WORLD TRADE  
ORGANIZATION  IP/C/W/452/Add.2 
10 October 2005 
 
 (05-4563) 
Council for Trade-Related Aspects 
of Intellectual Property Rights Original:   English 
 
 
 
REPORT ON THE IMPLEMENTATION OF ARTICLE 66.2 
OF THE TRIPS AGREEMENT 
 
CANADA 
 
Addendum  
  
 The following communication, dated 4 October 2005, from the delegation of Canada is being 
circulated pursuant to paragraph 1 of the Decisi on on Implementation of Article 66.2 of the TRIPS 
Agreement.   
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 I. INTRODUCTION 
1. Article 66.2 of the TRIPS Agreement requir es "developed country Members to provide 
incentives to enterprises and ins titutions in their territories for the purpose of promoting and 
encouraging technology transfer to least-developed co untry Members in order to enable them to create 
a sound and viable technological base".  The presen t note provides information on Canada's activities 
concerning technology transfer to least-developed countries (LDCs). 
2. In general, Canada provides domestic incentives for the transfer of technology in the form of 
(i) intellectual property embedded in transferred goods and services;  (ii) management and business 
know-how to support production and distribution of goods and services;  and (iii) human 
capacity-building.  Several Canadian governme nt departments, agencies and programmes are 
involved in providing incentives, either directly or indirectly, for Canadian enterprises and institutions 
to engage in activities involving technology tran sfer to developing country Members and LDCs. 
3. The Canadian agencies principally involved in technology transfer activities are the Canadian 
International Development Agency (CIDA) and the International Development Research Centre 
(IDRC).  A number of other government department s, agencies and programmes such as Industry 
Canada, Health Canada, the National Research C ouncil (NRC) and other volun teer programmes also 
contribute significantly to providing incentives for te chnology transfer.  The present document is a list 
of ongoing activities. 
II. CANADIAN INTERNATIONAL DEVELOPMENT AGENCY (CIDA) 
4. CIDA is the lead organization responsible for Canada's Official De velopment Assistance 
(ODA) Programme.  The work of the Agen cy is guided by the recently released Canada's 
International Policy Statement – A role of Pride and Influence in the World:  Development .  To make 
its aid more strategic, the Agency will focus its  country-to-country programmes in a limited number 
of developing countries, the majority in Africa,  that are among the poorest, but have a good potential 
for poverty reduction.  In Africa, eleven out of the fourteen development partners are LDCs.  IP/C/W/452/Add.2 
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 5. The Agency will also focus its efforts in fi ve key sectors:  good governance, health, basic 
education, private-sector development, and in envi ronmental sustainability (gender is a cross-cutting 
issue).  The International Policy Statement also indi cates that "to help make markets work for the poor 
in developing countries, the Government will:  a) work to improve the ability of developing country 
exporters to access Canadian and global markets;  b) extend research and development partnerships to 
the developing world;  and c) continue to press fo r an ambitious conclusion to  the Doha round of trade 
negotiations in the World Trade Organization (WTO)". 
6. The Private Sector Directorate (PSDi) in the Ca nadian Partnership Branch supports initiatives 
from both Canadian and overseas private-sector organizations that help build the local private-sector in developing and transition countries through in vestment, improving local infrastructure through 
professional services, access to new markets and cap acity-building and institu tional strengthening of 
local private-sector organizations.  The invest ment mechanism of PSDi's Industrial Cooperation 
Program (CIDA-INC) supports Canadian private-sector  firms that seek to invest in, and establish a 
long-term business relationship with a local partne r to produce goods or services.  Its professional 
services mechanism supports consulting firms seeking to  participate in infrastructure projects with 
positive developmental impacts in the host country.  Eligible initiatives involve technology transfer 
and training in order to strengthen skills, experti se and knowledge of local managers and employees 
in developing countries.  As th is is a responsive mechanism, th e benefiting countries depend largely 
on the demand of Canadian companies. 
7. Examples of projects supported by CIDA-INC incl ude supporting a Canadian company to:  a) 
implement a joint venture operation in Afghanistan, involving technology transfer for the manufacture 
and marketing of biodegradable hair  shampoos and liquid soaps;  or b) train Burkina Faso government 
personnel in the operation and maintenance of a syst em to issue and deliver national identity cards.  
PSDi also supports a number of Canadian non-prof it specialized training institutes that mobilize 
sector-specific expertise through knowledge and te chnology transfer activities to build capacity of 
management in the private-sector or private-sect or institutions in LDCs.  As an example, the 
Telecommunications Executive Management Institute  of Canada (TEMIC) develops the capacity of 
senior and middle level executives of public a nd private corporations working in the 
telecommunications and the information and commun ication technology (ICT) sectors of developing 
and emerging economies. 
8. In addition to the above programming that is  directly linked to the private-sector of 
developing countries, the Canadian Partnershi p Branch also supports programming involving 
education institutions and youth.  The University  Partnerships in Coope ration and Development 
Program (UPCDP) and the Canadian College Part nership Program (CCPP)  support partnerships 
involving, respectively, universities and colleges with  their counterparts in developing countries to 
facilitate human resource development.  These partne rships often involve technology transfer as part 
of a broader capacity development effort.  For example, CIDA supported a consortium of three 
Canadian universities that helped build Braz il's capacity in the mariculture sector through 
collaboration that included technology transfer.  
9. The International Youth Internship Program (IYIP), which gives yo ung Canadian graduates 
an opportunity to contribute to grass roots coope ration in LDCs.  Sectors that benefit include 
communications, environment, health, industry, na tural resources and water/sanitation.  Examples 
include the following:  (i) a clean water project in Lao PDR involving the transfer of certain 
technology from a Canadian non-governmental organizati on to a local partner;  (ii) a water/sanitation 
project in Uganda for the transfer of gravity-flow  methods to a local technical service organization; 
(iii) the transfer of pedal-powered technology for pumps and tile making machines, solar power 
techniques and proper use of composting toilets, fr om a Canadian sustainable living institute to 
Friends of the Earth Sierra Leone.  IP/C/W/452/Add.2 
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 10. In addition to the initiatives mentioned above , CIDA, through its bilateral programming, 
supports research and technology transfer in some of its projects in LDCs.  Through the Canada Fund 
for Africa, CIDA is supporting the development of Biosciences East and Central Africa .  The goal is 
to support eastern and central African countries in  developing and applying bioscience research 
expertise to produce technologies that help poor farmers to secure their assets, improve their 
productivity and income, and increase their market opportunities.  The project includes a capacity 
building component, with a focus on women and yo uth scientists, and a competitive grants process 
aimed at improving the quality and leadership of African research.  Ten per cent of funds will be 
sub-granted to the NEPAD secretariat to support its efforts to identify three other regional hubs in 
Africa and improve agricultural extension.  
III. INTERNATIONAL DEVELOPMENT RESEARCH CENTRE (IDRC) 
11. IDRC is a Canadian public corporation mandate d to initiate, encourage, support and conduct 
research into the problems of developing regions of  the world, and into the means for applying and 
adapting scientific, technical and other knowledge to  the economic and social advancement of those 
regions.  IDRC has been promoting technologies fo r managing and sharing technology for the past 
35 years through funding partnerships with other donor s, including the private-sector.  The following 
is a list of ongoing programmes includi ng IDRC's technology transfer activities. 
12. The International Development Research Ce ntre (IDRC) has a longstanding commitment to 
advancing the role of information transfer in deve lopment.  A tradition of innovation that began with 
an emphasis on building databases and informat ion systems has evolved into a focus on the 
transformative nature of information and communi cation technologies (ICTs).  IDRC was one of the 
first development agencies to embrace ICTs as a key means to foster development and alleviate 
poverty, and its Information and Communicati on Technologies for Development Program Area 
supports a number of complementary initiatives.  Firs t, there is Bellanet, an international initiative 
designed to facilitate inter-agency collabora tion through using information and communication 
technologies (ICTs) more effectively, which incl udes the African Networking Initiative and the 
African Information Society Initiative.  Second, ID RC continues to sponsor the major undertaking of 
the Communities and ICTs for Africa (Acacia) programme with a view to empowering African communities with an ability to apply ICTs to thei r own social and economic development.  Its Pan 
Americas Networking initiative has also helped LDCs such as Haiti in developing capacity for 
Internet use.  IDRC's Pan Asia Networking init iative has focussed on LDCs such as Viet Nam, 
Lao PDR, Sri Lanka and Nepal where IDRC assisted in  the elaboration of a participatory process for 
formulating the country's information tec hnologies policy, as well as its implementation. 
13. Building on this wide range of experience, IDRC has established two major Canadian-led 
initiatives to bridge the digital divide:  the Institu te for Connectivity in the Americas, emerging from 
the Summit of the Americas in 2001, and Connectivity Africa, resulting from the 2002 G8 Annual Summit.  In June 2004, the IDRC Board of Governor s approved a Letter of Intent with the Microsoft 
Corporation, Community Affairs Division, to deve lop a Telecentre Support Network that will assist 
telecentre activists and practitioners. 
14. The goal of IDRC's Environment and Natural Resource Management (ENRM) Program Area 
is to help developing countries find feasible a nd sustainable approaches to enhance food and water 
security, human health and natural resources manage ment, building their found ations on democratic 
participation, good governance and social equity.  A strategic component of the programme is to 
strengthen the linkages between research, policy and its  implementation to ensure that concrete results 
generated at various scales by programme activities ar e translated into action by municipal, national 
and international authorities and other stakeholders  involved in sustainable development.  ENRM 
programming operates along the urban, peri-urban a nd rural continuum through the activities of three 
Program Initiatives (PIs):  Ecosystem Approaches to Human Health (Ecohealth);  Rural Poverty and IP/C/W/452/Add.2 
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 Environment (RPE); and Urban Poverty and Environment (UPE).  The activities of the PIs are 
complemented by the work of the International Model Forest Network Secretariat (IMFNS).  These 
programmes are aimed at generati ng innovations within local communities of LDCs to manage their 
resources in a sustainable fashion.  Such innova tions may be technical (e.g., improved production 
techniques), institutional (e.g., decision-making or planning processes) and/or policy-focused. 
15. IDRC fosters the building of broad based alliances between Canadian corporations, 
institutions and LDCs with the aim of helping to  bridge the developing world's scientific and 
technological gap.  One example is IDRC's support  to the International Institute for Sustainable 
Development (IISD) in Canada and the Energy and Resources Institute (TERI) of India for a four-year 
project involving.  The project uses a vulnerability mapping approach to select pilot sites that include 
agriculture activity and have expe rienced environmental change in last two decades.  At each pilot 
site, researchers work with co mmunities and policymakers to unders tand how policies have allowed 
people to adapt to climatic conditions beyond those for which the policies were originally designed.  Such research will help government agriculture and water resource policymakers in Canada, India and 
South Africa design policies that adapt to circumst ances as they emerge over time and that are robust 
across a variety of possible futures, rather than optimized for a specific future.  Ultimately, such 
policies help people adapt in the face of uncertainty and surprise associated with  the future impacts of 
climate change. 
16. Another example is IDRC's support to building capacity for social gender analysis in Asia. 
Research partners in Asia have expressed a desire  for support and training in integrating social 
analysis and gender analysis into natural resour ce management (NRM) projects.  This programme 
involved practical application of social analysis a nd gender analysis at the field level;  identification 
of key social analysis and gender analysis issues in the context of NRM research;  and development 
and use of culturally appropriate approaches and t ools.  The programme is implemented through four 
interrelated modalities:  iterative tr aining programmes;  documentation and sharing of good practices; 
interactive networking;  and strengt hening institutional capacity.  The project is integrating social and 
gender methods and analysis as many of the particip ants had limited training in social science.  The 
training process included teaching/tutoring about soci al and gender concepts and methods, the design 
of research proposals, fieldwork, reporting on research progress, report writing, and the presentation of results.  The iterative training programme i nvolved researchers from Laval University and the 
University of British Columbia providing training to research teams in Viet Nam and the eastern 
Himalayan.  The learning case studies focused on China, Mongolia, Viet Nam, India and Nepal. 
17. Another example is IDRC's support to Sociedad  Peruana de Derecho Ambiental or SPDA in 
Peru for work on access to genetic resources.  Biopir acy is the illegal, unlawful and/or unethical use 
of biological resources and indigenous traditional knowledge.  This grant focuses on country specific 
(Brazil, Colombia, Ecuador, Venezuela) and regional actions (Andean Community and Amazon 
Cooperation Treaty) to combat biopiracy.  This  includes forming national biopiracy prevention 
working groups, regional cooperation on biopiracy pr evention strategies, policy and legal research on 
key issues, learning from successful experiences (Peruvian Maca Working Group), and forming a 
network of institutions and experts to prevent biopiracy.  One recent outcome on 9 August 2005 was 
the General Secretariat of the Andean Commun ity (Comunidad Andina-CAN) and the Peruvian 
Society for Environmental Rights (SPDA) signi ng of a Memorandum of Understanding that will 
provide Andean countries with the legal tools needed to prevent biopiracy or wrongful appropriation 
of their genetic resources and traditional knowledge. 
18. Another example is IDRC's support to the produc tion of a publication on toxicity test methods 
for freshwater environments:  Small scale fresh water envir onment toxicity test methods , C. Blaise and 
J.S. Ferard, Eds, Kluwer Academic/Plenum Pub lishers, London (in press 2005).  This peer-reviewed 
book will fill an important scientific gap worldw ide that will stimulate use and application of 
small-scale toxicity tests, whether for research, monito ring, or educational purposes.  It should be of  IP/C/W/452/Add.2 
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 interest to the scientific community at large.  Academia (undergraduates, graduates, professorial 
staff), government and consulting professionals (biol ogists, chemists, engineers) will find it unique, 
because it will encompass, into a single document, comprehensive information on biological testing 
which is normally scattered and difficult to find.  It should be, for example, extremely useful for 
graduate and undergraduate courses in aquatic toxicology involving practical laboratory training in 
the toxicity testing of chemicals.  In this respect, it will be attractive, owing to some of its contents, as 
a laboratory manual for learning purposes or for undertaking applied research to assess chemical 
hazards.  It will also be of use for regulators or environmental managers who wish to select the most 
appropriate test(s) for future decision-making with regard to protection of aquatic ecosystems.  In 
terms of ENRM support to research on technology transfer, the publication includes a chapter on 
multi-trophic batteries of bioassays that were refined for the monitoring of natural waters and 
domestic and industrial effluents, including three hazard assessment schemes (HAS) adapted to local 
needs and conditions: 
• In Argentina, the Effect-Dilution Average Ratio Index  (EDAR) for the assessment of surface 
and ground water contamination; 
 
• In Colombia, the Potential Ecotoxic Eff ects Probe (PEEP index) based on the index 
developed by Environment Canada, to evalua te the potential toxicity of industrial and 
municipal wastewaters, and assess the effectiveness of toxicity abatement measures for effluents;  and 
 
• In Chile, a HAS based on a core battery of bi oassays that includes D. Magna, H. Attenuata 
and L. Sativa to assess soluble contaminants associated to sewage sludge and biosolids from 
different municipal treatment plants of the country. 
 
19. IDRC fosters the building of broad-based alliances between Canadian companies and 
institutions and LDCs with the aim of helping to  bridge the developing world's scientific and 
technological gap.  A good example is a collabor ative community-based natural resource management 
project in Lao PDR linking York University (Canada) , the University of Sydney (Australia), Chiang 
Mai University (Thailand), and the National Univers ity of Laos (NUOL).  With parallel funding from 
other international groups, the alliance seeks to  build research capacity at the NUOL through 
undertaking small projects on natural resource ma nagement and food security, which are critical 
issues for Lao PDR. 
20. The Research on Knowledge Systems (RoKS)  exploratory initiative was launched in 
June 2001 to explore, from a developing coun try standpoint, the ways in which knowledge is 
produced, communicated, and applied to developmen t problems, and to investigate the policy and 
institutional frameworks that govern this process.  RoKS also acts as IDRC's policy effort in support 
of knowledge, science and technology (S&T) for capac ity-building in the South by helping cast light 
on cross-cutting issues in the areas of environment and natural resource management, information and 
communication technologies for development, and social and economic equity.  RoKS plays a 
catalytic role in stimulating research for policy change.  It does this through an annual research 
competition, workshops and seminars, commissioned pa pers, and ongoing analys is of emerging trends 
in knowledge policy both in Canada and abroad  through collaborations with donor agencies and 
research partners.  In 2004, in partnership with the Rockefeller Foundation, RoKS awarded a number 
of grants through its annual research competition.  The 2004 theme was "Understanding the Social and Public Policy Dimensions of Transformative Technologies"; many of the topics looked at the 
political-economy side of biotechnology and na notechnology.  RoKS also oversees IDRC's 
contribution to the New Partnership for Africa 's Development (NEPAD) S&T agenda through the 
African Forum on Science and Technology for Deve lopment (AFSTD).  This grant is helping the 
AFSTD develop its research programmes and activ ities to promote the application of S&T for IP/C/W/452/Add.2 
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 economic growth and poverty reductio n.  AFSTD will create networks of excellence and programmes 
across Africa in priority areas include S&T policies, technological innovation, science and 
engineering education, and biotechnology. 
21. The IDRC Task Force on Biotechnology and Emerging Technologies organized a series of 
regional consultations in devel oping countries to identify the key research questions affecting 
developing countries in areas such as intellectua l property, biosafety regimes, agricultural 
biotechnology, and genetically modified organi sms in 2004.  The results of these regional 
consultations will inform Centre programming in the areas of intellectual property rights policies in 
developing countries, access-and-benefit regulations and biosafety protocols. 
IV. INDUSTRY CANADA 
22. Industry Canada sponsors several programmes for the transfer of technology by Canadian 
institutions and enterprises to LDCs.  In the field of telecommunications, Indu stry Canada promotes 
global interconnectivity and inter- operability of broadband networks, applications and services (e.g. 
telehealth and telelearning).  This work aims to  improve the domestic and international investment 
climate in order to create incentives to global markets, including developing country Members and 
LDCs, by spurring companies to make their produc ts and services export-ready.  It also supports 
international collaboration for Canadian research institutions in emerging areas such as electronic 
commerce, genomics, environmental technologies and advanced engineering. 
23. In addition, Industry Canada plays a leading role in the advancement of the Connectivity 
Agenda for the Americas through the Summit of  the Americas process and the Inter-American 
Telecommunications Commission (CITEL) work pr ogramme and continues to promote global 
connectivity through its work at the Inte rnational Telecommunication Union (ITU).  
24. Industry Canada is also particularly active in the technology transfer area.  The Branch has 
organized seminars and workshops on ICT policy and regulatory issues for LDCs, hosted incoming 
study missions, and fostered discussion on viable pr o-competitive regulatory options through its work 
in the Asia Pacific Economic Cooperation Telecomm unications and Information Working Group.  In 
its participation in CITEL, Indus try Canada takes every opportuni ty to promote common frequency 
bands and services so that Canadian industry can benefit from new radio equipment markets. 
25. Another Industry Canada unit involved in technology transfer is the Spectrum Engineering 
Branch (DGSE), which is responsible for the t echnical integrity and quality of the engineering 
planning which is the basis for the orderly regul ations, management and exploitation of the radio 
frequency spectrum.  The DGSE is responsible fo r the technical and strategic planning which 
underpins Canadian telecommunication regulatio ns, testing, certification and accreditation 
procedures.  It is also responsib le for international negotiations, tr eaties, agreements  and arrangements 
associated with its spectrum management obligati ons.  DGSE is specifically involved in technology 
transfer activities through the Technology Transfer and Support office (DTT).  DTT provides training to foreign governments of developing and least-dev eloped countries (LDC).  DTT's goal is to promote 
Canadian spectrum management technologies and know-how through technology transfer activities 
through Canadian private-sector partners.  
V. HEALTH CANADA 
26. In October 2004 Health Canada signed a letter of intent with the Secretariat of Health of 
Mexico on Health Sector Collaboration.  One of th e objectives of the cooperation is to facilitate the 
exchange of Canada and Mexico's respective scienti sts, clinicians and other health professionals, as 
well as health information.  Also in October 2004 Hea lth Canada agreed with the Secretariat of Health  IP/C/W/452/Add.2 
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 of Mexico with respect to a programme of coope ration on research in tuberculosis matters between 
the Canadian Institutes of Health Research and the Secretariat of Health of the United Mexican States. 
VI.  NATIONAL RESEARCH COUNCIL (NRC) 
27. The National Research Council's Industrial Res earch Assistance Program  (IRAP) encourages 
and supports Canadian small and medium-sized entities to develop international technology-based 
partnerships with both developed and less developed economies.  IRAP , in partnership with Canada's 
Department of Foreign Affairs and Internati onal Trade, supports group missions to explore 
opportunities for partnerships.  IRAP and NRC as a whole have been active in developing 
technology-based partnerships in the Asian-Pacifi c region, in part through the Industrial S&T 
Working Group of APEC which Industry Canada chaired last year. 
VII. VII. VOLUNTEER PROGRAMMES  
28. Canada funds a number of volunteer progra mmes where skilled Canadians are sent to 
developing country Members and LDCs to help sup port the development of a viable technology base 
in those countries.  For example, Canada's NetC orps Canada Internationa l (NetCorps) programme 
provides internships for young Canadians to work  abroad in the area of Information and 
Communication Technologies (ICT), which was part of the Industry Canada's "Connecting Canadians 
to the World" Strategy.  NetCorps is funded th rough the Human Resources and Skills Developemnt 
Canada's Youth Employment Strategy, and overseen  by Industry Canada's Information Highway 
Applications Branch in coordination with NetCor ps' Coalition of Canadian volunteer organizations, 
including Canada World Youth (lead), Alterna tives, Canadian University Services Overseas, 
Oxfam-Québec, Volunteer Services Overseas Canada , Internet, and Internet International Human 
Rights Documentation Network, Canadian Crossroads  International, and the Canadian Society for 
International Health.  They focus on showcasing the information technology expertise of young 
Canadian and, establishing partnerships with local private, public or non-profit entities in 
locally-tailored human capacity-building and infrastru cture-building projects in such fields such as 
health, education and agriculture.  The NetCorps initiative benefit host organi zations in developing 
country Members and LDCs, such as Ethiopia, Senegal and Malawi.  210 young Canadians are 
expected to benefit from NetCorps internships in 2004-2005. 
VIII.  INTERDEPARTMENTAL ACTIVITIES 
29. In 2004, the Prime Minister announced the govern ment's long-term plan to provide at least 
five per cent of research investment to problems faced by developing countries.  This commitment 
was reiterated in the recently released Internationa l Policy Statement.  Interdepartmental work in 
collaboration with the National Science Advisor is on-going to define how this commitment will be 
implemented. 
30. In 2005, Bill C-9, an Act to amend the Patent  Act and the Food and Drugs Act, came into 
effect.  Under this Act, developing and least-devel oped countries will be able to access affordable life 
savings drugs.  This enables Canada to respond to the August 30, 2003 decision of the WTO on the 
Implementation of Paragraph 6 of the Doha Declaration on the TRIPS Agreement and Public Health.  
CIDA is working with other departments to ex amine how best Canada could facilitate the 
implementation of measures related to the Act to en sure that developing countries make the most of 
this legislation. 
 IP/C/W/452/Add.2 
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 IX. MULTILATERAL ACTIVITIES 
31. At the multilateral level, Canada continues to  actively contribute to many international 
institutions which, in turn, foster initiatives provi ding incentives for technology transfer to developing 
country Members and LDCs.  In th is respect, Canada's continuing contribution to the WTO's technical 
assistance fund, the World Bank, the Inter-America n Development Bank, the African Development 
Bank and the Asia Development Bank all help to encourage the transfer of technology supported by 
human capacity building for the foundations upon which may be built a sound and viable 
technological base.  Canada also supports sector specific programming notably through the Consultative Group on International Agricultura l Research (CGIAR), the Information for 
Development Program (Infodev), or the Energy S ector Management Assistance Program (ESMAP). 
32. Since the inception of the WTO Working Group on Trade and Technology Transfer (WG3T) 
in 2002 as part of the Doha development round, Canada  has played an active role in the work of this 
body.  The mandate of the WG3T includes examining:   a) the relationship between trade and transfer 
of technology;  and b) any possible recommendations on steps that might be taken within the mandate 
of the WTO to increase flows of technology to deve loping countries.  Canada's participation in the 
WG3T has consisted of sending experts to meeti ngs and submitting a detailed paper to the Working 
Group in document WT/WGTTT/2 that describes our experiences with policies aimed at facilitating 
technology transfer. 
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