A Draft World Trade Organization Agreement on Fisheries Subsidies: What’s on the table?
Summary
The document analyzes a draft WTO agreement designed to discipline fisheries subsidies that contribute to illegal, unreported, and unregulated (IUU) fishing, overfished stocks, and general overcapacity. It details the mechanisms for triggering subsidy prohibitions, the sustainability-related exemptions available to members, and the special and differential treatment (S&D) proposed for developing countries and least-developed countries (LDCs). Additionally, it examines the institutional framework for transparency, notifications, and the resolution of disputes, particularly in contested maritime jurisdictions.
Key insights
- The draft agreement prohibits subsidies to vessels or operators found to have engaged in IUU fishing, or those providing at-sea support to such vessels. This prohibition is triggered by affirmative determinations from a coastal state, a flag state, or a Regional Fisheries Management Organization or Arrangement (RFMO/A).
- To balance the IUU prohibition, coastal state determinations must follow procedural steps, including notifying the flag state and subsidizing member and allowing them to provide information. The subsidizing member retains discretion over the duration of the subsidy withdrawal, provided it lasts at least as long as the original sanction or the IUU listing.
- The agreement prohibits subsidies for fishing and fishing-related activities regarding stocks recognized as overfished by a coastal member or RFMO/A, based on the best scientific evidence available. An exemption exists for subsidies or management measures implemented to rebuild stocks to a biologically sustainable level.
- A broad prohibition targets subsidies contributing to overcapacity and overfishing, including an illustrative list such as vessel construction, fuel, ice, bait, and income support. This is qualified by a sustainability exemption if the member demonstrates measures to maintain stocks at a biologically sustainable level.
- Special and Differential Treatment (S&D) for developing countries includes three main exemptions from the overcapacity prohibition: a temporary transition period for activities in domestic EEZs or under RFMO/As; a permanent exemption for low-income, resource-poor, and livelihood fishing within a bracketed limit (suggested 12 nautical miles); and a permanent exemption for LDCs and developing countries with less than a bracketed share (suggested 0.7%) of global marine capture production.
- The draft includes additional prohibitions on subsidies for fishing activities on the high seas not regulated by a competent RFMO/A, and subsidies to vessels over which the subsidizing member lacks jurisdiction or control.
- The use of sustainability and S&D exemptions is strictly conditioned on the member fulfilling mandatory notification requirements, including providing information on the kind of fishing activity and catch data.
- To avoid conflicts over territorial sovereignty, the agreement specifies that its application has no legal implications for maritime jurisdiction. Dispute settlement panels are instructed not to entertain claims that would require them to address issues of contested maritime jurisdiction raised by parties or third parties.
Cite the original document
- APA
- Irschlinger, T., & Tipping, A. (2022). A Draft World Trade Organization Agreement on Fisheries Subsidies: What’s on the table? International Institute for Sustainable Development. https://www.iisd.org/system/files/2022-05/world-trade-organization-agreement-fisheries-subsidies.pdf
- Chicago
- Irschlinger, Tristan, and Alice Tipping. A Draft World Trade Organization Agreement on Fisheries Subsidies: What’s on the table? International Institute for Sustainable Development, 2022. https://www.iisd.org/system/files/2022-05/world-trade-organization-agreement-fisheries-subsidies.pdf.
- Wikipedia
- {{cite report |last1=Irschlinger |first1=Tristan |last2=Tipping |first2=Alice |title=A Draft World Trade Organization Agreement on Fisheries Subsidies: What’s on the table? |publisher=International Institute for Sustainable Development |date=May 2022 |url=https://www.iisd.org/system/files/2022-05/world-trade-organization-agreement-fisheries-subsidies.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{irschlinger2022draft, author = {Irschlinger, Tristan and Tipping, Alice}, title = {{A Draft World Trade Organization Agreement on Fisheries Subsidies: What’s on the table?}}, institution = {International Institute for Sustainable Development}, year = {2022}, month = may, url = {https://www.iisd.org/system/files/2022-05/world-trade-organization-agreement-fisheries-subsidies.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
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