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| Mr. Yi Xiaozhun's portfolio covers the Department of International Trade and Economic Affairs, Department of WTO Affairs, Department of Policy Research, China International Center for Economic and Technical Exchanges, Association of International Trade and China Society for WTO Studies. |
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| Statement at the WTO High-Level Dialogue of Mobilizing Aid for Trade: Focus on Africa |
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By Vice Minister YI Xiaozhun
October 2nd, 2007 in Dar Es Salaam
Dear African Friends,
Ladies and Gentlemen,
I am delighted to be here for this High-level Dialogue of Mobilizing Aid for Trade: Focus on Africa. Please allow me to start by wishing this Dialogue a fruitful discussion and tangible achievements.
Ladies and Gentlemen,
In the past few decades, the multilateral trading system skewed in the interests of developed countries rather than of developing ones. Such imbalance resulted in the marginalization of some developing countries, especially the least developed ones, in the course of globalization. This situation must be corrected. The WTO Doha Round, for the first time in 60 years of the history of multilateral trading system, embodied DEVELOPMENT as its core and ultimate objective. This has not come by easily. We owe it to the joint efforts of developing Members, particularly the African countries.
However, ever since the commencement of the Doha Round, there has been more talk than action on development. It is in such circumstances that Aid for Trade work programme was initiated at the Hong Kong Ministerial Conference, marking a concrete step forward to our developmental objective. China fully supports this programme and believes that, if faithfully implemented, it would help developing Members address their infrastructure and trade incapacity and enable them to truly benefit from international trade.
Ladies and Gentlemen,
The past 30 years of reform and opening-up has brought investment, trade and economic development to China. However, we remain clear-headed that China remains a typical developing country, with its GDP per capita ranking behind over 100 other countries, with 80 million disabled people, and with 150 million people living under 1 dollar a day. Therefore, we feel all you feel as developing countries striving to overcome the difficulties of economic development.
While encouraging our enterprises to increase their investment in other developing countries, Africa in particular, China provides duty-free and quota-free treatment to most of products that least developed countries have the ability to export. As No. 3 export market of least developed countries, China imported 18% of their total export in 2004. In that year, 93% of their export to China are duty-free.
Of course, we remain sober that more efforts are needed under the South-South framework. There is one famous Chinese saying: “It’s better to teach fishing than to simply give fish”. Hence, ever since 1950s China has been to our best ability providing assistance to other developing countries. Take Africa for example, our assistance covers over 900 projects in various sectors of agriculture, fishery, textile, transportation, communication, irrigation, electricity and public health. Some of these projects, such as the Tanzania-Zambia railway and Friendship Textile Factory here in Dar Es Salaam, were built in 1960s and are still in operation today. In the past 10 years, we also provided training for as many as 15 thousand African officials and technicians. It is always our sincere hope that such efforts could help our African friends overcome infrastructure deficiencies and supply-side constraints.
Ladies and Gentlemen,
Both Chinese foreign aid and WTO Aid for Trade aim to help recipient countries gradually move towards self-reliance and independent economic development. Being a developing country itself confronted with many difficulties, China shall continue to give prominence to assisting other developing countries and support the WTO Aid for Trade. Meanwhile, I would like to emphasize three points here for your consideration:
First, developed countries have more capacity and responsibility to implement their commitments in Aid for Trade. They are also expected to present better offer in Doha negotiations, both on domestic support of agriculture and on market access of products of export interests to developing countries;
Second, international organizations including WTO, World Bank, UNDP and various regional development banks should play more active role in aiding developing countries. Better coordination among them as well as with bilateral donors will make bilateral and multilateral assistance mutually reinforcing.
Last but not least, Aid for Trade should not serve as the replacement for a Doha Agreement. A timely conclusion of the Doha Round, which fully accommodates the aspirations of developing countries, would bring long-standing benefits to all countries, developed and developing alike. China is ready to continue to work with other Members to achieve that.
Thank you, Mr. Chairman.
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