Final Extension of Transition Period for Export Subsidy Programme of 19 Developing Countries Extended Till 2013 End

The beneficiaries of the transition period are Antigua and Barbuda, Barbados, Belize, Costa Rica, Dominica, Dominican Republic, El Salvador, Fiji, Grenada, Guatemala, Jamaica, Jordan, Mauritius, Panama, Papua New Guinea, St. Kitts and Nevis, St. Lucia, Saint Vincent and the Grenadines, and Uruguay.

In 2007, the General Council adopted a decision on procedures for the extension of the transition period for the elimination of export subsidy programmes of these developing countries. The decision enables the Subsidies Committee to continue to grant extensions of the transition period until the end of 2013, with a final phase out period of two years, which shall end no later than 31 December 2015.

At the meeting, Colombia urged beneficiary countries to start enacting legislation that would phase out the subsidy programmes.

Notifications

The chair, Mr Sam C.S. Hui (Hong Kong, China), expressed concern that 73 members have not yet submitted their 2011 subsidy notifications. He underlined the importance of notifications in the work of the Committee.

New Zealand, supported by Argentina, Norway, the United States and Chile, urged members to notify fisheries subsidy programmes as called for by the Rio+20 Conference.

The United States reiterated its concerns about incomplete subsidy notifications from China and India respectively. The European Union, Canada, Japan and Turkey shared the US concerns. China said it is in contact with the United States on this matter bilaterally and would keep the Committee informed of progress. India said it had recently notified its fisheries subsidy programmes, and that it remains committed to fulfilling its obligations under the Agreement.

Textiles

The United States and Turkey again urged India to start phasing out its export subsidies to its textile and clothing industry, which the WTO Secretariat had found to be export competitive as from 2007.

India reiterated that it wants clarity and common understanding first on certain issues about its obligations to phase out subsidies, and that it is open to bilateral discussions.

Other business

India expressed concern about certain changes made in a WTO Secretariat background note on notifications despite reservations voiced against them in a Committee meeting. China, South Africa and Brazil shared India’s concern. The United States said the background note was produced by the Secretariat on its own responsibility. The Chair said he would discuss the matter with interested delegations.

The United States called on Canada to provide more information about its government assistance to the reopening of the Port Hawkesbury paper mill in Nova Scotia, and expressed the hope that the subsidies be expeditiously withdrawn. The European Union shared the US concern. Canada said that the support in question is under the purview of a provincial entity, and that it is working with Nova Scotia on answers to US questions sent on 11 October 2012. It said it already has started a dialogue with the United States on this matter, and invited the European Union to a similar discussion.