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E-TISNET MONTHLY NEWSISSUE  4/2007

April 2007

E-TISNET Monthly News keeps you informed about the latest developments in trade and investment in Asia and the Pacific. For enquiries, subscriptions and/or cancellation thereof, please contact us at escap-tisnet@un.org.

This issue of e-TISNET can be also accessed from ESCAP’s web page, at
< http://www.unescap.org/tid/latestnews.asp >

Need more information?....Visit the other information products of the ESCAP Trade Information Service at < http://www.unescap.org/tid/ti.asp > !



A. TRADE-RELATED INFORMATION

AZERBAIJAN
Azerbaijan and Kazakhstan sign protocol on prolonging mutual visa-free travel. Today, 27 February 2007.
Azerbaijan and Kazakhstan have signed protocols on prolonging mutual visa-free travel and on ratification of agreement on strategic partnership and alliance between the two countries.
Accessed on 6 March < http://www.today.az/news/politics/37109.html >

BANGLADESH
Bangladesh to boost trade with China via Myanmar. The Hindustan Times, 2 March 2007.
Bangladesh has proposed a road link to China via Myanmar to promote trade and tourism as well as duty-free access of its goods in the Chinese market. Bangladesh has a negative trade balance with China and proposed that China could import quality leather goods, garments and melamine at very competitive prices.
Accessed on 6 March
< http://www.hindustantimes.com/news/7598_1942916,000500020001.htm >

Bangladesh moves to privatize port operations. Channel News Asia, 12 March 2007.
Bangladesh’s interim Government is to privatize operations at the country’s main port to free it from union control and improve efficiency after a series of crippling strikes. The port in the southeast city of Chittagong on the Bay of Bengal is crucial for Bangladesh’s booming textiles trade and handles more than 90 per cent of the country’s US$ 25 billion worth of exports and imports. Recently, it has become a key battleground in political and worker disputes that have led to losses and given it a reputation for unreliability among firms that ship to companies. Authorities plan to gradually hand over jetties to private operators, while its biggest container terminal, which has a capacity to handle 500,000 containers, will be privatized in December. The Federation of Bangladesh Chambers of Commerce and Industry lauded the move, stating that the privatization of the port had been the chamber’s long-held demand.
Accessed on 13 March
< http://www.channelnewsasia.com/stories/afp_asiapacific_business/view/263448/1/.html >

GREATER MEKONG SUBREGION (GMS)
Pact to improve transport system in Mekong region. China Daily, 21 March 2007.
The six countries of the Greater Mekong Subregion (Cambodia, China, Lao People’s Democratic Republic, Myanmar, Thailand and Viet Nam) have signed an agreement to build a modern and user-friendly transportation network. Transport ministers signed the last four of the 20 annexes and protocols of the GMS Cross-Border Transport Agreement, a multilateral instrument designed to facilitate cross-border trade and transport. According to the pact, the six countries will remove or reduce non-physical barriers across borders, such as setting up single-stop customs inspections, providing visa assistance for cross-border trade, and allowing vehicles to pass across borders with fewer checks. The six nations are also committed to improving the sub-regional transportation infrastructure, with finances generated internally and from the Asian Development Bank (ADB).
Accessed on 22 March
< http://www.chinadaily.com.cn/china/2007-03/21/content_832633.htm >

INDIA
India puts Pak on notice over SAFTA. Economic Times, 27 February 2007.
The Minister of Commerce and Industry has warned Pakistan that it may review the concessions given to the country under the South Asian Free Trade Area (SAFTA) agreement in case of Pakistan continued non-compliance with the agreement. While preferential trade through SAFTA is to be based on a negative list, Pakistan has provided a positive list of 1,075 items in the case of India. All other members of the South Asian Association for Regional Cooperation (SAARC) get preferential access to the Pakistani market for more than 4,000 products. SAFTA, a free trade agreement between the SAARC countries which includes India and Pakistan, came into force on January 1, 2006. Phased tariff liberalization programme (TLP) of SAFTA covering all tariff lines except those kept in the sensitive list has been implemented by members from July 1, 2006.
Accessed on 6 March
< http://economictimes.indiatimes.com/News/Economy/Foreign_Trade/ >

MoU signed to boost bilateral ties with Myanmar. Fibre-to-Fashion, 6 March 2007.
The Industries and Trade Fair Association of Assam, the Indo-Myanmar Border Traders’ Union of Manipur and the Union of Myanmar Border Trade Chamber of Commerce, Myanmar have signed a Memorandum of Understanding (MoU) that is expected to enhance trade relations between the northeastern Indian states and Myanmar. The trade associations have agreed to work in tandem and encourage business participation. They will also exchange views on border trade in meeting that is expected to be conducted within three months. Governments of both countries are planning to achieve US$ 1 billion trade in 2006-2007. In 2005-2006, bilateral trade between these countries stood at US$ 570 million.
Accessed on 9 March
< http://www.fibre2fashion.com/news/daily-textile-industries-news/ >

India wants transit pipelines under WTO umbrella. Indian Express, 7 March 2007.
India wants transnational oil and gas pipelines to be included in the World Trade Organization’s (WTO) trade facilitation measures. A Government paper outlining the possible strategy for talks with Negotiating Group on Trade Facilitation suggests including pipelines in the definition of ‘Traffic in Transit’ as fixed infrastructure for passage of goods. Traffic in Transit implies movement of goods and means of transport (other than aircraft) across the territory of the country, where both the starting and the terminating point of the journey lies beyond it.
Accessed on 8 March < http://www.indianexpress.com/story/24898.html >

International trade facilitation centre planned. The Hindu, 19 March 2007.
The State Government of Hyderabad is considering setting up an International Trade Facilitation Centre for guiding small and medium exporters in international trade practices. The new facility is expected to act as a one-stop shop for exporters and importers and as a single window for issue of clearances. Experts in foreign trade who will form part of the centre will offer counselling for traders making them understand practices and the emerging needs in the international market.
Accessed on 20 March < http://www.hindu.com/2007/03/19/stories/2007031911570400.htm >

KAZAKHSTAN
Kazakhstan ratified Rotterdam convention on regulation of chemicals and pesticides international trade. Kazakhstan Today, 23 March 2007.
The President of Pakistan has signed the law "On ratification of The Rotterdam Convention on the Prior Informed Consent (PIC) Procedure for Certain Hazardous Chemicals and Pesticides in International Trade". The convention, which is used towards forbidden or sharply limited chemicals and hazardous pesticides was signed in 1998 in Rotterdam. 114 countries have now ratified it.
Accessed on 26 March < http://eng.gazeta.kz/art.asp?aid=88467 >

MALAYSIA
Malaysia to set up ports commission. Bernama, 8 March 2007.
Malaysia will set up the Malaysia Ports Commission (MPC) to bring all federal port authorities under one umbrella. This will also pave the way for funds from all local ports to be channeled into strategic development projects. At present, this is not possible as the port authorities act independently. Through the formation of MPC, several port authorities such as Klang Port Authority (KPA) and others in locations such as Johor, Penang, Sabah and Pahang will come under the commission. Currently, they are under the direct purview of the Transport Ministry
Accessed on 9 March
< http://www.bernama.com.my/bernama/v3/news_business.php?id=250263 >

MYANMAR
Myanmar draws five-year plan on eliminating human trade. People’s Daily Online, 10 March 2007.
Myanmar is drafting a national- level five-year plan of eliminating human trade. The plan covers five sectors: cooperation through the policy, prevention, taking action, protection of the victims and capacity building. Myanmar exposed 60 human trade cases in 2006, rescuing 200 victims and arresting 299 human traffickers. In March 2004, Myanmar joined the United Nations Convention Against Transnational Organized Crime and the Protocol to Prevent, Suppress and Punish Trafficking in Persons Especially Women. The country also signed a memorandum of understanding of six- member countries of Greater Mekong Subregion against trafficking in persons in October 2004. In September 2005, Myanmar domestically passed the Law on Prevention of Trafficking in Persons.
Accessed on 13 March
< http://english.people.com.cn/200703/10/eng20070310_356225.html >

NEPAL
Nepal-India trade treaty renewed. Kantipur, 5 March 2007.
Nepal and India have formally announced the renewal of the bilateral trade treaty for the next five years. The treaty has been renewed automatically in accordance with a provision of the treaty itself, as neither side expressed concern over its existing version. With the renewal, Nepali manufactured goods, barring three items in the negative list and five items with quantitative restrictions, will continue to enjoy unlimited duty-free market access in India without Nepal needing to reciprocate the facility. Agricultural exports will also enjoy duty-free market access in India, albeit with a provision of reciprocity.
Accessed on 7 March < http://www.kantipuronline.com/kolnews.php?nid=102692 >

ORGANIZATION OF THE ISLAMIC CONFERENCE (OIC)
Islamic countries to establish preferred trade system in 2009. Today’s Zaman, 12 March 2007.
The Organization of the Islamic Conference (OIC) has announced 1 January 2009 as the target date for the establishment of the Trade Preferential System (TPS), designed to increase trade among OIC countries. The target set is a part of a 10-year OIC action plan. The system is considered an important step toward increasing intra-OIC trade to 20 per cent and equals a general 50 per cent increase in trade among OIC members. The system, TPS-OIC, has been on the OIC’s agenda since the mid-1980s. The framework agreement, which was signed in early 1990s, for TPS-OIC is expected to be completed by the end of the 2007. Of the 57 members of the OIC, 31 have either signed or ratified the framework agreement, which came into effect in 2003.
Accessed on 12 March
< http://www.todayszaman.com/tz-web/detaylar.do?load=detay&link=105047 >

PAPUA NEW GUINEA
Papua New Guinea to prioritize trade and economic diplomacy. Pacific Magazine, 8 March 2007.
Papua New Guinea is embarking on a major policy shift aimed at redirecting strategic missions overseas to focus on trade and economic diplomacy. The Minister of Foreign Affairs said that Papua New Guinea needed to raise its competitive advantage in order to harness opportunities in foreign investments and market PNG’s vast potential in trade, investment and tourism to other countries throughout the world.
Accessed on 9 March
< http://www.pacificmagazine.net/news/2007/03/08/ >

PHILIPPINES
Philippines pursue United States free-trade accord. Bilaterals, 1 March 2007.
The Philippines and the United States have agreed to pursue talks for a comprehensive FTA. The Secretary of Trade of the Philippines said that the Philippines had sent several missions to the United States to map out the possible FTA but that there were mixed reactions. The Philippine team is currently preparing a concept that would include three phases of the possible RP-US FTA. Under Phase one of the package, the two parties would agree on common products, like garments and textiles. Phase two would involve granting additional concessions on more sensitive products while Phase three would cover a more comprehensive range of products and services.
Accessed on 1 March < http://www.bilaterals.org/article.php3?id_article=7296 >

RUSSIAN FEDERATION
Russian Federation and Japan sign package of economic accords. Itar-Tass, 28 February 2007.
The Russian Federation and Japan have signed a package of documents aimed at boosting Russian-Japanese economic cooperation. They include a programme of action to expand trade and investment cooperation, a memorandum of cooperation between the customs bodies of the two countries, an inter-governmental programme of cooperation in averting and liquidating the aftermaths of natural disasters and a memorandum on transforming the bilateral sub-commission for cooperation with far eastern regions into a sub-commission for regional cooperation.
Accessed on 1 March
< http://www.itar-tass.com/eng/level2.html?NewsID=11292225&PageNum=0 >

SINGAPORE
Trade links with Japan get deeper. Today online, 20 March 2007.
Singapore and Japan have revised and endorsed an economic agreement – the Japan-Singapore Economic Partnership Agreement (JSEPA) – to bring about greater liberalization in trade between the two partners. This review of the JSEPA covers improved market access in the area of industrial and agricultural products, revised rules of origin, improved specific commitments for financial services, revised customs procedures and technical alteration to provisions on competition.
Accessed on 22 March < http://www.todayonline.com/articles/178367.asp >

THAILAND
United States drugs firm blacklists Thailand. BBC, 14 March 2007.
One of the world’s biggest pharmaceutical companies has announced it will stop licensing any new drugs it develops for sale in Thailand, in response to the Thai Government’s decision to break the patent on a anti-HIV/Aids drug. Thailand had announced earlier that it would either make or import cheap generic versions of three patented drugs with the aim of cutting the cost of healthcare. Under World Trade Organization rules, poorer countries can issue what are called compulsory licences to make cheaper, generic versions of branded drugs if they face a health crisis. The big multi-national companies have already accepted this in the case of basic anti-retroviral drugs in order to cut the death toll from HIV/Aids. However, they argue Thailand has gone too far in issuing compulsory licences for two newer HIV treatments and a heart drug. They say this amounts to theft of their intellectual property, and that Thailand should have negotiated first.
Accessed on 15 March < http://news.bbc.co.uk/2/hi/asia-pacific/6449779.stm >

UNITED STATES OF AMERICA
United States and Viet Nam launch of negotiations to conclude a Trade and Investment Framework Agreement (TIFA). Office of the United States Trade Representative (USTR), 19 March 2007.
The United States and Viet Nam have announced the launch of negotiations to conclude a Trade and Investment Framework Agreement (TIFA), which will serve as a platform on which the two countries will work to further strengthen their trade and investment ties. The TIFA will establish a formal dialogue under which the two countries intend to discuss new initiatives to deepen their trade and investment ties. It also will provide a forum for monitoring Viet Nam’s implementation of its WTO and Bilateral Trade Agreement (BTA) commitments.
Accessed on 20 March < http://www.ustr.gov/Document_Library/Press_Releases/2007/ >

VANUATU
Vanuatu and New Caledonia ink cooperation package. Pacific Magazine, 9 March 2007.
The Governments of New Caledonia and Vanuatu have formalized a package of some US$ 440,000 aimed at funding this year’s cooperation between the French Pacific territory and its closest neighbor. The regional cooperation package between Port Vila and Nouméa includes support for the French language (Vanuatu being the only Pacific independent State to recognize French as one of its official languages), a boost in trade exchanges and support to the local police force. One of the new areas with a significant focus is also the promotion of good governance. Under the agreement, trade advisers from both Vanuatu and New Caledonia’s Chambers of Commerce are to be exchanged, so as to boost trade volumes between the French Pacific territory and the Pacific island State.
Accessed on 9 March < http://www.pacificmagazine.net/news/2007/03/09/ >

WORLD INTELLECTUAL PROPERTY ORGANIZATION (WIPO)
Breakthrough on WIPO development agenda. ICTSD, 28 February 2007.
Delegates from 105 Governments have made a breakthrough in negotiations on integrating development concerns into the functioning of the World Intellectual Property Organisation, by agreeing on a set of initial recommendations for reforms. The recommendations touch upon a wide range of WIPO’s activities, from rule-making to technical assistance and the protection of the public domain.
Accessed on 6 March < http://www.ictsd.org/weekly/07-02-28/story1.htm >



B. CUSTOMS REGULATIONS AND CHARGES

INDIA
India cuts import duties in budget. Kiplinger, 28 February 2007.
India cut duties on a host of goods and sought to further open its market to foreign competition as the country’s finance minister unveiled the federal budget for the next fiscal year. The 6.8 trillion rupee (US$ 151 billion) budget also increased a tax surcharge - from 2 per cent to 3 per cent - that the Government levies to raise extra funds for education. Duties were cut on edible oil, cement, gasoline and diesel in a bid to ease their prices, as well as the peak import duty for all non-agricultural goods to 10 per cent from 12.5 per cent in line with a plan to bring the country’s duty levels on par with East Asian countries.
Accessed on 6 March
< http://www.kiplingerforecasts.com/apnews/XmlStoryResult.php?storyid=315635 >

Government for stricter customs duty norms. Financial Express, 9 March 2007.
As part of the Finance Bill 2007 tabled in Parliament during the first week of March, the Government has proposed stricter norms for those evading customs duties and for those engaged in smuggling of goods. The Government has proposed to expand the scope of the earlier provision in the Customs Act to include mis-declaration of the value of goods, attempts to export goods from non-customs or illegal ports and airports as well as fraudulently attempts to take exemptions or drawback for customs duty as activities liable for punishment. The provision earlier only dealt with fraudulent evasion or attempt at evasion and possession of goods smuggled into the country.
Accessed on 12 April
< http://www.financialexpress.com/fe_full_story.php?content_id=157157 >

Government to simplify norms in rules of origin for textiles business. Fibre-to-Fashion, 9 March 2007.
With a view to rationalise various provisions in Rules of Origins (RoO) contained in many agreements, the Government has commissioned a study to form a unified RoO simplifying rules for Indian textiles business, applicable to all agreements.
Accessed on 12 March
< http://www.fibre2fashion.com/news/textile-news/newsdetails.aspx?news_id=32062 >

India lists 80 agricultural products for tariff cut. Daily India, 17 March 2007.
The Ministry of Agriculture has identified 80 special products that should get tariff treatment as part of the World Trade Organisation’s current Doha Round negotiations. The items account for 12 per cent of the nearly 700 agricultural tariff lines at six-digit classification. The WTO’s Hong Kong Ministerial Conference in December 2005 had allowed developing countries to self-designate an “appropriate number of tariff lines” as special products. These special products qualify for lower tariff reduction commitments over a longer implementation period. The special products identified by the Government include rice, wheat, maize, sorghum (jowar) and millet (bajra). Pulses have not been designated mainly because India has no choice but to import keeping in view domestic production constraints. Among edible oils, soybean, rapeseed-mustard and castor are included. The other special products figuring in the list include a range of fruits (apples, grapes, oranges), vegetables (onion, garlic), spices and condiments (pepper, ginger, turmeric, saffron), beverages (coffee and tea), dairy products (cheese, milk powder, curd, casein), poultry and other meat, and liquor (whiskey, wines). The special products are subject to a ceiling of a still-to-be-defined percentage of all agricultural tariff lines.
Accessed on 19 March
< http://www.dailyindia.com/show/126260.php/India-lists-80-agri-products-for-tariff-cut >

MALAYSIA
Compulsory course on body language for Customs officials. Bernama, 7 March 2007.
The Customs Deputy Director-General said that all Customs officials would be required to attend a course on body language to help them identify suspicious characters, especially at entry points along the border. The department is also studying placing scanner machines and closed-circuit television cameras at high risk entry points such as the Kuala Lumpur International Airport or Kota Kinabalu.
Accessed on 8 March < http://www.bernama.com.my/bernama/v3/news.php?id=250122 >

Customs five-year plan to check corruption. Daily Express, 19 March 2007.
The Customs Department is carrying out an intensive five-year programme in an effort to check corruption within the department, besides moulding clean and honest officers. The programme involves enhancing sincerity and loyalty towards the department and reducing human involvement in the core business by greater use of technology in the area of enforcement. Under the five-year plan, focus is also given to updating the data system to facilitate issuance of up to 700 licences in one operation and conducting screening at Port Klang. An e-penjualan (e-sale) and e-pergerakan (e-movement) systems and x-ray portal will also be implemented this year for greater efficiency.
Accessed on 22 March < http://www.dailyexpress.com.my/news.cfm?NewsID=48352 >

PAKISTAN
Customs administrative reforms to be started at all airports and dry ports. The News, 2 March 2007.
Following the success of Customs Administrative Reforms (CARE) at a number of customs stations, the Central Board of Revenue (CBR) is going to have similar arrangements at all other customs’ stations at the dry ports and airports of the country. CBR intends to build an automated nationwide commercial community single window system to integrate all the stakeholders engaged in international trade and to provide one-stop shop for commercial, industrial and other transactional needs of the stakeholders. The CBR has invited expressions of interest from interested parties in this regard.
Accessed on 6 March < http://www.thenews.com.pk/print1.asp?id=45226 >

Pakistan-Sri Lanka agree to reduce tariff concession on betel leaves and herbal cosmetics. Online News, 19 March 2007.
The first meeting of the Pakistan-Sri Lanka joint committee that was established under article 11 of the Pakistan-Sri Lanka Free Trade Agreement was held in Islamabad on 16 March. The meeting agreed to reduce tariff concession on betel leaves and herbal cosmetics.
Accessed on 19 March < http://www.onlinenews.com.pk/details.php?id=109715 >

RUSSIAN FEDERATION
New customs declaration for cars imported by natural persons introduced on 6 March 2007. URBC, 9 March 2007.
Effective from 6 March 2007, a new customs declaration has to be used for cars imported by natural persons for their own use. According to the Federal Customs Service, the new declaration was needed to make sure all the automobiles, including those containing unattended luggage, are properly examined by the customs officers. The car owner will now have to provide answers to 17 questions such as place of residence, passport details, car details and documents and its customs value as well as documents that prove this value. The forms used earlier did not have any requirements as to the papers that prove the customs value of an automobile. Another page is filled in by the customs officer and covers data on possible discounts on customs duties, the kind and amount of payments, details of the customs check and of the vehicle passport.
Accessed on 12 March < http://en.urbc.ru/daynews.asp?ida=153733 >

THAILAND
Customs goes on camera. Bangkok Post, 19 March 2007.
The Customs Department plans to install 1,119 closed-circuit cameras at customs points and ports nationwide in an effort to strengthen national security. The 740-million-baht programme is part of the department’s long-standing campaign to curb internal corruption. The cameras will allow full monitoring of bonded warehouses and facilities and can also screen customs officials at every point of the clearance process. The department hopes to receive approval and complete the installation by September.
Accessed on 19 March < http://www.bangkokpost.com/Business/19Mar2007_biz37.php >

VIET NAM
United States donates customs gear to prevent nuclear trafficking. Viet Nam News, 2 March 2007/
The United States has presented to customs inspection equipment valued at US$ 91,000 to the Department of Customs and the Border Army. The equipment will be used to help detect and prevent illegal trafficking in nuclear materials across borders into Viet Nam. The equipment was provided under the auspices of the United States Export Control and Border Security programme. The programme is helping countries develop responsible trade control policies and strengthening national trade control systems consistent with international standards. It seeks to prevent the transfer of weapons of mass destruction and missile related items.
Accessed on 6 March
< http://vietnamnews.vnagency.com.vn/showarticle.php?num=06SOC020307 >



C. NON-TARIFF MEASURES

ARMENIA
United States bans Armenian mineral waters. Today, 10 March 2007.
The United States Food and Medicine Agency has banned the sale of a specific mineral water produced in Armenia. The agency investigated that the mineral water contains arsenic which is dangerous for health, stating that the mineral water damages kidneys, skin, blood and nervous system a week after the use of the water. Accessed on 13 March
< http://www.today.az/news/business/37662.html >

AUSTRALIA
Strict rules for Philippine bananas. NineMSN, 2 March 2007.
An Australian study on importing Philippine bananas calls for strict quarantine measures before the fruit would be allowed entry, but Philippine exporters have not yet been given a green light to start shipping. The Philippines, the world’s second-largest banana shipper after Ecuador, has been trying for years to export the fruit to Australia. Australia spent years conducting its import risk assessment in the Philippines because local banana plantations are scattered across an archipelago of over 7,000 islands, exposing the crops to a potentially diverse range of diseases. Australian industry leaders have said five banana diseases, collectively known as the Black Plague, are endemic to the Philippines. The Philippines and banana growers in Australia have until May 30 to comment on the draft import risk analysis. All the comments will then be considered before a final report is produced.
Accessed on 6 March < http://news.ninemsn.com.au/article.aspx?id=230503 >

AZERBAIJAN
Azerbaijan lifts ban on poultry import to Azerbaijan from Russian Federation and Turkey. Trend, 15 March 2007.
The State Veterinary Service of Azerbaijan at the Ministry of Agriculture lifted the ban on the import of chicken and meat products from the Russian Federation and Turkey, leaving the ban on import of live poultry and fodder in force. To prevent the infiltration of the ‘bird flu’ virus into the country, all frontier veterinary points are operating on medium security, the prohibition on hunting, sale and eating of wild birds in the country still remains in force, as well as the import of poultry and poultry food into the country from those countries where cases of the virus have been detected.
Accessed on 19 March
< http://news.trendaz.com/cgi-bin/readnews2.pl?newsId=898464&lang=EN >

CHINA
China ends anti-dumping investigation on imported butanol. People’s Daily Online, 3 March 2007.
China ended a 16-month-long anti-dumping investigation on butanol imported from Japan, the European Union, Malaysia, the Russian Federation, South Africa and the United States. The ministry ruled that the case was an example of dumping but, as no substantial harm was caused to the domestic butanol industry, no measures would be imposed. Butanol is an organic chemical product mainly used to make plasticizers and organic solvents.
Accessed on 6 March
< http://english.people.com.cn/200703/03/eng20070303_353919.html >

China starts anti-dumping investigation into imported acetone. People’s Daily Online, 9 March 2007.
China has started an anti-dumping investigation into acetone originating from Japan, the Republic of Korea and Singapore, as well as Taiwan Province. Acetone is a chemical used to make plastic, fibers, drugs, organic solvents and other chemicals. The investigation is expected to be completed in one year, but could be extended for six more months under special circumstances.
Accessed on 12 March
< http://english.people.com.cn/200703/09/eng20070309_356095.html >

China ends export credit subsidy. USTR, 12 March 2007.
China has terminated its central bank programme that allowed a select group of large exporters to take advantage of discounted loans unavailable to many other companies. The United States and several other countries had challenged the programme as a prohibited export subsidy and requested WTO dispute settlement consultations. It is the third time the United States has turned to the WTO for enforcement of China’s trading obligations. In March 2004, it challenged China’s value-added tax rebates, which it said discriminated against imported semiconductors. The two sides resolved the dispute in the consultation phase. In 2006, the United States, the European Union and Canada challenged Chinese taxes on imported auto parts. The parties agreed to establish a panel to adjudicate the matter.
Accessed on 13 March
< http://usinfo.state.gov/xarchives/display.html?p=washfile-english&y=2007&m=March&x=20070312144030zjsredna0.2189752 >

INDIA
Government fully lifts export ban on kabuli chana. Zee News, 7 March 2007.
The export ban on kabuli chana (chickpeas), which was relaxed partially on 20 February 2007, has been fully lifted due to an estimated high production and to ensure better returns for farmers. In February, the Government had put restriction of only 50,000 tonnes for exports. The decision to fully withdraw the ban came after farmers complained that prices of kabuli chana plummeted because of restriction on exports. Pulses export from the country was banned in June last year as a measure to rein in domestic prices.
Accessed on 9 March
< http://www.zeenews.com/znnew/articles.asp?rep=2&aid=358626&ssid=50&sid=BUS >

Maharashtra: foreign liquor bottles to display info. Economic Times, 22 March 2007.
Effective from May, foreign spirit and wine bottles sold on the open market will need labels containing maximum retail price and also information such as the percentage of alcohol in the beverage, besides the batch number and month of manufacture. It should also contain a sticker marking “For sale in Maharashtra only”. Importers complain that the new regulation will add to the existing woes of the importers of spirit and wine brands, who are already under the pressure of paying over 450 per cent tariff on imports. Most of them say these new regulations are nothing but non-tariff barriers favoring domestic spirit and wine business.
Accessed on 22 March
< http://economictimes.indiatimes.com/News/News_By_Industry/Cons_Products/ >

JAPAN
Japan to check all imports of United States processed meat for beef. KX Net, 5 March 2007.
Japan will check all processed meats imported from the United States after a shipment was found with sausages containing beef, violating Japanese regulations aimed at containing mad cow disease. Following the beef discovery, Japan plans to open and inspect all shipments of processed meat from the United States. In February Japan said it would suspend beef imports from a Nebraska processing plant after finding meat in a shipment that violated Japanese regulations.
Accessed on 7 March < http://www.kxmb.com/getArticle.asp?ArticleId=101491 >

PHILIPPINES
Corn importation cut to 400,000 metric tonnes. Sun Star, 6 March 2007.
The Philippines will no longer import 700,000 metric tonnes of corn but only 400,000 tonnes. The target corn importation by the country for 2007 was reduced after a series of meeting between the Department of Agriculture, Philippine Association of Broiler Intergrators (Pabi), Philippine Association of Feed Millers, Inc. (Pafmi), PhilMaize, and the National Food Authority (NFA) in order to protect the interests of local farmers. No private corporations or individuals will be allowed to import corn but only the NFA at P 13.80 per kilo.
Accessed on 6 March
< http://www.sunstar.com.ph/static/gen/2007/03/06/news/corn.importation.cut.to.400t.mt.html >

REPUBLIC OF KOREA
Republic of Korea to relax United States beef quarantines. Forbes, 7 March 2007.
The Republic of Korea said that it would lower its quarantine standards in March over banned bone fragments in American beef shipments, paving the way for the nation to resume United States beef imports. The Republic of Korea agreed to resume imports of United States beef last year following a three-year ban triggered by fears of mad cow disease, or bovine spongiform encephalopathy. However, American beef has never reached the Republic ok Korea because quarantine authorities rejected all shipments for containing the tiny bone fragments that are feared to Korea fears could potentially harbor the disease. Under the lowered standards, bone fragments will still be unacceptable, but the Republic of Korea will return only boxes of bone-in meat in a shipment, instead of rejecting the entire shipment.
Accessed on 9 March < http://www.forbes.com/feeds/ap/2007/03/07/ap3496802.html >

Republic of Korea slaps anti-dumping duties on soybean oil from Argentina and United States. Yonhap, 13 March 2007.
The Korea Trade Commission (KTC) has decided to levy provisional anti-dumping duties against soybean oils from Argentina and the United States. It said five months’ worth of data-gathering showed evidence of unfair price-cutting that hurt local manufacturers. The commission said punitive duties of 21.07-23.48 per cent would be applied to soybean oil from Argentina, while 4.69 per cent would be applied against United States imports. Soybean oil is used to make such products as cooking oil, mayonnaise, margarine, soap and paint. Imports from Argentina, the United States and Brazil accounted for around 58 per cent of the local market, with the rest controlled by local companies.
Accessed on 14 March
< http://english.yonhapnews.co.kr/Engnews/20070313/620000000020070313060056E3.html >

UNITED STATES OF AMERICA
United States ups anti-dumping duty on Indian shrimp exports. The Financial Express, 3 March 2007.
The anti-dumping duty on Indian shrimp exports to the United States has been raised from 10.17 per cent to 10.54 per cent. The rise in the duty is due to the higher duty fixed for a specific company, which went up from 15.56 per cent to 24.52 per cent in the preliminary determination of the first administrative review undertaken last year by the United States Department of Commerce (DoC). The preliminary determination also saw the Brazilian duty increase from 7.05 per cent to 48.13 per cent. The rates for China and Viet Nam remain unchanged at 112.81 per cent and 25.76 per cent while that for Thailand has come down from 5.95 per cent to 4.24 per cent and Ecuador from 3.58 per cent to 2.25 per cent. The final determination on the first review is expected sometime in August. The process for the second review has just begun with 44 exporters seeking review after the close of the last date on 28 February 2007.
Accessed on 6 March
< http://www.financialexpress.com/f_full_story.php?content_id=156582 >

United States files WTO case against India challenging excessive duties on United States wine and spirits. USTR, 6 March 2007.
The United States has requested WTO dispute settlement consultations with India over customs duties India imposes on imports of wine and distilled spirits. On top of its basic customs duties, India imposes an “additional duty” and an “extra additional duty” on imports of wine and distilled spirits, resulting in aggregated duties on these imports that range from approximately 150 to 550 per cent. In the WTO, India committed that its tariffs on wine and spirits would not exceed 150 per cent. Consultations are the first step in a WTO dispute. Under WTO rules, parties that do not resolve an issue through consultations may refer the matter to a WTO dispute settlement panel. The European Communities (EC) has also requested WTO dispute settlement consultations on India’s duties on wine and distilled spirits. The United States requested to join these consultations, but India denied the request. WTO rules specifically provide that a Member, whose request to join consultations as a third party is denied, may request consultations in its own right.
Accessed on 13 March
< http://www.ustr.gov/Document_Library/Press_Releases/2007/March/ >



D. INDUSTRY AND TECHNOLOGY-RELATED INFORMATION

ARMENIA
Presidents of Islamic Republic of Iran and Armenia open gas pipeline. Itar-Tass, 19 March 2007.
The Presidents of the Islamic Republic of Iran and Armenia have inaugurated a gas pipeline on 19 March intended to ensure Armenia’s energy security. The ceremony took place in the Armenian settlement of Agarak on the border between the two countries. The two presidents have signed a protocol on broadening cooperation and reaffirmed their intention to broaden bilateral contacts. The gas pipeline is 141 kilometers long, running from Tabriz in the North-West of the Islamic Republic of Iran to the border with Armenia and further on to Megri and Kadzharan.
Accessed on 20 March
< http://www.itar-tass.com/eng/level2.html?NewsID=11350217&PageNum=0 >

EUROPEAN UNION
EU rethink on e-commerce legislation. IT Pro, 21 March 2007.
The European Commission is examining the current legislation on e-commerce amid concerns that the rules have not been applied evenly in the 27-nation European Union. The EU’s seven-year-old, e-commerce directive defines common requirements and standards for e-commerce, including limits on the liability of websites hosting services offered by third parties. The Commission has asked consultants to establish the extent of any differences in national laws.
Accessed on 22 March
< http://www.itpro.co.uk/internet/news/108208/eu-rethink-on-ecommerce-legislation.html >

G-8
G-8 plus five agree climate problem is urgent. WBCSD, 19 March 2007.
Seeking to kickstart stalled talks on climate change, the world’s 13 major industrialized and emerging economies found seven broad areas of accord for tackling global warming and its effects during a two-day meeting. The meeting gathered environment ministers from the Group of Eight industrialized countries (Canada, France, Germany, Italy, Japan, Russian Federation, United Kingdom and the United States) and Brazil, China, India, Mexico and South Africa. The ministers endorsed scientific evidence about global warming and climate change and agreed that the solutions for tackling it needed contributions from everyone, especially from industrialized countries. They also agreed that measures on climate change should not penalize developing countries’ drive for prosperity, that poor countries needed more help to adapt to climate shift, and that measures to stop deforestation should be stepped up.
Accessed on 20 March
< http://www.wbcsd.org/Plugins/DocSearch/details.asp?DocTypeId=32 >

CHINA
No new Internet bars allowed to open in 2007. China Economic Net, 6 March 2007.
A directive issued by 14 Government departments including Ministry of Culture, State Administration for Industry and Commerce and Ministry of Information Industry states that no opening of new Internet bars in 2007 would be approved. In 2007, local Governments must not sanction the opening of new Internet bars. The construction of bars that have received planning approval prior to the issuance of this notice must be completed by 30 June 2007. There are currently about 113,000 Internet bars in China.
Accessed on 6 March < http://en.ce.cn/National/Local/200703/06/t20070306_10595552.shtml >

China to promote “green” autos. China Economic Net, 8 March 2007.
The National Development and Reform Commission (NDRC) will frame regulations on the production of autos fuelled by alternative energies to encourage research and produce of environmentally-friendly “green” vehicles. On its website, it has posted a draft regulation on managing the production of alternative energy vehicles and called for suggestions and comments. The draft regulation defines three levels of alternative energy auto technology. Prototypes will only be allowed to operate in approved areas, and more sophisticated products will be allowed to be produced in batches for sale in approved areas. Only the most sophisticated products will enjoy the same production, sale, and use status as regular autos.
Accessed on 9 March
< http://en.ce.cn/Industries/Auto/200703/08/t20070308_10624028.shtml >

China announces plans for satellite, space cooperation with Russian Federation. SINA, 12 March 2007.
China’s burgeoning space programme has announced plans to launch its first astronomy satellite and participate in joint projects with France and the Russian Federation. The satellite to be launched in 2010 will carry a “hard X-ray modulation telescope” being developed by Chinese scientists for the study of black holes and other space phenomena. China will also take part in the Russian Federation’s project to send an unmanned probe to Mars’ moon, Phobos, to collect soil samples.
Accessed on 13 March < http://english.sina.com/technology/1/2007/0312/106157.html >

ISLAMIC REPUBLIC OF IRAN
Islamic Republic of Iran and Syria sign 12 agreements. Tehran Times, 17 March 2007.
The Islamic Republic of Iran and Syria have signed 12 agreements, including on cooperation in the fields of energy, information technology, medicine, housing and urban development and agriculture. The two sides also agreed that it was necessary to establish a committee for joint investment.
Accessed on 20 March
< http://www.tehrantimes.com/Description.asp?Da=3/17/2007&Cat=2&Num=017 >

JAPAN
Burgers paid for by mobile phone. BBC, 27 February 2007.
Visitors to fast food outlets in Japan will soon be able to pay for their burgers with their mobile phones. A Japanese mobile phone operator is teaming up with a large international fast food chain to offer electronic payments and special promotions for mobile users. Using mobile phones to pay for goods is a massive growth area as operators look for new ways to make money. Japanese mobile owners are leading the way, paying for food and train tickets via their handsets.
Accessed on 1 March < http://news.bbc.co.uk/2/hi/technology/6400217.stm >

MYANMAR
Myanmar introduces e-government system in new capital. People’s Daily Online, 27 February 2007.
Myanmar has started to introduce a computer-based e-government system in the new administrative capital of Nay Pyi Taw to replace the paper-based system. The e-government system, which is expected to cost US$ 12 million, includes electronic document management system and government personal management system, and is being implemented by the state-run Myanmar Posts and Telecommunications. So far, Myanmar has launched some e-government systems including e-visa, e-passport, e-procurement and e-D (departure) form for effective management of government bodies. Myanmar’s e-government project is implemented under the e-ASEAN Framework Agreement signed at a summit of the Association of Southeast Asian Nations (ASEAN) in Singapore in 2000 with the aim of narrowing the IT gap among the 10 regional members.
Accessed on 9 March < http://english.people.com.cn/200703/06/eng20070306_354699.html >

Myanmar plans special beans cultivation zones to boost export. People’s Daily online, 7 March 2007.
Myanmar is planning to establish special beans and pulses cultivation zones across the country to produce the quality crops to boost export. Beans and pulses are among the 10 major items of agricultural crops that Myanmar grows. Among them, gram, lablab bean, pigeon pea, butter bean and soya bean are cultivated most in the country. In order to boost export, the government has asked growers to cultivate more marketable items of the crops and transform them into value-added ones. Along with the plan, the commerce authorities are also encouraging traders in the country to set up a public company aimed at effectively penetrating the world beans market.
Accessed on 9 March
< http://english.peopledaily.com.cn/200703/07/eng20070307_355121.html >

PAKISTAN
Textile sector revival: Rs 29.761 billion tax relief package suggested. Business Recorder, 9 March 2007.
The Ministry of Textile Industry has recommended a PRs 29.761 billion tax relief incentive package for revival of the textile sector. It has demanded duty-free imports of garments/home textile sectors accessories, reduction of tax on power looms, inclusion of Polyester Staple Fiber (PSF) in Duty and Tax Remission for Export (DTRE) scheme and abolition of all direct and indirect federal and provincial levies on the exporters. The ministry has also asked the Government to reduce turnover tax from 1.25 per cent to 0.5 per cent on power looms and to waive prior permission requirement for import of raw material.
Accessed on 9 March
< http://www.brecorder.com/index.php?id=536495&currPageNo=1 >

REPUBLIC OF KOREA
Republic of Korean company to explore more gas in Myanmar. People’s Daily Online, 27 March 2007.
A company or the Republic of Korea will explore and produce oil and natural gas in one more block in the offshore area of Myanmar’s western Rakhine state. According to a production sharing contract signed between the company and the state-run Myanmar Oil and Gas Enterprise (MOGE) under the Ministry of Energy at the new capital of Nay Pyi Taw, the undertaking will be carried out at Block AD-7 in the offshore area. Myanmar has abundance of natural gas resources in the offshore areas: three main large offshore oil and gas fields and 19 onshore ones.
Accessed on 1 March < http://english.people.com.cn/200702/27/eng20070227_352748.html >

SOUTH ASIAN ASSOCIATION FOR REGIONAL COOPERATION (SAARC)
SAARC energy ring proposed. South Asian Media, 6 March 2007.
Representatives of SAARC nations, attending the first SAARC energy discussion, tabled a proposal on the extension of the SAARC Energy Ring among member countries in order to meet the increasing demand for energy and expansion of transmission lines in the SAARC nations. Inter-country transmission lines were especially noted as necessary to promote cooperation in the trade of electricity, gas and petroleum products among SAARC nations.
Accessed on 6 March
< http://www.southasianmedia.net/index_story.cfm?id=368836 >

TURKEY
Turkish Glass Industry financed with care by EIB. European Investment Bank, 7 March 2007.
The European Investment Bank is lending euro 55 million a leading Turkish glass manufacturer, for funding part of a modernization and capacity expansion programme. The implementation of the investment programme includes the construction of a new float glass line and the construction and operation of a coating line at a production site in the province of Bursa, the country’s second industrial hub after Istanbul. The European Investment Bank’s (EIB) financing for this project comes under the Bank’s pre-accession facility and supports Turkey’s industrial policy, notably to develop the country’s private sector economy on its way to EU Membership.
Accessed on 13 March < http://eib.eu.int/news/press/press.asp?press=3258 >

UNITED STATES OF AMERICA
United States signs tsunami-detection pacts with Australia and Indonesia. US Info, 28 February 2007.
In a major step forward for the Indian Ocean tsunami warning system, the United States has signed agreements with Australia and Indonesia to strengthen early warning capacity for a range of hazards and cooperate on tsunami-detection technology and warning systems. The agreement with Indonesia will help accelerate the development of capabilities in Indonesia for detecting and analyzing deep-ocean tsunamis. The agreement with Australia arranges to promote a cooperative technical partnership in tsunami early warning systems.
Accessed on 1 March
< http://usinfo.state.gov/xarchives/display.html?p=washfile-english&y=2007&m=February&x=20070228115314lcnirellep0.7034418 >

VIET NAM
Japan helps build Viet Nam’s first bio-ethanol plant. Viet Nam Net, 11 March 2007.
Two companies from Viet Nam and Japan will set up a joint venture to build a bio-ethanol plant, the first of its kind in Vietnam. The two partners signed a Memorandum of Understanding on the issue on 9 March 2007. The US$ 100 million project