GENEVA (NEWSnet/AP) — Since the early days of internet, providers of digital media such as Netflix and Spotify have had a free pass when it comes to international tax on films, video games and music.

A global consensus may be developing.

World Trade Organization opens its biannual meeting of government ministers Monday in Abu Dhabi. A longtime moratorium on duties for e-commerce products is coming under pressure.

WTO’s 164 member countries will address multiple topics, including overfishing and agriculture reform. But a moratorium on e-commerce could take center stage.

“This is so important to millions of businesses, especially small- and medium-sized businesses,” said Ngozi Okonjo-Iweala, WTO director-general. “Some members believe this should be extended and made permanent. Others believe ... there are reasons why it should not."

Under WTO's rules, major decisions require consensus. Countries must actively vote in favor for the extension to take effect.

Proponents say a moratorium benefits consumers by helping to reduce expense and promotes digital services in countries. Critics say it deprives debt-burdened governments in developing countries of tax revenue.

A WTO report published in December said the value of “digitally delivered services” exports grew by more than 8% from 2005 to 2022 — higher than goods exports (5.6%) and other-services exports (4.2%).

Most developing countries don’t have digital networks as extensive as those in wealthier nations. Those countries see less need to extend the moratorium, and might reap needed tax revenue if it ends.

South Africa's proposal, which seeks to end the moratorium, suggests creation of a fund to receive voluntary contributions to bridge the “digital divide.” It also wants to require “leading platforms” to boost the promotion of historically disadvantaged small- and medium-size enterprises.

U.S. industries are pushing to extend the moratorium. In a Feb. 13 letter to Biden administration officials, nearly two dozen industry groups, including Motion Picture Association, U.S. Chamber of Commerce and Entertainment Software Association, urged “full support” for renewal.

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