World Trade Organization (WTO) is celebrating 30 years of the Marrakesh Agreement

Link copied successfully!

Marrakesh Agreement was signed in Marrakesh, Morocco, by 123 countries in 1994 after the conclusion of the Uruguay Round.
- It led to the establishment of the WTO in 1995, replacing General Agreement on Tariffs and Trade (GATT) as an international organization.

About Marrakesh Agreement:
- It serves as basic framework for trade relations among all WTO members.
- It expanded the scope beyond trade in goods to trade in services, intellectual property, and other topics.
- It established modern multilateral trading system, facilitating negotiations, dispute settlement, and economic cooperation among members.
- It created WTO’s governance, establishing the Ministerial Conference (highest decision making body), General Council, and specialized councils.

Achievements of WTO
- Lowering trade barriers: Since 1995, real volume of world trade has expanded by 2.7 times and average tariffs have almost halved, from 10.5% to 6.4%.
- Rise of Global Value Chains: Trade within these value chains today accounts for almost 70% of total merchandise trade.
- Growth in developing countries: Fastest poverty reduction since 1995 and increased purchasing power in all countries.
- International Trade Agreements and Rules: TRIPS Agreement, Nairobi Package, Trade Facilitation Agreement, Doha Development Agenda etc.

Genesis: Established in 1995 and is the only international organization dealing globally with the rules of trade between nations.
Objective: Help its members use trade as a means to raise living standards, create jobs and improves people's lives.
Members: 166 (accounts for 98% of world trade) including India.
Headquarters: Geneva, Switzerland.
Decisions: Typically made by consensus.