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WTO & its Implications
WTO: World Trade Organization
A Multi-lateral organization which facilitates the free flow of goods

and services across the world and encourages fair trade among
nations.
The result is that the global income increases due to increased trade
and there is supposed to be overall enhancement in the prosperity
levels of the member nations.
1947: GATT (General Agreement on Tariffs and Trade)- Reduce

tariffs as financial barriers to trade.
1995: WTO (World Trade Organization) - trade in goods +

agriculture + services + intellectual property -binding trade
disputes procedure ; Facilitate global corporate transactions.
Barriers to trade of goods = Tariffs
Barriers to trade in services = Measures ( Regulations, Laws,

Administrative Rulings)
148 members (3/4 developing countries)
Ministerial conference (every 2 years)
General Council (monthly)
oversees day to day operations
directs the dispute settlement system
incharge of the trade policy review mechanism
WTO: purposes
To assist the free flow of trade by facilitating the removal of trade tariffs
or other border restrictions on the import and export of goods and
services
- Multilateral trade agreements (MLAs)
To serve as a forum for trade negotiations
pg. 1 WTO V.Mythily , JCE
- Most favoured nation clause

- National treatment clause
- exceptions: poor countries
To settle trade disputes based upon an agreed legal foundation
Principal Objectives of WTO
To help trade flow smoothly, freely, fairly and predictably;
1) Trade without Discrimination:
Trade without discrimination through the application of Most Favoured

Nation (MFN) Principle. As per MFN clause, a member nation of WTO
must accord (give) the same preferential treatment to other member
nations which it gives to any other member nation.
2) Raising The Standard Of Living:
Raising the standard of living and incomes and ensuring full employment
of the citizens of its member nations.
3) Optimum Use of World's Resources:
Ensuring optimum use of world's resources and, thereby, expanding

world production and trade of goods as well as services.
4) Settlement of Disputes:
Settlement of disputes among members through consultation,

conciliation, and as a last resort through dispute settlement procedures.
5) Growth of Less Developed Countries (LDCs):
It recognizes the need for positive efforts designed to ensure that

developing countries especially the LDCs, secure a better share of growth
in international trade.
6) Protection of Environment
7) Enlargement of Production and Trade
8) Employment
WTO: Functions
To meet its objective, WTO performs the following Functions
Administering W.T.O Trade Agreements.
Acting as a Forum for trade negotiations.
Settling and Handling Trade disputes
Monitoring and reviewing national trade policies,
Assisting the member in trade policies through technical assistance and

training programmes
Technical assistance and training for developing countries.
Co-operation with other International Organization
Implementation Of Reduction In Trade Barriers
Assistance to IMF and IBRD to achieve greater coherence in global

economic policy.
Administration of Agreements- WTO shall look after the administration of

29 agreements (signed at the conclusion of Uruguay Round in 1994),
plus a number of other agreements, entered into after Uruguay Round.
Examination of Trade Policies- WTO shall regularly examine the foreign

trade policies of member nations, to see that such policies are in line
with WTOs guidelines.
Consultancy Services
Collection Of Foreign Trade Information
WTO Principles:
1. Non-Discrimination
This is a very simple principle which advocates that every member

country must treat all its trading partners equally without any
discrimination, meaning that if it offers any special concession to one
trading partner, such concessions need to be extended to its other
trading partners as well in entirely.
2. Reciprocity
This Principle reflects that any concession extended by one country to

another need to be reciprocated with an equal concession such that there
is not a big difference in the countries Payments situation. This was
further relaxed for developing countries facing severe Balance of
Payments crisis.
3. Transparency
The multilateral trading system is an attempt by governments to make

the business environment stable and predictable. Thus this principle
ensured that there is lots of transparency in the domestic trade policies
of member countries.
WTO : Key principles
Non discrimination
Transparency: all regulations accessible and open to appeal
Temporary exemption: to MFN and NT i.e., on short-term economic crises
Lock-in effect: once a commitment is made, it is very difficult to withdraw

it
Following are the ten ways in which the organization affects the world
Trade and its member countries
1. The system helps promote peace
2. Disputes are handled constructively
3. Rules make life easier for all
4. Freer trade cuts the costs of living
5. It provides more choice of products and qualities
6. Trade raises incomes
7. Trade stimulates economic growth
8. The basic principles make life more efficient
9. Governments are shielded from lobbying
10. The system encourages good government
WTO Agreements
The WTO Agreement - an integrated, more viable and durable

multilateral trading system encompassing the General Agreement on
Tariffs and Trade, the results of past liberalization efforts, and all of
the results of the Uruguay Round of Multilateral Trade Negotiations
(Preamble, para.4).
The agreement
defines
the
functions
of
the
organization,
its
structure, the qualifications for membership, and decision-making

procedures and requirements.
It also calls for efforts to improve the coherence of global economic

policy-making. However, the WTO Agreement itself contains no
substantive trade policy obligations: these are to be found only in the
annexes.
WTO: The legal framework:
Annex 1 contains most of the detailed rules, and is divided into three
sections:
1A, containing the revised General Agreement on Tariffs and

Trade, the other agreements governing trade in goods, and a
protocol which ties in individual countries specific commitments
on goods;
1B, the General Agreement of Trade in Services, texts on

specific services sectors, and individual countries specific
commitments and exemptions; and
1C, the Agreement on Trade-Related Aspects of Intellectual

Property Rights.
Collectively, the agreements included in Annex 1 are referred to as the

Multilateral Trade Agreements, since they comprise the substantive
trade policy obligations which all the members of the WTO have
accepted.
Annex 2 sets the rules and procedures for dispute settlement.

Annex 3 provides for regular reviews of developments and trends in
national and international trade policy.
Annex 4 covers four plurilateral agreements (later reduced to two)

which are within the WTO framework but which have limited
membership.
WTO : Multilateral trade agreements (MLAs)
Agriculture Agreement
Agreement on Technical Barriers to Trade (TBT)
Agreement on Sanitary and Phytosanitary Measures (SPS)
Agreement on Trade Related Aspects of Intellectual Property Rights

(TRIPS)
General Agreement on Trade in Services (GATS)
The main agreements of WTO are

1) Agreement On Agriculture (AOA) :Objective: to increase market orientation in agriculture trade.
It provides for commitments in the area of market access, domestic

support and export competition.
The members have to transform their non-tariff barriers like quotas into
equivalent tariff measures.
2)
Agreement
on
Trade
In
Textiles
And
Clothing
(Multi
Fibre
Arrangement):
This provides for phasing out the import quotas on textiles and clothing
in force under the Multi - Fibre Arrangement since 1974, over a span of
10 years i.e. by 1st January, 2005.
3) Agreement on Manufactured Goods
The developed countries agreed to reduce tariffs on manufactured goods

other than textiles by 40%. The tariffs would now be brought down to an
average of 3.8% from earlier 6.3%.
4) Agreement on TRIMs
An Agreement on Trade Related Investment Measures (TRIMs) calls for

introducing national treatment of foreign investments and removal of
quantitative restrictions.
Certain investment measures that discriminate

investment were to be withdrawn such as
against
foreign
Obligation on foreign investors to use local inputs.

To produce for exports as a condition to obtain imported inputs.
To meet export obligation.
Employment of local people.
Technology Transfer requirements.
Use of specific production technology.
Local equity requirement.
Control on use of imported inputs.
The member nations of WTO including India have withdrawn the
above measures to encourage trade related investment.
Positive Impact of TRIMs:TRIMs agreement have positive impact on developing countries as foreign
investment is treated at par with domestic investment.
For Eg. TRIMs agreement will encourage foreign firms to invest in India.
This will generate a good amount of competition. In order to survive, Indian
firms will have to be proactive with competitive strategies, which not only would
improve their performance, but also would provide better service to customers.
Negative Impact of TRIMs:Developing countries (including India) have withdrawn a number of
measures that restricts foreign investments. TRIMs agreement also favours
developed nations. MNCs from developed countries with their huge financial
and technological resources can displace Indian industry and play a dominant
role. Besides foreign firms will be free to remit profits, dividends, etc. to parent
company. This will cause foreign exchange drain on developing nations.
5) Agreement on TRIPs
Trade Related Intellectual Property Rights (TRIPs) pertain to Patents and
Copyrights. Whereas earlier on process patents were granted to food,
medicines, drugs and chemical products, the TRIPs Agreement now provides
for granting product patents also in all these areas.
6) General Agreement On Trade And Services (GATS)
For the first time, trade in services like banking, insurance, travel,
maritime transportation, mobility of labour etc. has been brought within the
ambit of negotiations.
The General Agreement on Trade in Services (GATS) provides a
multilateral framework of principles and services which should govern trade in
services under conditions of transparency and progressive liberalization.
GATS has two major requirements
1) To grant the Status of Most Favoured Nation (MFN) to other member nations
on non-discriminate basis with regard to trade in services
and
2) Maintenance of transparency. There is also commitment for progressive
liberalization.
The inculsion of Services in agreement shows their growing importance
in world economy. Under GATS, India has made commitment for 33
activities where foreigners are allowed to enter. The choice of activities have
been based on national benefit like impact on capital inflows, technology,
employment etc.
Improvements in the quality of service that will emerge from
liberalisation and increased competition will contribute to increase in efficiency,
productivity, consumer welfare and growth in developing countries. No doubt
there is a wide difference in the quality of services rendered between the
developed and developing countries. The inclusion of trade in service sector is
likely to be more beneficial to developed countries than to developing countries.
Positive Impact of GATS:GATS provide an opportunity not only to avail services from other
member countries but also to increase the quality of its own services due to
competition. Foreign firms are allowed in number of service sectors. Through
joint ventures or partnership foreign firms may enter in India. This will enable
Indian firms to expand and diversify their service activities with professional
expertise and foreign support.
In many developing countries, sectors like travel and tourism, hotels,
retail trading, banking, insurance, education and communication are open for
international competition.
Negative Impact of GATS:In GATS agreement member nations have to open up the services sector
for foreign companies. Developing countries including India have opened up the
services sector in respect of banking, insurance, communication, telecom,
transport etc. to foreign firms. Developing countries may find it difficult to
compete with giant foreign firms due to lack of resources and professional
skills.
7) Disputes Settlement Body
The Disputes Settlement Body (DSB) set up under WTO seeks to plug the
loopholes and provide security and predictability to the multilateral trading
system.
In addition to the above, the Uruguay Round also reached agreements on
the understanding and implications of certain articles of GATT 1947, viz, pre-
shipment inspection, rules of origin, import licensing, anti - dumping measures

and countervailing duties, safeguards, subsidies etc.
WTO rules and Public health
Goods: GATT
Technical barriers to trade: SPS, TBT
Intellectual property and trade : TRIPS
Services: GATS
Right to regulate trade : TPRM
Trade dispute resolution
Specific Health Issues and Most relevant WTO Agreements
Progressive Liberalization and Health Policy
WTO (WHO) members will face decisions whether to liberalize trade in

services through market access and national treatment commitments,
including trade in health-related services
GATS 2000 round of liberalization negotiations potentially affects health

policy in two areas:
Evaluating requests from other countries for, and offers to other
countries of, specific commitments for market access and national
treatment
Negotiations on GATS rules

WTO AGREEMENTS ON TRADE IN SERVICES IMPLICATIONS
General Agreement on Trade in Services (GATS)
GATS is one of the most important trade agreements to emerge from the
Uruguay Round negotiations that created the World Trade Organization
(WTO)
Services are one of the fastest growing areas for many economies
Services of many kinds play important roles in the protection and
promotion of health
GATS provides the multilateral legal framework for liberalizing
international trade in services
GATS creates numerous challenges for people working in public health

GATS is a complex legal agreement that borrows from existing
international trade law to create new rules for services
GATS has become the subject of significant controversy, especially
with respect to how the Agreement will affect health-related
services and health policy
GATS covers policies, practices and laws that affect trade in services
among WTO members.
GATS contains general obligations and disciplines, such as mostfavored-nation treatment, that apply to all measures affecting services
within the scope of the Agreement.
GATS allows WTO members to make specific commitments on market

access and national treatment and to tailor those commitments to
national policy ends.
GATS sets the objective of progressive liberalization of trade in services,

meaning that WTO members will negotiate over new specific
commitments in service sectors subject to the Agreement.
The process of progressive liberalization under GATS requires the active

involvement of health policy-makers.
Before making any specific commitment under GATS, governments

should ensure they have thoroughly assessed the implications of opening
health systems to foreign services and the potential costs and benefits of
making legally binding commitments.
Countries may wish to experiment through autonomous liberalization of

certain health related services, and only make commitments under GATS
after a careful assessment of its effects.
GATS Four ways of supplying services as trade in services:

MODE
MEANING
Mode 1
Trade takes place from-
Cross-border
trade
EXAMPLE
Telehealth,
the territory of country Laboratory

A into that of B
Medical
services,
Transcribing,
Research
and
Experimental development.
- Passing of information by means of fax
or email
Mode 2
Consumption
abroad
Services
consumed
by-
Tourism,
Medical
and
nursing
nationals of country A ineducation provided to foreign students

territory of country B
and trainees.
-
Consumers
who
cross
borders
to
obtain medical treatment

Mode 3
Commercial
presence
service
country
supplier
crosses
Movement of
natural
thea European company in Ecuador
border to establish and

provide
service
country B
Mode 4
of- Establishment of a private hospital by
Temporary
in
Health insurance companies, Physician

Practices, Diagnostic facilities , Clinics
movement- Doctors , nurses and allied health
from country A to B to professionals

supply a service
persons
moving
to
another
country to temporarily provide their

services
Managing the GATS Process from a Health Policy Perspective: Principles
Liberalized trade in health-related services should lead to an optimal

balance between preventive and curative services
Involvement of both private industry and civil society is important to

ensure that liberalization of health-related services promotes
participatory health policy.
Improving access and affordability of health-related services should be a

goal of liberalization of trade in health-related services.
The status of health as a human right should inform and guide

proposals to liberalize trade in health-related services.
Key Questions
To what extent is the sector already open to foreign service providers, and
what have been the regulatory concerns posed by existing foreign
competition?
Do the commitments fit the strategies and directions identified by

national health policy?
What effect would the commitments have on government-provided health

services?
What regulatory burdens would the commitments create for the

government in health-related sectors?
Would the commitments eliminate or weaken regulatory approaches

necessary for the protection and promotion of health?
What evidence and principles can be brought to bear to analyze the

possible effect of the commitments?
Can the commitments be crafted both to protect health policy and to

liberalize trade progressively?
Trade related aspects of Intellectual Property Rights (TRIPS)

Intellectual property Rights seek to protect the interest of inventors and
developers of products and processes from being copied by others.
It is also one of the WTO multilateral agreements having a major impact
on health sectors in member countries because it affects access to medicines
and medical equipment in several ways:
The impact of intellectual property rights under TRIPS will influence patent
protection of medicines and other health-related products, and therefore the
prices of such products are expected to rise.
The ability to produce generic versions of patented medicines is limited due to
patent restrictions and restrictions on reverse engineering.
TRIPS has an impact on allocation of research and development funds.
Claims were made that TRIPS contributed towards a boost in research and
development activities in the pharmaceutical sector of developed economies, in
contrast to what was originally promised from TRIPS. Those avenues of impact
can lead to issues related to accessibility and affordability of medicines, and
can thus undermine public health in many developing countries.
Agreement on TRIPs cover the following areas: Copyright and related
rights, trade marks including services marks, industrial designs,
geographical indications, patents, layout designs of integrated circuits
and protection of undisclosed information or trade secrets.
Disputes over TRIPs agreement are to be governed by WTO dispute
settlement procedures. TRIPs agreement desires to reduce distortions and
impediments to international trade while protecting intellectual property rights.
Positive Implications of TRIPs AGREEMENT :1) Patents:Under Agreement on TRIPs, protection is given to patents, copyrights,
layout designs etc.
For Eg.:- when patented drugs get exclusive marketing rights for certain
period, and if some other firm wants ' to use that products name, they have to
take permission from patent holder. Permission may be given only after signing
agreement for royalty or fees.
2) Public Health:The Doha Conference held in Doha, Qatar in Nov. 2001, recognized the
need to protect public health and to provide medicines to all.
3) Geographic Indication Status (GIS):WTO also provides GIS for certain items. Once a country gets GIS, the
firms from only that country can use the generic brand name.
For Eg. : - India has obtained GIS for Darjeeling Tea and also for other
products. This means, only Indian firms can use Darjeeling Tea brand, which
shows Darjeeling Tea produced in India is unique.
Negative Implications of TRIPs AGREEMENT
1) Favours Developed Nations
As under TRIPs, protection is given to IPRs such as patents, trademarks,
layout designs etc. Thus it favours developed nations as they have large
number of patents.
2) Agriculture
In Agriculture patenting of plant varieties is done through TRIPs. This
may have serious implications for developing countries. MNCs are in a position
to develop almost all new varieties with the help of their financial resources and
expertise. This may transfer all gains in the hands of MNCs.
3) Micro - Organisms
Research in Micro-organisms is closely linked with the development of

agriculture, pharmaceuticals and industrial biotechnology. Patenting of Microorganisms again will benefit MNCs.
Explain the impact of WTO Agreements on Indian Economy. OR Analyse

the impact of WTO agreements on India. What are its Pros and Cons?
IMPACT OF WTO AGREEMENTS ON INDIAN ECONOMY:The signing of WTO agreements will have far reaching effects not only on
Indias foreign trade but also on its internal economy.
Although the ultimate goal of WTO is to free world trade in the interest
of all nations of the world, yet in reality the WTO agreements has benefitted the
developed nations more as compared to developing ones.
The impact of WTO on Indias economy is staged as follows:I. Positive Impact / Benefits / Advantages / Gains from WTO:1) Increase in Export Earnings:Estimates made by World Bank, Organisation for Economic Co-operation
and Development (OECD) and the GATT Secretariat, shows that the income
effects of the implementation of Uruguay Round package will be an increase in
traded merchandise goods. It is expected that Indias share in world exports
would improve.
2) Agricultural Exports:Reduction of trade barriers and domestic subsidies in agriculture is
likely to raise international prices of agricultural products. India hopes to
benefit from this in form of higher export earnings from agriculture.
3) Export of Textiles And Clothing:-
With the phasing out of MFA (Multi - Fibre Arrangement), exports of

textiles and clothing will increase and this will be beneficial for India. The
developed countries demanded a 15 year period of phasing out of MFA,
the developing countries, including India, insisted that it be done in 10
years. The Uruguay Round accepted the demand of the latter. But the
phasing out Schedule favors the developed countries because a major portion
of quota regime is going to be removed only in the tenth year, i.e. 2005. The
removal of quotas will benefit not only India but also every other country'.
4) Multilateral Rules and Disciplines:The Uruguay Round Agreement has strengthened Multilateral rules and
disciplines. The most important of these relate to anti - dumping, subsidies and
countervailing measures, safeguards and disputes settlement. This is likely to
ensure greater security and predictability of the international trading system
and thus create a more favourable environment for India in the New World
Economic Order.
5) Growth to Services Exports:Under GATS agreement, member nations have liberalised service sector.
India would benefit from this agreement.
For Eg:- Indias services exports have increased from about 5 billion US $
in 1995 to 96 billion US $ in 2009-10. Software services accounted for about
45% of service exports.
6) Foreign Investment:India has withdrawn a number of measures against foreign investment,
as er the commitments made to WTO. As a result of this, foreign investment
and FDI has increased over the years.
II.Negative Impact / Problems / Disadvantages of WTO Agreements on
Indian Economy:1) TRIPs:The Agreement on TRIPs at Uruguay Round weights heavily in favour of
Multinational Corporations and developed countries as they hold a very large
number of patents. Agreement on TRIPs will work against India in several ways
and will lead to monopoly of patent holding MNCs. As a member of WTO, India
has to comply with standards of TRIPs.
The negative impact of agreement on TRIPs on Indian economy can be stated as
follows
A) Pharmaceutical Sector:Under the Patents Act, 1970, only process patents were granted to
chemicals, drugs and medicines. This means an Indian pharmaceutical
company only needed to develop and patent a process to produce and sell that
drug. This proved beneficial to Indian pharmaceutical companies as they were
in a position to sell quality medicines at low prices both in domestic as well as
in international markets.
However, under the agreement on TRIPs, product patents needs to be
granted. This will benefit the MNCs and it is feared that they will increase the
prices of medicines heavily, keeping them out of reach of poor. Again many
Indian pharmaceutical companies may be closed down or taken over by large
MNCs.
B) Agriculture:The Agreement on TRIPs extends to agriculture through the patenting of

plant varieties. This may have serious implications for Indian agriculture.
Patenting of plant varieties may transfer all gains in the hands of MNCs who
will be in a position to develop almost all new varieties with the help of their
huge financial resources and expertise.
C) Microorganisms:Patenting of micro - organisms will again benefit large MNCs as they
already have patents in several areas and will acquire more at a much faster
rate.
2) TRIMs :Agreement on TRIMs provide for treatment of foreign investment on par
with domestic investment. This Agreement too weights in favour of
developed countries. There are no provisions in Agreement to formulate
international rules for controlling restrictive business practices of foreign

investors. In case of developing countries like India, complying with Agreement
on TRIMs would mean giving up any plan or strategy of self - reliant growth
based on locally available technology and resources.
3) GATS:One of the main features of Uruguay Round was the inclusion of trade
in services in negotiations. This too will go in favour of developed countries.
Under GATS agreements, the member nations have to open up services sector
for foreign companies. The developing countries including India have
opened
up
services
sector
in
respect
of
banking,
insurance,
communication, telecom, transport etc. to foreign firms. The domestic

firms of developing countries may find it difficult to compete with giant foreign
firms due to lack of resources & professional skills.
4) Non - Tariff Barriers:Several countries have put up trade barriers and non - tariff barriers
following the formation of WTO. This has affected the exports from
developing countries.
5) Agreement on Agriculture (AOA)
The AOA is biased in favour of developed countries. The issue of food
security to developing countries is not addressed adequately in AOA. The
existence of global surpluses of food grains does not imply that the poor
countries can afford to buy. The dependence on necessary item like food grains
would adversely affect the Balance of Payment position.
6) Inequality within the Structure Of WTO
There is inequality within the structure of WTO because the agreements
and amendments are in favour of developed countries. The member countries
have to accept all WTO agreements irrespective of their level of economic
development.
7) LDC Exports
The 6th Ministerial Conference took place at Hong Kong in December
2005. In this Conference, it was agreed that all developed country members
and all developing countries declaring themselves in a position to do so,

will provide duty - free and quota - free market access on a lasting basis to
all products originating from all Least Developed Countries (LDC). India
has agreed to this. Now India's export will have to compete with cheap LDC
exports internationally. Not only this, the cheap LDC exports will come to
Indian market and compete with domestically produced goods.
Conclusion:
India will face several problems in the process of complying with
WTO agreements, but it can also reap benefits by taking advantage of
changing international business environment. For this it needs to develop
and concentrate on its areas of core competencies.

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WTO & its Implications

WTO: World Trade Organization

A Multi-lateral organization which facilitates the free flow of goods

1947: GATT (General Agreement on Tariffs and Trade)- Reduce

1995: WTO (World Trade Organization) - trade in goods +

Barriers to trade of goods = Tariffs

Barriers to trade in services = Measures ( Regulations, Laws,

148 members (3/4 developing countries)

Ministerial conference (every 2 years)

General Council (monthly)

oversees day to day operations

directs the dispute settlement system

incharge of the trade policy review mechanism

To serve as a forum for trade negotiations

pg. 1 WTO V.Mythily , JCE

- Most favoured nation clause

To settle trade disputes based upon an agreed legal foundation

Principal Objectives of WTO

To help trade flow smoothly, freely, fairly and predictably;

1) Trade without Discrimination:

Trade without discrimination through the application of Most Favoured

2) Raising The Standard Of Living:

3) Optimum Use of World's Resources:

Ensuring optimum use of world's resources and, thereby, expanding

Settlement of disputes among members through consultation,

5) Growth of Less Developed Countries (LDCs):

It recognizes the need for positive efforts designed to ensure that

pg. 2 WTO V.Mythily , JCE

Administering W.T.O Trade Agreements.

Acting as a Forum for trade negotiations.

Settling and Handling Trade disputes

Monitoring and reviewing national trade policies,

Assisting the member in trade policies through technical assistance and

Technical assistance and training for developing countries.

Co-operation with other International Organization

Implementation Of Reduction In Trade Barriers

Assistance to IMF and IBRD to achieve greater coherence in global

Administration of Agreements- WTO shall look after the administration of

Examination of Trade Policies- WTO shall regularly examine the foreign

Collection Of Foreign Trade Information

This is a very simple principle which advocates that every member

pg. 3 WTO V.Mythily , JCE

This Principle reflects that any concession extended by one country to

The multilateral trading system is an attempt by governments to make

WTO : Key principles

Transparency: all regulations accessible and open to appeal

Temporary exemption: to MFN and NT i.e., on short-term economic crises

Lock-in effect: once a commitment is made, it is very difficult to withdraw

pg. 4 WTO V.Mythily , JCE

The WTO Agreement - an integrated, more viable and durable

structure, the qualifications for membership, and decision-making

It also calls for efforts to improve the coherence of global economic

WTO: The legal framework:

1A, containing the revised General Agreement on Tariffs and

1B, the General Agreement of Trade in Services, texts on

1C, the Agreement on Trade-Related Aspects of Intellectual

Collectively, the agreements included in Annex 1 are referred to as the

Annex 2 sets the rules and procedures for dispute settlement.

pg. 5 WTO V.Mythily , JCE

Annex 4 covers four plurilateral agreements (later reduced to two)

WTO : Multilateral trade agreements (MLAs)

Agreement on Technical Barriers to Trade (TBT)

Agreement on Sanitary and Phytosanitary Measures (SPS)

Agreement on Trade Related Aspects of Intellectual Property Rights