Liberalization of electronic commerce in the 21st century: WTO as a tool of overcoming difficulties

2.2 Opportunities within the WTO framework to keep up with the progress

Four Stages of Doha Negotiations, 1998-1999. Over the period of the Seattle Ministerial Conference the representatives were not able to agree on three themes: "classifying digital products as goods or services"; "extending the moratorium on imposing customs duties on electronic transmissions"; and the “institutional arrangements” for continuing the Work Program. Classifying digital products Digital products are computer applications, video, text, pictures, recording. Also, it included products that before could be used as a part of a physical carrier medium such as a book or compact disc. as goods or services required more time to be set. Before, these products were considered as goods, and their cost estimate was depended on the value of the carrier for duty purposes. This question was a hot issue because of the ongoing debate between two sides. Some members argued that these items should be considered as goods and governed by GATT, others believed that as services and must be governed by GATTS. It is a significant difference as each department defines appropriate restrictions and trade barriers. During the preparation for the November 1999 Ministerial Conference in Seattle, several delegations, with developing countries among them, presented some recommendations regarding electronic commerce, which should be presented in the Seattle Ministerial Declaration.

The common fall of the Seattle Ministerial Conference did not allow to submit any specific measures in the sphere of electronic commerce and called into question the success of the program. Therefore, the first stage of the e-commerce program was completed without any concrete achievements and ambiguity about future work.

The second stage was only in July 2000, after six months after its suspension at the Seattle Ministerial, in which the General Council again pointed out the importance of WTO ongoing work regarding electronic commerce. During the meeting in December 2000 agreed on three main points. First of all, all the central bodies (GATT Council, GATTS Council, TRIPS council, and CTD) outline the necessity of future clarification of work and educational basis. Secondly, based on the work that had been done, electronic commerce was within the sphere of influence of the existing agreements of WTO. Even though electronic commerce was entirely a new phenomenon, some basic rules could be applied. However, some spheres was needed in additional clarification, because then rules had some limitations due to outdated relevance. Finally, all the General Council members recognized the enormous potential of electronic components and the internet and its importance to be developed in all markets around the world, especially in developing countries. Also, at the 4th Ministerial conference in Doha in 2001, a moratorium on the application of customs duties was confirmed.

The second stage of the work finished with the mutual acknowledgment of the value of electronic commerce and the moratorium.

Moving to the third stage, unfortunately, the main issues stayed the same. The first discussion was held in June 2001 and, according to WTO Work Program, consisted of the following themes: "classification of the content of certain electronic transmissions; development-related issues; fiscal implications of e-commerce, and jurisdiction" (Wunsch-Vincent, 2004, p.15). The vast majority of members agreed that questions of item qualifications should be resolved as quickly as possible, because the other issues, like development and the imposition of customs duties, were also crucial for future analysis and program drafting. So, the next three Dedicated Discussions, for the most part, was concentrated on classification issues and fiscal consequence of electronic commerce. During the fifth Dedicated Discussion in Cancun,16 May, and 11 July 2003, three issues were considered: categorization of the background of specific electronic transmissions, common goals concerning the implementation of WTO agreements, and the report for the next session of the General Council.

According to the World Trade Report (2003), the negotiation on general objectives was caused by representations filed by the US envisaging that the Members arranged to five objectives: sticking to a liberal and open trade environment through the usage of operating WTO agreements to electronic commerce; committing to more serious market access and national treatment for the goods and services that can be traded through the electronic commerce; reducing domestic regulations that influence electronic commerce; creating constant on a Most Favored Nation (MFN) basis the moratorium on imposing customs duties on electronic transmissions; and ensuring technical assistance and capacity development to make electronic commerce available to developing countries.

The fourth stage had been extended in Cancun Ministerial Conference. The General Council and auxiliary bodies stuck on a question of grading digital products and the associated procedural issues about the future structure of the Work Program. Unfortunately, this stalemate, which began with the first stages of the Work Program, prevented the detailed consideration of the remaining planned issues, which were quite remarkable and challenging. Given the severe uncertainty about GATT or the GATS, the implication in a certain framework, the members could not gain any successful outcomes on many other questions of relevance to digital products, for instance, the technological principle of neutrality, resemblance, rules of origin, cost estimate, and likeness for goals in the context of national treatment or Most Favored Nation.

Nevertheless, the analytical outcomes of the work may be concluded in the following way. There was a common consensus, but with some exclusion, that electronic commerce could be governed inside the framework of existing World Trade Organization agreements and that there was no necessity for new rules for electronic commerce when operating rules and obligations could address the appearing issues. All auxiliary bodies had made valuable assistance to the programme by clarifying additional principles on which several participants agreed, and by pointing significant issues regarding the application of WTO agreements to electronic commerce.

2.3 Technical cooperation and capacity building- the core elements of growth?

Moving to the case of e-commerce for developing countries, there were some most critical issues to overcome. But before it is useful to look through statistics of global usage of the internet. Even though the number of internet users can not provide the full picture of Information and Communications Technologies (ICT) spread and adaptation, a sufficient level of Internet penetration is a required condition for electronic commerce growth. Also, it is not correct to claim, that a high number of Internet users equals to a high rate of electronic business, because if consumers have some difficulties with access or language barrier, then the management of ICT by businesses is considered to be weak. By the way, according to Table 2, the number of internet users between Developed and Developing countries were vast as a percentage of growth. The rate of users from Developing countries was only 32 percent of the overall users. These results undermined the overall idea of the WTO Work Program; that is why the resolution of the following issues was extremely important.

Table 2. Internet users by region (thousands), 2000-2002

Retrieved from https://unctad.org/en/Docs/ecdr2003_en.pdf

The first question is physical infrastructure. The most frequently discussed issue during the Work Program was the access of developing countries' users to the physical infrastructure for electronic commerce, consisting of computers and other technical means; telecommunication services and internet access services. The liberalization of electronic trade based on the Doha negotiations was one of the suggested resolutions. According to the World Report (2003), it included: decreasing or eliminating tariffs and non-tariff barriers on Information Technology's technical means and software; providing market access, national treatment, and regulatory commitments for primary telecommunications services; and providing market access and national treatment obligations for value-added means of telecommunication services and computers and associated with it services. The next step was an introduction of other measures to attract foreign investment, which were necessary for the physical infrastructure development of electronic commerce. And the last one was the involvement of other technical and development program separate from the WTO. It could be an autonomous development aid from international and regional organizations, or official bilateral agenda. One idea, which was introduced outside the WTO Work Program on electronic commerce, was to link support provided for Information Technology by financial establishments like the World Bank or regional development indeed based on the WTO liberalization program.

The second issue, or even barrier, is legal infrastructure. It includes online formation of contracts, jurisdiction, authentication, and electronic payments. As was previously discussed, material infrastructure is a first important, but insufficient step for electronic commerce development that is why legal and human infrastructure was the next level of discussion. Barriers that interfered electronic commerce development include language barriers, it was more about non-English-speaking countries and countries with the low level of education; absence of stimulating policies for electronic commerce, consumer rights protection and opportunities for small and medium-sized enterprises for entrance and advertising on the internet; and one of the most substantial barrier was distrust on the part of both the seller and the buyer because of the absence of adequate regulatory frameworks, such as privacy protection, taxes, intellectual property protection, and other documents. Participants in the CTD negotiations had discussed the Work Program's plans to stimulate resolution of these issues with experts from different organizations on global and regional levels for a better understanding of the situation on financial, political, and regulative stages.

Additionally, there were different barriers that members in the CTD conversations regularly raised: loss of tax and tax proceeds, norms and qualification necessities; access to banking frameworks for electronic exchanges; and insufficient technology transfer from developed to developing countries. Additionally, a complex attitude should be addressed to the growth of export opportunities and overall use of electronic commerce in developing countries via trade-specific specialized help to support developing states actualize and introduce their electronic trade performance; enhanced market access for Information Technology products and electronically-traded services with export capacity; and betterment of market access and conditions into the developed nations' markets for consumers from developing countries, including high tech sectors. As for specialized help, UNCTAD, ITC, and the World Bank, just as respective contributor organizations have programs accessible for this reason.

Moving to the conclusion of this part, during the Doha Development Agenda, members affirmed that "technical cooperation and capacity building are core elements of the development dimension of the multilateral trading system." According to this, the new policy was applied- Special and Differential Treatment (S&D). The uniqueness of the concept of "special and differential" treatment is that the program was developed by taking into account the fact of the difference between stages of political, technological, financial and economic developments of developing countries. These countries had exclusive benefits and flexibilities to adopt acceptable national policies to support their trade regime.

The members pointed out that: the electronic delivery of services was under the scope the GATS as the agreement should be used to all services independently of the methods by which they are provided; all principal GATS regulations, among them the MFN obligation, are appropriate to the delivery of services via electronic means; electric supply had introduced immensely few new services; the involvement of developing countries should be improved via liberalization of market access in the sphere of export concern to them and through superior access to technology.

Results and open issues for the future sessions. In conclusion, before the analysis of the next period, there are the main Work Program Accomplishments till 2003:

GATT Council: The most of members set that the majority of issues could be deeply considered only after the decision of classification of electronic transmission as goods or services. Finally, delegation accepted that items which sold and transmitted electronically but delivered physically across borders, imposed by customs duties. Moreover, some participants considered that the ITA (the Information Technology Agreement) was a crucial contribution to the development of electronic commerce by ensuring less costly access to electronic commerce-related products. However, some issues were still opened: classification of electronic transmissions, addressing non-tariff measures as barriers to electronic commerce. electronic trade business digital commerce

GATS Council: The members pointed out that: the electronic delivery of services was under the scope the GATS as the agreement should be used to all services independently of the methods by which they are provided; all principal GATS regulations, among them the MFN obligation, are appropriate to the delivery of services via electronic means; electric supply had introduced immensely few new services; the involvement of developing countries should be improved via liberalization of market access in the sphere of export concern to them and through superior access to technology. Talking about still open questions, there were: classification of electronic transmissions, distinguishing between methods of delivery for services through electronic commerce, customs duties application to services.

TRIPS Council: The main issue here was the importance of the creation of a secure and foreseeable legal environment that would contribute to the future successful development of electronic commerce, for instance, intellectual property rights.

CTD: Members marked that Information Technology as a whole and electronic commerce specifically could expand the involvement of developing states in the trading system. However, moves must be taken to strengthen their capacity to productively use the opportunities introduced by Information Technology. Concerning open questions, there were: the impacts of electronic commerce on methods of supply, especially for developing countries; the influence of e-commerce on customs revenue in developing countries.

Unfortunately, at this point, it appears that WTO Members cannot achieve much further progress on resolving these outstanding issues through the Work Program. The opportunity does exist, however, to address both issues in the future Doha negotiations.

2.4 Software as a tool for increasing productivity: future outlook

Ministerial Conference, Hong Kong 2005. This research dedicates a whole paragraph for the sixth session before the next regular session in 2009. This meeting was quite valuable and helpful in several issues that brought difficulties for electronic commerce, especially for its growth in developing countries. However, there were not radically new questions and resolutions: the main idea was to delve deeper into existing ones, find the most appropriate institutional arrangements, and create reports for further discussions.

The theme of the moratorium was raised again during the session. Members wanted to clarify the scale of the practice of the imposition of customs duties on electronic transmissions, extend it, and to highlight as one of the permanent and significant issues for the future Doha Development Round. One of the main points was preventing states' creation of additional barriers for electronic commerce, which had significantly developed with the forces of all previous programmes, and after that spend many years trying to remove these barriers again. Moreover, because of the moratorium language confusion, the term "electronic transmissions" was substituted with the term "products transmitted electronically" to add more clarification.

Another part of the discussion was dedicated to the trade treatment of electronically delivered software, which caused many talks. The classification issue, as was claimed by some members, which took five years to negotiate, had reached a deadlock. So, the goal was to overcome it, concentrate on specific issues, and to achieve success in more progressive and relevant questions for electronic commerce.

Software Software is a set of programs that allow to automate information processing on a computer. contributes to increase productivity in all countries, and which cost of the industry reached 600 billion dollars; that is why almost all members were exited in its liberalization. Software, as it provided collaboration, benefited for trade in countries both for manufacturers and for customers. So, the main aim of this theme was to concentrate on the value of creating a liberalized regime for products, which traditionally sold on a physical medium, to be traded electronically.

Finally, participants of the sessions agreed with the significance of software trade for economic efficiency and growth of development; however, it was too early to integrate any guidance and treaties for software trade because other delegations wanted structured clarifications. Despite this fact, the positive effect of liberalized trade in software was acknowledged, and members decided to prepare for the initial stage of negotiations regarding this issue in 2006. Even in the nascent stage of discussions delegations stated that liberalization of software trade should provide not only development, but also "fully respect non-discrimination and that any consideration of software should not prejudice any Member's position on whether electronic deliverables were a good or a service" (Work Programme on Electronic Commerce, 2005). Also, members claimed that future debates should include not only software but Information Technology goods and services easier electronic commerce. It can be concluded that the session was quite successful, and there was mutual support for the discussion. Delegations several times highlighted the importance of the basic principle of the Work Programme- the creation of a liberal environment which would contribute to the development of electronic commerce as a whole. With the growing development of the broadband networks hence trade will grow simultaneously, and members must monitor the barriers, which could appear on future technology and products way.

Chapter 3. Prospects of the development: from developed to least developed countries

3.1 Influence of appropriate digital infrastructure

WTO Ministerial Conference in Geneva, 2011. The last conference before WTO Ministerial Conference in Geneva in 2009 was held in Hong Kong in 2005, so there were not any regular discussions and moratorium on payment of customs duties was still in force.

Some members expressed extreme concern about the shutdown, as, during an extended period, there were no meetings of the WTO bodies related to the development of electronic commerce. They insisted on drawing up a plan to further strengthen the Work Program and continuous development. The majority of members also supported extending the previously discussed moratorium on customs fees until the next Ministerial term. Members from developing countries underlined the importance of electronic business operations to their economies because of growing productivity, prospects, and prosperous trade in the future. However, during the conversations, Cuba, among other things, opposed a moratorium on customs duties because developing countries did not get adequate advantages from electronic trade.

Eventually, still, it was decided to prolong the moratorium since other developing countries announced that they were benefiting from it. Finalizing the Work Program, it was agreed to intensify the work energetically and to include the development of WTO basic issues, including foreseeability, clarity, and non-discrimination into the project, and also to continue the discussion regarding software.

WTO Ministerial Conference in Geneva, 2011. The next Ministerial Conference was held in 2011 in Geneva in which members continued to discuss the Work Programme under WTO principles.

All negotiations were based on an existing mandate and regulations of WTO, and the goal was to proceed activization of the Work Programme after a long stagnation. The questions of the development of trade regime also were included into the discussion, in particular, the electronically delivered software, including foreseeability, clarity, and non-discrimination to improve Internet accessibility and links to all information and telecommunications technology and public network pages, for the expansion of electronic commerce, with special attention in developing countries and, in especially, in the least developed Member States. The Work Program also investigated the accessibility of micro, small, and medium-sized businesses to electronic commerce involving small manufacturers and distributors. Therefore, it was set to highlight and revitalize the development aspect of the Work Program, primarily through the CTD, to analyze and supervise development-related questions such as technical support, capacity building, and enhancing access by micro, small and medium-sized businesses to electronic commerce.

Finally, WTO leaders decided at the 8th WTO Ministerial Conference to prolong their existing practice of not enforcing customs duties on electronic communications until the 9th Ministerial Conference. As regards the Electronic Commerce Programme, it was decided from the context of improving access to public Websites: proceed the activation of the Work Program with special regard to developing states and, in particular, the least developed Member States; analyze micro, small and medium-sized companies' access to electronic commerce; and for the General Council to conduct regular reports to evaluate the progression of the Work Program and to approve any proposals to be implemented by the next Ministerial Conference on future legislation relating to electronic commerce.

Also, a meaningful discussion regarding mobile applications was presented by the United States delegations. While the work program contained minimal operation, the development of technology and massive investments in broadband networks had made e-commerce a vital part of the economy and world trading system. If the World Trade Organization wants to remain actual to the emerging technologies and business models that could foster economic development and prosperity for all Members, these concerns must be discussed in the Work Programme. This was specifically stated in the Ministerial Declaration of Hong Kong in 2005, which was later confirmed in 2009, when WTO representatives decided to enliven the Work Programme, including focusing on development-related problems and, among others, on the handling of electronically delivered software.

The convergence of billions of Web-connected devices and broadband networks capable of supporting reliable downloads has made electronic software delivery and related services a major component of business activity in many trading countries that was increasing rapidly. Developing mobile apps deserves special attention. The boom of smartphone sales, mobile communication, and the growth of mobile software, particularly in the developing countries, made it vital to recognize the mobile subsector when evaluating the commercial implications of electronically transmitted software. In those days, the emerging mobile application industry became one of the most exciting examples of electronically distributed software. Figure 4 (Appendix 3) shows the statistic of apps available for download; there were over 600 thousand mobile apps, pieces of software which could be distributed to mobile phones electronically, reflecting a rise of 190 percent from 2010. Unsatisfactory internet access speeds and websites specifically designed for desktop computers originally posed challenges to the growth of the mobile platform, but this was evolving rapidly. Due to the significant boost in mobile access, mobile web consumers were targeted by advertisers and app developers. Small companies could then access apps that provide the tools they need to improve the productivity of business at a much lower cost. Traders may promote their products and services in new and creative ways and markets which were previously unavailable. Without wired internet network, users could easily access news, information, and services. The emergence of a favorable environment for the development and distribution of mobile software could improve business and employment prospects, access to the market and business productivity in both developing and developed states. The more clients purchase devices and sign up for mobile services, the stronger the ecosystem would become.

World Trade Organization Members had to take into account the required elements to allow this field to continue to expand and enter the world market. Necessary telecommunications infrastructure and supply of service was one essential element. Regional networks must have adequate speeds to allow Internet connectivity to participate in mobile trade. Liberalization of the telecommunications sector, which enables competition between providers, will help to reduce the prices of Internet access and more mobile connectivity. Another enabler factor was the payment systems. To make online transactions, payment services that approved worldwide, either credit-card based or initiated by online payment services, are required. Compatible regulations on data protection and network security across nations can help to facilitate such services. Any trade restrictions in these fields had to be abolished or significantly reduced. It was clear that the imposition of tariffs on software downloads specifically, and electronic transmissions generally would significantly disrupt this vibrant market in developed and developing countries alike. It was evident that placing tariffs directly on software downloads, and overall on electronic communications, would dramatically damage this thriving market in both developed and developing countries.

WTO Ministerial Conference in Bali, 2013. In 2013, Members affirmed their approval for the Work Program revival and supported the two conferences being held under the patronage of the CTD and the CTS. They endorsed the excellent results of these seminars, which helped to classify some non-tariff barriers and other aspects that influence goods trade. The working project report was based on the electronic commerce Ministerial Decision of 2011, and representatives, in general, decided that it was a reasonable foundation for further work.

Delegations acknowledged that in 2013, research on electronic commerce had been significantly discussed compared with previous times. They also emphasized the importance of the Work Program to continue exploring trade-related elements of various issues, which include improving internet connectivity, mobile services development, electronically distributed software, cloud computing, confidential data security, privacy, and consumer safety. Members decided to expand their existing practice of not enforcing customs duties on electronic communications before the next Ministerial Conference. Also, it was pledged to continue effective research, conforming with WTO basic principles, extend the application of electronic commerce while providing exceptional attention to developing countries (especially least developed) and countries with restricted access to electronic commerce were not commonly used, continue inquiries into the accessibility of micro, small and medium-sized companies to e-commerce, and regular review by the General Council of the performance progress of the Work Program. On the question of extending the moratorium on electronic transmission tariffs, some representatives required a permanent moratorium, whereas others claimed that the moratorium had to be postponed until the next Ministerial Session.

A special place in the negotiations was occupied by the topic of development of small and medium-sized enterprises. Ministers advised the General Council in the declaration of 17 December 2011 to strengthen and revitalize the growth aspect of the e-commerce Work Program. They accepted the Trade and Development Committee had to "examine and monitor development-related issues such as technical assistance, capacity building, and the facilitation of access to electronic commerce by micro, and small and medium-sized enterprises, including small producers and suppliers, of developing countries and particularly of least-developed country Members" (Committee on Trade and Development Report, 2013, p.1).

There were a number of substantial problems needed to be solved. Infrastructure issues were a big challenge, and much time had been spent addressing the need to improve power grids to combat the scarcity of daily energy supply, problems with physical delivery on online purchased goods, and an overall lack of electronic payment mechanisms in developing countries. Different main challenge in many Asian, African, and Latin American countries had been the lack of sufficient connections to high-speed internet cables. The desire for an entrepreneurial spirit when it comes to addressing the problems presented by electronic commerce was another message from the conference. Private sector correspondents were keen to persuade hesitant government officials of the advantages of using electronic commerce to promote the selling by poor rural communities of online food, fish, or crafts goods.

The major role played by electronic commerce in empowering people of all nations, particularly those in developing and least-developed states, was also underlined. The modern, more accessible technology had helped to change how fishermen catch and sell their captures and how farmers cultivate and harvest their crops. Electronic commerce offers the right business knowledge and resources for people, and they could better their livelihoods, villages, towns, and states. The internet has been playing a significant role in electronic commerce, both from the standpoint of users and from penetration, and had continued to expand globally. While developed economies are well ahead in the plan of internet penetration, emerging economies rapidly caught up with them. The number of consumers in developing nations sometime during 2010, significantly exceeded that of developed countries. Thus, technical developments had already flourished both in developing and developed nations, and this pattern was projected to continue as the sector attracted more research funds and capital investment. Moreover, workshops helped recognize what still hampered the rapid growth of electronic commerce in global trade, and what steps could be taken to further expand electronic commerce's participation to export-led economic development. It was stressed that this was not only a technological issue, but it was about offering new, innovative ways for companies, including small and medium-sized enterprises, to enter new markets and access global supply chains. Well used, electronic commerce could ultimately serve as an enabler, as a real growth tool. Yet if governments had not had the right market climate and electronic commerce could not grow, it was a lost opportunity for exports and economic growth. Electronic commerce could improve small and rural business revenue and minimize transaction costs, as well as reduce the intermediary and improve the profitability of exporting small and medium-sized enterprises. Unfortunately, electronic payment services in certain countries remained inaccessible, mostly due to regulatory mechanisms or currency caps or laws that did not permit mobile transfers. Besides, despite the given Business-to-Business supply chain opportunities, many SMEs in developing nations lack the skills and skills required to participate in electronic commerce.

The participants highlighted the lack of awareness among government representatives about how electronic commerce functions and what was required locally and nationally to enjoy the benefits of the internet was one of the key issues. This lack of understanding of some of the problems or vital information has led to inconsistent legislation and policies. These were implemented but were not centered on any actual information or regulations. Some of the approaches suggested for electronic commerce might also help administrations achieve greater access to data, which would, in effect, enable policymakers to enforce better policies. It could make trade among developed and developing nations more stable, and thereby help to reduce the technology gap. Government officials agreed on the need to accept and take into consideration each state's unique features when implementing steps to enhance electronic commerce access and advantages. Significant progress had been made regarding this issue, and representatives cited the following advancements: telecommunications laws had improved in most states; the consequent increased competition and investment had resulted in lesser prices and significantly improved accessibility and performance of up-to-date telecommunications services; some less-developed countries had developed networks where an increasing percentage of people could access the internet; and electronic payment systems, online banking, mobile money, and e-procurement websites.

At the same time, it was emphasized the need for states to share ideas and, in general, to collaborate on different ICT-related questions. And again, there was stressed the need for cooperation among existing international organizations. New technologies were addressed, as new instruments used to build websites for electronic commerce interaction. Many of the other speakers listed free web resources or others that were accessible at an affordable cost. Ultimately, the session outlined how important it was for the private sector usage of electronic commerce to help promote growth in small-income economies, as well as what the public sector required to provide a proper business climate for small and medium-sized enterprises and startups to make better use of electronic commerce.

WTO Ministerial Conference in Nairobi, 2015. During the conference in 2015, there were not any vital discussions, and the main aim of negotiations was the general ways forward on electronic commerce. However, there was not a significant improvement on how to push this project forward.

Several members stated that development across the four bodies was inconsistent, and most of the conversation centered on the component of services. Several representatives emphasized that, under the electronic commerce Work Program, no new agreements or qualifications could be negotiated; however, participants generally seemed willing to participate in a knowledge-sharing dialogue as long as this did not imply normative or prescriptive material. A similar openness to participating in observational activities for the exchange of knowledge arose later. Two suggestions were tabled at the meeting. Chinese Taipei proposed that a discussion be held under the supervision of the Council on trade policy questions relevant to electronic commerce, and China suggested that members engage in a formal data-sharing exercise by including a permanent sub-item to that effect to the Work Program agenda of the Council. Emphasizing that such an initiative in terms of material and format had to be open-ended, China indicated that one area of discussion could be the difficulties and consequences for small and medium-sized enterprises a involvement in electronic commerce. In general, participants accepted both ideas. Chinese Taipei as well submitted a notification on personal information security and the expansion of electronic business. Finally, it was approved China's initiative to formalize the exchange of knowledge. Sub-item on sharing of knowledge and experiences also had been attached to the program of the upcoming Council meeting.

A number of representatives had expressed their support as a potential outcome to a permanent moratorium. Others emphasized that only a renewal could be accepted and made it quite clear that it had not be regarded as a given. Several representatives reflected on the need to streamline and concentrate all draft decisions for ministers. Also, delegations emphasized that it was time to shift forward with more practical matters beyond discussions and information exchange. But developing nations had noted that electronic commerce regulations in their states were still in the process of development and that they could only engage in conceptual debates and were not ready to implement disciplines.

WTO Ministerial Conference in Buenos Aires, 2016. During the Ministerial Conference in 2016, there were no changes in positions on main topics, like whether to make the temporary customs duties moratorium on electronic transmissions permanent. The Council proceeded to participate in e-commerce conversations.

WTO representatives found a request from the United States to tackle and exchange information on cross-border data flows, localization standards, privacy security, and cloud computing, which will be covered later. Representatives mostly seemed inclined to participate in such a debate, considering that it did not imply any prescriptive or normative substance. The Council both discussed the security of personal information related to electronic commerce based on Chinese Taipei's participation and its system for the safety of privacy. China noticed the difficulty of the electronic commerce debate, including in general the broad digital divide between participants, and expressed a willingness to gradually step forward on electronic commerce in an inclusive manner. WTO representatives had approved China's plan to make out the exchange of electronic commerce information by including a regular issue to the Council program. Under this thing, China and Nigeria expressed their relevant experiences with the rapid development of electronic commerce in their states and the effect on SMEs.

The U.S. proposed a variety of trade-related initiatives that could substantively contribute to the development of trade via digital and electronic processes. The ideas discussed here were designed to only contribute to fruitful dialogue among participants, a phase in which the U.S. had been looking forward to engaging actively.

First of all, the prohibition of digital customs duties: a full ban on customs duties on digital goods will guarantee that tariffs do not interfere with the flow of music, video, apps, and games so that producers, creators and entrepreneurs may get a fair growth in digital commerce. Secondly, securitization of fundamental principles of non-discrimination: universal principles of anti-discrimination form the foundation of the global trade framework for products and services. Regulations that make it evident that the concepts of national treatment and MFN (Most Favoured Nation) apply to digital products may contribute significantly to digital economic stability. The next one is free and open internet promotion: open and free internet encourages the development and growth of modern, growing, and game-changing internet infrastructure that changes the social networks, information, media, electronic commerce, and other tools that then existed. The internet must remain accessible for all lawful commercial purposes. Also, the barring forced technology transfers very important issues: market entry demands that require forced technology transfer impede the growth of electronic commerce and a thriving digital economy. Trade laws should be established to prevent companies from transferring technologies, manufacturing processes, or other proprietary knowledge. The penultimate was software preference insurance: creative enterprises would be able to use the technology that works better for them and fits their requirements. Cell phone providers, for instance, would be able to select between wireless communication systems such as Wi-Fi and LTE. Trade regulations could play a significant role in maintaining technology preference by stipulating that businesses do not need to buy and use only local technology, but they have an opportunity to choose a specific preference for technology. Finally, ensuring quicker, more transparent customs processes: quite relevant contributions to international trade could be made through the kinds of provisions in the World Trade Organization Trade Facilitation Agreement. Often, regulatory and at-border barriers could be a more significant problem than duties for digital equipment suppliers.

The majority of members were in favor of discussing this topic, choosing the most appropriate items for their case. It was decided to include this program in further discussion. Besides, there was one more quiet meaningful discussion held by the MIKTA Group. Conversations at the seminar included demands for the WTO to pay more attention to its electronic trade program, and defined the flow of data and localization as core issues related to trade policy. It stressed the desire for more technical analysis and conversations to resolve these questions.

3.2 Unification as a tool for promoting interests

WTO Ministerial Conference in Buenos Aires 2017. Some leaders said they had expected to see certain progress on Eleventh Ministerial Council during the General Council meeting. Recommendations were made to focus on situations where WTO rules could make a real difference and to concentrate on more straightforward problems where agreement should be found - things that can be achieved and realistically. Others emphasized the need to resolve the difficulties of growth and to sustain a member-driven and bottom-up process.

The eleventh Ministerial conference of the WTO was in December 2017 and indicated a significant moment. The Friends of E-Commerce for Development (FED), which consists of Argentina, Chile, Colombia, Costa Rica, Kenya, Mexico, Nigeria, Pakistan, Sri Lanka, and Uruguay, organized its first Ministerial Meeting on 25 April 2017, "to discuss what they foresee as the future of the conversation regarding e-commerce and particularly its role as a tool to drive growth, narrow the digital divide and generate development solutions for developing and least-developed countries" (FED, 2017). They established seven key issues related to promoting electronic commerce readiness and growth strategies as part of research at the WTO. These were: Identification of electronic commerce preparation strategies; access to ICT resources and services; trade management and export facilitation; approaches for electronic payment; regulatory mechanisms and legal certainty; capacity development and technical support; and access to funding. As their media release reported, "this was the first time a diverse group of developing economies, globally represented in UNCTAD and the WTO, had presented a comprehensive, long-term digital policy agenda."

Also, there was another momentous occasion. In recent years, advocates of liberalization had focused on the deployment of new pro-corporate issues on the agenda of the negotiations. They hoped to use the Buenos Aires ministerial meeting to launch a new round of talks, which would not only permanently displace efforts to change existing rules that restrict development but would also include a pro-corporate agenda focused on the future digital economy. They formulated the need for this new set of standards on the basis that micro, small and medium-sized enterprises and developing states would be the primary beneficiaries of electronic commerce for development. Proponents of electronic commerce rules started this momentum with the U.S. proposal in July 2016. Then, over the next few months, they made sure that at least one developing country featured, supporting every developed country's proposal to create a narrative that e-commerce is not a matter of North versus South. In other words, tech giants like Google, Apple, Facebook, Amazon, and Microsoft were seeking to strengthen their global deregulatory agenda so that they were not accountable to workers, consumers, communities, or the governments of the countries in which they have been working; have had an adequate supply of flexible labor, their tax avoidance strategies codified, unrestricted access to markets and thus could control data -the world's most valuable resource- in their respective sectors. Their goal was to get a mandate to start negotiations on electronic commerce at a Ministerial meeting in Buenos Aires. The result was surprising: the efforts of Google, Apple, Facebook, and Amazon ultimately failed in the face of resistance from most developing countries. World Trade Organization representatives just endorsed current mandates-only to increase the importance of negotiations; there was no different mandate. Big business was left empty-handed.

Summing up the most relevant results, following the agreement of the Nairobi Ministerial Conference to maintain the current electronic commerce Work Program at the World Trade Organization, China and Pakistan suggested that electronic commerce negotiations would concentrate on promoting and facilitating the cross-border trade in Internet-enabled goods. Introducing the suggestion to the November committee meeting, China claimed that any results must represent the needs of the developing nations. China also provided a letter to other WTO institutions responsible for the electronic commerce Work Program. It suggested that discussions had to be concentrate on services that specifically facilitate Internet-enabled trade in products, such as transaction and logistics services. Besides, assistance must be provided for integrating the needs and desires of developing nations into the proceedings. Some participants highlighted the importance of continuing conversations on other dimensions of electronic commerce, like internet trade in services, and consumer security obligations, information privacy, and intellectual property rights. Some delegations said that the moratorium on customs fees on electronic communications should be made constant, rather than sticking with the existing method of renewing the moratorium every two years.

Joint Statement Initiative creation, 2018. Delegations were encouraged to provide reports outlining matters of concern to WTO members at the March meeting. Delegations were encouraged to provide reports outlining matters of concern to WTO members at the March meeting. The debates were focused based on the issues presented under four central themes: facilitating digital trade, accessibility and electronic commerce, trust and digital commerce, and cross-cutting concerns, including growth, accountability and partnership. The presenting WTO members covered customs and transportation trade facilitation mechanisms and initiatives to promote electronic transactions, such as business-related aspects of e-payment systems, electronic verification, electronic signatures, and electronic contracts. In terms of transparency, they discussed access to markets for products and services in relation to electronic commerce and trade-related elements of the cross-border data flow.

Concerning the topic of trust, WTO delegates addressed the need to promote customer and business trust in electronic commerce, for instance, by introducing customer and personal data security initiatives, industrial confidentiality, source code and algorithms, copyrights and cybersecurity. Finally, they discussed a number of cross-cutting concerns connected to the publishing and usability of electronic commerce rules and regulations; approaches to resolving the digital divide, particularly by offering technical help, longer implementation timescales and appropriate market entry commitments; and the value of collaboration between the regulatory bodies of the WTO participants, the government and private sectors and the related international agencies. Representatives have presented their suggestions for each issue, shared their state experiences, and gave textual samples from their regional trade treaties, where electronic commerce is much more deeply covered than multilaterally. There were several contextual documents available to assist lead the discussions. India and South Africa have recalled their intention of getting a more in-depth look at the moratorium's effectiveness. In their opinion, it is vital to consider its effect from the income perspective and to analyze its extension on the basis of clear evidence and statistics. Some delegations saw significance in doing more work and study on the framework of the moratorium and stressed the importance of taking the developmental aspect into consideration. Certain delegations acknowledged how the moratorium has emboldened electronic commerce and created predictability. On the moratorium framework, the opinion of delegations was that it consists of the substance; otherwise, the moratorium would have no sense. Regarding the technological viability of paying digital transmission customs duties, they acknowledged the complexity and difficulty of deciding the precise quantities and importance of electronic transmissions. As mentioned during the bilateral consultations, some delegations noted that Members were free to impose internal taxes and charges. Several delegations stated, as described during the bilateral negotiations, that Members were able to levy internal taxes and fees.