Kenya is rooting for discussions to reduce high tariffs that make trade in agriculture expensive during the coming World Trade Organization 10th Ministerial (WTO MC10) meeting in Nairobi.

Addressing a meeting of African Union Trade Ministers and Africa, Caribbean and Pacific group (ACP) in Brussels last week, Foreign Affairs Cabinet Secretary Ambassador Amina Mohammed said a successful outcome of the WTO (MC10) must include a work programme that is realistic, balanced and that also modernises the WTO negotiating agenda.

The objective of the WTO Nairobi meeting is to reduce distortions in agricultural trade caused by high tariffs and other barriers, export subsidies, and domestic support.

Thus the Ministerial meeting will discuss the Doha Development Agenda (DDA), Agriculture, Market access services among other trade issues with a view of leveraging trade between the Least Developed Countries (LDCs) and the Developed countries.

“The work programme would need to include agriculture, comprising an outcome on cotton; an understanding on food security; services; NAMA; trade and environment; fisheries subsidies; an expanded information technology agreement and a package for LDCs,” Ms Amina said.

Most African countries are classified as least developed countries.

Some of the main areas of interest to LDCs include duty-free quota-free market access; the operationalization of the services waiver; simplified rules of origin; and, cotton.

Some of these issues are remnants from the previous WTO Ministerial Conference, held in Bali, Indonesia in 2013 that were not fully addressed.

Much of the focus at the Bali Conference was on public stockholding programmes for food security purposes in developing countries.

Unfortunately, Ms Amina observed that no progress has been made on achieving a permanent solution to this issue.

“Since the Bali Ministerial Conference, 50 Members have ratified the Agreement of Trade Facilitation that was adopted at the Conference. This is still about 50 short of the two-thirds of Membership required for its entry into force,” she said.

“Unfortunately, no progress has been made on achieving a permanent solution to this issue.”

The main concern is that there has been no progress on the core issues of domestic support and market access on agriculture, non-agriculture market access and services since the launch of the Doha Development Agenda (DDA) round of multilateral negotiations in 2001.

WTO Director-General Roberto Azevêdo outlined the significance of the WTO’s forthcoming ministerial conference when he described the state of play in negotiations, the difficulties in advancing the core Doha Development Agenda (DDA) issues, and some of the potential negotiated outcomes which might be achieved in Nairobi.

“Nairobi is the WTO’s first ministerial conference to be held in Africa since the organization was created in Marrakesh two decades ago. This underlines the importance of delivering outcomes for development,” the WTO Director-General said.

“It seems to me that all members agree that the DDA core issues must remain on the negotiating agenda, such as agriculture, market access, and services.”

He added; “I think there is consensus on that. However there is no agreement on how these negotiations should take place: whether under the present Doha framework, or whether under some new architecture.”

It is therefore unrealistic to expect a significant outcome on the DDA negotiations in December.

This does not mean the Nairobi Conference will be a complete failure. There are indications that Members could find agreement on certain elements.

The main elements of such a potential ‘package’ could include development issues of interest to LDCs; some agreement on export competition in agriculture; and measures to increase transparency in areas such as antidumping, fisheries subsidies and domestic regulation on trade in services.

The meeting was hosted by ACP Secretary-General, Ambassador Patrick Gomes and chaired by Joshua Setipa, Lesotho’s Minister of Trade and Industry.

The Director-General was also joined on the panel by CS Amina, who will chair the 10th Ministerial Conference, and Ambassador Marion Williams as the Coordinator of the ACP Group at the WTO.

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Statement by Ambassador Amina C. Mohamed at the AU Informal Ministerial Meeting, 20 October 2015, Brussels – Belgium

I am pleased to address this AU informal meeting once again. I thank the Director-General for his comprehensive report and for the invaluable observations and insights on the way forward in the negotiations on MC10.

As I mentioned yesterday, in just a short while, within just 54 days to be precise, we will be meeting in Kenya for the 10th WTO Ministerial Conference. This Conference is the last of a series of large gatherings this year that have addressed global governance and development issues. It has the potential to deliver concrete gains for all countries.

You have just heard the report by the Director-General on ongoing activities in Geneva. As we heard, there remain serious gaps in the path that we in the African group and the broader membership wish to pursue to ensure that Nairobi delivers the concrete negotiated outcomes to which we all aspire.

While it is encouraging that engagement has not waned in Geneva, it is imperative that we, as Ministers, put all of our political weight behind the intensive efforts that are being made in Geneva and provide the required political direction and guidance. As Nairobi edges closer, political support and clear instructions on our part will be essential in making substantial progress.

The 10th Ministerial Conference is an opportunity to build on the success we achieved in Bali two years ago and to continue strengthening the multilateral trading system. It will not be easy; but difficulties notwithstanding, we need to continue infusing new energy into the WTO negotiations by making steady, incremental progress. A successful Ministerial Conference would be a step in the right direction and would give us the impetus we need to push the multilateral trade agenda forward.

For the Conference to be successful, we have to aim for outcomes that are realistic and acceptable to all Members. Of course, and as we have all agreed, development and LDC issues as well as agriculture, food security, services, NAMA trade and environment and fishery subsidies will have to be core elements of any outcome.

Let me tell you, nonetheless, that I – and I believe other Ministers – have not totally given up on other issues that are of critical importance to us, such as Domestic Support. I am aware that this area has been quite challenging, but I remain optimistic that with a true collaborative effort we may be able to reach a compromise acceptable to all. But this will require a lot of common sense and realism by all of us.

The overall result might not be as comprehensive as many of us are hoping for, but I believe that it can represent a significant step forward from the status quo. A meaningful package of results in Nairobi will ensure that we continue to tackle the key issues of our concern, with the momentum generated, especially on the important unresolved issues.

Therefore, I agree with the Director-General that we also need to start thinking about our work post-Nairobi. We need to instruct our negotiators to work on a draft Ministerial Declaration that recognizes the progress made and gives clear guidance on future work.

This will not be easy – I am aware of the differences in points of view regarding the post-Nairobi work. But I think it is possible to work on something which will be acceptable to all, and which will ensure that we all continue to talk in Geneva after Nairobi.

I believe that we must seize the opportunity that Nairobi offers to deliver a positive outcome for the Organization, and for the future of multilateral trade relations. A “no result” scenario is not a viable option. A successful conference would be the springboard for further progress in the WTO and would pave the way for future discussions at the multilateral level.

If we are not successful this December, we cannot hope to restore credibility to the negotiating arm of the WTO – not now, nor in the future. Nairobi cannot be allowed to fail.

With the countdown clock ticking, we must act with a sense of urgency. While negotiators in Geneva continue to work on the more technical issues, it is imperative for us to provide them with clear political guidance to define – clearly and quickly – the outline of a Nairobi outcome.

Ultimately, it is our responsibility, as Ministers, to ensure that our Conference is successful – it is, after all, a Conference of Ministers responsible for international trade. I am encouraged by the fruitful sessions we had yesterday that culminated in the Declaration on AU position on the outcome of MC10. I am confident we can deliver and the document is crucial in providing direction to our negotiators.

Personally, both as representative of the Kenyan Government and as Chair of the Ministerial Conference, I can reassure you of my full commitment to the success of this Conference. The Kenyan Government – and I personally – are taking our role as MC10 host and MC10 Chair very seriously.

I will continue to reach out to Ministers and I remain available to offer my full support to all of you in the coming months.