Abstract

Topic: Dispute settlement board of international trade organisation.

Dispute settlement board is the core of the international trade organisation, unlike the
original 1947 general agreement on tariffs and trade( GATT) , THE 1994 agreement
establishes the world trade organisation (WTO agreement) covers a much wider range of
trade. It extends beyond goods and now embraces services, intellectual property,
procedurement, investment and agriculture. Moreover, the new trade regime is no longer a
collection of ad hoc agreements, panel reports and understandings ofof the parties. All trade
obligations are subsumed under the umbrella of wto, of which all parties are members.
Member states have to accept the obligations contained in all the WTO covered agreements:
they cannot pick and choose.

The complete set runs to some 30,000 pages consisting of about 30 agreements and
separate commitments (called schedules) made by individual members in specific areas such
as lower customs duty rates and services market-opening. Through these agreements, WTO
members operate a non-discriminatory trading system that spells out their rights and their
obligations. Each country receives guarantees that its exports will be treated fairly and
consistently in other countries’ markets. Each promises to do the same for imports into its
own market. The system also gives developing countries some flexibility in implementing
their commitments.

Dispute settlement is the central pillar of the multilateral trading system, and the
WTO’s unique contribution to the stability of the global economy. Without a means of
settling disputes, the rules-based system would be less effective because the rules could not
be enforced. The WTO’s procedure underscores the rule of law, and it makes the trading
system more secure and predictable. The system is based on clearly-defined rules, with
timetables for completing a case. First rulings are made by a panel and endorsed (or rejected)
by the WTO’s full membership. Appeals based on points of law are possible. However, the
point is not to pass judgement. The priority is to settle disputes, through consultations if
possible.