WORLD TRADE  
ORGANIZATION  TN/C/W/30 
15 August 2005 
 (05-3630) 
Trade Negotiations Committee 
21 and 28 July 2005 Original:   Spanish 
 
 
  
STATEMENT BY HONDURAS 
  
 The following statement by the delegation of Honduras, under agenda item 4, at the TNC 
meeting of 28 July 2005, is being circulated at the request of that delegation. 
 
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 I should like first of all to thank you for your introductory statement, and also to thank the 
chairmen of the various groups for their resp ective reports.  Honduras has reiterated on various 
occasions its commitment to work positively so as to agree a balanced text to be transmitted to the 
Ministerial Conference in Hong Kong and thereby achie ve the success of that Conference, which we 
all desire. 
 
 However, we believe that there are some issues  where we need to find a solution if we are to 
achieve the development goals of most of the Members of this Organization. 
  With regard to the negotiations on the agri cultural sector we welcome the latest proposal 
submitted by the G-20, specifically on the market ac cess pillar.  However, since my country's entire 
tariff structure is made up of lines bound at low transp arent tariff levels, we believe that any approach 
on market access must produce equitable results and ensure, in particular, that the burden of the 
reform does not significantly harm those devel oping countries which are the smallest and most 
vulnerable WTO Members.  
 Accordingly, in view of the distortions to which the agricultural sector is subject, we think 
that the tariff reduction formula proposed by th e G-20 is a good starting point, but needs to be 
adjusted so as to incorporate add itional flexibilities into the formula to be applied in each band.  My 
country would have serious difficulties in agreeing to a formula which imposes cuts that go beyond 
our possibilities, and the element of escalation with in the bands is unacceptable to my country.  
Furthermore, we consider that any approach on market access must fully respect the principle of 
proportionality as established in the July Package.   Similarly, in keeping with our position throug hout these negotiations, we consider that special 
products must not be subject to any kind of tariff reduction and that they should be designated on the 
basis of the requirements of food security, rural deve lopment, and security of the means of subsistence 
of the developing countries, in accordance with the provisions in the July Package.  As the G-33 has 
stated on other occasions, we are fully prepared to work on the indicators for these products on the 
basis of the above-mentioned criteria.   Furthermore, as we have stated on several o ccasions, this Organization's commitment to those 
developing countries that have a strong interest in obtaining real access for their tropical products in 
the international market must be given effect in  the future negotiating modalities for the agricultural TN/C/W/30 
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 sector.  In developing these modalities, mentioned in paragraph 43 of the July Package, efforts should 
be made to establish clear commitments by the deve loped countries on the elimination of the tariffs 
and non-tariff restrictions on tr opical products of all kinds. 
  With regard to the new special safeguard me chanism, the G-33 has submitted a detailed 
proposal thereon.  We hope that it will receive positive consideration in the next stage, after the 
summer break, since the Group's objective is to ach ieve an effective mechanism to deal with 
significant increases in imports and in the situati ons arising from a fall in international prices.  
Accordingly, it should be activated on the basis of volume and price.  
 As regards the negotiations on non-agricultural products, we believe that the varying formulas 
that have been presented so far do not reflect the concerns relating to the economic and social development of small and vulnerable econom ies, such as the economy of Honduras. 
  In that sector my country is characterized by the full binding of its tariffs, by low average 
bound levels and very low average applied levels , and also by our own efforts at autonomous 
liberalization.  The need to diversify domestic production and integrate our economy into international trade leads us to express our concern, to the effect that we must continue exploring 
alternatives with a view to achieving minimum reduc tions in the bound tariffs and no reduction in the 
applied tariffs for those economies.  We believe that  this should be agreed without prejudice to the 
flexibilities set out in paragraph 8 of Annex B. 
 
 Two elements which we also consider it important to mention are the sectoral approach and non-tariff barriers.  In this connecti on, we consider the sectoral approach to be a useful tool for those 
Members who wish to participate voluntarily, but we c onsider that this issue will need to be clarified 
with a view to defining which formula we are going to  apply.  We also believe that non-tariff barriers 
should be eliminated, at least for those products wh ich our countries have an interest in exporting. 
  With regard to services, my delegation takes th e view, like the great majority of the Members, 
that the current negotiating process should continue on the basis of the negotiations agreed under the 
Agreement itself, the Doha Ministerial Declaration and also the guidelines for negotiations established 
for all the Members in Annex C of the July Package. 
 
 It is essential to preserve the flexibility of  the Agreement and prevent imbalances from 
arising.  My delegation would be concerned at a ny initiative that might erode such flexibility and 
would allow Members to decide for themselves the pace at which they offered market access and 
national treatment with regard to specific service activities and sectors. 
 
 With regard to trade facilitation, we welcome th e very positive report that the Chairman of the 
Group has presented.  We consider that that repor t reflects the work so far undertaken in that 
negotiating group.  The large number of communica tions submitted reflects the interest of the 
Members in this subject.  
 The objectives of the negotiating group's mandate must be kept in mind as we advance in this 
process, especially as regards the promotion of technical assistance and the support for capacity 
building.  It should be understood that when we talk  of promotion, we refer to "development, increase 
or encouragement", by which means we hope to see the achievement of such objectives. 
 
 We consider that we must continue our work so as to achieve a balanced outcome that takes 
into account the various elements of the mandate, in  particular, special and differential treatment for 
the developing countries.   TN/C/W/30 
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  Finally, we wish to express our total support for the statement made by the Ambassador of 
Indonesia, on behalf of the G-33 and I should like to conclude by expressing the readiness of my 
delegation to continue working c onstructively in this process with a view to agreeing negotiating 
modalities that reflect the spirit and letter of the Doha Mandate.  
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