The revised and presumably final draft of the Ministerial Declaration
came out at 1130pm on Sat 27 Oct Geneva time.

The revised draft is worse than the first.

RAPID COMMENT ON REVISED DOHA MINISTERIAL DECLARATION
28 October 2001

Martin Khor, Third World Network

The revised and presumably final draft of the Ministerial Declaration
came out at 1130pm on Sat 27 Oct Geneva time.

The revised draft is worse than the first.

Paras 20 to 23 are on the new "Singapore issues." The draft
commits Ministers to negotiate new agreements on all the issues,
ie investment, competition, transparency in govt procurement and
trade facilitation.

In the first draft there was a choice or option given for investment
and competition, between either starting negotiations or continuing
the study process in the working groups. This option is now removed.

Instead, on para 20, on investment, the Ministers commit to focus work
in the next 2 years (until the 5th Ministerial) to clarify elements of a
possible multilateral investment framework. The core elements mentioned
are the familiar ones---scope and definition, transparency, non-
discrimination, pre-establishment commitments (GATS-type), with a
mention of development provisions and exceptions/safeguards.
Then at the 5th Ministerial "a decision will be taken on modalities of
negotiations in this area." In other words, the next two years would
already start negotiations (although couched in terms of "clarifying
elements") and after the 5th Ministerial clear negotiations for an
agreement
will continue.

Para 21 on competition has the same format: in the next 2 years, work
will focus on clarifying elements of a possible multilateral framework
(addressing core principles of transparency, nondiscrimination, procedural
fairness, hardcore cartels). At the 5th Ministerial, "a decision will be
taken on modalities of negotiations in this area." In other words,
negotiations will already begin after Doha (couched in terms of clarifying
elements) and will pick up after the 5th Ministerial.

For transparency in govt procurement (para 22), negotiations will start
straightaway. So too for trade facilitation (para 23).

The decision by the Chairman of General Council to go ahead with
these negotiations on the 4 Singapore issues goes against the expressed
wishes of a majority of developing countries, which voiced their
opposition and their not being prepared to begin negotiations, in
statements made at the General Council on 2-3 October after the
first draft appeared and also subsequently in informal meetings.

The revised draft on industrial tariffs (para 16) remains basically the
same, ie to launch negotiations to reduce industrial tariffs, mentioning
"product coverage shallshall be comprehensive and without a priori
exclusions." This is despite the submission by the LDC group and by
a group of 7 African countries, that instead of negotiations, a study
process should be initiated, to examine how previous reductions in
industrial tariffs have hurt local industries and displaced jobs in
developing countries. Only upon the completion of the study process
should there be consideration of negotiations. This proposal arose
because of the anxieties of these countries that their local industries
have already been very adversely affected by prevsious industrial tariff
cuts. This concern and the proposal to have a prior study process has
been ignored by the revised draft.

The section on TRIPS (para 17 and 18) is as weak as before. It makes
a reference to a separate document on TRIPS and health, which is an
inadequate and controversial draft with which developing countries and
NGOs alike are unhappy about. It does not reflect concerns about
patenting of life. It is oblivious to the rising public concerns that
TRIPS
is imbalanced in favour of rights holders and against consumers
especially of essential goods like medicines and of users of technology.
It is oblivious to the public call for radical changes to TRIPS and
for removing TRIPS from WTO.

The final section (organisation of work program, para 38 to 45) is
very dangerous. Like in the first draft, it contains all the elements
of a comprehensive Round, despite the fact that LDCs and many other
developing countries had protested against these elements. The
elements of a broad Round include: (a) negotiations to conclude
not later than....(a certain date). (para 38). (b) negotiations to be
supervised by a Trade Negotiations Committee whioch will establish
"appropriate negotiating mechanisms". (para 39). (c) The outcome of
negotiations will be treated as parts of a single undertaking (Para 40).
(d) elements of the work program that do not involve negotiations are
accorded high priority and report of progress will be made to the 5th
Ministerial (This gives a mechanism to upgrade these elements into
negotiations for agreements or new rules). (para 41).

CONCLUSION:

The demands of civil society (no new round, turnaround) and also
of many developing countries (resolve imbalances and implementation
problems, don't start a broad-based new round) have been totally
ignored. There is a massive attempt here to give even more
unprecedented rights to the large corporations of developed countries
at the expense of space for domestic policy making, and of consumers,
the public and small and medium firms and farms and their employees.