WORLD TRADE  
ORGANIZATION  IP/C/W/452/Add.7 
6 April 2006 
 
 (06-1626) 
Council for Trade-Related Aspects 
of Intellectual Property Rights Original:   English 
 
 
 
IMPLEMENTATION OF ARTICLE 66.2 OF THE TRIPS AGREEMENT: 
INFORMATION FROM DEVELOPED COUNTRY MEMBERS 
 
Addendum  
 
AUSTRALIA 
   The following communication, dated 14 March 2006, from the Delegation of Australia is 
being circulated pursuant to paragraph 1 of the Decision on Implementation of Article 66.2 of the 
TRIPS Agreement.  It was circulated as an adva nce copy for the Council's meeting of 14-15 March 
2006.   
_______________ 
 
 1. The following report is an update to the repor t (IP/C/W/388/Add.2) submitted by Australia on 
14 November 2002 in response to the request by th e TRIPS Council that de veloped country Members 
make available information on their implementation of Article 66.2 of the TRIPS Agreement pursuant 
to paragraph 11.2 of the Doha Decision on Implementation-Related Issues and Concerns 
(WT/MIN(01)/17).  The latter requires that reports be submitted on the functioning in practice of the 
incentives provided to their enterprises for the tr ansfer of technology in pursuance of their 
commitments under Article 66.2. 
Type of Incentives 
 2. Technology transfer is interpreted in this re port broadly to include training, education and 
know-how.  Australia's transfer of technology to  least-developed countries (LDCs) occurs through 
export-related activity as a normal process of market  forces, through facilitating a strong intellectual 
property environment in LDCs and through incentives wh ich are a part of the Government's bilateral 
and regional development assistance programme. 
3. At the same time, the Australian Government has in place programmes designed to promote 
innovation and competitiveness in the Australian econom y which in turn can contribute to increased 
transfers of technology in export markets including LDCs.  For example, technology transfer may occur through exports and outward or direct investme nt by Australian firms in other countries.  This 
transfer of technology may occur in joint vent ures between Australian firms and overseas companies 
or governments. 
4. Australia's development assistance programme to LDCs includes many activities that include 
a large technology transfer component delivered via the provision of monetary incentives to Australian business enterprises, educational institutions  and other organizations .  Australia considers 
that this provision of monetary incentives not only qualifies as an incentive to encourage and promote IP/C/W/452/Add.7 
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  technology transfers to LDCs for the purposes of Article  66.2, but is effective in meeting the Article's 
objectives. 
5. In addition to direct monetary incentives, Australia recognizes that technology transfer, 
economic growth and poverty reduction are best fo stered in an efficient, open and market-based 
economy. Fundamental to this framework is good governance.  Australia provides extensive 
governance assistance (total of $A381.1 million in  2003-2004, an estimated 30 per cent benefits 
LDCs) which includes improving economic and financ ial management, strengthening the rule of law 
and justice, increasing public sector effectiveness an d developing civil society and human rights. 
Government Agency Making the Incentives Available 
 
6. This report includes information on incentives for technology transfer provided by a number 
of Australian Government agencies including the Australian Government's development assistance 
agency "AusAID" and IP Australia (responsib le for patents, designs and trademarks). 
Eligible Enterprises and Institutions Providing Incentives 
 
7. The vast majority of Australian development assistance activities are implemented by 
organizations and individua ls selected through a competitive tendering process. 
Appropriate Technology 
 
8. For sustainable development, it is critical that t echnology transfer be appropriate to the needs 
of the particular country.  In order to ensure this, Australia jointly develops country strategies with all 
major partner countries to form the basis of deve lopment assistance.  The country strategies are 
informed by a country-specific analysis of poverty and the most effective contributions Australia can make to reduce it.  Australia is involved in workin g partnerships with a ra nge of international and 
community partners to ensure harmonization of resources and appropriately targeted assistance. 
Monitoring and Evaluation 
 
9. Monitoring and measuring the effectiveness and results of development assistance are key 
concerns for the Australian aid programme.  A range of mechanisms and experts are continually used 
to ensure effectiveness of mone tary incentives including the Audit Committee, High Level Advisory 
Groups, the Aid Advisory Council, the Committee fo r Development Co-operation, peer reviews, 
corporate reviews and the Office of Review and Evaluation. 
10. Through reviews and evaluations, Australia consid ers that the education of LDC nationals at 
Australian universities and their training in the u se and management of technological equipment 
comprise two of the most effective means of transferring technology and know-how to which Australia has access.  Consequently, a significant portion of AusAID's assistance is directed at 
providing education and training.  In 2002-2003 improved educations outcomes were achieved 
through 195 activities valued at $A247 million representing 16 per cent of aid programme 
expenditure. A detailed account of illustrative AusA ID activities and funding is provided below, 
including in the tables  "Australia's aid programme :  Assistance to least-developed countries with a 
major technological transfer component 2002-2003" and "Australia's aid programme:  Assistance to 
least-developed countries with a major technological transfer component 2004-2005".  IP/C/W/452/Add.7 
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  Details of Incentives for Technology Transfer to LDCs 
 
AusAID:  Bilateral Programmes  
 11. Australia's aid programme provided approximate ly $A231 million in development assistance 
to LDCs in 2002-2003 and $A466.3 million in 2004-2005.  The large majority of these activities carry 
a technology transfer or investment incentive co mponent.  However, only those activities for which 
technology transfer/investment incentive is a major component or the primary aim have been included 
in the figures provided in the 2004-2005 table. 
Lao PDR and Cambodia – Hydrometeorological Network (Phase 1 and 11) 
 
12. This project aims to improve the hydrometeo rological knowledge and infrastructure of the 
Mekong River Commission (MRC), at a total cost of $A1.8 million (Phase I 1998-2001) and $A5.9 million (Phase II 2001-2005) including $A830,000 in 2002-2003.  Activities include: 
• upgrading of 14 key electronic data collec tion stations linked by Australian HYDSYS 
software, accessible from a central monitoring position; 
 
• a training programme for MRC staff in Australia and in situ ; 
 
• support to the MRC to ensure that measurable data is obtained, including direct internet 
links with Australian field hydrologists;  and 
 
• procurement of hydrometeorological eq uipment and other related hardware. 
 13. This project is making a significant contributi on to the water resource management of the 
Mekong Basin, as well as being a showcase for Australian technology.   
Samoa – Immigration Project 
 
14. Australia provided $A4 million (2002-2005) to st rengthen the Samoan Immigration Division.  
The project included: 
• acquisition and implementation of a new automated Passport Management System; 
 
• acquisition and implementation of the new Bo rder Management System (BMS).  The 
BMS capability is a major investment in strengthening Samoa's borders for the security of the people of Samoa;   
 
• introduction of an automated permit processing system linking to the Labour Ministry by 
wireless to the immigration network for th e complementary approval of Work Permits; 
and 
 
• introduction of new IT systems and software. 
 IP/C/W/452/Add.7 
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  Policy and Management Reform Fund 
 
Government Financial Analysis and Reporting Project  
15. Australia provided $A1.52 million (2004-2005) to the Government of Samoa's Financial 
Analysis and Reporting Project (GoFAR) for the pur chase of a new financial management system to 
be used throughout the public service.  The new system will enable the government to devolve 
financial management to its line agencies.  The funding was provided in add ition to bilateral support 
through the Pacific Policy and Management Reform Fund. 
Solomon Islands 
 
ICT Capacity Development Project  
 
16. This project aims to assist the Solomon Isla nds Government (SIG) to develop and resource a 
manageable IT system for its departments and the formation of an ICT support unit.  The ICT support 
unit will provide a mechanism for the SIG to implem ent a management system, and to investigate the 
possibility of a wide area network between the de partments.  Currently in the design development 
phase, the project will be conducted over three years at an estimated cost of $A4.2 million, 
commencing in 2006. 
Solomon Islands Broadcasting Corporation (SIBC) Capacity Building Project  
 17. This project has included an IT upgrade, a nd an antennae transmitter upgrade to the existing 
systems, as well as capacity building in their use a nd maintenance.  The IT upgrade simplified and 
updated the computer-operating environment for th e SIBC and provided a secure standard operating 
environment over a local area network.  The ante nnae transmitter upgrade has allowed for the SIBC 
signal to be heard throughout the Solomon Islands , contributing to the passing of messages about 
RAMSI assistance, news in general to the islands, and weather alerts during the cyclone season. The project has delivered an estimated $A1 million in assistance to date.  Technical assistance will support 
the SIBC's coverage of the March 2006 election. 
Tuvalu
 
 18. As a follow-up to the Tuvalu Education Suppor t Program (TAESP) Database training course, 
Australia provided an estimated $A18,000 support fo r a short IT training course to train Department 
of Education staff in the use of the ma nagement information system database.  
Pacific Regional 
 
Pacific Regional Information System (PRISM)
 
 19. As part of the ongoing support provided by the Pacific Regional Governance Section to 
statistical policy, funding has b een approved for the Pacific Regional Information System (PRISM), 
implemented by the Secretariat of the Pacific Community (SPC).  Expenditure approvals of up to $A715,000 over three years will support the establis hment of a functioning Internet-based regional 
information system known as PRISM, being establis hed and maintained by the regions National 
Statistics Offices (NSOs).  The NSOs will compile th e necessary data to assist their governments with 
Millennium Development Goals (MDGs) monitoring and evaluation.  PRISM websites will enable 
NSOs to save as open-access data will mean fewer individual requests for st atistics either from donors 
and other actors.  Once the PRISM national website s are fully operational, SPC intends to produce a 
regional database for international comparison and analysis.  IP/C/W/452/Add.7 
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  20. Please note, this is not a comprehensive list but a selection of some examples from the Pacific 
region. 
Australian Development Scholarships 
 
21. Australian Development Scholarships (ADS) are aw ards for long-term in-Australia training. 
The objective of the programme is to provide ap propriate and cost-effective training to provide 
developing country nationals with  qualifications and skills necessary for development.  In 2002-2003 
Australia provided $A18.1 million and in 2004-05 $A40.6 million to recipients from the following 
LDCs – Cambodia, Vanuatu, Bangladesh, Bhutan, Kiri bati, Lao PDR, Lesotho, Malawi, the Maldives, 
Mozambique, Nepal, Samoa, the Solomon Isla nds, Tanzania, Tuvalu, Uganda and Zambia. 
Regional Programmes  
 22. In addition to bilateral assistance, the Aust ralian aid programme also provides LDCs with 
transfers of technology and investment incentives through various regional programmes.  In some 
cases, it is difficult to separate expenditure specifi cally to LDCs through these programmes;  however, 
relevant regional LDCs certainly benefit. 
Virtual Colombo Plan 2001-2006 
 
23. The joint Australian and World Bank technology tr ansfer initiative, the Virtual Colombo Plan 
(VCP), is improving education and access to kn owledge through the use of Information and 
Communications Technology (ICT).  Australia wi ll provide $A200 million (2001-2006) with an 
estimated $A40 million to LDCs.  Key outputs include: 
• contributing to the Development Gatewa y Foundation - an internet site for 
comprehensive and quality information about  development issues, including Australian 
specialist research and knowledge; 
• contributing to the World Bank's Global Development Learning Network (GDLN)  
providing multimedia, internet and videoconf erencing facilities to provide high-quality 
specialist learning programmes including the establishment of GDLN in Cambodia and 
Lao PDR; 
• training government officials in the Asia-P acific region in curriculum development and 
central banking through the GDLN system; 
• polytechnic assistance to Samoa; 
• assisting the University of the South Pacific deliver distance education by strengthening 
regional centres, online library services and personnel; 
• delivering short courses online in Kiribati and Tonga; 
• providing an ICT adviser in Cambodia;  and 
• strengthening the African Virtual University. 
 
APEC Support Programme 
 
24. Australia has provided $A25 million through th is project since it commenced in 1995.  
Expenditure in 2004-2005 was $A3.2 million.  The objective of the APEC Support Programme is to 
support small, high-impact requests from Austra lian Government departments and statutory IP/C/W/452/Add.7 
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  authorities for assistance aimed at supporting devel oping member economy participation in Asia 
Pacific Economic Cooperation (APEC).  The programme  also aims to facilitate and strengthen links 
between other Australian Governme nt bodies and developing economies in the APEC region.  Priority 
funding under this programme is given to activ ities that originate from the activities of APEC 
Working Groups or other APEC entities and whic h directly assist APEC developing Members to 
implement on trade and investment  liberalization and facilitation. 
ASEAN-Australian Economic Development Co -operation Program and ASEAN-Australian 
Development Cooperation Program 
 
25. Australia's ASEAN - Australian Economic Co -operation Program (AAECP) was established 
in 1974 to promote cooperation between Australia  and ASEAN countries. Its successor is the 
ASEAN-Australian Development Cooperation Pr ogram (AADCP) with a budget of $A45 million 
(2000-2008).  Activities within the programme stream include: 
• customs capacity building;  
 
• legal infrastructure for E-commerce; 
 
• assistance in private sector competitiveness and SME development;  
 
• quality assurance systems for fruit, vege tables, fish and fishery products; 
 
• animal and plant health manage ment and quarantine;  and  
 
• risk assessment in support of food safety measures. 
  IP/C/W/452/Add.7 
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  Australia's Aid Programme:  Assistance to Least-Developed Countries 2002-2003  
 
 
LDC Total ($A)  
Afghanistan 20,377,246 
Angola 219,737 
Bangladesh 29,987,788 
Bhutan 1,192,296 
Cambodia 36,373,718 
Chad 147,994 
Comoros 2,603 
Eritrea 37,93,377 
Ethiopia 6,161,937 
Gambia 6,508 
Guinea 1,302 
Haiti 18,221 
Kiribati 10,808,442 
Lao PDR 16,377,570 
Lesotho 802,124 
Madagascar 3,905 
Malawi 2,089,901 
Maldives 2,217,467 
Mauritania 167,630 
Mozambique 8,949,369 
Myanmar 5,631,464 
Nepal 7,794,319 
Nigeria 3,234 
Rwanda 30,000 
Samoa 15,661,163 
Sierra Leone 228,515 
Solomon Islands 30,946,403 
Somalia 345,810 
Sudan 242,891 
Tanzania 2,251,060 
Togo 5,206 
Tuvalu 3,582,126 
Uganda 2,009,133 
Vanuatu 20,697,911 
Zambia 1,833,525 
 
 IP/C/W/452/Add.7 
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  Australia's Aid programme:  Assistance to Least-developed Countries with
 
a Major Technological Transfer Component 2004-2005  
 
  
Australia's assistance to Least-Developed Countries 
(LDCs) for 2004-2005 
(Preliminary figures only) 
Least-Developed Country $A 
Afghanistan 19,297,155 
Angola 159,752 
Bangladesh 27,059,888 
Bhutan 1,217,803 
Cambodia 37,271,311 
Chad 1,015,570 
Congo, Dem. Rep. of 167,181 
East Timor 64,609,164 
Eritrea 1,145,795 
Ethiopia 3,761,047 
Guinea 94,500 
Haiti 49,187 
Kiribati 11,956,606 
Lao PDR 17,760,425 
Lesotho 167,262 
Malawi 1,619,056 
Maldives 1,689,617 
Mozambique 2,194,595 
Myanmar 13,838,093 
Nepal 5,549,940 
Niger 270,225 
Pacific Islands Unallocated 8,267,191 
Rwanda 114,376 
Samoa 20,339,927 
Solomon Islands 160,348,739 
Somalia 298,933 
Sudan 28,295,136 
Tanzania 2,196,834 
Tuvalu 6,227,765 
Uganda 750,311 
Vanuatu 27,299,027 
Zambia 1,318,895 
  
Total 466,351,310 
  
Source:  AusAID's statistical database  IP/C/W/452/Add.7 
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  IP Australia 
 
26. Australia assists in the process of technology transfer by facilitating the development of 
strong intellectual property regimes in countries in the Asia and Pacific Region.  The principal mechanism for facilitating this development is through the WIPO-Australia Joint Working Group on 
Intellectual Property Technical Assistance in the Asia and Pacific Region.  Under this Working 
Group, Australia assists in the coordination, planni ng and implementation of IP technical cooperation 
projects in the region. 
27. An example of the development activities under this Joint Working Group is the 
establishment of a Regionally Focused Action Plan  (RFAP) for the Pacific Island Countries.  The 
RFAP seeks to develop the Forum Island Countries' (FICs) intellectual property (IP) systems to meet 
world standards.  The RFAP provides assistance to  the following LCDs: Kiribati, Samoa, Solomon 
Islands, Tuvalu and Vanuatu. 
 
 
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