. /.   WORLD TRADE  
ORGANIZATION  TN/C/13 
21 April 2011 
 
 (11-2085) 
Trade Negotiation Committee  
  
 
COVER NOTE BY TNC CHAIR 
 
  The attached documents represent the product of work in the Doha Development Round 
negotiations over the last ten years.  For the first time since 2001 Members will have the opportunity 
to consider the entire Doha package, including all market access areas as well as the entirety of the 
regulatory agenda.   They show a picture which is both impressive a nd realistic.  It is impressive in its broad and 
comprehensive coverage; in the intensive and comme ndable efforts by Chairs and Members that lie 
behind it; and in the very significant progress that it di splays in many areas.  However it is realistic in 
what it reveals about the issues that still divide negotiators and put the successful conclusion of the 
Round at serious risk.   These documents will leave no-one in any doubt a bout the value of what is on the table. In 
economic or systemic terms, what has been ach ieved so far in these negotiations, and what a 
successful conclusion would add, amount to a major a rray of potential benefits at a global level.  It 
would mean more trade and better trade rules, pr oviding opportunities for investment and jobs. It 
would mean greater opportunities for the poorest.  It would mean for the first time placing development at the heart of the global trading system.  But, above all, it would mean that the spirit of global trade co-operation is still alive.  That governme nts and Parliaments alike believe trade is better 
regulated at the global level than through a myriad of bilateral agreements that have limited value for 
today's global supply chains.  That they still believe it  is worth investing in multilateralism.  That they 
want to foster predictability and stability of world trade at a turbulent time.  This is why political 
leaders around the world have made concluding the Round and reaping these benefits a priority.  
  These documents take you closer to that point than  you have ever been.  They include texts in 
areas where these have not been possible before; exte nsive work in vital technical issues; and options 
which reflect the commitment and the creativity of  negotiators.  In preparing them, the Negotiating 
Group Chairs and I have been guided by the prin ciples on which we have consistently operated; 
working in a consensual, "bottom-up" way and avoiding surprises.  They are, therefore, firmly based 
upon the progress that the negotiators have been ab le to make.  Where the necessary progress has not 
been possible, they show this too. 
  The latter area includes market access for indu strial products, NAMA in our jargon.  At our 
last meeting on 29 March, I reporte d the continuing difficulties in closing the significant gaps between 
key participants over the level of ambition in NAM A sectorals.  I noted that I would consult with 
those participants, and with others, to assess th e magnitude of these gaps and the prospects for 
bridging them.  The finding of my consultations ar e clear: there are fundamentally different views on 
the ambition provided by the cuts to industrial tari ffs under the Swiss formula as it currently stands, 
on whether the contributions between the different members are proportionate and balanced as well as 
on the contribution of sectorals.  I believe we are con fronted with a clear political gap which, as things 
stand, under the NAMA framework currently on the table, and from what I have heard in my 
consultations, is not bridgeable today. 
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   It is clear that there are issues other than NAM A which also remain outstanding.  And that the 
Round could not be completed without these being so lved.  But my frank assessment is that under the 
right conditions of temperature and pressure a deal would be doable, bearing in mind that "nothing is 
agreed until everything is agreed", but for NAMA,  where the differences today are effectively 
blocking progress and putting into serious doubt  the conclusion of the Round this year. 
 
 This is a grave situation for the Round and for all of the efforts and aspirations it embodies.  It 
is our reality, however, and we must face it squarely  in order to try to find a way forward together. 
  In the numerous consultations  I have had in the last two weeks I sensed an overall 
commitment to the aims of  the Round.  I also sensed a desire to work to find a way out of the current 
impasse, although at the moment there is little clarit y about what this might be.  There is recognition 
that it cannot just be "business as usual".  There is also a sense that the answer cannot simply be to 
"stop and reboot", since the issues to be address ed in any new Round would necessarily bring us back 
to the issue which is bloc king progress today.  We therefore need to  reflect actively together as to the 
next steps. 
  This process must be approached in a constr uctive and co-operative spirit.  We must work 
together to preserve the multilateral trading system  which has repeatedly proved its worth in the 
recent economic crisis.  Our duty is not only to main tain it as a set of effective rules and agreements 
but also to reaffirm and rei nvigorate its negotiating vocation. 
 
 The current WTO rules were last updated in 1995.   Since then the world of trade has moved 
on.  As integral pillars of the multilateral trading architecture, our surveillance and dispute settlement 
system keep serving the membership, but given their distinct mandate, they cannot replace the 
legislature, ie the membership.  For the WTO to remain efficient, our disciplines need updating for 
trade today as well as for the next generation. 
  As the guardian of the WTO system, to all of yo u in Geneva and capitals I say, use the next 
days to reflect on our situation.  Think hard a bout the consequences of throwing away ten years of 
solid multilateral work.  Work at home to build support for trade opening.  Use the upcoming weeks 
to talk to each other and build bridges.  We w ill be meeting on 29 April to begin our collective 
consideration of the next steps, seeking to iden tify and converge upon a wa y forward which preserves 
the objectives and values of the Doha mandate.   
Pascal Lamy