World Trade Organization (WTO)
WTO deals with the global rules of trade between nations. Its main function is to ensure that trade flows as smoothly, predictably and freely as possible.
The WTO was born out of negotiations, and everything the WTO does is the result of negotiations. The bulk of the WTO’s current work comes from the 1986–94 negotiations called the Uruguay Round and earlier negotiations under the General Agreement on Tariffs and Trade (GATT). The WTO is currently the host to new negotiations, under the ‘Doha Development Agenda’ launched in 2001.
Where countries have faced trade barriers and wanted them lowered, the negotiations have helped to open markets for trade. But the WTO is not just about opening markets, and in some circumstances its rules support maintaining trade barriers — for example, to protect consumers or prevent the spread of disease.
At its heart are the WTO agreements, negotiated and signed by the bulk of the world’s trading nations. These documents provide the legal ground rules for international commerce. They are essentially contracts, binding governments to keep their trade policies within agreed limits. Although negotiated and signed by governments, the goal is to help producers of goods and services, exporters, and importers conduct their business, while allowing governments to meet social and environmental objectives.
The system’s overriding purpose is to help trade flow as freely as possible — so long as there are no undesirable side effects — because this is important for economic development and well-being. That partly means removing obstacles. It also means ensuring that individuals, companies and governments know what the trade rules are around the world, and giving them the confidence that there will be no sudden changes of policy. In other words, the rules have to be ‘transparent’ and predictable.
Trade relations often involve conflicting interests. Agreements, including those painstakingly negotiated in the WTO system, often need interpreting. The most harmonious way to settle these differences is through some neutral procedure based on an agreed legal foundation. That is the purpose behind the dispute settlement process written into the WTO agreements.
While the WTO is driven by its member states, it could not function without its Secretariat to coordinate the activities. The Secretariat employs over 600 staff, and its experts — lawyers, economists, statisticians and communications experts — assist WTO members on a daily basis to ensure, among other things, that negotiations progress smoothly, and that the rules of international trade are correctly applied and enforced.
Activity-- Trade negotiations
The WTO agreements cover goods, services and intellectual property. They spell out the principles of liberalization, and the permitted exceptions. They include individual countries’ commitments to lower customs tariffs and other trade barriers, and to open and keep open services markets. They set procedures for settling disputes. These agreements are not static; they are renegotiated from time to time and new agreements can be added to the package. Many are now being negotiated under the Doha Development Agenda, launched by WTO trade ministers in Doha, Qatar, in November 2001.
Implementation and monitoring
WTO agreements require governments to make their trade policies transparent by notifying the WTO about laws in force and measures adopted. Various WTO councils and committees seek to ensure that these requirements are being followed and that WTO agreements are being properly implemented. All WTO members must undergo periodic scrutiny of their trade policies and practices, each review containing reports by the country concerned and the WTO Secretariat.
Dispute settlement
The WTO’s procedure for resolving trade quarrels under the Dispute Settlement Understanding is vital for enforcing the rules and therefore for ensuring that trade flows smoothly. Countries bring disputes to the WTO if they think their rights under the agreements are being infringed. Judgements by specially appointed independent experts are based on interpretations of the agreements and individual countries’ commitments.
Building trade capacity
WTO agreements contain special provision for developing countries, including longer time periods to implement agreements and commitments, measures to increase their trading opportunities, and support to help them build their trade capacity, to handle disputes and to implement technical standards. The WTO organizes hundreds of technical cooperation missions to developing countries annually. It also holds numerous courses each year in Geneva for government officials. Aid for Trade aims to help developing countries develop the skills and infrastructure needed to expand their trade.
Outreach
The WTO maintains regular dialogue with non-governmental organizations, parliamentarians, other international organizations, the media and the general public on various aspects of the WTO and the ongoing Doha negotiations, with the aim of enhancing cooperation and increasing awareness of WTO activities.
Organizations mentioned in WTO legal texts
Cooperation between these organizations and the WTO is specifically mandated in WTO agreements, ministerial declarations or decisions, or General Council decisions
The WTO can ...
1 ... cut living costs and raise living standards
2 ... settle disputes and reduce trade tensions
3 ... stimulate economic growth and employment
4 ... cut the cost of doing business internationally
5 ... encourage good governance
6 ... help countries develop
7 ... give the weak a stronger voice
8 ... support the environment and health
9 ... contribute to peace and stability
10 ... be effective without hitting the headlines
Supporting International Organisation
Food and Agriculture Organization (FAO)
Codex Alimentarius (joint FAO/WHO)
http://www.fao.org
International Labour Organization (ILO)
www.ilo.org
International Monetary Fund (IMF)
www.imf.org
International Plant Protection Convention (IPPC) (hosted by FAO)
https://www.ippc.int
International Telecommunication Union (ITU)
www.itu.int
International Trade Centre (ITC)
www.intracen.org/
Organization for Economic Cooperation and Development (OECD)
www.oecd.org/
United Nations (UN)
www.un.org/en/
United Nations Conference on Trade and Development (UNCTAD)
www.unctad.org/en
United Nations Environment Programme (UNEP)
www.unep.org/
World Bank (WB)
www.worldbank.org/
Word Customs Organization (WCO)
www.wcoomd.org
World Health Organization (WHO)
www.who.int/
World Organization for Animal Health (OIE)
www.oie.int/
World Intellectual Property Organization (WIPO)
www.wipo.int/
Other Supporting Organizations
African, Caribbean and Pacific Group of States (ACP)
African Development Bank (ADB)
Arab Authority for Agricultural Investment and Development (AAAID)
Asian and Pacific Coconut Community (APCC)
African Union (AU)
Arab Maghreb Union (AMU)
African Intellectual Property Organization (OAPI)
African Regional Industrial Property Organization (ARIPO)
AgenceIntergouvernementale de la Francophonie (AIF)
AgenceUniversitaire de la Francophonie (AUF)
ANDEAN Community
Arab Monetary Fund (AMF)
Asia-Pacific Economic Cooperation (APEC)
BanqueOuestAfricaine de Développement (BOAD)
Common Market for Eastern and Southern Africa (COMESA)
Convention on Biological Diversity (CBD)
Cooperation Council for the Arab of States of the Gulf (GCC)
Common Fund for Commodities (CFC)
Caribbean Community Secretariat (CARICOM)
Central African Economic and Monetary Community (CAEMC)
Commonwealth Secretariat
Caribbean Community (CARICOM)
Caribbean Regional Negotiating Machinery (CNM)
Caribbean Regional Organization for Standards and Quality (CROSQ)
Central American Common Market (CACM)
CommunautéEconomique des Etats de l'AfriqueCentrale (CEEAC)
Central American Institute of Public Administration (ICAP)
Conference of Ministers of Agriculture of West and Central Africa (CMA)
European Free Trade Association (EFTA)
Economic Community of West African States (ECOWAS)
Economic Cooperation Organization (ECO)
Economic Research & Statistics
Economic and Social Commission for Asia and the Pacific (ESCAP)
Economic and Social Commission for Western Asia (ESCWA)
Economic Commission for Africa (ECA)
Environmental Protection Agency
European Patent Office (EPO)
FAO Consultative Cttee on Surplus Disposal
FAO/WHO Joint Codex Alimentarius Commission (Codex)
Food Aid Convention
Food and Agriculture Organization (FAO)
Gulf Organization for Industrial Consulting (GOIC)
Global Fund
International Agency for Trade Information and Cooperation (AITIC)
Inter-American Development Bank (IADB)
Inter-American Institute for Cooperation in Agriculture (IICA)
International Agency for Trade Information and Cooperation (AITIC)
International Cotton Advisory Committee (ICAC)
International Grains Council (IGC)
International Monetary Fund (IMF)
International Organization for Standardization (ISO)
International Organization for Vine and Wine (OIV)
International Plant Protection Convention (IPPC)
International Portal on Food Safety, Animal & Plant Health (IPFSAPH)
International Trade Centre (ITC)
Inter-American Development Bank (IADB)
Inter-Arab Investment Guarantee Cooperation (IAIGC)
International Monetary Fund (IMF)
Islamic Development Bank (IsDB)
Inter-American Development Bank / Institute for the Integration of Latin America and the Caribbean
International Institute for Administrative Science (IIAS)
International Labour Organization Administrative Tribunal (ILOAT)
International Tribunal for the Law of the Sea (ITLOS)
Inter-Parliamentary Union (IPU)
Institute for Training & Technical Cooperation
Indian Ocean Commission (IOC)
Institute for the Integration of Latin America and the Caribbean (INTAL)
Integrated Framework (IF)
International Federation of Inspection Agencies (IFIA)
International Development Law Organization (IDLO)
International Electrotechnical Commission (IEC)
International Organization for Standardization (ISO)
International Plant Protection Convention (IPPC)
International Telecommunication Union (ITU)
International Trade Canada
Institute for the Integration of Latin America and the Caribbean (IADB/INTAL)
International Competition Network (ICN)
International Plant Genetic Resources Institute (IPGRI)
International Union for the Protection of New Varieties of Plants (UPOV)
International Vaccine Institute (IVI)
Joint Vienna Institute (JVI)
Joint Integrated Technical Assistance Programme (JITAP)
Joint UN Programme on HIV/AIDS (UNAIDS)
Latin American Economic System (SELA)
Latin American Association for Integration (ALADI)
League of Arab States (LAS)
Latin American Economic System (SELA)
Mercado ComúndelCono Sur (MERCOSUR)
New Partnership for Africa's Development (NEPAD)
Organization for Economic Cooperation and Development (OECD)
OECD Development Assistance Committee
Organisation of Eastern Caribbean States (OECS)
OrganisationInternationale de la Francophonie (OIF)
Organization of American States (OAS)
Organization of Arab Petroleum Exporting Countries (OAPEC)
Organisation of Islamic Cooperation (OIC)
Office of the UN High Commissioner for Human Rights (OHCHR)
Organization for Economic Cooperation and Development (OECD)
Organization for the Harmonization of Business Law in Africa (OHADA)
Pacific Islands Forum (PIF former SPF- South Pacific Forum)
Permanent Secretariat of the General Treaty on Central American Economic Integration (SIECA)
Permanent Interstate Committee for Drought Control in the Sahel (CILSS)
Regional International Organization for Plant Protection and Animal Health (OIRSA)
Rotterdam Convention
Southern African Development Community (SADC)
South Centre (SC)
Stockholm Convention
Swedish International Development Cooperation Agency (SIDA)
UN United Nations Environment Programme (UNEP)
UN Economic Commission for Europe (UNECE)
UN Conference on Trade and Development (UNCTAD)
UN Industrial Development Organization (UNIDO)
United Nations (UN)
UN Conference on Trade and Development (UNCTAD)
UN Development Programme (UNDP)
UN Economic and Social Commission for Asia and the Pacific (ESCAP)
UN Economic Commission for Africa (UNECA)
UN Economic Commission for Latin America and the Caribbean (ECLAC)
UN System Chief Executives Board for Coordination (UNCEB)
UN Economic & Social Council (ECOSOC)
UN High-Level Committee on Programmes (UNHLCP)
UNAIDS
UN Children's Fund (UNICEF)
UN Commission on International Trade Law (UNCITRAL)
United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP)
World Tourism Organization (UNWTO)
World Bank (WB)
World Food Programme (WFP)
World Health Organization (WHO)
World Organization for Animal Health (OIE)
West African Economic and Monetary Union (WAEMU)
World Intellectual Property Organization (WIPO)
World Bank Institute (WBI)
World Customs Organization (WCO)
