WTO… Is it a bird? Is it a plane? Is it Superman?
The World Trade Organization regulates free trading among nations. It is a negotiation-based regulative institution that deals with agriculture, textiles and clothing, banking, telecommunications, government purchases, industrial standards and product safety, food sanitation regulations, intellectual property, and much more.
As modern day WTO was created in 1995, but its working-system is almost 60 years old. It was first formed as a de-facto organization named GATT. The General Agreement on Tariffs and Trade was a set of rules which main purpose was to reduce barriers to international trade; this was achieved through the reduction of tariff barriers, quantitative restrictions and subsidies on trade through a series of different agreements. The GATT was an agreement, never an organization.
In 1995, the GATT dissapeared and the WTO was formed. Today, it is ruled by the almost the same basics and all the members after 1994 are current members.
It is also important to say that the WTO is only a free trade organization, established only to ensure fair negotiation among countries; it would be untruthful to say that it can solve all the world’s problems, but surely it will help to settle various disputes and help strenghthen relationships in the world… so no, it’s not Superman.
For more information on the WTO click here.
Entry filed under: WTO.