WORLD TRADE ORGANIZATION AND DEVELOPING COUNTRIES

FM & MM programe School of Economics and Business, University of Sarajevo

Amra Mutilovi Mirza rndi

MAIN CHARACTERISTICS

Location: Geneva, Switzerland Established: 1 January 1995 Created by: Uruguay Round negotiations (1986-94) Membership: 159 countries on 2 March 2013 Budget: 196 million Swiss francs for 2011 Secretariat staff: 640 Head: Roberto Azevdo (Director-General)

WHAT IS THE WTO?

The World Trade Organization (WTO) deals with the rules of trade between nations at a global or near-global level. But there is more to it than that.

Its negotiating forum... Its set of rules... It helps to settle disputes...

WHAT WTO DOES?

Trade negotiations Implementation and monitoring Dispute settlement Building trade capacity Outreach

WHAT WTO STANDS FOR?

Non-discrimination More open Predictable and transparent More competitive More beneficial for less developed countries Protect the environment

10 THINGS THE WTO CAN DO

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

DEVELOPING COUNTRIES IN THE WTO

There are no WTO definitions of developed and developing countries. Members announce for themselves whether they are developed or developing countries.

ENABLING CLAUSE FOR DEVELOPING COUNTRIES

Officially called: Decision on Differential and More Favourable Treatment, Reciprocity and Fuller Participation of Developing Countries The Enabling Clause is the WTO legal basis for the Generalized System of Preferences (GSP).

THE WTO DEALS WITH THE SPECIAL NEEDS OF DEVELOPING COUNTRIES IN THREE WAYS:
the WTO agreements contain special provisions on developing countries the Committee on Trade and Development is the main body focusing on work in this area in the WTO the WTO Secretariat provides technical assistance for developing countries.

SPECIAL PROVISIONS ON DEVELOPING COUNTRIES

Favorable trade consessions from developed countries Extra time to fulfill their commitments Trading opportunities through greater market access Safeguarding the interests of developing countries Various means of helping in dealing with their commitments

TRADE AND DEVELOPMENT COMMITEE

It deals with: how provisions favouring developing countries are being implemented guidelines for technical cooperation increased participation of developing countries in the trading system the position of least-developed countries.

The Trade and Development Committee handles notifications of:

Generalized System of Preferences programmes preferential arrangements among developing countries such as MERCOSUR (the Southern Common Market in Latin America), the Common Market for Eastern and Southern Africa (COMESA), and the ASEAN Free Trade Area (AFTA)

WTO SECRETARIAT

The WTO Secretariat has special legal advisers for assisting developing countries in any WTO dispute and for giving them legal counsel.

Its responsibilities include: Administrative and technical support for WTO delegate bodies for negotiations and the implementation of agreements. Technical support for developing countries, and especially the least-developed. Trade performance and trade policy analysis by WTO economists and statisticians. Assistance from legal staff in the resolution of trade disputes involving the interpretation of WTO rules and precedents. Dealing with accession negotiations for new members and providing advice to governments considering membership.

SPECIAL FOCUS ON LEAST-DEVELOPED COUNTRIES

The least-developed countries receive extra attention in the WTO. All the WTO agreements recognize that they must benefit from the greatest possible flexibility, and better-off members must make extra efforts to lower import barriers on least-developed countries exports. 1994 Uruguay Round Agreements 1996 - Plan of Action for Least-Developed Countries 1997 - Integrated Framework 2002 - work programme for least-developed countries.

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