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Existing provisions of WTO accord
not friendly for LDCs
The
Bangladesh
Observer
January 27, 2004
Staff Correspondent |
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Existing provisions of the World
Trade Organisation (WTO) agreement
regarding the dispute settlement
understanding (DSU) is not friendly
for the Least. Developed Countries
(LDCs). Instead LDCs concerns are
neglected in WTO agreement. It has
been observed that over 280 disputes
brought in WTO for solutions did apt
Involve LDC. Dennis
Browne,''-Director Emeritus of
Centre for Trade Policy and Law, (CTPL)
said that there have no enough
provisions and legal contents in,
the dispute: settlement issue in WTO
agreement. Centre for ' Policy
Dialogue (CPD) in collaboration with
CTPL organised a dialogue on
'Dispute settlement in the WTO: How
Friendly is it for the LDCs?' at the
CIRDAP auditorium on Monday. Browne
presented a key note pa-per at the
dialogue. Browne mentioned some
remedies to improve the provisions
on DSU. Dispute settlement talk
should be held in the capital of
least developed country and no
settlement talk will cross 60 days
limit. There may have also options
for use of good offices,
conciliation, mediation in case of
failure in consultation. In case of
conciliation or mutual
understanding, both 'parties need to
give extra 15 days to accept the
solution proposal. He made another
proposal that in case of failure in
consultation and mutual
understanding stages, expeditious
arbitration should see its result
within 60 days instead of three
years. Besides, if any action of any
country affects any enter-prise of
LDC, monetary compensation may be
given, he added. Under the existing
provisions of WTO agreement, dispute
settlement is 'too complex, too
expensive and time consuming.'
Ustially any dispute settlement talk
is held in Geneva. Dispute
settlement process takes about three
years. Such huge time for any
solution can affect the economy of
LDC like Bangladesh, Director
Emeritus, of CTPL told the dialogue.
Moreover, solutions following the
existing 'provisions of dispute
settlement understanding cannot
repair the dam-ages suffered by LDC
enterprises. Pointing .out an
unfavourable point for LDCs in WTO'
agreement he said that any dispute
accrued to WTO's benefit can be
impaired or blocked by another
member. In this case, he referred
Bangladesh's situation in response
to imposition of anti-dumping duties
on Bangladeshi products. As the
safeguard measures for LDCs in the
form of special and differential
(S&D) treatment is neglected in the
WTO provisions he said, 'soft laws
that include special and
differential treatment provision
tends to be nullified.' For this,
most of the S&D measures are not
enforceable. Honouring the
provisions is completely dependent
on the good will of the opposite
party, Browne said adding 'no
progress has made on S&D issue after
Doha Ministerial Declaration.'
However he recommended four
approaches dispute avoidance,
mutually agreed settlement, self
help and legal regulation for any
meaningful solutions. Attended the
dialogue as the Chief Guest Commerce
Minister Amir Khosru Mahmud
Chowdhury said that WTO panel for
dispute settlement should include
LDC member. To improve the WTO
provisions on DSU, the Minister said
that they would put forward concrete
suggestions on twelve areas in the
perspective of LDCs. "We brought the
consultation issue before
anti-dumping and compensation issue
in case of damages in the already
signed SAFTA agreement and hope to
raise these issues to be
incorporated in WTO agreement,"
Khosru said. About the funding of
litigation for LDCs the Minister
said that such cost should come from
global trust fund and there had such
proposal in the Doha Declaration.
Chaired by CPD Executive Di-rector
Debapriya Bhattacharya the dialogue
was also addressed by Tariff
Commission Chairman Mohammad Ali
Taslim and Awami League leader
Mohammad Faruk Khan MP. The open
discussion session of the dialogue
was participated by representatives
of political parties, government
officials, business representatives,
civil society activists and
development partners.
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