In a context of multiple crises, World Trade Organization (WTO) ministers successfully reached a set of key agreements on fisheries subsidies, food security, pandemic response, and e-commerce, a vital issue for SMEs and the digital economy.
WTO Director-General Ngozi Okonjo-Iweala said on Friday (17.06.2022) that trade ministers agreed at the XNUMXth Ministerial Conference on the “Geneva Package,” which contains a series of unprecedented decisions which will make a real difference to people's lives. He also expressed his conviction that "trade is part of the solution to the crises of our time."
"It has been a long time since the WTO has seen such a significant number of multilateral outcomes," he said.
"The results demonstrate that the WTO is indeed capable of responding to the emergencies of our time," Okonjo-Iweala added.
What do the agreements detail?
Specifically, the delegates in Geneva, Switzerland, agreed on the following:
Fishing
The topic of fishing achieved first of all a multilateral agreement significant contribution to the protection of the oceans. This important step guides global fisheries in a more sustainable direction by being in line with UN Sustainable Development Goal 14.6 (UN SDG). It includes a strong ban on subsidies that contribute to illegal, unreported and unregulated fishing with unprecedented transparency provisions. Secondly, the agreement includes a ban on subsidies to unregulated high seas fishing. This is a historic ban for the most vulnerable areas that lack an established and coordinated fisheries management regime. Thirdly, there is a provision on exploited stocks and sustainability rules for subsidies with respect to the most vulnerable stocks in the first phase of the agreement.
Food safety
Another issue on the table was food security. WTO members committed to Avoid unjustified restrictions on food exports and improve transparency on any export restrictions that occur. In addition, a decision was taken to completely exempt humanitarian purchases for the World Food Programme of the restrictions for export.
Response to the pandemic
Ministers also agreed on a Declaration on the WTO's response to the current pandemic and preparedness for future ones. It affirms the cCommitment to the Transparency, the timely and comprehensive exchange of information and moderation in the imposition of export restrictions. In response to the exceptional circumstances of the Covid-19 pandemic and requests from developing countries, delegates agreed an exemption from certain procedural obligations under the Agreement on Intellectual Property Rights that allow for the rapid manufacture and export of Covid-19 vaccines without patent consent. At the same time, the agreement maintains a functioning intellectual property framework with incentives for investment, research and technology transfer.
Ecommerce
Delegates reached a key victory for SMEs and digital transformation: an agreement to extend the moratorium on the imposition of customs duties on e-commerce transactions ("e-commerce moratorium"). In this way, the current practice of not imposing such measures on electronic transmissions was maintained until the XIII Ministerial Conference (MC13). They also agreed to revitalize the Work Programme on Electronic Commerce, including the challenges and opportunities affecting developing and least developed countries.
WTO reform
Finally, the ministers committed to carrying out a major reform of the WTO examining all aspects of its activities, although the statement is short on details. WTO reform is key to ensuring stability and promoting a rules-based approach to international trade.
Who is Okonjo-Iweala?
Okonjo-Iweala is the seventh Director-General of the WTO, having taken office in March 2021, becoming the first woman to hold this position.
For five days (June 12-17), Okonjo-Iweala led multilateral talks in Geneva, chaired by Kazakhstan, bringing nations large and small to finally forge a consensus to keep trade as an engine for economic development.
The 164-member WTO was born in 1995. It is the successor to the General Agreement on Tariffs and Trade (GATT) and accounts for about 98% of world trade.WTO press release)
Aduana News is the first Argentine customs newspaper to launch its digital version. With 20 years of experience, its publications and initiatives aim to provide the most relevant knowledge on customs issues in order to contribute to safe trade in the region.
