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TWN
Info Service on WTO and Trade Issues (Apr22/02) Geneva, 31 Mar (D. Ravi Kanth) – The members of the World Trade Organization on 31 March approved the review of the operation of the Bali decision on TRQ (tariff rate quota) administration concerning the under-fill mechanism, after India finally joined the consensus on this pending issue, said people familiar with the development. At a special WTO General Council (GC) meeting on 31 March, the GC chair, Ambassador Didier Chambovey from Switzerland, gaveled the decision on the “future operation” of Paragraph 4 of the under-fill mechanism before the deadline ended on 31 March. India, which is the last country to adopt the under-fill mechanism on 29 March, made it possible for the decision to be gaveled, said people, who preferred not to be quoted. Early this year, China, followed by Vietnam and South Africa, approved the decision. The Bali decision on TRQ administration, which was agreed at the WTO’s ninth ministerial conference in Bali, Indonesia, in December 2013, will now be extended indefinitely. At the special GC meeting, Ukraine and the developed countries led by the United States raised the issue of the war in Ukraine, severely criticizing Russia for its military actions that violated the sovereignty and territorial integrity of Ukraine. However, Russia countered the arguments raised by Ukraine and its supporters from the developed countries, saying that the WTO is not the forum to raise these issues. It has now become a regular spectacle to witness the moves at “Russia-bashing” at every WTO committee meeting, including at the Market Access Committee meeting that ended on 31 March. As regards the TRQ under-fill mechanism, the special GC meeting approved Paragraph 4 of Annex A of the Bali Decision on TRQ Administration. It reads as follows: “4.a. The importing Member shall then promptly provide unencumbered access via one of the following tariff quota administration methods: a first-come, first-served only basis (at the border); or an automatic, unconditional license on demand system within the tariff quota. In taking a decision on which of these two options to implement, the importing Member will consult with interested exporting Members. The method selected shall be maintained by the importing Member for a minimum of two years, after which time – provided that timely notifications for the two years have been submitted – it will be noted on the Secretariat’s tracking register and the concern marked “closed”. 4.b. Developing country Members may choose an alternative tariff quota administration method or maintain the current method in place. This choice of an alternative tariff quota administration method shall be notified to the Committee on Agriculture under the provisions of this mechanism. The method selected shall be maintained by the importing Member for a minimum of two years, after which time, if the fill rate has increased by two-thirds of the annual increments described in paragraph 3(b), it will be noted on the Secretariat’s tracking register and the concern marked “closed”. At the request of an interested Member, the provisions under paragraph 4(a) shall apply if after the two years the fill rate has not increased at least by two-thirds of the annual increments described in paragraph 3(b). If no request is made, the concern shall be marked as “closed”. Henceforth, paragraphs 13-15 of the Bali Decision on TRQ Administration, along with Annex B, are rendered non-operational.”
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