Environmental Goods and Services Negotiations at the WTO: Lessons from multilateral environmental agreements and ecolabels for breaking the impasse
Summary
The report analyzes the impasse in WTO Doha Round negotiations regarding environmental goods and services (EGS), specifically the difficulty in defining and listing goods for tariff reduction. It proposes a framework for progress by examining the structures of the CITES, Rotterdam, and Stockholm Conventions, as well as the Energy Star, Marine Stewardship Council (MSC), and coffee sustainability labels. The authors recommend that the WTO avoid creating its own standards, instead referencing external scientific standards, establishing a technical advisory body, and incorporating flexibility through reservations and special treatment for developing countries.
Key insights
- WTO negotiations on environmental goods and services (EGS) are deadlocked primarily due to disagreements over the definition of EGS and the specific scope of goods and services to be liberalized.
- The report categorizes proposed environmental goods into three types: Type I (environmentally superior in end use, e.g., high-efficiency appliances), Type II (primary object is environmental improvement, e.g., oil-removal centrifuges), and Type III (superior production and processing methods, e.g., organic agriculture).
- The Convention on International Trade in Endangered Species (CITES) provides a model for EGS by using scientific criteria to maintain a living list of species and allowing parties to lodge reservations to remain unbound by specific listings.
- The Rotterdam and Stockholm Conventions demonstrate the value of delegating the assessment of new list additions to scientific review bodies, though the Rotterdam Convention highlights that a lack of funding for technical assistance in developing countries can hinder effectiveness.
- Analysis of coffee and fish ecolabels reveals that high certification costs and complex standards can act as technical barriers to trade, often discriminating against small-scale producers and developing countries.
- The Energy Star program illustrates the necessity of regular review and 'sunsetting' of products to ensure that the list of environmentally preferred goods does not become obsolete due to technological progress.
- The report recommends that the WTO should not attempt to create its own technical standards for Type I and III goods, as it lacks the capacity for continuous technical review; instead, it should reference existing external standards.
- For Type II goods, the report suggests the WTO establish a technology advisory group of government-nominated experts to identify key technology areas and associated Harmonized System (HS) codes.
- To ensure the legitimacy and environmental soundness of an EGS regime, the report advocates for a scientific advisory body and the inclusion of special and differential treatment, including funding for capacity building in developing countries.
Cite the original document
- APA
- Cosbey, A., Aguilar, S., Ashton, M., & Ponte, S. (2010). Environmental Goods and Services Negotiations at the WTO: Lessons from multilateral environmental agreements and ecolabels for breaking the impasse. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/bali_2_copenhagen_egs_lessons.pdf
- Chicago
- Cosbey, Aaron, Soledad Aguilar, Melanie Ashton, and Stefano Ponte. Environmental Goods and Services Negotiations at the WTO: Lessons from multilateral environmental agreements and ecolabels for breaking the impasse. International Institute for Sustainable Development, 2010. https://www.iisd.org/system/files/publications/bali_2_copenhagen_egs_lessons.pdf.
- Wikipedia
- {{cite report |last1=Cosbey |first1=Aaron |last2=Aguilar |first2=Soledad |last3=Ashton |first3=Melanie |last4=Ponte |first4=Stefano |title=Environmental Goods and Services Negotiations at the WTO: Lessons from multilateral environmental agreements and ecolabels for breaking the impasse |publisher=International Institute for Sustainable Development |date=March 2010 |url=https://www.iisd.org/system/files/publications/bali_2_copenhagen_egs_lessons.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{cosbey2010environmental, author = {Cosbey, Aaron and Aguilar, Soledad and Ashton, Melanie and Ponte, Stefano}, title = {{Environmental Goods and Services Negotiations at the WTO: Lessons from multilateral environmental agreements and ecolabels for breaking the impasse}}, institution = {International Institute for Sustainable Development}, year = {2010}, month = mar, url = {https://www.iisd.org/system/files/publications/bali_2_copenhagen_egs_lessons.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
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