Will the member countries of the World Trade Organization agree on a ban on subsidies that encourage overfishing? The president of the WTO negotiations on fisheries, while expressing optimism, called on Monday, February 19, countries to make compromises to conclude an agreement next week during a ministerial meeting in Abu Dhabi. After a first agreement obtained in 2022, banning subsidies contributing to illegal, undeclared and unregulated fishing, the WTO hopes to conclude a second package, this time focusing on those which fuel overcapacity and overfishing.
Icelandic Ambassador Einar Gunnarsson, who is leading the debates, presented his new draft text to journalists on Monday, after a month of negotiations conducted vigorously in Geneva. He explained that several points remained to be discussed, in particular on the provisions relating to fuel subsidies and the use of forced labor, as well as to define the preferential treatment mechanism reserved for developing countries and the poorest.
“I remain optimistic”, but “members will have to start thinking about the internal compromises they can make”, he declared at a press conference. “I know that it is never easy to achieve this within the framework of a multilateral negotiation based on consensus, but I continue to think that it is entirely possible,” he assured.
The WTO operates by consensus, the 164 member countries must agree to conclude. The Icelandic ambassador stressed that the countries “were well aware that next week the eyes of the whole world would be on [them].” According to many diplomats, the success of the 13th WTO Ministerial Conference (February 26 to 29) will indeed depend heavily on the conclusion of this agreement on fisheries.
The draft text provides for a ban on subsidies favoring overfishing and overcapacity unless they fall within the framework of a fishery resource management mechanism based on sustainability criteria. The text would essentially divide member countries into three groups, with the largest subsidy providers subject to greater scrutiny. But some developing countries like India are asking for transition periods considered too long.
Unlike other WTO agreements which aim to remove trade barriers or combat trade distortions, this text – just like the 2022 agreement – is part of the sustainable development objectives of the UN. “The overriding consideration is not to lower or raise fish prices, but rather to preserve the health and productivity of the oceans,” emphasized Einar Gunnarsson.
