Export Import Project TYBMS

1. INTRODUCTION
“There are number of ways looking at WTO .its an org for liberalizing trade acts
place for them to settle disputes its not just liberalizing trade and in some
circumstances its rules support maintaining trade barriers e.g.-top protect
consumer or to prevent the spread of diseases”
Following is the brief history of GATT to WTO
 The primary objective of GATT was promotion of world trade thru tariff
reduction
 GATT provided the reduction of tariffs and trade restriction in a phased
manner over a period of time
 In various of negotiations member nations agreed to tariff reduction over
large number of traded goods. In the Tokyo round held during the period
1973 to 1979 issues such improved trading framework and technical
barriers to trade were negotiated
 The last and the most significant round began in 1986 in punta del
Este,uruguay. it took more eight years of complex negotiations to
complete this round. There were considerable differences among member
nations over issues such as multi fiber agreement, trade in services,
intellectual property rights anti dumping etc.
 Due to the existence of these differences, the then director general of
GATT, orthor dunkel,prepared a draft final act that what he believed could
be the agreed outcome of the Uruguay round. The draft came to be known
as dunkel draft, it was in the form of single treaty i.e. signing of the treaty
meant complement agreement with all the provision without any
exceptions. The draft was intensely discuses d and debited and was
initially opposed by developing nations,labour unions and other right
groups.finally,the final act was signed by all member nations in april1994.
many developing nations had to sign the act, as they were under pressure
from powerful trading country, especially the USA .
 With the signing of the final act, the WTO was setup. The WTO agreement
came into force from January 1. 1995. india has become one of the
founder members of WTO, by ratifying the WTO agreement on dec

2. 30,1994
 While GATT was an legal agreement, WTO is an international
organization setup has a permanent body to keep a watch on trade in
goods and services, foreign investments, intellectual property rights,
antidumping laws etc. with the objective of promoting free and fare trade.