WRITTEN QUESTION E-1035/00

by Ulla Sandbæk (EDD) to the Commission

(4 April 2000)

Subject: WTO

A number of developing countries have experienced genuine difficulties in implementing their Uruguay Round commitments. For example, commitments on customs valuation and intellectual property require quick implementing systems that the industrialised nations have been developing over lengthy periods of time and which entail substantial implementation costs.

Will the EU support calls for an extension to the deadline for compliance with these agreements?

Answer given by Mr Lamy on behalf of the Commission

(17 May 2000)

The Trade related aspects of intellectual property rights (TRIPs) Agreement has established minimum rights for rightholders, including in the domain of enforcement mechanisms where the public authorities are directly concerned.

Transitional periods were agreed with a view to enabling all World Trade Organisation (WTO) members to provide the necessary TRIPs compatible legislation. 1 January 2000 was the date by which developing country members and members-in-transition had to comply with their TRIPs Agreement obligations. Least-developed country members can avail themselves of a transitional period until 1 January 2006.

In the specific field of customs, both developed and developing countries are working on simplifying and modernizing customs procedures in order to improve border control and enforcement. The border enforcement provisions of the TRIPs Agreement introduce modern trade facilitating customs techniques, and enable customs to focus resources on increasing detection levels of prohibited or restricted goods, such as intellectual property rights (IPR)-infringing goods.

In order to facilitate the implementation of the TRIPs Agreement, including the border enforcement provisions by developing and least-developed countries, developed countries have been providing technical and financial co-operation. This includes assistance in the preparation of IPR and enforcement laws. It also includes support for reinforcement of national agencies including training of personnel. Developing countries were given the opportunity to request assistance in that respect under the joint initiative of technical co-operation set up by WTO and the World Intellectual Property Organisation.

The Commission's opinion is that the transitional periods for developing countries should not be extended, as they were an essential element of the Uruguay Round negotiations, but that assistance and international co-operation, within an overall framework of trade facilitation, should be enhanced.

However, unlike the situation in TRIPs, as regards customs valuation there have been many requests for more time to implement. Unlike TRIPs, the valuation agreement, though applicable from 2000, recognises explicitly that some countries may need additional time. The Community has shown flexibility in granting additional time for implementation and is at the forefront of those WTO members offering technical assistance to help developing countries implement the agreement during the additional transitional period. The Community is also taking a flexible and sympathetic approach to other areas where individual countries may have implementation problems such as the Trade related investment measures agreement and the application of Sanitary and phytosanitary measures agreement and have, together with the United States,

Japan and Canada, made proposals to the effect that extensions would be granted on a case by case basis where countries put forward an implementation plan, which the Community would where necessary support through assistance.