INDONESIA – IMPORTATION OF HORTICULTURAL PRODUCTS, ANIMALS AND ANIMAL PRODUCTS UNDERSTANDING BETWEEN NEW ZEALAND AND INDONESIA REGARDING PROCEDURES UNDER ARTICLES 21 AND 22 OF THE DSU
Document: Agreed Procedures
Date: 17 August 2018
Document codes: WT/DS477/20
Complainant: New Zealand
Respondent: Indonesia
Third parties: Australia, Brazil, Canada, China, EU, India, Japan, Norway, Paraguay, Singapore, Taiwan, Argentina, South Korea, Thailand
Dispute stage: Appellate Body
Agreements cited: Art. XI:1  GATT 1994Art. 4.2  AgricultureArt. 3.2, 2.2(a)  Import LicensingArt. III:4  GATT 1994

INDONESIA – IMPORTATION OF HORTICULTURAL PRODUCTS,
ANIMALS AND ANIMAL PRODUCTS
UNDERSTANDING BETWEEN NEW ZEALAND AND INDONESIA
REGARDING PROCEDURES UNDER ARTICLES 21 AND 22 OF THE DSU
The following communication, dated 10 August 2018, from the delegation of New Zealand and the
delegation of Indonesia to the Chairperson of the Dispute Settlement Body, is circulated at the
request of these delegations.

New Zealand and Indonesia would like to inform the Dispute Settlement Body of the attac hed
"Agreed Procedures under Articles 21 and 22 of the Dispute Settlement Understanding" between
Indonesia and New Zealand with respect to the dispute Indonesia – Importation of Horticultural
Products, Animals and Animal Products (DS477).

We request tha t you please circulate the attached agreement to the Members of the Dispute
Settlement Body.

Agreed Procedures under Articles 21 and 22 of the Dispute Settlement Understanding
Indonesia – Importation of Horticultural Products, Animals and Animal Products
(DS477)

In this dispute, the Dispute Settlement Body (DSB) adopted its recommendations and rulings on
22 November 2017. Pursuant to Article 21.3(b) of the Understanding on Rules and Procedures
Governing the Settlement of Disputes , Indonesia, the United States, and New Zealand mutually
agreed that the reasonable period of time for Indonesia to comp ly with the recommendations
and rulings of the DSB shall be 8 months. Accordingly, the reasonab le period of time expired on
22 July 2018.

New Zealand and Indo nesia (the "parties") have agreed on the following procedures for the
exclusive purposes of this dispute. They are designed to facilitate the resolution of the dispute and
reduce the scope for procedural disputes:
1. Should New Zealand consider that the situation described in Article 21.5 of the DSU exists,
New Zealand will request consultations. The parties agree to hold such consultations within 14
days from the date of circulation of such request. The parties agree that after the end of such
period for consultations, New Zealand may, at any time, request the establishment of a panel
pursuant to Article 21.5 of the DSU.

2. At the first DSB meeting at which New Zealand's request for the establishment of an
Article 21.5 panel appears on the agenda, Indonesia will accept the establishment of that
panel.

3. The parties will cooperate to enable the Article 21.5 panel to circulate its report within 90 days
of the panel's establishment, excluding such time during which the pane l's work may be
suspended pursuant to Article 12.12 of the DSU.

4. Either party to the dispute may request the DSB to adopt the report of the Article 21.5 panel
at a DSB meeting held at least 20 days after the circulation of the report to the Members
unless either party appeals the report.

5. In the event of an appeal of the Article 21.5 panel report, the parties will cooperate to enable
the Appellate Body to circulate its report to Members within 90 days from the date of
notification of the appeal to the DSB.

6. In the event of an appeal, either party to the dispute may request the DSB to adopt the
reports of the Appellate Body and of the Article 21.5 panel (as modified by the Appellate Body
report) at a DSB meeting held within 30 days of the circulation of the Appellate Body report to
the Members.

7. In the event the DSB rules, following a proceeding under Article 21.5 of the DSU, that a
measure taken to comply does not exist, or that Indonesia has failed to bring the measure
found to be inconsistent with a cov ered agreement into compliance, New Zealand may
request negotiations with Indonesia with a view to developing mutually acceptable
compensation, or New Zealand may request authorisation to suspend concessions or other
obligations pursuant to Article 22 of the DSU.

8. Indonesia will not assert that New Zealand is precluded from requesting such negotiation for
developing mutually acceptable compensation or obtaining such DSB authorization on the
grounds that the request was made outside the 20-day time-period specified in Article 22.2 or
the 30-day time period specified in Article 22.6 of the DSU. This is without prejudice to the
right of Indonesia to have the matter referred to arbitration in accordance with Article 22.6 of
the DSU.

9. If New Zealand requests authorisation to suspend concessions or other obligations pursuant to
Article 22.2 of the DSU, and Indonesia objects under Article 22.6 of the DSU to the level of
suspension of concessions or other obligations or claims that the principles and procedures set
forth in DSU Article 22.3 have not been followed, the parties agree that the matter will be

referred to arbitration and proceedings will commence pursuant to DSU Article 22.6 upon such
objection by Indonesia.

10. The parties will cooperate to enable the ar bitrator under Article 22.6 of the DSU to circulate
its decision within 60 days of the referral to arbitration.

11. The parties will cooperate to facilitate the participation of the ori ginal panellists in the
Article 21.5 compliance panel and the Article 22.6 arbitration.

12. If any of the original panellists is not available for either the Article 21.5 compliance panel or
the Article 22.6 arbitration (or both), the parties will promptly consult on a replacement, and
either party may request the Director-General of the WTO to appoint, within ten days of being
so requested, a replacement for the proceeding or proceedings in which a replacement is
required. If an original panellist is unavailable to serve in either of the proceedings, the
parties will further reques t that, in making this appointment, the Director -General seek a
person who will be available to act in both proceedings.

13. In the event that the parties reach a mutually agreed solution to this dispute during the
course of the Article 21.5 compliance panel or the Article 22.6 arbitration proceedings, and
upon notification of such a mutually agreed solution, the Parties will jointly request the panel
or the arbitrator to suspend its work (including the circulation of its report or award, as the
case may be).

14. The parties will continue to cooperate in all matters related to these agreed procedures and
agree not to raise any procedural objection to any of the steps set out herein. If, during the
application of these procedures, the parties consider that a proced ural aspect has not been
properly addressed in these procedures, they will endeavour to find a solution within the
shortest time possible that will not affect the other aspects and steps agreed herein.

15. These agreed procedures in no way prejudice other rights of either party to take any action or
procedural step to protect its rights and interests, including recourse to the DSU.

Signed in Geneva, on 10 August 2018

For New Zealand For Indonesia

(Signed)
Mr. Thomas Haidon
Chargé D'affaires / Deputy Permanent
Representative
Permanent Mission of New Zealand to the World
Trade Organization

(Signed)
H. E. Mr. Hasan Kleib
Ambassador Extraordinary and
Plenipotentiary / Permanent Representative
of the Republic of Indonesia to the United
Nations, World Trade Organization, and
Other International Organizations in
Geneva