This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS SECTION 03 OF 04 ROME 000395 
 
SIPDIS 
 
FROM U.S. MISSION IN ROME 
 
SENSITIVE 
 
STATE FOR EB HANS KLEMM AND IO/EDA KOTOK 
STATE PLEASE PASS TO US TRADE REPRESENTATIVE 
USAID FOR D/DCHA/FFP LANDIS AND GLOBAL JLEWIS 
USDA/FAS FOR MCHAMBLISS/RTILSWORTH 
USUN NEW YORK FOR CSERWER 
                       UNCLASSIFIED 
 
PAGE 02        ROME  00395  03 OF 04  010832Z 
USTR FOR RICHARD WHITE 
BRUSSELS FOR USAID PLERNER 
NSC FOR JDWORKEN 
E.O. 12958: N/A 
TAGS: EAID EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EU WFP UN EUEAID WFP UN EUEAID WFP UN EUEAID WFP UN EUEAID WFP UN
SUBJECT: WTO VIEWS ON BIOTECH ENGINEERED FOOD AID 
 
WITH RESPECT TO OPTION 1, (TO CONTINUE WFP POLICY OF 
ALLOWING EACH COUNTRY TO DECIDE WHETHER OR NOT IT WISHES TO 
ACCEPT BIOTECH FOOD) AS INDICATED ABOVE, THERE ARE NO WTO 
DISPUTE SETTLEMENT RULINGS NOR IS THERE A CONSENSUS AMONG 
MEMBERS REGARDING HOW THE WTO AGREEMENTS APPLY TO TRADE IN 
GM/BIOTECH FOODS.  FURTHERMORE, WHILE WE ASSUME THAT WFP 
WOULD UNDERSTANDABLY WISH TO AVOID ANY POLICY WHICH MIGHT 
ENCOURAGE WTO MEMBERS TO VIOLATE THEIR OBLIGATIONS UNDER WTO 
AGREEMENTS, WE CAN GIVE YOU NO GUIDANCE AT THIS TIME AS TO 
HOW FUTURE WTO PANELS MIGHT RULE ON THIS MATTER. 
CONSEQUENTLY, A CONTINUATION OF THE CURRENT WFP POLICY 
WHEREBY EACH COUNTRY DETERMINES WHETHER OR NOT IT WISHES TO 
ACCEPT GM/BIOTECH FOODS, MAY OR MAY NOT HAVE WTO 
IMPLICATIONS IN THE FUTURE, BUT THAT IS NO DIFFERENT THAT 
THE CURRENT SITUATION. 
 
WITH RESPECT TO OPTION 2, (WFP INSTITUTES A PRIOR INFORMED 
CONSENT PROCEDURE OF SOME TYPE AND LABELS ALL FOOD DONATED 
IN KIND OR PURCHASED WHICH MAY BE GM/BIOTECH) THE ISSUE OF 
LABELING OF GM/BIOTECH FOODS IS THE SUBJECT OF ON-GOING 
DISCUSSIONS AND SUBSTANTIAL DISAGREEMENTS AMONG WTO MEMBERS. 
IT MAY WELL BE THAT WFP EFFORTS TO DEVELOP LABELING 
REQUIREMENTS AND A PRIOR INFORMED CONSENT PROCEDURE WOULD 
GIVE RISE TO SIMILAR DISAGREEMENTS AMONG ITS MEMBERS. 
                       UNCLASSIFIED 
 
PAGE 03        ROME  00395  03 OF 04  010832Z 
 
AS FOR OPTION 3, (NOTE: WHERE WFP WOULD IMPOSE THE 
PROVISIONS OF THE CARTAGENA PROTOCOL WITH IMMEDIATE EFFECT 
ON ALL ITS FOOD AID OPERATIONS - END NOTE), THE CARTAGENA 
PROTOCOL MAY ENTER INTO FORCE DURING 2003 AND WORK AIMED AT 
THE DEVELOPMENT OF SPECIFIC PROCEDURES WITH REGARD TO THE 
IDENTIFICATION OF POTENTIAL GM CONTENT IN SHIPMENTS OF FOOD, 
FEED AND PROCESSES FOOD PRODUCTS HAS BEEN INITIATED. 
ACCORDING TO ARTICLE 18.2(A) OF THE PROTOCOL, THE PARTIES 
WILL HAVE UP TO TWO YEARS AFTER THE ENTRY INTO FORCE OF THE 
PROTOCOL TO DEVELOP SUCH PROCEDURES.  WE ARE NOT IN A 
POSITION TO PREDICT HOW LONG IT MAY TAKE FOR SUCH DETAILED 
PROCEDURES TO BE DEVELOPED AND TO BECOME OPERATIONAL.  IF, 
UNDER OPTION 3, THE WFP WERE TO DEVELOP SOMETHING OTHER THAN 
THE FINAL SPECIFIC PROCEDURES DEVELOPED BY THE CARTAGENA 
PROTOCOL, IT COULD CREATE CONSIDERABLE CONFUSION AND 
POTENTIAL DUPLICATION OF MEASURES.  FURTHERMORE, IT IS 
CONCEIVABLE THAT AN IMPORTING COUNTRY, ALTHOUGH A SIGNATORY 
TO THE CARTAGENA PROTOCOL, MIGHT CHOOSE NOT TO APPLY ITS 
PROVISIONS FULLY WHEN FACED WITH AN URGENT NEED FOR FOOD 
AID.  FINALLY, THE PROBLEM OF FOOD AID TRANSACTIONS BETWEEN 
A NON-SIGNATORY AND SIGNATORY COUNTRY WOULD STILL ARISE. 
 
TO SUMMARIZE, I BELIEVE THAT A CONTINUATION OF THE CURRENT 
WFP POLICY WOULD NOT CHANGE THE CURRENT SITUATION WITH 
RESPECT TO THE POSSIBLE IMPLICATIONS FOR WTO MEMBERS' 
OBLIGATIONS WITH RESPECT TO TRADE IN GM/BIOTECH FOODS AND 
WOULD ALSO SEEM TO BE THE MOST PRAGMATIC OPTION FOR THE 
FORESEEABLE FUTURE. 
 
LET ME REITERATE MY APPRECIATION AT BEING CONSULTED 
                       UNCLASSIFIED 
 
PAGE 04        ROME  00395  03 OF 04  010832Z 
REGARDING THIS MATTER.  TRADE IN GM/BIOTECH PRODUCTS IS 
INCREASINGLY CONTROVERSIAL AND SENSITIVE.  CONSULTATIONS AND 
CAREFUL COOPERATION AMONG ALL INTERNATIONAL ORGANIZATIONS 
INVOLVED IN THIS MATTER COULD HELP AVOID POTENTIAL CONFLICTS 
WHICH MAY HAVE SERIOUS CONSEQUENCES FOR THE MOST 
DISADVANTAGED PEOPLES OF THE WORLD. WITH MY BEST REGARDS, 
(SIGNED) DR. SUPACHAI PANITCHPAKDI. END TEXT OF WTO LETTER. 
 
------- 
COMMENT 
------- 
 
¶3. (SBU) CLEARLY WTO AGREES WITH WFP'S PRESENT POSITION OF 
ESSENTIALLY ACTING AS A BROKER IN FOOD AID SHIPMENTS, WHERE 
THE POLICIES OF THE GOVERNMENTS INVOLVED PREVAILS; AND WHERE 
WFP OPERATES ON THE ASSUMPTION THAT GOVERNMENTS EXERCISE DUE 
DILIGENCE IN SETTING NATIONAL REGULATIONS WITH REGARD TO 
EXPORTS AND IMPORTS OF FOOD. THE EC HAS A DIFFERENT VIEW 
WHEREBY WFP SHOULD SERVE AS A "STALKING HORSE" AS A "FRONT- 
 
                       UNCLASSIFIED 
 
                           UNCLASSIFIED     PTQ2992 
 
PAGE 01        ROME  00395  04 OF 04  010832Z 
ACTION EB-00 
 
INFO  LOG-00   AGRE-00  AID-00   EAP-00   EUR-00   UTED-00  TEDE-00 
      IO-00    OIC-02   STR-00   TEST-00  PRM-00   SAS-00     /002W 
                  ------------------2F6145  010832Z /25 
P 311616Z JAN 03 
FM AMEMBASSY ROME 
TO SECSTATE WASHDC PRIORITY 7942 
INFO EU MEMBER STATES COLLECTIVE 
AMEMBASSY OTTAWA 
AMEMBASSY BERN 
USDA FAS WASHDC 2488 
USEU BRUSSELS 3092 
USMISSION GENEVA 
USMISSION USUN NEW YORK 
AMEMBASSY TOKYO 
 
UNCLAS SECTION 04 OF 04 ROME 000395 
 
SIPDIS 
 
FROM U.S. MISSION IN ROME 
 
SENSITIVE 
 
STATE FOR EB HANS KLEMM AND IO/EDA KOTOK 
STATE PLEASE PASS TO US TRADE REPRESENTATIVE 
USAID FOR D/DCHA/FFP LANDIS AND GLOBAL JLEWIS 
USDA/FAS FOR MCHAMBLISS/RTILSWORTH 
USUN NEW YORK FOR CSERWER 
                       UNCLASSIFIED 
 
PAGE 02        ROME  00395  04 OF 04  010832Z 
USTR FOR RICHARD WHITE 
BRUSSELS FOR USAID PLERNER 
NSC FOR JDWORKEN 
E.O. 12958: N/A 
TAGS: EAID EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EU WFP UN EUEAID WFP UN EUEAID WFP UN EUEAID WFP UN EUEAID WFP UN
SUBJECT: WTO VIEWS ON BIOTECH ENGINEERED FOOD AID 
 
LINE ENFORCER" OF THE CARTAGENA PROTOCOL. IT IS INTERESTING 
THAT WTO NOTES THAT THE PROTOCOL WHEN RATIFIED (WHICH 
CURRENTLY HAS 41 SIGNERS AND NEEDS 50 TO GO INTO EFFECT), 
RECOGNIZES THAT THE PARTIES WILL HAVE UP TO TWO YEARS AFTER 
THE ENTRY INTO FORCE OF THE PROTOCOL TO DEVELOP SPECIFIC 
PROCEDURES WITH REGARD TO THE IDENTIFICATION OF POTENTIAL GM 
CONTENT IN SHIPMENTS OF FOOD, FEED AND PROCESSES FOOD 
PRODUCTS.  US MISSION STRONGLY SUPPORTS WTO'S "QUIET ADVICE" 
THAT WFP STICK WITH ITS PRESENT GM-FOOD AID POLICY. HALL 
 
                       UNCLASSIFIED 
 
> 
@@@OASYS@@@ 
 
                           UNCLASSIFIED     PTQ2989 
 
PAGE 01        ROME  00395  01 OF 04  010828Z 
ACTION EB-00 
 
INFO  LOG-00   AGRE-00  AID-00   EAP-00   EUR-00   UTED-00  TEDE-00 
      IO-00    OIC-02   STR-00   TEST-00  PRM-00   SAS-00     /002W 
                  ------------------2F6126  010828Z /25 
P 311616Z JAN 03 
FM AMEMBASSY ROME 
TO SECSTATE WASHDC PRIORITY 7939 
INFO EU MEMBER STATES COLLECTIVE 
AMEMBASSY OTTAWA 
AMEMBASSY BERN 
USDA FAS WASHDC 2485 
USEU BRUSSELS 3089 
USMISSION GENEVA 
USMISSION USUN NEW YORK 
AMEMBASSY TOKYO 
 
UNCLAS SECTION 01 OF 04 ROME 000395 
 
SIPDIS 
 
FROM U.S. MISSION IN ROME 
 
SENSITIVE 
 
STATE FOR EB HANS KLEMM AND IO/EDA KOTOK 
STATE PLEASE PASS TO US TRADE REPRESENTATIVE 
USAID FOR D/DCHA/FFP LANDIS AND GLOBAL JLEWIS 
USDA/FAS FOR MCHAMBLISS/RTILSWORTH 
USUN NEW YORK FOR CSERWER 
                       UNCLASSIFIED 
 
PAGE 02        ROME  00395  01 OF 04  010828Z 
USTR FOR RICHARD WHITE 
BRUSSELS FOR USAID PLERNER 
NSC FOR JDWORKEN 
E.O. 12958: N/A 
TAGS: EAID EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EU WFP UN EUEAID WFP UN EUEAID WFP UN EUEAID WFP UN EUEAID WFP UN
SUBJECT: WTO VIEWS ON BIOTECH ENGINEERED FOOD AID 
 
REF: (02) ROME 5226 
 
SENSITIVE BUT UNCLASSIFIED - PLEASE PROTECT ACCORDINGLY. 
¶1. (SBU) SUMMARY.  MISSION HAS BEEN PROVIDED A COPY OF 
CORRESPONDENCE BETWEEN THE EXECUTIVE DIRECTOR OF THE UN 
WORLD FOOD PROGRAM (WFP) AND WORLD TRADE ORGANIZATION (WTO) 
DIRECTOR GENERAL PANITCHPAKDI IN WHICH PANITCHPAKDI IS ASKED 
TO PROVIDE VIEWS ON THE HOW WFP SHOULD HANDLE BIOTECH 
ENGINEERED FOOD AID. PANITCHPAKDI CONCLUDES THAT 
CONTINUATION OF THE CURRENT WFP POLICY (ALLOWING EACH 
COUNTRY TO DECIDE WHETHER OR NOT TO ACCEPT BIOTECH FOOD) IS 
THE MOST "PRAGMATIC" OPTION. PANITCHPAKDI DOES NOT SUPPORT 
THE RECOMMENDATION OF CERTAIN EU WFP EXECUTIVE BOARD MEMBERS 
(REFTEL) THAT WFP IMPLEMENT "ADVANCE INFORMED AGREEMENT" 
PRIOR TO ENTRY INTO FORCE OF THE CARTAGENA PROTOCOL. US 
MISSION STRONGLY SUPPORTS WTO'S "QUIET ADVICE" THAT WFP 
STICK WITH ITS PRESENT GM-FOOD AID POLICY. END SUMMARY. 
 
--------------------------------------------- ------------ 
FULL TEXT OF LETTER FROM WORLD TRADE ORGANIZATION (WTO) 
DIRECTOR GENERAL PANITCHPAKDI TO WFP EXECUTIVE DIRECTOR 
MORRIS DATED JANUARY 23, 2003 
--------------------------------------------- ------------- 
 
                       UNCLASSIFIED 
 
PAGE 03        ROME  00395  01 OF 04  010828Z 
¶2. (SBU) BEGIN TEXT: 
 
THANK YOU FOR YOUR LETTER OF 14 JANUARY SEEKING THE ADVICE 
OF THE WTO REGARDING HOW WFP SHOULD HANDLE DONATIONS OF 
GM/BIOTECH FOODS.  I APPRECIATE YOUR INTEREST IN OUR VIEWS 
ON THIS HIGHLY SENSITIVE MATTER. 
 
THE WTO HAS NO AGREEMENTS EXPLICITLY RELATING TO TRADE IN 
GM/BIOTECH FOODS, NOR HAVE THERE BEEN ANY FORMAL LEGAL 
INTERPRETATIONS OR DECISIONS REGARDING THE APPLICATION OF 
WTO AGREEMENTS TO SUCH TRADE.  FURTHERMORE, ALTHOUGH THERE 
HAS BEEN SOME DISCUSSION REGARDING RESTRICTIONS ON THE TRADE 
IN GM/BIOTECH FOODS, NO MEETINGS HAVE BEEN HELD UNDER THE 
AUSPICES OF THE WTO TO DISCUSS THIS MATTER.  THEREFORE, MY 
RESPONSE TO YOU IS SOLELY AS THE HEAD OF THE WTO 
SECRETARIAT, AND DOES NOT NECESSARILY REFLECT THE VIEWS OF 
 
SIPDIS 
OUR MEMBER GOVERNMENTS. 
 
THERE ARE SEVERAL WTO AGREEMENTS WHICH MAY HAVE SOME 
RELEVANCE FOR TRADE IN GM/BIOTECH FOODS, IN PARTICULAR THE 
AGREEMENT ON THE APPLICATION OF SANITARY AND PHYTOSANITARY 
MEASURES (THE "SPS AGREEMENT"), THE AGREEMENT ON TECHNICAL 
BARRIERS TO TRADE (THE "TBT AGREEMENT"), AND THE GENERAL 
AGREEMENT ON TARIFFS AND TRADE 1994 (THE "GATT").  THE 
AGREEMENT ON TRADE-RELATED ASPECTS OF INTELLECTUAL PROPERTY 
RIGHTS (THE "TRIPS AGREEMENT") MAY APPLY TO THE ISSUE OF 
PATENT PROTECTION FOR GM/BIOTECH PRODUCTS, BUT IS PROBABLY 
NOT RELEVANT WITH REGARD TO FOOD AID. 
 
THE SPS AGREEMENT RECOGNIZES THE RIGHT OF ANY WTO MEMBER 
GOVERNMENT TO RESTRICT TRADE WHEN NECESSARY TO ENSURE THE 
                       UNCLASSIFIED 
 
PAGE 04        ROME  00395  01 OF 04  010828Z 
PROTECTION OF HEALTH, SUBJECT TO CERTAIN CONDITIONS.  THIS 
AGREEMENT SPECIFICALLY ADDRESSES THE PROTECTION OF HUMAN AND 
ANIMAL HEALTH FROM RISKS "ARISING FROM ADDITIVES, 
CONTAMINANTS, TOXINS OR DISEASE-CAUSING ORGANISMS" IN FOODS, 
BEVERAGES OR FEEDSTUFFS; THE PROTECTION OF PLANT AND ANIMAL 
HEALTH FROM PESTS OR DISEASES; AND THE PROTECTION OF THE 
TERRITORY OF A COUNTRY FROM THE ENTRY, ESTABLISHMENT OR 
SPREAD OF PESTS. THIS LATTER RUBRIC WAS INTENDED TO ADDRESS 
CONCERNS OF INVASIVE SPECIES "CROWDING OUT" NATIVE SPECIES 
OR OTHERWISE CAUSING DAMAGES, A CONCERN WHICH MAY BE 
APPLICABLE WITH RESPECT TO SOME LIVING MODIFIED ORGANISMS. 
ALTHOUGH THE SPS AGREEMENT REQUIRES THE TRADE-RESTRICTING 
MEASURES ARE BASED ON SCIENTIFIC EVIDENCE, AND IN PARTICULAR 
ON A RISK ASSESSMENT, GOVERNMENTS ARE PERMITTED TO TAKE 
PROVISIONAL MEASURES IN CASES WHERE THERE IS INSUFFICIENT 
SCIENTIFIC EVIDENCE. 
 
THE SPS AGREEMENT ENCOURAGES GOVERNMENTS TO BASE THEIR 
 
                       UNCLASSIFIED 
 
                           UNCLASSIFIED     PTQ2990 
 
PAGE 01        ROME  00395  02 OF 04  010831Z 
ACTION EB-00 
 
INFO  LOG-00   AGRE-00  AID-00   EAP-00   EUR-00   UTED-00  TEDE-00 
      IO-00    OIC-02   STR-00   TEST-00  PRM-00   SAS-00     /002W 
                  ------------------2F613C  010831Z /25 
P 311616Z JAN 03 
FM AMEMBASSY ROME 
TO SECSTATE WASHDC PRIORITY 7940 
INFO EU MEMBER STATES COLLECTIVE 
AMEMBASSY OTTAWA 
AMEMBASSY BERN 
USDA FAS WASHDC 2486 
USEU BRUSSELS 3090 
USMISSION GENEVA 
USMISSION USUN NEW YORK 
AMEMBASSY TOKYO 
 
UNCLAS SECTION 02 OF 04 ROME 000395 
 
SIPDIS 
 
FROM U.S. MISSION IN ROME 
 
SENSITIVE 
 
STATE FOR EB HANS KLEMM AND IO/EDA KOTOK 
STATE PLEASE PASS TO US TRADE REPRESENTATIVE 
USAID FOR D/DCHA/FFP LANDIS AND GLOBAL JLEWIS 
USDA/FAS FOR MCHAMBLISS/RTILSWORTH 
USUN NEW YORK FOR CSERWER 
                       UNCLASSIFIED 
 
PAGE 02        ROME  00395  02 OF 04  010831Z 
USTR FOR RICHARD WHITE 
BRUSSELS FOR USAID PLERNER 
NSC FOR JDWORKEN 
E.O. 12958: N/A 
TAGS: EAID EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EU WFP UN EUEAID WFP UN EUEAID WFP UN EUEAID WFP UN EUEAID WFP UN
SUBJECT: WTO VIEWS ON BIOTECH ENGINEERED FOOD AID 
 
SANITARY OR PHYTOSANITARY REQUIREMENTS ON THE INTERNATIONAL 
STANDARDS AND RECOMMENDATIONS OF THE OFFICE INTERNATIONAL DE 
EPIZOOTIES (OIE), FAO/WHO JOINT CODEX ALIMENTARIUS 
COMMISSION AND THE FAO INTERNATIONAL PLANT PROTECTION 
CONVENTION.  BOTH OF THESE LATTER BODIES ARE EXPLICITLY 
ADDRESSING THE ISSUE OF GM/BIOTECH PRODUCTS, WITH REGARD TO 
POTENTIAL HUMAN HEALTH RISKS AND TO SOME ENVIRONMENTAL 
RISKS. 
 
THE TBT AGREEMENT PERMITS GOVERNMENTS TO REQUIRE THAT 
IMPORTED PRODUCTS COMPLY WITH MANDATORY TECHNICAL 
REGULATIONS WHICH ARE NECESSARY TO FULFILL A LEGITIMATE 
OBJECTIVE.  PROTECTION OF HUMAN, ANIMAL, PLANT AND 
ENVIRONMENTAL HEALTH ARE AMONG THE LEGITIMATE OBJECTIVES FOR 
WHICH PRODUCT REQUIREMENTS MAY BE DEVELOPED.  SUCH TECHNICAL 
REGULATIONS ARE TO BE NO MORE TRADE-RESTRICTIVE THAN 
NECESSARY TO FULFILL THE LEGITIMATE OBJECTIVE, TAKING 
ACCOUNT OF THE RISKS FROM NON-FULFILLMENT.  WHEN A TECHNICAL 
REGULATION IS REQUIRED, GOVERNMENTS ARE ENCOURAGED TO MAKE 
USE OF RELEVANT INTERNATIONAL STANDARDS, ALTHOUGH THE TBT 
AGREEMENT DOES NOT EXPLICITLY IDENTIFY WHICH STANDARDS OR 
STANDARD-SETTING BODIES MAY BE RELEVANT. 
 
THE GATT SETS THE BASIC PRINCIPLES FOR INTERNATIONAL TRADE 
                       UNCLASSIFIED 
 
PAGE 03        ROME  00395  02 OF 04  010831Z 
GOODS, INCLUDING THE PRINCIPLES OF NON-DISCRIMINATION AMONG 
SUPPLYING COUNTRIES AND OF THE TREATMENT OF IMPORTED GOODS 
NO LESS FAVORABLY THAN SIMILAR DOMESTICALLY-PRODUCED GOODS. 
HOWEVER, THE GATT ALSO INCLUDES A GENERAL EXCEPTION THAT 
PERMITS GOVERNMENTS TO TAKE MEASURES NECESSARY FOR THE 
PROTECTION OF HUMAN, ANIMAL AND PLANT LIFE OR HEALTH AS LONG 
AS THESE ARE NOT APPLIED IN A MANNER WHICH WOULD BE A MEANS 
OF ARBITRARY OR UNJUSTIFIABLE DISCRIMINATION BETWEEN 
COUNTRIES, OR A DISGUISED RESTRICTION ON INTERNATIONAL 
TRADE. 
 
THERE HAS BEEN SOME DISCUSSION REGARDING RESTRICTIONS ON THE 
TRADE IN GM/BIOTECH PRODUCTS IN THE COMMITTEES WHICH DEAL 
WITH THE IMPLEMENTATION OF THE SPS AGREEMENT AND THE TBT 
AGREEMENT.  IN THE SPS COMMITTEE, THE DISCUSSIONS HAVE 
FOCUSED PRIMARILY ON ISSUES RELATING TO THE CONDITIONS FOR 
APPROVAL OF SALE OR USE OF SPECIFIC GM/BIOTECH PRODUCTS.  IN 
THE TBT COMMITTEE, THE DISCUSSIONS HAVE PRIMARILY CONCERNED 
LABELING REQUIREMENTS IMPOSED BY VARIOUS GOVERNMENTS. 
HOWEVER, IN NEITHER COMMITTEE HAS THERE BEEN ANY ATTEMPT TO 
REACH AGREEMENT ON ISSUES RELATING TO THE TRADE IN 
GM/BIOTECH PRODUCTS.  IN ADDITION, IN THE CONTEXT OF THE ON- 
GOING NEGOTIATIONS IN THE AGRICULTURE SECTOR IN THE UNITED 
STATES PROPOSED AT AN EARLY STAGE TO DEVELOP NEW DISCIPLINES 
TO ENSURE THAT PROCESSES COVERING TRADE IN PRODUCTS 
DEVELOPED THROUGH NEW TECHNOLOGIES ARE TRANSPARENT, 
PREDICTABLE AND TIMELY, HOWEVER TO DATE THERE HAS BEEN NO 
DETAILED CONSIDERATION OF THIS PROPOSAL. 
 
FURTHERMORE, TO DATE ONLY ONE SPECIFIC TRADE COMPLAINT HAS 
BEEN BROUGHT TO THE WTO REGARDING RESTRICTIONS ON THE TRADE 
                       UNCLASSIFIED 
 
PAGE 04        ROME  00395  02 OF 04  010831Z 
OF GM/BIOTECH PRODUCTS.  THIS COMPLAINT WAS BROUGHT BY 
THAILAND IN SEPTEMBER 2000 WITH RESPECT TO EGYPT'S 
PROHIBITION OF TUNA FISH CANNED IN SOY OIL FROM THAILAND, 
ALLEGEDLY ON THE GROUNDS THAT THE OIL MIGHT BE DERIVED FROM 
GM SOYBEANS.  IT APPEARS THAT THE PARTIES FOUND A BILATERAL 
SOLUTION TO THE COMPLAINT; IN ANY CASE, THAILAND HAS NOT 
REQUESTED THE ESTABLISHMENT OF A DISPUTE RESOLUTION PANEL TO 
EXAMINE THE MATTER.  THEREFORE, ALTHOUGH THAILAND ALLEGED 
THAT THE EGYPTIAN BAN WAS IN VIOLATION OF THE SPS AGREEMENT, 
THERE HAVE BEEN NO LEGAL RULINGS OR JUDGMENTS WITH REGARD TO 
THE APPLICABILITY OF ANY WTO AGREEMENT TO TRADE IN 
GM/BIOTECH FOOD PRODUCTS.  IF THE WFP WOULD LIKE FURTHER 
INFORMATION REGARDING THE RELEVANT WTO AGREEMENTS AND 
CONSIDERATION OF THIS ISSUE WITHIN THE WTO, PLEASE DO NOTE 
HESITATE TO CONTACT MRS. GRETCHEN STANTON (+41 22 739 5086). 
 
LET ME NOW ADDRESS THE FOUR OPTIONS FOR WFP POLICY WHICH YOU 
IDENTIFIED IN YOUR LETTER. 
 
                       UNCLASSIFIED 
 
> 
@@@OASYS@@@ 
 
                           UNCLASSIFIED     PTQ2989 
 
PAGE 01        ROME  00395  01 OF 04  010828Z 
ACTION EB-00 
 
INFO  LOG-00   AGRE-00  AID-00   EAP-00   EUR-00   UTED-00  TEDE-00 
      IO-00    OIC-02   STR-00   TEST-00  PRM-00   SAS-00     /002W 
                  ------------------2F6126  010828Z /25 
P 311616Z JAN 03 
FM AMEMBASSY ROME 
TO SECSTATE WASHDC PRIORITY 7939 
INFO EU MEMBER STATES COLLECTIVE 
AMEMBASSY OTTAWA 
AMEMBASSY BERN 
USDA FAS WASHDC 2485 
USEU BRUSSELS 3089 
USMISSION GENEVA 
USMISSION USUN NEW YORK 
AMEMBASSY TOKYO 
 
UNCLAS SECTION 01 OF 04 ROME 000395 
 
SIPDIS 
 
FROM U.S. MISSION IN ROME 
 
SENSITIVE 
 
STATE FOR EB HANS KLEMM AND IO/EDA KOTOK 
STATE PLEASE PASS TO US TRADE REPRESENTATIVE 
USAID FOR D/DCHA/FFP LANDIS AND GLOBAL JLEWIS 
USDA/FAS FOR MCHAMBLISS/RTILSWORTH 
USUN NEW YORK FOR CSERWER 
                       UNCLASSIFIED 
 
PAGE 02        ROME  00395  01 OF 04  010828Z 
USTR FOR RICHARD WHITE 
BRUSSELS FOR USAID PLERNER 
NSC FOR JDWORKEN 
E.O. 12958: N/A 
TAGS: EAID EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EAGR AORC PREF EU WFP UN EUEAID WFP UN EUEAID WFP UN EUEAID WFP UN EUEAID WFP UN
SUBJECT: WTO VIEWS ON BIOTECH ENGINEERED FOOD AID 
 
REF: (02) ROME 5226 
 
SENSITIVE BUT UNCLASSIFIED - PLEASE PROTECT ACCORDINGLY. 
¶1. (SBU) SUMMARY.  MISSION HAS BEEN PROVIDED A COPY OF 
CORRESPONDENCE BETWEEN THE EXECUTIVE DIRECTOR OF THE UN 
WORLD FOOD PROGRAM (WFP) AND WORLD TRADE ORGANIZATION (WTO) 
DIRECTOR GENERAL PANITCHPAKDI IN WHICH PANITCHPAKDI IS ASKED 
TO PROVIDE VIEWS ON THE HOW WFP SHOULD HANDLE BIOTECH 
ENGINEERED FOOD AID. PANITCHPAKDI CONCLUDES THAT 
CONTINUATION OF THE CURRENT WFP POLICY (ALLOWING EACH 
COUNTRY TO DECIDE WHETHER OR NOT TO ACCEPT BIOTECH FOOD) IS 
THE MOST "PRAGMATIC" OPTION. PANITCHPAKDI DOES NOT SUPPORT 
THE RECOMMENDATION OF CERTAIN EU WFP EXECUTIVE BOARD MEMBERS 
(REFTEL) THAT WFP IMPLEMENT "ADVANCE INFORMED AGREEMENT" 
PRIOR TO ENTRY INTO FORCE OF THE CARTAGENA PROTOCOL. US 
MISSION STRONGLY SUPPORTS WTO'S "QUIET ADVICE" THAT WFP 
STICK WITH ITS PRESENT GM-FOOD AID POLICY. END SUMMARY. 
 
--------------------------------------------- ------------ 
FULL TEXT OF LETTER FROM WORLD TRADE ORGANIZATION (WTO) 
DIRECTOR GENERAL PANITCHPAKDI TO WFP EXECUTIVE DIRECTOR 
MORRIS DATED JANUARY 23, 2003 
--------------------------------------------- ------------- 
 
                       UNCLASSIFIED 
 
PAGE 03        ROME  00395  01 OF 04  010828Z 
¶2. (SBU) BEGIN TEXT: 
 
THANK YOU FOR YOUR LETTER OF 14 JANUARY SEEKING THE ADVICE 
OF THE WTO REGARDING HOW WFP SHOULD HANDLE DONATIONS OF 
GM/BIOTECH FOODS.  I APPRECIATE YOUR INTEREST IN OUR VIEWS 
ON THIS HIGHLY SENSITIVE MATTER. 
 
THE WTO HAS NO AGREEMENTS EXPLICITLY RELATING TO TRADE IN 
GM/BIOTECH FOODS, NOR HAVE THERE BEEN ANY FORMAL LEGAL 
INTERPRETATIONS OR DECISIONS REGARDING THE APPLICATION OF 
WTO AGREEMENTS TO SUCH TRADE.  FURTHERMORE, ALTHOUGH THERE 
HAS BEEN SOME DISCUSSION REGARDING RESTRICTIONS ON THE TRADE 
IN GM/BIOTECH FOODS, NO MEETINGS HAVE BEEN HELD UNDER THE 
AUSPICES OF THE WTO TO DISCUSS THIS MATTER.  THEREFORE, MY 
RESPONSE TO YOU IS SOLELY AS THE HEAD OF THE WTO 
SECRETARIAT, AND DOES NOT NECESSARILY REFLECT THE VIEWS OF 
 
SIPDIS 
OUR MEMBER GOVERNMENTS. 
 
THERE ARE SEVERAL WTO AGREEMENTS WHICH MAY HAVE SOME 
RELEVANCE FOR TRADE IN GM/BIOTECH FOODS, IN PARTICULAR THE 
AGREEMENT ON THE APPLICATION OF SANITARY AND PHYTOSANITARY 
MEASURES (THE "SPS AGREEMENT"), THE AGREEMENT ON TECHNICAL 
BARRIERS TO TRADE (THE "TBT AGREEMENT"), AND THE GENERAL 
AGREEMENT ON TARIFFS AND TRADE 1994 (THE "GATT").  THE 
AGREEMENT ON TRADE-RELATED ASPECTS OF INTELLECTUAL PROPERTY 
RIGHTS (THE "TRIPS AGREEMENT") MAY APPLY TO THE ISSUE OF 
PATENT PROTECTION FOR GM/BIOTECH PRODUCTS, BUT IS PROBABLY 
NOT RELEVANT WITH REGARD TO FOOD AID. 
 
THE SPS AGREEMENT RECOGNIZES THE RIGHT OF ANY WTO MEMBER 
GOVERNMENT TO RESTRICT TRADE WHEN NECESSARY TO ENSURE THE 
                       UNCLASSIFIED 
 
PAGE 04        ROME  00395  01 OF 04  010828Z 
PROTECTION OF HEALTH, SUBJECT TO CERTAIN CONDITIONS.  THIS 
AGREEMENT SPECIFICALLY ADDRESSES THE PROTECTION OF HUMAN AND 
ANIMAL HEALTH FROM RISKS "ARISING FROM ADDITIVES, 
CONTAMINANTS, TOXINS OR DISEASE-CAUSING ORGANISMS" IN FOODS, 
BEVERAGES OR FEEDSTUFFS; THE PROTECTION OF PLANT AND ANIMAL 
HEALTH FROM PESTS OR DISEASES; AND THE PROTECTION OF THE 
TERRITORY OF A COUNTRY FROM THE ENTRY, ESTABLISHMENT OR 
SPREAD OF PESTS. THIS LATTER RUBRIC WAS INTENDED TO ADDRESS 
CONCERNS OF INVASIVE SPECIES "CROWDING OUT" NATIVE SPECIES 
OR OTHERWISE CAUSING DAMAGES, A CONCERN WHICH MAY BE 
APPLICABLE WITH RESPECT TO SOME LIVING MODIFIED ORGANISMS. 
ALTHOUGH THE SPS AGREEMENT REQUIRES THE TRADE-RESTRICTING 
MEASURES ARE BASED ON SCIENTIFIC EVIDENCE, AND IN PARTICULAR 
ON A RISK ASSESSMENT, GOVERNMENTS ARE PERMITTED TO TAKE 
PROVISIONAL MEASURES IN CASES WHERE THERE IS INSUFFICIENT 
SCIENTIFIC EVIDENCE. 
 
THE SPS AGREEMENT ENCOURAGES GOVERNMENTS TO BASE THEIR 
 
                       UNCLASSIFIED 
 
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 2003ROME00395 - Classification: UNCLASSIFIED