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World Trade Organization

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Michaël Dombar

on 4 March 2014

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Transcript of World Trade Organization

What is WTO ?
What is WTO ?
Key Facts
What WTO can do ?
The Main Changes of International Trade since 1990’s

World Trade Organization
Economics of Globalization
The WTO is an internatioal agreement of member nations committed principled free multinational trade through the reduction of barriers. As a multilateral organization, WTO covers goods, services and intellectual property rights.
the General Agreement on Tariffs and Trade (GATT)
159 members
Budget of 196 millions swiss francs
640 people
living costs and
living standards

disputes and
trade tensions

economic growth and employment

the cost of
business international

good governance

countries develop

the weak a stronger voice

the environment and health

to peace and stability
Six main missions
Administering WTO trade agreements

Acting as a forum for trade negotiations

Settling trade disputes

Reviewing national trade policies

Assisting developing countries in trade policy issues, through technical assistance and training programs

Cooperating with other international organization

General Council
Property Council
Services Council
Goods Council
Ministerial Conference
increase of worldwide trade

- Emergence of
new economic power
at the expense of Affluent

on international trade


- end of Cold War = increase of
in other sectors

of protectionism

of international trade agreements

- development of supply chain characterized by the
fragmentation of the production

the rise of

Reasons to explain that growth of international trade

Emergence of new economic power (mainly China & India)

The will of Emerging countries to make up for their delay
potential of customers
- measures to
attract investments
of Western companies

- International trade
grows faster
than worldwide

- D
ecrease of USA,Europe & Japan
in International
Trade at the benefit of China & India

Increase of the trade
between South-South at the
expense of the North-North

- Manufacturing products
agricultural products

Effects on International Trade
Changes in the international trade

Why change the rules?
Are there any solutions to?
M. Talal Abu-Ghazaleh:

President and Founder of Talal Abu-Ghazaleh Overseas Corporation (Jordan)
How reaffirmate the power and the legitimacy of WTO ?
M. Mark Halle
How a system created by few countries can keep going to work with partnership with much more countries and with different level of development and culture ?

Vice-President of the International Institute for Sustainable Development
"As seen the fact to make only multilateralism
is not a solution,the regionalism can be
a very good mean to fix problem. The best
thing can be to have a multilatéralism in
general and to allow some regionalist accord
(with the approvement of the WTO) for some
subjects such as the environment or society

Face to new international issues such as environment how the WTO can adapt its system ?
M. Pradeep Singh Mehta,
Secretary General of CUTS International (India)
CEO of JS Group Corporation (Tokyo)

Does the government and searcher are the best person to take decision for the private sector ?

M. Fujimori Yoshiaki

The Cancun Conference

The Fifth Ministerial Conference of the World Trade Organization, also known as the WTO Fifth Ministerial Conference and
abbreviated as MC5, was held at the Cancún Centro de Convenciones, Cancún, Mexico from September 10 to September 14, 2003.

The conference was aimed at forging
agreementon the Doha Development

The doha Conference
The Doha Development Round or Doha Development Agenda (DDA) is the current trade-negotiation round of the World Trade Organization.

Its objective is to lower trade barriers around the world, and thus facilitate increased global trade.

The most significant differences are between developed nations and the major developing countries.

There is also considerable contention.

Why negotiations broke down ?
The July 2008 negotiations broke down after failing to reach a compromise on agricultural import rules.

Though no significant progress has eventuated from the negotiations, the WTO seems determined to persist with them.

The Cancún ministerial collapsed
for differents reasons (4 points)

over the Singapore issues seemed
incapable of resolution
Second, it was questioned whether some countries had come to Cancún with a
intention to
Third, the wide
between developing and developed countries across
all topics was
a major obstacle
Fourth, there was some
criticism of procedure
Others conferences
The Doha Round began with a ministerial-level meeting in Doha, Qatar in 2001. Subsequent ministerial meetings took place in other places.

Dispute Settlement procedures
New agreements
World’s poorest nations
Cultural effects of trade
Trade in the environment
Morgane Caffin
Maxime Corel
Emilie Crespi
Pierre Delacourt
Alexandre Depardieu
Candice Désérable
Oumou Diallo
Michaël Dombar
Thanks you for your attention !
To Conclued ...
Day by day, WTO becomes more and more
by the adhesion of a lot of countries as China and Russian Federation.

It is becoming a interesting organization and forum for trade management which
phenomenal levels of wealth and property. (159 members and 25 observers)

Dispute Settlement procedures is the major advance of the WTO since this last years over the old GTTA system.
It’s a important parts of helping to maintain an orderly trade environment.

If governments failed to meet a WTO obligations, it will be instructed to correct the problem. A failure, WTO dispute settlement Body will be authorize retaliatory trade measures against the offender.
Efficiency = GATT = invoked 300 times in 48 years
WTO = invoked 300 times in 8 years

New agreements will permit to investigate on relationships between :

« trade and investment »

« trade and competition policy ».

Area which have significant impact upon trade flows and thus fall into the remit of the WTO.

Old Agreements as tariffs and intellectual property will have to be careful.

Some questions ?
The philosophy of Free Trade does not convince critics !
Its companies which control the trade. And where the money is, trade are. Money don't flow in developing countries but in developed countries !

Uganda Case

The international coffee houses controlled approximately 80 per cent of Uganda ’s coffee production.
By United Nation, 48 countries of poorest nations represent
only one half of one percent of world trade. Result of some agreements.
Uganda Coffee = 70 per cent of his earnings.
My prices will be yours !
Agreements issues

As agriculture, service, intellectual property, investments, competitions policy which often favorise large western companies at the expense of small producers in developing economies which are excludes from the major regional bloc and don’t have institutional framework necessary to be competitive.

=> Force every WTO member to guarantee patents on products for 20 years !

=> virtual monopoly to the company.

=> 80% of all patents in developing countries are held by multinational companies which maintain both their market share and their high prices.

=> balance of power away from governments in developing economies to the boardrooms of world’s major multinationals.

Environmentalists are against free trade philosophy ...

WTO fails to protect the environment and encourages its progressive degeneration.

His stances are not particularly clear !

WTO prefered to promote the dirty gazoline of Venezula for free trade issue than promote clean gazoline of USA.
Subject of dispute between the USA and the EU.

WTO was in favor of the USA because health and environmental issue are not clearly proven. They wait result for change.
Hormone - injected and genetically modified food case
Venezuela case:
is a political ideology that focus on the interests of a particular region or group of regions, whether traditional or formal. It is a disturbing fact which works against the global multilateral trade system.
For example, Europe and USA over a wide range of trade issue such as Bananas, GM foods, hormone-injected beef or even steel are subject of dispute.
"...being forced to embrace the free trade doctrine ..."
"... subject in trade disputes."

Fuzzy decision between government's choice and WTO ’s choice.

Who have the sovereign in matters ?

This is clearly difficult and complex issue.

To counter this phenomenon,

trade access
Doha round

Group 3
Jean-Marc Siroën

Profesor of Economics Science at University Paris-Dauphine

Point of view
Members of WTO
Full transcript