EEC WANTS ACCESS TO RESOURCES IN RETURN FOR MARKETS.

Nov 9, 1985

EEC WANTS ACCESS TO RESOURCES IN RETURN FOR MARKETS.

GENEVA, NOVEMBER 7 (IFDA/CHAKRAVARTHI RAGHAVAN)— The European Economic Community will be seeking in any new round of trade negotiations in GATT, its access to "resources" of other countries who are seeking access to the European Community markets.-

This view of the Community was expressed at this week's just concluded meetings of the GATT Council, when it was considering the various reports of GATT subordinate bodies looking into individual items on the GATT work programme.-

The EEC comment would appear to have been made on the issue of natural resource products, including fisheries.-

Earlier when the Council considered the report of the working group on trade in counterfeit goods, the European Community warned that if the CPs would not take "joint actions" in GATT, the Community would take unilateral actions.-

A number of Third World countries had earlier pointed out that the recent meeting of the Council of the World Intellectual Property Organisation (WIPO), which had jurisdiction in the area of intellectual property rights, had set up a committee to look into the problems of counterfeit trade, and GATT, which had no jurisdiction, should take no action.-

On the issue of natural resource products, including fisheries, the European Community has been seeking to link the market access for such goods with "access" to such resources - a concept that the Third World countries have refused to accept in GATT and elsewhere.-

The Community would appear to have again advanced this view, arguing that in any negotiations in this sector, "all factors having an influence on trade", an euphemism for access, should be taken into account.-

Argentina and India challenged this, and said the issue of access to resources could not be negotiated in GATT.-

"You cannot negotiate in GATT all factors that influence trade, but only government restrictions on imports through tariff and non-tariff measures", they argued.-

This view was supported by a number of third world countries, including Cuba, Nicaragua, Zaire, Gabon, Yugoslavia, Colombia, Chile and Uruguay.-

It also received the support of Iceland and Canada.-

The Community however argued that the question of access to resources was always covered in its bilateral agreements, and hence it was nothing new.-

"If an orthodox theological view is taken GATT will be far behind times, and we must hence discuss access to resource", the EEC argued.-

Participants said no progress had been reported on most of the other items on the work programme.-

On the issue of services, where a separate exercise for "exchange of information" based on national studies has been going at meeting of CPs organised by the chairman of the CPs, Felipe Jaramillo of Colombia, the latter in an oral presentation would appear to have said that the report of these meetings to the CPs would "enable" the Contracting Parties to take a decision.-

In terms of their 1982 and 1984 decisions, the GATT Contracting Parties are to decide at their annual session in 1985 whether any multilateral action in the matter of services "is appropriate and desirable".-

The report of the meetings to exchange information is to be made directly to the GATT CPs session.-

According to Third World participants, the report is not yet ready and is the subject of "consultations" over the GATT secretariat draft wordings implying the need for GATT action.-

During the discussion in the GATT Council on Wednesday, the European Community viewed the report as important and hoped it would be discussed and the subject decided in GATT.-

India, one of the main opponents to GATT involvement in services said it had taken note of Jaramillo's report, but underlined that the question of appropriateness and desirability of action was a matter for the Contracting Parties to decide.-

It would hence be premature either to pass judgements on how and when the Contracting Parties would decide the issue, nor would it be correct to suggest that the report to be made would "enable" decisions to be taken.-

The task of the meetings organised by the chairman of the CPs had been to facilitate the work of the Contracting Parties session, through an exchange of information, "and to an extent, this had bee accomplished".-

"But it is for the Contracting Parties to consider what has happened and what needs to be done further. To say anything about enabling the CPs to come to a decision is premature".-