Acting Permanent Representative of the Hong Kong Special Administrative Region of China to the World Trade Organization Drew Lai (left) hands over Hong Kong, China's Instrument of Acceptance for the Agreement on Fisheries Subsidies to the Director-General of the WTO, Dr Ngozi Okonjo-Iweala (right), Aug 21, 2023, in Geneva, Switzerland. (PHOTO / HKSAR GOVT)

HONG KONG – Hong Kong, China on Monday accepted a World Trade Organization agreement on fisheries subsidies, the second multilateral trade agreement concluded since the WTO’s establishment and the first with environmental sustainability as the core objective.

The agreement is an important outcome of the 12th WTO Ministerial Conference held last year, said Secretary for Commerce and Economic Development Algernon Yau Ying-wah.

READ MORE: China formally accepts WTO fisheries subsidies agreement

The agreement is intended to prohibit certain subsidies that have harmful effects on the sustainability of fisheries – those contributing to illegal, unreported and unregulated fishing, those for fishing of overfished stocks, and those for fishing on the unregulated high seas.

The successful conclusion of the agreement is a milestone achievement as WTO members reinvigorated multilateralism and worked collaboratively to deliver on issues of global importance.

Algernon Yau, Secretary for Commerce and Economic Development, HKSAR

“As a staunch supporter of the multilateral trading system, we are pleased to deposit our Instrument of Acceptance and join the global efforts to operationalize the agreement, so that it can deliver benefits for trade, development and the environment,” said Yau.

It would enhance the management of fisheries by members, not least by formalizing sustainability assessments, creating robust transparency obligations and requiring cooperation among agencies, according to a government statement.

After over two decades of negotiations, the agreement was adopted by WTO members at the 12th WTO Ministerial Conference in June 2022. Since then, the Environment and Ecology Bureau and the Agriculture, Fisheries and Conservation Department have been preparing to implement the agreement.

To bring Hong Kong’s financial assistance policies in line with the agreement once it comes into force, the Director of Agriculture, Fisheries and Conservation will make appropriate adjustments to relevant fisheries subsidies and support programs to ensure that international obligations under the agreement will be taken into consideration when giving support to or terminating loan or grant applications.

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“The successful conclusion of the agreement is a milestone achievement as WTO members reinvigorated multilateralism and worked collaboratively to deliver on issues of global importance,” the commerce chief said, adding that Hong Kong is committed to working constructively with other WTO members to further strengthen the disciplines.

The agreement will come into force upon acceptance by two thirds of the WTO members, which is 110 members out of total 164. As of Monday, 42 WTO members have accepted the agreement.