WTO Legal Provisions

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    Main legal provisions

    WTO agreement contains special provisions for developing countries.

    These provisions are referred to as special and differential treatment provisions.

    The WTO Agreements also contain special provisions which give developed countries the

    possibility to treat developing countries more favourably than other WTO Members

    The special provisions include:

    longer time periods for implementing agreements and commitments,

    measures to increase trading opportunities for these countries

    provisions requiring all WTO members to safeguard the trade interests of developing countries,

    and support to help developing countries build the infrastructure for WTO work, handle disputes,and implement technical standards

    The Agreement Establishing the WTO:

    Economic development as one of the objectives of the WTO.

    raising standards of living

    ensuring full employment large

    steadily growing volume of real income.

    effective demand

    expanding the production of and trade in goods and services.

    (GATT)

    Goods protect their markets from imports and balance-of-payments difficulties.

    Preferential treatment for developing countries. (grant trade concessions to developingcountries they should not expect the developing countries to make matching offers in return)

    Enabling Clause for developing countries (goods):

    Officially called the Decision on Differential and More Favourable Treatment,

    Generalized System of Preferences(GSP). Under the Generalized System of Preferences,developed countries offer non-reciprocal preferential treatment (such as zero or low duties onimports) to products originating in developing countries.

    Preference-giving countries unilaterally determine which countries and which products areincluded in their schemes,

    regional arrangements:number of developing countries exchange trade concessions amongthemselves.(eg:EFTA)

    General Agreement on Trade in Services (GATS):

    aims at increasing the participation ofdeveloping countries in world trade.

    To strengthening the domestic services, competitiveness of developing countries through accessto technology and improving their access to information networks.

    restrict trade due to balance-of payment.

    http://www.wto.org/english/tratop_e/region_e/region_e.htmhttp://www.wto.org/english/tratop_e/region_e/region_e.htm
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    Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS):

    longer time-frameto implement all the provisions of TRIPS Agreement and encouragestechnology assistance.

    Eg:Protection of human safety or health

    The largest number of technical regulations and standards are adopted to aim at protectinghuman safety or health. Numerous examples can be given. National regulations that requirethat motor vehicles be equipped with seat belts to minimise injury in the event of roadaccidents, or that sockets be manufactured in a way to protect users from electric shocks, fallunder the first category. A common example of regulations whose objective is the protectionof human health is labelling of cigarettes to indicate that they are harmful to health

    Waivers:

    allows developing country members to provide preferential tariff treatment to products of leastdeveloped countries.