Broad Agreement on WTO Reform as
“Central Priority” for MC14, said DG Okonjo-Iweala
There
is a “broad agreement” among WTO members that repositioning and reform of the organization
must be a central priority for the 14th Ministerial Conference (MC14) due to take
place in March 2026, Director-General Ngozi Okonjo-Iweala
said on 7 May. She spoke at a meeting of the WTO’s Trade Negotiations Committee
(TNC) in her capacity as Chair of the body.
“We
are now in the midst of one of the largest disruptions in world trade in history,”
the Director-General told members. “But we
are also now less than a year away from MC14, and we must think of what we need
to do to maximize our chances for success there, including tackling some of the
issues thrown up by this trade crisis.”
Against
this backdrop, DG Okonjo-Iweala said, she has spent the
past few weeks engaging with members to discuss what might constitute a credible
roadmap to MC14, which will begin on 26 March 2026 in Yaoundé, Cameroon.
The
Director-General said members stressed the importance of MC14 sending a clear political
message reaffirming the WTO's relevance and resilience amidst ongoing global uncertainty. There was also strong support for prioritizing
WTO repositioning and reform at MC14, she noted.
In
regard to substance, many members have proposed forward-looking corrective actions
to inadequacies in the WTO's existing rulebook, together with reforms across core
functions, including monitoring and transparency, negotiations, and dispute settlement,
she said.
“The
present disruption is seen as a vital opportunity to address the system's weaknesses
and reposition the WTO for the future,” the Director-General said. “We must not waste a crisis.”
As
part of this, workstreams could be established on issues such as dispute settlement
reform, how to ensure the current WTO agreements remain dynamic and relevant, and
looking at future trade rules so that the WTO remains responsive to evolving needs,
the Director-General said.
She
proposed a phased approach, consisting of a facilitator-led scoping exercise prior
to MC14, ministerial guidance at MC14 on actionable steps for moving forward, and
post-MC14 implementation within the workstreams, with the view to presenting concrete
outcomes for endorsement at the 15th Ministerial Conference or earlier.
“We
must seize this reform opportunity with seriousness and urgency,” the Director-General
declared. Members “need to consider not what the organization can do for us, but
what we are willing to give up to reform the organization so it can survive and
thrive.”
The
Director-General noted other priority areas identified for MC14, including agriculture,
the “second wave” of fisheries subsidies negotiations, the e-commerce work programme
and moratorium, the incorporation of the Investment Facilitation for Development
Agreement and the joint initiative e-commerce agreement into the WTO framework,
and development issues.
On
all these issues, a stocktaking of the progress made will take place in July, and
by December members “will need to make a clear decision on which negotiating issues
are mature enough to be carried forward to MC14, and which are not,” the Director-General
said. “The overarching goal in all this is
to enable productive and meaningful ministerial engagement in Yaoundé.”
Reports from negotiating chairs
Members
received updates from the chairs of the ongoing WTO negotiations on agriculture,
fisheries subsidies, trade and development, the establishment of a multilateral
system of notification and registration of geographical indications for wines and
spirits, trade and environment, and services.
Reporting
in his capacity as Chair of the agriculture negotiations, Ambassador Ali Sarfraz
Hussain (Pakistan) noted his consultations with members and the first negotiating
group meeting since his appointment as Chair earlier this year. He said there was “broad recognition” that delivering
an outcome on agriculture is “critical for reinforcing the credibility of the WTO”
but acknowledged that on substance, “the main positions have not shifted significantly.”
On
the way forward, the Chair said he would first give proponents space to intensify
their engagement and then hold targeted meetings with both proponents and non-proponents
to explore ways forward. This would be followed by open-ended meetings of the negotiating
group, whenever needed, to ensure full transparency and inclusivity. This could lead to a stocktaking event in late
September or early October after which members will collectively assess the progress
made and decide on the best path forward, including the nature of any possible outcomes
at MC14.
Reporting
in his capacity as the Chair of the fisheries subsidies negotiations, Ambassador
Einar Gunnarsson (Iceland) noted that he led a series of bilateral consultations
in late March/early April to hear views on the next steps. In light of this, the Chair said he would organize
meetings over the coming weeks to exchange views on the “second wave” negotiations
as well as the entry into force and implementation of the Agreement on Fisheries
Subsidies, where 14 acceptances are still needed.
In
regard to the former, the Chair said four focused sessions would take place to give
members the opportunity to bring a new thinking into the negotiations that could
unlock the current stalemate. Noting that
an existing draft text exists which embodies “painstaking negotiation and numerous
hard-fought compromises,” the Chair said: “We need not reinvent the wheel … with
the right level of engagement and flexibility, meaningful progress remains within
reach.”
Reporting
in her capacity as Chair of the negotiations on trade and development, Ambassador
Kadra Hassan (Djibouti) noted that work is continuing through the facilitator-led
processes in three areas of work: sanitary and phytosanitary measures and technical
barriers to trade; technology transfer; and trade-related investment measures. She also noted the mandate from ministers at MC13
to continue work on the application of special and differential treatment provisions
under various WTO agreements. With MC14 drawing
closer, the Chair called for “further flexibility, creativity and pragmatism from
all delegations” in order to achieve outcomes.
Ambassador
Alfredo Suescum (Panama), Chair of the negotiations on
the multilateral register for wines and spirits, said that no new proposals have
been submitted and that members' underlying positions remain unchanged. Ambassador
Eunice M. Tembo Luambia (Zambia), Chair of the negotiations
on trade and environment, said that her consultations with members made clear that
WTO members “have no appetite to engage in negotiations on this topic at this time.”
Ambassador
Adamu Mohammed Abdulhamid (Nigeria), Chair of the services negotiations, said he
was in the process of consulting with members on the way forward in view of the
built-in mandate to improve schedules of commitments, as well as the call by ministers
at MC13 to reinvigorate work.
General
Council Chair report on informal consultations
The
Chair of the General Council, Saqer Abdullah Almoqbel
(Saudi Arabia, Kingdom of), reported on his recent informal consultations with members
to explore the nexus between the current economic climate and its impact on the
multilateral trading system.
The
assessment is clear, the Chair said: “The situation is challenging, but our resolve
must be stronger. There is a firm belief that the WTO and the rules-based multilateral
trading system it embodies must remain a cornerstone of our collective response
to the challenges. Indeed, many members see this as an opportunity for the WTO to
reaffirm its relevance and proactively address the current situation.”
The
Chair said he was considering convening an informal information session at the level
of heads of delegations. This would start with a factual presentation on the current
situation by WTO economists followed by a forward-looking exchange among heads of
delegations on steps the WTO could take to address these impacts, particularly for
the most vulnerable economies.