Planning NAMA Negotiations

7 March, 2005

Geneva - Doha Development Agenda market access for industrial and consumer goods Chairman Stefan Hakur Johannesson has proposed to negotiators a checklist of issues to form part of an eventual formula to cut tariffs (WTD, 3/7/05). The checklist includes treatment of unbound tariff lines, ad valorem equivalents and product coverage.

In a fax to members, Mr. Johannesson suggested that members discuss specific negotiating proposals on treating non-reciprocal preferences for developing countries - "squaring the circles of ambition plus flexibility." On the agenda for next Monday are proposals by the African group and a joint proposal by Mexico, Colombia and Chile.

A discussion of non-tariff barriers will take place next Tuesday; and the checklist itself will be the topic for the March 16 meeting.

A formula for bringing down tariffs on industrial goods was discussed by trade ministers last week in Mombasa. The United States offered a dual-coefficient "Swiss" formula, while the European Union outlined its credit-based approach, providing longer implementation periods for countries with lower import tariffs and a shorter phase-in for countries with higher tariffs.

Other Approaches

Mexico presented another credit-based approach - a longer time-frame to reduce tariffs for developing countries not seeking flexibilities and shorter time-frames for those demanding a higher regime of flexibilities.

India, China, Brazil, Argentina and South Africa called for a modified-"Girard" framework with various coefficients for three different tariffs bands.

Ministers in Mombasa urged a speed-up in the nonagricultural market access negotiations - with Kenya trade minister Mukhisa Kituyi saying members should write proposals on elements of a formula with a view toward agreeing to the formula before June.

The European Union urged a special informal group of trade ministers to deal with industrial market access talks - but apparently there were no takers, WTD has learned.