I. ORGANIZATIONAL MATTERS

1. Election of Chairperson and Vice-Chairpersons
2. Adoption of Agenda

II. ECONOMIC AND POLICY ISSUES

1. Current situation and short-term prospects
2. Linkages between trade and environmental policies in the hides and skins and leather sector
3. Purchasing requirements for raw hides and skins and leather in importing countries

III. INTERGOVERNMENTAL ACTION ON HIDES AND SKINS

1. Hides and skins and leather - Commodity profile and strategy for development
2. Commodity development activities
3. Progress on revision of International Trade Classification

IV. OTHER MATTERS

1. Matters arising from the Sixty-third Session of the Committee on Commodity Problems
2. Date and place of the next session
3. Other business
4. Adoption of the report

AGENDA NOTES

The Seventh Session of the Sub-Group on Hides and Skins will open at FAO Headquarters on 4 June 2001. It will not follow its customary pattern of meeting in the same week as the Intergovernmental Group on Meat. The IGG on Meat will instead meet jointly in 2001 with the IGGs on Grains, Rice and Oilseeds in conjunction with a conference on basic foodstuffs. Hides and skins would not fit well in that agenda and for this reason the Seventh Session of the Sub-Group will be held separately.

I.  ORGANIZATIONAL MATTERS

A. ELECTION OF CHAIRPERSON AND VICE-CHAIRPERSONS

The Sub-Group normally elects a Chairperson and two Vice-Chairpersons. At its Sixth Session the Sub-Group elected Mr D. Sweetnam (South Africa) as Chairperson and Messrs E. Zimmerl (Austria) and J. Ladan (Nigeria) as Vice-Chairpersons.

B. ADOPTION OF AGENDA

The Sub-Group will consider the provisional agenda (CCP: ME/HS 01/1) for adoption.

II. ECONOMIC AND POLICY ISSUES

A. CURRENT SITUATION AND SHORT-TERM PROSPECTS

The Sub-Group will review the current market situation and assess short-term prospects for supply, demand and trade of hides and skins and their derived products, with the assistance of a Secretariat document (CCP: ME/HS 01/2), which will be tabled at the Session. Delegates from producing and consuming countries will be invited to present statements analyzing recent developments and the outlook in the hides and skins sector of their respective countries. In addition, a new edition of the World Statistical Compendium for Raw Hides and Skins, Leather and Leather Footwear will be tabled at the Session.

B. LINKAGES BETWEEN TRADE AND ENVIRONMENTAL POLICIES IN THE HIDES AND SKINS AND LEATHER SECTOR

As part of its work to assess the impact of policies on trade in hides and skins, the Sub-Group at its Sixth Session recommended that the Secretariat continue to monitor developments in trade policies and undertake an analysis of the linkages among restrictions on the trade of hides and skins and leather; sanitary regulations, and voluntary measures, such as ecolabelling; and environmental issues. Accordingly, the Secretariat will circulate a document (CCP: ME/HS 01/3) reviewing the linkages between trade, trade policies and environmental policies, thus providing an economic perspective on trade and environmental issues. Delegates are invited to present statements analyzing the effects of such policies in their respective countries to assist the Sub-Group in understanding the nature and effects of these policies.

In view of the important effects that export restrictions have on trade, the Secretariat has continued to monitor their developments, and a document (CCP: ME/HS 01/4) updating and describing the restrictions presently in force will be circulated.

C. PURCHASING REQUIREMENTS FOR RAW HIDES AND SKINS AND LEATHER IN IMPORTING COUNTRIES

In order to assist developing countries to improve the exports of their hides, skins and leather, the Secretariat will circulate document (CCP: ME/HS 01/5) reviewing the importing countries' requirements which developing countries have to meet for raw hides and skins and leather. This document will be prepared with assistance from European importers, particularly the Italian Tanners Association (UNIC).

III. INTERGOVERNMENTAL ACTION ON HIDES AND SKINS

A. HIDES AND SKINS AND LEATHER - COMMODITY PROFILE AND STRATEGY FOR DEVELOPMENT

The Sub-Group with the assistance of document (CCP: ME/HS 01/6) will review the developments of the hides and skins sector over the last decade and may wish to consider changes likely to occur in the industry in the future. Delegates are invited to present brief statements on market, policy, and other developments which will affect the hides and skins economy in their respective countries. On the basis of this information, the Sub-Group may wish to review its development strategy for hides and skins in developing countries adopted at its Fourth Session in Rome in 1994 (CCP: ME/HS 94/8) in order to ensure its continuing relevance.

B. COMMODITY DEVELOPMENT ACTIVITIES

The Sub-Group on Hides and Skins is a designated International Commodity Body (ICB) under the rules of the Common Fund for Commodities (CFC) and in this role it has promoted projects on hides and skins. The Secretariat will circulate a note (CCP: ME/HS 01/7) which provides details on CFC project activities. The project on "Raw Hides and Skins Grading and Pricing Systems in selected African countries" was initiated in September 1999, and the Sub-Group, as Supervisory Body, is required to review progress and report its assessment to the Common Fund. In addition, the Sub-Group will be informed of progress with regard to a project proposal on "Adding Value to African Leather: Improvement of Leather products' manufacturing in selected COMESA countries" which was recently submitted to the Fund.

The Sub-Group may wish to review any additional project profiles submitted for its consideration. Such proposals should reach the Secretary as soon as possible but not later than 20 May 2001.

C. PROGRESS ON REVISION OF INTERNATIONAL TRADE CLASSIFICATION

At its Fifth Session, the Sub-Group requested that efforts be made to improve the trade classification and nomenclature system to better reflect the composition of the trade in hides, skins and leather. A note (CCP: ME/HS 01/8) will be circulated outlining revisions which have been accepted by the Customs Cooperation Council for the modification of chapter 41 of the international trade classification.

IV. OTHER MATTERS

A. MATTERS ARISING FROM THE SIXTY-THIRD SESSION OF THE COMMITTEE ON COMMODITY PROBLEMS

The CCP is to further review the role of the intergovernmental commodity groups at its 63^rd Session in March 2001. The Sub-Group will be informed of the CCP's conclusions, in the light of which it may wish to review its own role and functions.

PROVISIONAL TIMETABLE