Overview of The WTO

 Objective of presentation

 WTO: The Beginnings

 Growth in Trade Underway

 A New Multilateral Organization

 The WTO: what is it?

 How does the WTO function?

 Principles of the Trading System

 Provisions for developing countries

 Progressing by packages

 The Round to end all rounds

 The WTO Agreement

 Liberalising trade in goods

 Textiles - back in the mainstream

 Agriculture: fairer markets for all

 Trade remedies

 Standards and procedures

 Administrative procedures

 Services: rules for growth and investment

 Services: the key rules

 Services: Better Access to Markets

 Intellectual Property: protection and enforcement of rights

 TRIPS: what does it cover?

 Settling Disputes: the heart of the system

 Meetings of Ministers

  Singapore Ministerial

 Geneva and Seattle Ministerials

 Doha Ministerial Meeting

 Cancun Ministerial Meeting

 Recent Developments

Agriculture: fairer markets for all

Outside the system

The other sector that has continually been at the centre of a heated debate in the GATT - and now the WTO - is the agriculture sector. While the original GATT applied to agricultural trade, it contained loopholes. For example, it allowed countries to use some non-tariff measures such as import quotas, and to heavily subsidize activities in this sector. Production and trade in agricultural products became highly distorted. This was especially due to the use of export subsidies that would normally have been outlawed for industrial products.

Agreement on Agriculture on centre stage

The WTO Agreement on Agriculture is a significant first step towards fair competition and less distorted trade in agricultural products. It is being implemented over a six year period - with 10 years for developing countries. The process began in 1995.

Objectives of the Agreement

The most fundamental objective of the Agreement is to introduce reform that will make agricultural policies more market-oriented. The rules and commitments spelled out in the Agreement are broadly directed to three areas. First, improving market access by removing the various trade restrictions confronting imports. Second, reducing domestic support in the form of trade-distorting subsidies and programs that raise or - guarantee - farm-gate prices and farmers' incomes. And, finally, dealing with export subsidies and other methods used to make exports artificially competitive. While these are the objectives of the agreement, it should be noted that governments are permitted to support their rural economies. The preference under the Agreement, however, is for this to be done through policies that do not distort trade.

A better deal for developing countries?

There are also special provisions for developing countries in the Agreement on Agriculture. They do not have to cut their subsidies or lower their tariffs as much as developed countries.  They are also given extra time to fulfill their obligations. Special provisions are designed to protect the interests of those countries that rely on imports for their food supplies. There are also special provisions for least developed countries.