WORLD TRADE  
ORGANIZATION   
IP/C/W/580/Add.1 
19 October 2012 
 (12-5704) 
Council for Trade-Related Aspects of 
Intellectual Property Rights Original:   English 
 
 
 
REPORT ON THE IMPLEMENTATION OF ARTICLE 66.2 
OF THE TRIPS AGREEMENT 
 
NEW ZEALAND 
 
Addendum 
   The following communication, dated 11 October 2012, is being circulated at the request of 
the delegation of New Zealand. 
 
_______________ 
 
 1. This submission provides a report on New Zeal and's activities in pursuit of commitments 
under Article 66.2 of the TRIPS Agreement concer ning technology transfer to least developed 
countries (LDCs) for the period July 201 1 - June 2012 and actions planned. 
2. Article 66.2 of the TRIPS Agreement provides that "developed country Members shall 
provide incentives to enterprises and institutions in their territories for the purpose of promoting and 
encouraging technology transfer to least developed c ountry Members in order to enable them to create 
a sound and viable technological base".  
3. Technology transfer is interpreted in this re port broadly to include training, education and 
"know-how", along with any capital component.  New Zealand sees four key modes of technology 
transfer:  (i) physical objects or equipment;  (ii) skills and human aspects of technology management and learning;  (iii) designs and blueprints wh ich constitute the documen t-embodied knowledge on 
information and technology;  and (iv) production arrangement linkages within which technology is 
operated. 
4. New Zealand appreciates that LDC Members have  an interest in learning more about the 
outcomes and operation of Members' technology transf er programmes.  As an annex to this report 
New Zealand has included a table of  specific examples of technology transfer to LDCs.  The table is 
in response to comments by LDCs wanting the adopti on of a more standardised format of reporting. 
I. OVERVIEW OF INCENTIVES, TYPES OF TECHNOLOGY AND THE MODES OF 
TECHNOLOGY TRANSFER 
5. New Zealand's efforts to encourage technology tr ansfer to LDCs occur through a variety of 
channels or modes: promoting a broad economic environment that is  conducive to the development of 
New Zealand enterprises and institutions and enables th em to transfer technology abroad; bilateral and 
regional development assistance programmes; encouraging trade in goods and services; and 
facilitating a strong intellectual property environment.  However, it should be noted that New Zealand IP/C/W/580/Add.1 
Page 2  
 
  recognises that the most relevant and cost-effective technologies may come from other countries 
(consistent with untied aid).   
6. In supporting sustainable economic development, including through the transfer of 
technology, New Zealand has increas ed the focus of its Aid Programme  on agriculture, fisheries, and 
tourism. These are key productive sectors for New Zeal and's partners' future growth prospects, while 
infrastructure and energy are important enabling factors for growth. 
7. A key channel for promoting technology transf er from New Zealand to LDCs is through the 
New Zealand Aid Programme, managed by the Mini stry of Foreign Affairs and Trade (MFAT).  
MFAT views technology transfer as an implic it element in achieving its overall objective of 
supporting sustainable development in developing c ountries in order to reduce poverty; so much so, 
that it often cannot be distinguished from other elements of programmes. 
8. Due to New Zealand's history, culture and geographic location, the primary geographical 
focus of the New Zealand Aid Programme is the Paci fic and key partners in Asia.  The particular 
LDCs with which New Zealand has bilateral progr ammes are:  Samoa, Solomon Islands, Vanuatu, 
Cambodia, Lao PDR and Afghanistan (all of wh om are LDC WTO Member s or Observers), and 
Kiribati, Tuvalu, and Timor Leste (non-WTO Member activities are not included in this report).   
9. The New Zealand Aid Programme has a core fo cus on sustainable economic development.  
This includes encouraging policies that support grow th and investment so that businesses have access 
to the critical infrastructure, finance and markets th ey need to succeed.  Direct, practical support for 
businesses, for example through mentoring and skills trai ning, is also important to develop expertise.   
10. While not necessarily captured in activities feat ured in this 2011/12 Report, MFAT through 
the New Zealand Aid Programme is supporting infrast ructure development in the areas of renewable 
energy, transport (e.g. roads and ports) and water supply, which is likely to involve elements of 
technology transfer (e.g. in technology to optimis e the management of distributed generation in 
electricity networks).  
11. MFAT is also developing a coherent focused  programme to support Pacific Island countries 
to develop trade opportunities, and systems and r esources to take advantage of these opportunities. 
12. This report identifies some relevant activities with key LDC partners through bilateral or 
regional mechanisms.  Any relevant activities of mu ltilateral agencies that New Zealand provides core 
funding to are not reflected in this report.  All figures quoted are in New Zealand dollars. 
II. ODA ACTIVITIES PROVIDING TECHNOLOGY TRANSFER TO LDCS  
13. Under the state sector programme contestable fund – which is open to state sector agencies as 
well as Crown Research Institutes – in 2011/2 012 NZ$1.9 million was spent on activities with our 
LDC partners in the Pacific. This fund provides for these agencies to undertake activities to promote 
development in the Pacific through technology tr ansfer (including training).  Current activities 
include:    
 Provision of training (on early identification of pest and disease risk organisms) and 
equipment (microscopes) to Pacific quaran tine services to enable them to implement 
biosecurity and quarantine measures and gain market access;  
 
 Provision of a database and relevant training to  enable five Pacific Island countries to manage 
information on people travelling to New Zeal and for seasonal work, or seeking to do so.  
  IP/C/W/580/Add.1 
 Page 3 
 
 
  14. The New Zealand Aid Programme's bilateral and regional programmes provide technology 
transfer through training, skill development, and technology infrastructure.  The following sections 
provide further background on selected bilateral and regional programmes as examples of technology 
transfer to least developed countries.  The inform ation provided is based on the reporting criteria 
agreed by the TRIPS Council in February 2003.  
A. EXAMPLES OF BILATERAL PROGRAMMES WITH LDC S  
15. As the New Zealand Aid Programme evolves ove r time, different elements of technology 
transfer will feature.  The following are some current examples from bila teral programmes with a 
number of LDC WTO Members and Observer Countries.    
1. Samoa 
16. The New Zealand Aid Programme is supporting a major Health Sector Programme which 
provides funding for Samoa to invest in health e quipment, specialist training, technical assistance and 
health information systems technology. New Zeala nd works with Samoa, Australia, the World Bank 
and the United Nations to support the Samoan Ministry  of Health and the National Health Service to 
carry out the programme. New Zealand's contribu tion to this multi-donor programme in 2011/12 was 
NZ$1.48 million. 
17. New Zealand support of NZ$1.77 million in 2011/ 12 went towards Samoa's Private Sector 
Support Facility (PSSF).  The PSSF supports private se ctor operators to access specific technical 
advice to strengthen production or  marketing processes.  For instance several businesses have attained 
relevant ISO certification and others have recei ved Hazard Analysis and Critical Control Points 
training.  The entity that carries out the initiative is the PSSF Secretariat, which falls under the wider 
umbrella of the Ministry of Commerce, Industry and Labour. 
18. New Zealand supports Samoa's programme of In-Country Training (ICT) totalling 
NZ$440,314 in 2011/12.  ICT allows Samoan orga nisations to identify training opportunities and 
access international standard trainers to deliver co urses.  Many courses deal with specific technical 
issues.  The entity with oversight for the initiative in Samoa is the Oloamanu Professional 
Development Centre of the National University of  Samoa.  New Zealand support to Samoa for Short 
Term Training Awards in New Zealand (NZ$389,749 in  2011/12) also provides an avenue for highly 
specialised training.  
19. Finally, the New Zealand Aid Programme supports  a range of initiatives in Samoa to foster 
institutional linkages between the two countries which involve technical or managerial skills transfer. 
Examples include programmes between Counties-Ma nukau District Health Board and the Samoan 
National Health Service and the New Zealand Inla nd Revenue Department and the Samoan Ministry 
of Finance. 
2. Solomon Islands  
20. The New Zealand Aid Programme has supporte d the modernisation of the information 
management systems of the Solomon Islands Minist ry of Fisheries and Marine Resources (MFMR).  
The programme resulted in the establishment of a working IT system enabling networking, data 
processing and more reliability in the licensing process.   Databases were also developed for recording 
key information (e.g. receipts, licenses and export data ).  Information is now integrated into regional 
databases, and licence information is held on an au tomate webpage for regional organisations and 
enforcement agencies.  In 2011/12 NZ$2.0 million was expended on work with the Solomon Islands 
Ministry of Fisheries and Marine Resources as part of the Mekem Strong Solomon Islands Fisheries 
Programme (MSSIF) through a direct grant fundi ng arrangement with MFMR, and a number of IP/C/W/580/Add.1 
Page 4  
 
  MFAT-contracted advisors. Broadly MSSIF aims to build the capacity of MFMR to coordinate and 
lead sustainable development and management of fi sheries resources, and the capacity of stakeholders 
to participate in sector development.   
21. The New Zealand Aid Programme also supports the institutional development of the Solomon 
Islands Inland Revenue Division.  The programme has supported improvements to the organisation's 
Revenue Management System (RMS) and a website  and intranet.  Additional operational processes 
have been integrated into RMS, including assessment  of provisional tax, monitoring of outstanding 
returns and wider reporting functions.  In 2011/12  NZ$3.5 million was expended on work with the 
Solomon Islands Inland Revenue Division through a partnership with the New Zealand Inland 
Revenue Department (IRD).  Support was provi ded through secondees from the New Zealand IRD 
and additional contracted advisors. 
3. Vanuatu  
22. As part of New Zealand's involvement in  strengthening the Vanuatu Customary Land 
Tribunal, NZ$4.1 million has been allocated to de veloping Vanuatu's land information management 
systems.  The funding is delegated to the Australia n Agency for International Development (AusAID) 
for the employment of contractors who manage the programme in conjunction with other initiatives in 
Vanuatu.  Specific activities under the programme include the updating of current electronic systems for the management of survey information; convers ion of record maps and survey plans to digital 
format; and education and training fo r Department of Lands staff.  
B. E
XAMPLES FROM REGIONAL APPROACHES  
23. New Zealand provides LDCs with transfer of technology and assistance to encourage 
investment through various regional assistance progra mmes.  In some cases it is difficult to separate 
expenditure specifically provided to LDC Members,  although it is clear that LDC Members within 
these regions benefit from these programmes. 
1. Pacific Economic and Trade-related Activities 
24. Sound economic management and appropriate policies (e.g. ICT regulation) are critical to 
encourage technology transfer, trade and invest ment.  The New Zealand Aid Programme provides 
funding to various regional organisations that pr ovide economic advice, capacity building, or support 
the development of trade or investment: 
 The Private Enterprise Partnership helps design and deliver business support to promote a 
business enabling environment for SMEs (NZ $700,000 per annum).  This programme will 
conclude in September 2012, but discussions are on-going about a possible extension; 
 
 The Pacific Islands Financial Technical Assi stance Centre (PFTAC) supports Pacific Island 
Countries to improve economic management through the provision of technical advice and practical support in public financial manageme nt, banking regulation, tax administration, 
macroeconomic management and National Accounts, and in coordinating donor efforts in 
these areas.  New Zealand has committed NZ$8. 9 million for the current 5 year cycle of 
PFTAC through to June 2016 (NZ$1.78 million per annum); 
 
 The Pacific Islands Trade & Invest (formally Pacific Islands Trade and Investment 
Commission) office in Auckland aims to enhan ce trade, investment and tourism opportunities 
for Pacific Island businesses.   In 2011/12 NZ contributed NZ$890,000 to the operation of 
PITI.    IP/C/W/580/Add.1 
 Page 5 
 
 
  25. The New Zealand Aid Programme has funded th e installation of a New Zealand-designed 
customs database (PC Trade) in a number of Pacifi c Island Countries, including several LDCs.  The 
Programme also funds helpdesk services provided by Statistics New Zealand to enable countries to 
effectively utilise this technology.  The funding to Statistics New Zealand has been extended to 
30 June 2014 for helpdesk services, as well as additional funding for software replacement.  
2. Pacific Environmental Activities 
26. The New Zealand Aid Programme provides financia l support to the Secretariat of the Pacific 
Regional Environment Programme (SPREP) (NZ$2. 052 million in 2011/12).  This agency in 
turn provides technical assistance to Pacific Count ries and Territories in the areas of biodiversity and 
ecosystem management, climate change, waste mana gement and pollution control, and environmental 
monitoring and governance, and accordingly promotes the transfer of knowledge into the region.   
27. The New Zealand Aid Programme has provided su pport to invasive species management in 
the Pacific through a partnership with the Univer sity of Auckland (NZ$0.35 million in 2011/2012) 
and to regional meteorological services through th e Island Climate Update project (NZ$0.22 million 
over 2010/2012).  Both of these activities have a str ong focus on technology transfer to the Pacific 
region.  
3. New Zealand Scholarships  
28. The New Zealand Aid Programme provides scholar ships to citizens of targeted developing 
countries to undertake vocational training or tertiary  level study in New Zealand or in the Pacific 
region.  During 2011/12 approximately 850 students from developing countries were studying in New 
Zealand on New Zealand Aid Programme funded schol arships, with funding totalling approximately 
NZ$41.6 million.  A total of approximately NZ $15.7 million was allocated for scholarships for 
students from Pacific Island LDCs in 2011/12. 
29. The scholarships enhance the skills, training and kno wledge of the recipients so that they can 
assist in the social and economic development of their home countries.  Scholarships are offered only 
for training and qualifications in subjects and skil ls which are relevant to the identified human 
resource development needs and priorities of each country. 
III. OTHER NEW ZEALAND PROGRAMMES WITH A TECHNOLOGY TRANSFER 
COMPONENT   
A. INTELLECTUAL PROPERTY  
30. The Intellectual Property Office of New Zealand (IPONZ) provides on-going technical 
assistance, on request, to help developing and l east developed countries on issues relating to the 
registration of intellectual property rights, incl uding plant variety rights (see Article 67 Report 
IP/C/W/582/Add.1).   
B. RECOGNISED SEASONAL EMPLOYER SCHEME (RSE) 
31. In April 2007 the Recognised Seasonal Employ er (RSE) scheme came into effect, enabling 
employers in the horticulture and viticulture industr ies to recruit seasonal workers from offshore, with 
a preference for the Pacific.  The purpose of the sch eme is to provide New Zealand employers with a 
reliable source of seasonal labour and to provide Pacific workers with income and employment 
opportunities.  Since 2007, more than 24,600 RSE seasonal labourers have visited New Zealand to 
take up employment opportunities in horticulture and viticulture. IP/C/W/580/Add.1 
Page 6  
 
  32. While RSE workers are in New Zealand they learn a variety of new skills and undertake 
training opportunities.  During the first four seasons, a ll of the LDCs in the Pacific (Kiribati, Samoa, 
Solomon Islands, Tuvalu and Vanuatu ) have had workers in New Zealand through the RSE scheme.   
33. The New Zealand Aid Programme provides signi ficant financial support to facilitate the 
scheme, including: 
 A three year programme training 500 RSE workers per annum in literacy, numeracy, 
computer literacy and financial literacy, which commenced in February 2012.  
 
 A Ministry of Business, Innovation and Employment assistance programme for participating 
RSE Pacific governments (Kiribati, Samoa, So lomon Islands, Tonga, Tuvalu and Vanuatu) to 
ensure the smooth running of the scheme, including an in-country component to provide New Zealand recognised qualifications in horticultu re to past and present RSE workers (an in-
country pilot started in Samoa in 2012). 
   
   IP/C/W/580/Add.1
 Page 7Annex 
 
 The following chart presents some exampl es of activities undertaken by the principle New Zealand agency involved in technology  transfer 
activities, the New Zealand Aid Programme (NZAID).  It is not an exhaustive list of activities undertaken by NZAID, but rather serves to exemplify the 
institutions and enterprises that transfer physical capital and goo ds, know-how, information, and da ta to LDCs.  This chart has  been developed to show 
certain criteria as requested by LDCs at th e Workshop on the Implementation of Article  66.2 of the TRIPS Agreement, 21 October 2011. 
.   
 
 
NEW ZEALAND:  EXAMPLES OF TECHNOLO GY TRANSFER PROGRAMMES AND PROJECTS 
 
 
I.  NZAID BILATERAL PROGRAMMES: 
 
Project/ 
Programmes Objective Types of 
Incentives 
provided to 
local entities Transferor Transferee 
(Beneficiar y 
LDCs) 
 Field or 
sector of 
technology Type of activities 
in technology 
transfer Expected output 
related to 
technology 
transfer Expected 
Outcomes Budget or 
funds 
allocated 
(NZ$) Duration Status 
Private Sector 
Support 
Facility 
(PSSF) To build the 
private sector as 
an engine of 
economic 
development 
through internal 
and external 
trade Capacity 
building 
through 
technical 
assistance and 
training. PSSF 
Secretariat Samoa Targets 
manufacturing, 
agriculture, 
commerce and 
knowledge, 
tourism and 
fishing. Contestable grants 
for associations 
and groups to help 
support private 
sector 
development 
including specific 
technical advice to 
strengthen 
production or 
marketing 
processes 
 Examples include 
the production of 
promotional 
materials, 
training, 
participation in 
trade fairs and 
market research.  
 Strengthened 
value chains 
and 
opportunities 
for trade 
 NZ$2.567m 2007-
2013 Project 
on-going  
  IP/C/W/580/Add.1 
Page 8 
 
NEW ZEALAND:  EXAMPLES OF TECHNOLO GY TRANSFER PROGRAMMES AND PROJECTS 
 
 
I.  NZAID BILATERAL PROGRAMMES: 
 
Project/ 
Programmes Objective Types of 
Incentives 
provided to 
local entities Transferor Transferee 
(Beneficiar y 
LDCs) 
 Field or 
sector of 
technology Type of activities 
in technology 
transfer Expected output 
related to 
technology 
transfer Expected 
Outcomes Budget or 
funds 
allocated 
(NZ$) Duration Status 
In Country 
Training 
Programme 
(ICTP) Strengthened 
capacity of 
individuals and 
organisations in 
the public, 
private and non-
government 
sectors Technical or 
specialised 
training.  
 Chamber of 
Commerce  Samoa Targets the 
public sector, 
private sector 
and civil 
society 
sectors. Each 
sector self-
identifies and 
prioritises 
training 
courses based 
on annual 
training needs 
analyses of 
their 
constituent 
members Allows Samoan 
organisations to 
identify training 
opportunities and 
access 
international 
standard trainers 
to deliver courses. 
 
Examples: 
- Human Resource 
Management;  
 
- Accounting 
Practices for Non 
Accountants;  
 
- Time 
Management and 
Office 
Productivity; 
 
- Civil Court 
Proceedings and 
Debt Recovery; 
 
- Project Planning 
and 
Implementation  Short, relevant 
courses which are 
focused on 
providing 
practical skills for 
immediate 
application on the 
participants' return 
to work. The 
number of courses 
provided annually 
range between 30 
to 33 courses Enhanced 
capacity and 
performance 
of the public, 
private and 
non 
governmental  
sectors NZ$2.57m 2009-
2013 Project 
on-going  
   IP/C/W/580/Add.1
 Page 9 
NEW ZEALAND:  EXAMPLES OF TECHNOLO GY TRANSFER PROGRAMMES AND PROJECTS 
 
 
I.  NZAID BILATERAL PROGRAMMES: 
 
Project/ 
Programmes Objective Types of 
Incentives 
provided to 
local entities Transferor Transferee 
(Beneficiar y 
LDCs) 
 Field or 
sector of 
technology Type of activities 
in technology 
transfer Expected output 
related to 
technology 
transfer Expected 
Outcomes Budget or 
funds 
allocated 
(NZ$) Duration Status 
Solomon 
Islands Inland 
Revenue 
Division  Improved 
protection of 
the revenue 
base for the 
Solomon 
Islands, and 
support for 
private sector 
development 
through a more 
transparent, 
efficient and 
business 
friendly tax 
regime Capacity 
building 
through 
technical 
assistance and 
training.  
 New Zealand 
Inland 
Revenue 
Department  Solomon 
Islands Management 
of taxes, 
including tax 
policies and 
legislation, 
and 
appropriate 
and efficient 
systems and 
management 
processes 
which enable 
fulfilment of 
basic functionsImprovements  
to the 
organisation's 
Revenue 
Management 
System (RMS) 
and a website and 
intranet. 
Additional 
operational 
processes have 
been integrated 
into RMS, 
including 
assessment of 
provisional tax, 
monitoring of 
outstanding 
returns and wider 
reporting 
functions Progressive and 
gender-sensitive 
tax policies and 
legislation which 
protect & enhance 
the revenue base.  
 
A set of strategies 
that help people 
file on time, make 
payments when 
due and ensure the 
returns they file 
are complete. 
 
Appropriate and 
efficient systems 
and management 
processes which 
enable fulfilment 
of basic functions.
 
Competencies are 
built, as well as 
leadership and 
management 
expertise at all 
levels in the 
Division. A more 
capable 
organisation 
able to fulfil 
the basic 
functions of 
a tax system.NZ$13.5m 2009-
2013 Project 
on-going  
  IP/C/W/580/Add.1 
Page 10 
 
 
NEW ZEALAND:  EXAMPLES OF TECHNOLO GY TRANSFER PROGRAMMES AND PROJECTS 
 
 
II.  NZAID REGIONAL PROGRAMMES: 
 
Project/ 
Programmes Objective Types of 
Incentives 
provided to 
local entities Transferor Transferee 
(Beneficiary 
LDCs) 
 Field or 
sector of 
technology Type of activities 
in technology 
transfer Expected output 
related to 
technology 
transfer 
 Expected 
Outcomes Budget or 
funds 
allocated 
(NZD$) Duration Status 
Pacific Financial 
Technical 
Assistance 
Centre Improved 
economic 
management 
leading to 
sustainable 
economic 
growth across 
the Pacific 
Islands Capacity 
building 
through 
technical 
assistance and 
training.  
 International 
Monetary FundPacific 
Regional 
(including 
Timor-Leste)Public 
Financial 
Management 
 
Revenue 
policy and 
administration
 
Economic 
statistics 
 
Financial 
sector 
supervision 
 
Macro-
economic 
management The provision of 
technical advice 
and practical 
support in public 
financial 
management, 
banking 
regulation, tax 
administration, 
macroeconomic 
management and 
National 
Accounts, and in 
coordinating 
donor efforts in 
these areas Technical advice 
and capacity 
building delivered 
through advisory 
missions  
 
On-demand remote 
advice (email, 
phone) 
 
Manuals & 
guidance notes on 
key issues 
 
Regional and sub-
regional training 
courses and 
seminars Improved 
economic 
management 
in the Pacific 
region 
through the 
provision of 
technical 
advice and 
capacity 
building to 
Pacific Island 
countries, in 
key areas of 
public sector 
financial 
management NZ$8.9m 2011-
2015 Project 
on-going  
   IP/C/W/580/Add.1
 Page 11 
NEW ZEALAND:  EXAMPLES OF TECHNOLO GY TRANSFER PROGRAMMES AND PROJECTS 
 
 
II.  NZAID REGIONAL PROGRAMMES: 
 
Project/ 
Programmes Objective Types of 
Incentives 
provided to 
local entities Transferor Transferee 
(Beneficiary 
LDCs) 
 Field or 
sector of 
technology Type of activities 
in technology 
transfer Expected output 
related to 
technology 
transfer 
 Expected 
Outcomes Budget or 
funds 
allocated 
(NZD$) Duration Status 
Pacific-Private 
Enterprise 
Partnership  
(P-PEP) Improve the 
conditions for 
small and 
medium sized 
enterprises 
across the 
Pacific region Capacity 
building 
through 
technical 
assistance and 
training.  
 International 
Finance 
Corporation Pacific 
regional 
(including 
Timor Leste) Private sector 
in general, 
including 
telecommun-
ications, 
banking, 
access to 
finance, and 
agriculture. A range of 
initiatives that 
increase the ease 
of doing business 
involving 
technical advice, 
provision of 
financing, 
amending 
legislation.   Access to services 
such as 
microfinance, 
mobile banking, 
credit bureaus and 
payments systems. 
Policy or processes 
put in place for 
alternative dispute 
resolution, business 
entry, business 
operations, 
investment policy 
and promotion and 
public private 
dialogue Increasing 
access to 
finance, 
creating 
sector-
specific 
opportunities 
for 
sustainable 
SME growth 
and removing 
business 
regulatory 
constraints. 
 NZ$4m 2003-
20012 Closing  
 
 
 
__________