Fourth part of the United Nations Conference for the Negotiation 
of a Successor Agreement to the International Tropical Timber 
Agreement, 1994  -  Issue #9 

EARTH NEGOTIATIONS BULLETIN <[EMAIL PROTECTED]>
PUBLISHED BY THE INTERNATIONAL INSTITUTE FOR 
SUSTAINABLE DEVELOPMENT (IISD) <http://www.iisd.org>

Written and edited by:

Karen Alvarenga, Ph.D. 
Deborah Davenport, Ph.D. 
Twig Johnson, Ph.D. 
William McPherson, Ph.D. 
Peter Wood

Editor:

Pamela S. Chasek, Ph.D. <[EMAIL PROTECTED]>

Director of IISD Reporting Services:

Langston James "Kimo" Goree VI <[EMAIL PROTECTED]>


Vol. 24 No. 73
Thursday, 26 January 2006

Online at http://www.iisd.ca/forestry/itto/itta4/ 

ITTA, 1994 RENEGOTIATION HIGHLIGHTS:

WEDNESDAY, 25 JANUARY 2006

The UN Conference on the Negotiation of the Successor Agreement to 
the International Tropical Timber Agreement, 1994 (ITTA, 1994), 
Fourth Part went into the evening as delegates wrangled over 
outstanding aspects of the text. While Working Group I (WGI) 
achieved some progress in the morning, Working Group II contact 
groups met during the day to discuss articles on finance and Entry 
Into Force. In the evening a number of delegates met with 
President Paranhos and managed to clean more text, but remained 
entrenched over the EC's membership, ratification, assessments 
and votes.

WORKING GROUP I

OBJECTIVES: On enhancing capacity of "Producer" members to achieve 
the Agreement's Objectives, EGYPT urged deleting the term 
"Producer" as this would unnecessarily preclude consumer 
developing countries from benefiting from this clause. BRAZIL, for 
Producers, requested retention of all brackets in this paragraph, 
noting that it had been broadened and that terms such as "legally 
harvested," "sustainable forest management," and "greater 
transparency" have been repeated frequently. The US noted that a 
group was negotiating this Objective and suggested postponing 
discussion.

On encouraging information sharing on transparent and voluntary 
market mechanisms such as certification, SURINAME reported that 
the informal contact group had not been able to reconcile Producer 
and Consumer positions. Chair Attah noted that reference to 
certification had been deleted with the understanding that it 
would appear in Statistics, Studies and Information. NORWAY 
requested time to consult with her capital. SURINAME asked what 
"other transparent mechanisms" refers to besides certification. 
Chair Attah clarified that it might include such things as 
governance and enforcement, but opposed opening discussion on 
this issue.

MEMBERSHIP BY INTERGOVERNMENTAL ORGANIZATIONS (IGOs): The EC 
reported that within a contact group regarding voting matters 
within IGOs, delegates agreed to delete reference to the 
assessment of contributions to the Administrative Account. On the 
issue of EC competence under this article and the article on 
Signature, Ratification, Acceptance and Approval, the EC said that 
they would discuss this language with those who drafted it at the 
UN Treaty Office in New York.

Chair Attah suggested first resolving the issue of IGO membership. 
The US preferred deleting the paragraph in this article that 
mentions the number of votes of the EC or any IGOs, as well as one 
on signature, ratification and acceptance or approval or accession 
of the EC or other IGOs. However, she agreed to negotiate EC 
competence in the context of the latter article if it was deleted 
in the former. Chair Attah stated that if Venezuela's proposal of 
replacing "governments" by "States and IGOs," was accepted, the 
entire Agreement would need to be adapted to this change. The EC 
and JAPAN requested more time to analyze the implications of such 
changes. After contact group consultations, delegates agreed that 
"the EC and other IGOs should vote with a number of votes equal to 
the total number of votes attributable to their member states 
which are parties to the Agreement."

SESSIONS OF THE COUNCIL: After informal consultation, Chair Attah 
proposed support for "at least one regular session per year." 
JAPAN maintained a preference for "one regular" session, and 
MALAYSIA reiterated its request to have "at least one."

DISTRIBUTION OF VOTES: Delegates agreed to add mention of Latin 
America and "the Caribbean," on the allocation of votes among 
producing regions. 

DEFINITIONS: On Special Vote, regarding the need for either two-
thirds or 60% of the votes cast by Consumers, delegates agreed to 
delete "two-thirds" and keep "60%" bracketed.

PREAMBLE: Chair Attah said the Legal Drafting Group (LDG) 
suggested deleting reference to the Declaration and the Programme 
of Action on the Establishment of a New International Economic 
Order, the Bangkok Plan of Action and the New Partnership for 
Development. The EC underlined the LDG should not be suggesting 
changes to agreed text. Chair Attah said he will tell the LDG that 
this text has been agreed and will not be changed.

AFTERNOON AND EVENING MEETINGS

Working Group II (WGII) contact groups met throughout the morning. 
Confusion surrounded the process in the afternoon about who would 
meet, when and where and how the remaining negotiations would 
proceed. Paranhos presented his own proposal for compromise text 
on Article 19 (Administrative Account) to Consumers during the day 
and called for their response by 18:00. He also called for 
resolution of remaining issues regarding EC membership in the 
article on membership by IGOs; and in the one on signature, 
ratification, acceptance and approval; and announced a joint 
working group meeting to begin at 18:00. Producer and Consumer 
Groups caucused over lunch, followed by an EU coordination 
meeting. A group of delegates, invited by President Paranhos, met 
at 18:00 in an attempt to reach consensus on remaining areas of 
dispute. On the objective on new and additional financial 
resources, WGI Chair Attah presented a contact group compromise 
text on developing and contributing towards mechanisms for the 
provision of new and additional financial resources, "with a view 
to promoting the adequacy and predictability of funding" and 
expertise needed to enhance the capacity of producer members to 
attain the objectives of this Agreement. Opposition to this 
proposed wording came from both Producers and Consumers but this 
text was eventually agreed as proposed by Chair Attah. 

On Definitions of "Producer" and "Consumer" members, delegates 
agreed to delete "net" before "exporter" and "importer," and to 
remove brackets from "and/or." The definitions were approved.

In the Preamble, discussion focused on whether "certification" 
should be mentioned here or in articles on the Bali Partnership 
Fund and/or Policy Work of the Organization. On Membership of 
IGOs, WGI Chair Attah proposed use of "Governments" rather than 
"Intergovernmental Organizations" and deletion of a paragraph on 
EC competence, but delegates said that resolution of this article 
should await discussion of Signature, Ratification, Acceptance and 
Approval. On Sessions of the Council, delegates diverged on 
whether to specify "at least" one regular session or to delete it. 
This was resolved with delegates' agreement to keep "at least" one 
regular session.

On the Administrative Account, delegates agreed to the President's 
compromise text, with a ratio of 80 percent for Consumers' 
assessed contributions, and 20 percent for Producers, for core 
operational costs such as experts' meetings and publications, and 
to remove caps on operational costs. China's previous proposal to 
exempt developing Consumers was not accepted. There were some 
reservations that may be raised again in plenary on Friday, 27 
January. On Entry into Force, delegates agreed to a text presented 
by Chair Blaser that sets thresholds of 10 Producer governments 
with 60% of the votes and 10 Consumer governments with 60% of 
import volume of the tropical timber trade for definitive entry 
into force, and of seven Producer governments with 50% of the 
votes and seven Consumer governments with 50% of import volume of 
the tropical timber trade for provisional entry into force.

Delegates agreed to delete "transparent and" voluntary mechanisms 
in an objective on encouraging information sharing for better 
understanding of voluntary mechanisms such as, inter alia, 
certification, to promote SFM of tropical forests, and assisting 
members with their efforts in this area.

IN THE CORRIDORS

As of 18:00 Geneva time, with no breakthrough in sight, many 
delegates expressed frustration with the process of finalizing 
negotiations. As delegates gathered for a meeting at the 
invitation of President Paranhos to finalize negotiations, some 
questioned whether he should have taken more control more quickly. 
Although he had spurred delegates with threats to take over 
negotiations personally in the absence of significant progress 
from day one of ITTA-4, a steady stream of closed articles seemed 
to forestall this eventuality. Now that it is becoming clear that 
some of the still unresolved sticking points revolve around EC 
membership and participation in the Organization, numerous 
delegates are grumbling about a lack of firm guidance from above. 
Indeed, it is still not entirely clear that the negotiations will 
not fall apart. 

One might question whether the problems that exist in coming to 
final Agreement are simply indicative of gaps between positions 
that are too large to span. Some observers are asking whether the 
negotiators will be able to create value in other areas to 
compensate for the pain of moving away from fiercely held 
positions. On the other hand, some noted that may boil down to 
who needs what more as the game of brinkmanship continues.




This issue of the Earth Negotiations Bulletin (c) <[EMAIL PROTECTED]> is 
written and edited by Karen Alvarenga, Ph.D., Deborah Davenport, 
Ph.D., Twig Johnson, Ph.D., William McPherson, Ph.D., and Peter 
Wood. The Digital Editor is Diego Noguera. The Editor is Pamela S. 
Chasek, Ph.D. <[EMAIL PROTECTED]> and the Director of IISD Reporting 
Services is Langston James "Kimo" Goree VI <[EMAIL PROTECTED]>. The 
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