WTO AGREEMENTS

TRIPS - TRIMS - GATS

&
RELEVANT CASES
KAUSTUBH GUPTA E31,NEHA GOSAIN ,KRANTI- E47 ,DEVENDRA-
E 24, MANISH- E 51
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MR PRASCAL
GENEVA
LAMY

WHO : PASCAL LAMY

WHEN : 1st JANUARY 1995

WHERE : GENEVA,SWITZERLAND

HOW : URUGUAY ROUND OF NEGOTIATIONS FRANC

WITH : 159 MEMBER COUNTRIES, TAJAKISTAN INDUCTED IN

MARCH 2013

MEANS : 200 MILLION SWISS FRANCS

 P2
P1 CONSULATATIONS & P3
ANALYSIS OF TRADE & TALKS ON CONSESSIONS OFFICIAL
ECONOMIC POLICIES OF TO MARKET ENTRY TO DOCUMENTATIO
APPLICANT COUNTRY THE MEMBER N
COUNTRIES
CENTRE WILLAM
RAPPARD

AN INSIDE VIEW
INTEGRATION OF WORLD ECONOMIES
 WTO : TASKS IN
HAND
WORLS TRADE ORGANIZATION COORDINATES WITH ITS
SECRETARIAT,WHICH EMPLOYEES 500 + STAFF INCLUDING
ECONOMISTS,STATISTICIANS,LAWYERS AND OTHER
EXPERTS IN RELATED AREA OF CONCERN

WTO AGREEMENTS COVER

GOODS,SERVICES,INTELLECTUAL PROPERTY.

AGREEMENTS INCLUDE COMMITMENTS TO LOWER

CUSTOMS DUTIES AND OTHER TRADE BARRIERS
COUPLED WITH OPENING OF MARKETS.

IMPORTANTLY WTO SET PROCEDURES TO SETTLE

DISPUTES

TRADE NEGOTIATIONS AND CREATING LEVEL PLAYING

FIELD FOR ALL.

COOPERATION WITH OTHER INTERNATIONAL

Y THIS
KOLAVERI ??
 WTO : Agreements
Frame work starts with basic principles

1. GENERAL AGREMENT ON TARRIFS & TRADE (GATT)

2. GENERAL AGREEMENT ON TRADE IN SERVICES (GATS)

3. TRADE RELATED ASPECTS OF INTELLECTUAL PROPERTY RIGHTS

(TRIPS)

4. TRADE RELATED INVESTMENT MEASURES (TRIMS)

TRIPS TRIMS GATS
LITERAL WORK TO FACILITATE MOVEMENT OF
INVESTMENTS PERSONS
ARTISTIC WORK TO LIBERALIZE WORLD AIR TRANSPORT
TRADE
INDUSTRIAL TO STRIKE OUT FINANCIAL SERVICES
PROPERTY INVESTMENT MEASURES
WHICH CAN CREATE
HINDRANCE
TAKINF INTO ACCOUNT SHIPPING
TRIPS
It is the GATT Uruguay Round Agreement on Trade Related
Intellectual Property.
It deals with the protection & enforcement of Trade-Related
intellectual property rights". It establishes minimum levels of
protection that each government has to give to the intellectual
property of fellow WTO members

DEALS IN :

How basic principles of the trading system and other international

intellectual property agreements should be applied

How to give adequate protection to intellectual property rights

How countries should enforce those rights adequately in their own

territories

How to settle disputes on intellectual property between

Intellectual Property comprises 2 distinct forms:

* Literary & Artistic Works

* Industrial Property

LITERARY & ARTISTIC WORKS INCLUDE books, paintings, musical

compositions,
plays, operas, movies, radio/ tv programs, performances, & other artistic
works.

INDUSTRIAL PROPERTY envelops patented objects, trade secrets,

TRIMS
Trade related Investment Measures does not provide any new
language , but It concentrates on 2 major articles. Article III &
Article IX which talks about National Treatment and Trade
Restrictions respectively.

DEALS IN :
ARTICLE XI
ARTICLE III
National treatment of imported
Prohibition of
quantitative restrictions
product, unless specified in other
on imports and exports.
agreements.
Part of the general trend
Subjects the purchase or use by
in textiles and agriculture
an enterprise of imported products
to phase out the use of
to less
quantitative restrictions.
favorable conditions than the
purchase or use of domestic
products.
PROVISIONS:

Local content requirements (LCRs). Impose the use of a

certain amount of local inputs in production.

Trade-balancing requirements. Oblige imports to be

equivalent to a certain proportion of exports.

Foreign exchange balancing requirements. Stipulate that

the foreign exchange made available for imports should be a
certain proportion of the value of foreign exchange brought in
by the firm from exports and other sources.

Exchange restrictions. Restrict access to foreign exchange

and hence restrict imports.

Licensing requirements. Oblige the investor to license

technologies similar or unrelated to those it uses in the home
country to host country firms.

Remittance restrictions. Restrict the right of a foreign

Local equity requirements. Specify that a certain percentage of a
firms equity should be held by local investors.

Domestic sales requirements. Require a company to sell a certain

proportion of its output locally, which amounts to a restriction on
exportation.

Manufacturing requirements. Require certain products to be

manufactured locally.

Export performance requirements (EPRs). Stipulate that a

certain proportion of production should be exported.

Product mandating requirements. Oblige an investor to supply

certain markets with a designated product or products manufactured
from a specified facility or operation.

Manufacturing limitations. Prevent companies from manufacturing

certain products or product lines in the host country.

Technology transfer requirements. Require specified technologies

to be transferred on non-commercial terms and/or specific levels and
types of research and development (R & D) to be conducted locally.
Local equity requirements. Specify that a certain
percentage of a firms equity should be held by local
investors.

Domestic sales requirements. Require a company to sell a

certain proportion of its output locally, which amounts to a
restriction on exportation.

Manufacturing requirements. Require certain products to

be manufactured locally.
GATS
General Agreement on Trade in Services, is the first and the only
comprehensive multilateral discipline covering international trade in
Services. It was negotiated during Uruguay Round and came into
force along with other WTO agreements in January 1995.

A simple definition of services is that services are the tradables, which

are intangible, invisible, and incapable of storage and, therefore,
requiring simultaneous production and consumption. This description
does have its limitations as technical advancements have made it possible
for the services to be visible and capable of storage (for example, a foreign
consultant prepares a documentary film for a local company and sends it to
that company in the form of a video cassette)

As per WTO services are divided into 12 areas and sub divided into
164 areas

Business Services, Communication Services, Construction and

Engineering Services ,Distribution Services, Education
Services,Environmental Services, Financial Services, Health Services,
Tourism and travel Services, Recreation, cultural and sporting
Services, Transport Services, Other Services not included
MODES OF SUPPLY OF
SERVICES
Mode 1:(Cross - Border Supply) - This refers to the delivery of
service from the territory of one country to the territory of the other
country by crossing international border. examples : financial trading,
maritime transport and telecommunication services.

Mode 2:(Consumption Abroad) - In this method, consumer moves

to a foreign country to get services, such as tourism, education, medical
treatment etc. examples :such as repair and maintenance of aircrafts.

Mode 3:(Commercial Presence) - In this method, foreign service-

providing companies establish their local subsidiary offices (affiliates) to
supply services in the domestic market. Establishment of local branches
of foreign banks or insurance companies is example of services
provided through this mode.

Mode 4:(Movement of Natural persons) - In this mode, the service

supplying foreign person moves to the host territory on temporary
basis.
examples : business consultants, engineers and I.T. experts traveling to
some country for a short period of time.
The important principles falling in this category are Most Favoured
Nation principle (MFN), Domestic Regulations and Transparency.
MFN is the first principle and key instrument to prevent discrimination
amongst the trading partners and it is included in all the agreements of
the WTO.

First principle "Most Favoured Nation" may be confusing but the

principle itself is quite simple.
It means that if a country grants a favour (tariff
concession, favourable rules, formalities etc.) to any other
country, the same favour shall have to be granted to all
the member countries of the WTO (there are few
exceptions also to this rule).

Second important principle to be followed is that of

transparency which means that the information relevant to
Trade in Services regarding domestic policies, procedures, laws
and regulations should be notified to the WTO Secretariat to be
circulated amongst all other member countries.

Third principle is related to the right of each member to

regulate on the supply of services within her territory.
PAKISTAN BESTOWED MFN STATUS TO INDIA
 CASES SPECIFIC TO
THESE AGREEMENTS
CASE STUDY : TRIPS

EUROPEAN UNION & A MEMBER STATE : SEIZURE OF GENRIC

DRUGS IN TRANSIT

CASE STUDY : TRIMS

TEXTILE QUOTAS & BANGLADESH

CHINA MEASURES AFFECTING ENTERTANMENT PRODUCTS

INDIA MEASURES AFFECTING AUTOMOTIVE INDUSTRY

CASE STUDY : GATS

TOURISM IN EGYPT
RIPS : CASE STUDY
European Union and a Member State
Seizure of Generic Drugs in Transit

Short title:

Complainant: India
Respondent: European Union; Netherlands
Third Parties:

Agreements cited: GATT 1994: Art. V:2, V:4, V:5, V:7,

(as cited in request for X, V:3
consultations) Intellectual Property (TRIPS): Art.
2, 7, 8, 28, 31, 41, 42
Request for Consultations 11May2010
On 11 May 2010, India requested consultations with the European
Union and the Netherlands regarding the repeated seizures on
patent infringement grounds of generic drugs originating in India but
transiting through ports and airports in the Netherlands to third
country destinations.

India alleges that the measures at issue are, in several respects,

inconsistent as such and as applied, with the obligations of the
European Union and the Netherlands under Articles V and X of GATT
1994 and under various provisions of the TRIPs Agreement, namely,
Article 28 read together with Article 2, Articles 41 and 42, and Article
31 read together with the provisions of the August 2003 Decision on
TRIPs and Public Health.

On 28 May 2010, Brazil, Canada and Ecuador requested to join the

consultations. On 31 May 2010, China, Japan and Turkey requested
to join the consultations.

Subsequently, the European Union informed the DSB that it had

accepted the requests of Canada, China, Ecuador, India, Japan and
Turkey to join the consultations.
RIMS : CASE STUDY
END OF TEXTILE QUOTAS : AN IMPACT ON
BANGLADESH

OBJECTIVES-to secure the eventual integration of textiles and

clothing sector

This Arrangement was not negative for all developing

countries. For example the European Union (EU) imposed no
restrictions or duties on imports from the very poorest
countries, such as Bangladesh, leading to a massive
The End of Textiles Quotas:
A Case Study of the Impact on Bangladesh

Under the WTO Agreement on Textiles and Clothing (ATC), all textile
and clothing (T&C) quotas maintained by industrial countries under
the now defunct Multifiber Arrangement (MFA) would be removed
over the period 1995-2005.

During the 10-year transition period, the remaining quotas would

also be enlarged . Because these quotas are bilateral and the extent
of their restrictiveness varies from country to country, their removal
will alter competitiveness of individual exporting countries

Countries that have been facing more restrictive quotas will see their
competitive position improve after the quotas are removed, while
those that have been less restricted by quotas may find it difficult to
maintain their current market share
MORE TRIMS CASES
1.CHINA MEASURES AFFECTING TRADING RIGHTS
AND DISTRIBUTION SERVICES FOR CERTAIN
PUBLICATIONS AND AUDIOVISUAL ENTERTAINMENT
PRODUCTS.

2. INDIA MEASURES AFFECTING THE AUTOMOTIVE

ATS : TOURISM IN EGYPT
WHAT ROLE CAN TOURISM PLAY

EMLOYMENT
INFLOW OF FOREIGN CURRENCY
IMPROVED ECONOMIC CONDITION
EVALUATING THE LEVEL OF OPENESS EGYPT HAS FOR
TOURISM
WHAT ALL IS REQUIRED FOR A COUNTRY TO PROMOTE
TOURISM
IMPACTS OF GATS ON TOURISM DEPARTMENT