World Trade Organization (WTO) Geena Elghossain, Jessi Heyer

What is the WTO? What is its purpose? global organization concerning trade between nations creates agreements negotiated and signed by member nations agreements intended to help exporters, importers, producers with business

WTO Documents agreements are lengthy and vary, but all follow these principles: non-discrimination lowering trade barriers transparency more competition help developing countries protect environment

Then and Now WTO est. January 1, 1995 Born from GATT Uruguay Round held from 1986-1994

GATT General Agreements on Tariffs and Trade created trade rules to reduce protectionism Uruguay Round involving 120 member nations negotiated framework of GATT and ended up creating WTO

WTO v. GATT GATT dealt mainly with trade of goods WTO deals with trade, investment, standards, safeguards, subsidies, intellectual property, etc. WTO is an effective system of settling economic disputes

Membership 160 members, 24 “observer” governments (countries who are negotiating their membership) Joining through 4-step “accession process” Gov’t applying must tell all information about their trade and economic policies discuss benefits for other WTO members draft membership treaty decision (⅔ WTO members must vote in favor)

Leadership Ministerial Council meets every 2 years top decision making body all members General Council highest decision making body in Geneva meets regularly representatives from every member nation can act on behalf of ministerial council

Advantages of Membership promote peace handle disputes properly sets clear rules to avoid future problems free trade cuts the cost of living provides choices of products and qualities trade raises incomes and economic growth governments are shielded from lobbying system encourages good governments

Disadvantages of Impact “race to the bottom” seeks privatization of programs and services (eg. education) which poor cannot pay for harms environment deregulates industries outlaws environmental standards acts poorer countries underrepresented

International Impact increases global inequality rich countries exploit the poor for cheap labor Environmental neglect Increasing global connectedness and reliance

China Impact annual GDP increased 10.5% since accession more than 200,000 people rose above poverty line grew from 6th to 2nd largest trading country in world abolished over 3,000 central gov’t laws to follow WTO rules

Russia Impact consistently faces concerns regarding Russian excessive import duties and restrictive trade practices membership increased Foreign Direct Investment (FDI)

UK Impact one of the WTO's major contributors seeks more open market and regulation of protectionist measures wants to increase electronic trade prominence no big issues

Iran -currently an observing nation not a full-fledged member

Nigeria -economy growing by almost 7% -making incentives for foreign and domestic investment (all of which is related to taxes/tariffs)

Mexico -many industries especially tourism and farming are being undermined by WTO laws -people want Quantitative Restrictions again - QRs make it illegal to sell cheap alternatives. The WTO overruled QRs so now a lot of people are selling cheap farmed goods -WTOs laws making it difficult for Mexico's major income sources

Works Cited http://204.200.203.35/analysis/wto/cancun/plan_cancun.htm https://www.wto.org/english/tratop_e/tpr_e/s247_sum_e.pdf http://www.cid.harvard.edu/cidtrade/gov/ukgov.html http://www.themoscowtimes.com/business/article/eu-escalates-wto-dispute-with-russia-over-import-duties-as-trade-ties-falter/516623.html http://www.ictsd.org/downloads/2011/12/a-decade-in-the-wto-implications-for-china-and-global-trade-governance.pdf http://www.globalexchange.org/resources/wto/oppose https://www.wto.org/english/thewto_e/whatis_e/tif_e/org2_e.htm https://www.wto.org/english/thewto_e/whatis_e/tif_e/org3_e.htm http://moci.gov.af/en/page/8771 https://www.wto.org/english/thewto_e/whatis_e/what_stand_for_e.htm https://www.wto.org/english/thewto_e/whatis_e/whatis_e.htm