WORLD TRADE  
ORGANIZATION  RESTRICTED 
WT/CTE/M/51 
31 May 2011  
 
(11-2755) 
Committee on Trade and Environment  
  
 
REPORT OF THE MEETING H ELD ON 9 NOVEMBER 2010 
 
Note by the Secretariat 
  
The Committee on Trade and Environment (CTE Regular) met on 9 November 2010 under 
the Chairmanship of Ambassador Eduardo Muñoz Gómez (Colombia).  The Committee adopted the 
agenda contained in WTO/AIR/3651, dated 28 October 2010.   
I.  PARAGRAPH 32 .................................................................................................................. .... 2 
A.  P
ARAGRAPH 32(I) (ENVIRONMENTAL REQUIREMENTS AND MARKET ACCESS ) .......................... 2  
1.  First part of paragraph 32(i) on "Environmental Requirements and Market 
Access" ....................................................................................................................... ................ 2  
(a)  Kingdom of Saudi Arabia's Pape r on Technology Dissemination .............................................. 2  
(b)  Carbon Footprint and Labelling Schemes ................................................................................... 5  
2.  Second part of Paragraph 32(i) on "Sectoral Analysis"........................................................ 5  
B.  PARAGRAPH 32(II) (TRIPS) ........................................................................................................ 5  
C.  PARAGRAPH 32(III) (LABELLING ) ............................................................................................... 5  
(a)  Eco-labelling schemes in Singapore ........................................................................................... 5 
(b)  Implementation experience of Chinese Taipei  with its Green Mark Programme ....................... 7  
D.  OTHER ITEMS OF THE CTE  WORK PROGRAMME  ......................................................................... 9  
II.  PARAGRAPH 33 .................................................................................................................. .... 9 
III. PARAGRAPH 51 .................................................................................................................. .. 10 
IV.  OTHER BUSINESS ................................................................................................................  10 
(a)  Statement by the Plurinational State of Bo livia on the Cochabamba Conference .................... 10  
(b)  Briefing on the Workshop on Trade, Transport and the Environment ..................................... 12  
V.  DATE OF NEXT MEETING ................................................................................................ 12  
ANNEX I:   SUMMARY REPORT OF THE WORKSHOP ON THE LINKAGES 
BETWEEN TRADE, TRANSPORT AND THE ENVIRONMENT .................................. 13  
 
 WT/CTE/M/51 
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  I. PARAGRAPH 32 
A. P
ARAGRAPH 32(I) (ENVIRONMENTAL REQUIREMENTS AND MARKET ACCESS ) 
The effect of environmental measures on market access, especially in relation to 
developing countries, in particular the least-developed am ong them, and those 
situations in which the elimination or re duction of trade restrictions and distortions 
would benefit trade, the envi ronment and development.  
1. First part of paragraph 32(i) on "Environ mental Requirements and Market Access"  
(a) Kingdom of Saudi Arabia's Pa per on Technology Dissemination 
1. The representative of the Kingdom of Saudi Arabia introduced document WT/CTE/W/247 on 
"Technology Dissemination".  The deployment and di ssemination of key technologies was considered 
as essential to address environmental concerns an d would facilitate the commercialization of key 
environmental technologies and included measures to  support their supply, deployment, maintenance 
and innovation.  The removal of trade barriers, particularly non-tariff barriers (NTBs), would lower 
costs and lead to greater technology availability through commercialization, which also would drive 
innovation.  Furthermore, public and private investme nt in these industries was expected to increase. 
2. Technology dissemination was an issue for both developed and developing country Members.  
New, environmentally beneficial technologies, such as carbon capture and storage (CCS), were more 
expensive than competing conventional technologi es.  Conventional technologies enjoyed market 
advantages arising from already exis ting infrastructures, services and institutions.  It could take years 
before new technologies become widely accepted and economically competitive.  Given that 
environmental benefits were not fully reflected in the costs of new technologies, they faced a 
disadvantage when competing with conventional technol ogies.  Moreover, due to their high cost and 
investment requirements, highly sophisticated envi ronmental technologies were particularly sensitive 
to market signals and incentives.  Thus, the reduction of non-tariff barriers to technology 
dissemination would provide a positive signal to the ma rket and enhance the deployment of important 
environmental technologies for all sectors of the economy.  Cooperation among Members to facilitate 
market access would encour age technology investment. 
3. The CTE had an important role to play in addressing technology dissemination concerns, in 
particular in the context of its mandate under Paragr aph 32 (i) of the Doha Ministerial Declaration.  In 
order to identify further NTBs in the field of CCS technologies, the Kingdom of Saudi Arabia proposed that the CTE invite representatives from rele vant organizations with expertise in this area, 
such as the Carbon Sequestration Leadership Foru m (CSLF), to provide briefings.  The purpose of 
these briefings would be to provide Members with th e necessary factual basis for further work on this 
issue.  Furthermore, it was proposed that the C TE organize a workshop to discuss trade impediments 
that inhibit the dissemination of key technologies with different stakeholders. 
4. The representatives of China, Brazil and Kuwait, also speaking on behalf of Bahrain and 
Oman, the representative of Angola, also speaking on behalf of the African Group, supported the 
Kingdom of Saudi Arabia's proposal to discuss the dissemination of environmental technologies 
within the CTE. 
5. The representative of Mexico supported the Kingdom of Saudi Arabia's proposal to eliminate 
all NTBs impeding the dissemination of environmental technologies. 
6. The representative of Argentina was of the view  that it was more appropriate to discuss the 
issue of reducing or eliminating NTBs on environm ental technologies in the CTE in Special Session  WT/CTE/M/51 
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  (CTESS) under Paragraph 31(iii) of the Doha Ministerial Declaration rather than under 
Paragraph 32(i).  Within the CTE, Paragraph 32(ii) relating to the Agreement on Trade-Related 
Aspects of Intellectual Property Rights (TRIPS) c ould also be invoked.  Argentina pointed out that 
issues relating to the dissemination of technologi es such as CCS technologi es were also discussed 
within the United Nations Framework Conventi on on Climate Change (UNFCCC) negotiations.  
Argentina asked how the concept of technological dissemination could be separated from the concept 
of technology transfer, given that it was in the inte rest of developing country Members to benefit from 
technology transfer contributing to the creation a nd strengthening of their own productive capacities.  
Argentina considered it necessary to have a discussi on both on the incentives for technology transfer 
and on whether the current intellectual property regime had a positive or negative impact on 
technology transfer.  Discussion should be linked to Paragraph 32 (ii) of the Doha Ministerial 
Declaration.  Argentina recalled that the Work ing Group on Trade and Transfer of Technology was 
currently evaluating the existing links between trad e and technology transfer and developing possible 
recommendations on means to be adopted within the framework of the WTO mandate to improve 
technology flows into developing country Members. 
7. The representative of Egypt supported the Kingdom of Saudi Arabia's proposal and noted that 
the activities undertaken in the CTE could perhaps be implemented jointly with the Working Group 
on Trade and Transfer of Technology. 
8. The representative of Turkey supported the Kingdom of Saudi Arabia's proposal and 
emphasized that in addition to the dissemination of CCS technologies, the dissemination of other 
environmental technologies should also be included in this discussion. 
9. The representative of the United States agreed with Argentina that there was a connection 
between technology dissemination and the work of  the CTESS, as technology dissemination was one 
of the underlying goals of the negotiations in term s of liberalizing trade in environmental goods and 
services.  The United States therefore asked the Kingdom  of Saudi Arabia about the relationship of its 
proposal to the work of the CTESS, particularly give n that NTBs were explicitly part of the CTESS 
mandate.  The United States also asked for furthe r clarifications on:  whether the Kingdom of 
Saudi Arabia had further examples for "other measu res" beyond standards and labelling that could be 
discussed in the CTE;  whether it intended to discuss specific incentive programmes that supported 
new technologies in the CTE;  whether it could name any other relevant organi zations, in addition to 
the Carbon Sequestration Leadership Forum;  and,  whether it could provide specific examples of 
subjects that would be covered in an exercise of  national experiences sharing, or perhaps whether it 
could share its own experience in a particular area.   
10. The representative of the European Union noted the Kingdom of Saudi Arabia's statement that 
environmental technologies were at a disadvantage, since the benefits that they provided typically 
were not fully reflected in market prices and rela ted investment decisions.  In the European Union's 
view, better internalization of e nvironmental costs was an important  requirement of public policy.  
Alternatively, other regulations could be introduced to make sure  that economic operators apply 
appropriate environmental protection or polluti on mitigation measures.  The European Union 
therefore asked the Kingdom of Saudi Arabia to spec ify in more detail the exact comparison between 
older and newer technologies with regards to environm ental costs and benefits that it had undertaken.  
11. The Kingdom of Saudi Arabia's proposal also referred to standards and labelling as NTBs.  
The European Union was of the view that regulations  were important in order to promote the use of 
environmental goods and services.  It was uncl ear how environmental markets could function 
effectively in the absence of standa rds.  The European Union also felt that labelling and other means 
of providing information to consumers was required to  ensure transparency in  the marketplace as well 
as enabling freedom of choice.  Regarding the scope of the issues covered in the proposal, he asked 
the Kingdom of Saudi Arabia to specify technologies that would be looked at beyond CCS.  In WT/CTE/M/51 
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  conclusion, the European Union indi cated its readiness to discuss this kind of issues if it was part of a 
coherent set of issues to be covered in the CTE. 
12. The representative of India supported the proposal  of the Kingdom of Saudi Arabia and noted 
that it was particularly important since the state of  the environment tomorrow would be determined by 
the choice of technologies used today – for which an appropriate transfer and dissemination of 
technologies was necessary. 
13. The representatives of Indonesia, Chinese Taipei, Jordan, Chile, Colombia, and Thailand gave 
their preliminary support to the proposal of the Kingdom of Saudi Arabia, and noted that discussions 
on NTBs could also benefit the work of the CTESS.  They expressed their wish to expand the scope 
of environmental technologies to be discussed beyond CCS. 
14. The representative of New Zealand agreed with the Kingdom of Saudi Arabia that the 
reduction and removal of trade barriers, particular ly NTBs, would lower costs and lead to greater 
technology availability through co mmercialization.  New Zealand recognized the linkages to the 
CTESS and asked the Kingdom of Saudi Arabia to sh are its views on the possible interaction between 
the CTE and the CTESS.  In principle, New Zealand had no objection to informal briefings being 
provided and to other Members sharing their na tional experiences with respect to technology 
dissemination.  However, New Zealand supporte d the European Union and the United States in 
requesting a specification of the exact issu es and sectors to be discussed in the CTE. 
15. The representative of the Kingdom of Saudi Ar abia clarified that there was a difference 
between dissemination and transfer of technolog y, with dissemination concerning the long-term 
global commercialization of technologies, whereas tran sfer of technology entailed short-term direct 
capacity building and technical assistance activities.  Transfer of technology was but one means of 
assisting the broader goal of disseminating technologies.   This meant that transfer of technology was 
linked to the discussion of special and differential tr eatment of developing country Members, whereas 
dissemination of technologies on a commercial basi s was not necessarily linked in the same way. 
16. On the division of labour between the CTE and the CTESS, the negotiations in the CTESS 
were currently undertaken on a product-by-product or technology-by-technology basis, whereas the 
CTE was discussing topics in a more general mann er.  Thus, it was proposed to assess the overall 
state of impediments currently imposed upon the dissemination of environmental technologies.  
Regarding Paragraph 32(ii), he was of the opinion that the proposal included a range of NTBs wider 
than just those relating to intell ectual property rights (IPRs), in pa rticular issues of market access.  
Therefore, the proposal fitted well under the first part of Paragraph 32(i). 
17. Regarding the relationship to UNFCCC discussions , they were primarily undertaken from an 
environmental point of view, whereas his delega tion's proposal suggested having discussions in the 
CTE primarily from a trade point of view.  On the emphasis put on CCS, his delegation had a great 
interest in this technology and believed that it woul d be very important in the future.  However, its 
proposal was not confined to this technology.  Re garding the cost differen tial between conventional 
technologies and newer environmental technologies mentioned in the proposal, this was a general 
remark that was not based on specific calculations .  His delegation would ta ke up the invitation to 
identify further example of NTBs as well as to  share the Kingdom of Saudi Arabia's national 
experience, should the discussions progress in the C TE.  The Kingdom of Saudi Arabia also invited 
other Members to share their national experien ces with environmental technologies such as CCS.  WT/CTE/M/51 
 Page 5 
 
 
  (b) Carbon Footprint and Labelling Schemes 
18. The Chair recalled that on 17 February 2010 the CTE had held an information session on 
product carbon footprin t and labelling schemes.1  The event had provided Members with the 
opportunity to learn from experts about the latest de velopments in internatio nal organizations and to 
start sharing national experiences.  For instance,  the CTE was briefed on the standard recently 
developed in the United Kingdom regarding the measurement of embodied greenhouse gas (GHG) 
emissions.  Also, at the last meeting of the CTE, New Zealand had introduced its national GHG 
footprinting strategy and Chile had presented vari ous approaches in several sectors to assess and find 
ways to reduce the carbon footprint of each product.   The Chair suggested that Members developing 
new national footprint schemes and whose producer s and exporters were complying with existing 
schemes, would share their experiences w ith the CTE.  It was so agreed.  
2. Second part of Paragraph 32(i) on "Sectoral Analysis" 
19. The Chair informed that following a suggesti on made by some Members at the informal 
meeting on 29 September 2010, the WTO Secretaria t had prepared an informal note summarizing 
discussions on energy in the CTE since the Committee's inception, under Paragraph 32 (i) second 
part, "Sectoral Analysis".2   
B. PARAGRAPH 32(II) (TRIPS) 
The relevant provisions of the Agreement on Trade-Related Aspects of Intellectual 
Property Rights (TRIPS)   
20. The representative of the United Nations Environment Programme (UNEP) informed the CTE 
that the European Patent Office, the Internationa l Centre for Trade and Sustainable Development and 
UNEP had, on 30 September 2010, completed a one and a half year-long project examining the role of 
IPRs in the transfer of clean energy technologies.  The study analysed key clean energy technologies 
and their applications, and included a survey of related licensing practices. 
C. PARAGRAPH 32(III) (LABELLING ) 
Labelling for Environmental Purposes 
21. The Chairman recalled his previous invitation to both:  (i) those Members who had 
environment-related labelling schem es in different products and sect ors to share their experiences 
with the CTE, and (ii) other Members to share the experiences of their producers in meeting the 
requirements of environment-rela ted labelling schemes in order to access export markets.  In 
response, Chile had shared its national experience in  relation to the development of its national eco-
labelling scheme at the 29 September 2010 meeting of the CTE.  In response to the Chair's invitation, 
Singapore and Chinese Taipei made the following presentations. 
(a) Eco-labelling schemes in Singapore 
22. The representative of Singapore gave a presen tation on Singapore's environment-related 
labelling schemes and the environmental rationale be hind them.  Singapore's environmental labelling 
policy had three primary objectives:  (i) to effectiv ely inform consumers of the environmental impacts 
of selected products, enabling them to make inform ed decisions taking into account environmental 
                                                      
1 For a summary of the information session, see WT/CTE/M/49/Add.1 circulated on 28 May 2010. 
2 "Discussions concerning the Energy Sector in the Committee on Trade and Environment", Note by 
the Secretariat, JOB/TE/ 10, 1 November 2010. WT/CTE/M/51 
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  objectives;  (ii) to promote energy efficiency, re ducing Singapore's dependence on energy imports and 
enhancing its energy security;  and (iii) to allow e nvironmental awareness to act as a market signal, 
prompting producers to innovate and create more environmentall y-friendly products. 
23. Six environmental labelling schemes were presented.  Four of those schemes were 
administered by the government and two were administered privately by non-governmental 
organizations (NGOs).  The first th ree labels were intended to enc ourage consumers to choose energy 
efficient products, and the three other labels aimed at encouraging energy efficiency and conservation 
measures in the building sector. 
24. First, the Mandatory Energy Labelling Scheme  was administered by the National 
Environmental Agency (NEA) since 2008 to enc ourage consumers to purchase energy-efficient 
products by rating these goods according to their ener gy efficiency.  Products were awarded a label 
with one to four tick marks.  This mandato ry energy labelling scheme was covered by the 
Environment Protection and Manage ment Act (EPMA), which require d importers or manufacturers 
supplying these goods to register with the NEA.   Products covered included air conditioners, 
household refrigerators and clothes dryers. 
25. Second, the Fuel Economy Labelling Scheme , administered by the NEA since 2009, was also 
covered by the EPMA.  Importers or manufacturers supplying motor vehicles were required to register 
with the NEA.  The scheme sought to encourage c onsumers to make informed choices when buying 
cars, allowing them to take advantage of fuel cost savings and to pollute less.  
26. The Green Label  was a private voluntary label launched  in 1992 and administered by the 
Singapore Environment Council, an NGO seeking to raise the level of environmental awareness and 
encourage consumers to make environmenta lly friendly purchases  Each accreditation was 
accompanied by additional information such as wate r consumption, carbon footprint and pollutants 
generated during the manufacturing process.  This label covered 45 categories of products, including 
alkaline batteries, dishwashing detergents and printi ng paper but had not yet been applied to services 
and processes.  Almost 1,700 products, from over 500 companies worldwide, had obtained the label.  
In 2010, a large amount of applications had co me from businesses based in Germany, Indonesia, 
Malaysia and Australia.  This label had been r ecognized by the Global Ecolabelling Network (GEN), 
which allowed for certification through mutual recognition by other members of the network. 
27. The Energy Smart Building Label  had been jointly developed by the National University of 
Singapore and the NEA.  Buildings considered energy  efficient were awarded the label for a period of 
three years, after which a review was required.  In order to be eligible, an applicant was required to 
first engage an accredited Energy Service Company (ESCO) to evaluate and certify the performance 
of the building.  Buildings found to be in the top 25 percentile, in terms of energy efficiency of the 
total building group, were awarded a cer tificate and an Energy Smart Label.  
28. The Green Mark Scheme  was another building-related eco-lab el administered by the Building 
and Construction Authority and la unched in 2005.  The scheme rated the environmental sustainability 
of a building based on five criteria:  energy effi ciency; water efficiency; environmental protection; 
indoor environmental quality; and other green innova tive features that helped to achieve better 
building performance. 
29. The Green Building Produc t Certification Scheme , launched in September 2010, had been a 
key initiative to support the building industry in moving towards sustainability and environment-
friendly built environment with the objective of provid ing differentiation to safer, healthier, efficient, 
and sustainable products in the building industry.  Under the scheme, building products that were 
resource efficient, had potentially better efficiency a nd a lower environmental impact were certified.   WT/CTE/M/51 
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  This voluntary scheme, privately administered, covered eight categories of products, including:  
mechanical, electrical, recycled and sustainable material and renewable energy.  
30. The representative of Singapore highlighted some  of the various strategies the government 
had been taking to facilitate the implementation of eco-labels in Singapore.  First, the "10% Energy 
Challenge", which was an awareness programme to encourage Singaporeans to reduce household 
electricity use by ten per cent through simple energy saving tips, such as choosing more energy 
efficient appliances, had been put in place.  In  addition, the government hosted Energy Challenge 
Fairs where consumers could purchase energy efficient products and learn about ways to save energy.  
31. Second, the Voluntary Agreement was a landma rk partnership between the government and 
the household appliance industry, meant to encourage the use of energy efficient appliances, namely 
air conditioners and refrigerators awarded three to f our ticks on the mandatory en ergy label.  Retailers 
and suppliers participating in this voluntary agreement had committed to introduce more energy 
efficient appliance models and assist their custom ers in choosing these energy efficient models by 
providing accurate energy and cost savings informa tion.  To support this effort, the government 
supplied educational material to re tailers and organized energy effici ent appliance shows and fairs.  
32. Businesses were gradually phasing in the schemes, moving from voluntary to mandatory.  
Registration fees for the schemes had been waived in the early stages of implementation and the 
registration procedure was straightforward and coul d be done online.  Feedback from business had, 
thus far, been positive.  Businesses had indicated that, since the implementation of energy labelling, 
awareness had risen amongst consumers on energy efficien t appliances.  In turn, this had led suppliers 
to introduce more energy efficient three and four tick models into the market. 
33. The representative of Singapore concluded by noting that Singapore's aim in awarding eco-
labels had been to encourage efficiency in energy  consumption.  This had been achieved by enabling 
consumers to make informed choices when shopping.  As such, it was important to design the various 
product labels in a manner that was eye catching a nd easily understood by consumers.  In general, a 
vast amount of information was available on eco-labelling.  A voluntary repository, where interested 
Members could place information, may be useful.  Furthermore, while eco-labels were useful, they 
should not create adverse impacts on trade.  Where possible, international standards should be used 
when designing a new scheme to ensure WTO consis tency and avoid a proliferation of different 
standards.  In this regard, notifications of ne w eco-labels to the Committee on Technical Barriers to 
Trade were highlighted as being an important element in enhancing transparency.  
34. The representative of the European Union recalled his delegation's position that the CTE 
needed to take a closer look at the various eco-label s being developed in differe nt countries.  While he 
agreed with Singapore's reference to internationa l standards, he asked for information on the 
accessibility of the Singaporean eco-labelling schemes to foreign companies, in particular whether 
Singapore had data or statistics on companies, countri es, or products that had received the eco-label.  
This would enable the European Union to better understand how different companies from different 
origins were able to actually benefit and take a dvantage of the opportunities offered by eco-labelling 
insofar as their products, and product quality, could be better appreciated by users.  
35. The representative of Singapore replied that a co mplete listing of all companies that had been 
awarded the Green Label could be found on the la belling scheme's website.  Based on more recent 
data, she expected that by 2011 it would cover almost 3,000 products.  
(b) Implementation experience of Chinese Taipei with its Green Mark Programme 
36. The representative of Chinese Taipei explained that the Green Mark Programme had been 
launched in 1992 by the Environmental Protecti on Administration (EPA), with the objective of WT/CTE/M/51 
Page 8  
 
  promoting green purchasing.  It was a voluntary programme in which all interested companies could 
participate.  To date, Green Mark eco-label certific ates had been issued to nearly 6,000 products in 
112 product categories, including cleaning products, office supplies and equipment, energy and water-
saving products, home appliances, information tec hnology products and cons truction materials.  
37. The Programme had started 17 years ago and t oday most of its operations were managed 
electronically, including application processing, licen ce renewal and the production of statistics for 
licensed products.  In 2008, the EPA had expanded th e scope of its promotion of green purchasing to 
include the private sector with the Green Purc hasing Alliance, which had been established to 
encourage private companies to establish green pur chasing and to promote green practices throughout 
the supply chain.  Various green purchasing promo tional activities had been introduced such as the 
"Eco-Product Exhibition", "Green Stores" in which almost 10,000 stores participated, and the "Green 
Marketing Award".  Green services were also promoted , through Green Mark licenses to green hotels.   
38. In 1994, the Environment and Development Foundation (EDF), the body responsible for 
implementing the Green Mark Programme, became a founding member of the Global EcoLabelling 
Network (GEN) and had since been actively engaged in its work.  The signing of mutual recognition 
agreements (MRAs) was an effective way of pr omoting eco-labelling programmes and improving the 
mutual supportiveness between trade and environmen t.  Chinese Taipei's first MRA had been signed 
in 1998 between EDF and TerraChoi ce of Canada.  Since then, MRAs  had been signed with a number 
of other GEN members, including Green Seal in the United States (1998), the Thailand Environment Institute (2001), Korea Environmental Industr y and Technology Institute (2002), Australian 
Environmental Labelling Association (2004), Ne w Zealand Ecolabelling Trust (2004), Japan 
Environment Association (2004), Living Planet in  Ukraine (2005), Czech Environmental Information 
Agency (2006) and the Philippines Centre fo r Environmental Protection and Sustainable 
Development, Inc. (2009).  MRAs showed that the use of common criteria could enhance the 
promotion of green products and services, allo wing for significant environmental and financial 
benefits.  
39. The representative of the European Union comme nted that, in a previous CTE meeting, a 
representative from UNEP had presented a project financed by the European Union aimed at 
facilitating applications for eco-labels from developi ng country companies.  He asked whether, in the 
context of the promotional activities mentioned by Chinese Taipei, any su ch activities to assist 
companies in developing country Members in getting the eco-label had been undertaken or considered.   
40. The representative of Argentina reiterated that  it was important for environmental labelling 
schemes to be based on scientific evidence, be WTO compatible, show that they did not cause 
distortion and had a specific environmental benefit.  
41. The representative of Chinese Taipei responded that the main purpose of Chinese Taipei's 
promotional activities had been to try and pr omote the purchasing of Green Mark products 
domestically.  As such, products from foreign coun tries, having been awarded the eco-label and 
available on the Chinese Taipei market, would benefit from these activities.  
42. The Chairman invited other Members to share, at the next CTE meeting, their experiences 
with implementing domestic eco-labelling schemes, as well as the experience of their producers and 
exporters in meeting the requirements of environm ental related labelling schemes in export markets. 
43. The Committee took note of the statements made.  WT/CTE/M/51 
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  D. OTHER ITEMS OF THE CTE  WORK PROGRAMME  
44. The representative of UNEP updated the Committee on its collaboration with the 
United Nations Conference on Trade and Deve lopment (UNCTAD) and the United Nations 
Department of Economic and Social  Affairs (UNDESA), in the orga nization of a high-level expert 
panel that would produce a study on the macroec onomic policy implications , opportunities and risks 
associated with the transition to a green economy.  The study would serve as input to the preparatory 
process for the United Nations Conference on Sustainabl e Development (UNCSD) to be held in 2012.  
She informed the Committee that from 7-8 Oc tober 2010, UNEP, UNCTAD and UNDESA had held 
an ad hoc  expert meeting on trade and green economy.  The meeting had brought together experts and 
representatives from national governments to discuss th e concept of green economy within the over-
arching objective of sustainable development, incl uding the implications, challenges and opportunities 
a green economy would present for developing countries.   
45. The Chairman drew the Committee's attention to the environmental database for 2008, 
contained in document WT/CTE/EDB/8, circulated on 4 October 2010.  Dele gations were solicited 
for their views on the usefulness of this Secretariat document, given its resource-intensive nature.  The 
representative of India commented that the documen t was very useful and should continue to be 
prepared for the benefit of Members.  The Chairman confirmed that the Secretariat would continue, as 
usual, with the yearly preparation of the environmental database. 
46. The Committee took note of the statements made.  
II. PARAGRAPH 33 
We recognize the importance of technical assistance and capacity building in the 
field of trade and environment to d eveloping countries, in particular the 
least-developed among them.  We also en courage that expertise and experience be 
shared with Members wishing to perform envi ronmental reviews at the national level.   
47. The representative of the Convention on Intern ational Trade in Endangered Species of Wild 
Fauna and Flora (CITES) informed the Committee th at the Secretary-General of CITES met with the 
Director-General of WTO in September 2010 to discuss opportunities for further enhancing 
cooperation between the two organizations.     
48. The representative of Angola, on behalf of the African Group, asked that WTO developed 
country Members make developing country Member s aware of their technical assistance programmes 
so that African countries could benefit from them.   
49. The Chairman drew the Committee's atte ntion to a room document outlining the 
WTO Secretariat's 2010 Technical Assistan ce activities on Trade and Environment. 
50. The representative of the WTO Secretariat not ed that the WTO's technical assistance 
activities usually involved other agencies and Mu ltilateral Environmental Agreements (MEAs).  
Recent WTO training activities had benefited, for instance, from the participation of the Basel 
Convention on the Control of Transboundary Move ments of Hazardous Wastes and their Disposal, 
the Organisation for Economic Co-operation and Development (OECD), CITES, and UNEP.  In 
addition, a Trade and Environment e-training course would be launched in 2011.3  This would allow 
participants in the workshop organized by the WTO Secretariat to get basic training before attending 
the workshops.  Finally, she expressed the Secr etariat's appreciation for Member countries' 
participation in the development of national and regional workshop programmes.  While this 
                                                      
3 https://etraining.wto.org/default.asp   WT/CTE/M/51 
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  collaboration had been a part of every activity to da te, greater input on the needs of the region and on 
the areas of interest for participants, would allow the Secretariat to enhance the substance of the 
activities and make better use of expertise in the region.  
51. The representative of the United States suggest ed that the CTE receive more detail on 
WTO Secretariat workshops.  As each workshop had b een tailored to the interests of the region, it 
would be interesting to hear what the interests of these particular regions were.  This could help the 
United States' improve its own trade and envi ronment-related technical assistance.   
52. The representative from the WTO Secretariat noted that after each technical assistance 
activity, the substance dealt with during the work shop was posted on the WTO trade and environment 
website under technical assistance activities.4  However, more information could be provided if a 
demand existed and Members who had participated in workshops could also inform the CTE directly.  
The CTE could also discuss Member-to-Member training activities to improve transparency.   
53. The Chairman concluded that Members shoul d consult the WTO Trade and Environment 
website for initial information on technical assistance  activities.  If more information was needed, he 
encouraged them to request it from the Secretariat.  
54. The Committee took note of the statements made.  
III. PARAGRAPH 51 
The Committee on Trade and Development and the Committee on Trade and 
Environment shall, within their respective mandates, each act as a forum to identify 
and debate developmental and environmental aspects of the negotiations, in order to  help achieve the objective of having sustai nable development appropriately reflected. 
55. There were no statements from delegations under this item.  
IV. OTHER BUSINESS 
(a) Statement by the Plurinational State of Bolivia on the Cochabamba Conference 
56. The representative of the Plurinational State of  Bolivia introduced the conclusions of the 
World People's Conference on Climate Change and th e Rights of Mother Earth held in Cochabamba 
(Plurinational State of Bolivia), last April which wo uld be part of the negotiating text considered at 
the Cancún Conference of the UNFCCC.  More th an 35,000 participants, representing social 
movements and organizations from 140 countries a nd including the delegates of 56 governments, 
attended.  After three days of discussion in plen ary sessions and working groups, an Agreement of 
Peoples on Climate Change and the Rights of Moth er Earth had been adopted by consensus, 
establishing an alternative to the results of Copenhage n targeted at saving life on earth in the face of 
the global climate and environmental crisis.  Th e outcome had been formally presented to the 
UNFCCC and was supported by various national and regional agencies such as the Bolivarian 
Alliance for the Peoples of Our America a nd the Union of South American Nations. 
57. The representative of the Plurinational State of Bolivia noted that one of the principal 
contributions of the Cochabamba Conference had been to identify the capitalist system as the 
structural cause of the climate crisis, since it imposed irrational development models based on 
unbridled growth leading to the destruction of humanity and nature.  Thus, it was not advisable to continue with the logic of rich countries that had an environmental footprint five times greater than 
                                                      
4 See http://www.wto.org/englis h/tratop_e/envir_e/envir_ta_e.htm#regional    WT/CTE/M/51 
 Page 11 
 
 
  what the planet was able to sup port.  To save the planet, in Co chabamba it had been proposed to 
replace the capitalistic approach by alternative mean s of relationship with nature that did not seek 
economic growth and the improvement of living cond itions at the expense of destroying nature, but 
rather established a system  enabling humanity to live in harmony with nature by respecting the limits 
of Mother Earth.  In this framework, it had b een proposed that mankind should renounce to its rights 
over nature and instead recognize that nature had the right  to exist, to live, to regenerate its biological 
capacity and limit economic activity when it affects its fundamental rights. 
58. Furthermore, the Cochabamba Conference reject ed the Copenhagen proposal to convert the 
preservation of forests into a tradable good that  could be purchased to offset pollution created 
elsewhere.  Indeed, such a proposal would start a new phase of the commercialization of nature that 
would have an insignificant impact on GHG emissions, because all avoided deforestation would 
correspond to the right to pollute elsewhere.  This wo uld promote the transfer of forests to the private 
sector, thereby affecting the sovereign right of countries and indigenous peoples over woodlands and 
forests.  The Plurinational State of Bolivia believed that it was very important that all countries in the 
world work together to avoid deforestation and it was the obligation of developed countries as part of 
their climate debt to contribute to this effort  by supporting and financing developing countries, 
supporting indigenous peoples and local commun ities who contribute to preserving forests and 
woodlands – however this needed to be achieve d with public funds and not through market and 
privatization efforts.  
59. Commercial agriculture and the production of food products according to market logic was 
considered, by the Plurinational State of Bolivia, pa rt of the problem and not part of the solution to 
climate change.  Therefore, Cochabamba reject ed technological packag es such as agro-chemical 
products that strengthened the model of industrial agriculture and perhaps could even worsen the 
current climate crisis.  The Agreement of Peoples instead suggested far-reaching transformations of 
agriculture:  fostering agriculture for life in bala nce with nature and fostering agricultural production 
modes that were environmentally sustainable and promoted ecological practices that contributed to 
solving the problem of climate change.  Cochabamba  also adopted a concept of food sovereignty that 
went beyond the concept of food security and involved not only the right to food but also the right of countries to control their own seeds, water, lands, and technology for the production of food products 
in harmony with Mother Earth.   
60. Regarding intellectual property issues, the conf erence rejected any form of enforcing IPRs 
over life, particularly in the area of agriculture.  IPRs were deemed as being an obstacle to the 
dissemination of knowledge and technologies needed to combat climate change, which was why the 
Cochabamba Agreement proposed to prohibit the filing of patents on these types of knowledge and 
technology.  In terms of global warming, the Ag reement of Peoples proposed a reduction of domestic 
GHG emissions by 50 per cent for the period 2013- 2017 in developed countries, resulting in an 
estimated 300ppm burden and one degree of warming.  This scenario was based on science and 
criteria of equity and historic responsibility and did not depend on market mechanisms.  The 
Copenhagen target of two degree warming entailed the disappearance of many island states, the 
melting of several glaciers, and the desertification of large areas, which was why it was rejected. 
61. In view of the currently inadequate reduction offers, the amount of ten billion dollars offered 
by developed countries to deal with problems was t oo low:  it was less than one per cent of all that 
was spent for defence budgets.  The amount was e quivalent to US$ 20 per person, per year in 
developed countries.  The participants of the Cochabamba Conference were disappointed that 
developed countries were willing to spend 120 ti mes more resources for war and death than to 
preserve life and Mother Earth.  The Cochabamba  Agreement therefore demanded that developed 
countries commit to new unconditional public direct financ ing per year of at least six per cent of their 
GDP to combat climate change in developed countri es.  This proportion was feasible, bearing in mind WT/CTE/M/51 
Page 12  
 
  that a similar amount was used for national defe nce and five times more to save their banking 
systems. 
62. In conclusion, the Plurinational State of Boliv ia believed that humanity needed to decide 
whether to continue on the road of capitalism to deat h or to begin to walk the path of harmony with 
nature and respect for life, the first concept being in favour of the market and the second in favour of 
an aware and responsible humanity with a system of which it was part.  
63. The representative of Bolivarian Republic of Venezuela supported the statement of the 
Plurinational State of Bolivia and thought that Cochabamba had been helpful for listening to the 
voices of those who were suffering from the negative impact of climate change.  It was important that developed countries abided by their commitments a nd made progress in the field of cooperation with 
developing countries.  Cancún's objective of slow ing global warming could be reached if the 
conference yielded balanced results th at would enable long-term action. 
(b) Briefing on the Workshop on Trade, Transport and the Environment 
64. Deputy Director-General Harsha V. Singh
 briefed the Committee on a WTO Secretariat 
workshop which had taken place in the morning of  9 November 2010, on the Linkages between 
Trade, Transport and the Environment.5   
V. DATE OF NEXT MEETING 
65. The next meeting of the Committee was set for the first half of 2011. 
 
 
_______________ 
                                                      
5 A short summary of the workshop is contained in Annex I of this document and a more extensive 
summary report may be found in document JOB/TE/21.  WT/CTE/M/51 
 Page 13 
 
 
  ANNEX I 
Summary Report of the Workshop on the Linkages Between  
Trade, Transport and the Environment 
 
 
1. On 9 November 2010, the WTO Secretariat he ld a Workshop on Linkages between Trade, 
Transport and the Environment.1  The Workshop was aimed to provide an opportunity for information 
exchange on linkages between trade, transport a nd the environment with a particular focus on air 
emissions.  The Workshop was chaired by WTO Deput y Director-General Harsha V. Singh,  starting 
with two presentations made on the various linka ges and followed by expert presentations on the 
aviation and maritime transport sectors, providing a unique perspective on the environmental impact 
of increased transport activity in these sectors. 
2. In the first session,  Mr Nils Axel Braathen , from the OECD, presented some of the main 
conclusions from a recently published OECD book entitled "Globalization, Transport and the 
Environment".  He explained how the impact of  globalization on the environment via changes in 
transport actually constituted only a part of the pi cture.  In general, increased economic openness 
seemed to have had, at worst, a benign effect on the emissions of localized pollutants because of the 
technique effect.  However, the net global effect of trade liberalization on CO 2 and other GHG 
emissions appeared to be negative because of the global nature of GHG emissions.  The income and 
technique effects did not seem to be the same when  a pollutant burdened global pollution rather than 
the population of just one country.  Increased globaliza tion had led to an increase in different types of 
transport activity, including air, ship, road and ra il.  He referred to case studies currently assessing the 
environmental impact of sea ports.  He also men tioned that ocean going ships consumed about two or 
three per cent of world fossil fuels, with the estimates depending on the number of days at sea or in port.  Expected technological innovations would not prevent an increase in CO
2 emissions from 
aviation in light of the expected increase in de mand, but the rate of technological progress would 
depend on the extent to which the sector faced a price on the CO 2 it emitted. 
3. Finally, Mr Braathen, in addressing the environmen tal impact of transport, mentioned that in 
some cases, for example regarding emissions of local air pollutants, standards would be an appropriate instrument.  However, a one size fits  all policy would not do.  Instead, a mix of policy 
instruments tailored to the specific needs of the countries would be required.  It was also important to 
assess carefully the contribution of each instrument and the interaction among instruments.  In this 
regard, the interface between globa l and local regulation was recognized as key:  on one hand, global 
regimes should not be perceived as limitations on national actions;  on the other hand, national actions 
should explicitly respect the principles of non-discrimination and national treatment.  
4. In the second session, Mr Andreas Kopp , from the World Bank, presented on the linkages 
between transportation costs, trade and environm ent.  He explained how core transport costs 
accounted for about 20 per cent of total trade costs, referencing a study that showed that a 10 per cent 
increase in transport costs would lead to a 20 per cent average reduction in trade volumes.  Transport 
costs, including monetary and time costs, were high in comparison to more traditional trade barriers and international trade was particularly sensitive to  this.  Looking specifically at climate change, he 
suggested that technology standards and carbon prices would be needed to drive effective change in 
the sector and that improvements in multi-modal tr ansport would be more cost-effective with an 
increase in carbon price.  In the most pessimis tic scenario, transport emissions would increase by 
45 per cent by 2050.  Transport costs were expected  to increase due to the increase of the price of 
                                                      
1 The full presentations made by the speak ers are available on the WTO website at 
http://www.wto.org/english/tratop_e /envir_e/wksp_trans_envir_nov10_e /wksp_trans_envir_nov10_e.htm. WT/CTE/M/51 
Page 14  
 
  fossil fuels and due to a carbon price, if agreed intern ationally.  That being said, the value weight ratio 
of international trade had fallen dramatically, re ducing the threat of increasing transport costs. 
5. In the third presentation, Mr Eivind Vagslid , of the International Maritime Organization 
(IMO), introduced efforts underway within the globa l maritime industry to reduce air based emissions 
from shipping.  He explained that pollution preventi on efforts by the maritime shipping industry were 
focussed within the Internationa l Convention for the Prevention of  Pollution from Ships (MARPOL), 
and its Annex 6, which addressed air emissions.  In particular, this Annex regulated shipping exhaust 
emissions of NO
X and SO X by imposing fuel content standards.  Emissions of these two exhaust gases 
were particularly high in maritime shipping because  of the use of residual fuel from refineries which 
contained high SO X content and the practice of operating engines at very high levels of efficiency, 
associated with high NO X emissions.  With respect to GHGs, the second IMO GHG study in 2009 had 
estimated 2007 shipping CO 2 emissions at 870 million tonnes, and mid-range emissions scenario 
showed that by the year 2050, in the absence of cer tain policies to address this situation, ship 
emissions could grow by 200 to 300 per cent compared to 2007. 
6. Mr Vagslid noted that IMO was discussing both technical and operational measures, 
including standards and market-based measures.  Operational efficiency measures could provide 
improvements but would not be able to provide real reductions if demand continued.  He also clarified 
a comment made about the global cooling effect of sh ipping.  He explained that the cooling effect of 
shipping arose from emissions of SO X which interacted chemically with CO 2 in the atmosphere with 
the effect of reducing the warming effects of high CO 2 concentrations.  Mr Vagslid noted that the life-
cycle of sulphur was much shorter than carbon so any cooling effect would be short-lived.  
Furthermore, there were other local environm ental challenges posed by sulphur emissions. 
7. Finally, Mr Paul Steele  of the International Air Transport Association (IATA) presented on 
behalf of both IATA and the Air Transport Acti on Group.  He emphasized the significance of the 
GHG emissions challenge facing the international avia tion industry.  He outlined the IATA emissions 
reduction roadmap which included a 2020 carbon neutra l growth target.  IATA was working towards 
a goal of 50 per cent reduction of emissions by 20 50, when measured against the 2005 baseline.  
Improvements in fuel efficiency since 1990 had meant that effectively 3.3 billion tonnes of CO 2 
emissions had been saved in 2008, as compared to emissions using a frozen 1990 technology.  Two sets of measures were included within the road map:  (i) known technology, operations and 
infrastructure measures, and (ii) the introduction of bio-fuels in the aviation fuel mix and additional 
technology.  Government action could help the av iation industry realize GHG emission reductions, in 
particular, through improvements in air traffic cont rol infrastructure and finalizing air space sharing 
agreements, which would allow for more direct and fuel efficient flights. 
8. Mr Steele presented a CO
2 abatement cost curve for the aviation industry, which showed that 
the vast majority of abatement me asures available were profit positive,  due to the prominence of fuel 
burn in overall industry cost structure.  The rema ining marginal abatement measures, which had not 
yet been taken by the aviation industry, were of a ve ry high cost.  Nevertheless, Mr Steele noted a role 
for market-based measures, such as global sectoral  carbon trading, to achieve IATA's 2020 carbon 
neutral growth target.  He cautioned that the recen t proliferation of a multitude of overlapping carbon 
pricing and taxation schemes applying to aviation – including passenger-related charges, emissions 
trading systems, etc. – threatened to impose competitive distortions in the industry and impose perverse incentives, such as distan ce to capital cities taxation schemes,  harming the tourism industries 
of developing countries, especially in the Caribbean  and the Indian Ocean.  Finally, he emphasized 
that governments should agree on a coordinated policy approach and avoid fragmented policy 
approaches and unilateral use of na tional or regional measures.   
__________