1 Session 5: NON-DISCRIMINATION AND PREFERENCES; WORK OF THE WTO January 2003, Dar es Salaam Vesile Kulaçoglu, WTO Secretariat

2 Main principles underlying rules in WTO agreements Non-discrimination Non-discrimination Transparency Transparency

3 Two standards of Non-discrimination principle p National treatment p Most-favoured-nation treatment

4 Non-discrimination principle implicit in the tendering procedures Qualification of suppliers (GPA Article VIII) Qualification of suppliers (GPA Article VIII) Selection of suppliers (GPA Article X) Selection of suppliers (GPA Article X) Awarding of contracts (GPA Article XII:4(b)) Awarding of contracts (GPA Article XII:4(b))

5 Exceptions from the non-discrimination principle General exceptions General exceptions (GATT Article XX type) Developing countries (S &D) Developing countries (S &D) Negotiated derogations from non-discrimination rules Negotiated derogations from non-discrimination rules

6 Derogations from non-discrimination principle types of exceptions from MFN standard country-specific exceptions country-specific exceptions reciprocity provisions reciprocity provisions

7 Derogations from non-discrimination principle types of exceptions from national-treatment standard exclusion of specific products, services or economic sectors exclusion of specific products, services or economic sectors set-asides set-asides procurement from certain regions or areas procurement from certain regions or areas other other

8 WTO Agreement on Transparency Doha Ministerial (2001)Mandate, Negotiations to be limited to the transparency and will not restrict the scope for countries to give preferences to domestic supplies and suppliers