TWN Info Service on WTO and Trade Issues (Feb22/19)
23 February 2022
Third World Network

WTO's MC12 likely to be held in the week of 13 June
Published in SUNS #9520 dated 23 February 2022

Geneva, 22 Feb (D. Ravi Kanth) -  Many countries have apparently expressed their preference for reconvening the World Trade Organization's 12th ministerial conference (MC12) in the week beginning on 13 June, leaving more than three months to resolve their seemingly unbridgeable differences on the proposed "deliverables" for that conference, said people familiar with the development.

At an informal General Council (GC) meeting on 22 February, many members including the ACP (African, Caribbean, and Pacific) group, the African Group, the least-developed countries (LDCs), China, India, Indonesia, South Africa, Brazil, and the United Kingdom among others showed their preference for reconvening MC12 in the week beginning on 13 June, said people, who asked not to be quoted.

In an email sent to members on 17 February, the GC chair, Ambassador Dacio Castillo from Honduras, said "the possible windows for a reconvened MC12 are: 2 to 4 June 2022, or the week of 13 June 2022."

These two alternative dates were arrived at following the chair's discussions with Swiss trade envoy Ambassador Didier Chambovey, who apparently held consultations with his authorities.

Some countries such as Norway, Turkey, and the Philippines among others are understood to have opted for the chair's first alternative date of 2-4 June, said people, who asked not to be quoted.

The US said that it remains flexible with either of the chair's alternatives, while the European Union opted for the second alternative of the week beginning on 13 June.

US-EU HIGH-LEVEL DIALOGUE AHEAD OF MC12

Ahead of MC12, the US and the EU are expected to hold a high-level dialogue in France on 15-16 May, as part of the Trade and Technology Council (TTC), in an apparent move to align their positions on the crucial "deliverables" for MC12 such as fisheries subsidies, dispute settlement, proposed WTO reforms, and the WTO's response to the pandemic among others, said people familiar with the development.

"This vital joint forum is crucial for providing global leadership across a range of key issues," the EU trade commissioner Mr Valdis Dombrovskis said in a tweet on 21 February.

The US Trade Representative (USTR) Ambassador Katherine Tai concurred with her EU counterpart, saying that "the #TTC is a vital joint forum to strengthen the US-EU relationship and shared challenges."

Ambassador Tai's announcement came after discussions with French trade officials on 21 February.

The two sides also "discussed the challenges posed by non-market economies and the role the TTC can play in dealing with adverse impact of non-market economic practices," according to a report in the Washington Trade Daily on 22 February.

The two sides further "discussed the need for reform of the World Trade Organization including its dispute settlement system and reaching a meaningful conclusion of the fisheries subsidies negotiations."

EU-AFRICAN UNION SUMMIT

On 18 February, the leaders of the European Union and the African Union issued a "grand vision" document for 2030 containing several pledges.

However, the two sides remained silent on what they intended to do on the WTO's response to the pandemic and the temporary TRIPS waiver.

Despite the growing international support for the TRIPS waiver which has been co-sponsored by 65 countries at the WTO, the EU apparently blocked language on addressing this issue, according to people familiar with the development.

Instead, the EU managed to insert language in the vision document that states, "learning from the current health crisis, we are committed to supporting full-fledged African Health sovereignty, in order for the continent to respond to future public health emergencies."

"To this end, we support a common agenda for manufacturing vaccines, medicines, diagnostics, therapeutics, and health products in Africa, including investment in production capacities, voluntary technology transfers as well as strengthening of the regulatory framework to enable equitable access to vaccines, diagnostics, and therapeutics."

Interestingly, the vision document did not make any reference to IPR (intellectual property rights) barriers even as the South African President Mr Cyril Ramaphosa made strong calls for an urgent agreement on the TRIPS waiver on 18 February.

President Ramaphosa said that "governments that are really serious about ensuring that the world has access to vaccines should ensure that we approve the TRIPS waiver as we've put forward," according to a news report in Politico on 18 February.

In a statement issued at the EU-African Union leaders' summit, President Ramaphosa apparently underscored the importance of the TRIPS waiver in addressing the COVID-19 pandemic.

He emphasized that an agreement between the EU and the Africa Group on the waiver means "mutual respect, mutual recognition of what we can all bring to the party, investment in our economies, infrastructure investment and, in many ways, giving back to the continent."

Several other African leaders appear to have demanded that the EU accept the TRIPS waiver so as to ensure that African countries can create manufacturing facilities for producing diagnostics, therapeutics, and vaccines to combat COVID-19.

However, the EU seems to have brushed aside the concerns raised by the leaders from the African Union.

It remains to be seen whether the "grand vision" for 2030 call will influence the positions adopted by the African countries in areas such as agriculture, fisheries subsidies, the WTO's response to the pandemic, and the proposed WTO reforms among others, said people familiar with the development.