Global trade rules offer security and stability. Consumers and manufacturers know that they can benefit from a secure supply and a greater choice of finished products, components, raw materials and services they use. Producers and exporters know that foreign markets will remain open to them. The Uruguay cycle began in September 1986 in Punta del Este, Uruguay. The focus has been on extending trade agreements to several new areas. These include services and intellectual property. It has also improved the agricultural and textile trade. The Uruguay Round led to the creation of the World Trade Organization. On 15 April 1994, the 123 participating governments signed the WTO agreement in Marrakech, Morocco. The WTO has taken the lead in future global multilateral negotiations. The main task of the secretariats is to provide technical support to the various councils/committees and ministerial conferences, to provide technical assistance to developing countries, to analyse world trade and to explain WTO activities to the public and the media. If fully implemented, the WTO`s first multilateral agreement will reduce trade costs by more than 14% and increase global exports by $1 trillion per year. A single page of text from 1941 is a strong reminder that the desire for peace and security has fostered the creation of the current global economic system.
The global rules that underpinned our multilateral economic system were a direct response to the Second World War and the desire that it would never happen again. Multilateral agreements allow all signatories to be treated in the same way. No country can make better trade agreements to one country than another. Same land. It is particularly important for emerging economies. Many of them are smaller, which makes them less competitive. The status of the most favoured nation provides the best trading conditions a nation can obtain from a trading partner. Developing countries benefit the most from this trade status. The GPA and ITA are so-called multilateral agreements, as only a few WTO members have signed. In addition, several WTO members began negotiations for a new Trade in Services (TSA) agreement in 2013.
However, these negotiations, as well as negotiations for a multi-lateral agreement on the abolition of tariffs on “environmental goods” (environmental goods, EGA), are currently frozen, in part due to opposition from the current US government. The Enhanced Integrated Framework (IEF) is the only multilateral partnership that serves exclusively to help least developed countries (LDCs) take advantage of trade as an engine of growth, sustainable development and poverty reduction. The EIF partnership of 51 countries, 24 donors and 8 partner organizations, including the WTO, works closely with governments, development organizations, civil society and science. The EIF has invested in more than 170 projects, of which $220 million has been spent on aid to the world`s poorest countries. The WTO and its predecessor, the GATT, have compiled a compilation of trade statistics every year since 1952. How can you ensure that trade is as fair and open as it is practical? By negotiating the rules and sticking to them.