European Parliament resolution on the assessment of the Doha Round following the WTO General Council Decision of 1 August 2004 (2004/2138(INI))
Date: 2005-05-12
Institutions: European Parliament
Subjects: World Trade Organisation, developing countries, globalisation, liberalisation of trade, tariff negotiations, trade agreement, trading operation

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Thursday 12 May 2005

Parliament's Administration to indicate clearly the reasons for this accelerated shift and the implications of
this modification to Parliament's establishment plan and the status of staff,
including for the language
teachers;

Underscores the importance of personal assistants for Members' work; is looking forward to the
22.
forthcoming reports by the Bureau working group on Members' Assistants; and, on financial transparency
grounds too, supports the introduction of a Statute for Assistants;

Other issues

23.

Calls for strict enforcement of the new rules on smoking on Parliament's premises;

Reiterates its request to receive updated information on progress with regard to the Eco-Management

24.
and Audit Scheme by 1 July 2005;

25.

Requests further information on the proposed increase in mission expenditure for staff in 2006;

Global level of Parliament's budget

Notes that the Secretary-General's preliminary draft estimates proposal

is to set the level of the
26.
budget, at this stage, at 20 % of heading 5 (Administrative expenditure) of the financial perspective, which
corresponds to EUR 1 341600 000 and represents an increase of 5,5 % over the 2005 budget; reserves its
final position on the total amount for Section I until Parliament's first reading;

27.
Reiterates its position on the importance of determining the level of Parliament's budget on the basis
of justified, real needs to avoid cancellation of appropriations at the end of 2006; notes the proposal to
enter a margin of EUR 90 456 885 in the contingency reserve until the new priorities have been formulated;
considers that a more realistic margin for new priorities and unforeseen expenditure should be set aside in
the contingency reserve at first reading;

28.
Recalls that Parliament's policy of purchasing its main buildings has led to significant savings; calls
for an updated plan on building policy for acquisition of property in the short and medium term, including
options to purchase premises for Information Offices and Europe Houses; points out that a number of
uncertainties exist in relation with immovable property projects in Brussels and Luxembourg, which may
have a significant impact on the budget;

29.

Instructs its President to forward this resolution to the Council and the Commission.

*

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P6_TA(2005)0182

Doha Development Agenda

European Parliament resolution on the assessment of the Doha Round following the WTO General
Council Decision of 1 August 2004 (2004/2138(INI))

The European Parliament,

— having regard to the WTO General Council Decision of 1 August 2004 on the Doha Work Programme,

— having regard to the Communication from the Commission to the Council and the European Parlia-
ment and the European Economic and Social Committee of 26 November 2003 ‘Reviving the Doha
Development Agenda Negotiations — the EU Perspective’,

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— having regard to the Commission working document ‘The Doha Development Agenda after Cancún’ of

25 September 2003,

— having regard to its resolution of 25 September 2003 on the Fifth WTO Ministerial Conference in

Cancún (1),

— having regard to its resolution of 3 July 2003 on the preparations for the Fifth Ministerial Conference

of the WTO in Cancún (2),

— having regard to the Declaration by the Fourth WTO Ministerial Conference adopted on 14 November
2001 in Doha, and having regard to its resolution of 13 December 2001 on the WTO meeting in
Qatar (3),

— having regard to its resolution of 18 November 1999 on the Communication from the Commission to
the Council and the European Parliament on the EU's approach to the WTO Millennium Round (4),

— having regard to its resolution of 15 December 1999 on the Third Ministerial Conference of the WTO

in Seattle (5),

— having regard to its resolution of 13 March 2001 containing the European Parliament's recommen-

dations to the Commission on the WTO's Built-In Agenda negotiations (6),

— having regard to the Sutherland Report on the future of the WTO,

— having regard to its resolution of 9 March 2005 on the proposal for a Council regulation applying a

scheme of generalised tariff preferences (7),

— having regard to the Final Declaration by the Third Parliamentary Conference on the WTO of

24-26 November 2004,

— having regard to its resolution of 25 October 2001 on openness and democracy in international

trade (8),

— having regard to Rule 45 of its Rules of Procedure,

— having regard to the report of the Committee on International Trade and the opinions of the Com-

mittees on Development and on Agriculture and Rural Development (A6-0095/2005),

A. whereas with the decision adopted on 1 August 2004 by the WTO General Council (the Decision), its
148 members have established a framework for further negotiations in five key areas of the Doha
Development Agenda (DDA) and have re-established the confidence lost in the Cancún negotiations,
on the basis of a new spirit of cooperation with a view to ensuring the successful conclusion of the
Doha Round and the success of the multilateral trade system,

B. whereas equally far-reaching progress needs to be made on all subjects covered by the Decision and the
DDA Work Programme in general, putting development at the forefront of the negotiations, and
whereas the EU needs to stand up for a wide-ranging agenda, aiming at appropriate trade liberalisation,
the eradication of all dumping and trade distorting measures, the strengthening of special and differen-
tial treatment and food security safeguard mechanisms in order to prioritise social justice and devel-
opment, and to achieve a greater integration of the developing countries into the world trade system,
an objective enshrined in the Treaty establishing a Constitution for Europe (Article III-292.2.e),

C. whereas a successful conclusion of the Doha Round must contribute to fostering worldwide economic
growth and poverty reduction, and whereas problems linked to malnutrition, hunger and health need to
have greater prominence within the negotiations,
in keeping with what is provided for in the UN
Millennium Declaration,

(1) OJ C 77 E, 26.3.2004, p. 393.
(2) OJ C 74 E, 24.3.2004, p. 861.
(3) OJ C 177 E, 25.7.2002, p. 290.
(4) OJ C 189, 7.7.2000, p. 213.
(5) OJ C 296, 18.10.2000, p. 121.
(6) OJ C 343, 5.12.2001, p. 96.
(7) Texts Adopted, P6_TA(2005)0066.
(8) OJ C 112 E, 9.5.2002, p. 326.

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D. whereas further regulation within the multilateral trade system, optimum integration of the developing
countries into the world trade system and a better-working WTO have always been the main objectives
of EU trade policy,

E. whereas the deadline for concluding the Doha Round, set at 1 January 2005 in the Doha Final Declar-
ation, has been postponed sine die, and a Sixth Ministerial Conference has been scheduled for
December 2005 in Hong Kong,

F. whereas the political effort and the substantial proposals made by the EU, in the shape of Commis-
sioners Lamy and Fischler, was of particular importance in bringing about the Decision; whereas the
progress achieved in the agricultural sphere has not been matched in any other areas,

G. whereas technical assistance and capacity building programmes play an important role in guaranteeing
that the developing countries will prepare their respective economies for integration into the world
economy, improve their capacities for negotiating, producing and exporting, and increase their internal
and regional trade markets and their opportunities to benefit from further trade liberalisation,

H. whereas the DDA could cause erosion of preferences granted by the EU to the ACP countries under the
Cotonou Agreement, to developing countries under the Generalised System of Preferences (GSP) and
other commercial preference systems,

I. whereas there has been a lack of progress to date in the Non-Agricultural Market Access (NAMA)
negotiations, and whereas market access acquired through tariff reductions should not be hampered
by non-tariff barriers,

J. whereas the economic importance of services, which are a key area in the Doha negotiations —
in themselves and for the overall balance of the DDA — is growing, further opening of the markets
also having major potential for developing countries, but it is also important to exclude from liberali-
sation those services that are essential for the satisfaction of basic necessities, and whereas progress in
this area has been disappointing,

K. whereas the EU has always called for the negotiation of the Singapore Issues within the DDA in the
interests of developed and developing countries alike, and whereas the facilitation of trade, by means of
adequate technical assistance and capacity-building, favours the export capacity of the developing coun-
tries,

L. whereas the end of the mandate of the WTO Director-General is imminent and a new appointment is
accordingly required; whereas furthermore note should be taken of the Sutherland Report on the future
of the WTO and the debate in the US Congress on renewing its membership of the WTO and the
mandate of its Trade Representative,

M. whereas on the basis of the articles concerning the Common Commercial Policy of the Treaty estab-
lishing a Constitution for Europe, Parliament will become co-legislator on international trade issues,

N. whereas the parliamentary dimension is important within the WTO, as a means of creating a link with

citizens, in order to enhance the democratic accountability and transparency of the WTO,

O. whereas the process of globalisation and the role played by the WTO are often misrepresented, and
whereas it is important for there to be wide-ranging consultations of civil society and social partners.

1. Welcomes the Decision adopted on 1 August 2004 by the WTO General Council, and the way in
which the Commission successfully concluded the negotiations; reiterates its resolute support for a free and
fair multilateral trade system to promote trade and to contribute to sustainable development and to the
effective management of globalisation for the benefit of all; equally stresses the benefits for developing
countries of a multilateral approach to trade policy, as opposed to bilateral agreements;

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2.
Calls on the Commission to continue to call for rapid progress in all the areas covered by the Deci-
sion, so as to enable it to go to Hong Kong with a balanced, far-reaching proposal which will place devel-
opment at the forefront of the debate;

3.
Stresses the need to encourage an inclusive, efficient and transparent negotiation process, to which end
political initiatives to push the negotiations forward and detailed draft negotiating modalities on agriculture
and NAMA are required by July 2005;

4.
Asks that the state of play report scheduled by the WTO General Council for July 2005 be strictly
factual, so as not to raise false expectations amongst the public, and asks that a date be set for concluding
the work of the Doha Round, taking due account of the time required for all the negotiators to prepare
themselves, particularly those of the developing countries;

5.
Asks that the future negotiations deliver outcomes in all areas of the DDA that genuinely support the
integration of developing countries, taking fully into account their concerns and addressing, in particular,
the specific problems of the Least Developed Countries (LDCs), to whose exports duty and quota free access
must be granted in the spirit of a ‘Round for Free’; equally asks that the outcome of the Doha Round
negotiations contributes to the achievement of the Millennium Development Goals by fostering worldwide
economic growth;

Asks that ways of ensuring the requisite flexibility with regard to the profile of each developing
6.
country be explored, and that the IMF, among other organisations, implement the ‘trade integration mech-
anism’ designed to allow compensation for losses which these countries may suffer from trade liberalisation;

Once again welcomes the increased level of organisation and self-confidence achieved by the devel-
7.
oping countries (G20, G33, G90, etc.), which facilitates the task of reaching agreements and makes the
prospect that the multilateral trading system can be reconfigured more fairly a realistic one;

8. Welcomes the way in which access to the negotiating table has been made easier for smaller del-
egations; congratulates the Commission on its support for smaller countries, e.g. the Pacific islands, by
developing technical assistance programmes there; but urges the Commission to continue working on
more transparency and participation in WTO decision-making and to continue to support developing coun-
tries in improving their participation;

Asks the Commission to consider possibly introducing a ‘development box’ for the LDCs into the
9.
agriculture negotiations, so that they can tackle food safety and rural employment, which are major issues
when it comes to eradicating poverty;

10.
Reiterates the need for targeted technical assistance and capacity building as an important element for
developing countries in making trade an integral part of their national development policies and poverty
reduction strategies, increasing their commercial and export capacity, improving their ability to negotiate
effectively, facilitating the application of WTO rules and enabling them to adjust and diversify their econ-
omies;

Asks that South-South trade be boosted, given the development possibilities that such trade offers the
11.
developing countries, by contemplating the elimination of trade barriers between them, setting up special
and differential treatment that allows the strengthening of the supply capacity of the LDCs, and encouraging
free access for the LDCs to the emergent countries' markets;

12.
Calls on the Commission to take due account of the erosive effects in relation to preferential margins
of the DDA on the Cotonou Agreement and the GSP and other commercial preference systems, draw up a
special report investigating the impact of the Doha Round on the Cotonou Agreement and the GSP, and
consider what measures should be taken to guarantee the effectiveness of the preferences granted by the EU
to developing countries, and especially to the poorest;

13. Welcomes the Decision, and urges the members of the WTO to devote equal attention to the three
pillars (export subsidies, domestic aids and market access) and, in July 2005, agree to commit themselves to
securing detailed negotiating modalities at the forthcoming Hong Kong Ministerial Conference;

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14.
Asks that these measures in respect of export subsidies, domestic aids and market access, be applied
in parallel by all developed-country WTO members, so as to avoid unilateral disarmament on the part of
the EU, while applying special and differential treatment to the developing countries;

Thursday 12 May 2005

Supports a balanced phasing out of export subsidies, with full parallelism of all forms of export

15.
competition by all industrialised trading partners;

16.
Urges the Commission to continue with the planned reform of the CAP and welcomes, with regard
to internal support, the fact that the Decision does not undermine either the European agricultural model or
the Luxembourg agreement on the reform of the CAP; stresses the need to define the joint measures con-
tained in the ‘green box’, including decoupled aids, making it possible to uphold the multifunctional nature
of the farming industry and supporting both the rural way of life and rural jobs;

17.
Asks that with regard to market access, a just and equitable balance be upheld between the requests
of the developing countries and the stability and viability of Community markets; requests, in this connec-
tion, that the concept of what constitutes a ‘sensitive product’ be appropriately and rigorously defined, and
that it be possible to maintain commitments as regards customs duties either in ad valorem form or in the
form of specific duties;

18.
Stresses the high level of EU market access for agricultural products from developing countries and
calls on other developed partners and emergent countries to proceed to further opening up their markets
towards the LDCs;

19.
Calls for the negotiations on geographical indications, which are a key element in a move towards
improving the quality of and deriving the maximum benefit from agricultural production, to be fully taken
into account in the talks on access to the market in agricultural products;

20. Welcomes the decision to take a far-reaching, rapid and specific approach, independent of other
sectoral initiatives, to the issue of cotton, and likewise the setting up of a specific subcommittee on this
issue; these measures should be applied with specific deadlines and be complemented by supportive struc-
tural reform programmes for the farmers and the industry in the EU regions affected, with development
support measures for the developing countries being taken by the World Bank and the International Mon-
etary Fund, the UN Development Programme and other international organisations;

21.
Calls on the Commission to step up negotiations on NAMA, defining an appropriate formula for
eliminating or reducing high tariffs, tariff peaks and tariff escalation, and likewise to study the possibility of
partial reciprocity on the part of the developing countries, taking due account of the flexibility they require
and applying to them, as to the LDCs, the special and differential treatment principle; stresses, furthermore,
that important trade and development benefits will be ensured through South-South market opening, par-
ticularly on the part of the more advanced developing economies; equally points out the need for the
removal of non-tariff barriers, where justified, by all trading partners;

22.
Deplores the fact that no specific framework on services has been established, although it welcomes
the recommendations adopted, and urges all WTO members to submit revised, high-quality offers by the
scheduled May 2005 deadline, with particular regard to those sectors and forms of supply which are of
interest to the developing countries' exports (as provided for in Annex C to the Decision); asks that the
liberalisation of services of public interest be approached cautiously, asks that services related to health,
education and the audio-visual sector be excepted and also those which concern people's basic needs, such
as water and energy, as it is inappropriate to demand that the developing countries liberalise these services
in a way which will lead to their being dismantled;

23.
States that agriculture is indeed the most important chapter within these negotiations, but points out
that this must be the driving force and that progress in this field must be used as leverage and as a negotiat-
ing asset in order to make progress in other areas, particularly on trade in services and better access to
industrial goods for all WTO members, by effectively reducing import duties and other trade barriers;

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24. Welcomes the agreement reached on starting negotiations in the field of facilitating trade, which will
improve the export capacity of the developing countries, and recognises that the EU has made a gesture
towards the developing countries by removing the other Singapore Issues from the negotiations, but under-
lines at the same time the potential to negotiate these issues within a multilateral framework, in the interests
of developed and developing countries alike; asks that the principles agreed on in Annex D to the Decision
be respected, particularly with regard to special and differential treatment and aid for the developing coun-
tries, taking due account of transition periods for applying the commitments and compatibility with those
countries' administrative and institutional capacity;

25.
Calls for pragmatic, ongoing progress in the fields not covered by the Decision, such as rules on anti-
dumping and subsidies, TRIPS, the environmental dimension of international trade and geographical indi-
cations, including on issues related to the extension of their protection to products other than wines and
spirits, in line with the Doha mandates;

26.
Stresses that, in the current WTO negotiations, greater attention must also be paid to the protection
of, and compliance with, intellectual property rights, inter alia in the context of TRIPS; regrets that many
WTO countries are still lax in combating trade in counterfeit and pirated goods;

27.
Calls for all parties to make every possible effort to achieve agreement with regard to the appoint-
ment of a new WTO Director-General by the scheduled May 2005 deadline, so that the appointment pro-
cess does not interfere with the progress of the Doha Round negotiations;

28.
Stresses the need for a far-reaching reform of the WTO, and views the Sutherland Report as a first
step in the preparatory work to create a more efficient, open, democratic and transparent organisation and
to achieve a more intensive political involvement in the negotiations;

29.
Calls for further institutional reforms in order to upgrade the role of the WTO institutions and
improve the decision-making process, the dispute-settlement mechanism and the dialogue with civil society;
acknowledges that the WTO must provide adequate information and explanations to civil society on its
principles and measures in order to avoid the process of globalisation and the role played by the WTO
being widely misunderstood and misrepresented; therefore welcomes the Sutherland report which counters a
lot of these criticisms and misunderstandings;

Reiterates the need, acknowledged in the Millennium Declaration,

30.
to establish closer relations
between the WTO and other international organisations, as an essential stage in the process of achieving a
different, more sustainable type of globalisation, which will work in the service of common goals and with a
view to achieving fully coordinated criteria with regard to the problems of development; believes that in this
connection, all WTO Member States should of necessity respect the rules of the International Labour Organ-
ization;

31.
Believes that close collaboration between EU and the USA is absolutely essential both to the success
of the current negotiations and to the effective operation of the multilateral trade system, and that the US
Congress should extend its negotiating mandate and endorse the renewal of the USA's membership of the
WTO; insists, however, that the inclusion of all WTO Member States, particularly the G20 and the G90
groups, in the decision-making process remains of prime importance;

32.
Supports fully the institutionalisation of parliaments within the WTO in order to enhance demo-
cratic legitimacy and transparency in the WTO negotiations, since members of parliament can constitute an
important link with citizens, in particular as a source of information and response to their concerns; wel-
comes, in this connection, the Declaration adopted by the Parliamentary Conference on the WTO held on
24-26 November 2004 in Brussels and the decision to hold the next Parliamentary Conference alongside
the Ministerial Conference in Hong Kong in December 2005;

33.
Believes that all the European institutions need to collaborate closely in order to obtain satisfactory
results, and calls therefore on the Council and the Commission to continue to keep Parliament punctually
informed, also throughout the negotiations of the Doha Round and during the Ministerial Conference in
Hong Kong, involve it in the discussions to come, and maintain its access to Committee 133 documents;

34.
Instructs its President to forward this resolution to the Council and the Commission and to the
parliaments of the Member States and of the accession and candidate countries, the Director-General of
the WTO and the President of the Interparliamentary Union.