Statement by the H.E. Mr. Mitsuru Kitano, Permanent Representative, Ambassador Extraordinary and Plenipotentiary of Japan at the 42nd Session of the Industrial Development Board

2014/11/26
Mr. Chairman,

I would like to begin by congratulating you on your election as Chair of the forty second session of the Industrial Development Board. I am sure that this session will be successful under your able leadership. I would also like to thank the outgoing Chairman, together with his Bureau, for their devoted work.

Mr. Chairman,

Japan values highly UNIDO’s role in supporting industrial development of Member States. Industrial development is essential for strengthening economies, reducing poverty and raising living standard. Japan supports Director General Li Yong’s initiative to focus on Inclusive and Sustainable Industrial Development, since this concept indicates clearly the basic direction industrial development should be.  On the provisional outline of the Medium-Term Programme Framework (MTPF) for 2016-2019, we find it generally consistent with both the Lima Declaration and the Strategic Guidance Document developed by the informal working group on the future, including programmes and resources, of UNIDO.  Addressing three sustainable dimensions, namely economic, social and environmental dimensions, are reasonable approach in pursuing ISID. We also support to focus on four functions, namely  i) technical cooperation,  ii) analytical and research  functions and policy  advisory services,  iii) normative functions and standards- and compliance-related activities, and iv) convening and partnerships for knowledge transfer, networking and industrial cooperation.

In this connection, Japan wishes to emphasize the importance of human security. In order that industrial development should be inclusive and sustainable, it should give due consideration to socially vulnerable groups such as youth and women. Thus, UNIDO’s activities are to include providing these socially vulnerable groups with capacities to secure their futures. This is nothing but the consideration under human security. We would therefore like to request that UNIDO includes the concept of human security in the next MTPF as in the case with the current MTPF.

Japan considers this outline to be a good starting point for discussions on UNIDO’s future activities and policy engagement.

Nonetheless, we must also comment on the budgetary framework proposed in the provisional outline of the MTPF. While detailed discussion on budget should be carried out during the upcoming PBC, the indicated regular budget ceiling is of concern to us from several standpoints.

First, this proposed budgetary framework does not reflect the withdrawal of two Member States which will be effective at the end of this year. The withdrawal of two Member States is a matter of regret. At the same time, the absence of two important contributors to UNIDO is a sad reality which should be fully taken into account in the future budget formulation. Otherwise, this would impose additional burden to those who remain in the organization. In this context, we should be reminded that IDB.41/Decision 12 clearly indicated that upon the announced departure of any Member State, the organization’s regular budget shall be readjusted so as not to increase the assessed contributions of the remaining Member States. It is an important principle to avoid further pressure for withdrawal.  

Secondly, our basic position on UNIDO’s regular budget is that it should be formulated based on zero nominal growth. An increase of over 10% in the regular budget is a clear departure from this principle. Here, we should be reminded that IDB. 41/ Decision 12 also expected that the Director General would actively pursue additional efficiency gains and cost-savings. We seriously wonder how over 10% increase of the regular budget can be justified in relation to such a decision.

Taking these points into consideration, and given that the proposed budgetary framework is unacceptable to us, from the reasons I mentioned, Japan would like to request that the Secretariat reconsiders the budgetary framework, and prioritize its activities in the MTPF. Prioritization and selection of activities which can be implemented with a reduced regular budget is indispensable for UNIDO to adapt to the current environment. We stand ready to discuss this matter further in more concrete terms during the upcoming PBC.

Thank you.
The Practical Export Control Workshop was hosted by the Wassenaar Arrangement as part of its 20th Anniversary programs and held at the Permanent Mission of Japan to the International Organizations in Vienna on 27 and 28 June 2016. More than 100 government representatives from 46 countries participated in the technically focused Practical Workshop.
 
Workshop speakers included the 2016 WA Plenary Chair Ambassador Anu Laamanen (Finland), 2016 WA General Working Group Chair Ambassador Paul Beijer (Sweden), 2015-2016 WA Experts Group Chair Robertas Rosinas (Lithuania), 2016 WA Licensing and Enforcement Officers Meeting Chair Jon Erik Strömö (Norway), as well as the Head of the WA Secretariat, Ambassador Philip Griffiths. The WA control lists as well as export licensing and enforcement topics were covered during the two days.
 
The following link from WA’s webpage contains more details:
http://www.wassenaar.org/wp-content/uploads/2016/06/June-2016-Workshop-media-release.pdf