153. The representative of Bangladesh said that implementation of Article 66.2 was of prime importance to LDCs. Developing countries, and in particular LDCs, had assumed onerous responsibilities in the TRIPS Agreement. Article 66.2 was one of the few provisions in Uruguay Round agreements that provided LDCs opportunities to build up their economies, and thereby helped them to comply with TRIPS provisions. It was through Article 66.2 that LDCs would be able to see that appropriate technology would be transferred to them and a sound and viable technological base would be established. To this end, Ministers at Doha had directed Members to put in place a mechanism for ensuring the monitoring and full implementation of the obligations in Article 66.2. Article 66.2 clearly talked of incentives that had to be provided by developed countries to their enterprises for the purpose of promoting and encouraging technology transfer to LDCs. It was therefore essential for any mechanism developed by the Council to contain an overview of the incentive regime to be put in place to fulfil the obligations in Article 66.2, in particular the specific legislative, policy and regulatory framework. There existed a need to review the incentives, with a view to observing them in action and in assessing their outcomes, with the objective of fulfilling the requirements of the TRIPS Agreement and the directives of the Ministers in Doha.
154. Thanking the developed country Members which had submitted their reports on the implementation of Article 66.2, he noted that many of the reports had been made available only recently and that his delegation would require a reasonable time to analyse the information contained in those reports. The type and nature of any such report was critical for ensuring the monitoring and full implementation of Article 66.2. The Doha mandate said that such reports should focus on the functioning in practice of the incentives provided by developed countries to their enterprises for the transfer of technology. Therefore, any report should contain information on the specific incentives given to enterprises and institutions for transferring technology to LDCs. In general, the submissions by developed countries contained information on bilateral, regional and multilateral development assistance, aid programmes, technical assistance and capacity-building activities. He appreciated the wide-ranging support from developed country Members to LDCs' efforts to accelerate socio economic development. However, the manner in which the information had been provided made it extremely difficult to identify those activities that were specific to fulfilling the requirements of the TRIPS Agreement. Therefore, reporting should be precise and conform to the requirements of the mandate given to this Council.
155. Some of the developed country Members had seen technology transfer as part of an overall process of growth and development. It also appeared that many saw technology transfer as being fostered in an efficient, open and market-based economy. The LDCs, in cooperation with the Bretton Woods institutions, had undertaken wide-ranging reforms to develop their economies. For the purposes of the exercise under Article 66.2, a discussion on these maters was unnecessary and would divert Members from the context of the Agreement and the need for its separate implementation. On a conceptual plane, he believed that Members would agree that imperfections in the market would not encourage transfer of technology to LDCs in the normal course of events. This was why special measures were required for technology transfer, as per the provisions of Article 66.2. Such incentives from developed countries could be a decisive factor in the transfer of technology, such as from a private company.
156. In conclusion, he said that the LDCs Group was examining the information provided so far and was open to any suggestion or recommendation from any Member concerning the implementation of the provisions of Article 66.2. It was the expectation of the LDC Group that the Council would be precise and would focus its attention to the letter and spirit of the TRIPS Agreement and the directives given by Ministers in Doha.
