance of e -readiness assessments and e -commerce str ategies in 
assisting developing countries to enhance their participation in the e -commerce ecosystem, and to 
better empower our Members to effectively participate in the e -commerce discussions in the WTO. 
International organi zations like UNCTAD should be b etter supported to complete a greater number 
of these technical cooperation products for developing countries. Some of our Members are still 
waiting for e -readiness assessments requests to be matched since 2018.  
3.6.  While the Pacific Islands Forum (PIF) has n oted that overall  the Pacific is in its nascent stages 
of ICT regulatory development, it is worth noting that Vanuatu, Samoa, Fiji, Papua New Guinea, 
Nauru, Tonga, Kiribati, Solomon Islands and others have been registered at various ranking levels 
with reg ulatory regimes and competition frameworks. As noted by the Pacific Regional E-Commerce 
Strategy and Roadmap, as of 2021 no Pacific Island countries has data protection and privacy laws 
in place, only 21% have e -transactions law in place, 43% have cybercrime laws in place, and 57% 
has consumer protection laws in place – with the latter rarely addressing online protection. 
Notwithstanding some progress recorded since 2021, the legislative and regulatory regime in the 
Region needs to be advanced. Regional initiatives have also been established and are underway in 
ACP Regions.  
3.7.  Notwithstanding these indicati ons of progress in the development of regulations to facilitate 
e-commerce , more adaptation of regulations to suit specific needs as well as proper readiness or 
gap assessments are needed. Developed country WTO Members and developing countries in a 
positio n to do so should therefore provide more resources to developing Members, to advance 
drafting and approval of model legislation such as the laws of UNCTIRAL, as well as joining relevant 
regional and international conventions and agreement promoting trade.  
3.8.  The WTO Secretariat can play an important role in preparing an information note on all of the 
records of information on laws and regulations across developing countries, including ACP member 
States. This will not only help us to gauge, at least based on i nformation in the public domain, our 
level of regulatory and legislative e -commerce readiness, but to assess the fundamental question 
that we have been asking: what is the WTO 's role on e -commerce?  
3.9.  Nevertheless, the ACP Group takes note of the observation of the Facilitator at the 18 October 
2023 Dedicated  Discussion, where she recalled that during the trade policy review of some Members, 
of those with e -commerce legislation, not all had functional e -commerce, and few capitalised on it 
 
9 https://unctad .org/page/e -transactions -legislation -worldwide   WT/GC/W/916  
 
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  and how it works. Thi s could be an area the WTO, in collaboration with other relevant organi zations, 
could initiate in the context of technical assistance programmes for trade in e -commerce.  
4  ACP E -COMMERCE PROGRESS  
4.1.  E-commerce is a priority for most of the ACP countries if not all. Most members have aspired 
to formalize and regularize the sector in view of the potential it has to address Members ' 
socio-economic and developmental needs. To ensure transparency and coordination between 
regional blocks, regional policy frameworks ha ve also been developed to ensure that countries within 
the region progress equitably as such measures enhance trade and employment opportunities guided 
by regional trade agreements.  
4.2.  Regional policy frameworks are effective as they ensure targeted policy r esponses to the 
regions developmental needs such as the Pacific Regional E -Commerce Strategy. The Strategy lays 
the existing status of the Pacific region 's e-commerce readiness and propose priority actions to 
address such key needs. The strategy is a valua ble tool to coordinate donor partners and 
implementing agencies so as to maximize value for money. At the end of 2022, 43% of the Strategy 
priority action areas were being implemented, including in areas such as strategy and data 
development, trade logisti cs and facilitation, e -payments, e -commerce skills, access to finance, ITC 
infrastructure and services, and e -commerce rules.  
4.3.  More recently in July 2023, the Council of Ministers of the Economic Community of West African 
States (ECOWAS) endorsed a regiona l e-commerce strategy10 for the organization 's 15 member 
nations in close partnership with UNCTAD and other development partners. The strategy aims at 
accelerating structural change and development and  fostering regional integration through economic 
divers ification and job creation in line with the ECOWAS Vision 2050 for an inclusive and sustainable 
development for the region.  
4.4.  Other Regions have also made progress to respond to their e -commerce needs through 
institutional reforms that allow growth and confi dence in digital trade. We also recognize that 
e-commerce plays a critical role towards environmental sustainability through integrating elements 
related to the environmental impact of e -commerce, such as sustainable practices and reducing the 
carbon footp rint. For instance , using digital products and services, such as e -books, digital music, 
and streaming services, reduces the need for physical production, packaging,  and transportation, 
thereby minimizing  environmental impact. This consideration could alig n Members with their 
concerns related to climate change and environmental sustainability.  
5  MORATORIUM ON CUSTOMS DUTIES  
5.1.  Discussions on the moratorium on customs duties on electronic transmissions  have evolved 
over time due to the technological evolution of e -commerce and the implications of cross -border 
sale of goods and services. The polarizing issue is the revenue loss associated with the digitalization 
of products which in their physical form would normally incur a customs duty. Nonetheless, the 
moratorium has stood in place over time on the basis that it is only the physical carrier of a good 
that incurs a customs duty and not the content within the carrier. Furthermore, divergences also 
exist among  WTO Members with regard to the scope application of the term "transmissions " and 
whether or not content falls within or outside the scope of transmissions.  
5.2.  The decision on the moratorium as agreed to by our Ministers reads , "to maintain the current 
practice of not imposing customs duties on electronic transmissions ". The question of whether 
content is included in the value of a product and within the definition of electronic transmissions has 
also been an issue of divergence among Members. We know that du ties were essentially not charged 
on the content of the physical version, rather tariffs were imposed on the carrier media of software. 
This practice in the context of the GATT/WTO was based on the GATT Decision 4.1 – Valuation of 
Carrier Media Bearing Sof tware for Data Processing Equipment 24 September 1984, for Members 
parties to the decision. That decision provided that "only the cost or value of the carrier medium 
itself shall be taken into account. " 
 
10 https://unctad.org/news/new -strategy -set-boost -e-commerce -west-africa   WT/GC/W/916  
 
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  5.3.  For all WTO Members, in the case of products that wer e traded physically, and are now traded 
digitally, it would be interesting to know if the tariff on the physical product was charged based on 
the content. Assessments of revenue loss would require a deeper analysis of the actual tariff imposed 
by each coun try on the content of the now digitized  products. The trends at the time of imposition 
of tariffs on physical goods could be considered. Such analysis on revenue loss could examine the 
practice of each WTO Member and what cost would have been paid by our c onsumers when the 
physical media was the leading technology.  
5.4.   In reality, notwithstanding the work done by Indonesia, further analysis and discussions would 
be needed on actual levy of customs duties on digitized  products in the cyberspace domain. Closely 
related to the discussions and analysis of the non -imposition of customs duties on electronic 
transmissions is the consideration of alternative means of collecting revenue on the sale of digital 
goods and services, notably domestic levy of value added tax (VAT) or good and services tax (GST).  
5.5.  To advance the discussions on revenue collection, technical cooperation between the WTO, the 
United Nations Secretariat, the OECD Secretariat,  and other relevant regional institutions could be 
deepened to enhance exch ange of information on frameworks, models and tax regimes being 
designed that take into account the contemporary global business and trade context, while also 
seeking to create a level playing field. Existing internal tax practices involving e -commerce 
transmissions  in developing countries could inform the discussions in the context of the WTO and 
provide trade officials with a concrete understanding of what forms of revenue collection are feasible, 
and how systems can be deployed. A parallel discussion cou ld also explore implications of emerging 
and growing sectors in domains such as Artificial Intelligence; Blockchain; the Internet of Things 
and Cryptocurrencies. In particular, discussions could examine how these are likely to reconfigure 
manufacturing and  supply chains, global value chains and distribution of trade and financial flows 
and the implications in terms of the design of global regulatory frameworks. It should be noted 
however that the moratorium does not prevent imposing local taxes on electroni c transmissions , 
thus could counteract any possible revenue implications.  
6  WAY FORWARD  
6.1.  As ACP countries strive to develop their economies, industrialize and promote employment, 
they face at the same time a rapidly changing economic and trade landscape with the advent of new 
tools such as generative Artificial Intelligence that is likely to disrupt business models. Access to new 
technologies remains out of reach for a majority of ACP countries and people as these can be 
prohibitively expensive in terms of the  basic equipment to begin with. One case in point is the low 
level of secure internet servers across ACP regions, whereas the top ten advanced economies 
comprised between around 2 million and around 46 million secured servers in 2020, the top ACP 
country o nly comprised 15 ,242 servers in the same year.11  
6.2.  With the right policy mix, a conducive environment can be established to promote E -commerce 
for the benefit of people and development. At the same time, innovative forms of global governance 
will be require d to regulate areas such as algorithms and avoid discrimination at the firm level as 
well as at the level of citizens. Electronic commerce could be further leveraged to provide access to 
essential lifesaving goods and key inputs to support nascent industri es in developing countries and 
LDCs such as through cooperation on export credit facilities and reduction in bank charges.12  
6.3.  Members  may reflect upon some questions to assist in the process of formulating possible 
outcomes at MC13 on the Work Programme on  Electronic Commerce for Ministers to consider:  
• How can the WTO and other relevant international organi zations promote the development 
of sound, comprehensive and detailed data on e -commerce in relation to goods and services?  
• What forms of inter -organi zational cooperation could enhance knowledge sharing with 
regard to e-commerce activity?  
• What flexibilities, technical assistance and capacity building could be extended to developing 
countries to build a viable domestic economic and social base to enable a nd enhance 
participation in global e -commerce?  
 
11 https://data.worldbank.org/indicator/IT.NET.SECR.P6   
12 WT/GC/W/787  WT/GC/W/916  
 
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  • What information can be routinely shared and compiled on practices concerning electronic 
transmissions, current valuation of physical goods that are also traded digitally, VAT and 
other tax systems including i n developing countries and LDCs?  
• What role the WTO and possibly regular bodies such as the Council for Trade in Services can 
play in fostering discussions on greater interoperability between various online payments 
systems?  
• How do principles such as non -discrimination enshrined in the WTO rulebook interact and 
operate alongside principles such as the right to regulate, for instance in the case of data 
regulation?  
 
 
 
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  WT/GC/W/916  
 
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  ANNEX 
DRAFT MINISTERIAL DECISION  
 
Ministerial Decision of ___ February 2024  
 
The Ministerial Conference:  
 
Takes note of the efforts to reinvigorate the 1998 Work Programme on Electronic Commerce through 
Dedicated Discussions, which included the exchange of good practices, submissions from Member 
States on specific topics, an d a workshop organized with international organizations , 
 
Decides to instruct Member States to further increase engagement under the Work Programme, with 
WT/L/274  used as the basis for such work, especially with a continued focus on the development 
dimension , 
 
Mandates  the WTO 's continued collaboration with other international organizations and relevant 
stakeholders to enhance coordination to address the main challe nges related to e -commerce, 
including those highlighted in the Dedicated Discussions, such as the need for training and capacity 
building , 
 
Agrees to  maintain the current practice of not imposing customs duties on electronic transmissions 
until the 14th Session of the Ministerial Conference , and  
 
Agrees to hold further deliberations and gather empirical evidence on the scope, definition, and 
impact of  the moratorium, with periodic updates to the meetings of the General Council as well as 
on the Work Programme.  
 
 
 
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