RESTRICTED  
  
WT/COMTD/LDC/M/83  
 
29 October 2018  
(18-6740) Page: 1/13 
Sub-Committee on Least Developed Countries  
Eighty -Third Session    
 
 NOTE ON THE MEETING OF 14 SEPTEMBER 2018  
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 
- State of Implementation of the Registered Exporter (REX) System by LDCs for 
applying Everything -but-Arms (EBA) Preferences: Briefing by the European Union  ......................  1 
C. TRADE -RELATED TECHNI CAL ASSISTANCE AND C APACITY -BUILDING 
INITIATIVES FOR LEAS T DEVELOPED COUNTRIE S ................................ ............................  5 
- WTO Technical Assistance and Training to Least Developed Countries: Oral Report 
by the Secretariat ................................ ................................ ................................ .................  5 
- Standards and Trade Development Facility (STDF): Briefing by the STDF 
Secretariat on Recent Activities Relating to LDCs  ................................ ................................ ..... 7 
D. ACCESSION OF LEAST D EVELOPED COUNTRIES ................................ ........................  9 
- State of Play in the Accession Working Parties of Least Developed Countries: Oral 
Report by the Secretariat  ................................ ................................ ................................ ...... 9 
E. OTHER BUSINESS  ................................ ................................ ................................ ... 13 
 
 
A. ADOPTION OF THE AGENDA  
1. The Sub-Committee on Least Developed Countries  (hereinafter the Sub -Committee ) adopted 
the agenda  contained in document WTO/AIR /COMTD/LDC/ 10.  
B. MARKET ACCESS FOR LE AST DEVELOPED COUNTR IES 
- State of Implementation of the Registered Exporter (REX) System by LDCs  for 
applying Everything -but-Arms (EBA) Preferences: Briefing by the European Union  
2. The Chair person  recalled that t he Work  Programme for the Least Developed Countries 
(LDCs ) mandated  the examination of additional measures for further improvement of prefere ntial 
market access schemes. She sa id that the delegation of the European Union (EU)  had requested to 
brief Members on the  implementation of the REX system  of certification of origin , which a number 
of LDCs still had to apply and which was necessary to bene fit from EBA preferences. She invited  
the representative of the EU to provide the Sub -Committee with the briefing.  
3. The representative of the European Union  expressed appreciation for the opportunity to brief 
the Sub -Committee and recalled  her delegation 's interest  in having a dialogue in the 
Sub-Committee  on issues pertaining to preferential market access for the LDCs. She highlighted 
that the LDCs and the EU could  work together to implement the REX system , which would  be trade 
facilitatin g for LDC exporters and help  the LDCs  improve their participation in international trade.  WT/COMTD/LDC/M/83  
 
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  4. She recalled that the legislation for the REX system had been introduced in 2010, and that 
the system  was being implemented  since 1 January 2017 . She said that Generalized System of 
Preferences ( GSP) beneficiaries need ed to move to this system by 2020.  
5. She said that the REX system was a system of self -certification by exporters with 
statements on origin, which replaced a system of origin certification using certificates of origin 
Form A . The new system was based on trust in the exporters in the beneficiary countries to certify 
the origin themselves. The exporters were registered in a database by the competent authoritie s in 
the beneficiary countries to be entitle d to apply the system. She noted that for shipments under 
€6,000, the exporters did not need to be registered to self -certify origin. She clarified that the REX 
system did not change in any way th e rules for determining origin.  
6. She went on to explain the r egistration of exporters in beneficiary countries. Exporters 
needed to fill  in an application  (electronically or on paper)  and submit it  to the competent 
authority. The competent authority then would register the exporter in the online REX system, 
maintain ed by the European Commission ( EC), and assign the exporter a REX number, a 
registration date and a validity date. She pointed out that t he registration of an exporter was  a 
one-time operation and valid from the moment the application was submitted by the exporter ; the 
registration could be backdated if the authority implemented the registration at a later date . She 
highlighted that not only the self -certification was cost -free but also t he registration of exporters 
would be free of charge . She said that  competent authorities c ould not reject  a registration  unless 
there was some suspicion of fraud or wrongdoing by the exporter .  
7. She said that Norway and Switzerland w ere also applying the REX system to their GSP 
beneficiaries.  She noted that only one regis tration to the REX system was required for an exporter, 
which would then be applicable to the GSP schemes of the EU, Norway and Switzerland if the 
country was in those GSP schemes.  
8. Regarding origin certification, she said that a simple statement on origin had to be included , 
indicating the exporter's REX number, the origin and the origin criterion.  The statement could be 
included on any commercial document which identified the goods involved and the exporter 
concerned. The statement  on origin  was made by th e exporter, without intervention of the 
competent authorities and without the need to connect to the REX system. The statement c ould be 
provided  in French, English or Spanish . 
9. Regarding the publication of data, she explained that if the exporter agreed, a number of 
identifying data would be made public on the internet so that the importing country c ould check 
online the status of the exporter. If the exporter did not  agree , a smaller set of information w ould 
be made public on the internet . This would allow  economic  operators and importers to verify  the 
validity of the registrations on the exporter's documents.  
10. She went on to explain  the two prerequisites and the transition periods  regarding the REX 
system , and invited Members to see where their countrie s stood in this respect.  The first 
prerequisite was an undertaking by the beneficiary country providing for administrative 
cooperation in the framework of the REX system. She said that the EC Directorate General (DG) 
Taxation and Customs Union ( TAXUD ) had mad e available a template of such undertaking, which 
could be signed by an authori zed representative of the beneficiary country.  The second 
prerequisite was the submission of the contact details of the competent authorities which would 
deal with the registrat ion of the exporters  and which were responsible for ensuring  administrative 
cooperation.  She pointed out that in the REX system, in contrast to the current system, contact 
details of competent authorities were needed to be sen t only once.  
11. She highlighted that as soon as these two prerequisites were fulfilled, the beneficiary 
country would effectively start apply ing the REX system , and its exporters w ould be eligible for 
GSP preferences.  The EC would update the website with the date  of application, define the 
competent authorities  of the beneficiary country  in the IT system and provide the  responsible 
officials in the beneficiary country with a  username and the password so that they c ould enter 
exporters into the system.  
12. She went on to explain the transition periods for the application of the REX system. 
Beneficiary countries were scheduled to apply the REX system in waves, i.e. on the 1 January of WT/COMTD/LDC/M/83  
 
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  either 2017, 2018 or 2019. Following the entry into the system, a one -year transition p eriod was 
applied were both "old" Form A certificates as well as "new" statements on origin could be used. 
Countries had also had the possibility to request  an additional six -month transition period for 
apply ing either system.  However, the deadline to requ est such an additional transition period had 
already passed. She noted that by 30 June 2020, every GSP beneficiary of the EU w ould have to  
apply the REX system and Form A certificates  would cease to exist.  
13. She said that out of 24 LDCs that should already be applying the REX system, only 15 LDCs 
were actually  doing so . This meant that there were nine LDCs that were temporarily not 
benefitting  from duty-free and quota -free ( DFQF ) market access to the EU . She urged the 
Members which were not yet applying  the system to contact her delegation or the EC as soon as 
possible so  that the situation could be rectified . She also cautioned that another wave of countries 
would have to apply the REX system starting from 2019.  
14. She continued by explaining the d ocumentation that was available on the REX system. There 
was a dedicated website on the REX system by TAXUD which, inter alia , included the deadline s for 
its application  and information on which country  was yet to apply  the system. She noted that a  
REX guidance documen t would be  published soon on the website and an eLearning system was 
available online as well.  
15. She concluded her intervention highlighting three points. Firstly, she cautioned that the 
deadlines were imminent  and asked  delegations to  follow -up with their capitals. Secondly, she said  
that support was available. Besides eLearning, the EC had been offering trainings in Brussels  for 
two representati ves of each beneficiary country . If countries want ed to send more people at their 
own expense, the EC would do it s best to provide extra spaces. There were still some places 
available for t he next training in October  2018. The EC had also done regional trainings for groups 
of countries when there was a larger population of staff that need ed to be trained. The EC was also 
provid ing phone support if goods arrived from exporters that had not yet been registered in the 
REX system. She mentioned that there had been several cases where the customs authorities ha d 
called TAXUD and exporters had been registered online on the spot so that goods could enter 
duty-free. The EC also provided support regarding possible  cheating problems on a rolling basis.  
16. Lastly , she highlighted that  the main reason for th e introduction of the REX system was to 
facilitate trade and help exporters in GSP beneficiary countries,  and particularly in LDCs , to benefit 
more from EU preferences . She believe d that th e system  would provide tan gible benefits to 
exporters . She encourage d beneficiary Members to move to the REX system, as it intended to 
facilita te access to the EU market . She concluded by  inviting interested delegations to contact her  
for possible follow -up. 
17. The representative of Chad , on behalf of the LDC Group, thanked the representative of the 
EU for the presentation . He noted the importance of the initiative as its purpose was to facilitate 
market access to the EU , which was one of the LDCs' main markets.  
18. He said that it was  essential that the LDCs  had a clear understanding of the  operation of the  
REX system  and where  they stood  regarding its application . He acknowledged that the LDC 
delegations had to ensure that their capitals were aware of the importance  of the implementation 
of the REX system.  He said that the briefing  had certainly strengthened the LDCs'  understan ding of 
how the system  was streamlining procedures and providing flexibility for its users with respect to 
EU market access. He felt that the REX system would help strengthen the competitiveness of SMEs 
in LDCs and ensure their contribution to economic gro wth and job creation.  
19. He continued by stress ing that DFQF market access was fundamental to ensure a better LDC  
integration into the multilateral trading system  (MTS)  and raise their l ow levels of participation in 
world trade. He underscored  the need for an in-depth analysis of DFQF market access and recalled 
that the LDC Group had submitted draft terms of reference for a Secretariat Note in the CTD 
(WT/COMTD/W/218/Rev.1 ). The objective of such study would be to obtain a clear understanding 
of the problems that hinder ed the  LDCs to fully utilize DFQF market access preferences .  
20. He said that n egotiations at the WTO should take the specific constraints  of the LDCs  into 
account. He noted that every Member had to make concessions in every  other Member s' favour, 
particularly at a time when there were different tensions and protectionist temptations.  WT/COMTD/LDC/M/83  
 
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  21. He asked whether Norway and Switzerland  were also covered  by the REX system . He noted 
that LDC operators still face d difficulties regarding  EU market access  even after they ha d 
registered. He underscored the importance of ensur ing that the LDCs , their exporters and 
economic operators , had confidence in the system and that possible obstacles would be addressed. 
This would  help ensure prompt registration by the remaining  the LDCs.  
22. The representative of Angola  associated her delegation  with the statement made by the 
representative of Chad on behalf of the LDC Group . She thank ed the EU for the comprehensive 
briefing . She said that Angola consider ed any measures adopted by the EU in the framework of its 
preferential market access system for LDCs extremely important and hope d that a country -specific 
approach would help understand the real progress of  the EBA Initiative.  
23. She was aware that export diver sification depend ed on several factors, including supply -side 
constraints, prod uction costs, infrastructures and  other factors that severely limit ed the 
competitiveness of LDC exports. However, access to markets, particularly in the context of 
unilateral p references, was also of paramount importance in achieving the ob jectives of a more 
diversified economy, including in the t rade sector.  
24. She said that meeting the strict requirements for determ ining the origin of products might  
prevent LDCs from receiving th e benefit of market access preferences.  She therefore welcome d all 
measures aimed at making  rules of origin  less stringent , in the same spirit as the measure s 
adopted by the European Union in 2011.  
25. She recalled that t he REX system of origin certification o f goods applicable in the GSP of the 
EU, in force since January 2017, require d registration to enable economic operators to declare the 
origin of their products.  She noted that Angola had already implement ed the REX system after 
having submitted its commitment to administrative cooperation in this area , and having 
communicated the contact details of the competent authorities responsible for registering 
exporters and for administrative cooperation.  
26. She concluded by emphasiz ing the importance of the EBA  Initiative , which, since its launch 
in 2001, ha d generated an overall increase in exports from the LDCs to the EU, despite the erosion 
of preferences resulting from bilateral trade agreements concluded by the EU.  
27. The representative of the European Union  referred to the intervention of Chad and said that 
she would come back with case stories  to convey the benefits of moving to th e REX system that 
would come out from the  implementation  of the system . She reiterated that her delegation was 
interested to conti nue the dialogue in th e Sub-Committee on the  various aspects of preferences  
that were available to the LDCs . She confirmed that the REX system was one system that was 
managed by the EC , and which was also being used by Norway and Switzerland . She also 
expressed appreciation for the valuable support provided by the Enhanced Integrated Framework 
(EIF) in helping the EU communicate with LDC capitals  as well as assisting the LDCs regarding the 
application of the REX system.   
28. The representati ve of Norway  confirmed that Norway was  covered by the REX system.  
29. The Chair person  thank ed the representative of the EU for the briefing and Members for their 
statements. She said that t he REX System of self -certification of origin  was intended to facilitate 
the use of  preferences under the EU's GSP scheme by entitling registered exporters to submit 
statements on origin. She considered  that the discussion had helped clarify the require ments to 
apply the REX system. She  encourage d the LDCs which were still to apply the R EX system, to 
follow -up with their capitals to take the necessary steps so that their exporters w ould be able to 
benefit from preferential market access to the EU, Norway and Switzerland.  She suggest ed that 
the Sub -Committee take note of the briefing made by the delegation of the EU, as well as the 
statements made.  
30. It was so agreed . WT/COMTD/LDC/M/83  
 
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  C. TRADE -RELATED TECHNI CAL ASSISTANCE AND C APACITY -BUILDING INI TIATIVES 
FOR LEAST DEVELOPED COUNTRIES  
31. The Chairperson  recalled that the Work Programm e for the LDCs mandated the 
Sub-Committee to monitor capacity -building initiatives taken in favour of LDCs.  
- WTO Technical Assistance and Training to Least Developed Countries: Oral Report by 
the Secretariat  
32. The Chairperson  recall ed that every year the Sub -Committee receive d an update from the 
Secretariat on WTO's technical assistance  (TA) and training provided to the LDCs, which, inter alia , 
aimed at helping them better exercise their rights and obligations. She invited the Secretariat  
(Institute for Training and Technical C ooperation  (ITTC) ) to provide the Sub -Committee with the 
report on the activities undertaken in favour of LDCs during 2017. 
33. The representative of the Secretariat  (ITTC) recalled that the implementation of WTO's TA 
activities was based on its Biennial TA an d Training P lan (WT/COMTD/W/227/Rev.1 ). He said that 
the Secretariat continued to give priority to the LDCs  in its delivery of TA.  A lot of support was 
provided to Sub -Saharan Africa, where the majority of the LDCs were located . Referring to the 
annual per formance re port on TA and training for 2017  (WT/COMTD/W/ 235), he said that LDCs 
could be associated to about 60% of all activities and that  one third of all activities had specif ically 
address ed LDC concerns.   
34. He recalled that since 2013, the Secretariat had been offering intermediate thematic courses 
for the LDCs (level 2 in the Progressive Learning Strategy) , addressing the demands of the LDCs . 
In 2017, four courses for LDCs were held ; besides the regular  LDC introduction course , three 
thematic courses covered trade in services statistics, agriculture and LDC priority issues in the 
MTS. He underscored the positive feedback from participants for these thematic courses , which  
were interactive and focus ed on issues of importance to LDCs  such as  the LDC S ervices Waiver 
and DFQF market access. He said that TA requests from LDCs were given priority both at the 
regional and national level. He regretted that the LDCs continue d to submit the least requests for 
national activities.  
35. He went on say that the LDCs were  also given priority regardi ng the participation in three 
internship programmes, namely, the Netherlands Trainee Programme (NTP), the French and Irish 
Mission Internship Programme (FIMIP), and the Regional Coordinator Internship (RCI) Programme.  
He express ed appreciation for the Members funding the NTP and FIMIP, as well as for Members 
that contributed to the Global Trust Fund, which financed the RCI Programme. He said that i n 
2017, participants from LDCs had represented more than 60% (10/16) of participant s in the NTP, 
more than 50% (8/15) of participants in the FIMIP  and 60% (3/5) of participants in the RCI 
Programme.  He remarked that the high participation of LDCs in the RCI Programme indicated an 
increased level of responsibility by the LDCs to coordinate groups of Members.  
36. He concluded by saying that the LDCs, particularly in Africa,  had taken advanta ge of WTO's 
e-learning courses  in large numbers . In 2017, 3,247 participants had been from LDCs (30%  of all 
participants ). The success of e -learning c ould be attributed  to increased outreach efforts  by the 
Secretariat as well as increased efficiency and knowledge transfe r through the development of 
interactive modules and multimedia in the courses.  
37. The representative of Chad , on behalf of the LDC Group, thanked  the Secretariat for the 
report. He recalled the importance of WTO's trade -related TA and capacity building  progr ammes,  
as well as support provided by the EIF and under the framework of  aid for trade. He said that 
human and institutional capacity building was undoubtedly one of the major contributions of the  
WTO to address the needs of the LDCs, so that they could  hone their trade policies and adequately 
implement WTO Agreements. The LDCs needed sufficient  means to achieve the agreed objectives  
in terms of both quantity and quality of TA and training in LDCs with a view to ensuring their full 
integration into the MTS.  
38. He recalled that the  LDCs  had specific needs  due to the circumstances and specific hurdles 
that they face d. The fall in economic growth in the LDCs in recent years had confirmed their 
vulnerability and the need for significant support to be able to addres s the colossal economic, WT/COMTD/LDC/M/83  
 
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  financial and infrastructural challenges that the LDCs faced. Given th ese challenges, h e 
underscored the importance of WTO TA to ensure that the LDCs  could participate fully in the MTS.  
39. Recalling financial difficulties that the LD Cs faced, he  stressed that the LDCs  sometimes 
struggle d to express their needs for TA because the Secretariat only cover ed the costs for experts 
but not local costs . He emphasized that LDCs sometimes abstained from requesting TA  as they 
could no t fund thos e local costs. He suggest ed that the WTO  should cover local costs related to 
training and capacity -building workshops . He hoped that local cos ts could be taken into account  
when future requests were received from LDCs.  
40. He recogni zed the pivotal role of TA  to the LDCs' integration and participation in the MTS 
and welcome d the role and the activities of the ITTC. He also recognized  that improvements c ould 
be made  and pointed to the  LDCs ' willingness to fully collaborate to further  improv e TA and 
capacity -building process. He reiterated the Group's gratitude to the Secretariat  as well as donors , 
encouraging them to increase their contributions so that the LDCs c ould be better integrated into 
the MTS. 
41. He also recalled the importance of TA to bolster the  LDCs ' capacity relating to the  
implementation of the Trade Facilitation Agreement  (TFA) and acceleration of their accession 
process es to the WTO. The LDC  Group remained  open to suggestions and discussions with other 
Members, so the LDCs'  concerns and circumsta nces be fully taken into account.  
42. The representative of Angola  thank ed the Secretariat for the report. She was pleased to 
notice that the LDCs continue d to be a priority in the implementation of WTO 's TA activities aimed 
at helping Members  to adjust to the rules and disciplines of the MTS. She took the opportunity to 
appeal to  the Secretariat  to consider  the needs of the LDCs such as Angola, which  were in the 
process of graduation  and require d specific assistance for a smooth transition. She expressed 
appreciation for the words of Director -General Azevê do at a meeting with LDC  Ambassadors on 
8 June 2018, where he indicated the Secretariat's readiness to assist Members that were  in the 
process of graduating  from the LDC  category. She conclu ded by  thank ing donors for their support 
and urge d them to continue to provide assistance.  
43. The representative of the European Union  thanked the Secretariat for the report . She 
underscored the importance of  TA in making sure that all Memb ers of the trading community could  
participate effectively and that the assistance provided through the WTO  was an imp ortant tool in 
that respect. She welcome d the good participation  of LDCs in  WTO's TA  activities , including  
internship programmes . She  noted the positive tren d of LDC  participation in e -learning , which  she 
considered as being a  very effective means of delivery . She welcome d efforts by the Secretariat  as 
well as beneficiaries in enhancing the efficiency and impact of activities under  the TA Plan for 
2018-2019.  
44. The representative of the United States  found the Secretariat report useful. She expressed 
her appreciation for the work being carried out by the Secretariat in technical assistance.  
45. The representative of the Secretariat  expressed his appreciation for the positive feedback by 
Members and said that the Secretariat would continue seeking further improvements.  He 
acknowledged that  the issue of  local costs  had been raised by the LDC Group  also in the past. He 
said that the funding of local costs by the WTO was a challenge for different reasons , including 
whether it could be funded through regular budget or extra -budgetary funding . He said that the 
Secretariat would start carry ing out an internal review regarding the possibilities to cover  local 
costs. Following  this review, the Secretariat would  further discuss with the LDCs and with Members 
on how the issue of local co sts could be addressed.  
46. Regarding the intervention of  Angola , he said that he was happy to how TA activities could 
address issues related to the graduation of LDCs. He mentioned that ITTC would collaborate with 
WTO’s Development Division on this issue.  
47. The Chairperson  thanked the Secretariat for its report and Members for their statements. 
She was  pleased to note that the LDCs continue d to be a pri ority beneficiary of WTO trade -related 
technical assistance. She noted that i n 2017, one third of TA activities specifically addressed the 
needs of LDCs. She encourage d the LDCs to continue taking advantage of the various activities WT/COMTD/LDC/M/83  
 
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  offered to them by the WTO to further enhance their capacity in trade policy and exploit the 
opportunities provided by the MTS. She suggest ed that the Sub -Committee take note of the report 
made by the Secretariat as well as the statements made.  
48. It was so agreed . 
- Standards and Trade Development Facility (STDF): Briefing by the STDF Secretariat 
on Recent Activities Relating to LDCs  
49. The Chairperson  said that t he STDF  was a capacity -building initiative to help developing 
countries enhance their capacity to comply with international  sanitary and phytosanitary (SPS) 
measures. The LDCs were among the major beneficiarie s of the STDF which was why the 
Sub-Committee ha d been considering this item on a periodic basis. She invite d the Secretary of 
the STDF  to provide the Sub -Committee with  an update on t he activities relating to LDCs.  
50. The representative of the STDF Secretariat  started his intervention by showing a film 
illustrating how an STDF project had helped small -scale shrimp producers in Bangladesh to 
improve compliance with internatio nal SPS measures in order to increase market access.  
51. He said that the STDF was a global Aid -for-Trade partnership that help ed developing 
countries , and LDCs in particular, to develop SPS capacity.  As this was  closely linked to the 
implementation of the WTO  SPS Agreement , the STDF was housed in the Agriculture and 
Commodities Division  of the WTO.   
52. He recalled that the STDF was originally established by five organizations  (Food and 
Agriculture Organization , World Bank Group, World Health Organization, World Organi sation for 
Animal Health  and WTO) and its goal  was to  increase the capacity of developing countries to 
implement international SPS standards and gain  and maintain  market access . The STDF also 
contributed to the Sustainable Development Goals, having a  vision of sustainable economic 
growth, poverty reduction, food security and environmental protection in developing countries . 
53. He went on to explain the functioning of the STDF working group , which met  twice per year 
and included the founding partners, other partners  (ITC, UN IDO), donors, private sector  and 
developing country experts . He highlighted that currently four out of six experts were from LDCs 
(Benin, Haiti, Vanuatu, Zambia), two more than required by the STDF rules. He invited Members 
to consul t their bios on the STDF website a nd get in touch with the STDF Secretariat if they wished  
to establish contact to an expert.  
54. He said that the STDF had been experienc ing increased interest from the private sector, 
which was reflected in an increasing numbe r of projects involving  public -private partnerships  
(PPPs) . However,  also in  the STDF Working G roup, organizations like the Global Food Safety 
Initiative , which convenes the major global food manufacturers and retailers , had been 
participating . Other STDF bodies included the STDF Policy C ommittee which  provide d the strategic 
direction  for the Facility and the STDF Secretariat , whose six staff managed the programme .  
55. He said that the STDF had two  functions. Firstly, the STDF was a  global coordination and 
knowledge platform and network for SPS capacity building . Secondly, it was also a funding 
mechanism for innovative, cross -cutting SPS projects and project development.  
56. He continued by summari zing the STDF's financial support for the LDCs. During 2004 -2017, 
the STDF trust fund had disbursed US$ 44.9 million  for projects and project preparation grants 
(PPGs), of which US$25.8  million had been allocated to LDCs. He said that the STDF  had allocated 
close to 60% of its funds for projects to LDCs, and therefore cont inued to meet its  target to 
allocate at  least 40% of its project resources to LDCs and other low -income countries.  
57. He highlighted that these numbers reflected only the STDF 's contribution to  project s and 
that the total budget of projects was higher as the  STDF had been  able to generate additional  
resources to support SPS capacity in LDC s. He said that additional contribution s came from 
beneficiary countries themselves, either in kind or financial, the private sector through PPPs, and 
other donors through co-funding arrangements.  WT/COMTD/LDC/M/83  
 
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  58. He went on to explain what type of PPGs and projects the STDF funded . He explained that 
PPGs were essentially seed funding of up to US $50,000 to turn a good idea into a sound and 
sustainable project. A good project should be grounded in a local context. It required support from 
relevant ministries , including the m inistry of trade,  the ministry of agriculture, and frequently also 
the ministry of health, as well as from  the private sector. PPGs should als o compliment other 
existing initiatives  and aim at mobilizing additional resources. He said that  on average it t ook 
about one year to develop a good project and that the STDF Secretariat and  the STDF partners 
were available to help Members with this . 
59. He ga ve the example of  a PPG on upgrading the Sudanese sesame seed value chain , where 
the actual project  was about to start. He explained that Sudan was a big producer  of sesame seeds 
but due to SPS challenges  (insects and pests, aflatoxins, maxim um residue lim its of pesticides)  
unable to export to higher value markets such as the  EU, Japan and South Korea . The project 
would involve  training of farmers on good agricultural practices (FAO) and linking post-harvest 
stakeholders to markets (UNIDO ). He highlighted the collaboration of two international agencies 
on the project and that the approach taken could be replicated in other countries if t he project 
would be successful.  
60. In addition to PPGs, he said that the STDF also provided funding for projects . Grants focu sed 
on projects that identified good practices, were replicable, include d regional or global approach, 
and were innovative, collaborative and inter -disciplinary,  cutting across the three silos in the SPS 
area ( food safety , animal and plant health). He note d that the LDCs were required to provide at 
least 10% of the STDF contribution to a project (financial or in kind ). He also said that the STDF 's 
project cycle increasingly considered the  impact on women and environment from application to 
project review an d evaluation . 
61. As an example, he referred to  a joint project with  COMESA and the EIF on mainstreaming 
SPS investments in the Comprehensive Africa Agricultural Development Programme  (CAADP)  and 
other policy framework s. The objectives of the project were to build capacity in COMESA member 
states to prioritize SPS investments and mobilize resources, as well as to foster  collaboration 
across government agencies (trade, agriculture, health, finance), private sector , academia and 
donors.  
62. He said that in this project , the STDF 's proje ct function was meeting its function as  
coordination and knowledge platform . The project applied an approach  developed by the STDF to 
strengthen SPS planning and decision -making , which ha d already been applied in a  range of 
developing countries.  Evidence had shown that this approach facilitate d public -private dialogue , 
support ed project design  and fund raising, increase d much -needed awareness about the value of 
SPS investments  among high -level government officials, and  enhance d resource efficiency .  
63. He went on to say meeting SPS requirements  was important not only to facilitate 
international market access for exporters, but also that there  was a need to reduce SPS -related 
trade cost  such as control , inspection, and appr oval procedures to increase the competitiveness o f 
developing countries and LDCs. He  noted  that the STDF had recently been carrying out work on  
reducing SPS -related trade costs, mainly  on the import side.  This work was based on research 
carried out in a nu mber of countries during 2012 -2013 and related to Annex C of the SPS 
Agreement (C ontrol , inspection and approval procedures ). He said that this work had gained more 
momentum  in the STDF due to the TFA, which was not  only applicable to customs agencies but 
also to other border agenc ies, including SPS border agencies.  
64. He said that in order to reduce SPS -related trade costs , it was important to improve 
transparency on regulations and fees , stream lining documentary requirements and control 
procedures,  implement risk -based approaches, strengthen  coordination  across SPS authorities and 
with customs , and integrate SPS controls in national single windows . The STDF was currently 
facilitating the organization of a workshop in selected Southern African Develo pment Community  
(SADEC)  countries together with the World Bank, t he World Customs Organization, t he TFA Facility 
and other STDF partners on good practices  in the area of  border agenc y collaboration.  
65. He furthermore raised Members ' attention to some innovat ive projects related to 
digitalization and paperless trade  (ePhyto: Globally harmonized system to exchange electronic 
phyto certificates ; veterinary e -certification , IT solutions to promote regional trade  in Asia/Pacific ).  WT/COMTD/LDC/M/83  
 
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  66. He invited Members to visit the STDF's website which contained briefing notes, the 
possibility to sign up to the STDF news item, examples of  previous projects and a guidance note 
for applicants  to STDF funding . He said that the  STDF Secretariat  was available to discuss with 
delegations  before  they develop ed a project proposal . He noted that the STDF Working Group 
considered applications for PPGs and projects two times per year . The deadline for submitting 
applications to be considered by the  next STDF Working Group meeting in March 2019  was 14 
December  2018. He concluded by  thank ing donors for the support provided to the STDF.  
67. The representative of Chad , on behalf of the LDC Group, thank ed the STDF Secretariat  for 
the informative briefing. He said that developing countries, and LDCs in pa rticular , needed SPS 
capacity building  to meet their economic policies and promote agricultural exports. He referred to 
the film as an excellent example of how the STDF helped the LDCs enhance their production and 
exports. He thanked donors  for their suppo rt, which allowed the STDF to work with  national 
authorities to implement projects that help ed the LDCs  enhance their integrat ion into wor ld trade.  
68. He stressed the importance of  industrialization , structural transformation and economic 
diversification for the sustainable development  of the LDCs . He called on donor s to increase their 
contributions in this respect . He encourage d the STDF to keep up the ir good work . 
69. The representative of Australia  thanked the STDF Secretariat for the presentation , including 
the film. He expressed appreciation and support for the work of the STDF .  
70. The representative of the European Union  thanked the STDF Secretariat for the  
presentation.  She said that the EU and several of its member States were contributors to the STDF  
and th at the EU would continue to be a strong supporter of the STDF. She  welcomed  that the LDCs 
remain ed priority recipients of the  STDF  support.  
71. The representative of the STDF Secretariat  thank ed Members for their  support and their 
encouraging words. He expres sed the commitment of the  STDF Secretariat to continue their  good 
work and to help the LDCs.  
72. The Chair person  thank ed the STDF Secretariat for the briefing a s well as  inspiring film , and 
the Members for their statements . She said that SPS measure s serve d the important purpose of 
ensuring food safety as well as promoting animal and plant health. At the same time, farmer and 
traders from LDCs often f ound it difficult to comply with international SPS standards , preventing 
them from tapping into export market s. Here the STDF  played an important role in helping 
governments and private sector to meet these standards.  
73. She welcomed that the Facility continue d to allocate close  to 60% of its funds for projects to 
LDCs and therefore fully me t the target of allocati ng at least 40% of project resources to LDCs and 
other low -income countries. She encourage d the LDCs to continue making use of the STDF  to build 
their SPS capacity in order to enhance their access to internati onal markets. She also  encourage d 
Members to co nsider providing support to the STDF to the benefit of LDCs and other developing 
countries. She suggest ed that the Sub -Committee take note of the briefing made by the STDF 
Secretariat as well as the statements made.  
74. It was so agreed.  
D. ACCESSION OF LEAST DEVELOPED COUNTRIES  
- State of Play in the Accession Working Parties of Least Developed Countries: Oral 
Report by the Secretariat  
75. The Chairperson  said that a ccession  was a core element of the Work P rogramme for  the 
LDCs. She recalled that it was  in the Sub -Committee, where Members produced a set of guidelines 
to facilitate LDC accessions.  She noted that  there were eight LDCs at various stages of the 
accession process to join the WTO. She invited the Director of the Accessions Division to brief the 
Sub-Committee  on the state of play in the LDCs' Accessions Working P arties.  
76. The representative of the Secretariat  (Director, Accessions Division ) acknowledge d the 
import ant role that the Sub-Committee ha d played in promoting and facilitating LDC accessio ns. WT/COMTD/LDC/M/83  
 
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  Providing an overview of the achievements of LDC accessions, she said that WTO Membership ha d 
grown from 128 in 1995 to 164 in 2018. During these 23 years, 36 Government s, including 9 
LDCs, had successfully under gone the accession process  pursuant to Article XII of the Marrakesh 
Agreement . She noted that original WTO Members and Article XII Members  represented 81.4% 
and 17% of world trade, respectively, leaving only 1.6 % of world trade that was not covered by 
the WTO  rules. She highlighted  that accessions had been playing an import role for the WTO in 
reaching universality as a n organization.  
77. She went on to say that the average length of 9  LDC accessions had been 12 and a half 
years, as compared to more than 10 years for all 36  WTO accessio ns. The longer duration of LDC 
accessions  indicated that the accession  process  had been more challenging for the LDCs. She said 
that all nine LDC accessions were concluded between 2004 -2016; five LDCs (Nepal, Cambodia, 
Cabo Verde, Samoa, Vanuatu) joined th e WTO following the adoption of the LDC accession 
guidelines in 2002, and four LDCs ( Laos PDR, Yemen, Liberia and Afghanistan ) joined following the 
adoption of the addendum to the guidelines in 2012.1 She said that this illustrated the positive role 
of the  LDC accession guidelines for facilitating LDC accessions . She also mentioned the useful role 
of the Sub -Committee in debating what could facilitate LDC accessions.  
78. She continued by summari zing some of the  results  from LDC accession . She said that 
acceded  LDCs had made significantly higher market access commitments than original LDC 
Members . Article  XII LDC Members had an average bound tariff rate of only 22%, as compared to 
65% for original LDC Members. She mentioned that all original LDC Members , except the 
Democratic Republic of Congo , had joined the WTO not through negotiations but through 
sponsorship  after becoming independent , which helped explain the difference in commitments.  
79. She went on to say that in line with the LDC accession guidelines, Articl e XII LDC Members 
had been  granted transition period s to implement their obligations, particularly under Agreements 
related to trade -related intellectual property rights , SPS measures , technical barriers to trade 
(TBT) and custom s valuation.  
80. She was happy to note that Article XII Members had experienced a trade performance which 
was above average, compared to both other Article XII Members (excluding China) and the rest of 
the world. She also mentioned that there had been  significant differences in the trad e 
performance s of the nine Article XII LDC Members. While s ome Members  such as Cambodia had 
experienced strong trade growth, other Members had experienced lower growth , also due to 
factors such as internal conflicts.  
81. She highlighted  that underta king struct ural reforms and achieve economic diversification  
were overriding motivations of some of the countries that joined the WTO . In this respect, she said 
that a good number of Article XII Members had seen an increase in their export diversification 
following t heir accession ( as measured by the  number of HS Chapters accounting  for more than 
60% of exports). Similarly, LDC Members that went through the accession process had 
experienced an improvement in their business environment as measured by the World Banks 
Doing Business Distance to Frontier indicator.   
82. She emphasized that WTO accession , despite being  a rigorous process , had been benefitt ing 
countries in  terms of trade and economic performance. She was  happy to see that some Members  
had graduated from LDC stat us (Cabo Verde and Samoa) or were in the process of graduati on 
(Vanuatu) after having gone through the accession process . 
83. Regarding the 22 ongoing accessions, she said that the remaining acceding governments 
were concentrated in  East Africa, in the Middle East and Central Asia. She noted that eight LDCs 
were in the process of accessions, including six LDCs in Africa  (Comoros, Ethiopia, Sao Tomé and 
Principe, Somalia, South Sudan and Sudan)  and two LDCs in Asia  (Bhutan and Timor -Leste).  
84. She went on to summari ze the key developments in LDC accessions during  2017-2018. At 
the 11th WTO Ministerial Conference (MC11), Ministers had agreed to  establish  a Working Party on 
the Accession of South Sudan. While Comoros had not been able to achieve t heir objective of 
                                              
1 Cabo Verde graduated from LDC status in 2007, Samoa in 2014.  WT/COMTD/LDC/M/83  
 
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  concluding their accession at MC11 , they still had made good progress and were moving towards 
finalization. Another key development was  the expansion of outreach activit ies for sharing 
experiences among acce ding and recently acceded LDCs.  Several recently acceded and acceding 
LDCs were in a post -conflict situation  and wanted to use the accession process to help establish a 
legal and economic fra mework which could support post -conflict recovery. As a result, a recent 
focus of activity was t rade for peace.  
85. She continued by providing the state of play of the eight ongoing LDC accessions.  Comoros 
remain ed a strategic focus. While a constitutional referendum held in July  2018 had caused a 
pause in the process, Comoros planned  to finali ze their accession in 2019 after presidential 
elections.  She mentioned that Comoros would be the first French -speaking  government to 
successfully complete the accession process.  
86. She went on to say that Sudan's accession was currently the longest running LDC access ion, 
being in its 24th year.  While there had been no Working Party activity between 2004 and 2016, two 
WP meetings had been held in 2017. T he next step would be to hold the 5th Working Party  meeting 
in the near future.  She said that the accession process o f Ethiopia  was being reactiv ated. While 
there had been no Working Party  activity since 2012, the new Government had indicated  its 
intention to reactivate the accession process and had just appointed a chief negotiator . 
87. She said that there were three new ac cessions that ha d started in 2016 (Somalia, 
Timor -Leste) and 2017 (South Sudan) , with  the Secretariat supporting Governments in preparing 
the accession process . The President of Somalia had indicated to the Secretariat that the 
Government would like to use  the WTO accession process to establish a policy  framework for 
facilitating foreign investment in Somalia. The next step for Somalia would be the submission of its 
Memorandum on the Foreign Trade Regime (MFTR) . Timor -Leste  was a  newly independent 
countr y, which would like to use WTO accession  as part of their nation building and as a 
complement to its effort s for regional integration  to join ASEAN.  Timor -Leste’s MFTR was circulated 
in June 2017. The next step would be the submission of replies to Members’ q uestions and other 
negotiating inputs.  
88. She noted that South Sudan  was the youngest nation in the world. Following the decision 
taken by the M inisters at MC11 to establish the A ccession Working P arty for South Sudan , the 
Secretariat had undertaken a mission  to Juba in February  2018. The next step was the preparation 
of the MFTR.  She also said that the accession processes of  Bhuta n and Sao Tomé  and Principe  
were dormant with no  Working Party activity . She noted that  the Secretariat had been in contact 
with th e two Governments, having met their representatives in the past year.  
89. She went on to elaborate on outreach activit ies, with the Secretariat focus ing on providing 
platform s for dialogue and experience sharing. In 2017, two China Round Tables had been held in 
Siem Reap, Cambodia in March and in Buenos Aires, Argentina in December.  In August 2017, a 
Regional Dialogue on WTO Accessions for the Greater Horn of Africa was held in Nairobi, Kenya. 
The Dialogue discussed synergies and coherence between regional int egration and WTO accessions 
and had Comoros, Ethiopia, Somalia, South Sudan and Sudan as target audience. She noted that 
the next Regional Dialogue would be held in Djibouti in December 2018 and be themed “T rade for 
Peace through WTO Accession ”. Furthermore, at MC11, acceding LDCs had started an Informal 
Dialogue of Acceding LDCs.  In June 2018, a second meeting was held in Geneva.  
90. She continued by saying that a fourth outreach activity concerned the g7+  WTO Accession 
Group, which had fragile and post-conflict acceding and recently acceded LDCs as target audience  
(Afghanist an, Comoros, Liberia, Sao Tomé and Principe , Somalia, South Sudan, Timor -Leste and 
Yemen ). The Group had been launched at MC11 and had issued a Ministerial Declaration 
(WT/MIN(17 )/51). Regular meetings were being held in Geneva, coordinated by Afghanistan.  She 
concluded by mentioning forthcoming events on “Building Peace through Trade” on 19 September, 
and on “Trade for Peace: Integration of Fragile States into the Global Economy as a Pathway 
towards Peace and Resilience”  on 4 October , the latter event being organized as part of the WTO 
Public Forum 2018 .  
91. The representative of Chad , on behalf of the LDC  Group , thanked the Secretariat for the 
report. He highlighted the usefulness o f regional capacity -building workshops for acceding 
countries. He said that accession  to the WTO was  vital for countries to increase their  share of WT/COMTD/LDC/M/83  
 
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  world trade and participation in the  MTS. He emphasized that human, institution, financial and 
administrativ e constraints could explain the long duration of LDC accessions.   
92. He stressed the importance of flexibilities and special and differential (S&D) treatment in the 
LDC accession  negotiations. He said that the Declaration of LDC Trade Ministers at MC11 
(WT/MIN(17)/40) called on Members to  fully implement the 2002 LDC Accession Guidelines and 
the 2012 Addendum,  as the accession instruments for LDCs.  Members were furthermore called 
upon to refrain from seeking concessions and commitments beyond the benchma rks set in 
Addendum I regarding average bound tariffs for goods and market access opening for services .  
93. He also called upon Members and the Secretariat to strengthen the capacities of acceding  
LDCs , providing them with technical assistance to allow them t o fully exercise their rights and 
obligations. He highlighted the importance of a smooth and flexible accession  process for LDCs  to 
ensure that trade would contribute to their  sustainable development . 
94. The representative of Sudan  thanked the Secretariat for the informative report and 
supporting the accession  of Sudan. He urged Members to facilitate the LDC accession s pursuant to 
the LDC accession guidelines a nd to provide technical assistance to complete its accession process . 
He expressed appreciation for the Government  of Japan for chairing the Sudan's Accession 
Working Party, and expressed  Sudan’s  commitment  to continue pursuing  accession  to the WTO . 
95. The representative of the United States thank ed the Secretariat for th e update. She said 
that the United States was  an active participant , and a strong advocate , of the WTO accession 
process. She was confident that the accession process made important long-term contributions to 
sustainable development for Members at different stag es of development , including for the LDCs. 
She believe d that  countries joining the WTO became stronger and more resilient , in view of  the 
reform processes that they were undertak ing as part of the WTO accession  process .  
96. The representative of the Accessions  Division  thanked Members for their interventions. She 
agreed with the delegate  of Chad that for LDCs the accession process was  more challenging 
because of the ir human resource and financial constraints. She said that all  acceding LDCs  were 
engag ing in regional integration initiatives. She gave the example of the Horn of Africa, where 
acceding LDCs were also pursuing regional integration under the East African Community (EAC) , 
Common Market for Eastern and Southern Africa ( COMESA ) and the Africa Continental Free Trade 
Area ( CFTA ). She expressed appreciation for the Government of Kenya , which had initiated the 
idea to hold the Regional Dialogue, which  had succeeded  in allowing  focused discussions on the  
synergies  between the WTO accession process an d the regional integration processes.  
97. Regarding the need for flexibility and S&D of acceding LDCs, she reiterated that Article XII 
LDC Members  had made deeper market  access commitments compared to original LDC Members. 
However, she also pointed to the fact  that Article XII LDC Members had been experiencing a good 
trade and economic performance following WTO accession. She a lso mentioned that according to 
the first Trade Policy Review s of acceded LDCs , they did not have major problem s in implementing 
their accession commitments . She thought that acceded LDCs had not  taken on commitment s 
which went beyond the ir capacity. She was confident that Members would show flexibility in 
helping Article XII LDC Members if they were to experience problems in implement ing their 
accession commitments.  She also mentioned that an LDC accession was a teamwork between the 
Government, the Chair of the Accession Working Party,  Members that provided goodwill and 
support  to the LDCs, as well as the Secretariat.  
98. The Chair person  thanked the Secr etariat for the report and the M embers for their 
statements. She said that a ccession of the LDCs to the WTO was central to the inclusiveness of the 
MTS. Since the creation of the WTO, nine LDCs ha d successfully completed the accession proces s. 
She was  encourag ed to note that two of those nine LDCs ha d in the meantime graduated from LDC 
status. She said that a ccession to the WTO was a catalyst for domestic reform and open ed up 
trade and investment opportunities by sending a positive signal to the business world and 
international community.  
99. She was  encouraged to hear about the progress made in the Accession Working Parties of 
some LDCs. She urged Members to follow the LDC accession guidelines and intensify efforts to 
conclude the eight ongoing LDC accession negotiations as early as possible. She suggested that WT/COMTD/LDC/M/83  
 
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  the Sub -Committee take note of the report made by the Secretariat as well as the stateme nts 
made.  
100.  It was  so agreed.  
E. OTHER BUSINESS  
101.  The Chairperson  inform ed the Sub-Committee that the next meeting was tentatively 
scheduled for 30 October. The Sub-Committee would discuss  the Secretariat Note on the annual 
review of market access for products of  export interest to LDCs  and consider  a report by t he 
Secretariat on the annual review of developments in preferential rules of origin for LDCs in the 
Committee on Rules of Origin.  
102.  She also suggested that the Secretariat of the UN Committee on Development  Policy (CDP) 
be invited to provide  the Sub -Committee with a report on the progress made by the LDCs towards 
graduation. It seemed an opportune moment as the UN CDP had  conducted its triennial review of 
the list of LDCs  in March 20 18, where a number of LDC s had been found to me et the criteria for 
graduation.  
103.  She furthermore  informed Members that the Advisory Centre on WTO Law (ACWL) had 
expressed an interest to brief the Sub -Committee on the support it provided to  the LDCs.  
104.  It was so agreed . 
105.  The meeting was adjourned . 
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