ASEAN, GATT, FTAA, Mercosur, NAFTA....powerpoint

1. Course Title- International Trade
Course Code- BUS 238
Submitted To;
Abida Sayeeda Mallika.
Assistant Professor
Dept’ Of Business administration.
Stamford University Bangladesh.

2. GROUP MEMBERS…
ID Name ID Name
BBA 054
16685
Afsana
Mahamuda
BBA 054 16679 Rimon Khan
BBA 054 16695 Saiful Islam Saif
BBA 054
16671
Faried
Chowdhury
BBA 054
16669
Niloy Saha
BBA 054
16661
Fahima Akter
(Mele)
Batch: BBA 054 (D)

3. Our presentation topic
Topic…
ASEAN
FTAA
GATT
MERCOSUR
NAFTA

4. Association of
Southeast Asian
Nations

5. •ASEAN was established on 8 August 1967 in
Bangkok
•ASEAN covers a land area of 4.4 million square
kilometers, 3% of the total land area of Earth.
Countries have a combined population of
approximately 625 million people, 8.8% of the
world's population.

6. Bangkok, 8 August 1967

8.  ASEAN was preceded by an organization
formed in 1961 called the Association of
Southeast Asia (ASA), a group consisting of
the Philippines, Malaysia, and Thailand.
ASEAN itself was created on 8 August 1967,
 when the foreign ministers of five countries:
Indonesia, Malaysia, the Philippines,
Singapore, and Thailand, signed the ASEAN
Declaration, more commonly known as
the Bangkok Declaration.

9. Chairman Rodrigo Duterte
Secretary General Le Luong
•Leaders…
•The Association of Southeast Asian
Nations has itrs headquarters in Jakarta,
Indonesia.

10.  to promote the economic, social and cultural
development of the region through cooperative
programs;
 to safeguard the political and economic
stability of the region against big power
rivalry;
 and to serve as a forum for the resolution of
intra-regional differences

11.  To create and maintain a data bank of best
practices, standards, and methodologies in the
field of public sector auditing.
 To organize seminars, workshops, studies, or
other activities related to the exchange of
knowledge and experiences in the field of
public sector auditing; and
 To undertake other activities that will promote
good governance and cooperation among
Members of ASEANSAIs.

12.  With the establishment of ASEAN the
economy of the Asian countries became
strengthen.
 As we move towards the year 2020, ASEAN
will have derived its strength not only from
unity among governments but unity among
its diverse peoples.

13. THANK YOU!..

15. What is FTAA?
• Free Trade Area of the Americas
• The effort to unite the economies of the
Americas into a single free trade area
began at the Summit of the Americas,
which was held in December 1994 in
Miami, U.S.A.
• Barriers to trade and investment will be
progressively eliminated
• They agreed to complete negotiations
towards this agreement by the year
2005

16. History..
• The Free Trade Area of the Americas (FTAA)
was an attempt to create a neoliberal free
trade agreement that expanded the North
American Free Trade Agreement (NAFTA) to
every country in North America, Central America,
South America and the Caribbean, except Cuba.
• Negotiations began right after the completion of
NAFTA in 1994 and were supposed to have been
completed by January 1, 2005.
• But an exciting thing happened: the FTAA was
not signed.

17. History…
• Free Trade Area of the Americas began
with the Summit of the Americas in Miami,
Florida, on December 11, 1994,

18. Members…
• The following countries are in the plans of the
Free Trade Area of the Americas: 34 members

19. Chairmanship of the Negotiations…
Chairmanship Vice-
May 1, 1998 -
31, 1999
Canada Argentina
November 1, 1999 -
April 30, 2001
Argentina Ecuador
May 1, 2001 -
31, 2002
Ecuador Chile
Co-Chairs
November 1, 2002 -
conclusion of the
negotiations
Brazil and United States of America

20. Objectives of the FTAA:
Member states of the FTAA stated the following
objectives:
1. Promote prosperity through increased integration
and free trade
2. Establish a Free Trade Area in which barriers to
trade in goods, services and investment are
progressively eliminated by no later than 2005
3. Maximize market openness
4. Facilitate integration of smaller economies into
the FTAA
5. Secure observance and protection of worker
rights

21. Function of the FTAA…
• Official Function of the FTAA:"We, the
Ministers, reaffirm our commitment to the
successful conclusion of the FTAA negotiations
by January 2005, with the ultimate goal of
achieving an area of free trade and regional
integration. The Ministers reaffirm their
commitment to a comprehensive and balanced
FTAA that will most effectively foster economic
growth, the reduction of poverty, development,
and integration through trade liberalization.

22. Function of the FTAA…
• Unofficial Function of the FTAA:The Free
Trade Area of the Americas is to guarantee
control for North American businesses over a
territory which stretches from the Arctic to the
Antarctic, free access over the entire
hemisphere without any difficulty or obstacle
for our products, services, technology and
capital.

24. GENERAL AGREEMENT ON
TARIFF AND TRADE

25. During great depression of 1930’s the
international trade was badly affected
and various countries imposed
import restrictions for safeguarding
their economies.
It resulted in sharp decline in world
trade.
1n 1945, USA put forward many
proposals for extending international
trade and employment.
On October 30th, 1947; 23 countries
at Geneva signed an agreement
related to tariffs imposed on trade.
BACKGROUND

26. Headquarter…
• WTO Headquarters in Geneva UN body set up in
1948.
• GATT had 110 members when it was renamed
the World Trade Organization (WTO) in 1995.

27. Members..
• The 128 countries that had signed GATT by 1994

28. GATT WTO
•GATT was ad hoc and provisional
•WTO and its agreements are
permanent
•GATT had contracting parties •WTO has members
•GATT system allowed existing
domestic legislation to continue even if
it violated a GATT agreement
•WTO does not permit this
Following the UR agreement, GATT was
converted from a provisional agreement into a
formal international organization called World
Trade Organization (WTO), with effect from
January 1, 1995
FROM GATT TO WTO

29. Functions of WTO:
WTO is based in Geneva, Switzerland. Its
functions are:
 Administering the multilateral trade
agreements which together make up the WTO
 Acting as a forum for multilateral trade
negotiations
 Seeking to resolve trade disputes
 WTO is not a “Free trade” institution. It permits
tariffs and other forms of protection but only in
limited circumstances.

30. Objective of GATT / WTO
1. Expansion of international trade,
2. Increase of world production by ensuring full
employment in the participating nations,
3. Development and full utilisation of world
resources, and
4. Raising standard of living of the world
community as a whole.

31. Conclusion
• The creation of GATT-Negotiations in 1947
was but a big step towards trade liberalization.
Between 1947 and 1993 Eight-GATT rounds
have taken place for regulating trade amongst
nations and solving various trade disputes.

32. Thank You…

33. MERCOSUR

34. Introduction
 MERCOSUR, the "Common Market of the
South," is the largest trading bloc in South
America
 Created in 1991 as Argentina and Brazil sought
to improve their diplomatic and economic
relations, the bloc saw a fivefold increase in
regional trade in the 1990s.
 Its purpose is to promote free trade and the fluid
movement of goods, people, and currency

35. History
 1991: Treaty of Asunción goes into force in 1991,
effectively mandating the creation of a common southern
market (MERCOSUR) by December 31, 1994.
 1995: Creation of customs union. MERCOSUR and the
European Union sign an agreement of trade association
and cooperation in various areas
 1999: Free trade agreement with two trading block EU
and NAFTA
 2004: Preferential trade agreement with India

36. (Awaited)
Members…

37. Objective
 The free transit of produced goods, services and
factors among the member states Among other
things, this includes the elimination of customs
rights and lifting of nontariff restrictions on the
transit of goods or any other measures with
similar effects.
 Fixing of a common external tariff (CET).
 Move member countries’ economies away from
import-substitution models
 Develop institutional groups

38. •Its purpose is to promote free trade and the fluid
movement of goods, people, and currency. The official
languages are Guaraní, Portuguese, and Spanish.
•Intra-Mercosur merchandise trade grew from $10 billion
at the inception of the trade bloc in 1991, to $88 billion in
2010.
•With a population of more than 270 million people, and
a GDP of the full-member nations in excess of $3 trillion a
year.
Functions.

39. Facts
 Population : 0.3 billion(2010) , 43% of Latin
America’s population
 Languages : Portuguese, Guaraní and Spanish
 Land : 7,941,856 sq. miles, 59% of its total
landmass
 4th largest trading bloc in the world after EU,
NAFTA, ASEAN (2010)

40. Current News
 Mercosur Signs Trade Deal with Palestinian
Authority
 This is the first trade deal between the Palestinian
territories and a bloc of nations outside the Arab
world

42. NORTH AMERICAN FREE TRADE
AGREEMENT
(NAFTA)

43. INTRODUCTION
NAFTA is an agreement signed by the
governments of the United states, Canada and
Mexico creating a trilateral trade bloc in North
America.
Members: Canada, Mexico & United States
Official languages: English, French and Spanish
Secretariats: Mexico city, Ottawa, Washington
D.C.
Establishment: 1 January 1994
GDP of NAFTA alliance: USD 12 trillion
NAFTA supplements: NAAEC & NAALC

44. BACK GROUND
• In 1988 Canada & the United States signed the Canada-
United states Free Trade Agreement
• The American government then entered into
negotiations with the Mexican government for a similar
treaty
• Canada asked to join the negotiations in order to
preserve its perceived gains under the 1988 deal
• The agreement NAFTA was signed by U.S. president -
George H. W. Bush, Canadian prime minister - Brian
Mulroney and Mexican president - Carlos Salinas
• in San Antanio, Texas on December 17,1992.

45. Members
• Canada
• Mexico
• United States
Headquarters.
•Mexico City (Mexico),
•Ottawa (Canada),
•Washington D.C. (USA)

46. OBJECTIVES OF NAFTA
To eliminate trade barriers & facilitate the cross-border
movements of goods and services between the parties
To promote conditions of fair competition
To substantially increase investment opportunities
To provide adequate and effective protection & enforcement
of intellectual property rights in each territory
To establish a framework for further trilateral, regional and
multilateral co-operation to expand and enhance benefits of
this agreement

47. EFFECTS OF NAFTA
BENEFITS
 Benefit’s the importers by reduced or duty free goods.
 Can make the exporter more competitive then other non-
participating countries
 There has been great increase in trade among the three
countries and market access within each country also
increased considerably.
 Mexico’s poverty rate decreased and real income increased,
even after economic crisis 1994-1995
 NAFTA had been beneficial to business owners and elites in
all three countries

48. CONCLUSION
• The North American Free Trade Agreement
(NAFTA) will not be fully implemented until
2008. However, it is evident that NAFTA has
already proved its worth to the United States
by playing an important and vital role in
increasing consumer choice, improving market
access for U.S. products, and expanding U.S.
jobs supported by exports.