WORLD TRADE  
ORGANIZATION  WT/MIN(09)/ST/68 
1 December 2009 
 (09-6136) 
MINISTERIAL CONFERENCE 
Seventh Session Geneva, 30 November - 2 December 2009 Original:   Spanish 
 
  
BOLIVARIAN REPUBLIC OF VENEZUELA 
 
Statement by HE Ambassador Germán Mundaraín Hernández
 
Permanent Representative  
   Thank you, Mr. Chair, for us it is a matter of  pride and satisfaction that this Ministerial 
Meeting is being chaired by a Latin American country .  We should also like to thank the Chair of the 
General Council, the Director-General and the Swi ss authorities for the organization of this event. 
  I do not intend in these few minutes to identify those responsible for the crisis or why it 
occurred, I shall simply refer to the signs whic h the global economy is giving out at such a time. 
 
The current global economic situation 
 
At the trade level:  
- Consumption is falling; - trade has declined by over 10 per cent; 
- there is a large government deficit as a result of the recession; 
- levels of public indebtedness are high; - there are large numbers of bankruptcies; - maritime and port activities have declined. 
 At the social level: 
 
- Hunger is on the increase; - poverty is becoming more widespread; - unemployment is rising. 
 
 In such a context there are some who say w ith satisfaction that in the major and emerging 
economies there is light at the end of the tunnel.  In developing countries, the crisis is having a devastating effect.   Although optimists are saying that the worst is over, the evidence shows otherwise. 
 
- There is less opening-up of trade as a result of so-called "buy at home" programmes; 
- large subsidies are being given, euphemistically termed "incentives"; 
- certain factors are generating uncerta inties and show an unstable economic 
environment; WT/MIN(09)/ST/68 
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  - little return on capital (low interest rates)  and excessive gold prices as investors lose 
confidence and seek security. 
 
The WTO and the Doha Round 
  The WTO is not immune to these problems and is losing the battle for credibility because it is 
constantly announced, but erroneously, that the Doha Development Round is  about to conclude. 
  These announcements arouse false hopes that ar e not met, and lead to discouragement, 
frustration and loss of credibility in the multilateral trading system. 
 
 I consider that these erroneous  announcements are the result of failure to examine the real 
difficulties we are facing, which prevent an  accurate diagnosis of the situation. 
  At the institutional level, there are constantly complaints in the Organization, with very good 
reason, about the lack of inclusion and transparency, but they do not meet with a response either in 
words or deeds.   A strategy to resolve the paralysis affecti ng the Organization has not been sought in the 
Organization itself but in economic and political forums  such as the G-7, the G-8 and, more recently, 
the G-20, which has proved ineffective, the sole re sult being calls for an end to the Round.  We are 
wasting time and effort pursuing this path. 
  Declarations are produced and even their pr ecise terms are distorted when talking about a 
"mandate from the G-20".  I ask myself, can the G-20 impose a mandate on the WTO or on our Director-General? 
 
 For this and other reasons, I consider that the WTO is being seen as a trade arm of the G-20.  I 
am concerned when I note that only on very few o ccasions has the Organization made reference to the 
United Nations document analysing the economic crisis  and clearly and inclusively defining the trade 
situation.  
 I am convinced that we have over-estimated the Doha Round in our analyses.  In the recent 
past, we affirmed that it would prevent the crisis and, even if it failed to do so, it would at least 
mitigate its impact.   In fact, the crisis was inevitable with or w ithout the Round and has had devastating effects for 
the majority of developing countries, which lack the economic resources to indulge in protectionism 
in the form of subsidies, noting that these do not lead to any sanctions for those making use of this 
distorting practice.   Even though I would like to, I do not share this  excessive optimism that, with the conclusion 
of the Doha Round, we in the developing countr ies will achieve high levels of growth and 
development. 
  I invite you to study the academic report of the Global Development and Environment 
Institute at Tufts University in the United States of America, which indicates that the gains of the 
Doha Round will go to the rich countries, looking at the fiscal impact, which for government accounts 
will mean tariff cuts as a result of implementation. 
  Apart from these considerations, it should not be forgotten that the World Bank has stated that 
the Doha Round could lead to real inco me of US$160 billion at the global level.  WT/MIN(09)/ST/68 
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   Looking at this figure, at a time of crisis, some developed countries not only have aspirations 
but disproportionate and unbalanced ambitions that reveal the avid greed that guides them, but show 
little cooperation, little justice, a minimum am ount of solidarity, and little flexibility. 
 
How to conclude the Round successfully for all 
 
 I think that there will rapidly be no Round unl ess we return to the origins of the Organization, 
to the letter and spirit set out by the Ministers in Marrakesh as the maximum expression of this 
institution when they defined as one of its objectives higher standards of living and full employment, without losing sight of sustainable development. 
 
 In our view, there can only be a Round if ther e is full respect for the Doha Agenda and the 
central role of development in its results, thro ugh less than full reciprocity, real special and 
differential treatment, and taking proper account of  the asymmetries and sensitivities of Members in 
the various areas of negotiation. 
 
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