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WTO unveils first multilateral deal in 18 years

in International Business

WTO unveils first multilateral deal in 18 years

WTO BaliThe World Trade Organization (WTO) signed the first major multilateral pact in 18 years negotiated by the 159 member nations of WTO in Bali, Indonesia.

The deal would simplify the procedures for doing business across borders and safeguard food security programs in developing nations.

“For first time in our history, the WTO has truly delivered,” said WTO Director-General Roberto Azevedo. “We have put the world back into the World Trade Organization.”

Dragged on for 12 years, the deal could add USD 1 trillion to the world economy.

The agreement lets India and other developing nations continue to subsidize their crops to bolster food security without having to worry about legal challenges, so long as the practice doesn’t distort trade, according to a draft text.

Another important aspect of the Bali package is about enabling poor countries to sell their goods more easily. This part is about tariffs, and also quota limits on imports.

Rich countries and the more advanced developing countries have agreed to cut tariffs on products from the poorest nations.

Meanwhile, development campaigners found the plan weak.

“If the US and EU really wanted to tackle global poverty, they would have made the least-developed-countries package much stronger,” said Nick Dearden of the World Development Movement.



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