Transcript Insights from the Environmental Goods and Services Debate

Insights from the Environmental
Goods and Services Debate
Erwin Rose
Economic Affairs Officer
United Nations Conference on Trade and Development (UNCTAD)
5 May 2008. Geneva, Switzerland
"Environmental Goods and
Services" (EGS)
Can we target trade liberalization to protect the environment?
• Outline
– Recent developments in the EGS negotiations;
– Key conceptual issues.
Background
• Doha Ministerial Declaration 31 (iii):
•
"the reduction or, as appropriate,
elimination of tariff and non-tariff
barriers to environmental goods and
services."
Recent Developments (1)
• November 2007 - Submission by Brazil
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Biofuels
"request and offer"
Non-Tariff Barriers
Organic agriculture
Transfer of Technology
Recent Developments (2)
• October 2007 - World Bank: "Warming up to
Trade? Harnessing International trade to support
climate change objectives"
– Illustrative list of 43 "climate-friendly technologies"
World Bank, recommendations include:
• "Removal of tariff and nontariff barriers can increase the
diffusion of clean technologies in developing countries."
• "Clean technology trade would greatly benefit from a
systematic alignment of harmonization standards."
• "The ongoing WTO negotiations on environmental goods have
the potential to contribute significantly to both trade and
climate change liberalization efforts, but the negotiations will
need to address a number of challenges."
Recent Developments (3)
• December 2007 – EC & US Proposal
JOB(07)/193
Tier One: Goods: Eliminate tariffs and
identified NTBs linked to climate change
with S&D.
Services: Commitments in GATS related to
climate change.
Tier Two: A broader plurilateral EGS Agmt.
CONCLUSIONS:
Considering the impacts of trade
The CTE experience is helping
governments and stakeholders consider the
environment and development impacts of
trade more precisely.
The negotiating challenge
• No criteria or definition of EGS
• Still debating the negotiating modalities
• Potential environmental benefits alongside
other interests
Mainstreaming EGS
• Can environmental concerns be integrated
throughout trade policy?
• Does the political will exist to emphasize
environmental objectives?
• How far can environmental criteria be
incorporated into the WTO?
Trends
• Governments demonstrating flexibility.
• Most products are inherently multi-use and
have diverse impacts.
• Request-offer may gain traction.
• Need more specific proposals on
agriculture, capacity building, NTBs, and
technology transfer.
• CTE in parallel with other committees.
Realistic Expectations
• One element within the broader policy
toolkit
• Local demand – “environmental markets”
• Production/export capacity
• Domestic economic and environmental
policies determine the local impacts.
Trade & Environment:
Defense to Offense
• No longer just seeking to avoid conflicts
– (trade disciplines vs. environmental regulationavoiding green protectionism while maintaining
domestic & intl. envtl measures),
– Governments and stakeholders considering the
environment and development impacts of trade
more carefully.
• Pro-active approach to integrate
environmental and trade policies.
Erwin Rose
Economic Affairs Officer
Trade and Sustainable Development Section
Trade, Environment, Climate Change and Sustainable Development Branch
Division on International Trade in Goods and Services, and Commodities
United Nations Conference on Trade and Development
Tel.: +41.22.917.4573
[email protected]
[email protected]
www.unctad.org/trade_env/topicEGS.asp