RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/BFA/SPEC/134 
13 October 2005 
 (05-4675) 
Committee on Budget, Finance and Administration  
  
 
     
 
  
2006-2007 
 
 
BUDGET ESTIMATES 
  
 
  
Proposals by the Director-General WT/BFA/SPEC/134 
Page 3 
 
 
CONTENTS 
 
Page  
 
FOREWORD....................................................................................................................... ...............4  
PART I ......................................................................................................................... .......................5  
INTRODUCTION................................................................................................................... ...........5  
BUDGETING PRACTICES, POLICIES, E FFICIENCY AND ECONOMY MEASURES ......6  
WORKLOAD INDICATORS ..........................................................................................................8  
BUDGET OVERVIEW ................................................................................................................ ...11 
MISCELLANEOUS OTHER INCREASES / DECREASES (DETAILS) .................................16  
2006 PROPOSED BUDGET FO R WTO SECRETARIAT .........................................................24  
2006 PROPOSED BUDGET FOR APP ELLATE BODY SECRETARIAT ..............................25  
2007 PROPOSED BUDGET FO R WTO SECRETARIAT .........................................................26  
2007 PROPOSED BUDGET FOR APP ELLATE BODY SECRETARIAT ..............................27  
TABLE OF 2005 REGULAR STAFF POSITIONS .....................................................................28  
ORGANIZATIONAL EVOLUTION SINCE 1995 ......................................................................29  
PART II ........................................................................................................................ ....................30  
INCOME ESTIMATES for 2006-2007..........................................................................................30  
ANNEX A – DRAFT SCALE OF CONTRIBUTIONS FOR 2006..............................................31  
DETAILED BUDGET ES TIMATES 2006-2007 ..........................................................................34  
PART III....................................................................................................................... ....................63  
CONSOLIDATED PERFOR MANCE AGAINST BUDGET 31 AUGUST 2005 ......................63  
WTO PERFORMANCE AGAINS T BUDGET 31 AUGUST 2005.............................................64  
APPELLATE BODY PERFORMANCE AG AINST BUDGET 31 AUGUST 2005 ..................65  
 WT/BFA/SPEC/134 
Page 4  
 
FOREWORD 
2006-2007 BUDGET PROPOSAL 
 
  When I came on board as Director-General of the WTO on 1 September, I stressed that a 
successful conclusion of the Doha Round by the end of 2006 is, and would remain, the number one 
priority for myself and for the Secretariat in the months to come. And while, today, my priority remains a successful outcome of the Round, we ar e obliged by the calendar to look beyond 2006 and 
ensure that the WTO will have the resources necess ary to carry on its work and move forward. 
 
 Moving forward means not only being able to pe rform our current and future tasks - it means 
performing them better and more efficiently.  For that , we need a motivated staff.  This is one of the 
most important resources for a successful organization and while motivation is intangible, it is the fruit of the consistent application of policies, an  effective and rational organizational structure, 
proficient managers, the right tools to do the j ob, reasonable career expectations and a pleasant work 
environment. 
  I am convinced, even if I have been Director-G eneral only for a short time, that the WTO is a 
focused, efficient and lean Organization, and that it has the potential of becoming even better.  It is 
my firm intention to build on this model, increas e efficiency through a further consolidation of 
resources, enhance motivation and hence productivity at  all levels of the organization and achieve a 
greater return from existing resources.  I also wish to maintain a degree of leanness which is a 
condition for reactivity.    The budget proposals for the period 2006-2007 are therefore designed to enable the organization to continue moving toward the realization of these obj ectives.  For instance, the Human 
Resources reform package is geared towards enhanc ing the mobility of staff, achieving a greater 
return from existing resources and providing sta ff with broader career opportunities.  These same 
proposals are designed to ensure that managers are equipped with the skills they need to create and 
maintain a stimulating and productive work environment. 
  The proposed Severance Fund – another novelty in this biannual budget proposal is intended 
to improve our ability to respond to changing organi zational conditions and demands.  It will at the 
same time allow for successor arrangements to be put  into place in a timely manner for staff near 
retirement age so that new talent can be acqui red in order to reinvigorate the workforce. 
  I am proposing that the above initiatives be fina nced gradually, over two or more years, in 
order to undertake the necessary prude nt groundwork to pave the way.  In addition, we must bear in 
mind the constraints facing governments in providi ng additional resources even for very worthy 
programmes.   But as we prepare the next biannual budget proposal, the wheel of the Doha Round negotiations continue to turn.  We are weeks ahead from a crucial Ministerial Conference in 
December which will be vital towards the conclu sion of the Round in 2006.  With less than two 
months on the job as Director-General and having set a clear priority on the preparations for the Hong Kong Ministerial Conference, I have not yet drawn in  full detail the organization of the Secretariat in 
the medium term – which largely depends on the a bove mentioned events.  In these circumstances, I 
hope Members will understand my wish to reserve the possibility of proposing a revision to the 
second year of the biennium, to take account of de velopments in the tasks and responsibilities of this 
organisation stemming from the Doha Round, whic h cannot be foreseen at the present time.  
    Pascal Lamy 
  Director-General WT/BFA/SPEC/134 
Page 5 
 
 
PART I  
  
INTRODUCTION 
  
1. The Director-General hereby submits his budget estimates for the expenses and income of the 
World Trade Organization (WTO) for the years 2006-2007. 
 
Proposed Budgets for 2006-2007
 
2. In comparison with the approved budge ts for 2004 - 2005 (CHF 330.48 million), the 
consolidated budget estimates for the WTO Secretariat and the Appellate Body and its Secretariat for 
the biennium 2006-2007 amount to CHF 361.97 million.  This figure represents an overall increase of 
CHF 31.49 million, or 9.53 per cent.  Informati on on the immediately following pages relates to 
budgetary practices, efficiency measures and workload indicators. 
 
   *   *  *    * WT/BFA/SPEC/134 
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BUDGETING PRACTICES, POLICIES, EFFICIENCY AND ECONOMY MEASURES 
  
3. WTO budget proposals are established using a zero-based budgeting technique i.e. all 
organizational functions and needs are reviewed co mprehensively and all anticipated expenditures for 
the forthcoming exercise are evaluated on their own merits. 
4. In addition,  the following measu res with regard to efficiency  and cost savings have been 
undertaken by the WTO: 
5. Banking
:  In view of the fact that the WTO has implemented electronic banking as the 
established practice for settling bills and pa yroll, bank charges have been reduced. 
6. Documentation :  The Secretariat regularly verifies the mailing lists from missions and other 
bodies. Recipients are encouraged to use electronic means as much as possible. The current ratio of 
documents mailed to those issued is 0.6.  As the WTO allows Members to choose the series and 
number of documents received, savings are realised . In addition, due to high-speed photocopiers, 
documents are produced on demand reducing the num ber of copies held as stocks which may 
eventually not be used. 
7. Inflation :  All non-salary elements, with the excepti on of items affected by increases in 
energy costs, are valued at 2005 prices. The anticip ated increase in general prices of 1 - 2 per cent for 
2006 and 2007 is to be absorbed. 
8. Lighting :  Over the past two years, the Secretariat has changed all lighting in the building to 
low energy lighting.  
9. Mailing costs :  The head of the WTO Mailing Unit ne gotiated preferential rates with the 
Swiss Post Office and with various air courier services, which led to cost savings to certain 
destinations by as much as some 50 to 60 per cen t compared to public prices for air and courier 
postage respectively.  In addition, for freight with certain couriers, special customs clearance 
arrangements have been negotiated thereby,  reducing delivery time at no extra-cost. 
10. Office Space :  The availability of office space has beco me a major problem as the numbers of 
staff as well as interns have increased.  In 2005 the Secretariat instituted a new policy whereby staff 
up to grade 8 (middle professional grade) will be obliged   to share offices. Othe r more remote areas of 
the building have been converted to office space with minimum investment, thereby postponing the 
need to rent additional office space. 
11. On-line purchases :  Stationery is now purchased on-line, and divisional requests are collated 
by the supplier and delivered as and when needed. Stock levels are reduced to a minimum and the 
prices offered are in most cases equal. 
12. Outsourcing of translation :  The WTO has expanded its various types of translation resources 
by using temporary in-house translators, outsourced translators on a special contract arrangement, and 
external contractual translators. It is important to make a judicious mix of these various types of 
translation resources together with regular staff in order to meet the essential objectives of quality, 
timeliness and cost-effectiveness.  Savings have been estimated to be some 40 to 50 per cent in comparison with costs for a regular staff position for a translator, or short-term translators coming to 
Geneva.  To improve on the effectiveness of this co nfiguration, and to be able to expand the number 
of outsourced translators.  The 2006 budget proposal s contain a transfer temporary assistance funding 
to established posts in order to have an  adequate number of in-house revisers. WT/BFA/SPEC/134 
Page 7 
 
 
13. Printing :  The secretariat is engaging more and more  in the in-house printing of documents 
and other publications, making fuller use of the ca pital investment made in the reproduction unit and 
eliminating the element of profit included in quotes provided by printing firms. 
14. Re-deployment of posts :  The financial resources made ava ilable with the departure and non-
replacement of three Directors were re-deploye d to cover six positions of long-term temporary 
assistance, deemed as being of an ongoing nature. 
15. TV Studio :  The primary functions of the studio will be to enhance distance learning in the 
WTO and to produce material for both technical assi stance activities and staff training.  It will also 
cater for press links with major media centres of the world. 
16. Telephone :  The WTO telephone policy has been rationalized with the restriction of access to 
certain zones and prohibition of access to others.  In addition, the introduction of cell-phones with e-
mail capabilities will encourage staff to use the e-mail service rather  than make a telephone call. 
Savings are anticipated as the price of text me ssages is significantly lower than that of voice 
messages. 
17. Temporary Assistance :  The Secretariat continues to be committed to resolving the problem 
of long-term temporary assistance.  Subject to the implementation of the recommendations made by 
the consultant on this problem, support divisions' temporary assistance will be stringently limited and 
used to replace only those staff whose duties must  be maintained.  A new overtime policy is under 
review.   
18. Tenders :  All purchases in excess of CHF 50,000 are subject to an open tender where the 
contract is normally awarded to the lowest bidde r. This process encourages price competition and 
ensures that the organization benefits from the lowest possible prices. 
19. Vehicles :  The secretariat will investigate the possi bility of using leasing arrangements for 
official vehicles, to see whether such a move woul d result in significant reductions in costs compared 
to the current practice of purchasing. 
20. Website :  As the WTO website becomes even mo re operational for document downloads, 
consulting vacancies and for applying for posts (e-r ecruitment will commence in 2006),  document 
distribution and mail costs as well as advertising charges are being reduced. 
 WT/BFA/SPEC/134 
Page 8  
 
 
WORKLOAD INDICATORS 
 
 21. The graphs on the following pages indicate the e volution of workload in several key areas of 
WTO activity financed under the regular budget. 
 
I. Translation and Documentation
 
 
Translation and Documentation:  Number of words in original language for translation 
 
 
 
 
 
  02,500,0005,000,0007,500,00010,000,00012,500,00015,000,00017,500,00020,000,000
Number of words 8,556,290 9,450,967 14,170,492 14,992,274 14,456,912 16,319,752 17,687,131 17,943,496 17,766,704
% of change 10.5% 49.9% 5.8% (3.6%) 12.9% 8.4% 1.4% (1.0%)1997 1998 1999 2000 2001 2002 2003 2004 2005(January - August)WT/BFA/SPEC/134 
Page 9 
 
 
 
II. Meetings  
 
Meetings** (January–August) 
** Formal, informal and private 
 
 
Meetings:  Days of freelance interpreters (J anuary–August)  
 
 01,0002,0003,0004,0005,000
1,139 1,340 1,710 1,701 2,186 2,402 2,966 2,941 4,207 3,653 4,589
% change 17.7% 27.6% (0.53%) 28.5% 9.9% 23. 5% (0.8%) 43.0% (13.2%) 25.6%1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
05001,0001,5002,0002,500
Number of days of freelance interpreters 614 725 806 1,017 1,353 1,157 1,812 2,047 2,268 1,758 2,157
% change 18.1% 11.2% 26.2% 33.0% (14.5%) 56.6% 12.9% 10.8% (22.5%) 22.7%1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005WT/BFA/SPEC/134 
Page 10  
 
 
III.   Dispute Settlements Panels 
 
 
Dispute Settlement Panels:  Expenditure 
 
0200,000400,000600,000800,0001,000,0001,200,0001,400,0001,600,000
CHF 292,700 475,800 880,800 1 ,1 95,300 972,662 91 0,325 1 ,1 69,586 987,522 1 ,275,1 47 1 ,400,6901 996 1 997 1 998 1 999 2000 2001 2002 2003 20042005 
Estimated*
 
* Based on actual expenditure to 31/08/2005 . 
 
 
 
 
Dispute Settlement Panels:  Average Expenditure per Month  
 
  
020,00040,00060,00080,000100,000120,000
CHF
% change
CHF 24,392 39,650 73,400 99,600 81 ,055 75,860 99,429 82,294 1 06,262 1 1 6,724
%  change 62.6% 85.1 % 35.7% (1 8.6%) (6.4%) 31 .0% (1 7.2%) 29.1 % 9.8%1 996 1 997 1 998 1 999 2000 2001 2002 2003 20042005 
Estimated
*WT/BFA/SPEC/134 
Page 11 
 
 
BUDGET OVERVIEW 
 
 22. The following presentation of the budget proposals for the biennium 2006-2007 respects the 
biennial approach to budgets in the WTO as outlined in Financial Regulation 5 to the effect that the 
biennium "shall consist of two consecutive financial periods cove ring each year of the biennium.
1  
Therefore, the proposals for 2006 and for 2007 are clearly identifiable separately.   
23. The current proposals are being put forward at a time of intense preparations for the 6th 
Ministerial Conference in Hong Kong in December  2005.  The proposals reflect needs based on the 
actual level of activity in the WTO and assume that this level will not decrease over the period of the 
next biennium.  They also take account of inflation related to fuel increases, statutory adjustments to 
salaries, savings/decreases in communications cost s and the Security Enhancement Programme, and 
staged implementation of a Human Resources Reform Programme and a Severance Fund. 
24. The above-mentioned adjustments, increases/decr eases and the staged implementation of new 
initiatives lead to overall increases of 5.46 per cen t and 3.54 per cent for the years 2006 and 2007 
respectively.  
 
Budget 2006 – 2007  
(CHF)  
 
Secretariat 2005 2006 2007 
WTO 164,131,000 173,182,900 179,085,600  
Appellate Body 4,572,400 4,727,200 5,127,800  
Grand Total 168,703,400 177,910,100 184,213,400  
 Base 5.46% 3.54% 
 
                                                      
1 WT/L/156/Rev.1. WT/BFA/SPEC/134 
Page 12  
 
 
2006 PROPOSED BUDGET  -  WTO SECRETARIAT 
(evolution) 
 Part Section 2005 Inflation Statutory Staff 
Resources Other 
Increases/ 
Decreases 2006  
A Sect  1 Work Years 104,718,700   1,496,500 2,083,200 160,000  108,458,400 
 Sect  2 Temporary Assistance 14,186,750   (206,400) 94,450 410,000  14,484,800 
B Sect  3 Communications  2,063,000   -   -    (30,000) 2,033,000 
 Sect  4 Building Facilities  3,147,900  4,500 -   -   301,600  3,454,000 
 Sect  5 Permanent Equipment  2,668,100  -   21,000 286,900   2,976,000 
 Sect  6 Expendable  1,359,000  -   -     (138,500)  1,220,500 
 Sect  7 Contractual Services  6,064,300  -   -    1,094,900   7,159,200 
C Sect  8 Staff Overheads  2,687,800     85,800 -   502,900   3,276,500 
 Sect  9 Missions  2,564,300   114,700 -   -   -    2,679,000 
 Sect 10 Trade Policy Courses  3,671,000  -   -   -    3,671,000 
 Sect 11 Various  4,619,900  -   -    1,709,100   6,329,000 
 Sect 12 Unforeseen 100,000  -   -   -   100,000 
D Sect 13 ITC 16,280,250   -   -   1,061,250  17,341,500 
Grand Total 164,131,000 119,200 1,375,900 2,198,650 5,358,150  173,182,900 
  base 0.07% 0.84% 1.34% 3.26% 5.52%
  25. The above table indicates the evolution of the proposed 2006 budget from the approved 2005 
budget, with changes contained under columns relating to  inflation, statutory changes, staff resources 
and other increases/decreases.    
Inflation – CHF 119,200
   
 
26. With the exception of two areas, namely U tilities (under Section 4) and Missions (Section 9), 
no provision has been made under inflation for a ge neral increase in the cost of goods and services. 
Expenditure is primarily incurred in Switzerland where inflation is estimated at 1 to 2 per cent and can 
be absorbed as an economy measure.  However, a provision of 5 per cent relating to increases in 
energy costs has been included in the above-mentioned sections. 
Statutory increases  - CHF 1,375,900  
 
27. Increases identified under this heading include (i) an anticipated adjustment of 2 per cent to 
the WTO salary scales in accordance  to the established methodology2,  and (ii) a provision for a 10 
per cent increase in medical insurance premiums.  Statutory increases include a provision for fully 
funding of the posts consolidated under the 2005 budge t (4 posts funded for 6 months) offset by an 
adjustment to the WTO staff profile where data for th e entire regular staff are re-evaluated so that the 
proposed appropriation reflects correct  grade and current entitlements. 
28. For a detailed analysis of all elements that ha ve been taken into account in deriving the WTO 
Standard Costs for 2006 and 2007, the reader should refer to Evolution of Overall Staff Costs, 
page 35.  
                                                      
2 WT/BFA/64. WT/BFA/SPEC/134 
Page 13 
 
 
Staff Resources  – CHF 2,198,650  
 
29. The executive summary of the Frankel Repor t was presented to the Committee on Budget 
Finance and Administration (CBFA) in April 2005. The duties performed by thirty-three temporary assistance staff were identified as filling ongoing require ments and in need of regularisation. In re-
deploying existing resources, the CBFA approved the c onversion of three director positions to satisfy 
five and one half support posts (D ocuments (CRP(05)12 and  WT/BFA/79).  The Director-General 
proposes that 14.5 of these posts be regularised th rough consolidation unde r the regular budget for 
2006. Funding for these posts is to be provide d partly through the transfer of CHF 610,500
3 from 
Section 2 – Temporary Assistance to Section 1 – Work  Years,  and the balance met through the use of 
funds resulting from vacant posts. As a result, the v acancy factor will be increased by CHF 670,300 to 
CHF 1,963,000 in order to ensure the cost neutrality of these consolidations.  In addition, considering 
the difficulties in recruiting specialised freelance re visers, it is proposed to create 7 regular reviser 
positions, the cost of which will be funding throu gh an equivalent reduction in the appropriation for 
translators under Section 2- Temporary Assistance.  
30. The proposal also includes the creation of three new posts under the regular budget in 2006, 
where six-month funding is proposed to allow for the time needed to fill these posts.  The provision 
under Section 5 – Permanent Equipment reflects anticip ated expenditure for standard office furniture 
and a computer. 
31. The net increase of  CHF 1,176,650 under Section 2 - Temporary Assistance is the result of 
various elements. With the exception of the increase proposed under d) EDP Consultants – 
CHF 299,900 (for specific projects), all other incr eases as noted in the following table are deemed 
necessary to align budgetary allocations to needs reflected in current levels of expenditure, 
particularly with regard to interpreters and replacem ent of staff on long sick and maternity leave.  The 
increase proposed under temporary assistance common staff costs (TA CSC) is directly related to these requests. 
 
SUMMARY OF PROPOSED STAFF INCREASES 2006 
 Part Line Item Section 1 
Work 
Years Section 2 
Temporary 
Assistance Section 5 
Permanent 
Equipment Grand 
Total 
A (a)Salary   1,615,200     1,615,200 
  (b)Pension   309,500     309,500 
  (c)Common Staff Costs   158,500     158,500 
  (a)Temporary Assistance (a)Support   (100,950)   (100,950) 
    (b)Translators   (902,300)  (902,300) 
    (c)Interpreters   200,000  200,000 
    (d)Consultants   48,700  48,700 
    (e)EDP Consultants   299,900  299,900 
    (f)Replacements   400,000  400,000 
    (g)Internships   100,000  100,000 
    (h)Overtime     -      -   
  (b)TA Common Staff Costs    49,100   49,100 
B (a)Permanent Equipment      21,000  21,000 
Grand Total   2,083,200 94,450 21,000  2,198,650 
 
                                                      
3 Comprised of CHF 519,500 Temporary Assistance Salaries and CHF 91,000 Temporary Assistance 
Common Staff Costs (TA CSC). WT/BFA/SPEC/134 
Page 14  
 
32. In considering the adoption of the report on long-term temporary assistance, all temporary 
assistance for support divisions, with the exception of the Informatics Division where the allocation is 
for consultants related to specific activities, have  been reduced and limited to CHF 70,000/unit per 
annum/service to replace staff  whose services must continue to be provided during periods of annual 
leave. The established practice for all other divisions  in the WTO is that staff on annual leave are not 
replaced. 
• Interpreters
 – The proposed allotment increase of CHF 200,000 is to align the budgetary 
provision to expenditure levels. 
 
• Replacements  – Staff are replaced during periods of long-term sick leave and maternity leave. 
Expenditure in past years has been in the re gion of CHF 900,000. It is therefore proposed to 
increase the allocation by CHF 400,000 to reflect current expenditure levels. 
 
• Internships  – This programme has proved to be very effective in providing divisions with 
additional support while at the same time giving young graduates valuable experience in an international organization.  The duration of an internship is normally limited to a maximum of 
six months.  In view of expenditure levels  as well as increasing needs, particularly in 
divisions responsible for Dispute Settlement Panels, it is proposed that the provision be 
increased by CHF 100,000. 
 
• The increase under temporary assistance Common Staff Costs (TA CSC) of CHF 229,000 is, 
as mentioned above, directly related to the requests.  
Other increases /decreases  –  CHF 5,358,150
 
 
33. Proposed changes which are not related to infla tion, statutory changes or additional staff are 
presented under specific areas as shown in the following table. 
 Part 
Section Promotions Security 
Enhancement 
Operating 
Fund Studio 
Press 
Office HR 
Reform 
Project Severance 
Fund Misc. Other 
Increase/ 
Decreases 
A Sect  1 Work Years 160,000           160,000 
 Sect  2 Temporary Assistance     410,000   410,000 
B Sect  3 Communications            (30,000)  (30,000) 
 Sect  4 Building Facilities    70,000   231,600 301,600 
 Sect  5 Permanent Equipment    100,000   186,900 286,900 
 Sect  6 Expendable    15,000    (153,500) (138,500) 
 Sect  7 Contractual Services       1,094,900 1,094,900 
C Sect  8 Staff Overheads       485,000   17,900 502,900 
 Sect  9 Missions         -     -   
 Sect 10 Trade Policy Courses         -     -   
 Sect 11 Various   (323,000) 130, 000  1,500,000  402,100 1,709,100 
 Sect 12 Unforeseen          -   
D Sect 13 ITC           1,061,250 982,350 
 Grand Total 160,000  (323,000) 315,000 895,000 1,500,000  2,2811,150 5,358,150 
 
 WT/BFA/SPEC/134 
Page 15 
 
 
a) Promotions – CHF 160,000 :  Provision has been made for 25 regradings.  The Committee 
on Budget Finance and Administration (CBFA) has on previous occasions stressed that this item be considered as a discretionary, rather than statutory, increase. 
 
b) Security Enhancement Operating Fund – (CHF 323,00)
:  The reduction of CHF 323,000 in 
the Security Enhancement Operating Fund is  in accordance with the financial plans 
approved by the Committee on Budget, Fi nance and Administration in 2004. 
 
c) TV Studio  – CHF 315,000 :  In order to enhance the video outreach ability of the WTO, 
the studio and fibre optic linkage will be used to produce training material in relation to 
the technical assistance programme offered under the regular budget including distance 
learning, thereby reducing the production costs of  such material.  It will also facilitate 
press links with television networks around the world on short notice. 
 
d) Human Resources Reform Project - CHF 895,000 :  The CBFA is being presented with a 
separate paper on Training and the Reform of the Human Resources at the WTO.  The 
overall project proposes that expenditure for tr aining be in the region of CHF 3,000,000 
and CHF 835,000 for consultants, to develop material, for the biennium  2006-2007.  It is proposed that the funding be staged over a number of years.  The proposed allocation for 2006 represents an increase of CHF 485,000 fo r training and CHF 410,000 for consultants 
to develop the necessary tools.  
 
e) Severance Fund - CHF 1,500,000
:  The Severance Fund, proposed by the Human 
Resources Division, will give the WTO the o pportunity to offer severance packages to 
staff who are no longer required or cannot be re-deployed within the Organization.  It is 
proposed that the fund be established at a level of CHF 1,500,000 in 2006. 
 
f) Miscellaneous (Misc.) - CHF 2,811,150 :  The amount of CHF 2,811,150 mentioned 
above, refers to all other increases or decreas es other than those associ ated with the areas 
mentioned above.  The following section provid es further information in this regard:  WT/BFA/SPEC/134 
Page 16  
 
MISCELLANEOUS OTHER INCREASES / DECREASES (DETAILS) 
 
 
Part Section Line Total 
A Sect  1 Work Years (a) Salary -  
    (b) Pension -  
    (c) Common Staff Costs -  
  Sect  2 Temporary Assistance (a) Temporary Assistance -  
    (b) TA CSC -  
B Sect  3 Communications (a) Telecommunications  (40,000) 
    (b) Postal Charges 10,000  
  Sect  4 Building Facilities (a) Rental  (17,400) 
    (b) Utilities   47,000  
    (c) Maintenance and Insurance 202,000  
  Sect  5 Permanent Equipment (a) Permanent Equipment 147,900  
    (b) Perm Equip Lease   39,000  
  Sect  6 Expendable (a) Expendable Supplies  (153,500) 
  Sect  7 Contractual Services (a) Reproduction   20,000  
    (b) Office Automation 438,000  
    (c) Other (75,000) 
    (d) Security Outsourcing 711,900  
C Sect  8 Staff Overheads (a) Training -  
    (b) Insurance -  
    (c) Joint Services   34,400  
    (d) Miscellaneous (16,500) 
  Sect  9 Missions (a) Missions Official -  
    (b) Missions Technical   
  Sect 10 Trade Policy Courses       -  
  Sect 11 Various (a) Representation and Hospitality -  
    (b) Dispute Settlement Panels 250,000  
    (c) Experts   50,000  
    (e) Library   20,100  
    (f) Publications   95,000  
    (g) Public Information Activities -  
    (h) External Auditors -  
    (i) Ministerial Operating Fund -  
    (j) ISO -  
    (k) Other (13,000) 
    (m) Security Enhancement Programme -  
    (n) Separation Fund -  
  Sect 12 Unforeseen  -  
D Sect 13 ITC  1,061,250  
 Grand Total   2,811,150  
 
 34. The primary increases and decreases under this heading are identified below, with a more 
detailed analysis of the same, under the final line- by-line presentation of the budget proposals for the 
biennium, on page 34. 
35. Increases in IT requests are reflected under Section 5 Permanent Equipment  CHF 186,900 
and Section 7 Contractual Services, Office Automation – CHF 438,000.  The funding of the Security Outsourcing Contract will require an additional CH F 711,900, reflecting the dependence in the past 
on overspending on temporary assistance for security.  Dispute settlement costs require an additional 
CHF 250,000 in line with anticipated expenditure fo r panels in 2005.  The increase for experts of WT/BFA/SPEC/134 
Page 17 
 
 
CHF 50,000 represents the re-establishment of a pr ovision for Arbitration under GATS.  Concerning 
the proposed budget for the International Trade Ce ntre (ITC), the contribution of the WTO is 
increased by CHF 1,061,250.  The ITC budget proposal s are presented in document ITC(BUD)52 and 
considered separately from those for the WTO. 
 
2006 PROPOSED BUDGET OF APPELLATE BODY AND ITS SECRETARIAT 
 Part Section 2005 Inflation Statutory Staff 
Increases Other 
Increase/ 
Decreases 2006 
A Sect  1 Work Years 2,569,400   148,600 -   -   2,718,000 
 Sect  2 Temporary Assistance 36,000  -   29,600  -   65,600 
B Sect  3 Communications 6,500     -   -   -   6,500 
 Sect  4 Building Facilities 18,000    -   -   -   18,000 
 Sect  5 Permanent Equipment 23,000    -   -   13,000  36,000 
 Sect  6 Expendable 20,000    -   -   -   20,000 
 Sect  7 Contractual Services 15,000    -   -   -   15,000 
C Sect  8 Staff Overheads 36,000   3,000 -   -   39,000 
 Sect  9 Missions 10,000    -   -   -   10,000 
 Sect 11 Various 1,838,500    -   -    (39,400) 1,799,100 
 Grand Total 4,572,400   151,600 29,600   (26,400) 4,727,200 
  base 0.00% 3.32% 0.65% -0.58% 3.39%
 
 
36. In percentage terms, 96.4 per cent of the proposed budget for the Appellate Body and its 
Secretariat concerns staff costs as well as the repl enishment to the Appellate Body Operating Fund 
(which covers costs related to the volume of appeals received).  
Inflation  :  There is no provision for inflation.  
 
Statutory increases - CHF 151,600  
 37. The WTO standard cost has b een applied to estimate the cost of  the Appellate Body 
Secretariat.  For details on the WTO standard  costs, please refer to the table on page 34. 
Staff Resources – CHF 29,600
 
 
38. The proposed increase of CHF 29,600 under Section 2 - Temporary Assistance is for 
internships and includes an allocation of CHF 21,000 to cover overtime. 
Other increase /decreases – CHF (26,400)  
 39. A decrease of CHF 41,400 is proposed  in the allocation for the re plenishment of the Appellate 
Body Operating Fund, as a balance of CHF 300,000 is anticipated for 2005.  This is offset by the 
proposed increase of CHF 13,000 under permanent e quipment which is intended for the replacement 
of IT equipment.  An increase of CHF 2,000 is al so proposed under Section 11 - Various to cover the 
cost of professional publications required by the staff in the course of their work. 
 WT/BFA/SPEC/134 
Page 18  
 
2007 PROPOSED BUDGET – WTO SECRETARIAT  
 
 Part Section 2006 Inflation Statutory Staff 
Increases Other 
Increases / 
Decreases 2007 
A Sect  1 Work Years 108,458,400   4,676,200 454,900  160,000  113,749,500
  Sect  2 Temporary 
Assistance 14,484,800  -   -   25,000  14,509,800
B Sect  3 Communications 2,033,000   -   -   10,000  2,043,000 
  Sect  4 Building Facilities 3,454,000 8,000 -   -   218,000  3,480,000 
  Sect  5 Permanent Equipment 2,976,000   (21,000) 8,000   (497,900) 2,465,100 
  Sect  6 Expendable 1,220,500  -   -   -   1,220,500 
  Sect  7 Contractual Services 7,159,200  -   -   378,300  7,537,500 
C Sect  8 Staff Overheads 3,276,500   228,000 -   505,000  4,009,500 
  Sect  9 Missions 2,679,000 120,000      -   -   -   2,799,000 
  Sect 10 Trade Policy Courses 3,671,000       -   -   -   3,671,000 
  Sect 11 Various 6,329,000       -   -    (443,000) 5,886,000 
  Sect 12 Unforeseen 100,000       -   -   -   100,000 
D Sect 13 ITC 17,341,500        -   -   73,200  17,414,700 
 Grand Total  
173,182,900 128,000 4,883,200 462,900  428,600  179,085,600 
  base 0.07% 2.82% 0.27% 0.25% 3.41%
 
 
Inflation – CHF 128,000   
 
40. As in 2006, no provision has been made under Infl ation for a general increase in the cost of 
items. A 5 per cent provision on the 2006 allocation is proposed to cover the anticipated increase due 
to the impact of rising energy costs on Utilities and Missions. 
Statutory increases - CHF 4,883,200  
 
41. The increases proposed under this category incl ude an anticipated adjustment to the WTO 
salary and pensionable remunerati on scales of 2 per cent under the existing salary methodology and to 
medical insurance premiums, where provision has b een made for a 10 per cent increase in premiums. 
42. The vacancy factor, increased in 2006 by CHF 670,300 to CHF 1,963,000 has been 
maintained at this level in 2007. 
43. For more details on the evolution of staff entitlements and the WTO standard costs, kindly 
refer to the table on page 35 'Evolution of Overall Staff Costs'. WT/BFA/SPEC/134 
Page 19 
 
 
Staff Increases – CHF 462,900  
 
44. Staff increases include a provision for the full funding of the three new posts proposed in 
2006, offset by the recruitment costs related to  these posts.  In addition, in line with a 
recommendation by the external auditors, provision is  made for the creation of two new posts for an 
internal auditor and support staff.  The provision under permanent equipment relates to furniture and 
computers for the proposed new staff. 
 
Part Line Item Section 1 
Work 
Years Section 2 
Temporary 
Assistance Section 5 
Permanent 
Equipment Grand 
Total 
A (a)Salary   257,800   257,800 
  (b)Pension   51,400   51,400 
  (c)Common Staff Costs   145,700   145,700 
  (a)Temporary Assistance (a) Support      
    (b) Translators      
    (c) Interpreters      
    (d) Consultant      
    (e) EDP Consultant      
    (f) Replacements      
    (g) Internships      
    (h) Overtime      
  (b)TA Common Staff Costs        
B (a)Perm Equipment      8,000  8,000 
 Grand Total   454,900  8,000  462,900 
 
 
Other increases /decreases – CHF 428,600  
  
Part Section Promotions Studio 
Press 
Office HR 
Reform 
Project Security 
Enhancement 
Operating Fund Switchboard Misc. Other 
Increases/ 
Decreases 
A Sect  1 Work Years 160,000            160,000 
 Sect  2 Temporary Assistance    25,000    25,000 
B Sect  3 Communications           10,000  10,000 
 Sect  4 Building Facilities   ( 50,000)   300,000   (32,000) 218,000 
 Sect  5 Permanent Equipment   (100,000)   330,000    
(727,900) (497,900) 
 Sect  6 Expendable   (15,000)    15,000     -   
 Sect  7 Contractual Services       378,300  378,300 
C Sect  8 Staff Overheads     500,000       5,000  505,000 
 Sect  9 Missions           -   
 Sect 10 Trade Policy Courses           -   
 Sect 11 Various      (466,000)  23,000  (443,000) 
 Sect 12 Unforeseen           -   
D Sect 13 ITC           73,200  73,200 
 Grand Total  160,000  (165,000) 525,000 (466,000) 630,000  (255,400) 428,600 
 
 WT/BFA/SPEC/134 
Page 20  
 
a) Promotions - CHF 160,000
:  As in 2006 , provision has been made for 25 regradings.  
 
b) TV Studio - (CHF 165,000) :  The 2006 budget proposals contains provision for the 
creation of a TV Studio to enhance distance learning technical assistance and staff training activities.  The decrease pertains to the one-off expenditure incurred in 2006 and not 
retained in 2007. 
 
c) Human Resources Reform Project – CHF 525,00
0:  The initial proposals for this project 
are contained in the 2006 budget proposals.  As  mentioned above, it is proposed to stage 
the implementation of the human resources reform project over time.  For 2007, an 
additional amount of CHF 500,000 is propo sed, bringing the total allocation to 
CHF 1,475,0004.  It is also proposed to increase  the allocation for consultants by 
CHF 25,000. 
 
d) Security Enhancement Operating Fund – (CHF 466,000) :  The decrease of CHF 466,000 
reflects the anticipated completion of the implementation of this project by the end of 
2006, leaving an allocation of CHF 330,000 for the lease repayments for permanent equipment. As an operating fund, this fund will allow for the necessary flexibility in the 
implementation of the project. 
 
e) Switchboard – CHF 630,000
:  The existing switchboard is ra pidly reaching the end of its 
useful life, as is evidenced by the frequency  of calls for repairs.  Provisional estimates 
suggest that some CHF 1,500,000 would be required to replace the switchboard and 
telephones. The installation costs have been estimated at CHF 300,000.  It is proposed to finance the permanent equipment of this pr oject by way of a five-year lease representing 
an annual repayment of CHF 330,000.  The new switchboard would be installed in 
December 2007 to limit any disruption to work. 
 
                                                     
 
4 CHF 1,500,000 for both the Secretariats of the WTO and the Appellate Body. WT/BFA/SPEC/134 
Page 21 
 
 
f) Miscellaneous (Misc.) - (CHF 255,400) :  The reduction amounting to CHF 255,400 
mentioned above, is the net effect of vari ous other increases/decr eases other than those 
associated with any of the areas mentioned above, as indicated in the following table: 
 
Part Section Line Total 
A Sect  1 Work Years (a) Salary - 
    (b) Pension - 
    (c) Common Staff Costs - 
  Sect  2 Temporary Assistance (a) Temporary Assistance - 
    (b) TA CSC - 
B Sect  3 Communications (a) Telecommunications 20,000 
    (b) Postal Charges (10,000)
  Sect  4 Building Facilities (a) Rental - 
    (b) Utilities - 
    (c) Maintenance and Insurance  (32,000)
    (d) Building Maintenance Fund - 
  Sect  5 Permanent Equipmen t (a) Perm Equipment (35,900)
    (b) Perm Equipment Lease (692,000)
  Sect  6 Expendable (a) Expendable Supplies 15,000 
  Sect  7 Contractual Services (a) Reproduction - 
    (b) Office Automation 335,300 
    (c) Other - 
    (d) Security Outsourcing 43,000 
C Sect  8 Staff Overheads (a) Training  -
    (b) Insurance 5,000 
    (c) Joint Services - 
    (d) Miscellaneous - 
  Sect  9 Missions (a) Missions Official - 
    (b) Missions Technical - 
  Sect 10 Trade Policy Courses  - 
  Sect 11 Various (a) Representation and Hospitality - 
    (b) Dispute Settlement Panels - 
    (c) Experts - 
    (e) Library 20,000 
    (f) Publications -
    (g) Public Information Activities -
    (h) External Auditors -
    (i) Ministerial Operating Fund -
    (j) ISO -
    (k) Other 3,000 
    (m) Security Enhancement Programme - 
    (n) Separation Fund - 
  Sect 12 Unforeseen Unforeseen - 
D Sect 13 ITC ITC 73,200 
Grand Total   (255,400)
 
 
45. The increases proposed in 2006 are not renewed a nd are reflected in the overall decrease for 
allocations. Section 7 Contractual Services reflects the increase in software requirements for specific IT projects.  The provision for the Security Outsour cing Contract is adjusted to reflect anticipated 
increases in the cost of living associated with the c ontract.  The provision for the ITC is also increased 
with an additional CHF 73,200, in accordance with current proposals from the ITC.  The decrease on 
the Permanent Equipment primarily relates to the end of leasing arrangements;  notably, the creation WT/BFA/SPEC/134 
Page 22  
 
of two training rooms on the fourth floor on the Centre William Rappard, equipment purchased for the 
Documents Reproduction Unit and photocopiers. 
 
2007 PROPOSED BUDGET FOR APP ELLATE BODY AND ITS SECRETARIAT 
 Part Section 2006 Inflation Statutory Staff 
Increases Other 
Increases/ 
Decreases 2007 
A Sect  1 Work Years 2,718,000   97,600     -    -   2,815,600 
 Sect  2 Temporary Assistance 65,600   -       -    -   65,600 
B Sect  3 Communications 6,500    -       -    -   6,500 
 Sect  4 Building Facilities 18,000   -       -    -   18,000 
 Sect  5 Permanent Equipment 36,000   -       -   3,000  39,000 
 Sect  6 Expendable 20,000   -       -    -   20,000 
 Sect  7 Contractual Services 15,000   -       -    -   15,000 
C Sect  8 Staff Overheads 39,000    -   -    -   39,000 
 Sect  9 Missions 10,000   -   -    -   10,000 
 Sect 11 Various 1,799,100   -   -    300,000  2,099,100 
Grand Total 4,727,200   97,600 -    303,000  5,127,800 
  base 0.00% 2.06% 0.00% 6.41% 8.47%
 
Inflation :  There is no provision made for inflation.  
 
Statutory increases  – CHF 97,600  
 46. The WTO standard costs have been applied to th e staff of the Appellate Body Secretariat to 
arrive at the proposed allocation.  For details refer to the WTO. 
Staff increases
:  There is no proposal to increase the staffing of the Secretariat. 
 
Other increases /decreases – CHF  303,000  
 
47. The provision for the replenishment of the A ppellate Body Operating Fund was decreased in 
2006 as a surplus is anticipated at the end of  2005.  The provision for 2007 is increased by 
CHF 300,000 to re-establish the budgetary allocation at  a level comparable to anticipated expenditure 
of CHF 1,400,000. WT/BFA/SPEC/134 
Page 23 
 
 
 
SUMMARY TABLES WT/BFA/SPEC/134 
Page 24  
 
2006 PROPOSED BUDGET FOR WTO SECRETARIAT 
(in Swiss francs) 
 
 Part Section Line 2005 Inflation Statutory Staff 
Increases Other 
Increases/ 
Decreases 2006 
A Sect  1 Work Years       
  (a) Salary 74,749,500  1,601,000 1,615,200 135,000  78,100,700 
  (b) Pension 14,896,200  336,800 309,500 25,000  15,567,500 
  (c) Common Staff Costs 15,073,000  (441,300)  158,500  0  14,790,200 
 Sect  2 Temporary Assistance 14,186,750   (206,400)  94,450 410,000  14,484,800 
B Sect  3 Communications       
  (a) Telecommunications 758,000  0 0  (40,000)  718,000 
  (b) Postal Charges 1,305,000  0 0  10,000  1,315,000 
 Sect  4 Building Facilities       
  (a) Rental 362,400  0 0  (17,400)  345,000 
  (b) Utilities 1,619,500 4,500 0 0  47,000  1,671,000 
  (c) Maintenance and Insuran ce 1,166,000  0 0  272,000  1,438,000 
 Sect  5 Permanent Equipment  2,668,100   0 21,000  286,900  2,976,000 
 Sect  6 Expendable  1,359,000   0 0  (138,500)  1,220,500 
 Sect  7 Contractual Services       
  (a) Reproduction 1,380,000  0 0  20,000  1,400,000 
  (b) Office Automation 2, 227,200  0 0  438,000  2,665,200 
  (c) Other 332,000  0 0  (75,000)  257,000 
  (d) Security Outsourcing 2,125,100  0 0  711,900  2,837,000 
C Sect  8 Staff Overheads       
  (a) Training 490,000  0 0  485,000  975,000 
  (b) Insurance 1,973,700  85,800 0  0  2,059,500 
  (c) Joint Services 177,600  0 0  34,400  212,000 
  (d) Miscellaneous 46,500  0 0  (16,500)  30,000 
 Sect  9 Missions       
  (a) Missions Official 1, 181,100 54,900 0 0  0  1,236,000 
  (b) Missions Technical 1, 383,200 59,800 0 0  0  1,443,000 
 Sect 10 Trade Policy Courses  3,671,000   0 0  0  3,671,000 
 Sect 11 Various       
  (a) Representation and Hospitality 283,000  0 0  0  283,000 
  (b) Dispute Settlement Panels  1,217,000  0 0  250,000  1,467,000 
  (c) Experts 0  0 0  50,000  50,000 
  (e) Library 578,900  0 0  20,100  599,000 
  (f) Publications 425,000  0 0  95,000  520,000 
  (g) Public Information Acti vities 210,000  0 0  130,000  340,000 
  (h) External Auditors 40,000  0 0  0  40,000 
  (i) Ministerial Operating Fund 600,000  0 0  0  600,000 
  (j) ISO 57,000  0 0  0  57,000 
  (k) Other 90,000  0 0  (13,000)  77,000 
  (m) Security Enhancement 
Programme 1,119,000  0 0  (323,000)  796,000 
  (n) Separation Fund 0   0  1,500,000  1,500,000 
 Sect 12 Unforeseen  100,000   0 0  0  100,000 
D Sect 13 ITC  16,280,250   0 0  1,061,250  17,341,500 
Grand Total  164,131,000 119,200 1,375,900 2,198,650  5,358,150  173,182,900 
   base 0.07% 0.84% 1.34% 3.26% 5.52% WT/BFA/SPEC/134 
Page 25 
 
 
2006 PROPOSED BUDGET FOR  APPELLATE BODY SECRETARIAT 
(in Swiss francs) 
 Part Section Line 2005 Inflation Statutory Staff 
Increases Other 
Increase/ 
Decreases 2006 
A Sect  1 Work Years       
  (a) Salary 1,855,500  102,000 0  0  1,957,500 
  (b) Pension 368,200  23,300 0  0  391,500 
  (c) Common Staff Costs 345,700  23,300 0  0  369,000 
 Sect  2 Temporary Assistance 36,000   0 29,600  0  65,600 
B Sect  3 Communications       
  (a) Telecommunications 6,500  0 0  0  6,500 
 Sect  4 Building Facilities       
  (b) Utilities 13,000  0 0  0  13,000 
  (c) Maintenance and Insurance 5,000  0 0  0  5,000 
 Sect  5 Permanent Equipment  23,000   0 0  13,000  36,000 
 Sect  6 Expendable  20,000   0 0  0  20,000 
 Sect  7 Contractual Services       
  (a) Reproduction 15,000  0 0  0  15,000 
C Sect  8 Staff Overheads       
  (a) Training 25,000  0 0  0  25,000 
  (b) Insurance 9,000  3,000 0  0  12,000 
  (d) Miscellaneous 2,000  0 0  0  2,000 
 Sect  9 Missions       
  (a) Missions Official 10,000  0 0  0  10,000 
 Sect 11 Various       
  (a) Representation and Hospitality 1,000  0 0  0  1,000 
  (d) Appellate Body Members 688,100  0 0  0  688,100 
  (e) Library 8,000  0 0  2,000  10,000 
  (l) Appellate Body Operating Fund 1,141,400  0 0  (41,400)  1,100,000 
         
Grand Total 4,572,400   151,600 29,600  (26,400)  4,727,200 
 Base 0% 3.32% 0.65% (0.58%) 3.39% 
 
 WT/BFA/SPEC/134 
Page 26  
 
2007 PROPOSED BUDGET FOR  WTO SECRETARIAT 
(in Swiss francs) 
 
 
Part Section Line 2006 Inflation Statutory Staff 
Increases Other 
Increases/ 
Decreases 2007 
A Sect  1 Work Years       
   (a) Salary 78,100,700  3,314,700 257,800  135,000  81,808,200 
   (b) Pension 15,567,500  665,400 51,400  25,000  16,309,300 
   (c) Common Staff Costs 14, 790,200  696,100 145,700  0  15,632,000 
  Sect  2 Temporary Assistan ce 14,484,800   0 0  25,000  14,509,800 
          
 B Sect  3 Communications        
   (a) Telecommunications 718,000  0 0  20,000  738,000 
   (b) Postal Charges 1,315,000  0 0  (10,000)  1,305,000 
           
  Sect  4 Building Facilities        
   (a) Rental 345,000  0 0  0  345,000 
   (b) Utilities 1,671,000 8,000 0 0  0  1,679,000 
   (c) Maintenance and Insuran ce 1,438,000  0 0  218,000  1,656,000 
  Sect  5 Permanent Equipment 2,976,000   (21,000)  8,000  (497,900)  2,465,100 
  Sect  6 Expendable  1,220,500   0 0  0  1,220,500 
  Sect  7 Contractual Services        
   (a) Reproduction 1,400,000  0 0  0  1,400,000 
   (b) Office Automation 2, 665,200  0 0  335,300  3,000,500 
   (c) Other 257,000  0 0  0  257,000 
   (d) Security Outsourcing 2,837,000  0 0  43,000  2,880,000 
 C Sect  8 Staff Overheads        
   (a) Training 975,000  0 0  500,000  1,475,000 
   (b) Insurance 2,059,500  228,000 0  5,000  2,292,500 
   (c) Joint Services 212,000  0 0  0  212,000 
   (d) Miscellaneous 30,000  0 0  0  30,000 
  Sect  9 Missions        
   (a) Missions Official 1, 236,000 60,000 0 0  0  1,296,000 
   (b) Missions Technical 1, 443,000 60,000 0 0  0  1,503,000 
  Sect 10 Trade Policy Courses  3,671,000   0 0  0  3,671,000 
  Sect 11 Various        
   (a) Representation and 
Hospitality 283,000  0 0  0  283,000 
   (b) Dispute Settlement Pane ls 1,467,000  0 0  0  1,467,000 
   (c) Experts 50,000  0 0  0  50,000 
   (e) Library 599,000  0 0  20,000  619,000 
   (f) Publications 520,000  0 0  0  520,000 
   (g) Public Information 
Activities 340,000  0 0  0  340,000 
   (h) External Auditors 40,000  0 0  0  40,000 
   (i) Ministerial Operating Fund 600,000  0 0  0  600,000 
   (j) ISO 57,000  0 0  0  57,000 
   (k) Other 77,000  0 0  3,000  80,000 
   (m) Security Enhancement 
Programme 796,000  0 0  (466,000)  330,000 
   (n) Separation Fund 1,500,000  0 0  0  1,500,000 
  Sect 12 Unforeseen  100,000   0 0  0  100,000 
D Sect 13 ITC 17,341,500   0 0  73,200  17,414,700 
  Grand Total 173,182,900 128,000 4,883,200 462,900  428,600  179,085,600 
   base 0.07% 2.82% 0.27% 0.25% 3.41% 
 WT/BFA/SPEC/134 
Page 27 
 
 
2007 PROPOSED BUDGET FOR APPELLATE BODY SECRETARIAT 
(in Swiss francs) 
 
Part Section Line 2006 Inflation Statutory Staff 
Increases Other 
Increases/
Decreases 2007 
A Sect  1 Work Years        
   (a) Salary 1,957,500 - 81,000 -  - 2,038,500 
   (b) Pension 391,500 - 16,500 -  - 408,000 
   (c) Common Staff Costs 369,000 - 100 -  - 369,100 
  Sect  2 Temporary Assistance 65,600 - - -  - 65,600 
    -      
B Sect  3 Communications        
   (a) Telecommunications 6,500 - - -  - 6,500 
  Sect  4 Building Facilities        
   (b) Utilities 13,000 - - -  - 13,000 
   (c) Maintenance and Insurance 5,000 - - -  - 5,000 
  Sect  5 Permanent Equipment 36,000 - - -  3,000 39,000 
  Sect  6 Expendable  20,000 - - -  - 20,000 
  Sect  7 Contractual Services        
   (a) Reproduction 15,000 - - -  - 15,000 
C Sect  8 Staff Overheads        
   (a) Training 25,000 - - -  - 25,000 
   (b) Insurance 12,000 - - -  - 12,000 
   (d) Miscellaneous 2,000 - - -  - 2,000 
  Sect  9 Missions        
   (a) Missions Official 10,000 - - -  - 10,000 
  Sect 11 Various         
   (a) Representation and Hospitality 1,000 - - -  - 1,000 
   (d) Appellate Body Members 688,100 - - -  - 688,100 
   (e) Library 10,000 - - -  - 10,000 
   (l) Appellate Body Operating Fund 1,100,000 - - -  300,000 1,400,000 
  Grand Total 4,727,200   97,600 -  303,000 5,127,800 
   base 0.00% 2.06% 0.00% 6.41% 8.47% 
 
 
 
 WT/BFA/SPEC/134 
Page 28  
 
TABLE OF 2005 REGULAR STAFF POSITIONS 
(in work-years) 
(as at 1st October 2005)  
 
 
Division Grades 
1-10 Grades 
11-12 Senior 
Management Total 
Senior Management 5   5 10 
Office of the Director -General. 13 3   16 
Accessions Division 7.4 1   8.4 
Administration and General Services Division 77 1   78 
Agriculture & Commodities Division 15 1   16 
Council and TNC Division 11.5 1   12.5 
Development Division 10 1   11 
Doha Development Agenda (DDA) Special Duties Division 1 1   2 
Economic Research and Statistics Division 49 2   51 
External Relations Division 9 1   10 
Human Resources Division 14.1 1   15.1 
Informatics Division 32 1   33 
Information & Media Relations Division 21 1   22 
Institute for Training and Technical Co-operation 26 1   27 
Intellectual Property Division 13 1   14 
Language Services & Documentation Division 146 1   147 
Legal Affairs Division 15 1   16 
Market Access Division 12 1   13 
Medical Unit 2.5     2.5 
Rules Division 17 1   18 
Technical Cooperation Audit 1     1 
Trade & Environment Division 7 1   8 
Trade and Finance Trade Facilitation Division 8 1   9 
Trade in Services Division 16 1   17 
Trade Policies Review Division 35 1   36 
Sub-total 563.5 25 5 593.5 
Appellate Body 14 1   15 
Total 577.5 26 5 608.5 WT/BFA/SPEC/134 
Page 29 
 
 
ORGANIZATIONAL EVOLUTION SINCE 1995 
 
 
WTO 
    POST INCREASES 
  Appropriations 
CHF Inc% Work/Years Total NEW CONSOLI
DATIONS Temporary Assistance 
      P and 
above GS TOTAL       P and 
above GS Total 
      CHF CHF CHF 
1995 105,389,500 a/   200 245 445       5,647,500 2,307,000 7,954,500 
1996 115,693,503 a/ 9.78% 250 263 513 68 68   4,720,000 2,323,000 7,043,000 
114,111,750 b/   246 261 507       6,098,000 2,723,000 8,821,000 
1,581,000  c/    4  2  6 0 0    4,500  4,500  
1997 115,692,750   0.00% 250 263 513         2,727,500 8,825,500 
114,399,250 b/   248 259 507       6,098,000 2,723,000 8,821,000 
1,579,600  c/    4  2  6 0 0    4,500  4,500  
1998 115,978,850   0.25% 252 261 513         2,727,500 8,825,500 
120,204,500 b/       524           9,336,750 
1,990,950  c/       9 20 20     (a) 4500  
1999 122,195,450   5.36%     533           9,341,250 
125,386,460 b/       530           9,826,850 
2,310,550  c/       9 6 6      18000  
2000 127,697,010   4.50%     539           9,844,850 
131,305,610 b/       539           11,443,050 
2,778,000  c/       13 13 13      108500  
2001 134,083,610   5.00%     552           11,551,550 
140,313,850 b/       547           13,205,100 
2,816,000  c/       13 8 8      36000  
2002 143,129,850   6.75%     560           13,241,100 
151,983,150 b/       577           15,472,580 
2,971,200  c/       13 30 6 24    36000  
2003 154,954,350   8.26%     590           15,508,580 
157,060,700 b/       594           15,763,150 
4,715,800  c/       14 18 2 16    36000  
2004 161,776,500   4.40%     608           15,799,150 
164,131,000 f/       593.5           14,186,750 
4,572,400  c/       15 0.5 -4.5 5    36000  
2005 168,703,400   4.28%     608.5           14,222,750 
173,812,900 g/       620.5           14,484,800 
4,727,200  c/       15 17.5 3 21.5    65,600  
2006 177,910,100   5.51%     635.5           14,550,400 
179,085,600 b/       622.5           14,509,800 
5,127,800  c/       15 2 2 0    65,600  
2007 184,213,400   3.54%     637.5           14,575,400 
      Total 190 123.5 66.5    
 
a/ WTO/GATT.      
b/ WTO Secretariat.    
c/ Appellate Body (permanent costs).   
d/ Revised Proposed WTO budget.   
e/ Revised Proposed Appellate Body budget (permanent costs). 
f/ adjusted by 7 unfunded security posts g/ conversion of 3 Director posts to 5.5 support posts 
 WT/BFA/SPEC/134 
Page 30  
 
PART II
 
  
INCOME ESTIMATES FOR 2006-2007 
  
48. It is proposed that the total 2006 Budget for the WTO Secretariat (CHF 173,182,900) and the 
costs of the Appellate Body and its Secret ariat (CHF 4,727,200), leading to a total of 
CHF 177,910,100, as well as indicative figures for 2007 be financed as follows: 
 CHF 
2006 CHF 
2007 
Contributions on WTO Members 176,600,000 182,980,000 
Miscellaneous Income 1,310,100 1,233,400 
TOTAL 177,910,100 184,213,400  
 
 
49. The details of miscellaneous income are as follows: 
Miscellaneous Income 2004 
Actual 
CHF 2005 
Budget 
CHF 2006 
Estimates 
CHF 2007 
Estimates 
CHF 
Sale of publications 166,835 180,000 180,000 180,000 
Profit or (loss) on exchange (337,473) - - - 
Savings on previous year's outstanding 
obligations 162,906 153,000 125,000 100,000 
Rental of meeting ro oms, office space and 
parking at Centre William Rappard to others  
143,545  
130,000  
150,000  
150,000 
Contributions of Observer Countries 733,803 680,000 680,000 650,000 
Other: 
 - Interest on Current Account  
50,881  
40,000  
40,000  
40,000 
 - Various 718,772 120,400 135,100 113,400 
TOTAL 1,639,269 1,303,400 1,310,100 1,233,400 
 
 
50. On the basis of the proposed expenditure budget for 2006, an amount of CHF 176,600,000 is 
to be assessed on Members in the form of contributions.  The draft scale of contributions, which can be found in Annex A, contains a minimum contribution of 0.015 per cent for Members whose share in 
the total trade of all Members is  less than 0.015 per cent.  Th e draft scale takes into account the 
amounts to be deducted from the re levant contributions for 2006 under the terms of the Early Payment 
Encouragement Scheme.  The 2007 assessment will be  based on up-dated trade statistics in 2006 as 
foreseen in Regulation 12.3(b) of the Re vised Financial Regulations of the WTO.
5  
                                                      
 5 See also WT/BFA/W/105/R ev.1, paragraph 3(d).  WT/BFA/SPEC/134 
Page 31 
 
 
ANNEX A 
DRAFT SCALE OF CONTRIBUTIONS FOR 2006 
(Minimum contribution of 0.015%)  
 
2005 
Contribution 2006 
Contribution Interest 
Earned6 2006 Net 
Contribution MEMBERS 
CHF %  CHF CHF CHF 
Albania 25,110 0.017 29,846 19 29,827 
Angola  128,898 0.080 140,454 93 140,361 
Antigua and Barbuda 25,110 0.015 26,490 0 26,490 
Argentina  684,666 0.363 640,819 0 640,819 
Armenia 25,110 0.015 26,490 0 26,490 
Australia  1,884,924 1.121 1,980,395 1,604 1,978,791 
Austria 2,305,098 1.393 2,459,692 1,653 2,458,039 
Bahrain 125,550 0.079 138,698 96 138,602 
Bangladesh 177,444 0.106 187,857 37 187,820 
Barbados   31,806 0.018 31,602 0 31,602 
Belgium 4,432,752 2.638 4,659,545 1,838 4,657,707 
Belize  25,110 0.015 26,490 4 26,486 
Benin   25,110 0.015 26,490 11 26,479 
Bolivia 40,176 0.023 40,380 4 40,376 
Botswana   58,590 0.033 57,937 32 57,905 
Brazil  1,528,362 0.876 1,546,744 0 1,546,744 
Brunei Darussalam   65,286 0.036 63,204 28 63,176 
Bulgaria   169,074 0.108 191,368 133 191,235 
Burkina Faso  25,110 0.015 26,490 17 26,473 
Burundi 25,110 0.015 26,490 0 26,490 
Cambodia   45,198 0.030 52,670 0 52,670 
Cameroon   56,916 0.032 56,181 0 56,181 
Canada  6,563,754 3.859 6,815,507 5,658 6,809,849 
Central African Republic  25,110 0.015 26,490 0 26,490 
Chad 25,110 0.015 26,490 0 26,490 
Chile   502,200 0.291 514,411 15 514,396 
China, People's Republic of 6,024,726 4.121 7,277,248 168 7,277,080 
Colombia   346,518 0.197 347,622 0 347,622 
Congo   41,850 0.023 40,380 0 40,380 
Costa Rica 170,748 0.099 175,567 54 175,513 
Côte d'Ivoire 103,788 0.061 107,096 0 107,096 
Croatia 232,686 0.147 259,839 0 259,839 
Cuba 108,810 0.059 103,584 17 103,567 
Cyprus  105,462 0.069 121,141 71 121,070 
Czech Republic   897,264 0.566 998,976 658 998,318 
Democratic Republic of the Congo 25,110 0.015 26,490 0 26,490 
Denmark 1,617,084 0.977 1,725,823 1,158 1,724,665 
Djibouti   25,110 0.015 26,490 0 26,490 
Dominica   25,110 0.015 26,490 0 26,490 
Dominican Republic  210,924 0.120 212,436 0 212,436 
Ecuador 135,594 0.081 142,209 29 142,180 
Egypt   418,500 0.244 430,139 44 430,095 
El Salvador   102,114 0.061 107,096 24 107,072 
Estonia 112,158 0.070 122,897 97 122,800 
European Communities 0 0.000 0.00 0 0 
                                                      
6 Interest earned in 2003 under the Early Payment Encouragement Scheme (L/6384) and to be deducted 
from the 2005 contribution. WT/BFA/SPEC/134 
Page 32  
 
2005 
Contribution 2006 
Contribution Interest 
Earned6 2006 Net 
Contribution MEMBERS 
CHF %  CHF CHF CHF 
Fiji 25,110 0.015 26,490 14 26,476 
Finland 1,041,228 0.612 1,081,492 941 1,080,551 
Former Yugoslavia Republic  
of Macedonia 40,176 0. 024 42,136 3 42,133 
France  8,624,448 5.060 8,936,355 7,027 8,929,328 
Gabon   56,916 0.031 54,426 0 54,426 
Gambia  25,110 0.015 26,490 0 26,490 
Georgia 25,110 0.015 26,490 2 26,488 
Germany 14,851,728 8.874 15,671,101 12,228 15,658,873 
Ghana   61,938 0.041 71,982 11 71,971 
Greece  733,2 12 0.472 833,94 3 282 833,661 
Grenada 25,110 0.015 26,490 16 26,474 
Guatemala  108,810 0.065 114,118 75 114,043 
Guinea  25,110 0.015 26,490 0 26,490 
Guinea-Bissau 25,110 0.015 26,490 0 26,490 
Guyana  25,110 0.015 26,490 0 26,490 
Haiti   25,110 0.015 26,490 0 26,490 
Honduras   65,286 0.038 66,715 50 66,665 
Hong Kong, China 5,226,228 3.075 5,430,284 4,830 5,425,454 
Hungary 838,674 0.531 937,527 569 936,958 
Iceland 73,656 0.044 77,249 60 77,189 
India   1,543,428 0.920 1,623,994 164 1,623,830 
Indonesia  1,294,002 0.764 1,348,354 610 1,347,744 
Ireland 2,085,804 1.247 2,201,609 1,717 2,199,892 
Israel  942,462 0.552 974,396 713 973,683 
Italy   6,841,638 4.025 7,108,703 4,108 7,104,595 
Jamaica 90,396 0.052 91,295 23 91,272 
Japan   10,253,250 5.990 10,577,905 6,568 10,571,337 
Jordan  107,136 0.064 112,363 60 112,303 
Kenya   73,656 0.043 75,494 52 75,442 
Korea, Republic of  3,995,838 2.474 4,369,860 1,486 4,368,374 
Kuwait  323,082 0.202 356,401 0 356,401 
Kyrgyz Republic  25,110 0.015 26,490 13 26,477 
Latvia  85,374 0.053 93,050 63 92,987 
Lesotho 25,110 0.015 26,490 19 26,471 
Liechtenstein 41,850 0.025 43,892 36 43,856 
Lithuania  140,616 0.090 159,766 77 159,689 
Luxembourg 594,270 0.363 640,819 490 640,329 
Macao, China  108,810 0. 067 117,630 88 117,542 
Madagascar 25,110 0.015 26,490 6 26,484 
Malawi  25,110 0.015 26,490 0 26,490 
Malaysia   2,137,698 1.282 2,264,813 1,821 2,262,992 
Maldives   25,110 0.015 26,490 20 26,470 
Mali 25,110 0.015 26,490 12 26,478 
Malta   78,678 0.046 80,761 69 80,692 
Mauritania 25,110 0.015 26,490 54 26,436 
Mauritius  63,612 0.037 64,960 0 64,960 
Mexico  3,878,658 2.306 4,073,152 2,600 4,070,552 
Moldova 25,110 0.015 26,490 16 26,474 
Mongolia   25,110 0.015 26,490 10 26,480 
Morocco 262,818 0.159 280,907 120 280,787 
Mozambique 25,110 0.017 29,846 3 29,843 
Myanmar, Union of 53,568 0.033 57,937 6 57,931 
WT/BFA/SPEC/134 
Page 33 
 
 
2005 
Contribution 2006 
Contribution Interest 
Earned6 2006 Net 
Contribution MEMBERS 
CHF %  CHF CHF CHF 
Namibia 36,828 0.021 36,869 26 36,843 
Nepal   31,806 0.018 31,602 3 31,599 
Netherlands   5,671,512 3.367 5,946,451 4,157 5,942,294 
New Zealand   408,456 0.249 438,917 358 438,559 
Nicaragua  31,806 0.022 38,625 29 38,596 
Niger   25,110 0.015 26,490 0 26,490 
Nigeria 313,038 0.173 305,486 0 305,486 
Norway  1,412,856 0.847 1,495,830 1,228 1,494,602 
Oman 179,118 0.118 208,925 85 208,840 
Pakistan   256,122 0.154 272,129 178 271,951 
Panama  184,140 0.100 177,323 0 177,323 
Papua New Guinea 48,546 0.027 47,403 0 47,403 
Paraguay   73,656 0.037 64,960 0 64,960 
Peru 209,250 0.121 214,192 0 214,192 
Philippines   890,568 0.501 884,857 0 884,857 
Poland  1,213,650 0.753 1,329,041 1,019 1,328,022 
Portugal   934,092 0.553 976,152 595 975,557 
Qatar   152,334 0.108 191,368 19 191,349 
Romania 314,712 0.208 366,935 85 366,850 
Rwanda  25,110 0.015 26,490 0 26,490 
Saint Lucia   25,110 0.015 26,490 11 26,479 
Senegal 35,154 0.021 36,869 33 36,836 
Sierra Leone  25,110 0.015 26,490 0 26,490 
Singapore  3,339,630 2.101 3,709,728 2,889 3,706,839 
Slovak Republic  308,016 0.223 393,270 266 393,004 
Slovenia   267,840 0.162 286,174 219 285,955 
Solomon Islands  25,110 0.015 26,490 0 26,490 
South Africa  785,106 0.470 830,431 1,402 829,029 
Spain   4,118,040 2.525 4,459,399 2,294 4,457,105 
Sri Lanka  152,334 0.088 156,255 56 156,199 
St. Kitts and Nevis  25,110 0.015 26,490 20 26,470 
St. Vincent and the Grenadines   25,110 0.015 26,490 12 26,478 
Suriname   25,110 0.015 26,490 0 26,490 
Swaziland  26,784 0.016 28,091 21 28,070 
Sweden  2,281,662 1.355 2,392,977 2,029 2,390,948 
Switzerland   2,430,648 1.434 2,531,675 2,144 2,529,531 
Chinese Taipei  3,259,278 1.909 3,370,884 2,919 3,367,965 
Tanzania   40,176 0.023 40,380 0 40,380 
Thailand   1,627,128 0.998 1,762,692 1,465 1,761,227 
Togo 25,110 0.015 26,490 0 26,490 
Trinidad and Tobago 83,700 0.051 89,539 31 89,508 
Tunisia 215,946 0.128 226,481 139 226,342 
Turkey  1,201,932 0.715 1,262,326 580 1,261,746 
Uganda  26,784 0.015 26,490 2 26,488 
United Arab Emirates   1,007,748 0.637 1,125,384 0 1,125,384 
United Kingdom   9,548,496 5.606 9,900,217 8,240 9,891,977 
United States 26,445,852 15.527 27,420,035 1,571 27,418,464 
Uruguay 83,700 0.044 77,249 0 77,249 
Venezuela 544,050 0.308 544,257 0 544,257 
Zambia  26,784 0.015 26,490 0 26,490 
Zimbabwe   53,568 0.029 50,914 21 50,893 
TOTAL 167,400,000 100.000 176,600,000 94,840  176,505,160 WT/BFA/SPEC/134 
Page 34  
 
DETAILED BUDGET ESTIMATES 2006-2007 
 
WTO Secretariat
7 
  
Part A - Staff
 
 
Part A of the budget proposals cover all salary, pensio n and common staff costs fo r those staff in regular 
positions and those hired under temporar y assistance.  For regu lar staff, standard co sting has been used.  
Standard costs are composed of a number of elemen ts under Salaries and Common Staff Costs;  they can 
vary from year to year with changes in the cost of living, conditions of service,  places of recruitment, 
number of expected retirements and home leave en titlements (authoriz ed every second year).  Since 
1 January 1999, the WTO Conditions of Service are a pplied.  These conditions of service include, 
inter alia , the provision that "Salaries … shall be on a si ngle scale covering all le vels of functions …"8  
 
 
EVOLUTION OF STANDARD COSTS 2005-2007  
  51. The following table shows the evolution of standard
9 costs from the 2004 budget to the 
proposals for 2007, with details in paragraphs 52-53. 
CHF 
Standard Costs for WTO staff 
2005 Budget 2006 Budget 
Proposals 2007 Budget 
Proposals 
(a) Salary 126,400 128,900 134,400
(b) Contribution to the WTO Pension Plan 25,200 25,700 26,800
(c) Other common st aff costs:   
- sickness insurance 6,500 7,100 7,900 
- rental subsidy    600    600    600 
- separation grant 2,500 1,300 1,500 
- dependency allowances 7,000 7,200 7,200 
- education grant 4,700 4,300 4,300 
- home leave travel 1,700 2,400 2,400 
- various other staff costs (non-residents 
allowance, language allowance, 
installation and separation grants and 
separation payments) 
 2,500  
  
25,500 1,700
 
  
24,600 1,900
 
  
25,800
TOTAL 177,100 179,200 187,000
 
(nearest CHF 100) 
 
                                                      
 7 Not including the Appellate Body and its Secretariat. 
8 WT/L/282, Annex 2, Compensation Philosophy, paragraph 10. 
9 Excluding proposed consolidations and new posts. WT/BFA/SPEC/134 
Page 35 
 
 
52. In accordance with the decision on 15 May 2 003 (WT/GC/M/80) of the General Council, 
acting on a recommendation of the Committee on Budget, Finance and Administration (WT/BFA/64), approved the methodology for future salary adjustments in the WTO. In addition, as called for in Staff 
Regulation 6.4, the General Council had previous ly approved the Performance Award System on 
8 February 2001 (document WT/GC/M/63), which replaces the former a nnual step-in-grade system 
which is in wide use in the Common System a nd which was formerly applied in the GATT, and 
subsequently in the WTO. 
53. All statutory increases projections based on th e application of above-mentioned established 
methodology, an anticipated increase in the cost of medical insurance costs of ten per cent with the 
balance being movements with respect to either c onsolidation/new posts. For more details refer under 
each of the respective items of Section 1- Work years. 
 
EVOLUTION OF OVERALL STAFF COSTS' 
2005 – 2007 
 
Components (a) 
Salary (b) 
Pension  
(c) 
Common  
Staff Costs Grand Total 
Budget 2005 74,749,500 14,896,200 15,073,000  104,718,700 
  -  Salary increase 2005  2.0 -1.8  (147,000)  (30,000)   (177,000)
  -  Fully funding 2005 consol idated posts 4 153,600 52,800  206,400 
  -  Staff Profile Adjustment  (1 ,403,100)  (288,000) 343,500   (1,347,600)
  -  Maintaining 2005 Vacancy factor -   -    -  
  -  Salary increase 2.0 1,483,900 298,000  1,781,900 
  -  Performance Appraisal System 1,513,600 304,000  1,817,600 
  -  Medical Insurance Premiums    385,200  385,200 
  -  Refund Provision for Senior Ma nagement      (595,700)  (595,700)
  -  Refund of Security Enhancement Scheme     (574,300)  (574,300)
Sub-total - Statutory 2006 1,601,000 336,800  (441,300) 1,496,500 
 -  New Posts 6 months funding 193,400 38,600 60,100  292,100 
 -  New Post Recruitment Costs    98,400  98,400 
 -  Consolidations 519,500 91,000  610,500 
 -  Fully funding 2006 consolidations 539,000 131,300  670,300 
 -  Increase in established vacancy factor  (539,000)  (131,300)   (670,300)
 -  Establish 7 Reviser posts from te mporary assistance  902,300 179,900  1,082,200
Sub-total - Staff Increases/Decreases 2006 1,615,200 309,500 158,500  2,083,200
2006 Promotions 135,000 25,000  160,000 
Budget 2006 78,100,700 15,567,500 14,790,200  108,458,400
  -  Staff Profile Adjustment      
  -  Security Enhancement Project    78,300  78,300 
  -  Increase in provision for staff an ticipated retirements    232,700  232,700 
  -  Salary increase 2 1,545,200 310,300  1,855,500 
  -  Performance Appraisal System 1,576,100 316,500  1,892,600 
  -  Medical Insurance Premiums    423,700  423,700 
  -  Fully funding 2006 New posts (6mths) 193,400 38,600 59,800  291,800 
  -  Refund recruitments costs for 2006 New posts     (98,400)  (98,400)
Sub-total- Statutory 2007 3,314,700 665,400 696,100  4,676,200 
 -  New Posts (fully funded) 257,800 51,400 80,100  389,300 
 -  Recruitment costs New Posts    65,600  65,600 
Sub-total - Staff Increases/Decreases 2007 257,800 51,400 145,700  454,900 
2007 Promotions 135,000 25,000  160,000 
Budget 2007 81,808,200 16,309,300 15,632,000 113,749,500
 WT/BFA/SPEC/134 
Page 36  
 
Section 1 - Work/Years
 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 104,718,700  1,496,500 2,083,2 00 160,000 3,739,700 108,458,400 
2006 108,458,400  4,676,200 454,90 0 160,000 5,291,100 113,749,500 
 
Year Budget Expenditure10 Balance  
2005 104,718,700 99,336,530 5,382,170∗ * 
2004 98,711,200 96,013,026 2,698,174  
 
(a) Salary  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 74,749,500  1,601,000 1,615,2 00 135,000 3,351,200 78,100,700 
2006 78,100,700  3,314,700 257,80 0 135,000 3,707,500 81,808,200 
 
Year Budget Expenditure Balance  
2005 74,749,500 71,939,000 2,810,500 * 
2004 71,014,000 68,864,544 2,149,456  
54. The salary scale of the WTO staff and its annual adjustment is based on WTO Staff 
Regulation 6.2.  The estimates represent the co sts of salary for 620.5 work/years in the WTO 
Secretariat in 2006 and 622.5 in 2007, and include  the proposed consolidations of 14.5 posts 
previously funded from temporary assistance.  Thei r respective funding is to be attained partly 
through the transfer of CHF 610,500 from 'Section 2 – Temporary Assistance' to 'Section 1 – Work 
Years', with the balance being met through the use of funds earmarked for vacant posts.  The 
comparable vacancy factor will therefore be incr eased by CHF 670,300 to CHF 1,963,000 in order to 
maintain the cost neutrality of these consolidati ons.  Three new posts are proposed for 2006 and two 
for 2007.  The overall increases under each year  include CHF 1,601,000 an d CHF 3,314,700 as the 
respective statutory increases for 2006 and 2007 an d establishing seven reviser positions through a 
transfer from Section 2 – Temporary Assistance.  Fo r details with respect to the specific elements, 
please refer to the table on page 35 "Evolution Of Overall Staff Costs". 
(b) Contribution to the WTO Pension Plan  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 14,896,200  336,800 309,500 25,000 671,300 15,567,500 
2006 15,567,500  665,400 51,400 25,000 741,800 16,309,300 
 
Year Budget Expenditure Balance  
2005 14,896,200 14,211,750 684,450 * 
2004 14,267,200 13,489,337 777,863  
 
                                                      
10  The expenditure figures for 2005 are estimat es made in the third quarter of the year. 
∗ expected balance. WT/BFA/SPEC/134 
Page 37 
 
 
55. The contributions to the WTO Pension Plan are based on the Regulations of the WTO 
Pension Plan, Article 20.  The contributions of th e participant and of the WTO correspond to 7.5 per 
cent and 15 per cent of personable remuneration, respec tively.  Compared to the 2005 budget, there is 
a total increase of CHF 0.49 million for 2006, as detailed in the table in paragraph 53. 
56. The provision for 2007 shows an increase of CHF 0.74 million as detailed in the table in 
paragraph 53, and includes the respective co sts of the two new posts proposed for 2007. 
(c) Other Common Staff Costs  
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 15,073,000  (441,300) 158,500  (282,800) 14,790,200 
2006 14,790,200  696,100 145,700  841,800 15,632,000 
 
Year Budget Expenditure Balance  
2005 15,073,000 15,165,410 (92,410) * 
2004 13,430,000 13,659,145 (229,145)  
 
57. The estimate for Common Staff Costs includes provision for sickness insurance, dependency 
allowances, language allowance, education grant, tr avel on home leave, installation grant, travel and 
removal and other common staff costs such as, repatr iation grant and rental subsidy.  These costs have 
been calculated in accordance w ith the entitlements under the WTO Staff Regulations.  They are 
based on the actual situation with regard to the st aff, including projected retirements and turnover. 
58. The 2006 common staff costs show a net overall decrease of CHF 0.28 million compared to 
that of the 2005 budget and is primarily due to last year's provisions for the separation and recruitment 
costs relating to senior management and those relating to the severance costs of staff with respect to 
the security enhancement project which are not retain ed in 2006.  Provision is also made for the 
proposed three new posts in 2006.  Other adjustment s include (i) a reduction for changes in the make- 
up of the WTO staff population, (ii) increases in medical insurance costs as well as, the full funding of the four posts consolidated in 2005 which were funded for six months. 
59. The 2007 common staff costs show an overall in crease of CHF 0.84 million primarily due to 
the anticipated increase in  the cost of staff medical insurance premiums and an additional provision 
for the increase in the number of staff who will reach th e age of retirement.  Provision is also made for 
the recruitment and on-going costs linked to the proposed creation of two new posts.  WT/BFA/SPEC/134 
Page 38  
 
Section 2 - Temporary Assistance
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 14,186,750  (206,400) 94,450 410,000 298,050 14,484,800 
2006 14,484,800    25,000 25,000 14,509,800 
 
Year Budget Expenditure Balance  
2005 14,186,750 17,763,100 (3,576,350) * 
2004 15,763,150 18,307,012 (2,543,862)  
 
60. The allocation for temporary assistance covers freelance interpreters and translators, 
consultants, secretaries, clerks, typists and other temporary staff.  It also covers the replacement of staff on long sick or maternity leave.  The proposed 2006 allocation shows an increase of 
CHF 0.3 million compared to the 2005 budget and includes CHF 0.4 million for the proposed 
Training and Human Resource Reform project, offset  by statutory decreases reflecting the transfer 
from this Section to Section 1 – Work Years for the full funding of the consolidated posts approved in 
2005.  Other increases relate primarily to the need to align budgetary allocations for interpreters, 
support staff, and replacement of staff on maternity  and extended medical leave with established 
levels of expenditure and increases in workloads. 
61. The proposed allocation for 2007 shows an in crease of CHF 25,000 pertaining to additional 
consultants required with respect to the proposed Training and Human Resource Reform project as  
compared to 2006. 
SCHEDULE OF TEMPORARY ASSISTANCE 
(in Swiss francs)  
 
 2005 
Budget 2006 
Estimates 2007 
Estimates 
  -  Interpreters 1,646,000 1,846,000 1,846,000 
  -  Translators 7,621,300 6,719,000 6,719,000 
  -  Other Professionals 597,700 1,056,400 1,081,400 
  -  Replacements 540,000 940,000 940,000 
  -  Consultants EDP 1,493,700 1,755,200 1,755,200 
  -  Secretaries/Clerks 94,450 105,800 105,800 
  -  Pool 589,100 589,100 589,100 
  -  Messengers/Drivers/Guards/
 Manual Workers 226,000 210,000 210,000 
  -  Roneo 281,500 70,000 70,000 
  -  Conference Staff 50,000 50,000 50,000 
  -  Overtime 346,000 346,000 346,000 
  -  Internships 172,500 272,500 272,500 
  -  Common Staff Costs 528,500 524,800 524,800 
  TOTAL 14,186,750 14,484,800 14,509,800 
 WT/BFA/SPEC/134 
Page 39 
 
 
Part B - Administrative Costs  
 
Administrative costs include the maintenance and insurance of the building and associated facilities, 
permanent and expendable equipment, communication costs, costs related to the reproduction of 
documents and those for informatics/office automation. 
 
Section 3 – Communications  
 
Year Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 2,063,000    (30,000) (30,000) 2,033,000 
2006 2,033,000    10,000 10,000 2,043,000 
 
Year Budget Expenditure Balance  
2005 2,063,000 1,954,170 108,830 * 
2004 2,203,000 1,801,742 401,258  
 
(a) Telecommunications  
 
Year Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 758,000    (40,000) (40,000) 718,000 
2006 718,000    20,000 20,000 738,000 
 
Year Budget Expenditure Balance  
2005 758,000 727,420 30,580 * 
2004 748,000 683,331 64,669  
 
62. The estimate of CHF 718,000 provides for all telecommunications charges as well as for the 
rental of telephone lines.  The decrease of CHF 40,00 0 over the 2005 Budget is primarily the result of  
adjustments to WTO telephone policy with restrict ed access to certain zones and prohibited access to 
others.  
63. Compared to 2006, the proposed provision fo r 2007 shows an increase of CHF 20,000 based 
on anticipated expenditure trend. 
(b) Postal charges  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,305,000    10,000 10,000 1,315,000 
2006 1,315,000    (10,000) (10,000) 1,305,000 
 
Year Budget Expenditure Balance  
2005 1,305,000 1,226,750 78,250 * 
2004 1,455,000 1,118,411 336,589  
 WT/BFA/SPEC/134 
Page 40  
 
64. The estimate provides for the cost of posta ge, pouch services (through the United Nations) 
and of freight and cartage.  The 2006 allocation is increased by CHF 10,000 for the removal costs in 
anticipation of a transfer of staff between the CWR and the Rue Rothschild.  As these costs are one-
off, the 2006 increase is returned in 2007. 
Section 4 - Building Facilities
 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 3,147,900 4,500   301,600 306,100 3,454,000 
2006 3,454,000 8,000   218,000 226,000 3,680,000 
 
Year Budget Expenditure Balance  
2005 3,147,900 3,106,650 41,250 * 
2004 3,114,900 3,123,704 (8,804)  
 
(a) Rental of premises  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 362,400    (17,400) (17,400) 345,000 
2006 345,000      345,000 
 
Year Budget Expenditure Balance  
2005 362,400 322,360 40,040 * 
2004 302,400 313,934 (11,534)  
 
65. This estimate provides for the rental of storage and parking space.  In 2005, provision was 
made for the rental of alternative meeting room s outside headquarters as renovation work was being 
conducted at the CICG in Geneva, normally used rent -free.  Since that work has been completed, the 
provision is no longer required. This saving is o ffset by an increase for additional storage space for 
documents, archives, etc. as the amount of availa ble space in the Centre William Rappard (CWR) 
becomes critical. 
66. The provision for 2007 remains at the same level as in 2006. 
(b) Utilities  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,619,500 4,500   47,000 51,500 1,671,000 
2006 1,671,000 8,000    8,000 1,679,000 
 
Year Budget Expenditure Balance  
2005 1,619,500 1,610,210 9,290 * 
2004 1,619,500 1,619,998    (498)  
 
67. The estimate covers the cost of electricity, wate r and heating as well as the cost of contractual 
cleaning for the whole of the CWR.  The increase of CHF 51,500 over the 2005 Budget is attributable to the rise in heating fuel costs. WT/BFA/SPEC/134 
Page 41 
 
 
68. The proposed credit for 2007 shows an increase of CHF 8,000, for the same reason. 
(c) Maintenance and Insurance  
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,166,000    272,000 272,000 1,438,000 
2006 1,438,000    218,000 218,000 1,656,000 
 
Year Budget Expenditure Balance  
2005 1,166,000 1,174,080 (8,080) * 
2004 1,193,000 1,189,772 3,228  
 
69. This provision covers the maintenance of the building, fire equipment, snow removal,  
building insurance, sanitary equipment as well as security measures. Under the terms of the 
Headquarters Agreement, the Swiss authorities pr ovide for basic maintena nce while the WTO is 
responsible for the day-to-day maintenance work  in the CWR. The latter includes miscellaneous 
renovation and alteration work required in the CW R and rue Rothschild (masonry, painting, floor 
covering replacement, electrical and telephone work).  The proposed increase in 2006 of CHF 172,000 primarily concerns two projects: i) the renovation of half of the LAN rooms with  more 
effective air-conditioning, with the other half schedul ed for 2007, and ii) in an attempt to alleviate the 
shortage of office space,  the 4
th floor of the CWR, located directly under the roof, is to be equipped 
with new blinds in order to render those offices more suitable for full-time occupancy. 
70. The increased provision for 2007 is primarily due  to the cost of installing a new switchboard 
provided for under Section 5 – Permanent Equipment. 
Section 5 - Permanent Equipment  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 2,668,100   21,000 286,900 307,900 2,976,000 
2006 2,976,000  (21,000) 8,000 ( 497,900) (510,900) 2,465,100 
 
Year Budget Expenditure Balance  
2005 2,668,100 2,545,940 122,160 * 
2004 3,219,850 3,149,281  70,569  
 
71. This section covers the cost of permanent equi pment items valued at over CHF 5,000 and/or 
an expected life-span over five years.  It comprises both purchase and lease costs.   
  2005 2006 2007 
Office furniture (including repl acements) 255,000 377,000 363,000
Computing and Informatics equipment 1,127,100 1,317,000 1,244,100
Audio visual equipment 35,000 112,000 20,000
Communications equipment 125,000 45,000 55,000
Other equipment (incl. Official vehicles 2005 only)  65,000 25,000 15,000
Security 150,000 150,000 180,000
Sub-total Purchase 1,757,100 2,026,000 1,877,100
Permanent Equipment (leasing arrangements i.e. 
Computers, Reproduction, Security, Official Vehicles.)  911,000 950,000 588,000
TOTAL 2,668,100 2,976,000 2,465,100WT/BFA/SPEC/134 
Page 42  
 
72. In 2006, it is proposed that the provision for permanent equipment be increase by 
CHF 407,900.  This increase is sub-divided as follows:  i) the increase under the sub-item Office Equipment is to acquire more modular furniture facilitating the office-sharing; which more staff 
members will be obliged to do, ii) Computers - the pu rchase is for: hardware, i.e. computers, servers, 
printers, scanners, CD-ROM readers, and include th e costs associated with the proposed new posts; 
iii) under audio visual equipment, the increase rela tes to the equipment with  respect to the Studio 
Press Office  iv) the provision for the planned repl acement of telecommunications has been decreased 
in anticipation of the new switchboard; and v) the re duction under Other, reflects the change of policy 
where official vehicles will no longer be purchased  but rather leased.  The increase under the items 
purchased through leasing arrangements pertains pr imarily to change of policy on the purchase of 
official vehicles already mentioned. 
73. In 2007, it is proposed to reduce the overall provision for permanent equipment by 
CHF 510,900.  This is comprised of a re duction under permanent equipment purchased of 
CHF 148,900 and CHF 362,000, a net decrease for eq uipment bought through leasing arrangements as 
certain contracts will have reached completi on.  The overall allocation for leasing CHF 588,000 
includes a provision of CHF 330,000 for the anticipated financing arrangements of the new 
switchboard. 
Section 6 - Expendable Equipment
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,359,000    (138,500) (138,500) 1,220,500 
2006 1,220,500      1,220,500 
 
Year Budget Expenditure Balance  
2005 1,359,000 1,108,520 250,480 * 
2004 1,353,000 957,322 395,678  
 
74. The estimate for expendable equipment covers sta tionery and other general office supplies, IT 
supplies (toner for printers, spare parts), pape r and other supplies for reproduction equipment, 
electrical and other tools/supplies for the main tenance of the building, uniforms for guards, 
conference room supplies and medical supplies.  For 2006, it is proposed to decrease the allocation by 
CHF 138,500 compared to that of the 2005 budget.  Th is is mainly due to decreased needs in terms of 
reproduction supplies as more effective use is made of  the recently acquired equipment.  With regard 
to 2007, the proposed credit is maintained at the 2006 level.  The proposed allocation can be 
summarised as follows:   
 
CHF Expendable Equipment 2006 2007 
Office supplies        250,000       250,000 
EDP supplies (toner and other various supplies)      210,500       225,500 
Reproduction costs (paper and supplies)      520,000       520,000 
Building supplies      160,000       145,000 
Other supplies         80,000          80,000 
TOTAL 1,220,500  1,220,500 
 WT/BFA/SPEC/134 
Page 43 
 
 
Section 7 - Contractual Services  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 6,064,300    1,094, 900 1,094,900 7,159,200 
2006 7,159,200    378,300 378,300 7,537,500 
 
Year Budget Expenditure Balance  
2005 6,064,300 5,136,930 927,370 * 
2004 3,839,800 3,833,508 6,292  
 
(a) Reproduction  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,380,000    20,000 20,000 1,400,000 
2006 1,400,000      1,400,000 
 
Year Budget Expenditure Balance  
2005 1,380,000 1,380,540 (540) * 
2004 1,380,000 1,259,433 120,568  
 75. The estimate for reproduction includes costs rela ted to the rental of reproduction machines, 
maintenance of equipment and the cost of c opies on these machines in the Documents Reproduction 
and Distribution Section.  The number of copies is estimated at 100 million pages.  Compared to the 2005 budget, the amount foreseen for 2006 shows a incr ease of CHF 20,000 for increases in volume.  
The allocation for 2007 remains at the same level as in 2006.  The details are as follows:  
CHF Reproduction 2006 2007 
Cost of copies      160,000       160,000 
Rental costs of reproduction equipment   1,180,000    1,180,000 
Maintenance         60,000          60,000 
TOTAL   1,400,000    1,400,000 
(b) Office Automation/Informatics  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 2,227,200    438,000 438,000 2,665,200 
2006 2,665,200    335,300 335,300 3,000,500 
 
Year Budget Expenditure Balance  
2005 2,227,200 2,297,500 (70,300) * 
2004 2,192,800 2,345,942 (153,142)  
 WT/BFA/SPEC/134 
Page 44  
 
76. The 2006 estimates includes:  (i) credits for computer use at the International Computing 
Centre (ICC) (site maintenance, data storage, lin e charges and maintenance, data computer centre, 
data encryption servers and licenses, etc.), amounting to CHF 1,275,600;  (ii) IT insurance amounting 
to CHF 23,000;  and (iii) costs for IT maintena nce, up-grades, purchase of software and cost of 
licences amounting to CHF 1,367,000, an increase of  CHF 388,000 in connecti on with the IT projects 
retained for 2006. 
77. The allocation for 2007 shows an overall increase  of CHF 353,300.  The estimates include:  
(i) CHF 1,497,500 for the ICC, (ii) IT insurance of CHF 23,000 and (iii) cost of IT maintenance of 
CHF 1,480,000. 
(c) Other
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 332,000    (75,000) (75,000) 257,000 
2006 257,000      257,000 
 
Year Budget Expenditure Balance  
2005 332,000 258,890 73,110 * 
2004 267,000 228,134 38,866  
 
78. This estimate covers the maintenance and repair costs of: conference rooms, official vehicles, 
petrol, oil and related insurance costs, as well as maintenance costs for office equipment and 
telephones. With the expected implementation of a new switchboard in 2007 , planned maintenance 
costs of CHF 25,000 have been cancelled. In addition, modifications to the simultaneous 
interpretation facilities have been completed, resu ltting in a further decrease of CHF 50,000 in this 
provision in 2006. 
79. It is proposed that the 2007 allocati on is maintained at the 2006 level. 
(d) Security Outsourcing  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 2,125,100    711,900 711,900 2,837,000 
2006 2,837,000    43,000 43,000 2,880,000 
 
Year Budget Expenditure Balance  
2005 2,125,100 1,200,000 925,100 * 
2004 0 0 0  
 
80. The funding of the Security Outsourcing Cont ract will require an additional CHF 711,900 for 
2006, as previous security budgets did not fully re flect the actual expenditure on security (e.g. 
CHF 3.5 million 2004).  A further increase of CHF 43 ,000 is required, as the existing contract allows 
for adjustments to be made to security salaries in line with the terms and conditions of the contract. WT/BFA/SPEC/134 
Page 45 
 
 
Part C - Other Costs  
 
Other costs cover staff overhead costs (training, insurance and costs related to shared common services), 
missions, hospitality, Dispute Se ttlement Panels, the Permanent Group of Experts, Trade Policy 
Training Courses, public information activities, extern al auditors, contribution to  the International Trade 
Centre, and unforeseen expenditure.  
 
Section 8 - Staff Overhead Costs  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 2,687,800  85,800  502,900 588,700 3,276,500 
2006 3,276,500  228,000  505,000 733,000 4,009,500 
 
Year Budget Expenditure Balance  
2005 2,687,800 2,967,950 (280,150) * 
2004 3,070,200 2,636,744 433,456  
 
(a) Training  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 490,000    485,000 485,000 975,000 
2006 975,000    500,000 500,000 1,475,000 
 
Year Budget Expenditure Balance  
2005 490,000 486,040 3,960 * 
2004 490,000 464,392 25,608  
 
81. The proposed provision for training includes the costs of language training courses organized 
by the United Nations, informatics training and management training for WTO staff.  The 2006 
proposed increase of CHF 485,000 concerns the first in crease with respect to the Training and Reform 
of Human Resources programme at the WTO. As described under separate cover, the aim of the 
programme is to increase training opportunities fo r staff and enhance their mobility within the 
Organization by  refining and updating their sk ills, increasing motivation and job satisfaction and 
preparing certain staff for progression to managerial positions. 
82. The 2007 proposed increase of CHF 500,000 co ncerns the second phase of this programme. 
(b) Insurance  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,973,700  85,800   85,800 2,059,500 
2006 2,059,500  228,000  5,000 233,000 2,292,500 
 
Year Budget Expenditure Balance  
2005 1,973,700 2,035,920 (62,220) * 
2004 1,861,700 1,704,905 156,795  WT/BFA/SPEC/134 
Page 46  
 
83. This provision covers the costs of third part y insurance, insurance of the Organization's 
permanent equipment and insurance provided under St aff Rule 110.5 in respect of compensation for 
service-incurred illness, injury or death of Secretar iat staff. In addition, this provision includes the 
cost of the WTO contribution to the medical insura nce premium for retirees, which is expected to 
increase, as is the number of staff  reaching  retirement age.  
84. The increase proposed in 2006 of CHF 85,800 is comprised of: 1) CHF 233,800 with respect 
to the organization's participation towards the cost s premiums on medical insurance cover for retirees 
as well as an increase in the number of retirees as staff reach the age of retirement; 2) CHF 16,000 in anticipation of increase in the insurance premiums with respect to policy on  service incurred injury; 
offset by 3) a reduction of CHF 164,000 with resp ect to the anticipated cost for the 24hour accident 
insurance for staff. 
85. The increase proposed in 2007, further antic ipates and increase in medical insurance 
premiums by 10% CHF 200,000, CHF 13,000 and CHF 15,000 to cover the anticipated increase in the premiums charged by the insurer as it is based on the number of employees and their respective salaries. 
(c) Joint Services
 
 
Year Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 177,600     34,400 34,400 212,000 
2006 212,000      212,000 
 
Year Budget Expenditure Balance  
2005 177,600 425,490 (247,890) * 
2004 632,000 442,456 189,544  
 
86. This estimate provides for the WTO's share in the running costs of the Administrative 
Tribunal of the International Labour Organization,  the Inter-Organization Secretariat of the Co-
ordinated Organisations and the Joint Purchasing Unit.   It also covers the costs related to medical 
analyses for the WTO Medical Service.  The net in crease in 2006 of CHF 34,400 concerns an increase 
of CHF 40,000 with respect to the reimbursement of national income taxes further to application of a 
recent  judgement by the ILO Administrative Tribunal, offset by a reduction in contributions to other UN inter-agency bodies. 
87. The provision for 2007 remains at the same level as for 2006. 
(d) Miscellaneous
 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 46,500    (16,500) (16,500) 30,000 
2006 30,000      30,000 
 
Year  Budget Expenditure Balance  
2005 46,500 20,490 26,010 * 
2004 86,500 24,991 61,510  
 WT/BFA/SPEC/134 
Page 47 
 
 
88. This provision covers administrative costs such as those related to the issuance of 
laissez-passer , various fees as well as the advertising of  vacancy notices.  Th e proposed decrease in 
the allocation concerns advertisement costs as more use of the WTO website is made to disseminate 
vacancy notices. 
Section 9 – Missions  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 2,564,300 114,700    114,700 2,679,000 
2006 2,679,000 120,000    120,000 2,799,000 
 
Year Budget Expenditure Balance  
2005 2,564,300 2,467,530 96,770 * 
2004 2,564,300 2,222,398 341,902  
 
89. It should be mentioned that the overall need for missions, whether they be to undertake 
consultations with Governments, a ttend meetings of other internat ional organizations (World Bank, 
International Monetary Fund, OECD, etc.), undert ake consultations with, or provide technical 
co-operation assistance to, developing countries, con tinues to increase.  Technical cooperation with 
least developed and developing countries is covered from two sources:  (i) the annual WTO budget, 
and (ii) trust funds.  These estimates cover the paym ent of travel expenses, subsistence allowances 
and other incidental expenses.  Proposed incre ases for both years under consideration relate to 
inflation as it is anticipated that airlin es will pass on the increased energy costs. 
(a) Official Missions  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,181,100 54,900    54,900 1,236,000 
2006 1,236,000 60,000    60,000 1,296,000 
 
Year Budget Expenditure Balance  
2005 1,181,100 1,181,030          70 * 
2004 1,181,100 1,041,701 139,399  
 
(b) Technical Co-operation  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,383,200 59,800    59,800 1,443,000 
2006 1,443,000 60,000    60,000 1,503,000 
 
Year Budget Expenditure Balance  
2005 1,383,200 1,286,500   96,700 * 
2004 1,383,200 1,180,696 202,504  
 WT/BFA/SPEC/134 
Page 48  
 
Section 10 - Trade Poli cy Training Courses
 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 3,671,000      3,671,000 
2006 3,671,000      3,671,000 
 
Year Budget Expenditure Balance  
2005 3,671,000 3,225,810 445,190 * 
2004 3,881,000 3,025,548 855,452  
 
90. This estimate provides for four Regular Trade Policy Training Courses in 2006 and in 2007 in 
Geneva.11  The courses are open to officials from all deve loping countries, which have, or may have in 
the future, responsibilities in the formulation and conduct of foreign trade policy.  The number of 
participants in each training course is set at twenty -seven.  In addition, two special courses and two 
introductory courses for LDCs, and three courses for Dispute Settlement, are foreseen.  A Geneva Week is also planned for 2006 and 2007 .  All allocations remain unchanged. 
CHF CHF 
2006 2007  
Cost per 
course Total Cost per 
course Total 
Four Regular Trade Policy Training Courses    
  Lodging 230,000 920,000 230,000 920,000
  Subsistence 230,000 920,000 230,000 920,000
  Travel (to and from Geneva) 65,000 260,000 65,000 260,000
  Miscellaneous 10,000 40,000 10,000 40,000
Two special courses 180,000 360,000 180,000 360,000
Two LDC introduction courses 240,700 481,400 240,700 481,400
Three courses for Dispute Settlement 60,000 180,000 60,000 180,000
Geneva Week  509,600  509,600
TOTAL  3,671,000  3,671,000
 
 
Section 11 – Various  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 4,619,900    1,709, 100 1,709,100 6,329,000 
2006 6,329,000    (443,000) (443,000) 5,886,000 
 
Year Budget Expenditure Balance  
2005 4,619,900 4,740,840 (120,940) * 
2004 3,350,900 3,476,277 (125,377)  
 
 
                                                      
11 In addition, special courses are organised at th e request of sponsoring governments under Trust Funds. 
 WT/BFA/SPEC/134 
Page 49 
 
 
(a) Representation and Hospitality  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 283,000      283,000 
2006 283,000      283,000 
 
Year Budget Expenditure Balance  
2005 283,000 259,090 23,910 * 
2004 283,000 263,400 19,600  
 
91. The allocation provides for representation allo wances for the Director-General, and the 
Deputy Directors-General.  Hospitality expenditure , mainly for working lunches and dinners, is 
authorized in advance in each case by, or on behalf  of, the Director-General and reimbursement is 
made in accordance with WTO rules and procedures.  It is proposed to main tain the 2006 and 2007 
provisions at the 2005 level. 
(b) Dispute Settlement Panels  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,217,000    250,000 250,000 1,467,000 
2006 1,467,000      1,467,000 
 
Year Budget Expenditure Balance  
2005 1,217,000 1,400,690 (183,690) * 
2004 1,217,000 1,275,147 (58,147)  
 
92. The credit covers the travel fees, per diem a llowances and honoraria of panellists serving on 
Dispute Settlement Panels.  Based on the present level of activities, it is proposed to increase  
the 2006 allocation by CHF 250,000 to reflect current  levels of anticipated expenditure.  The 2007 
allocation is maintained at the same level as 2006. 
(c) Permanent Group of Expe rts/Arbitration under GATS  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 0    50,000 50,000 50,000 
2006 50,000      50,000 
 
Year Budget Expenditure Balance  
2005 0 82,950 (82,950) * 
2004 0 29,027 (29,027)  
 
93. In recent years, there has been an increased recourse to arbitration under Article 21.3(c) of the 
Dispute Settlement Mechanism.  It is proposed to provide a provision of CHF 50,000 for 2006 and to 
maintain it in 2007, so that expe nditure can be properly charged. WT/BFA/SPEC/134 
Page 50  
 
(d) Appellate Body
 
 
94. The permanent costs of the Appellate Body and its Secretariat can be found in paragraphs 110 
to 131. 
(e) Library  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 578,900    20,100 20,100 599,000 
2006 599,000    20,000 20,000 619,000 
 
Year Budget Expenditure Balance  
2005 578,900 573,030 5,870 * 
2004 578,900 575,390 3,510  
 
95. The estimate provides for the purchase of books, subscriptions to periodicals, newspapers, 
documentation on diskettes and CD-ROMS as well as fo r the binding costs of reference publications.  
The increase in the 2006 provision  of CHF 20,100 compared with 2005 is primarily due to the 
increasing need for and cost of subscriptions to pe riodicals and purchase of books, particularly those 
needed for working pur poses in divisions. 
96. It is proposed to increase the provision for 2007 by a further CHF 20,000.  
(f) Publications  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 425,000    95,000 95,000 520,000 
2006 520,000      520,000 
 
Year Budget Expenditure Balance  
2005 425,000 381,100 43,900 * 
2004 275,000 424,659 (149,659)  
 
97. The estimate provides for the production costs of  publications.  Since 1999, the costs charged 
to this line of the budget primarily concern publicati ons provided free-of-charge to delegations.  These 
costs include printing, artwork and the supply of pape r.  Printing firms offering the lowest, technically 
acceptable production quotes are selected.  In light of  a continuing and growing deficit under the sale 
of publications under Miscellaneous Income, whic h resulted from a widening free distribution of 
priced publications by WTO divisions in the course of their official activities, the cost of such 
publications is included in a budget provision for act ivities financed from the regular budget.  The net 
increase of CHF 95,000 is comprised of an increase of  CHF 50,000 with printi ng costs of publications 
distributed free-of-charge, and CHF 70,000 with r espect to the purchase of publications otherwise 
sold distributed free-of-charge to delegations offset  by, a reduction of CHF 25,000 as the cost of the 
purchase of paper has been rationalised under reproduction supplies.  
98. The provision for 2007 remains at the same level as that for 2006. WT/BFA/SPEC/134 
Page 51 
 
 
(g) Public Information Activities  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 210,000    130,000 130,000 340,000 
2006 340,000      340,000 
 
Year Budget Expenditure Balance  
2005 210,000 166,020 43,980 * 
2004 210,000 160,213 49,787  
 
99. The estimate covers the cost of all WTO pr omotional activities including the production of a 
video presentation on the WTO Doha Development Agenda Round and the costs related to making 
copies of existing videos.  It also covers photo costs related to public information activities, 
information and subscription costs for news services , the printing costs of information press material, 
participation at international book fairs and other miscellaneous costs.  The increase in 2006 relates to 
the provision of a TV Studio facility in order to enha nce distance learning in the context of technical 
assistance activities, to provide the possibility of producing staff trai ning materials and to facilitate 
communications with major media centres. 
(h) External Auditors  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 40,000      40,000 
2006 40,000      40,000 
 
Year Budget Expenditure Balance  
2005 40,000 37,560 2,440 * 
2004 40,000 26,705 13,295  
 
100. The estimate provides for the travel costs and subs istence allowances in respect of the team of 
auditors.  The estimate for 2006 and 2007is mainta ined at the same level of funding as for 2005. 
(i) Ministerial Conference  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 600,000      600,000 
2006 600,000      600,000 
 
Year Budget Expenditure Balance  
2005 600,000 600,000 0 * 
2004 600,000 600,000 0  
 WT/BFA/SPEC/134 
Page 52  
 
101. It will be recalled that funds for previous WTO Ministerial Conferences have been provided 
through both the regular budget as well as from extra- budgetary sources.  In 1997, the report of the 
Committee on Budget, Finance and Administration (WT/BFA/32, paragraph 9) indicated that "the Committee might consider [the] financing [ inter alia  of the conferences] through the regular 
budget …  However, the financing should be done in a way that would avoid important budgetary 
fluctuations."  It will be recalled that, in the 2005 approved budget, this  provision was increased by 
CHF 200,000.  This provision is maintained at the same level for 2006 and 2007. 
(j) International Organization for Standardization (ISO
) 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 57,000      57,000 
2006 57,000      57,000 
 
Year Budget Expenditure Balance  
2005 57,000 56,960 40 * 
2004 57,000 56,989 11  
 
102. It will be recalled that the Ministerial Deci sion adopted by the Trade Negotiations Committee 
on 15 December 1993 stipulated that the WTO shoul d reach an understanding with ISO to establish 
an information system with regard to notificati on by standardizing bodies accepting the Code of Good 
Practice.  The provision of CHF 57,000 re presents the support costs of publishing the 
ISO/WTO Directory of Standardizing Bodies Accepting the WTO Code of Good Practice,  information 
on standardizing bodies accepting the WTO Code in the ISO Bulletin,  and other administrative costs. 
(k) Other  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 90,000    (13,000) (13,000) 77,000 
2006 77,000    3,000 3,000 80,000 
 
Year Budget Expenditure Balance  
2005 90,000 64,440 25,560 * 
2004 90,000 64,746 25,254  
 
103. Under this provision, an amount of CHF 40,000 is proposed to cover bank charges and other 
incidental charges and CHF 25,000 to cover rela ted fees for the Global Trade Analysis Project 
consortium.  In addition, it is proposed to continue a provision of CHF 10,000 for the purpose of sponsoring individually, or jointly with other institutions in Geneva, one or two day visits to the WTO 
for outside specialists who are either resident in Western Europe or passing through on other business.  
The decrease of CHF 13,000 in 2006, is to reflect  economies generated through the extensive use of 
electronic banking facilities.  However, this amount is increased by CHF 3,000 in 2007 in line with 
increases in overall expenditure. WT/BFA/SPEC/134 
Page 53 
 
 
(m) Security Enhancement Programme  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,119,000    (323,000) (323,000) 796,000 
2006 796,000    (466,000) (466,000) 330,000 
 
Year Budget Expenditure Balance  
2005 1,119,000 1,119,000 0 * 
2004 0 0 0  
 
104. In accordance with the estimates provide d under document CRP(04)22, WT/BFA/75 on 
security enhancement project, there is a reduction of CHF 323,000 to the 2005 budget allocation.  As 
the project approaches a level of full implementati on, a further decrease of CHF 466,000 is made in 
2007, thus reducing the overall provision to CH F 330,000, corresponding to the reimbursement 
instalments for the lease on capital equipment.  
(n) Separation Fund
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 0    1,500,000 1,500,000 1,500,000 
2006 1,500,000      1,500,000 
 
Year Budget Expenditure Balance  
2005 0 0 0 * 
2004 0 0 0  
 
105. The severance fund, proposed by the Human Resources Division, will give the WTO the 
opportunity to offer severance packages to staff who are no longer required or who cannot be re-
deployed.  The fund is established at CHF 1,500,0 00 in 2006 and  maintained in 2007.  Details are 
presented in a separate document (WT/BFA/W/137).  
Section 12 - Unforeseen Expenditure
 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 100,000      100,000 
2006 100,000      100,000 
 
Year Budget Expenditure Balance  
2005 100,000 0 100,000 * 
2004 100,000 0 100,000  
 
106. It is proposed to continue the provision for unforeseen expenditure at the level of the 2005 
Budget for 2006 and 2007. WT/BFA/SPEC/134 
Page 54  
 
Section 13 - Contribution to the ITC
 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 16,280,250    1,061,250 1,061,250 17,341,500 
2006 17,341,500    73,200 73,200 17,414,700 
 
Year Budget Expenditure Balance  
2005 16,280,250 16,280,250 0 * 
2004 15,889,400 15,889,400 0  
 
107. The provision made under this section covers the contribution to the International Trade 
Centre UNCTAD/WTO which was established in accordance with a decision taken by the 
CONTRACTING PARTIES on 22 November 1967 (SR. 24/14) and Resolution 2297 (XXII) adopted 
by the United Nations General Assembly on 12 D ecember 1967, effective 1 January 1968, to the 
effect that the ITC would be operated jointly by UNCTAD and GATT on a continuing basis and in equal partnership.  The WTO has since assume d the responsibilities of GATT in this respect 
(WT/GC/M/3, item 6). 
108. New administrative arrangements, based on a decision of the WTO General Council in 1995 
(WT/GC/M/3), have now been implemented.  The ITC budget is subject to the same preparation and 
reporting procedures as the WTO budget itself. 
109. It will be recalled that the Committee on Budge t, Finance and Administration examined the 
Preliminary Estimates for the biennium 2006-2007  (ITC/BUD/50 and A/60/6) at it's meeting on 
29 June 2005, document (WT/BFA/79).  The Committ ee took note of the budget outline at that time.  
Details of the ITC budget proposal for 2006 and 2007 contained in document ITC/BUD/52 and 
A/60/6) sect.13)/Add.1) will be examined separately by the Committee. WT/BFA/SPEC/134 
Page 55 
 
 
DETAILED BUDGET ESTIMATES 
 
Appellate Body and its Secretariat  
 
Permanent Costs12 
 
 Part A - Staff
 
 
Section 1 - Work/Years  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 2,569,400  148,600   148,600 2,718,000 
2006 2,718,000  97,600   97,600 2,815,600 
 
Year Budget Expenditure Balance  
2005 2,569,400 2,180,120 389,280 * 
2004 2,325,500 1,997,535 327,965  
 
110. The standard costs for staff consist of thr ee elements:  salary, contributions to the 
WTO Pension Plan and other common staff costs.  Th e standard costs used are the same as for the 
WTO Secretariat (see paragraphs 51 and 53).  The fact ors influencing the various elements of salary, 
Pension Plan contributions and common staff costs are the same as described for the WTO 
Secretariat. 
(a) Salary  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,855,500  102,000   102,000 1,957,500 
2006 1,957,500  81,000   81,000 2,038,500 
 
Year Budget Expenditure Balance  
2005 1,855,500 1,785,350 70,150 * 
2004 1,684,900 1,552,963 131,937  
 
111. The amount foreseen for 2006 shows an increase of CHF 102,000 compared to 2005.  This 
increase is mainly due to the same factors as for the WTO Secretariat and to be considered as   
statutory.  The post consolidated in 2005 for th e Appellate Body Secretariat was funded for a full 
year. 
112. The provision for 2007 shows an increase of CH F 81,000 over the provision for 2006 and is 
again statutory in nature.  
113. There are no new posts or any consolidati ons proposed under the Appellate Body. 
                                                      
12 The presentation of the budget proposals for the Permanent Costs of the Appellate Body and its 
Secretariat follows the same outline in terms of Parts a nd Sections as for the WTO Secretariat.  In certain 
instances, however, there is no identified cost.  Therefor e, mention is made of only those sections under which 
costs have been identified. WT/BFA/SPEC/134 
Page 56  
 
(b) Contribution to the WTO Pension Plan
 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 368,200  23,300   23,300 391,500 
2006 391,500  16,500   16,500 408,000 
 
Year Budget Expenditure Balance  
2005 368,200 330,300 37,900 * 
2004 350,100 287,500 62,600  
 114. The amount foreseen for 2006 shows an increase of CHF 23,300 over that for 2005, which is 
mainly due to statutory factors.  For 2007, an add itional increased of CHF 16,500 is requested in view 
of the expected level of salaries. 
(c) Common Staff Costs
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 345,700  23,300   23,300 369,000 
2006 369,000      100       100 369,100 
 
Year Budget Expenditure Balance  
2005 345,700 312,310 33,390 * 
2004 290,500 157,072 133,428  
 
115. The above estimates represent the costs for the 15  regular positions currently in the Appellate 
Body Secretariat.  In comparison with 2005, the overall cost shows a net increase of CHF 23,300.  
The elements are the same as for the WTO Secretariat (see paragraph 57 above). 
Section 2 - Temporary Assistance  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 36,000   29,600  29,600 65,600 
2006 65,600      65,600 
 
Year Budget Expenditure Balance  
2005 36,000 77,240 (41,240) * 
2004 36,000 65,476 (29,476)  
 
116. It is proposed to increase the allocation for temporary assistance by CHF 29,600, including 
CHF 21,000 for support staff overtime and CHF 8,600 for internships where, valuable assistance is 
provided during periods of increased workload, whilst  at the same time providing interns with useful 
professional experience. WT/BFA/SPEC/134 
Page 57 
 
 
Part B - Administrative Costs  
Section 3 – Telecommunications  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 6,500      6,500 
2006 6,500      6,500 
 
Year Budget Expenditure Balance  
2005 6,500 6,340 160 * 
2004 6,500 5,998 502  
 
117. The provisions for telecommunications costs in 2006 and 2007 remain at the same level as 
in 2005. 
Section 4 – Building Facilities  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 18,000      18,000 
2006 18,000      18,000 
 
Year Budget Expenditure Balance  
2005 18,000 13,000 5,000 * 
2004 18,000 18,351 (351)  
 
118. The provisions for utility costs in 2006 and 2007 remain at the same level as in 2005. 
(b) Utilities  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 13,000      13,000 
2006 13,000      13,000 
 
Year Budget Expenditure Balance  
2005 13,000 13,000 0 * 
2004 13,000 13,000 0  
 
119. The provisions for utility costs  for 2006 and 20 07 remain at the same level as in 2005. WT/BFA/SPEC/134 
Page 58  
 
(c) Maintenance and Insurance
 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 5,000      5,000 
2006 5,000      5,000 
 
Year Budget Expenditure Balance  
2005 5,000 0 5,000 * 
2004 5,000 5,351 (351)  
 
120. The provisions for maintenance and Insurance costs in 2006 and 2007 remain at the same 
level as in 2005. 
Section 5  - Permanent Equipment  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 23,000    13,000 13,000 36,000 
2006 36,000    3,000 3,000 39,000 
 
Year Budget Expenditure Balance  
2005 23,000 26,690 (3,690) * 
2004 23,000 9,423 13,577  
 
121. The provision covers the supply of office furn iture and equipment as well as for computing 
equipment.  Compared to the 2005 budget, an incr ease of CHF 13,000 is proposed for 2006.  The 
provision is further increased in 2007 by CHF 3,0 00, primarily for the replacement of computer 
equipment. 
Section 6 - Expendable Equipment  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 20,000      20,000 
2006 20,000      20,000 
 
Year Budget Expenditure Balance  
2005 20,000 15,000 5,000 * 
2004 20,000 10,294 9,706  
 
122. The provision mainly covers office and reproduction supplies.  It is proposed to maintain the 
2005 allocation of CHF 20,000 for both 2006 and 2007. WT/BFA/SPEC/134 
Page 59 
 
 
Section 7 - Contractual Services  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 15,000      15,000 
2006 15,000      15,000 
 
Year Budget Expenditure Balance  
2005 15,000 15,000 0 * 
2004 15,000 15,723 (723)  
 
(a) Reproduction  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 15,000      15,000 
2006 15,000      15,000 
 
Year Budget Expenditure Balance  
2005 15,000 15,000 0 * 
2004 15,000 15,688 (688)  
 
123. It is proposed to keep the provision at the 2005 level for 2006 and 2007. 
(b) Office Automation/Informatics  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 0      0 
2006 0      0 
 
Year Budget Expenditure Balance  
2005 0 0 0 * 
2004 0 35 (35)  
 
(c) Others  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 0      0 
2006 0      0 
 
Year Budget Expenditure Balance  
2005 0 0 0 * 
2004 0 0 0  
 WT/BFA/SPEC/134 
Page 60  
 
Part C - Other Costs
 
 
Section 8 - Staff Overhead Costs  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 36,000  3,000    39,000 
2006 39,000      39,000 
 
Year Budget Expenditure Balance  
2005 36,000 37,150 (1,150) * 
2004 36,000 30,908 5,092  
 
(a) Training  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 25,000      25,000 
2006 25,000      25,000 
 
Year Budget Expenditure Balance  
2005 25,000 16,930 8,070 * 
2004 25,000 19,348 5,652  
 
124. The provision for 2006 and 2007 is maintained at the 2005 level of CHF 25,000, which 
includes the costs of management training for the staff. 
(b) Insurance  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 9,000  3,000   3,000 12,000 
2006 12,000      12,000 
 
Year Budget Expenditure Balance  
2005 9,000 9,000 0 * 
2004 9,000 10,235 (1,235)  
 
125. This provision covers the costs of insu rance provided under Staff Rule 110.5 for 
compensation for service-incurred illness, injury or death of Secretariat Staff.  It is proposed that the 
provision for 2006 be increased by CHF 3,000, which is mainly due to statutory factors.  The provision for 2007 remains at the same level as in 2006. WT/BFA/SPEC/134 
Page 61 
 
 
(d) Miscellaneous  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 2,000      2,000 
2006 2,000      2,000 
 
Year Budget Expenditure Balance  
2005 2,000 11,220 (9,220) * 
2004 2,000 1,325 675  
 
126. It is proposed that the provisions for 2006 and 2007 remains at the same level as in 2005. 
Section 9 – Missions  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 10,000      10,000 
2006 10,000      10,000 
 
Year Budget Expenditure Balance  
2005 10,000 10,500 (500) * 
2004 10,000 12,677 (2,677)  
 
127. The proposed provision covers the costs of miss ions for the staff of the Appellate Body and 
its Secretariat in 2006 and 2007 and is maintained at the 2005 level. 
Section 11 – Various  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,838,500    (39,400) (39,400) 1,799,100 
2006 1,799,100    300,000 300,000 2,099,100 
 
Year Budget Expenditure Balance  
2005 1,838,500 1,841,830 (3,330) * 
2004 2,225,800 2,222,540 3,260  
 
(a) Hospitality and Representation  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,000      1,000 
2006 1,000      1,000 
 
Year Budget Expenditure Balance  
2005 1,000 980 20 * 
2004 1,000 256 744  
 WT/BFA/SPEC/134 
Page 62  
 
128. The proposed provisions for 2006 and 2007, are maintained at the 2005 level.  They are 
intended to cover hospitality wh ich is managed in accordance with WTO rules and procedures. 
(d) Appellate Body Members 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 688,100      688,100 
2006 688,100      688,100 
 
Year Budget Expenditure Balance  
2005 688,100 687,920 180 * 
2004 620,000 619,298 702  
 129. The general conditions of service for Appellate Body Members are set out in the decision of 
the Dispute Settlement Body on the Establishment of  the Appellate Body (WT/DSB/1) as well as in 
the Appellate Body Members' contracts.  Th e Committee on Budget, Finance and Administration 
reviewed and revised these conditions in 2004 (Doc ument WT/BFA/75), para. 7.  The 2005 amount of 
CHF 688,100 is maintained for both 2006 and 2007. 
(e) Library
 
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 8,000    2,000 2,000 10,000 
2006 10,000      10,000 
 
Year Budget Expenditure Balance  
2005 8,000 11,530 3,530 * 
2004 8,000 6,186 1,814  
 
130. The proposed provision covers minor miscel laneous and library expenditure under the 
Appellate Body and its Secretariat.  It is proposed that the credit be increased by CHF 2,000 in 2006.  
The credit proposed for 2007 remain s at the same level as in 2006. 
(l) Appellate Body Operating Fund  
 
Year  Budget Inflation Statutory Staff 
Resources Other Total Increase/ 
decrease Proposed budget 
2006-2007 
2005 1,141,400    (41,400) (41,400) 1,100,000 
2006 1,100,000    300,000 300,000 1,400,000 
 
Year Budget Expenditure Balance  
2005 1,141,400 1,141,400 0 * 
2004 1,596,800 1,596,800 0  
 
131. In view of the fact that a surplus of CHF 300,000 is anticipated in 2005 for the Operating 
Fund, the proposed provision for 2006 is reduced by CHF 41,400.  With average annual expenditure relating to variable costs being in the region of CHF 1.4 million, the provision in 2007 is increased by 
CHF 300,000, re-establishing the provision at the level of anticipated average expenditure.  WT/BFA/SPEC/134 
Page 63 
 
 
PART III  
 
CONSOLIDATED PERFORMANCE AGAINST BUDGET 31 AUGUST 2005 
 Part Section Item 2005 
 Budget Estimated 
Expenditure 
to 
31 December Projected  
balance Projected 
expenditure to 
appropriation 
(%) 
A Sect  1 Work Years     
   (a) Salary 76,605,000 73,724,360 2,880,640  96.24
   (b) Pension 15,264,400 14,542,060 722,340  95.27
   (c) Common Staff Costs 15,418,700 15,477,710 (59,010)  100.38
  Sect  2 Temporary Assistance 14,222,750 17,840,340 (3,617,590)  125.44
B Sect  3 Communications     
   (a) Telecommunications 764,500 733,750 30,750  95.98
   (b) Postal Charges 1,305,000 1,226,750 78,250  94.00
  Sect  4 Building Facilities     
   (a) Rental 362,400 322,360 40,040  88.95
   (b) Utilities 1,632,500 1,623,210 9,290  99.43
   (c) Maintenance and Insurance 1,171,000 1,174,080 (3,080)  100.26
  Sect  5 Permanent Equipment 2,691,100 2,572,630 118,470  95.60
  Sect  6 Expendable     
   (a) Expendable Supplies 1,379,000 1,123,520 255,480  81.47
  Sect  7 Contractual Services     
   (a) Reproduction 1,395,000 1,395,540 (540)  100.04
   (b) Office Automation 2,227,200 2,297,500 (70,300)  103.16
   (c) Other 332,000 258,890 73,110  77.98
   (d) Security Outsourcing 2,125,100 1,200,000 925,100  56.47
C Sect  8 Staff Overheads     
   (a) Training 515,000 502,970 12,030  97.66
   (b) Insurance 1,982,700 2,044,920 (62,220)  103.14
   (c) Joint Services 177,600 425,490 (247,890)  239.58
   (d) Miscellaneous 48,500 31,710 16,790  65.38
  Sect  9 Missions     
   (a) Missions Official 1,191,100 1,191,540 (440)  100.04
   (b) Missions Technical 1,383,200 1,286,500 96,700  93.01
  Sect 10 Trade Policy Courses 3,671,000 3,225,810 445,190  87.87
  Sect 11 Various     
   (a) Representation and Hospitality 284,000 260,070 23,930  91.57
   (b) Dispute Settlement Panels 1,217,000 1,400,690 (183,690)  115.09
   (c) Experts 0 82,950 (82,950)  -
   (d) Appellate Body Members 688,100 687,920 180  99.97
   (e) Library 586,900 580,950 5,950  98.99
   (f) Publications 425,000 384,710 40,290  90.52
   (g) Public Information Activities 210,000 166,020 43,980  79.06
   (h) External Auditors 40,000 37,560 2,440  93.90
   (i) Ministerial Operating Fund 600,000 600,000 0  100.00
   (j) ISO 57,000 56,960 40  99.93
   (k) Other 90,000 64,440 25,560  71.60
   (l) Appellate Body Operating Fund 1,141,400 1,141,400 -  100.00
   (m) Security Enhancement 
Programme 1,119,000 1,119,000 -  100.00
  Sect 12 Unforeseen 100,000 - 100,000  0.00
D Sect 13 ITC 16,280,250 16,280,250 0  100.00
Grand Total  168,703,400 167,084,590 1,618,810  99.04
 
 WT/BFA/SPEC/134 
Page 64  
 
WTO  PERFORMANCE AGAINST BUDGET 31 AUGUST 2005 
 Part Section Item 2005 
 Budget Estimated 
Expenditure to
31 December Projected  
balance Projected 
expenditure to 
appropriation 
(%) 
A Sect  1 Work Years     
   (a) Salary 74,749,500 71,939,000 2,810,500  96.24
   (b) Pension 14,896,200 14,211,750 684,450  95.41
   (c) Common Staff Costs 15,073,000 15,165,410 (92,410)  100.61
  Sect  2 Temporary Assistance 14,186,750 17,763,100 (3,576,350)  125.21
B Sect  3 Communications     
   (a) Telecommunications 758,000 727,420 30,580  95.97
   (b) Postal Charges 1,305,000 1,226,750 78,250  94.00
  Sect  4 Building Facilities     
   (a) Rental 362,400 322,360 40,040  88.95
   (b) Utilities 1,619,500 1,610,210 9,290  99.43
   (c) Maintenance and Insurance 1,166,000 1,174,080 (8,080)  100.69
  Sect  5 Permanent Equipment 2,668,100 2,545,940 122,160  95.42
  Sect  6 Expendable     
   (a) Expendable Supplies 1,359,000 1,108,520 250,480  81.57
  Sect  7 Contractual Services     
   (a) Reproduction 1,380,000 1,380,540 (540)  100.04
   (b) Office Automation 2,227,200 2,297,500 (70,300)  103.16
   (c) Other 332,000 258,890 73,110  77.98
   (d) Security Outsourcing 2,125,100 1,200,000 925,100  56.47
C Sect  8 Staff Overheads     
   (a) Training 490,000 486,040 3,960  99.19
   (b) Insurance 1,973,700 2,035,920 (62,220)  103.15
   (c) Joint Services 177,600 425,490 (247,890)  239.58
   (d) Miscellaneous 46,500 20,490 26,010  44.06
  Sect  9 Missions     
   (a) Missions Official 1,181,100 1,181,030 70  99.99
   (b) Missions Technical 1,383,200 1,286,500 96,700  93.01
  Sect 10 Trade Policy Courses  3,671,000 3,225,810 445,190  87.87
  Sect 11 Various     
   (a) Representation and Hospitality 283,000 259,090 23,910  91.55
   (b) Dispute Settlement Panels 1,217,000 1,400,690 (183,690)  115.09
   (c) Experts 0 82,950 (82,950)  0.00
   (e) Library 578,900 573,030 5,870  98.99
   (f) Publications 425,000 381,100 43,900  89.67
   (g) Public Information Activities 210,000 166,020 43,980  79.06
   (h) External Auditors 40,000 37,560 2,440  93.90
   (i) Ministerial Operating Fund 600,000 600,000 0  100.00
   (j) ISO 57,000 56,960 40  99.93
   (k) Other 90,000 64,440 25,560  71.60
   (m) Security Enhancement 
Programme 1,119,000 1,119,000 0  100.00
  Sect 12 Unforeseen 100,000 0 100,000  0.00
D Sect 13 ITC  16,280,250 16,280,250 0  100.00
Grand Total  164,131,000 162,613,870 1,517,130  99.08WT/BFA/SPEC/134 
Page 65 
 
 
 
 
APPELLATE BODY  PERFORMANCE AGAINST BUDGET 31 AUGUST 2005 
 
Part Section Item 2005 
 Budget Estimated 
Expenditure to
31 December Projected  
balance Projected 
expenditure to 
appropriation 
(%) 
 A Sect  1 Work Years     
   (a) Salary 1,855,500 1,785,350 70,150  96.22
   (b) Pension 368,200 330,300 37,900  89.71
   (c) Common Staff Costs 345,700 312,310 33,390  90.34
  Sect  2 Temporary Assistance 36,000 77,240 (41,240)  214.56
 B Sect  3 Communications     
   (a) Telecommunications 6,500 6,340 160  97.54
   (b) Postal Charges - - -  -
  Sect  4 Building Facilities     
   (b) Utilities 13,000 13,000 -  100.00
   (c) Maintenance and Insurance 5,000 0 5,000  0.00
  Sect  5 Permanent Equipment 23,000 26,690 (3,690)  116.04
  Sect  6 Expendable     
   (a) Expendable Supplies 20,000 15,000 5,000  75.00
  Sect  7 Contractual Services     
   (a) Reproduction 15,000 15,000 -  100.00
 C Sect  8 Staff Overheads     
   (a) Training 25,000 16,930 8,070  67.72
   (b) Insurance 9,000 9,000 0  100.00
   (d) Miscellaneous 2,000 11,220 (9,220)  561.00
  Sect  9 Missions     
   (a) Missions Official 10,000 10,500 (500)  105.00
  Sect 11 Various     
   (a) Representation and Hospitality 1,000 980 20  98.00
   (d) Appellate Body Members 688,100 687,920 180  99.97
   (e) Library 8,000 7,920 80  99.00
   (f) Publications - 3,610 (3,610)  0.00
   (l) Appellate Body Operating Fund 1,141,400 1,141,400 -  100.00
Grand Total  4,572,400 4,470,720 101,680  97.78
 
 2005 Performance against Budget Review 
 
 132. On recommendation of the Committee on Budge t, Finance and Administration (CBFA) 
(Document WT/BFA/70, 75 & 76), Members of the WTO approved the first WTO biennial budget 
and appropriated CHF 161,776,500 and CHF 168,7 03,400 for the years 2004 and 2005 respectively, 
(Document WT/GC/M/84 and WT/GC/M/90). 
133. For 2005, the appropriation is comprised of CHF 164,131,000 for the WTO Secretariat and 
CHF 4,572,400 for the regular expenditure of the Appellate Body and its Secretariat.  
134. The 2005 budget contained provision for:  i) the fu ll funding of eighteen posts consolidated in 
2004 and ii) provision for the consolidation of four  six-month funded posts.  Seven security posts 
were not funded in anticipation of the outsourcing of this service.  In addition, Members approved an initial appropriation of CHF 709,500 for the personnel-related implica tions of adopting the Security 
Enhancement Plan and CHF 1,119,000 to fund the initial instalment for equipment and 
non-equipment elements of the five year plan.  WT/BFA/SPEC/134 
Page 66  
 
135. Finally, the Committee on Budget, Finance a nd Administration, in June 2005, approved the 
conversion of 3 director posts (post numbers 17, 111,  168)  into five and a half positions  (document 
WT/BFA/79).  
136. Estimated expenditure for the WTO and the Appe llate Body Secretariats for 2005 is foreseen 
at CHF 167,084,590 equating to an aggregate budgeta ry surplus of CHF 1,618,810 . This anticipated 
budgetary surplus is comprised of budgetary surp luses of CHF 1,517,130  and CHF 101,680 for the 
Secretariats of the WTO and Appellate Body resp ectively.  The three tables, reflecting the 2005 
anticipated budgetary position as foreseen on 31 August 2005, are:  
• The anticipated expenditure for 2005, is su mmarised in the three tables on pages 63 to 
65.  Consolidated Performance against Budget Report – combining the anticipated budget positions of the Secretariats of   WTO and the Appellate Body,  
• WTO Performance against Budget Report, and 
• Appellate Body Performance against Budget Report. 
137. The detailed explanations that follow are based on the consolidated position for 2005. 
Part A  Staff Costs
 
 138. Part A of the budget covers all expenditure with  respect to the salaries, pensions and common 
staff costs for those staff in regular positions (Section 1) and those hired under temporary assistance 
(Section 2). The aggregate budget position for Part A anticipates that expenditure will exceed the 
budgetary allocations by CHF 73,620. 
139. The major contributing factor to this situation is that, in view of the time lag in implementing 
the Security Enhancement Programme, which had in itially been foreseen for 2004, it was necessary to 
expend a greater percentage of the personnel-related costs in 2005, rather than spreading such costs 
out longer. 
Part B Administrative Costs
 
140. Administrative costs include the maintenance and insurance of the building and associated 
facilities, permanent and expendable equipment,  communication costs, costs related to the 
reproduction of documents and those for informati cs/office automation. Anticipated consolidated 
budgetary savings are foreseen for the sections under Part B amounting to a total  of CHF 1,456,560. 
This saving is primarily due to  Section 7- C ontractual Services with respect to the Security 
Outsourcing Contract which came in-force on 1 August 2005  CHF 925,100; Section 3 – 
Communications CHF 108,990, where competitive prices have been obtained with  regard to postage.  
Section 5- Permanent Equipment – CHF 118,470, wh ere the approved budget allocations for the sub-
item for informatics did not correspond exactly to the cost composition of the planned projects 
retained by the EDP Steering Committee necessitati ng re-deployment of resources.  In addition, 
savings were effected under communications equi pment where planned updates were cancelled in 
anticipation of a new switchboard proposed in the budget proposals for 2006-2007. WT/BFA/SPEC/134 
Page 67 
 
 
Part C  Other Costs  
 141. Other Costs cover staff overhead costs (trainin g, insurance and costs related to shared 
common services), missions, hospitality, Dispute Se ttlement Panels, Trade Policy Training Courses, 
public information activities, external auditors, c ontribution to the International Trade Centre, and 
unforeseen expenditure.  A net consolidated budgetary  saving of CHF 235,870 is anticipated for 2005 
under Part C of the budget.  Budgetary savings are anticipated under:  i) Section 9 – Missions 
CHF 96,260; ii) Section 10- Trade Policy Courses CH F 445,190 reflecting variations in number of 
participants and more competitively priced acco mmodation being found and Section 12-  Unforeseen 
CHF 100,000, no call being made for this allocation.  However, a budgetary deficit is anticipated is 
anticipated under: Section 8-Staff Overheads CHF 281, 300:  which is primarily due to the unforeseen 
expenditure with respect to the United Nations Join t Staff Medical Service, as the contracts of the 
nurse and a half-time medical secretary have not yet been transferred to the WTO and, Section 11 – Various CHF 124,270, which is primar ily due to the costs associated with Dispute Settlement Panels. 
142. Finally, with respect to the Ministerial Operating Fund and that of the Appellate Body 
Operating Fund the entire budget allocations have  been deployed to replenish these funds.  
143. In overall terms, the rate of implementation of the WTO budget in 2005 is anticipated to reach 
99.04 per cent. 
 
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