Managing the Challenges of WTO Participation: 45 Case Studies

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This compilation of 45 case studies documents disparate experiences among economies in addressing the challenges of participating in the WTO. It demonstrates that success or failure is strongly influenced by how governments and private sector stakeholders organise themselves at home. The contributors, mainly from developing countries, give examples of participation with lessons for others. They show that when the system is accessed and employed effectively, it can serve the interests of poor and rich countries alike. However, a failure to communicate among interested parties at home often contributes to negative outcomes on the international front. Above all, these case studies demonstrate that the WTO creates a framework within which sovereign decision-making can unleash important opportunities or undermine the potential benefits flowing from a rules-based international environment that promotes open trade.

Author(s): Peter Gallagher, Patrick Low, Andrew L. Stoler
Publisher: Cambridge University Press
Year: 2006

Language: English
Pages: 668

Half-title......Page 3
Title......Page 5
Copyright......Page 6
CONTENTS......Page 7
Disclaimer......Page 12
ABBREVIATIONS......Page 14
1 What is in this book......Page 17
2 Playing the game......Page 18
3 The big picture......Page 19
Accession......Page 20
Disputes......Page 22
Standards and SPS......Page 24
Intellectual property......Page 26
Services......Page 27
Advocacy and ‘democratic accountability’......Page 29
An ‘agent of restraint’......Page 33
Two special regions......Page 34
5 Who’sin charge?......Page 36
1 The problem in context......Page 39
The multilateral legal incident......Page 41
The public sector......Page 43
A flagship sector......Page 44
3 The process and the outcome......Page 45
4 Challenges confronted in the process......Page 50
5 Lessons for others......Page 52
Bibliography......Page 53
2 Argentina and GATS: a study of the domestic determinants of GATS commitments......Page 54
1 Determinants of trade policy formation......Page 55
2 Argentina’s GATS schedules......Page 56
Stage 1: learning what services negotiations were about......Page 59
Stage 2: accounting for Argentina’s GATS offer......Page 63
4 Conclusion......Page 67
Bibliography......Page 68
1 The problem in context......Page 69
The decision to seek redress and preparations......Page 70
Preparations for a legal suit......Page 71
Triumph of the rule-based international trade regime......Page 72
Reactions to the court order......Page 74
1 The problem in context......Page 79
2 The local and external players and their roles......Page 81
3 Challenges faced and the outcome......Page 85
4 Lessons for others (the players’ views)......Page 91
1 The problem in context......Page 94
2 The political economic context......Page 95
3 GATS commitments......Page 97
Government......Page 98
Industry......Page 100
Civil society......Page 101
Knowledge of services agreement......Page 102
Co-ordination and technical capacity......Page 104
Balancing interests and sequencing liberalization......Page 105
Prioritizing services......Page 106
National co-ordination......Page 108
7 Perceptions about theWTO......Page 109
Participation in the WTO......Page 111
Interagency co-ordination......Page 113
Economic background......Page 114
The Ministry of Trade and Industry......Page 116
Ministers of trade......Page 117
Non-government bodies......Page 118
SACU......Page 119
Negotiating capacity......Page 120
Involvement of other stakeholders......Page 121
Capacity of the Ministry of Trade and Industry......Page 122
Consultation with other stakeholders......Page 123
1 Introduction......Page 125
2 The local and external players: roles and interaction......Page 126
The first challenge: the establishment and the composition of the G20......Page 130
The second challenge: building consensus and retaining cohesion in the G20......Page 131
The outcome: a high level of legitimacy and Brazil becomes a major player in agricultural negotiations......Page 132
4 Learning from the experience......Page 133
Bibliography......Page 135
1 The problem in context......Page 136
The membership application......Page 137
The negotiation process......Page 139
The ratification of WTO membership......Page 140
The market niche......Page 142
Legislation and reform implementation......Page 143
Increasing supply capacity for exports......Page 144
Agriculture issues......Page 146
Competitiveness......Page 147
4 Concluding remarks......Page 148
9 Canada and the WTO: multilevel governance, public policy-making and the WTO Auto Pact Case......Page 150
1 The Auto Pact Case......Page 154
2 The policy-making process in Canada in response to theWTO challenge......Page 158
3 Some tentative observations......Page 163
1 The problem......Page 166
Chile......Page 168
The European Union......Page 169
World Organization for Animal Health......Page 171
3 Facts......Page 172
4 Challenges faced and the outcome......Page 176
Chile......Page 179
DG SANCO......Page 180
OIE experts......Page 181
6 Conclusion......Page 182
1 The problem in context......Page 183
2 The local and external players and their roles......Page 184
3 Challenges faced and the outcomes......Page 185
Case study 1: automobiles – auctioning licence plates and national treatment......Page 188
Case study 2: an early-warning system for anti-dumping disputes in China......Page 190
4 The Shanghai WTO Affairs Consultation Centre: lessons for others......Page 192
Setting the scene......Page 194
WTO context......Page 195
Costa Rica’s perspective on the problem......Page 196
Government players......Page 197
Private-sector players......Page 198
3 Challenges faced and the outcome......Page 199
4 Lessons for others (the players’ views)......Page 202
1 Theproblem in context......Page 205
Sugar......Page 206
The garment sector......Page 210
Alternative opportunities for the future......Page 212
4 Lessons for others: Fiji’s approach to loss of preferences......Page 215
1 The problem in context: how does France participate in multilateral trade negotiations?......Page 217
Policy-makers’ preferences......Page 218
Institutional design......Page 219
Vocal agricultural lobbying......Page 221
Weak corporate lobbying......Page 223
3 Challenges and the outcome: the forming of French positions in the Cancun´ market access negotiations......Page 224
Agriculture: ‘the chicken and egg story’......Page 225
Egg......Page 226
Non-agricultural market access: the lonely long-distance runner......Page 228
Services: hot political agenda, cold bureaucratic work......Page 229
4 Lessons for others......Page 230
1 The problem in context......Page 232
The federal government......Page 233
The state governments......Page 234
Industry......Page 235
Academic institutions and think tanks......Page 236
3 Challenges faced and the outcome......Page 237
Identification of key issues......Page 238
Inter-ministerial consultations......Page 239
State-level consultations......Page 240
Finalization of the proposal by the Cabinet......Page 241
The perception of theWTO’s role in the process......Page 242
4 Lessons for others (the players’ views)......Page 244
1 The problem in context......Page 247
GI registration......Page 248
Status of registration of GI......Page 249
The appointment of the International Watch Agency......Page 250
2 Local and external players and their roles......Page 251
3 Challenges faced and the outcome......Page 252
Other instances of defending GI against developed countries......Page 254
4 Lessons for others......Page 255
1 The case history......Page 257
2 The national and international context......Page 258
3 The Indian shrimp industry and its response......Page 260
WTO-related issues......Page 265
4 Lessons learnt......Page 267
1 Background......Page 269
The Japanese market......Page 271
The US market......Page 272
Responses to chloramphenicol contamination......Page 273
Responses and Action to Cheap Imported Shrimp......Page 274
4 Lessons for others......Page 277
Bibliography......Page 278
1 The problem in context: patent issues in access to AIDS drugs in Kenya......Page 280
2 The local and external players and their roles......Page 282
3 Challenges faced and the outcome......Page 288
Beyond the patent debate......Page 292
Other non-IP strategies that can facilitate access to AIDS drugs in Kenya......Page 295
4 Lessons for others: the players’ views......Page 298
1 The problem in context......Page 300
The private sector......Page 301
Co-ordination of WTO matters in Kenya......Page 302
Negotiations in agriculture: some insights into Kenya’s WTO participation......Page 307
3 Challenges faced and the outcome......Page 308
Effectiveness of theNCWTO......Page 309
Participation in NCWTO meetings by stakeholders......Page 310
Inclusiveness and awareness......Page 311
Notifications......Page 312
4 Lessons for other players......Page 313
References......Page 315
Korean development and its attitude to trade......Page 316
Korean perception of trade disputes......Page 317
The Korean perception of the WTO......Page 318
2 The local and external players and their roles......Page 320
The Korean case: the anti-dumping measure......Page 323
The Korean case: the anti-circumvention investigation......Page 324
The Korean case: panel request......Page 325
4 The outcome......Page 326
The Korean players’ views......Page 327
6 Lessons for developing countries......Page 330
2 The problem in context......Page 332
3 The players and their roles......Page 335
4 Challenges faced and the outcome......Page 336
5 Lessons for others......Page 340
1 The problem in context......Page 342
2 The local and external players and their roles......Page 344
3 Challenges faced and the outcome......Page 346
4 Lessons for others (the players’ views)......Page 350
References......Page 352
1 The problem in context......Page 353
The Malaysian economic story......Page 355
The rubber industry and condom manufacturing......Page 356
2 The local and external players and their roles......Page 357
3 Challenges faced and the outcome......Page 359
The outcome......Page 361
4 Lessons for developing countries......Page 362
1 The services sector inMalaysia: a brief update......Page 365
2 Challenges for theMalaysian services sector in the wake of GATS......Page 366
3 Policies and strategic initiatives to prepare the services sector......Page 368
Bibliography......Page 376
1 The problem in context......Page 378
2 The local and external players and their roles......Page 379
3 Challenges faced and outcomes......Page 380
Overcoming the disadvantages of distance: the tourism sector......Page 381
Regional relations: positioning Mauritius as a strategic hub......Page 382
The sugar sector: making the most of a changing environment......Page 383
Textiles and clothing production......Page 386
Alternative agricultural activities......Page 387
4 Lessons for others......Page 388
1 Introduction......Page 390
Actors in the WTO trade policy process......Page 392
Mauritius......Page 393
COMESA......Page 395
SADC......Page 397
3 Regional support and co-ordination......Page 398
Direct support onWTOissues......Page 399
The (informal) co-ordination role of the regions......Page 403
4 Main lessons......Page 405
Annex I ABC of WTO global coalition groupings9......Page 407
References......Page 409
1 The peasant mobilizations and their claims......Page 410
Peasant organizations......Page 413
Government agencies......Page 414
Congressional bodies......Page 415
Other actors......Page 416
3 Challenges to theMexican government and the outcome......Page 417
4 Lessons for other countries......Page 421
References......Page 423
An ill-prepared accession......Page 425
Implementation: a one-sided approach......Page 426
2 The local and external players and their roles......Page 428
3 Challenges faced and the outcome......Page 430
4 Lessons for others (the players’ views)......Page 433
1 The problem in context......Page 436
2 The local players and their roles......Page 438
3 Challenges faced and the outcome......Page 440
Resisting the imposition of UPOV......Page 441
Ratification of the agreement on accession to the WTO......Page 443
4 Lessons for others......Page 444
1 The problem in context......Page 446
2 The local and external players and their roles......Page 447
3 Challenges faced and the outcome......Page 449
4 Lessons for others (the players’ view)......Page 452
1 Trends in import prohibition......Page 454
2 Local and external players and their roles......Page 456
Local players......Page 457
External players......Page 459
3 Challenges faced and the outcome......Page 461
4 Lessons......Page 463
References......Page 464
1 The problem in context......Page 466
2 Local and external players......Page 468
3 Challenges faced and the outcome......Page 469
4 Case study of the shared representative approach......Page 470
5 Lessons for others......Page 472
34 Victory in principle: Pakistan’s dispute settlement case on combed cotton yarn exports to the United States......Page 475
1 The problem in context......Page 476
All Pakistan Textile Mills Association......Page 477
The Ministry of Commerce......Page 478
At the proceedings......Page 479
Behind the scenes......Page 480
Delay in taking the case up to the DSB......Page 482
The raising of funds to contest the case at the DSB......Page 483
The proceedings......Page 485
The government......Page 486
APTMA......Page 487
The business players......Page 488
1 The problem in context......Page 489
The EU agricultural imports policy......Page 490
Reason for the withdrawal of the abatement and its likely impact......Page 493
Linking geographical indications with trade in basmati rice......Page 494
2 Local and external players and their roles......Page 495
The private sector......Page 496
3 Challenges faced and the outcome......Page 497
4 Lessons for others......Page 500
1 The problem in context......Page 502
The creation of the TF-WAR......Page 503
3 Challenges faced and the outcome......Page 505
A. The agriculture trade negotiation process......Page 506
B. The TF-WAR process......Page 508
A more informed, balanced and credible negotiating position is adopted......Page 510
A transparent process provides equal access and a neutral venue for stakeholders......Page 511
The TF-WAR supplies stability to the negotiations effort......Page 512
Stakeholders improve their understanding of the international trading system......Page 513
The quality of trade policy-making is improved......Page 514
Weaknesses......Page 515
5 Conclusion......Page 516
37 Philippines: adopting the transaction basis for customs valuation......Page 518
1 Why reform customs valuation?......Page 519
2 RA 8181: a good attempt given the constraints......Page 521
Adjusting import assessment procedures......Page 522
3 RA 9135: improving the law......Page 523
Post-entry audit: a licence to abuse?......Page 524
The need to improve RA 8181......Page 526
The effect on customs collection......Page 527
5 Concluding remarks: lessons learned......Page 528
Locking the reformin......Page 530
38 The reform of South Africa’s anti-dumping regime......Page 532
The history of the use of trade remedies in South Africa......Page 533
South Africa’s increasing use of anti-dumping measures......Page 535
South Africa’s obligations under the WTO......Page 536
Changes in regional dynamics......Page 538
Anti-dumping in South Africa under the 1996 SACU Agreement......Page 539
The domestic adoption of the International Trade Administration (ITA) Act and the SACU Agreement......Page 540
Defending South Africa’s anti-dumping legislation in the WTO......Page 542
Implementing the new anti-dumping system in SACU......Page 543
4 Lessons for others......Page 544
Annex I......Page 546
Bibliography......Page 547
39 The impact of GATS on telecommunications competition in Sri Lanka......Page 548
1 The background to and the evolution of Sri Lanka’s telecommunications industry......Page 551
2 The perceptions of market players of Sri Lanka’s interconnection scenario......Page 560
3 The political economy of Sri Lanka’s telecommunications industry......Page 564
4 Conclusion......Page 567
Annex I Salient features of the Interconnection Rules of 2003:......Page 568
References......Page 569
40 Thailand: conciliating a dispute on tuna exports to the EC......Page 571
1 The players......Page 573
2 Challenges and the outcome......Page 575
3 Lessons......Page 579
41 Uganda’s participation in WTO negotiations: institutional challenges......Page 582
1 Consultation processes in Uganda for trade negotiations......Page 583
2 The challenges of participation inWTO trade negotiations......Page 585
3 The way forward......Page 589
Annex I......Page 590
Bibliography......Page 591
1 The problem in context......Page 593
The players and their roles......Page 595
Relevant features of the strategy-building process......Page 597
3 Challenges faced and the outcome......Page 599
4 Lessons for others......Page 603
Bibliography......Page 605
Economic conditions......Page 606
Reasons for the suspension of the accession......Page 607
Ministers of Trade......Page 610
Director of Trade......Page 611
WTO Secretariat, Accessions Division......Page 612
NGOs......Page 613
The New Zealand and Australian High Commissions......Page 614
Goods......Page 615
Services......Page 616
Special and differential treatment......Page 617
Coping with limited capacity......Page 618
Using international resources......Page 619
Consultation and transparency......Page 620
Trade negotiations strategy......Page 621
1 The problem in context......Page 623
2 Local and external players and their roles......Page 625
3 Challenges faced and the outcome......Page 630
4 Lessons for others: the players’ views......Page 635
References......Page 636
1 The problem in context......Page 637
2 Challenges faced by the Vietnamese banking sector......Page 641
3 Facing the challenge of liberalization......Page 646
4 Lesson fromVietnam’s experience......Page 649
INDEX......Page 650