Several major industrialized countries, including the European Union, seem to be preparing the ground to support the request from the coordinator of the African Group to speed up the reelection process for incumbent World Trade Organization Director-General Ngozi Okonjo-Iweala out of concern that former President Trump could return to the White House next year.
Mr. Trump’s administration opposed Ms. Okonjo-Iweala’s candidacy and overall took a dim view of the value of the WTO.
So far, Chad, the coordinator of the African Group, along with countries like Nigeria, Sierra Leone, Djibouti and Gambia, are in the forefront to advance the DG’s selection process. The African Group’s request is expected to come at the next General Council meeting, scheduled for July 22.
GC chair Ambassador Petter Ølberg has told WTD he views the AG’s request as a “fair ask.”
Aside from the AG’s request, the real movers for advancing the DG’s selection process behind the scenes appears to be the EU on grounds of the likely threat to the WTO should Donald Trump stage a comeback for a second term, said several trade envoys who asked not to be quoted.
The EU trade envoy, Ambassador Joao Aguiar Machado, had not responded to a request for a clarification or comment on the informal discussions taking place at various levels among trade envoys as of press time.
The United States appears to be silent so far on the question of advancing the DG selection process.
Earlier in the week Chad, the coordinator of the African Group, had asked the World Trade Organization’s General Council Chair to “begin the appointment process” to select incumbent Director-General, Ngozi Okonjo-Iweala, for a second term.
The communication appears to be an ask for circumventing rules, and the current GC chair ought to have turned down the communication on grounds that it would be tantamount to circumventing/amending the rules, said a former GC chair who asked not to be quoted.
Several trade envoys alleged that the DG has played a role in exerting pressure on Chad and a few other countries to go ahead with their communication while being aware that it has no consensus within the African group.
With the support of a few members – Nigeria, Sierra Leone, Gambia and Djibouti among others – Chad sent the communication to the GC chair, Ambassador Petter Olberg of Norway. The proposal does not have consensus among African Group members.
The communication (WT/GC/W/948) titled, “Appointment of the Director-General”, is listed as the fourth item that will come up for discussion at the July 22 GC meeting.
After hitting the right notes about the process as spelled out in WT/L/509, Chad noted that Ms. Okonjo-Iweala’s term ends in August 2025, while the process for the selection of the DG requires to be started in December by the GC chair. However, it needs to be advanced as it takes place amidst the preparation for the WTO’s 14th ministerial conference in early 2024, Chad argued.
To allow members “to focus on the preparations for MC14 that will be taking place in Africa (Cameroon),” Chad contended “that it is crucial that the process of appointing Director-General does not overlap with the preparations for MC14.”
“For these reasons, the African Group wishes to request the current Director-General, Ngozi Okonjo-Iweala, to make herself available to serve a second term in accordance with Article 12 of the Procedures for the Appointment of Director-General (WT/L/509),” Chad maintained.
Praising the incumbent DG for her leadership during MC12 and MC13 “to conclude several long-standing multilateral agreements,” Chad said she should serve for a second term.
Several trade envoys alleged that the DG has played a role in exerting pressure on Chad and a few other countries to go ahead with their communication while being aware that it has no consensus within the African group.
It is odd that the proposal was submitted without the consent of the DG and the African Group, said people familiar with the communication.
Gambia’s trade envoy, one of the few African countries pushing the proposal, denied any pressure, saying “we highlighted our reasoning and rationale for the greater good of the WTO.” Ambassador Muhammadou M.O.Kah told our correspondent, “Our efforts about the submitted proposal are within the rules of the WTO and was submitted to the competent authority – the WTO GC chair without pressure or prejudice.”
He said his mission “has never be part of any attempt to circumvent any rules and is never been under any pressure from the DG or the Africa Group of Ambassadors to do so.” However, he did not mention whether it had any consensus within the group, though he mentioned that it is the “collective wish.”
When asked whether the DG has exerted pressure on Chad and the five other countries to go ahead with the proposal and whether she will accept an allegedly blatant violation of the rules in a rules-based organization, the WTO spokesperson flatly denied the allegation.
In a reply sent to our WTD WTO’s spokesperson Ismaila Dieng, said: “These allegations are entirely unfounded and grossly misleading.”
“The selection of the Director-General (DG) is exclusively within the jurisdiction of the members, with absolutely no involvement from the DG in this process,” Mr. Dieng said.
“The Director-General has clearly indicated that she is considering the matter and will advise in due course,” the spokesperson said.
“Any insinuation to the contrary is not only baseless but also intentionally misleading,” Mr. Dieng said, suggesting that “I direct you to the African Group for further context and rationale behind their communication.”
According to the spokesperson, “The African Group, adhering strictly to the established procedures for the Appointment of Directors-General (WTL/L/509), has formally requested the inclusion of an agenda item concerning the appointment of the Director-General for the upcoming General Council.”
But the communication from Chad appears to be an ask for circumventing rules, and the current GC chair ought to have turned down the communication on grounds that it would be tantamount to circumventing/amending the rules, said a former GC chair who asked not to be quoted.
The reason offered by Chad to advance the process because it overlaps with MC14 is unsustainable, as the selection processes for Pascal Lamy of France in 2004 coincided with the Hong Kong Ministerial meeting in December 2005, the former chair said.
Further, the selection process of Roberto Azevedo of Brazil overlapped with the WTO’s ninth ministerial meeting in Bali in December 2009.
Also, due to the sudden resignation of Mr Azevedo and his early exit, Ms. Okonjo-Iweala’s term also overlapped with MC12.
However, the current GC chair does not think the African ask amounts to a circumvention ofrules. When asked whether the communication because it amounts to a circumvention of the rules, Ambassador Olberg told WTD that “it is fair ask.” The GC chair said there is “no circumvention of rules” and it is for the Council to decide.
Ambassador Olberg declined to speak to Norway’s position on the proposal, saying “you should contact my deputy ambassador on Norway’s stand.” However, the deputy trade envoy of Norway did not respond to calls or messages at the time of publication.
Several trade envoys who spoke to WTD on the condition of anonymity expressed dismay over the GC chair’s comments. They made the following observations:
“1.The request is not coming from the African Group. It is only a handful of African countries who have made some sort of agreement with some of the majors to pull this off and it is therefore illegitimate. At the GC, it would be advisable to test whether all African countries have given their assent. But experts representing their Ambassadors or Ambassadors themselves have been bullied into keeping quiet to let the submission go to the GC without making a fuss.
2. The rules are clear that the process has to start nine months before the expiration of the incumbent’s term.
3. This has been the rule as well as the practice. Now if it is amended assuming there is consensus among the membership to do so, would this rule change be applicable to only this selection process or all future selection processes?
4. If it is the former then it is clear that it is being done because of the possibility of a change in Administration in the United States. In good Western tradition, an outgoing Administration cannot tie the hands of an incoming Administration.
5. Possibility should be given to other candidates to compete whether from Africa or elsewhere. Some interested persons would only make up their minds on the last day. To bring the starting date forward would defeat the ends of justice.
6. The rules should be respected and any attempt to change them would undermine the credibility of the WTO. If the rules could be bent at will, the current DG may not have been appointed. She could well secure the support of the membership for a second term but the rules should be respected. If she is confident that she is doing a good job, she should not be threatened by a Trump Administration.
7. What outcomes has the DG really achieved? If you look beneath the surface of those outcomes and the current state of the WTO, core issues of the negotiations have been diluted and mandates eroded. She has done nothing for Africa except get on their ticket for appointment and now reappointment, and dismantle the cohesion of the group, who used to be an independent, outspoken voice on African interests in the WTO. Her only success has been giving visibility to the organization and that too, only cosmetically, but she has successfully strengthened the power of the secretariat at the expense of the members.”
It remains to be seen whether the United States will support the African Group’s communication or remain silent at the GC meeting, said a trade envoy who asked not to be quoted.
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