MULTILATERAL: II&III. TB on IP & AoA Flashcards
refers to a commitment by WTO Members not to increase a tariff rate beyond its bound rate
“Tariff binding”
The UR achieved an ____________in tariffs of at least a third (33%) of the 1986 levels. Japan cut its overall tariffs by a weighted average of 61 %, the European Union by 37%, and the United States of America by 34%.
across-the-board reduction
The Philippines did not reduce its applied tariffs in the Uruguay Round, instead they ____________________.
commitment to bind the tariffs on some 2,800 industrial tariff lines at ceiling rates of ten (10) percentage points above the 1995 applied rate was undertaken. This number represents around 50% of total tariff lines. If the commitment to bind agricultural tariff lines were included, numbering some 744 lines, the scope of bindings would reach 63%.
agreement covering agricultural products (HS Chapters I to 24 excluding fish and fish products plus certain products in Chapters 29, 33, 35, 38, 41, 43, 50, 51, 52, and 53) negotiated during the IJR. Parties to the Agreement, including the Philippines entered into binding commitments on market access, domestic support, export competition and an agreement on sanitary and phytosanitary issues
WTO Agreement on Agriculture (AOA)
objectives of the AoA
- Establish a fair and market-oriented agricultural trading system and initiate a reform process
- Provide for substantial progressive reductions in agricultural support and protection sustained over an agreed period of time
- Achieve specific binding commitments in the areas of market access, domestic support, export competition, and reach an agreement on sanitary and phytosanitary issues
- What is the market access commitment for agricultural products under the AoA ?
The current rule for market access in agricultural products is tariffs only.
T/F
Before UR, agricultural imports were restricted by import quotas, import licensing, import prohibition and other non-tariff measures. Under the AoA, all non-tariff border measures. would have to be removed and converted into ordinary customs duties corresponding to their ad valorem equivalents. This is the process known-as “tariffication”.
True
The tariffication system operates through a mechanism called __________________.
“tariff quotas.”
Pre-negotiated Minimum Access Volumes (MAVs)are set for agricultural products at low tariff rates, also called _____________________.
“in-quota tariffs.”
Volumes to be imported outside of the MAV are levied higher tariff rates, called _______________, which are set at more-or-less the equivalent level of protection afforded by the quantitative restrictions, which, were removed or “tariffied.”
out-quota-tariffs,”
Implementation period of the tariff commitments under the AoA ?
developing countries - ten (10)year period from 1995 up to 2004
developed countries - six (6) years from 1995 to 2000
implements the tariffication of agricultural products also known as the “Agricultural Tariffication Act”
RA 8178 signed on 28 March 1996
specifies the products whose quantitative restrictions were “tariffied” and the applicable tariffs to be levied; it took effect on 03 May 1996.
EO 313
T/F
RA 8178 provides for a mechanism called “MAV Plus” which authorizes the President to increase the MAV with the concurrence of Congress. In effect, the in-quota volumes of products which have been forecast to be in short supply, or whose domestic prices have risen abnormally during a given year, will be increased to pre-set levels based on prevailing demand and supply conditions.
True
Who administers the MA V?
MAV Management Committee, composed of the
Secretary of Agriculture (Chairman), and the
Secretaries of Agrarian Reform (members)
Finance, Science and Technology (members)
Trade and Industry (members)
Director-General of NEDA (members)
T/F
As special and differential treatment to developing countries, the predominant staple in the traditional diet of a developing country shall be exempt from tariffication.
True
T/F
As the basic staple grain of the Philippines, rice was “tariffied” under the UR
False
As the basic staple grain of the Philippines, rice was NOT “tariffied” under the I-JR.
issued on 15 June 2007 to reduce the MFN rates on certain agriculture products (e.g., mechanically deboned meat) to compensate other WTO member countries for the requested seven (7)-year extension of the special treatment on rice until 2012.
EO 627
provides a temporary modification of MFN rates on rice and non-rice products
EO No. 190
modified the preferential tariff rates on certain’ agricultural products under EO No. 851 (s. 2009), in effect accelerating the tariff reductions under the AANZFTA on certain agricultural products as Concession-for the: requested’ extension of the waiver
No. 191
extended the effectivity of the temporary modification of the MFN tariffs on rice and non-rice products. Under this EO, in-quota rates of rice products will’ remain at 35% starting July 2017 and shall be applicable until 30 June 2020 of until such time that a law amending certain provisions relating to rice tariffication in RA No. 8178 is enacted; Whichever comes first, after which the tariffs Shall’ revert back to 40%.
EO NO’. 23
known as “An Act liberalizing the importation, exportation and trading of rice, lifting for the purpose the quantitative import restriction on rice, and for other purposes”. It amends RA No. 8178, otherwise known as the “Agricultural Tariffication Act. “
RA 11203
What measures can be taken in case of import surges that injure Philippine farmers?
special safeguards action in the form of an additional duty that may be imposed on a temporary basis on top of the existing tariffs.
multilateral agreement enforced by the WTO which aims to eliminate tariff and non-tariff barriers to trade on 203 information technology (IT) products.
Information Technology Agreement (ITA)
product coverage of ITA
The product coverage of ITA has been expanded (ITA Expansion) to include new categories of IT products.
T/F
The ITA is solely a tariff-cutting mechanism. The commitments undertaken under the ITA and ITA Expansion in the WTO are on an MFN basis. While both the ITA and ITA Expansion Declarations provide for the review of non-tariff barriers, there are no binding commitments concerning these
True
When did ITA enter into force?
July 1, 1997
Who were the original signatories of the ITA?
Fourteen (14) countries (counting the 5 member states of the European Union as one) signed the ITA Declaration, namely:
Australia,
Canada,
Chinese Taipei,
European Communities,
Hong Kong,
Iceland,
Indonesia,
Japan,
Korea,
Norway,
Singapore,
Switzerland,
Turkey, and
United States of America.
ITA membership as of September 2017
ITA membership has grown to 82
When was the ITA Expansion concluded?
When did it enter into force?
There were 53 WTO Members that participated in the negotiations for the ITA Expansion.
It officially entered into force on 01 July 2016
(3) basic principles that an ITA and participant must abide by
- All products listed in the Declarations must be covered.
- All products listed in the Declarations must have their tariffs reduced to and bound at zero.
- All other duties and charges must be bound at zero,
What is the product landscape of the ITA?
- Computer hardware products
- Semiconductor and integrated circuits
- Computer software
- Telecommunication equipment
- Other IT products, e.g., semiconductor manufacturing equipment
What is the product landscape of ITA expansion?
- New generation multi-component integrated circuits (MCOs)
- Touch screens
- Global Positioning Systems (GPS) navigation equipment
- Medical equipment, such as magnetic resonance imaging products and ultrasonic scanning apparatus
- Portable interactive electronic education devices
- Video game consoles
- Other IT products, e.g., semiconductor manufacturing equipment and parts
Benefits from membership in the ITA and ITA Expansion?
- Easier access to the latest technology in computer hardware and software products as well as certain telecommunications equipment
- Heightened speed and accuracy of information exchange; increased nework utilization
- Accelerated development of the information technology highway
- Improved productivity
- Lower cost of IT products covered by the ITA and ITA Expansion
Who oversees the implementation of the ITA and ITA Expansion?
Committee of Participants on the Expansion of Trade in Information Technology Products (ITA Committee)
How are problems arising from product coverage between and among participants resolved?
Participants shall meet periodically to review the product coverage specified in the Attachments. The objective is to agree, by consensus only.
T/f
The ITA Committee approved on 13 November 13, 2000 a one-year work program on non-tariff measures on ITA products consisting of three ‘(3) phases
True
