WORLD TRADE  
ORGANIZATION  WT/CTE/16 
30 October 2009 
 (09-5450) 
  
  
 
REPORT (2009) OF THE COMMIT TEE ON TRADE AND ENVIRONMENT 
 
 
I. INTRODUCTION 
1. This Report conveys information on the activitie s carried out by the regular session of the 
Committee on Trade and Environment (CTE) in 20 09 and recent developments of the Committee's 
work.  In 2009, the CTE held a meeting on 10 Ju ly under the chairmanship of Ambassador Bozkurt 
ARAN (Turkey), and a second meeting is scheduled to be held on 19-20 November.
1  
2. The CTE's work was organized in accordance with  the mandate contained in Paragraphs 32, 
33 and 51 of the Doha Ministerial Declaration (DMD).2  Under DMD Paragraph 32, particular 
attention was given to environmental requirements and market access issues (Paragraph 32(i)), the 
relevant provisions of the TRIPS Agreement (P aragraph  32(ii)), and labelling requirements for 
environmental purposes (Paragraph  32(iii)).  Pursuant to DMD Paragraph 33, Members discussed technical assistance, capacity building and envi ronmental reviews.  Under DMD Paragraph 51, 
Members undertook to identify and debate the deve lopmental and environm ental aspects of the 
negotiations, in order to help achieve the objectiv e of having sustainable development appropriately 
reflected.   
II. PARAGRAPH 32 
A. P
ARAGRAPH 32(i)   (ENVIRONMENTAL REQUIREMENTS AND MARKET ACCESS ) 
3. The CTE's discussion focused on two aspects of paragraph 32(i):  
(a) The effect of environmental measures on market access, especially in relation to 
developing countries, in particular the l east-developed among them (referred to as the 
"market access aspect");  and 
(b) those situations in which the elimination or reduction of trade restrictions and 
distortions would benefit trade, the envi ronment and development (referred to as the 
"sector analysis").   
Market Access 
 
4. At the 10 July 2009 meeting, private voluntary standards provided the main focus of the 
discussion.  A large number of Members drew atten tion to the difficulty in keeping up with the rapid 
proliferation of private certification and labelling schem es;  the implications of this for market access, 
in particular for SMEs in developing countries;  lack of transparency of some schemes;  and 
difficulties faced by producers for participation in standards development.  Some believed that these 
standards were more stringent than governmental requirements and could become a condition of shelf 
                                                      
1 The report of the meeting held on 10 July 2009 is contained in document WT/CTE/M/47. 
2 Hereafter paragraph numbers refer to those of the Doha Ministerial Declaration. WT/CTE/16 
Page 2  
 
  access in the market.  Other emerging concerns incl uded the lack of scientific basis in standard 
setting, the large variety of methodologies used , and the need for disciplines governing the 
development and implementation of private standa rds that go beyond transparency disciplines.  A 
number of delegations also raised  concerns on unilateral voluntary ca rbon footprint labelling schemes, 
believing that these schemes were not based on lif e cycle analysis and lacked consistency. 
5. To further understand the impact of envir onmental requirements on market access and to 
facilitate discussions, two Secretariat notes were prep ared in 2006.  The first note took stock of case 
studies carried out by the OECD and the UNCTAD
3, and the second considered the work in the 
Committee on Technical Barriers to Trade (TBT) an d the Sanitary and Phytosanitary Measures (SPS) 
Committee on environment-related notifications and specific trade concerns.4  In 2007, a focussed 
discussion was held on organic agriculture. A number  of developing countries shared their national 
and regional experiences in this sector.  While highlighting the possible contribution of organic 
production to creating a win-win-win situation for trade, the environment and development, they 
raised concerns on the difficulties faced by producer s due to the proliferation of different government 
regulations and private voluntary standards in the market, the lack of international standards and 
mutual recognition/equivalence in this area, as we ll as the high cost of multiple inspection and 
certification requirements.  In 2008, further inform ation was provided by observer organizations (ITC, 
UNCTAD and UNEP) on their current activities relate d to organic agricultural products.  Moreover, 
the CTE heard briefings from UNCTAD on biofuels certification.      
Sector Analysis 
 6. Various sectors were addressed at Committee meetings.  For example, discussions were held 
on illegal logging and fishery subs idies in 2004-2007, and in 2008 , input was provided by UNEP on 
energy subsidies.   
B. P
ARAGRAPH 32(II) (TRIPS) 
The relevant provisions of the Agreement on Trade-Related Aspects of Intellectual 
Property Rights (TRIPS). 
7. In 2006, Norway informed the CTE of its proposal, tabled at the TRIPS Council, for the 
amendment of the TRIPS Agreement with respect to the disclosure of the source and country of origin 
of any biological resources or trad itional knowledge u sed in invention.5  Since then, relevant 
discussions have been carried out, mainly at the TRIPS Council.   
C. PARAGRAPH 32(III) (LABELLING ) 
8. Under Paragraph 32(iii) on labe lling requirements for environm ental purposes, in 2007-2008, 
Members shared their national experiences on ener gy efficiency labelling schemes (i.e. the United 
States "Energy Star Product Labelling" and the Australian national mini mum energy performance 
standards and mandatory labelling  requirements).   
9. At the July 2009 meeting, the European Co mmunities (EC) recalled its 2004 proposal on a 
more positive agenda under this item, focussing on devel oping countries and, in particular, on how to 
                                                      
3 The Secretariat note took stock of studies cont ained the OECD Trade Policy Studies 2005 and the 
UNCTAD Trade and Environment Review 2006 (WT/CTE/W/244). 
4 Document JOB(06)263. 
5 The Norwegian paper for an amendment to the TRIPs agreement was presented to the General 
Council, the TNC and the TRIPs Council (documen t WT/GC/W/566, TN/C/W/42 and IP/C/W/473, dated 
14 June 2006).   WT/CTE/16 
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  enhance their ability to qualify for eco-labels in expo rting markets, and to participate effectively in 
international standardization processes.6  Argentina reiterated the impor tance of implementation of the 
TBT Agreement to avoid market access barriers due to labelling requireme nts for environmental 
purposes.   
D. OTHER PARAGRAPH 32 ITEMS  
10. It is recalled that the CTE was instructed unde r Paragraph 32 to pursue work on all items on 
its work programme within its current terms of reference.7  With respect to transparency of trade 
measures used for environmental purposes, at the July 2009 meeting, the Committee took note of the 
Secretariat note on the 2006 Environmental Database. 
III. PARAGRAPH 33  
We recognize the importance of technical assistance and capacity building in the 
field of trade and environment to d eveloping countries, in particular the 
least-developed among them.  We also en courage that expertise and experience be 
shared with Members wishing to perform en vironmental reviews at the national level.  
A report shall be prepared on th ese activities for the Fifth Session. 
A. TECHNICAL ASSISTANCE AND CAPACITY BUILDING  
11. Members and observer organizations continue to share experiences on environment-related 
technical assistance and capacity building.  At the July 2009 meeting, Australia,  the EC, UNCTAD 
and UNEP informed the CTE on their recent activities.  Moreover, the Secretariat reports annually its 
technical assistance activities in the area of trade and environment to the CTE.   
B. ENVIRONMENTAL REVIEWS AT THE NATIONAL LEVEL  
12. Members continue to inform the CTE on their activ ities related to environmental reviews.  In 
2007, to facilitate experience-sharing in this field, the Secretariat consolidated  a list of trade-related 
environmental reviews that had been carried out.8  The list was updated in 2008.9   
IV. PARAGRAPH 51 
The Committee on Trade and Development and th e Committee on Trade and Environment 
shall, within their respective mandates, each act as a forum to identify and debate 
developmental and environmental aspects of the negotiations, in order to help achieve the 
objective of having sustainable d evelopment appropriately reflected  
 
13. In 2006, with a view to facilitate further discu ssion, the Secretariat prepared a note reflecting 
the state of play of the discussions on environment -related issues in the DDA negotiations.  The note 
compiled the environmental aspects of the DDA negotiations  in the negotiating groups on agriculture, 
market access, services and trade and environment.10   
                                                      
6 WT/CTE/M/38. 
7 The CTE work programme within its current terms of reference was derived from the 1994 
Marrakesh Ministerial Decision on Trade and Environment. 
8 Document WT/CTE/W/245. 
9 Document WT/CTE/W/245/Add.1. 
10 Document WT/CTE/W/243. WT/CTE/16 
Page 4  
 
  V. OTHER BUSINESS 
A. 
TRADE AND CLIMATE CHANGE  
14. At the November 2008 meeting, a presentation was made by the delegation of Indonesia on 
the "Chair's Summary – Informal Trade Minister s Dialogue on Climate Change Issues, Jimbaran, 
Bali" and the Secretariat of the United Nati ons Framework Convention on Climate Change 
(UNFCCC) reported on the UNFCCC COP14 meeting held in Bali in December 2007.  A preliminary 
information exchange on trade and clim ate change followed these presentations.  
15. At the July 2009 meeting, the CTE continue d preliminary discussions on trade and climate 
change.  A number of Members highlighted the impor tance of seeking global solutions and avoiding 
unilateral actions;  the need for an outcome in  the UNFCCC process;  and the principles of common 
but differentiated responsibilities.  Others underlin ed the importance of inter-agency exchange of 
information at the national level to enhance th e mutual supportiveness of trade and environment 
policies.  There was general support for a more fo cussed debate on trade and climate change in the 
CTE.  A large number of delegations suggested that  the Secretariat make a presentation on the Report 
on Trade and Climate Change by the WTO and UNEP Secretariats launched in June 2009.  On the 
Report itself, while some Members found it useful a nd timely, some other Members, noting that trade 
and climate change was a controversial issue, expr essed concerns on certain aspect of the Report and 
on how it might be interpreted by the media, and c onsidered that the Secretariat needed to take 
caution when expressing views in this regard. 
B. WORKSHOP ON ENVIRONMENT -RELATED PRIVATE STANDARDS , CERTIFICATION AND 
LABELLING REQUIREMENTS  
16. On 9 July 2009, a Workshop on Environment-re lated Private Standards, Certification and 
Labelling Requirements was organized by the Secr etariat.  The event covered private voluntary 
standards, labelling and certification schemes in the fi sheries, coffee, horticulture and forestry sectors.  
It also addressed main challenges and opportunities in this area.    
C. INFORMATION EXCHANGE ON DEVELOPMENTS IN OTHER FORA  
17. The CTE continued to hear briefings on devel opments in other fora from Secretariats of 
Multilateral Environmental Agreem ents (MEAs).  In 2004-2008, th e CTE heard briefings from the 
Convention on Biological Diversity, the Convention on International Trade in Endangered Species 
and the UNFCCC. 
18. Furthermore, at the July 2009 meeting, the CTE was briefed on the outcome of the second 
session of the International Conference on Chemicals Management and the outcome of the 5th World 
Water Forum held in Turkey in March 2009.  
D. ENVIRONMENT AND REGIONAL TRADE AGREEMENTS  
19. In 2008, the OECD Secretariat briefed the CT E on its work on environmental provisions 
contained in regional trade agreements.  Inform ation was provided from New Zealand on mutual 
cooperative activities under such agreements.  Canada also  shared its experience in this field in 2009.   
E. NATIONAL POLICY COHERENCE  
20. At the July 2009 meeting, Australia and Ne w Zealand shared their respective national 
experiences in national policy coherence, in cluding policies related to climate change.  WT/CTE/16 
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  F. REQUEST FOR OBSERVER STATUS  
21. At the July 2009 meeting, the CTE took note of the request from the Rotterdam Convention 
for observer status in the Committee and agreed to postpone a decision on this, pending the discussion 
in the General Council.  At present, the CTE has four pending requests from MEAs (namely, the Montreal Protocol, the International Tropical Ti mber Organization, the Basel Convention and the 
Rotterdam Convention).   
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