ࡱ> WYV @ &bjbjPP *X::+  zzz8V +~~oooY+[+[+[+[+[+[+$-R0P+ ooooo+ +MMMo  Y+MoY+MMR% 'r @l9szp&E++0+I'd0vd0<' '&d0 'LMooo++ zX z AUSTRIA Statement by H.E. Dr. Reinhold Mitterlehner Federal Minister of Economy, Family and Youth First of all, I want to express my thanks to the organizers, in particular to Pascal Lamy, to Switzerland as the ϲʹ host country and to Federal Councillor Doris Leuthard as well as to the Chair, Minister Andrs Velasco. In my view, it is high time to send a strong signal from the ϲʹ membership to maintain our openness and our willingness to fight against protectionism by supporting the multilateral trading system. This Conference should give fresh impetus to our joint work and should demonstrate the positive contribution of ϲʹ to a more sustainable growth of the global economy. Reflecting the past 14 years we have seen big achievements of ϲʹ and thus we should renew our commitment to bring the Doha Round to a successful conclusion. During the recent economic crisis, ϲʹ has shown leadership in fighting against protectionism by its monitoring of trade-related measures. So it has contributed to restraining protectionism in a timely and effective manner. For a small, open economy such as Austrias, open markets are vital for its economic performance. During recent years total exports of goods and services have been rising, reaching a rate of 58.3% of GDP before the crisis. Trade liberalization has been a decisive factor in this development. Apart from the progress resulting from the Uruguay Round, Austria as an EU Member has profited from trade liberalization by the creation of the EU internal market and by EU enlargement. Due to Austrias strong export orientation, it was unavoidable that the crisis had a strong negative impact on the export sector, especially in the second half of 2008 and the first half of 2009. However, since the third quarter of 2009, signs of a new upward trend have emerged. Austria has undertaken a range of policy measures to contain the problems arising from the financial sector and to stimulate the economy, in particular by spurring domestic demand (e.g. car-scrapping scheme, personal income tax cuts and support for climate-friendly renovation) and by facilitating access to export finance. It has also invested in infrastructure and promoted employment to alleviate the crisis. These measures have already shown first results. Since GDP growth in many countries will most likely not be strong enough to improve the situation in the labour market in the short term and pressure for budget consolidation will mount, the danger of a global rise in trade restrictive measures still persists. The ϲʹ must continue to be vigilant so that calls for restrictive measures do not lead to an increase in protectionism. It should also closely watch the global situation so that, once economic recovery has taken hold, potentially protectionist measures taken in response to the crisis are rolled back in order to avoid a systemic trend towards more restricted trade inhibiting global economic growth. Among the trade measures with restrictive character, non tariff-measures hit small and medium-sized enterprises particularly hard. SMEs represent the dominant form of business in Austria and employ a large part of the workforce. Therefore the reduction of non-tariff barriers is an area of priority interest for Austria. A more detailed monitoring of specific trade measures under the ϲʹ agreements (for instance by increased transparency and enhanced use of electronic means), which was started in early 2009, has our full support. There is also room to make ϲʹ committees more efficient. We also see the need for further work on the issue of the growing number of Regional Trade Agreements in the ϲʹ context. We welcome that some steps have already been taken to increase transparency (e.g. the provisional Transparency Mechanism), but more needs to be done, in particular: The notification record should be further improved; more attention should be given to the systemic implications of Regional Trade Agreements and Initiatives for the multilateral trading system in view of encouraging a coherent development. Austria is convinced that the most important trade policy instrument for promoting growth on a global scale is the rapid conclusion of an ambitious, balanced and comprehensive Doha Round. In times of increasingly globalized markets transparent, predictable global rules under the ϲʹ system and a further reduction of obstacles to trade in goods and services are of highest value. As an EU Member, Austria fully supports the EU objectives in the Doha Round. The positive impetus of a rapid conclusion of the Doha Round seems all the more urgent in view of the recent economic crisis. It would result in a major boost to the world economy (moderate estimates indicate an amount of $150 billion annually, which need not be financed by already overstrained fiscal resources). Moreover, by means of new ϲʹ tariff bindings the danger of possible new protective tariff measures (e.g. applied tariffs raised to bound level) would be reduced. In order to conclude the Doha Round, there is an urgent need to show political support by instructing negotiators to resolve the outstanding elements of a final deal. We hope that more progress can be made in the course of the present year on the basis of the work already done and that the objective of concluding the Doha Round in 2010 can be achieved. To meet the global challenges, trade policy has to be seen in a wider context. Many aspects of government policy, international agreements and business decisions have trade implications. The recent discussions on the trade aspects of the food crisis, on climate change and on the shortage of trade finance are cases in point. In future, ϲʹ must continue to be ready to tackle new issues in line with its principal role, in particular by: strengthening trade in increasingly integrated markets in line with business needs, taking into account all aspects of sustainable development (an issue which is of high importance for Austria) and enhanced coherence with other relevant international organizations. For instance, ϲʹ can help to address the pressing needs with reference to climate change by liberalising trade in environmental goods and services. Trade liberalization is not an end in itself: it has to contribute to economic growth and welfare on a global scale as well as to improving living conditions in all countries. The package that is on the DDA negotiating table now has a strong development dimension. We also believe that assisting developing countries, in particular Least Developed Countries, to benefit from international trade is of major importance. Many developing countries have especially suffered from the consequences of the economic crisis, in particular by the downturn in export demand and the shortage of finance. In this situation technical assistance has become even more important to prepare them for economic recovery. An important element for the success of ϲʹ is the public perception of its work and its objectives. Therefore we welcome the increased offer of user-friendly information on the ϲʹ website and other ϲʹ initiatives (e.g. the annual ϲʹ Forum) to reach out to the public. Despite some criticism, the ϲʹ has been in fact a good example of global international cooperation with tangible, enforceable results and concrete economic benefits. Particularly in view of the present efforts to find ways out of the crisis and to try to get the economy back on track, the rapid conclusion of the Doha Round would provide an urgently-needed, overdue stimulus. Now is the moment to act in this direction.      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