WORLD TRADE  
ORGANIZATION  TN/RL/GEN/162/Rev.1 
20 April 2011 
 (11-2053) 
Negotiating Group on Rules Original:   English 
  
 
TEXTUAL PROPOSAL FOR ADDITIONAL FLEXIBILITIES FOR SMALL AND 
VULNERABLE ECONOMIES UNDER ARTIC LE III OF THE PROPOSED DRAFT 
CHAIR'S TEXT ON FISHERIES SUBSIDIES 
 
Communication from the Small and Vulnerable Economies
 
 
Revision  
   The following communication, dated 19 April 2011,  is being circulated at the request of the 
Small and Vulnerable Economies.   
 
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I. INTRODUCTION 
1. The co-sponsors of this proposal are all proponents of the WTO Work Programme on Small 
Economies which has its mandate in Paragra ph 35 of the Doha Ministerial Declaration
1 and 
Paragraph 41 of the Hong Kong Ministerial Mandate.2  The co-sponsors recall WTO document 
TN/RL/W/242 which represents the statement deliver ed by Barbados on behalf of Small and 
Vulnerable Economies (SVEs) under item 15 (c) of the Chair's roadmap for discussions on fisheries 
subsidies (Annex VIII, TN/RL/W/236).   
2. SVEs recall the Hong Kong mandate for fisher ies subsidies, which calls on Members to 
"strengthen disciplines on subsidies in the fisheries sector, including  through the prohibition of  certain  
forms of fisheries subsidies that contribute to ove rcapacity and over-fishing ...".  We also recall the 
Chair's roadmap for discussions which calls on the Negotiating Group to "work to identify those 
subsidies that contribute to overcapacity of over-fish ing, with a view to determining which of these 
                                                      
1 "We agree to a work programme, under the auspices of the General Council, to examine issues 
relating to the trade of small economies .  The objective of this work is to frame responses to the trade-related 
issues identified for the fuller integration of small, vulnerable economies into the multilateral trading system, 
and not to create a sub-category of WTO Members.  The General Council shall review the work programme and 
make recommendations for action to the Fifth Session of the Ministerial Conference."   
2 "We reaffirm our commitment to the Work Prog ramme on Small Economies and urge Members to 
adopt specific measures that would facilitate the fuller integration of small, vulnerable economies into the multilateral trading system, without creating a sub-categor y of WTO Members.  We take note of the report of 
the Committee on Trade and Development in Dedicated Session on the Work Programme on Small Economies 
to the General Council and agree to the recommendations on future work.  We instruct the Committee on Trade and Development, under the overall responsibility of the General Council, to continue the work in the Dedicated 
Session and to monitor progress of the small economies' proposals in the negotiating and other bodies, with the 
aim of providing responses to the trade-related issues of small economies as soon as possible but no later than 31 December 2006.  We instruct the General Council to re port on progress and action taken, together with any 
further recommendations as appropriate, to our next Session."   TN/RL/GEN/162/Rev.1 
Page 2  
 
  should and should not be prohibited , while considering at the same time how to effectively address 
the needs and particularities of developing members ".   
3. SVEs highlight the following special characteristi cs and peculiarities of SVEs, in the fisheries 
context:   
- As per data presented in Annex I of this proposal, a majority of the SVEs have a 
share of global marine wild capture less than 0.1 per cent.  The magnitude of 
subsidies typically provided by SVEs is small and, at this stage in their development, 
many SVEs are not even in a position to provide  subsidies.  In this context, it is well-
known that SVEs have a negligible imp act on overcapacity and overfishing.   
- In contrast, several SVEs are characte rised by heavy economic dependence on the 
fisheries sector.  Thus, any disciplines would have profound implications for the 
maintenance of basic livelihoods, economic su rvival and sustainable development.   
- SVEs require the necessary policy space to provide subsidies of small magnitudes in 
the future, to be better equipped to harvest  their own resources, within sustainable 
limits. 
4. SVEs reiterate their commitment towards finding fair solutions in the debate on fisheries 
subsidies negotiations.  We believe that those Me mbers that have had a history of providing the 
highest magnitude of harmful subsidies should bear the greatest burden in these disciplines.   
5. The SVEs have attempted to incorporate th eir special circumstances in the current 
architecture of the proposed Chair's text
3, as is proposed in Section II below, for the consideration of 
all Members.   
II. PROPOSED TEXTUAL REVISIONS TO AR TICLE III.2(B) OF CHAIR'S TEXT, 
ANNEX VIII, TN/RL/W/213 
(b) In addition, subject to the provisions of Article V:   
  (1) Subsidies referred to in Articles I.1(d), I. 1(e) and I.1(f) shall not be prohibited.   
 
 (2) (i)
 Subsidies referred to in Article I.1(a) a nd I.1(c) shall not be prohibited provided 
that they are used exclusively for marine  wild capture fishing employing decked 
vessels not greater than 10 meters or 34 feet in length overall, or undecked vessels of any length.  OR
 
 
 (ii) Subsidies referred to in Article I.1(a) and Article I.1(c) should not be 
prohibited for those developing count ry Members whose percentage share in 
world NAMA trade is not more than 0.1 per cent and whose percentage share of 
global marine wild capture is not more than 1 per cent.   
  (3) For fishing and service vessels of such Members other than the vessels referred to in 
paragraph (b)(2), subsidies referred to in  Article I.1(a) shall not be prohibited 
provided that (i) the vessels are used excl usively for marine wild capture fishing 
activities of such Members in respect of partic ular, identified target stocks within their 
Exclusive Economic Zones ("EEZ");  (ii) t hose stocks have been subject to prior 
                                                     
 
3 For ease of reference, textual changes proposed by SVEs in this document are in bold and underlined 
form and elements of the Draft Chair's text repli cated here are not presented in underlined form.    TN/RL/GEN/162/Rev.1 
 Page 3 
 
 
  scientific status assessment conducted in accordance with relevant international 
standards, aimed at ensuring that the re sulting capacity does not exceed a sustainable 
level;  and (iii) that assessment has been subject  to peer review in the relevant body of 
the United Nations Food and Agriculture Organization ("FAO").4   
 III. TECHNICAL NOTES TO EXPLAIN THE PROPOSED REVISIONS UNDER 
SECTION II 
- Share of world NAMA trade less than 0.1 per cent is a criterion used for the treatment 
of SVEs under Paragraph 13 of  the December 2008 NAMA text, 
TN/MA/W/103/Rev.3 and one of the criteri on used for the definition of an SVE 
under Annex I of the  December 2008 Agriculture, TN/AG/W/4/Rev.4.  One of the 
benefits of using this criterion is that it is obtained from texts where the definition of 
an SVE is stabilized in the context of the Doha round of negotiations.   
- All Members with a share of world NAMA trade less than 0.1 per cent also have a 
share of global fisheries catch less than one percent, as per FAO's average estimates 
for 2006-2008.  In fact, 23 out of the 28 countries in the list in Annex 1 (inclusive of 
the 03 landlocked countries) have a share of  global fisheries catch less than 0.1 per 
cent each.   
IV. CONCLUDING REMARKS 
The SVEs have accepted all forms of other disci plines on fisheries subsidies proposed in the 
Draft Chair's Text, including through enhanced tran sparency disciplines, an  actionability clause and 
even through the concept of the proposed Article I.2.  In addi tion, the SVEs have accepted the 
principle of conditioning Special and Differential Tr eatment exemptions on a core set of fisheries-
management related criterion easily enforceable in  developing countries.  This proposal only seeks for 
some additional flexibility for SVEs with respect to the proposed exemptions to the prohibited 
subsidies under Article I.   
 
 
                                                     
 
4 If the Member in question is not a member of th e FAO, the peer review shall take place in another 
recognized and comp etent international organization.   TN/RL/GEN/162/Rev.1 
Page 4  
 
  ANNEX 1 
 
List of SVEs with Share of World NAMA Trade of less than 0.1% and whose 
 
percentage share of global marine w ild capture is not more than 1 %  
 
 
Non-LDC WTO Developing 
Country Members with Share of 
World NAMA trade less than 
0.1% (See Note 1 below) Share of World NAMA 
trade (Average of period 
1999-2004) Share of global total catch 
(marine wild capture fishing 
only), Average of period  
2006 – 2008)  
(See Note 2 below) 
Antigua and Barbuda  0.004 0.004 
Barbados  0.011 0.003 
Belize  0.004 0.028 
Bolivia, Plurinational State of 
(landlocked) 0.028 n/a 
Cuba  0.052 0.034 
Dominica  0.001 0.001 
Dominican Rep. 0.063 0.016 
Ecuador  0.098 0.487 
El Salvador  0.044 0.046 
Fiji  0.012 0.051 
Grenada  0.002 0.003 
Guatemala  0.072 0.022 
Guyana  0.008 0.054 
Honduras  0.032 0.018 
Jamaica  0.040 0.018 
Jordan  0.071 0.001 
Kenya  0.041 0.159 
Mauritius  0.034 0.009 
Mongolia (landlocked) 0.012 n/a 
Nicaragua  0.018 0.032 
Panama  0.035 0.264 
Papua New Guinea  0.030 0.270 
Paraguay (landlocked) 0.023 n/a 
Saint Kitts and Nevis  0.002 0.001 
Saint Lucia  0.003 0.002 
Saint Vincent and the Grenadines  0.002 0.005 
Trinidad and Tobago  0.088 0.015 
Uruguay  0.037 0.131 
 
 (1) Data compiled from WTO document TN/M A/S/18, as referenced in Paragraph 13 of 
TN/MA/W/103/Rev.3, 8 December 2008.  The above list is also contained in Annex I, TN/AG/W/4/Rev.4, 
8 December 2008. 
 (2) Statistics relating to global fisheries ca tch for the average period 2006-2008 have been 
directly obtained from the FAO.  Statistics in rel ation to share of global fisheries capture for the 
Members referenced as "landlocked" was not availabl e primarily due to these Members being landlocked 
countries, with little marine wild capture fishing activity. 
 
 
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