. /.  WORLD TRADE  
ORGANIZATION  RESTRICTED 
G/STR/M/23 
21 September 2012 
 (12-5092) 
Working Party on State Trading Enterprises  
  
 
MINUTES OF THE MEETING OF THE WORKING  
PARTY ON STATE TRADING ENTERPRISES 
HELD ON 8 JUNE 2012 
 
 
Chairperson:  Mr Paul Batibonak (Cameroon) 
 
A. ADOPTION OF THE AGENDA  ........................................................................................................ 1  
B. RECOMMENDATION ON THE FRE QUENCY OF NOTIFICATIONS  ..................................................... 1  
C. OTHER BUSINESS  ........................................................................................................................ 2  
   
A. ADOPTION OF THE AGENDA  
1. The Chairperson referred to the proposed agenda contained in document WTO/AIR/3949, 
circulated on 29 May 2012, and reiterated that Me mbership of the Working Party was open to all 
Members of the WTO indicating their wish to serve on it. 
2. India requested to make a statement regarding the format of the annual report of the Working 
Party under "Other Business". 
3. The Working Party adopted the agenda contained in document WTO/AIR/3949, as amended. 
B. RECOMMENDATION ON THE FRE QUENCY OF NOTIFICATIONS  
4. The Chairperson recalled that the GATT Contr acting Parties adopted, on 9 November 1962, a 
decision establishing the periodicity of state trading notifications.  On 11 November 2003, the 
Working Party adopted the recommendation contained in document G/STR/5, modifying the 
frequency of state trading notifications to new and full notifications every two years, and eliminating 
the requirement for updating notification in intervening years.  In practice, this decision resulted in a 
less burdensome frequency of notifications, as Member s notified every two years, and not every year 
as it was done before.  This frequency was exte nded by the Working Party in 2008 (document 
G/STR/6) and again in 2010 (document G/STR/7).   The recommendation contained in document 
G/STR/7 extended this less burdens ome frequency of notifications for an additional trial period of two 
years, that is until 30 June 2012.  Paragraph 6 of this recommendation provides that the Working Party should review the situation with regard to  the frequency of notifications with a view to 
determining whether to extend the current frequenc y of notification for a further period or on an 
indefinite basis.  The same paragraph sets forth that if no new recommendation is adopted, the 
Working Party would revert back to the fr equency determined by the 1962 decision. 
5. The Chairperson referred to the informal ope n-ended consultations held on 6 June 2012, 
pursuant to which it seemed that the Working Party c ould agree to maintain the notification frequency 
adopted after 2004, that is, full and new notification every two years, on an indefinite basis.  The 
Chairperson recalled that this was equivalent to the text of the draft recommendation with 
alternative 1, as included in the fax of 22 May 2012. G/STR/M/23 
Page 2  
 
  6. Malaysia noted that compliance with notifica tion obligations was still poor with respect to 
2010 and 2011, and asked whether there would be other measures that could be taken, besides 
changing the notification frequency, to increase co mpliance with notification obligations every year. 
7. New Zealand expressed its support to the indefi nite extension of the current notification 
frequency.  In response to Malaysia, New Zealand recalled that the Secretariat had organized a 
notification workshop in 2010 to explore the problem s being experienced by Members, and review the 
substantive rules regarding STEs and Members' notif ication obligations.  New Zealand agreed that 
further measures should be considered by the Workin g Party to improve compliance with notification 
obligations, but suggested that the Working Pa rty focus on the recommendation under consideration 
at this meeting. 
8. Australia echoed Malaysia's concerns relating to the poor notification record.  Australia 
recalled the work undertaken by the Secretariat to co llect information on notification, and noted that it 
seemed there had been some improvement over the last  years.  Australia emphasized that further work 
should be done to improve compliance with notif ication obligations, and suggested that, if the 
Working Party were to reconvene at an informal meeting to discuss the format of the annual report 
before the October meeting, the Working Party shou ld also consider what could be done to improve 
notification efficiency during that informal meeting. 
9. The Working Party took note of these statemen ts and adopted the recommendation, referring 
it to the Council for Trade in Goods for action at its next meeting, scheduled for 22 June 2012.1 
C. OTHER BUSINESS  
10. India recalled its statements at the informal c onsultations held on 6 June 2012 regarding the 
format of the annual report of the Working Party.  India suggested that the Working Party reconvene 
at an informal meeting just before the Oc tober formal meeting to discuss this matter. 
11. The Working Party took note of India's statement. 
12. The meeting was adjourned. 
__________ 
 
 
 
                                                      
1 Document G/STR/8, dated 8 June 2012.