JOB/GC/92  
 
13 May 2016  
(16-2655)  Page: 1/3  
General Council    
 
  AGENDA ITEM 1 - REPORT BY THE CHAIRMAN OF THE  
TRADE NEGOTIATIONS COMMITTEE 
THURSDAY, 12 MAY 2016 
Director-General's Report at the Informal Heads of Delegation Meeting on 9 May 2016 
 
1.1.  I would like to report on the conversations that I have been having with Members.   
1.2.  Since the General Council in February I have visited Qatar, Jordan, South Africa, Lesotho, 
Argentina, Brazil, Germany, Vietnam, Malaysia, In donesia, and Pakistan. On each of those visits 
I reported – both to government officials and to other constituencies – on the recent accomplishments at MC10. I also briefed them on  the challenges ahead and on the ministerial 
mandate that asks all of us to find ways to adva nce our work and negotiations in Geneva. I invited 
them to be active participants in this discussion. 
1.3.  In recent weeks I have also attended a retreat held by the LDC Group in Montreux and a 
meeting of the Asian Group of Developing Countries here in Geneva. Due to illness I was 
represented at the Africa Group's retreat in Chav annes de Bogis by DDG Agah, who has of course 
briefed me on those discussions.  
1.4.  Regarding substance, my discussions with Members have focused on two points: 
 First, implementing the Nairobi & Bali outcomes – covering export competition, cotton, 
LDC issues, the Trade Facilitation Agreem ent, and negotiations on an SSM and a 
permanent solution on public stockholding.  
 And, second, as we were instructed to do by Ministers in Nairobi, figuring out how to 
build on those outcomes and advance negotiations. 
1.5.  On the first point (implementing Bali and Nairobi), clearly we need to keep making progress 
in all areas. We will have a full update on implementation from the General Council Chair during 
the meeting on Thursday.  
1.6.  For my part, I have held a few meetings with the 16 Members who currently have export 
subsidies entitlements for agricultural products in  their Schedules. Some of them reached out to 
me asking, in particular, how they should proceed concretely with regard to changing their respective schedules, given the Nairobi decision en visaged the 'elimination' of such entitlements. 
So I convened meetings with the groups of developed and developing country Members who have 
such entitlements. We met in two separate groups. First, I met with the group of developed 
countries with such entitlements since, as yo u know, despite some exceptions, they have to 
implement the elimination of those entitlements immediately. Second, I met with the group of 
developing countries, and I recall that these Members only have to start eliminating their 
entitlements by the end of 2018, with the exceptio n of cotton for which the elimination should take 
place as soon as 1 January 2017. We had good conversations and I think that we will soon be in a 
position to take a common approach on how to translate the Nairobi decision as it relates to 
scheduled export subsidies entitlements. 
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  1.7.  On ratifications of the TFA and the TRIP S amendment, we are seeing a lot of progress – 
including during my visits, where I have sometimes personally received the completed instruments of ratification. On the TFA we now have 77 ratifications. This takes us a long way towards the two thirds that we need for the Agreement to enter into force. And on the TRIPS amendment we are 
even closer – with just a handful more needed to get over the finish line.  
1.8.  I would encourage Members to keep a focus on all areas of implementation.  
1.9.  Let me turn now to the second point, whic h is finding ways to advance negotiations. I am 
seeing a significant increase in the level of interest in our work compared with what we had before 
Nairobi. I think we have to take advantage of that. As I have mentioned before, in every place 
I visit I am also seeing a notable increase in engagement from the private sector, for example. This is very welcome, and at the request of the I CC and B20 I have agreed to facilitate a dialogue 
among and with business representatives at the WTO on 30 May. I have sent a fax to all Heads of 
Delegation inviting you to attend a session of th is event. I want to facilitate these businesses – 
large, medium and small – from developed and de veloping countries – to exchange views among 
themselves and share with us some of their thoughts on trade issues. I think this may be an 
interesting contribution to our debate here. Of course it will be entirely up to you to follow-up, or not, on any of the ideas that may come from the participants. 
1.10.  Returning to my report, from my many ex changes with Members, I have been very pleased 
with the change in tone. There has been a marked  increase in positivity about our work, despite 
the uncertainties on how to advance negotiations. The Nairobi Ministerial was received as a very successful conference – and so now people are aski ng how we can keep up this record. They want 
to know how we can keep delivering successful ministerial conferences – and what might be on the 
table to be delivered. I have been inviting Members to reflect and to contribute their thoughts to this debate. And I continue to hear a lot of ideas being floated regarding process and substance. 
1.11.  There remains a clear emphasis on putting development at the centre – and on prioritizing 
LDC issues. Of course Members remain committed to implementing the Bali and Nairobi ministerial decisions and to delivering the remaining DDA issues. But we need to find, in all areas, a way of 
overcoming Members' differences to find a credible  path forward. I have been asking Members to 
do just this. I have asked you to talk to each other. And I called on the Chairs to reach out to Members in order to deepen this dialogue. I have asked everyone to be creative and open-minded. 
1.12.  As far as Doha and its pending issues are concerned, I have not yet heard anything that 
could promise a breakthrough. We tried very hard for two years to find an idea, a methodology, 
anything that could facilitate an agreement. Ev idently, we did not succeed. The difficulties were 
not based on substantive economic considerations – they were mostly political. They revolved 
around very basic and fundamental conceptual di fferences about what and how each one should 
be contributing. There was no overlap at all in positions.  
1.13.  So we clearly need to brainstorm further to  begin to identify solutions, particularly on the 
tougher issues. In fact, it is encouraging to note  that neither the Chairs nor Members have given 
up. They are still exploring new ideas and concepts. I urge them to continue and to intensify these efforts. We all need to work harder. We won’t move forward here without a real step-change in the levels of flexibility and political will.  
1.14.  Also, beyond the DDA core issues of agriculture, NAMA and services, I am hearing a range 
of other things that Members would like to discuss as well. Some of these are also DDA issues. Fisheries subsidies is one such area which has frequently been raised. Other issues which I have 
heard raised include competition policy, SMEs (or MSMEs), investment facilitation, e-commerce, 
private standards, NTBs and many others. 
1.15.  I think it is positive that Members are looking in a practical way at what their priorities 
might be. But there is a very wide range of issues here – and in each case, we need a much 
greater degree of specificity. E-commerce, for example, could cover a whole universe of potential issues. What specific areas do Members want to put on the table for discussion? And on DDA issues like agriculture and market access, how can we avoid running into the same problems that 
we have faced year after year? What ar e the specific steps we should take?  JOB/GC/92 
 
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  1.16.  We will need more clarity in order to make progress. This raises some questions about 
timing and process.  
1.17.  First, let me stress the issue of timing. If we are going to deliver results by MC11 – 
whatever they are – we need to firmly establis h our priorities as soon as possible so that 
negotiations can be pursued with vigour and purpose as soon as possible. Some issues already 
have MC11 as a deadline for outcomes, such as public stockholding. This is not the case for most other issues however. 
1.18.  We don't have unlimited time and our current reflection period must soon transition into a 
proposals-driven process. This is precisely why my schedule of trips is so intense in this first semester. After the summer break it is my intention to stay mostly in Geneva so as to facilitate this transition as much as I can. 
1.19.  Second, we need to better understand what paths are available to us as far as process is 
concerned. We do have guidance concerning multilateral negotiations. The Nairobi Ministerial Declaration clearly states that any multilateral  negotiation must be approved by consensus. 
However, I know that some of you would like to start conversations on certain issues before we 
establish whether or not multilateral negotiations are either required or desirable. 
1.20.  This is a Member-driven Organization and th erefore it is entirely and solely up to you to 
decide how you want to pursue these conversations. Some of you talk about seminars, others 
think of informal meetings, and I'm sure that many other approaches may be envisaged. 
1.21.  Whatever you decide individually or in groups, my strong recommendation is that these 
approaches be inclusive and open-ended – at least as a starting point – affording any and all WTO 
Members an opportunity to participate actively and constructively from day one. 
1.22.  I am a strong believer in multilateralism and I think that this should be the preferred 
approach. I'm sure in some areas not all of you will  be ready to or willing to participate. I have 
said before that it is my view that the future of our negotiations hinge on our ability to be flexible, 
recognizing fully the diversity of circumstances among the Members – somehow following the example of the Trade Facilitation Agreement.  
1.23.  Whatever we do, let's go together as far as we can, without ignoring the possibility that 
some commitments will possibly be out of reach for some of you. At the end of the day, we may also follow approaches where multilateral and plurilateral commitments follow parallel tracks and substantively complement each other. I would be open-minded about this somewhat hybrid 
approach. 
1.24.  Nonetheless, I must go back to the very f undamental fact that you are the drivers. You will 
decide the path forward for any issue you want to pursue. I have just expressed to you my own 
views, which have as a fundamental goal the systemic health of our Organization. 
1.25.  These are questions for you all to consider. But the message I am receiving loud and clear 
from capitals – and from many of you here  – is that we must keep delivering.  
1.26.  So we have to keep an eye on the calendar. Five months have passed since MC10. Soon it 
will be time to roll up our sleeves and move towards identifying some concrete outcomes for MC11. This means that our period of reflection must  soon be over. In short, we need to be ready 
to move to the next stage of our work, and to provide more specifics about both the 'what' and the 
'how'.  
1.27.  Creativity and open-mindedness will remain essential. But so will continued and increased 
political buy-in from capitals. The Chairs and I remain at your disposal to assist you in defining a 
credible path forward. 
 
 
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