Proposal for a COUNCIL DECISION establishing the position to be taken by the European Union within the Ministerial Conference of the World Trade Organization (WTO) as regards a request for granting a waiver in order to give preferential treatment to services and service suppliers of Least-Developed Countries
Date: 2011-12-02
Institutions: European Commission
Subjects: World Trade Organisation, common commercial policy, least-developed country, most favoured nation, tariff exemption, tertiary sector

EUROPEAN COMMISSION 

Brussels, 2.12.2011 
COM(2011) 871 final 

2011/0426 (NLE) 

Proposal for a 

COUNCIL DECISION 

establishing the position to be taken by the European Union within the Ministerial 
Conference of the World Trade Organization (WTO) as regards a request for granting a 
waiver in order to give preferential treatment to services and service suppliers of Least-
Developed Countries 

 
 
  
 
EXPLANATORY MEMORANDUM 

1. 

OBJECTIVE OF THE PROPOSAL 

The objective of this proposal is to allow the European Union to join a consensus in the World 
Trade Organization (WTO) on the adoption of a waiver1 by the WTO Ministerial Conference. 
The proposal provides that the Council authorises the Commission to take a position on behalf 
of the European Union within the WTO to join a consensus as regards a request under Article 
IX  of  the  WTO  Agreement  for  granting  preferential  treatment  to  services  and  service 
suppliers of Least-Developed Countries.  

2. 

LEGAL BASIS OF PROPOSAL 

Article 218(9) of the Treaty on the Functioning of the European Union (TFEU) provides that 
when a Decision having legal effects needs to be taken in a body set up by an international 
agreement, the Council, on a proposal from the Commission or the High Representative of the 
Union for Foreign Affairs and Security Policy, shall adopt a Decision establishing the position 
to be adopted on the Union’s behalf. The granting of a waiver falls under this provision as the 
Decision  is  taken  in  a  body  set  up  by  an  international  agreement  (the  WTO  Ministerial 
Conference) affecting the rights and obligations of the EU. 

The  envisaged  waiver  relates  to  obligations  under  the  General  Agreement  on  Trade  in 
Services  and  concerns  all  service  sectors,  including  transport  services.  Therefore,  the 
proposed Decision falls within the scope of Articles 91, 100 and 207(4), first subparagraph, of 
the TFEU.  

3. 

SCOPE OF THE PROPOSAL 

The  Commission  will  be  authorised  to  take  a  position  on  behalf  of  the  European  Union  to 
support  a  request  for  a  waiver  from  Article  II:1  of  the  General  Agreement  on  Trade  in 
Services  (GATS)  to  grant  preferential  treatment  to  services  and  service  suppliers  of  Least-
Developed  Countries  without  according  the  same  treatment  to  like  services  and  service 
suppliers of all other WTO Members. 

Consistent  with  Article  218(10),  the  European  Parliament  will  be  immediately  and  fully 
informed. 

1 

Waivers  are  permissions  granted  by  the  WTO  General  Council/Ministerial  Conference  to  derogate 
temporarily from certain WTO obligations which are otherwise applicable. 

EN 

2 

   EN 

 
                                                 
2011/0426 (NLE) 

Proposal for a 

COUNCIL DECISION 

establishing the position to be taken by the European Union within the Ministerial 
Conference of the World Trade Organization (WTO) as regards a request for granting a 
waiver in order to give preferential treatment to services and service suppliers of Least-
Developed Countries 

THE COUNCIL OF THE EUROPEAN UNION, 

Having regard to the Treaty on the Functioning of the European Union, and in particular of 
Articles 91, 100 and 207(4), first subparagraph, in conjunction with Article 218(9) thereof,  

Having regard to the proposal from the European Commission,  

Whereas: 

(1) 

(2) 

(3) 

 Article  IX  of  the  Marrakesh  Agreement  establishing  the  World  Trade  Organization 
(the  “WTO  Agreement”)  sets  out  the  procedures  for  the  granting  of  waivers 
concerning the Multilateral Trade Agreements in Annexes 1A or 1B or 1C to the WTO 
Agreement and their annexes. 

 A  waiver  has  been  requested  whereby  WTO  Members  would  be  enabled  to  grant 
preferential treatment to services and service suppliers of Least-Developed Countries 
without according the same treatment to like services and service suppliers of all other 
WTO  Members  (Cite  relevant  WTO  doc  in  a  footnote)  by  exceptionally  derogating 
from the obligation under Article II:1 of the General Agreement on Trade in Services.  

 It  is  in  the  interest  of  the  European  Union  to  give  its  support  to  that  request  for  a 
waiver and thus to conclude a part of the Doha Development Agenda negotiations on 
services which is of special interest to Least-Developed Country Members. 

HAS ADOPTED THIS DECISION: 

Article 1 

The  position  of  the  European  Union  within  the  Ministerial  Conference  of  the  World  Trade 
Organization shall be to support the request under Article IX:3 of the Marrakesh Agreement 
establishing  the  World  Trade  Organization  for  a  waiver  enabling  WTO  Members  to  grant 
preferential treatment to services and service suppliers of Least-Developed Countries. 

EN 

3 

   EN 

 
Article 2 

This Decision shall enter into force on the day of its adoption. 

Done at Brussels, 

For the Council 
The President 

EN 

4 

   EN