PGDM-IB

By:

Abhinav Kumar(MBA/4559/09)

Ankita Singh(MBA/4557/09)

Rajeev(MBA/4547/09)

Mandeep (MBA/4501/09)

Agenda

About WTOAbout WTO

Functions of WTO Functions of WTO

The WTO StructureThe WTO Structure

Principles of WTO Principles of WTO

Objective of WTOObjective of WTO

Q & AQ & A

Key Subjects in WTOKey Subjects in WTO

About WTO

World Trade Organization

Created by : Uruguay Round negotiations (1986-94)Created by : Uruguay Round negotiations (1986-94)

Membership :153 countries Membership :153 countries

2007 Secretariat Staff : 6252007 Secretariat Staff : 625

Head : Director-General, Pascal LamyHead : Director-General, Pascal Lamy

Established: 1 January 1995Established: 1 January 1995

Location :- Geneva, SwitzerlandLocation :- Geneva, Switzerland

Objectives

Taking positive steps to ensure that developing countries.Taking positive steps to ensure that developing countries.

Introduce sustainable development.Introduce sustainable development.

Raising standard of living and income .Raising standard of living and income .

The WTO reiterates the objectives of GATT . The WTO reiterates the objectives of GATT .

GATT: PREDECESSOR OF WTO

Began in 1986 in Uruguay, so it is sometimes called the Uruguay round

Concluded with an agreement 8 years later in 1994.

Agreement signed in Marrakech, Morocco

Agriculture was included for the first time in an international trade agreement

WTO created in 1995 as one result of the negotiations

GATT: PREDECESSOR OF WTO

GATT becomes WTO (1995)• Acts as a forum for trade negotiations

• Administers trade agreements

• Settles trade disputes

• Reviews national trade policies

• Assists developing countries (technical assistance and training programs)

• Cooperates with other international organisations

WTO: STRUCTURE

Ministerial Conference

General Council Dispute Settlement Body Trade Policy Review Body

Councils Council for Trade in Goods Council for Trade in Services Council for TRIPs

Committees and other subsidiary bodies

Decision-making

THE WTO STRUCTURE

Ministerial conference

Ministerial conference

SecretariatSecretariat

Dispute Settlement BodyDispute Settlement Body General CouncilGeneral Council

Director GeneralDirector General

Trade Policy Review BodyTrade Policy Review Body

WTO FUNCTIONS

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Administering and Implementing the multilateral and plurilateral trade agreements.

Administering and Implementing the multilateral and plurilateral trade agreements.

Acting as a forum for multilateral trade negotiations . Acting as a forum for multilateral trade negotiations .

Seeking to resolve trade disputes. Seeking to resolve trade disputes.

Overseeing national trade policies.Overseeing national trade policies.

Cooperating with other international institutions.Cooperating with other international institutions.

Maintaining trade related database. Maintaining trade related database.

Acting as a watchdog of international trade .Acting as a watchdog of international trade .

Technical assistance and training for developing countries.Technical assistance and training for developing countries.

THE WTO CONFERENCES

Seattle – A Rough start (1999)

Doha – What happened? (2001)

Cancun – What happened? (2003)

WHAT HAPPENED AT SEATTLE?

• Most of the world’s citizens first heard about the WTO at the Seattle “Millennium Round” (popularly known as the “Battle of Seattle”), when talks ended in failure amid massive street demonstrations

• The agenda for Seattle was ambitious: agriculture, services, intellectual property rights, government procurement (contracts), and competition rules, to name a few.

DOHA

• This round is known as the Millennium Round, the Doha Round, and the Development Round

• Political environment – there are now 148 WTO members – about twice the GATT round

• Progress on regional agreements

• Countries negotiate only what they would do anyway

WHAT HAPPENED AT DOHA? (DEVELOPMENT ROUND)

• The attempts to expand the coverage of the WTO agreements became more apparent with the launching of the Doha Development Agenda (DDA) at the WTO’s 4th Ministerial Conference in Doha, Qatar in 2001.

• In a nutshell, the DDA seeks to start negotiations on non-agricultural tariffs, trade and environment, WTO rules like anti-dumping and subsidies, investment, competition policy, trade facilitation, transparency in government procurement, and intellectual property. The deadline for negotiations was on Jan. 1, 2005.

DOHA ROUND AGENDA

• Agricultural subsidies

• Conflicts between trade liberalization and

• Environmental protection

• Competition policy

• Foreign investment protection

• Trade remedy laws (subsidies and dumping)

WHAT HAPPENED AT CANCUN?

• Based on a draft ministerial declaration that was submitted by the WTO director general to ministers last ug. 31, 2003, moves by industrialized countries to include other non-trade issues at the Cancun Conference are facing stiff opposition from selected underdeveloped countries.

• The call of third world governments to the monopoly-capitalist governments, especially those of the United States and the European Union, to made good their promise to remove domestic and export subsidies enjoyed by their homeland agriculture; and the drive of the monopoly-capitalist powers to push for even further liberalization in areas such as foreign investment

Principles of WTO

THE WTO PRINCIPLES

Rule Based TradingSystem

Treatment For LDCs

Competition On BoP

Environment Protection

Transparency

Dismantling Trade

Barriers

Principles

Of

WTO

MFN Treatment

National Treatment

Free Trade

Principle

Key Subjects in WTO

KEY SUBJECTS IN WTO

Health & safety measuresHealth & safety measures

Helping least developed and food importing countriesHelping least developed and food importing countries

Textile and Clothing Textile and Clothing

AgricultureAgriculture

BENEFITS FROM WTO

• The system helps promote peace

• Disputes are handled constructively

• Rules make life easier for all

• Freer trade cuts the costs of living

• It provides more choice of products and qualities

• Trade raises incomes

• Trade stimulates economic growth

• The basic principles make life more efficient

• Governments are shielded from lobbying

• The system encourages good government21

Thank You