WTO chief urges members to balance reform with trade negotiations

Okonjo-Iweala said reform should strengthen the WTO's ability to respond to modern trade challenges while successful negotiations must rest on strong institutional foundations to remain effective over time.

WTO chief urges members to balance reform with trade negotiations
Image Credit: X(@wto)

World Trade Organization (WTO) Director-General Ngozi Okonjo-Iweala has called on member countries to advance institutional reform and trade negotiations at the same time, saying both are essential to keeping the global trading system effective and delivering meaningful results.

Speaking during the 14–15 July General Council meeting, Okonjo-Iweala reviewed progress made since the WTO's 14th Ministerial Conference (MC14) in March and stressed that reform and negotiations should move forward together rather than compete for attention.

WTO pushes parallel progress on reforms

Okonjo-Iweala said reform should strengthen the WTO's ability to respond to modern trade challenges while successful negotiations must rest on strong institutional foundations to remain effective over time. She encouraged members to continue engaging constructively across all negotiating areas so discussions can gather pace after the summer break and produce practical outcomes for governments, businesses and consumers that rely on the multilateral trading system.

The Director-General also welcomed progress in negotiations on fisheries subsidies, highlighting positive feedback from the first phase of post-MC14 talks led by Guyana's Ambassador Leslie Ramsammy. She noted that Kyrgyz Republic, Niger and Thailand recently accepted the Agreement on Fisheries Subsidies, bringing the total number of acceptances to 122 members, alongside 34 new subsidy notifications submitted under the agreement.

Agriculture and services remain key priorities

Agriculture negotiations also resumed after MC14, with members agreeing that the sector remains central to the WTO's work despite limited progress in recent years. Delegations agreed that stronger political commitment and greater trust will be needed to move discussions forward, although views continue to differ on the best negotiating approach.

In services, Okonjo-Iweala said members showed strong interest in assessing trade across different service sectors under the General Agreement on Trade in Services. She added that further discussions are needed to develop a common agenda and explore future market access issues.

Talks on special and differential treatment for developing and least-developed countries are also expected to resume after the summer recess as the G-90 group updates proposals covering WTO agreements.

General Council adopts support measures

During the meeting, WTO members approved several decisions benefiting developing and least-developed countries. The General Council agreed that further discussions on improving implementation of TRIPS Agreement provisions, including special and differential treatment, will continue in the TRIPS Council.

Members also welcomed the launch of the third phase of the Enhanced Integrated Framework, confirming it would not place additional costs on the WTO's regular budget.

The Council further approved United States requests for temporary waivers allowing continued duty-free treatment for eligible products under the African Growth and Opportunity Act (AGOA) and the Caribbean Basin Economic Recovery Act, with both waivers remaining in effect until 31 December 2026.

Reform discussions continue after MC14

General Council Chair Ambassador Clare Kelly of New Zealand said consultations on WTO reform are progressing, with five facilitators appointed to guide discussions across the main reform areas identified by ministers at MC14.

She acknowledged that members remain divided on issues including the electronic commerce moratorium, TRIPS non-violation complaints, the proposed incorporation of the Investment Facilitation for Development Agreement, and the selection of a host for the 15th WTO Ministerial Conference. Consultations on these matters will continue in the coming months.

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