WTO World Trade Organization

1. Since the adoption of the 2030 Agenda and the SDGs, has the governing body of your organization taken (or will it take) any decisions or new strategies to guide the implementation of the 2030 Agenda and the SDGs? If any, please provide a brief summary below, including the overarching vision of your organization.

 

The SDGs put significant emphasis on the role that trade plays in promoting sustainable development and recognizes the contribution that the WTO can make to the 2030 Agenda. Historically, trade has shown itself to be an engine for development and poverty reduction by boosting growth, particularly in developing countries. Rapid economic growth greatly contributed to the unprecedented reduction of poverty levels which led to the early achievement of the Millennium Development Goal to reduce poverty by half by 2015.

Opening up to trade increases a country's economic growth as it allows each country to use its resources more efficiently by specializing in the production of the goods and services it can produce more competitively. By increasing growth, trade increases the necessary resources to implement other development targets in the social and environmental sphere. Trade also contributes directly to poverty reduction by opening up new employment opportunities and reducing the prices of goods and services for poor consumers, including foodstuffs.

Integration into the multilateral trading system, as embodied by the WTO, also helps the long-term growth prospects of developing countries by providing them with access to new markets, new technologies and new investment. For all these reasons, trade and the WTO will continue to play a key role in the achievement of the 2030 Agenda.

But in order for countries to fully reap the benefits of trade, it is necessary to adopt approaches which aim to mainstream trade into their national sustainable development strategies. This is because trade has cross-cutting effects in the economy and significant linkages to other sectors. Therefore, mainstreaming trade policies into development plans enhance coherence in the use of trade as a proactive tool in achieving poverty reduction and fulfilling other SDGs.

A number of decisions taken at the WTO in recent years illustrates how the trading system can enhance the benefits of globalization by tackling priority trade issues. The Trade Facilitation Agreement, the expansion of the Information Technology Agreement, the amendment of the TRIPS (Trade-related Aspects of Intellectual Property Rights) Agreement easing access to medicines, and the agreement to abolish agricultural export subsidies will all deliver important benefits. Moreover, the different approaches represented by these agreements show that the system is adaptable and dynamic in its response to the changing landscape and emerging challenges.

By delivering and implementing trade reforms which are pro-growth and pro-development, and by continuing to foster stable, predictable and equitable trading relations across the world, the WTO can play an important role in delivering the SDGs, just as it did with the Millennium Development Goals before them.

WTO has identified the following steps which would help to ensure that international trade contributes to accelerating progress in achieving the SDGs:

1. 1. Mainstream trade into national and sector strategies to achieve the SDGs.
2. 2. Strengthen the multilateral trading system so that it can continue supporting inclusive growth, jobs and poverty reduction.
3. 3. Reducing trade costs including through full implementation of the WTO's Trade Facilitation Agreement.
4. 4. Build supply-side capacity and trade-related infrastructure in developing countries and least-developed countries (LDCs).
5. 5. Focus on export diversification and value addition.
6. 6. Enhance the services sector.
7. 7. Apply flexible rules of origin to increase utilization of preference schemes.
8. 8. Ensure that non-tariff measures do not become barriers to trade.
9. 9. Make e-commerce a force for inclusion.
10. 10. Support micro, small and medium-sized enterprises (MSMEs) to engage in international trade.

 

 

2.1 SDG-specific strategies, plans or work programmes

WTO has created an internal SDG Task force to coordinate work related to Agenda 2030. Moreover, the principles and objectives of the agenda have been reflected throughout the work of the WTO, particularly on those areas where the work of the WTO has been specifically mentioned in the SDG targets. This includes the areas of agriculture negotiations, fisheries subsidies negotiations, Aid for Trade, access to medicines, special and differential treatment, work on LDCs and small economies, and trade and environment.

 

3.1 Mainstreaming the SDGs in development plans and policies or through national sustainable development plans/strategies:

 

In 2018, WTO published a report on "Mainstreaming Trade to Attain the Sustainable Development Goals" The publication is aimed at helping WTO Members mainstream trade to attain the SDGs. The booklet presents a very comprehensive analysis on various aspects of how trade can contribute to the central objectives of reducing poverty through economic expansion. It first outlines how countries can get organized to mainstream trade to expand economic opportunities for poverty reduction. This is very important because trade has cross-cutting effects in the economy and significant linkages to other sectors. So, in order for countries to fully reap the benefits of trade, it is necessary to adopt approaches which aim to mainstream trade into their national sustainable development strategies.

The publication touches upon the three dimensions of the Sustainable Development Agenda - economic, social and environmental - and sketches how trade can contribute to delivering positive outcomes in each of these areas. On the economic dimension of the Agenda 2030, the report looks at how to pursue broad-based growth that delivers opportunities for all. WTO also measures progress towards achieving the trade-related targets under SDG 17, and SDG 8. In the social dimension the report outlines how to improve living standards through trade, including by empowering women through international trade and analyzing the complex linkages between trade, technology and innovation. Under this section we also measure progress towards achieving the trade related targets in SDG 2, SDG 3 and SDG 10. On the environmental dimension the report looks at how to use trade to achieve better economic growth that is coupled with better environmental outcomes. It also measures progress on delivering on target 14.6 related to fisheries subsidies.

The publication also presents some country and sector case studies on mainstreaming, as well as some important facilities in the trade area that help countries better take advantage of trade opportunities. The report is forward-looking and attempts to identify those emerging issues that require the attention of the international community. These include keeping up with the evolving character of international trade and ensuring access to technology for ICT enabled trade. The publication was officially launched at a session organized during the WTO Public Forum in October 2018, which centered on the theme of "Trade 2030" which was chosen in direct connection with the 2030 Agenda.

WTO and UN Environment have recently issued a publication on "Making trade work for the environment, prosperity and resilience". The publication highlights the need for coordinated action, along with fit-for-purpose policies and institutions, to expand the contribution of trade for a better and more resilient environment. It illustrates how the WTO and UN Environment are working together to support countries in identifying opportunities to use trade proactively to promote sustainability and prosperity, and to strengthen international co-operation to deliver benefits for all.

WTO and the World bank also recently issued another publication on "Trade and Poverty Reduction: New Evidence of Impacts in Developing Countries". The publication focuses on four constraints faced by the extremely poor - namely that they tend to live in rural areas, work in the informal sector, live in fragile and conflict-affected regions and face gender inequality. The case studies underline the challenges the extremely poor face and identify ways to overcome them, including through the adoption of policies that maximize the contribution of trade to poverty reduction. The studies also highlight the ongoing gaps in data and research that constrain policy making. The publication is a follow-up to "The Role of Trade in Ending Poverty", co published by the WTO and the World Bank in 2015, which examined the challenges the poor face in benefiting from trade opportunities. The country-specific approach of this new publication complements the global perspective of the previous report.

These different publications have been incorporated in the technical assistance activities of the WTO. Additionally, WTO together with UNCTAD and ITC, is currently preparing an SDG Trade monitoring website which would facilitate access to the SDG trade indicators' data in order to help analyze the impact of trade on the SDG process. This website should be ready by the summer of 2019.

 

 

4.1 Supporting the intergovernmental body of your organization in contributing to the thematic review of the HLPF:

 

WTO has provided written inputs for each of the HLPF's that have been held since 2016, these inputs have been published in the website of the HLPF. For the 2019 HLPF, WTO, together with UNCTAD and ITC, will co-organize a side event on Trade's contribution to the Agenda 2030.

WTO also participates and contributes to the work of the UN HLPF Task Team.

 

 

5. How has your organization cooperated with other UN system organizations to achieve coherence and synergies in the implementation of the 2030 Agenda and the SDGs? In this regard, has your organization launched or intend to launch any joint programmes or projects in collaboration with other UN entities? Are there any results or lessons you would like to highlight that might help improve the design and impact of such efforts? Has your organization participated in any of the following coordination systemwide mechanisms or any other relevant platform - CEB, UNDG, EC-ESA Plus, RCMs, UN-Energy, UN-Water, UN-Ocean, IAEG, IATT?  Please specify which and indicate any suggestions you may have about improving collaborations within and across these mechanisms/platforms:

 

The WTO is part of the UN Secretary General-led High-Level Task Force, which brings together 23 UN agencies and international organizations to improve coordination in global food security responses. The task force offers high-level policy coordination and political leadership, with the aim of achieving the SDGs related to food and nutrition security and to sustainable agriculture and food systems.

WTO works closely with UNCTAD on all issues related to the role of trade in achieving the Agenda 2030 for sustainable development. This includes joint drafting the trade Chapter for the IATF report on Financing for Development under the coordination of UN-DESA.

As mentioned above WTO also works together with UN Environment on issues related to sustainable trade. During the Aid for Trade Global Review the UN's Food and Agriculture Organization (FAO) and the WTO unveiled a joint publication on trade and food standards.

The WTO's collaboration with the UN Office of the High Representative for the Least Developed Countries, Landlocked Developing Countries and the Small Island Developing States (UN-OHRLLS) has continued to strengthen. The WTO regularly contributes to the UN Secretary General's reports on the implementation of the Istanbul Programme of Action for the Least Developed Countries as well as the Vienna Programme of Action for Landlocked Developing Countries.

The WTO also works closely with UNCTAD and the International Trade Centre (ITC) to assist the traders in taking full advantage of the opportunities offered by the multilateral trading system. During the WTO 11th Ministerial Conference (MC11) in Buenos Aires, the three organizations launched an innovative web-based tool to help businesses, in particular smaller firms, benefit from international trade.

The WTO and UNCTAD continue to cooperate in providing training and technical assistance to developing countries and least developed countries (LDCs), building on the Declaration signed by DG Azevêdo and UNCTAD Secretary-General Mukhisa Kituyi in October 2015 to strengthen collaboration between the two organizations. The WTO also cooperates with UNCTAD within the framework of the UN inter-agency "cluster" on trade and productive capacity, which aims to coordinate trade and development operations throughout the UN system.

UNCTAD, the ITC and the WTO jointly produce quarterly and annual statistics on international trade in services. They also combined in statistical capacity-building activities, including training courses and e-learning courses.

WTO's cooperation with UNESCAP has also grown in the past years, particularly in the areas of technical assistance and economic research. In 2018, WTO and UNESCAP agreed to work together on a research project to better understand the impact of graduation on the economies of the LDCs. This research will also be accompanied by the provision of technical assistance to graduating LDCS so that they can confidently handle the transition to developing country status.

 

 

6. How has your organization engaged with stakeholder groups, both in supporting implementation at the country, regional and global levels, and within your own organization? If yes, please provide main highlights, including any lessons learned:

 

The Public Forum is the WTO's largest annual outreach event, which provides a platform for participants to discuss the latest developments in world trade and to propose ways of enhancing the multilateral trading system. The event regularly attracts over 1,500 representatives from civil society, academia, business, the media, governments, parliamentarians and inter-governmental organizations.

As noted above, the 2018 Public Forum Focused on the Theme of Trade in 2030 and contained several sessions dealing specifically with SDG related issues. Over 100 sessions were held to examine what sustainable trade will look like in 2030 and beyond, with sub-themes focusing on sustainable trade, technology-enabled trade and a more inclusive trading system. The WTO Director-General, in his opening speech, noted that the rapid changes taking place today, from the emergence of new technologies to growing environmental risks, are challenging the way we think about trade. With the proper policies in place, the technological revolution could help fuel significant trade growth. At the same time, new technologies are expected to create substantial churn in the global jobs market, with tens of millions of jobs lost and created in the coming years. He also said that more and more trade will be happening through digital platforms and new ways of delivering products will come on stream. New kinds of services will be created. So, it is important to ask whether the global trading system is equipped for that new environment? He expressed his belief that the fundamental principles still apply, as enshrined in the WTO agreements: the importance of clear rules, openness, cooperation and non-discrimination. But whether the current system of rules is enough to manage this change is still an open question. In the absence of a regular updating of these rules, there is a risk of growing gaps between those basic principles and the evolution of habits, behaviors and even ethical values. It was therefore crucial to set a path towards better global trade by 2030 - trade that is even more sustainable and inclusive.

For 2019, the Public Forum, to be held on 8 to 11 October, will discuss how traders around the world can get ready for that future and foster exchanges on how to adapt. This will include a particular focus on the future of services trade; it will consider the perspectives of Millennials and Gen Z (who will represent over half the world's population by 2020); and it will look at how the WTO itself will need to change and adapt to meet the challenges ahead. Under the main theme of 'Trading Forward: Adapting to a Changing World', the sub-themes will be Services - the Next Trade Frontier; The Next Generation - what do Millennials & Gen Z want to see from the global trading system; and The Next Chapter of the WTO - strengthening the trading system.

 

 

7. Has your organization organized any conferences, forums or events designed to facilitate exchange of experience, peer and mutual learning? If yes, please provide a brief summary below and include lessons learned and gaps identified based on the outcomes of these events. Please also include any events you plan to organize in the coming years.

 

In addition to the Public Forum that was outlined in the previous section WTO also organizes every other year the Global Review on Aid for Trade. The 2019 Global Review of Aid for Trade will focus on the theme of "Supporting Economic Diversification and Empowerment for Inclusive, Sustainable Development Through Aid for Trade", will be held at the WTO in Geneva from 3 to 5 July 2019.

The Global Review is influential in galvanizing support and directing strategies to help developing countries derive the maximum development benefit from trade. Underpinning the Review is a monitoring and evaluation (M&E) exercise. The aim of the M&E exercise is to survey: Aid-for-Trade priorities and how these have changed since the last monitoring exercise; and Aid-for-Trade support for economic diversification.

The M&E exercise will seek to further develop analysis on how trade can contribute to economic diversification and empowerment, with a focus on eliminating extreme poverty, particularly through the effective participation of women and youth, and how Aid for Trade can contribute to that objective by addressing supply-side capacity and trade-related infrastructure constraints, including for MSMEs, notably for those MSMEs in rural areas.

To collect this information, self-assessment questionnaires are being circulated widely: to donors (bilateral and multilateral agencies), regional economic communities/transport corridors, South-South partners and developing and least-developed countries.

Responses to the questionnaires and information provided in the case stories will be analyzed and conclusions drawn in a joint publication by the Organisation for Economic Co-operation and Development (OECD) and the World Trade Organization (WTO): "Aid for Trade at a Glance 2019: Supporting Economic Diversification and Empowerment for Inclusive, Sustainable Development Through Aid for Trade", that also will feature contributions from other international organizations. The publication will be launched and discussed at the 2019 Global Review of Aid for Trade.

 

 

8. Is there any other information you would like to share, including annual reports of your organization and any impact assessment or evaluation reports? If yes, please use the space below and attach the document(s). Please also use this space to provide any other information, comments or remarks you deem necessary:

Multilateralism is being increasingly challenged and this is affecting the work of many international organizations. In the case of trade and the WTO there has been a marked acceleration of trade restrictive measures, which coupled with questions on the functioning of the WTO's Dispute Settlement Mechanism have prompted a discussion on reforms to the Multilateral Trading System. In the face of these challenges it is crucial that any strategic plan include a response. This response should prioritize strengthening global cooperation which ultimately is in the interest of all and remains a crucial element in the attainment of the 2030 Agenda.

 

9. In your view, what should a strategic plan for the UN system in support of the 2030 Agenda and SDGs look like? What key elements should it include and major challenges address in such a road map?

It would be important that in every Ministerial Conference of all UN system organizations, a discussion takes place on the contribution that the organization is making towards achievement of the 2030 Agenda. Additionally, the Chief Executives Board meetings should review what UN system organizations are doing collectively to advance attainment of the objectives in Agenda 2030. This should lead to setting out a plan for joint action.