WORLD TRADE  
ORGANIZATION  WT/TPR/M/144 
24 March 2005 
 (05-1249) 
Trade Policy Review Body 
21 and 23 February 2005   
 
  
TRADE POLICY REVIEW 
 
QATAR 
 
Minutes of Meeting
 
 
Chairperson:  H.E. Mr. Don Stephenson (Canada) 
  
Page 
 
I.
 INTRODUCTORY REMARKS BY THE CHAIRPERSON 3  
II. OPENING STATEMENT BY THE REPRESENTATIVE OF QATAR  4  
III. STATEMENT BY THE DISCUSSANT 6  
IV. STATEMENTS BY MEMBERS 8  
V. REPLIES BY THE REPRESENTATIVE OF QATAR AND ADDITIONAL 
COMMENTS  14  
VI. CONCLUDING REMARKS BY THE CHAIRPERSON 17  
_________________________________________________________________________________Note:   Advance written questions by WTO Me mbers and the replies provided by Qatar are 
reproduced in document WT/TPR/M/144/Add. 1 and will be available online at:  
http://www.wto.org/english/tr atop_e/tpr_e/tp_rep_e.htm.   WT/TPR/M/144 
 Page 3 
 
 
I. INTRODUCTORY REMARKS BY THE CHAIRPERSON 
1. The first Trade Policy Review of Qatar was held on 21 and 23 February 2005.  The 
Chairperson (H.E. Mr. Don St ephenson) welcomed the dele gation of Qatar, headed by 
H.E. Sheikh Mohamed bin Ahmed bin Jassim Al-T hani, and the discussant Dr. Magdi Farahat 
(Egypt).  As usual, the discussant would speak in his personal capacity and, in accordance with 
established procedures, had made available in adva nce a broad outline of the themes he intended to 
raise (document WT/TPR/D/120). 
2. The Chairperson recalled the purpose of the Trad e Policy Reviews and the main elements of 
the procedures of the meeting.  The Report by Qatar was contained in document WT/TPR/G/144 and 
that of the Secretariat in document WT/TPR/S/ 144.  Copies of advance written questions, submitted 
by:  Canada;  Japan;  Mexico;  the United States ;  Hong Kong, China;  th e European Communities;  
the Republic of Korea;  Turkey;  and Brazil had be en transmitted to the delegation of Qatar.  These 
questions and the replies provided by the delegation of Qatar were reproduced in 
WT/TPR/M/144/Add.1. 
3. The Chairperson stated that the documentation pr epared for this Review highlighted Qatar's 
impressive economic growth over the last few years,  mainly as a result of the development strategy 
implemented since the mid-1990s, and the performance of its oil and natural gas subsectors.  Qatar 
had taken steps to diversify its economy away from  crude oil, and had adopted measures to increase 
foreign direct investment inflows.  Nevertheless, fo reign investment remained restricted in certain key 
activities, some of which were dominated by state-owned companies.  
4. Both reports emphasized Qatar's strong suppor t for the WTO;  it had hosted the fourth 
Ministerial Conference, which had launched the Doha Development Agenda .  Moreover, Qatar's 
market for all products was quite open, and the bulk of its trade took place on an MFN basis.  Nevertheless, increasingly, a key element in Qatar's reform process related to full economic 
integration under the Gulf Cooperation Council (G CC), within which the customs union component 
had become effective on 1 January 2003.  
5. The Chairperson was sure that Members would be interested to learn more about the steps to 
be taken by Qatar at the multilateral level because of  the reforms, and about its plans to take up the 
challenges it faced. WT/TPR/M/144 
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II. OPENING STATEMENT BY THE REPRESENTATIVE OF QATAR 
6. The representative of Qatar
 thanked the Chairperson, the delegations that had submitted 
questions, the Secretariat, and the discussant.  He was confident that Members would make solid 
progress to conclude the Doha Development Agenda (DDA) in the very near future;  its completion 
would critically depend on the progress before the Hong Kong, China Ministerial Conference.   
(i) The vision and the aspirations 
7. Qatar was keen to play a significant role in trade and economic development at the regional 
and multilateral levels, and to integrate into gl obal modernity and the world economy.  This was 
reflected in many developments. 
(ii) Trade policy and Doha Development Agenda 
8. Qatar had been a WTO Member since 1995.  It  was fully committed to the WTO's objectives 
and to the procedures for their implementation,  including the DDA.  The National Committee for 
WTO and the private sector – through the Qatar Ch amber of Commerce and other bodies, such as the 
Qatari Business Association – studied, discussed, ne gotiated, and implemented WTO-related issues.  
They usually attended regional a nd international functions hoste d and/or organized by Qatar.  
9. Qatar encouraged individual participation in economic development through privatization;  
some successful public enterprises had been privatized.  In the fi rst phase of privatization, utility 
sectors were removed from State control to corpor ate-governance management;  the petroleum, gas, 
and energy sectors had been partly offered to the private sector.  Participation of local and foreign 
private investors had been admitted.  Law No. 13/2000 and its amendment of February 2005 allowed 
foreigners to invest up to 25% in public companie s' shares traded on the Doha Securities Market.  
10. During the last decade, Qatar had built sev eral world-class hydrocarbon and commercial 
ports.  The Doha airport had been renovated recently ;  a new modern airport would be built during the 
2005-15 period with a final capacity of 50 million p assengers, compared with the present capacity of 
4.2 million.  Qatar was well connected with a good transport system.  Roads infrastructure was 
expanding, and a plan of regional expansion with  the United Arab Emirates and Bahrain was under 
way, as well as a local underground project. 
11. The development of education and health was one  of Qatar's main priorities.  A number of 
special funds had been created for this purpose:  the Health and Education Fund was aimed at further 
improving the level of health care and primary e ducation;  and the Qatar Foundation Fund was aimed 
at financing a world class system of higher educa tion and health care through affiliation with reputed 
academic institutions (e.g. the Cornell University, and Texas Universities).  
12. With a Constitution embodying internationally recognized principles, Qatar had begun its 
democratization process.  This had been evident in  the elections for the Advisory Council and the 
Doha Municipality, which, for the first time, confer red political rights to women to participate fully in 
the political decision making process.  Qatari citi zens would gradually participate in the political 
process through the democratization process. 
(iii) Economic policy and economic performance 
13. Qatar's economic policy was ai med at achieving sustainable growth through creating an 
appropriate investment climate.  This was to be fu lfilled through:  liberalizing the economy and trade;  
reducing tariffs and removing restrictions in line with Qatar's WTO commitments;   increasing and diversifying exports; creating better access to world ma rkets;  enhancing trade cooperation by signing  WT/TPR/M/144 
 Page 5 
 
 
bilateral economic, commercial, and technical c ooperation agreements;  and establishing free-trade 
areas and negotiating free-trade agreements (FTAs). 
14. Qatar's GDP had been growing rapidly in recen t years (averaging 14.7% over the past five 
years) due to an increase in contributions from liquefi ed natural gas (LNG) and gas-related industries.  
There was an obvious boom:  GDP growth had jumped from 0.8% in 2002 to 20.5% in 2004.  
15. The volatility of energy prices had led the Gove rnment to promote investment in, and the 
diversification of, the non-hydrocarbon sector.  Qa tar was developing several projects to produce and 
export natural gas in the form of LNG, piped gas, gas-to-liquid, and was investing in the petrochemical and fertilizers industries.  It had su ccessfully diversified its  revenue base by reducing 
its dependence on oil-export reve nues.  Although economic perform ance still depended largely on oil 
revenues, the LNG contribution had increased signi ficantly.  The oil and gas sectors accounted for 
more than 50% of overall GDP.  
16. Public expenditure indicated a significant incr ease in investment in public projects. The 
2004-05 budget showed a 44% increase in allocation to areas, such as health, education, housing, 
sanitation, and infrastructure.  The Government's pr iorities in infrastructure were electricity, water, 
roads, sewage system, and transport.   
17. Preliminary data for FY 2003-04 had showed a surplus of over QR 3 billion.  However, a 
deficit of QR 2.2 billion was expected for FY  2004-05, with revenue of QR 26.2 billion and 
expenditure of QR 28 billion. 
(iv) Investment 
18. Qatar was doing its utmost to be the heaven  of investment in the Gulf region.  The 
petrochemical and LNG industries, which contribut ed to economic growth and capacity building, 
relied, to a large extent, on world markets in te rms of technology, finance, and human capacity.  
19. Draft legislation, aimed at facilitating attrac tive opportunities created for foreign investors 
and services providers, was before the authorities for enactment.  Once enacted, the Qatar Financial 
Centre would be established to a llow international financial institutions to operate freely in Qatar 
under a very attractive and independent regulation system.  The establishment of specialized free 
zones was also contemplated. 
(v) Environment 
20. Based on its global vision and support fo r sustainable development and improved 
environmental conditions, Qatar had proposed to incl ude natural gas and its derivatives in the list of 
environmental goods.  The elimination of tariffs  for efficient lower carbon fuels and technologies 
would help to attain higher energy efficiency and improved air quality.  Given that natural gas was the 
world's fastest growing energy source and was widely  considered as part of the solution to stabilize 
greenhouse gases, liberalization would increase socio- economic and environmental benefits to all 
WTO Members.  Liberalization would improve trade and reduce energy costs for developing 
countries.  Therefore, Qatar hoped that Members w ould support the inclusion of natural gas and its 
derivatives as environmental goods. 
21. The representative reiterated Qatar's unwaveri ng commitment to a transparent, free trade 
policy, and to a continuous process of trade liber alization, and institutiona l, legal and regulatory 
reforms to enhance Qatar's ability to fulfil the WTO objectives;  privatization;  and economic, 
financial, and fiscal reforms.  The continued eco nomic growth and prosperity achieved by Qatar's 
economy was a result of its open and free trade policy.   Qatar's trade policies would always aspire to 
build an international trade environment free from all impediments. WT/TPR/M/144 
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III. STATEMENT BY THE DISCUSSANT 
22. The discussant
 said that the interest and challenge of the Trade Policy Review (TPR) of Qatar 
was to see how far a developing country like Qata r had implemented the WT O Agreements, and to 
compare its achievements with those of othe r developing and developed country Members. 
(i) Economic environment 
23. Qatar had undertaken a comprehensive macroe conomic reform programme, but full fruition 
was not yet apparent.  The healthy macroeconomi c improvement had been and could be further 
reinforced by Qatar's efforts to open up economic ac tivity under a liberal trade regime.  The pace of 
implementation of measures to increase internal and overseas competition was of interest, but much 
remained to be done to catch up with the rapidly growing emerging economies. 
24. Qatar had enacted a number of important laws to  bring its legal and institutional framework 
into line with its WTO obligations.  It had comp lied with the letter of its TRIPS, GATS, GATT 1994, 
and other WTO commitments;  however, its reco rd in implementing the detailed regulatory 
requirements was less successful. 
25. The discussant asked for clarification on the Gove rnment's future plans with respect to its 
economic and legal infrastructure, as well as its gr owth and development prospects in the medium 
term.  
26. Qatar was committed to the multilateral trading sy stem, and therefore, it was not surprising 
that the DDA had been launched in Doha.  However,  Qatar's participation in the DDA's work was less 
than perfect, and fuller participation would be useful. 
27. Despite its commitment to the WTO and the DDA, Qatar had plan ned to expand its bilateral 
and plurilateral free-trade arrangements.  The discussant  believed that it would be useful to hear more 
about these plans, including when current and fu ture preferential trade arrangements would be 
notified. 
(ii) Trade policies 
28. In general, Qatar had successfully brought its tariff structure into compliance with its WTO 
obligations (joining the GCC apart).  However, compliance with its obligations of the 1% on non- ad-
valorem tariffs was in question.  The discussant asked for clarification on this issue. 
29. Qatar was committed to its WTO obligations, pu tting the WTO Agreements  above its national 
legislation.  However, the final date for the a pplication of the WTO Customs Valuation Agreement 
was not clear.  
30. Qatar's complex system of import restrictions and licensing was of concern to some Members.  
Issues such as parallel imports, distributor commi ssions, prohibited/special import licensing, and a 
complex public procurement regime (compounded by a variety of preferential local and regional rules 
of origin) made rules difficult to decipher.  Si mplifying this aspect would contribute to Qatar's 
integration into the rules-based multilateral trading system. 
31. Qatar's systems for TBT, SPS, government procur ement, price controls, state intervention, 
and investment incentives schemes were similar to those in many developing countries;  however, 
there was room for improvement, in particular if Qa tar aspired to join the developing-country tigers.   WT/TPR/M/144 
 Page 7 
 
 
(iii) Sectoral policies 
32. Qatar's concerns on food security were sh ared by many net-food-importing developing 
countries.  Given the developments in the ongoing ag ricultural negotiations, Qatar's effort to develop 
its agrarian industry was highly understandable.  It  was commendable that Qatar's applied tariffs on 
food and other agri-products were far below its bindi ngs.  However, further research might be needed 
regarding the compatibility with the WTO Agreemen t on Agriculture of some of the Government's 
support to the agriculture sector. 
33. Qatar continued to depend on oil and gas as a locomotive for growth and reform.  As these 
were non-renewable, Qatar should continue, and ev en accelerate, its efforts to diversify into 
manufacturing and services.  However, any surge in  these sectors would only come through further 
liberalizing various policy decisions that currently constrained foreign partic ipation.  A phase-out of 
state controls and intervention in some key ser vices would positively affect economic growth and 
development. 
(iv) Conclusion  
34. Qatar had borne its WTO credentials with pr ide, and had adapted much of its national 
legislation to them.  Much of what Qatar had not be en able to achieve could be put down to critical 
shortages in properly trained and suitably WTO-qua lified civil servants.  A medium-term technical 
assistance and capacity building programme would help Qatar to comply fully with its WTO 
obligations. WT/TPR/M/144 
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IV. STATEMENTS BY MEMBERS 
35. The representative of Canada
 congratulated Qatar on its impressive economic performance 
and measures to improve its business and investment  climate.  While their bilateral trade and 
economic relations were li mited, there was room for growth as Qatar's economy continued to expand. 
36. Canada applauded Qatar for its strong support for the multilateral trading system, for 
fostering a quite open market, and for enhancing th e role of the private sector in its development 
process.  Qatar had established a national committe e to oversee its difficulties in implementing some 
of its WTO commitments.  Canada looked forward to continued reforms, including on tariffs and 
privatization, and further improvement of Qata r's multilateral commitments on goods and services.  
Services were crucial in Qatar's economic diversifi cation, and showed particular potential given its 
efforts to become a regional centre for specific services like health, education, sports tourism, and air 
transport.  Therefore, Canada encouraged Qatar to submit its initial services offer as soon as possible. 
37. Qatar was encouraging private sector participation in services by removing obstacles to 
foreign investment.  Canada hoped that the opportu nities for foreign investment would be broadened 
to include banking, insurance, and commercial repr esentation.  Canada also encouraged Qatar to 
pursue greater private sector participation in telecommunications and postal services. 
38. Qatar had not yet made a submission to the WT O Integrated Data Base;  its most recent 
submission to the Consolidated Tariff Schedule da tabase contained data from 1996.  Canada urged 
Qatar to provide updated tariff and trade data as soon as possible for transparency purpose. 
39. The representative of Japan  said that Japan was Qatar's largest trading partner;  70% of 
Qatar's oil was exported to Japan;  Japan was the la rgest importer of natural gas, and provided funds 
and technology to develop resources.  Japan apprec iated Qatar's contribution to the launch of the 
DDA.  
40. Qatar had maintained a high growth rate, and had reduced inflation.  Japan welcomed the 
deregulation for foreign participation and for foreig n ownership of real estate, and the establishment 
of  the Qatar Financial Center.  However, Japan hoped that Qatar would furt her liberalize the banking, 
insurance, and commercial representations subsectors,  in which foreign investment was excluded.  
The share of foreigners in the workforce was high;   Qatar was implementing the Quality Qatarization 
programme aimed at increasing the share of "compete nt" nationals to 50% of the total workforce in 
the energy and industry sectors by the end of 2005.    
41. Japan appreciated Qatar's contribution in the WTO.  However, Qatar had room for further 
commitment;  for example, it had not yet tabled  an initial offer on services, and was neither a 
signatory nor an observer to any of the WTO plurilateral agreements.   
42. The representative of Mexico  said that the reports for this TPR of Qatar had provided 
interesting information on its econom ic growth, and identified various relevant aspects of the role of 
oil and natural gas in its economy.  Because of  its growing interest in services, Mexico was 
participating in this first TPR of Qatar in orde r to better understand the policies and experiences of 
other Members in this area.   
43. The representative of Hong Kong, China  said that bilateral trade with Qatar had enjoyed 
healthy growth.  Hong Kong, China appreciated Qata r's support for the multilateral trading system.  It 
shared Qatar's concern over the integration of  developing countries and LDCs into the WTO, 
including the implementation of the WTO commitments  and the need for technical assistance/capacity 
building.  Development was an integral part of the DDA;  the agreement on this dimension would be 
crucial to a successful outcome at the Hong Kong, China Ministerial Conference.  The WTO alone 
could not provide all the solutions;  cooperation w ith other international or ganizations had to be  WT/TPR/M/144 
 Page 9 
 
 
strengthened to work on concrete, cohere nt, and mutually reinforcing solutions. 
44. Hong Kong, China encouraged Qatar to partic ipate actively in the non-agricultural market 
access negotiations, and to continue its efforts to lib eralize its tariff regime by:  narrowing the gap 
between bound and applied rates to enhance ta riff predictability;  abolishing the non- ad valorem  
tariffs to comply with its WTO commitments;  and br inging down to zero the applied tariff rate of 5% 
on certain organic chemicals.  Qatar gave pric e preference to local and GCC products in all 
government procurement, and foreign firms interest ed in selling products or services to the Qatari 
Government had to go through local agents:  Hong K ong, China encouraged Qatar to move towards a 
more open and transparent regime, and to consider  joining the WTO GPA or becoming an observer to 
the Committee on Government Procurement.  Further improvement in Qatar's multilateral 
commitments on goods and services would contribut e to better resource allocation and increase the 
predictability of its trade regime.  Hong Kong, Chin a encouraged Qatar to submit its initial offer on 
services as soon as possible.  
45. The representative of the European Communities  said that dialogue and cooperation with 
Qatar was carried out to a large extent in the fra mework of the EC-GCC.  In general, Qatar had a 
transparent, low external tariff;  all its tariff lines were bound.  However, this transparency and 
predictability was hampered because Qatar ha d not yet implemented the WTO Agreement on 
Customs Valuation, and therefore had unnecessarily  burdensome procedures.  Qatar had improved its 
business and investment climate to attract more foreign investment;  the 2000 Investment Law allowed foreigners to fully own companies, but this did not apply to cr ucial sectors for Qatar's 
development, including banking, commercial represen tation, and insurance.  The EC encouraged 
Qatar to take the necessary steps to allow it to be nefit fully from the multilateral trading system.   
46. Qatar had played a key role in the launch of the DDA, which would benefit all Members 
through further market-opening in all areas and stre ngthening of the rules.  Qatar would benefit from 
further consolidating its services sector by ensuri ng foreign competition in all subsectors, and from 
further market-opening for goods.  
47. While it had promoted multilateral trade, Qatar had also enhanced its  development through 
regional integration in the framework of the GCC.  Bilateral and regional trade, compatible with the 
WTO rules and obligations, was important to promote trade.  This would benefit the development of 
Qatar, provided it continued to fully support multilate ralism, which remained the most certain way to 
promote its interests.  Qatar wished to negotiate bilateral agreements with  non-GCC countries.  Since 
Qatar participated in the GCC and had adopted its ex ternal tariff, the EC asked Qatar to explain how 
these negotiations would be carried out, and the imp lications for its GCC membership.  To the EC, 
these bilateral agreements could imply the end of Qatar's GCC membership, or the end of the GCC, 
and thereby would harm the ongoing regional consolidation of trade. 
48. The representative of the United States
 recalled Qatar's invaluable role in the launch of the 
DDA.  In recent years, Qatar's GDP growth, powered  by the development and export of natural gas, 
had been impressive;  a sound monetary policy had br ought inflation under control.  Rising incomes 
had diversified imports, making Qa tar an attractive market for exporters and investors.  The 
Government was pursuing economic diversificati on through promoting investment in small- and 
medium-sized enterprises that used hydrocarbon products, and opening some services to foreign 
investment. 
49. The United States was Qatar's largest supplier of merchandise imports.  American companies 
had invested in Qatar's petroleum and natural gas sectors;  American universities had branch 
campuses in Qatar.  
50. The United States and Qatar shared the view th at Members should enjoy international trade 
relations based on equal opportunity, which was ac hieved by effectively implementing the WTO WT/TPR/M/144 
Page 10  
 
obligations.  Therefore, the United States commende d Qatar's acceptance of the TBT Code of Good 
Practice, and encouraged it to cease applying WTO- inconsistent mandatory GCC food-product shelf-
life standards.  Other areas for improvement in cluded:  (i) Qatar's difficulty in submitting 
notifications, e.g. on import licensing, state tr ading, customs valuation, and subsidies and 
countervailing measures;  and (ii) Qatar's comp lex import regime with its highly burdensome 
requirements.  The United States requested more information on Qatar's import licensing system and 
on whether foreign suppliers were eligible to receive  import licences.  It also invited Qatar to update 
or submit its notifications.  The United States  asked for clarification on the various import 
requirements and on the scope of their application. 
51. Qatar's initiatives to open some services to fore ign investment were steps in the right 
direction, but the United States encouraged Qatar to  carefully consider whether existing investment 
restrictions were helping to fulfil its potentia l as an investment destination.  Most Members 
administratively approved investment applications to  provide a speedy, fair, and transparent process.  
Moreover, foreign investors tended to favour countries  with strong and effective intellectual property 
protection.  The United States encouraged Qatar to address copyright piracy, and to bring its 
legislation into full compliance with its TRIPS obligations. 
52. The representative of Turkey
 congratulated Qatar for its impressive macroeconomic results:  
during the last decade, its annual GDP growth rate  had reached 9%;  prudent monetary policy and 
fiscal discipline had brought inflation under control;   its balance of payments had recorded huge 
surplus due to increased oil and gas prices;  and tota l external debt stock share to GDP had declined 
largely due to impressive GDP growth rates.  
53. Qatar was an oil and gas rich country that was also trying to diversify the composition of its 
GDP and foreign trade.  In 2003, oil and natural gas had still represented almost 60% of its GDP, 70% 
of its government revenue, and 90% of  its exports.  While Qatar recogni zed the important role of trade 
and investment liberalization to its overall goal of  accelerating economic growth, improving external 
competitiveness, and diversifying its economy, this objective had not been fulfilled.  Turkey hoped 
that the policy objectives in education, tourism, serv ices, and manufacturing would help to achieve it. 
54. Qatar was fully committed to the multilateral trad ing system and to the DDA.  Qatar was an 
open economy:  its average applied ta riff was 5.2% and all tariff lin es were bound.  Turkey hoped that 
Qatar would strike an appropriate balance between  its regional and multilateral commitments.  Qatar 
could also improve its investment and services regim es.  Turkey agreed with  Qatar's main interests 
and concerns in the DDA (elimination of agricultu ral subsidies, greater access to non-agricultural 
products, and free movement of natural persons),  as well as the right for all Members to enjoy 
international trade relations on eq ual opportunities.  Turkey provided Qatar with GSP treatment on 
certain products.  Turkish services companies were ac tive in Qatar, albeit with a low level of business 
and investment.  Turkey wished to further enhan ce their bilateral business and investment relations, 
especially foreign direct investment (FDI). 
55. The representative of Brazil  commended Qatar's impressive economic performance since 
1996, with a real GDP average growth rate of 9%  supported by high crude oil prices.  This positive 
trend had been expected to be confirmed for 2004 .  Given Qatar's dependenc y on oil and gas, Brazil 
supported its efforts to reduce its vulnerability to pr ice fluctuations.  Brazil encouraged Qatar's policy 
to establish long-term strategies to promote a s ound economic environment aimed at attracting local 
and foreign capital, and diversifying the economy (for example abolishing certain restrictions from 
the investment regime to provide opportunities to foreign investors).  However, Qatar's recent FDI 
performance was below potential;  it could be enha nced by addressing some shortcomings.  Brazil 
appreciated that Qatar had bound all its tariff lines, but was concerned that it had not yet implemented 
the WTO Customs Valuation Agreement.  Brazil  encouraged Qatar to undertake the necessary 
economic structural reforms, and to expand privat e investment opportunities in key sectors to better 
allocate resources and increase the pr edictability of its trade regime.  WT/TPR/M/144 
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56. The representative of Jordan, on behalf of the Arab League countries,  said that Qatar's 
commitment to the multilateral tr ading system was manifested in  its initiatives and policies to:  
promote investment and measures to attract FDI;  re duce tariffs;  remove restrictions;  and grant MFN 
treatment to all its partners.  Qatar was one of  the leaders in south-south cooperation, which 
complemented the multilateral trading system. It was party to bilateral and regional agreements that 
provided greater potential for south-south trade, and was also party to the GCC customs union.  
Qatar's GCC membership had contributed to its GDP growth by improving competition, and had 
promoted its participation in the multilateral trading system.  
57. Qatar had adopted and implemented successful  trade policies aimed at strengthening its 
economic performance and ensuring fair intra-ge nerational sharing of the pay-offs of its non-
renewable natural wealth.  While preserving the role  of the State in promoting development, these 
policies had included a privatization programme a nd the creation of an enabling environment for 
growth and development.  This had resulted in an impressive economic performance in the past few 
years with a rise in real GDP growth rate and in merchandise trade to GDP.  Trade liberalization at the multilateral, regional, and bilatera l levels had contributed to the expansion of its exports and to 
attraction of FDI. 
58. Jordan supported Qatar's reforms in order to ad apt its policies to the WT O rules.  Its current 
process of democratization and development would contribute to economic and political stability in 
the region.  
59. The representative of Bahrain, on behalf of the GCC members
, fully supported Qatar's recent 
trade policies.  Qatar participated actively in the WTO and had played an important role in the lauch 
of the DDA.  Since joining the WTO, Qatar had ad opted liberal trade policies that had helped it to 
maintain stable economic growth.  Qatar was embarking on policies and measures to promote 
investment and attract FDI, reduce tariffs, remove trade barriers and tariff restrictions, and grant MNF 
tariffs to all its partners.  Bahrain appreciated Qatar' s efforts to try to reduce the public sector's role in 
its economy, encourage the private sector, and privatize and diversify its economic base.  These 
efforts demonstrated a strong commitment  to an open multilateral trading system. 
60. As a GCC member, Qatar was party to its customs union.  Qatar's GCC membership had 
helped its economy to achieve high GDP growth rate s and to compete efficiently.  Qatar had always 
worked for south-south cooperation, and was part y to many south-south bilateral and multilateral 
agreements.  Such activities provided an opportunity  for potential south-south trade, and increased 
Qatar's participation in the mu ltilateral trading system.  Qatar had enacted and implemented 
successful trade policies to strengthen its econom ic base, increase its economic performance, and 
ensure wise use of non-renewable natural resources.  This had resulted in impressive GDP growth and 
an increase in merchandise trade.  Bahrain hoped th at the importance of Qatar's economic reforms to 
the region and its contribution to the multilate ral trading system would be recognized.  
61. The representative of Morocco  stated that his country's ties with Qatar were based on 
dialogue, cooperation, and safeguarding common inte rests.  Morocco appreciated Qatar's reform 
process.  Qatar was enjoying a healthy financial s ituation thanks to a pr udent budgetary policy, 
rationalization of public expenditure, and an increase in non-oil revenues.  This had resulted in a very 
encouraging growth characterized by a reduction in  budget deficit, a surplus in the balance of 
payments, and a stable inflation rate.  Qatar ha d enjoyed impressive GNP per capita, and GNP growth 
in 2004.   
62. Although oil and gas were still the main pillar of  its economy, Qatar had promoted all sectors 
(in particular agriculture, fishery, and tourism) w ithin the framework of its  economic diversification 
efforts.  It had also set solid bases for economi c liberalization, competition and transparency, the 
strengthening of the private sector, and the creation of an environment for promoting investment;  and WT/TPR/M/144 
Page 12  
 
had opened up various services subsectors to foreign i nvestment.  In 2003, the impressive results of 
Qatar's foreign trade had led to a surplus in its trade balance.  
63. Qatar was engaged in a political process of democratization and opening up, which had 
allowed the emancipation of its citizens, creating an environment for free economic activity that 
encouraged private and foreign investment.  This  contributed to Qatar's and the Gulf region's 
economies.  Qatar was now a model of liberalizati on, economic success, and democratization.  The 
representative also paid tribute to the participatio n of the Qatari delegation not only in the WTO 
negotiations but in the negotiati ons of various other groups.  
64. The representative of India
 congratulated Qatar for its impr essive economic growth over the 
past years, and commended the Government's effo rts to diversify the economy and wished it success 
for its monetary and fiscal reforms.  India a nd the GCC had concluded a framework agreement on 
economic cooperation. The core of the Indian-Qatar i economic relations was liquified natural gas and 
oil trade. 
65. The representative of Pakistan  commended Qatar's economic pe rformance and low tariffs.  
Pakistan had close economic and political relations with Qatar.  An agreement to import liquified 
natural gas from Qatar was expected to be completed in  five years;  they had also initiated discussions 
to establish a free-trade area. 
66. Qatar's trade regime was relatively open, except for some sectors, such as banks, insurance, 
and commercial representation.  This liberal polic y was now regulated by the Quality Qatarization 
Programme aimed at increasing the share of "compete nt" nationals to 50% of total workforce in the 
energy and industry sectors by the end of 2005.  Pa kistan commended Qatar for bringing health and 
education to an international level. 
67. The representative of El Salvador  congratulated Qatar for its efforts to fulfil its multilateral 
commitments, and encouraged it to continue these to increase the certainty and predictability of its 
trade.  Various delegations had commented on Qa tar's policy as regarded services and notifications 
and El Salvador believed that this showed one of the particular uses of the TPR exercise.  El Salvador 
wished to strengthen its very small bilateral trade with  Qatar.  Qatar had played a decisive role in the 
current Round;  El Salvador hoped that it would conti nue to participate in the negotiations to achieve 
balanced results that benefited all.  
68. The representative of Singapore  said that bilateral relations w ith Qatar were good.  Singapore 
commended Qatar's efforts to diversify its economy away  from oil, to carry out structural reforms, to 
implement privatization programmes, and to progre ssively liberalize its trade regime.  This would 
promote better resource allocation, and guarantee fair and predictable market access for goods and 
services.  Singapore welcomed Qatar's open regime  for goods, its continued reforms in services, as 
well as the liberalization of its foreign investment  regulations.  Reforms in education and tourism 
benefited consumers.  Singapore was pleased that fo reigners could have full ownership in the energy, 
agriculture, industry, health, educa tion, and tourism sectors;  in other areas, market entry was subject 
to joint-venture, with foreign participation rest ricted to a maximum of 49%.  Singapore encouraged 
Qatar to continue its liberalization in key services subsectors.  
69. Qatar supported and was committed to th e multilateral trading system.  Singapore 
commended Qatar's efforts to engage countries on a b ilateral and regional basis.  Its bilateral and 
regional agreements and the GCC customs union could complement the WTO negotiations, and 
ensure market access on a reciprocal basis.  However, Singapore urged Qatar to avoid a Gulf-centric 
bias in trade and investment flows and policies.  WT/TPR/M/144 
 Page 13 
 
 
70. The representative of Mauritius  appreciated Qatar's prominent role  in international trade.  He 
commended Qatar's efforts to engage in the de mocratization process, development, and trade 
liberalization with a view to better integra ting into the multilateral trading system.   
71. Its development strategy had resulted in an  impressive economic performance.  Qatar's 
economic policies were aimed at promoting economic growth, increasing economic resilience and 
competitiveness, diversifying the economy, creating th e right investment climate, and strengthening 
the role of the private sector.  Qatar continue d to emphasize economic and trade liberalization, 
reduction of trade barriers in line with its WTO commitments, increasing and diversifying exports, 
creating better access to world markets, enhanc ing trade cooperation through bilateral economic 
agreements, and negotiating FTAs.  Qatar had also  improved its business and investment climate to 
attract FDI.  The private sector was also encouraged  to participate in foreign trade policy formulation 
and implementation, as well as in addressing WTO-related issues.  Qatar was a net importer of agricultural products;  food security was promoted through relatively low customs tariffs.  It had 
undertaken GATS commitments in some key sectors and maintained no MFN exemptions.  Services 
were an important area of growth and an appropria te channel to attain ec onomic diversification.  
Qatar's market was quite open and the bulk of its tr ade had been liberalized on an MFN basis.  It had 
made a tremendous effort to comply with the WT O provisions.  A key element in Qatar's reform 
process was its full economic integration under th e GCC.  Qatar's progress and economic growth 
would have a catalytic effect in the Middle East and in the Indian Ocean countries.  Positive linkages 
had already been seen in services, and IT sectors.   
72. The representative of Egypt
 recalled Qatar's strong support fo r the multilateral trading system, 
and that the bulk of its trade had been liberalized  on an MFN basis.  Egypt welcomed Qatar's GDP 
growth, due not only to the price of crude oil, bu t to its sound and successful development strategy.  
The diversification of Qatar's revenue base would in crease trade with its partners.  Egypt welcomed 
the development of Qatar's trade legal framework, and commended its active role in the Greater Arab 
Free-Trade Area.   
73. Qatar was now focusing on health, education, a nd infrastructure, which would lead to inter-
generational equity, and improve the business climate to attract further investment.  Services were important to Qatar's economy, and greater Qatari  engagement in the services negotiations was 
expected.  Egypt commended Qatar's focus on th e competitive advantage of its gas-intensive 
industries.  Egypt looked forward to the movement of natural persons – a priority for the Qatari 
Government – to be realized and translated in to the negotiations.  Egypt and Qatar shared the 
concerns of net food developing importing countri es.  The representative highlighted Qatar's growing 
international role.   
74. The representative of Tunisia
 congratulated Qatar for its efforts to pursue economic and trade 
liberalization through further openness, reducing tariff protection, simplifying external trade 
procedures, eliminating trade restrictions, establishi ng an environment propitious to investment, and 
widening and diversifying its trade and economic relations through FTAs.  Qatar's institutional 
legislative measures, in line with  the WTO rules and principles, included:  adopting new customs 
legislation;  improving the business and investment climate;  involving the private sector in trade policy formulation;  and adopting new laws on the protection of intellectual property.  The 
representative recalled Qatar's strong support for the multilateral trading system.  Tunisia and Qatar 
had excellent relations.   WT/TPR/M/144 
Page 14  
 
V. REPLIES BY THE REPRESENTATI VE OF QATAR AND ADDITIONAL 
COMMENTS 
75. The representative of Qatar
 thanked the Chairperson, the discussant, and the Members for 
their questions;  these had all been answered.   
76. Addressing some issues raised on the first day of the review, the representative said that the 
discussant's observations would help Qatar in appl ying the DDA, and in enhancing the building of 
institutional capacity for its people and corporations .  These observations would lead Qatar to gain 
from the multilateral trading system.  He emphasized that the participation of Qatari agencies in the 
TPR process had been educational and informative,  and would enhance Qatar's efforts to further 
comply with the WTO Agreements.   
77. Trade was an instrument of peace, but it was al so an instrument of growth and development 
for developing countries.  Therefore, all Me mbers stood for the DDA.  Qatar was committed to 
making its bilateral, regional, a nd multilateral negotiations and commitm ents coherent and consistent 
with the WTO rules and disciplines.   
78. The representative agreed that there was a strong relationship be tween macroeconomic 
performance and trade strategies.  Certain Me mbers had focused on Qatar's achievements and on 
expanding their trade and economic relationship with Qatar;  this confirmed Qatar's active part in 
world trade.  Qatar was considering participation in the Global System of Trade Preferences;  this would add to its already growing trade relationship with developing countries in  Asia, Africa, and in 
MERCOSUR through the regional GCC negotiation m echanism.  Moreover, Qatar would host the 
second South/South Summit for G77 and China, in June 2005. 
79. Referring to points made in Qatar's written rep lies, the representative said that his delegation 
had clarified the issue of customs valuation and had provided the relevant documents to the Secretariat;  this information was lacking in the Secretariat Report  Custom Law No. 41/2003 
stipulated that the rules on customs valuation complied with GATT Article VII;  it also included a dispute settlement mechanism, arbitration procedures, a nd the right to resort to court.  Qatar had also 
established a detailed valuation database to ensure fa ir valuation to the importer and the Government.  
The Secretariat had agreed to correct the relevant information included in its Report, upon receipt of 
the final notification from Qatar.    
80. Trade liberalization, whether institutional, lega l, or regulatory, would enhance Qatar's ability 
to fulfil the WTO objectives.  Qatar's trade regime  was quite open (with few exceptions), and in the 
process of broadening the role of the private sector in the development strategy.  The establishment of 
the National Committee for WTO was an important m ilestone toward speeding up Qatar's integration 
into the multilateral trading system.  Qatar's m acroeconomic policy framework was conducive to 
financial stability, exchange rate stability, open trading system, and foreign investment, and these 
factors had underpinned its high GDP growth rate (20.5% in 2004).  
81. Qatar would take the necessary steps to address issues on import process, incentives for 
investment, and intellectual property rights.  Issues  on services would be pursued through the ongoing 
negotiations, and Qatar would addressed the various  questions by submitting an initial offer.  
Overlapped issues, including intellectual property ri ghts, would be addressed in the multilateral, 
regional, and bilateral negotiations .  Meanwhile, Qatar would bring its  legislation into full compliance 
with its TRIPS obligations, a nd would take steps to be a safe haven for investment. 
82. Qatar did not maintain or apply import licensing.   However, if a possible interpretation would 
lead to this presumption, Qatar was prepared to  clarify this issue in bilateral discussions.  WT/TPR/M/144 
 Page 15 
 
 
83. Qatar was currently consulting with its GCC part ners on certain food product standards.  The 
GCC food product shelf-life was being considered exte nsively, in an intergovernmental committee, to 
take a relevant decision that complied with the WTO rules.  
84. Qatar was establishing a taskforce to speed up its notification process, and to modify its 
existing rules and regulations to comply with the WTO.  
85. The representative concluded that the TPR process had shown the commitment of the Qatari 
Government to establish an open economy and free trade.  The TPR had provided Qatar's partners 
with a powerful instrument to work together, and to exchange information that would enhance their 
relations.  It would also assist Qatar to progressive ly improve its economic and trade policies.  Qatar 
would continue its efforts for an open market strate gy, and would play its full role in the multilateral 
trading system to realize the DDA objectives. 
86. The discussant  commented on the misunderstanding re garding Qatar's application of the 
WTO Customs Valuation Agreement;  he recommended that the Secretariat could better evaluate the 
legal framework applied in some developing countries.  He was pleased that Qatar would present an 
initial offer on services, which would benefit the mu ltilateral system as well as its own development 
efforts.  The discussant highlighted the promis ed establishment of a task force to speed up 
notifications and the process of compliance with WT O rules;  Qatar needed to invest further in 
institutional capacity in order to better appreciate the WTO and its rules, and improve compliance in 
terms of its own legal system.  He was also pleased to  learn that Qatar would more fully participate in 
the ongoing negotiations.   
87. The Director of the Trade Policy Review Division  (C. Boonekamp) said that the Secretariat 
had taken every precaution to ensure that the content of its Report was correct.  Qatari officials and 
the Secretariat had gone through the draft Report t ogether.  What had happened with regard to the 
customs valuation information could be due to a lack of communication, but not to a lack of effort by 
the Secretariat.  He assured the delegation of Qa tar that the correction would be made for the 
published version. 
88. The discussant  highlighted that some of Qatar's laws were in Arabic and it took a long time to 
translate them.  In addition, the translation might  not provide the only answer to understand some of 
the applied legal frameworks and regulations.  Some translation capacity in Arabic might be needed 
for future TPRs. 
89. The representative of Canada  thanked Qatar for its effort to respond to so many questions in 
such a short period of time. 
90. The representative of the United States  appreciated the information provided;  this TPR had 
been useful and informative.  He was interested in learning more about Qatar's current and future 
initiatives to promote inward investment, and in the list of sectors in which full foreign equity 
investment was permitted.  He also asked for clarif ication on the purpose of the 5% charge on parallel 
imports of certain products, which went to  local agents with distribution rights. 
91. The representative of Qatar  said that his Ministry had tried to come up with innovative 
business ideas, like a law creating a fully integrated  and independent financial centre that would be 
taxed and regulated;  another law creating clusters  of businesses, though not a totally free zone, that 
would serve select value added, competitive advant age industries or manufacturing or education or 
health.  The Government also needed to see how the FTAs Qatar was negotiating would require 
changes to its domestic laws.  One of Qatar's mi ssion statements was to integrate into the world 
economy;  it was in an educational process, and needed  to safeguard the interest s of its private sector 
and its people.  The representative said that the 5% charge on imports existed in the law but had never 
been applied.   WT/TPR/M/144 
Page 16  
 
92. The discussant
 said that Qatar's private sector was young and growing, and needed nurturing;  
the WTO framework gave enough protection until infa nt industries could compete on an international 
scale;  allowing full foreign ownership encouraged pr ivate investors.  Since Qatar's 5% charge was 
not applied, it would be useful to remove it for transparency purposes.  
93. The representative of the European Communities  asked for clarification on how Qatar's 
engagement to bilaterally negotia te FTAs could be operated in the framework of a customs union.  
One of the main features of the customs union was fr ee circulation within the union, which meant that 
it had to move as one entity with regard to  RTAs, FTAs, and similar agreements.   
94. The representative of Qatar  said that the GCC countries had decided to negotiate as a block, 
except with the United States, which had decided to  negotiate bilaterally with each country.  Qatar 
was nearing the final stages of its bilateral nego tiations with the United States, while Bahrain had 
already signed an agreement and another tw o GCC members were also negotiating.  The 
representative believed that the solution to the issu e of the customs union and FTA negotiations lay, 
possibly, in the Bahrain template.  WT/TPR/M/144 
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VI. CONCLUDING REMARKS BY THE CHAIRPERSON 
95. This first Trade Policy Review of Qatar has given us a better understanding of its trade and 
related policies, and of the challenges it faces.  Th e preparation of an excellent country report by 
Qatar has provided a useful opportunity for do mestic review of trade policies – and the 
comprehensive assessment by the WTO Secretariat has provided all of us a valuable reference.  Our 
dialogue has further contributed to our understanding through direct exchange between Members.  It 
has been stimulated by the full and open engageme nt of the high-level Qa tari delegation led by 
H.E. Sheikh Mohammed bin Ahmed bin Jassim Al-Thani, Minister of Economy and Commerce, as well as the insightful comments by the discussant , and the thoughtful interventions by other 
delegations. 
96. Members commended Qatar for its impressive econom ic perfomance over the past few years.  
This was as a result both of its macroeconomic refo rms and development strategy implemented since 
the mid-1990s, and of high oil and natural g as export earnings as from mid-1999. Members also 
appreciated Qatar's efforts to diversify its ec onomy away from crude oil, and for ensuring 
intergenerational equity in the exploitation of its  non-renewable resources, through health, education 
and infrastructure projects.  Recent measures take n by Qatar to improve the business environment and 
liberalize its investment regime  were also welcomed, although de legations noted that it remains 
restricted in certain key activities, such as banking,  insurance and commercial services, some of which 
continue to be dominated by public companies. 
97. Members appreciated Qatar's hospitality during the fourth Ministerial Conference where the 
Doha Development Agenda was launched, and enco uraged it to increase its participation in WTO 
activities and to fully meet its notif ication requirements.  Qatar's mark et for all products is quite open, 
and the bulk of its trade has taken place on an MFN basis. However, it was indicated that a slight 
increase in protection of certain industries followe d the application of the GCC common external 
tariff by Qatar on 1 January 2003.  In this regard , Members urged Qatar to take steps to make its 
applied tariff fully WTO compatible.  Concerns were also expressed about the imposition of a 5% 
commission on parallel imports of certain products , and the enforcement of WTO provisions on 
customs valuation. 
98. Some Members asked about Qatar's intention to adopt legislation on contingency trade 
remedies and competition policy.  They encourag ed Qatar to amend its government procurement 
regime to remove, inter alia , the local agent requirement, and the price preferences for domestic and 
GCC products.   Members also sought further clarif ication on: preferential trade negotiations; import 
restrictions (prohibitions, licensing); incentive schemes and price controls; TBT and SPS measures; 
protection of intellectual property rights; agriculture  (food security and state support); oil, natural gas 
and electricity (state intervention and further dive rsification); manufacturing ("Quality Qatarization" 
programme); and services (GATS commitments, fina ncial, telecoms, transport, and tourism). 
99. Members appreciated the responses provide d by the Qatari delegation, including the 
clarifications provided with respect to customs valuation procedures.   
100. In conclusion, I encourage Qatar to pursue th e implementation of its already impressive 
reforms, including further improvement of its multila teral commitments, with a view to enhancing the 
transparency, predictability, and credibility of its trade regime, and adherence to WTO principles.  
I invite Members to assist Qatar by providing ad equate technical assistance, including in trade 
capacity building, and by further opening their market for products towards which Qatar is 
diversifying its exports. 
__________