What Is the WTO? The World Trade Organization (WTO) is the only global international organization dealing with the rules of trade between nations. WTO agreements are negotiated and signed by the trading nations and ratified in their parliaments. The goal is to help producers of goods and services, exporters, and importers conduct and grow their business.
The Goal Toimprove the welfare of the peoples of the member countries.
Past, Present, FutureThe WTO came into being in 1995.The WTO is the successor to the GeneralAgreement on Tariffs and Trade (GATT),established in the wake of the Second World War.
The Past 50 Years: Exceptional Growth in World Trade Merchandise exports grew on average 6% annually Total trade in 1997 was 14 times the level of 1950 In 1997, 40 governments concluded negotiations for tariff free trade.
The Organization Ministerial Conference GC: Trade Policy GC: Dispute Review Body Settlement Body General Council Council for Trade Council for Intellectual Council for Trade in Goods Property Rights in Trade In Servfices Committees CommitteesCommittees on Textiles Monitoring BodyTrade and EnvironmentTrade and Development… Working parties onWorking partieson AccessionsWorking groups
The WTO must teach the world the benefits of trade We have seen what Ricardo had to say about comparative advantage, and the strong consensus among those who seriously consider trade issues. Trade provides nearly 100% of an economy’s jobs. Global trade provides a large and growing share of these jobs. .
Major WTO Functions Administering WTO trade agreements Forum for trade negotiations Handling trade disputes Monitoring national trade policies
Major WTO Functions Technical assistance and training for developing countries Cooperation with other international organizations
The QuadSome of the mostdifficult Canada, Europeanegotiations have n union, Japan,needed an initial United Statesbreakthrough intalks among thefour largestmembers
How to Join the WTO: the Accession Process First,“tell us about yourself”. Second, “work out with us individually what you have to offer.” (Country to country negotiations bilaterally.) Third, “let’s draft membership terms.” Finally, “the decision.”
Criticisms of the WTO Itundermines representative democracy Member nations are prevented from protecting the environment The WTO is controlled by the larger nations The WTO represents the interests of large corporations and wealthy citizens Some protesters have arguments fully worthy of consideration. They deserve a better venue for hearing than the streets. Anarchists usually capture the legal protest, along with
The Doha, Qatar InitiativesA new trade round was launchedNovember, 2001For the first time, developing countriesdemanded capacity-building and technicalassistance to take part meaningfully.
The Doha, Qatar InitiativesThe Pledging Conference was convened inaccordance with the December 2001decision of the WTO General Council.In that decision, the General Council set atarget for core funding of CHF 15 millionplus support in kind, including trainingcourses for trade officials.