Professional Documents
Culture Documents
KUMARAN VEERARAJAN
MAHIMA KHOT
RAGHAVENDRA PRASAD
SATHISHKUMAR K
(14020848011)
(14020848012)
(14020848013)
(14020848016)
(14020848018)
An Organization for
Liberalizing Trade
The WTO is an organization which helps in
removal of trade barriers
Goes with the idea that the hands-off approach
to markets is the most efficient in the long-run
WTOs Stated Aim:
Promote Free Trade
Stimulate Economic Growth
Liberalism
Why WTO ?
International peace:- by helping the
trade to flow smoothly and dealing with
disputes over trade issues
Risk reduction:- Confidence to
nations to do more and more trade,
thereby stimulating economic growth
History
After World War II
many nations had
adopted a
protectionist stance
on trade
Many felt closedprotectionist
positions was a cause
of WWII
Victor nations set up
economic institutions
to prevent this from
happening again
The General
Agreement on Trade
and Tariffs (GATT) was
signed into place in
1947
The ITO did not fly
The US said it was unfair
History - GATT
GATT: main purpose was to reduce barriers to
international trade
GATT was an agreement, not an organization
Became the de facto organization for international trade
Subsidies
Quotas
Foreign exchange controls
Import bans
Restrictive licensing
History - GATT
The 1986 Uruguay Rounds of trade
negotiations covered new trade topics
Trade in services and intellectual property
Sensitive subjects, like textiles and
agriculture
History - WTO
Uruguay Round ended in 1994 with the
formation of the World Trade Organization
Jan. 1, 1995 WTO was born
GATT, GATS and TRIPS still exist as the framework
for the WTOs operations
Current Round Doha Began November 2001
Ambitious agenda to make globalization more inclusive
of the worlds poor
Talks have been contentious
No agreements have been reached
July 2006 talks were suspended by Director General,
Pacel Lamy, but may go forward at anytime
Formal Structure
Formal Structure
Highest Level Ministerial Conference
Meets at least every two years
Brings together all members of WTO
Can make decisions on all matters
under any multilateral trade agreement
Formal Structure
Second Level - General Council
Meets regularly
Made up of representatives from all
member nations
Has the authority to act on behalf of
the Ministerial Conference
Also acts as:
Dispute Settlement Body
Trade Policy Review Body
Formal Structure
Third Level -Councils for Trade Works
under the General Council
Made up of three councils
1. GATT Council
2. TRIPS Council
3. GATS Council
Formal Structure
Fourth Level -Subsidiary Bodies
These are sub-councils under the three
councils for trade
Examples include:
Textiles Monitoring Body, under the GATT
Council
Information Technology Agreement
Committee, under the TRIPS Council
The Services Council, under the GATS
Council
Benefits
Dispute Settlement
It is the central pillar of the multilateral
trading system
It is a unique contribution to the stability of
the global economy
It makes the trading system more secure
and predictable
Dispute Settlement
Principles:
Equitable
Fast
Effective
Mutually acceptable
Stages :
Consultation
Panel
Appeal
Eg:Case of Venezuela
The Complaint of U.S.A. against
India in WTO
Founder member
Ensured more stability and predictability
MFN status and national treatment for its
exports
India is expected to snatch most of the
business deals that are presently catering
the developed nations which includes
major service based industries like
telecom, financial services, infrastructure
services such as transport and power
European Union
Unbleached Cotton Fabrics (UCF)
Cotton Type Bedliner
Polyester Texturised Filament Yarn
(PTFY)
Turkey
Polyester Texturised Yarn (PTY)
South Africa
Printed and dyed bed linen
TRIPS in India
TheAgreementon Trade-Related Aspects of Intellectual
Property Rights (TRIPS) is an
internationalagreementadministered by the World Trade
Organization (WTO) that sets down minimum standards for many
forms of intellectual property (IP) regulation as applied to
nationals of other WTO Members.
SPS/TBT
Sanitary and Phytosanitary Measures
and Technical barriers to trade
Protects human, animal and plant life and
health including from pests and diseases of
food
Size, shape, weight and packaging material
requirements including labeling and
handling safety
Peanuts, Marine products, Mushrooms in EU
Sources /References :
http://en.wikipedia.org/wiki/World_Trad
e_Organization
https://www.wto.org/
www.calstatela.edu
Thank
You!...