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Experience and Observations from the Secretariat in Providing Assistance to
Interested WTO Members and Observers
Presentation for IT Symposium – 19 October 2004
By Denby Probst, Counsellor, Market Access Division
Objectives of the Presentation
• Overview of Process of becoming an ITA participant
• Secretariat aid and technical assistance
• Final provisions
Brief Overview of the ITA
• Declaration signed on 13 December 1996 by 14 states or separate customs territories and the European Communities
• There is no definition of information technology in the Declaration. Information technology products are only defined by their inclusion in Attachment A or Attachment B of the Declaration
• Bind and eliminate customs duties and other duties and charges on all products listed in Attachments A and B in the Annex to the Declaration
ITA
The Attachments
• Attachment A, Section 1--Lists products by HS classification
• Attachment A, Section 2--Semiconductor manufacturing and
testing equipment; listed by HS code and some “for attachment B” items
• Attachment B--Products listed by description; no HS classification
The ITA Today
• 63 Participants (including the Member states of the European Communities)
Albania Iceland New ZealandAustralia India NorwayBahrain Indonesia OmanBulgaria Israel PanamaCanada Japan PhilippinesChina Jordan RomaniaCosta Rica Korea Separate Customs Territory Croatia Kyrgyz Rep. of Taiwan, Penghu, Egypt Macao, China Kinman and MatsuEl Salvador Malaysia SingaporeEC Mauritius Switzerland Georgia Moldova ThailandHong Kong, Morocco Turkey
China United States
.
Initial Discussions with Interested Delegations
• Documentation– WT/MIN(96)/16– Examples of schedules
• Process– Submisson of schedule to Committee meeting
• Assistance– Varies by participant, provide what is needed
Making the Decision to Join
• Political will
• Decision by appropriate authorities in capital
• Consultations with domestic producers, consumers, importers, exporters, advocacy groups, etc...
First Draft Schedule
• Prepared by:– the Member concerned– the Secretariat– Joint effort
• Comprised of:– Loose-leaf schedule of
commitments– Attachment B
– Staging Matrix
Verification of Schedules
• Procedures outlined in G/IT/M/2– "Any WTO Member, State or separate customs territory in the process
of acceding to the WTO, hereinafter referred to as government, that would like to become a participant to the Ministerial Declaration on Trade in Information Technology Products should send a formal request to the Director-General of the WTO and submit a draft schedule of its commitments for verification. If the draft schedule is in line with the conditions set out in the Ministerial Declaration, it would only need to be verified in the usual way, first informally by the Secretariat[1] and then in the Committee, and unless there are objections, the government in question could become a participant. If, however, the government in question would want to deviate from the conditions set forth in the Declaration, this would have to be negotiated between the government concerned and the participants before its draft schedule is submitted for verification."
• Speed & accuracy– Streamlined a labor intesive process– Ensures accuracy, especially minute details
• Practical Experience
Next StepsDraft schedule
discrepancies foundverification clean
verification continuesbetween Secretariatand country concerned
Proceed to Committee
process
Final Verification Sheet
13 April 1999 Schedule of Lithuania LLS: Number of lines: 1120 Number of tariff lines: 347 Bound rates without base rates: none Base rates without bound rates: none Attachment A-1 items missing: none Attachment A-2 items missing: none Attachment B items missing: none Implementation period to 1999: none Implementation period to 2000: 347 Implementation period beyond 2000: none Bound rates not at zero: none Missing implementation period: none ODCs not at zero: none Attachment B: Items missing: none Staging matrix: Number of items or missing items: N/A, all 2000 Staging period beyond 2000: none Other comments:
Before the Meeting
• Letter indicating intent to join accompanied by final verified schedule sent to the Secretariat
• Proposed schedule,verification sheet, and accompanying details faxed to ITA participants
• Consultations with ITA participants
Becoming a Participant
• The Committee meeting– ITA Committee to take such a
decision– Agenda item—“New
Participants“– Interested delegation to state
their interest and explain their schedule
– Committee approval typically at this meeting
The Legal Process
• Rectification and modification of Schedules (Decison of 26 March 1980 on Procedures for Modification and Rectification of Schedules of Tariff Concessions (BISD 27S/25)– Letter requesting schedule to be circulated– Circulation of G/MA/TAR/RS/... document– 3-month wait– Certification
Those in the Process of WTO Accession
• Slightly different procedure than WTO Members
• Commitments integrated into the Protocol of Accession
• Timing typically linked to accession
Final Provisions
• Domestic – Implementation– Parliamentary approval or similar legal
procedures– Industry adjustment
• WTO– Certification– Letter of acceptance
The Work of the Committee• Committee of Participants on the
Expansion of Trade in Information Technology Products was established in 1997 to carry out the provision of the Ministerial Declaration
• The Committee is open to all participants, and other WTO Member and acceding countries are invited as observers
• Oversees matters of implementation, and any other issue related to the declaration
In Summary
• Experiences vary by participant– Length of time– Level of commitments
• Participant-driven process
• Secretariat available at any stage of the process for assistance
