Developing Countries in the Gatt Legal System

Hudec, Róbert

doi:10.1017/cbo9780511976810.002

Cited by 61 publications

(36 citation statements)

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“…Actually, there is an important role for developing states to play in their international policy, by encompassing their actions through coalitions, for example (Narlikar, 2006) and in their domestic policy, in order to enable them to compete in the international market while diminishing their vulnerability. As already outlined by Hudec (Hudec, 1987), emerging economies shall not have their sovereignty constrained. There were provisions that included balance of payments measures (Article XVIII, GATT, 1947), support to help developing countries to pay the costs of effectively participating in the WTO, aid to increase developing countries' capacity to take advantage of new trade opportunities, exemptions from agreements (which allow developing countries to choose whether or not to implement agreements requiring regulatory or administrative reform) and provisions allowing developed countries to give preferential market access to developing countries members (Stiglitz & Charlton, 2005: 88).…”

Section: A General Overview: Advantages and Disadvantages Of Sdtmentioning

confidence: 98%

“…The old system of preferences is substituted by the multilateralism enacted by the principle of the MFN, which supposedly would be advantageous for all members (Hudec, 1987). Nevertheless, the impasses presented in the Doha Round do not seem positive to any contracting party and stimulate agreements to be signed between countries outside the international trade regime (Chimni, 2009).…”

Section: We Believe That Since the Special And Differential (Sandd) Promentioning

confidence: 99%

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Drawing on the Legal and Economic Arguments in Favour and Against ‘Reciprocity’ and ‘Special and Differential Treatment’ for Developing Countries within the WTO System

Jobim¹

2013

JPL

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The international trade regime embodied in the World Trade Organization (WTO) goes beyond a collection of texts and agreements. As legal rules are not immune to political and economical influences, they have to be analysed in the context in which they have been created and constantly modified. Nowadays, the multilateral system of the WTO gains complexity when the market place does not restrict its subject to goods anymore and when the goal of development is materialized, in its agreements, as one of the pillars of the WTO. Developing countries, empowered by the launch of their economic growth, are acquiring space and voice to criticize the legal framework of the WTO, saying it has not been entirely coherent with its own objectives and claiming for the adoption of an effective Special and Differential Treatment (SDT). On the other hand, developed countries, based on their economic superiority and underlining the importance of free trade through liberalization policies, insist on the necessity of reciprocal commitments to promote economic growth and global welfare. This dilemma is traduced in the impasse of the recent Doha Round, but it is already time for more ideas to be brought and paradoxes to be resolved. The current challenge faced in this study becomes then to conciliate the SDT, Reciprocity the development concerns. At the end, preferential systems do not go against liberalization. Instead, the SDT intends to graduate the liberalization process through fairness (development) and to enable, only afterwards, that seriously discussions regarding free trade and Reciprocity can be held regarding their full or, more plausibly, partial implementation.

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Section: A General Overview: Advantages and Disadvantages Of Sdtmentioning

confidence: 98%

Section: We Believe That Since the Special And Differential (Sandd) Promentioning

confidence: 99%

Drawing on the Legal and Economic Arguments in Favour and Against ‘Reciprocity’ and ‘Special and Differential Treatment’ for Developing Countries within the WTO System

Jobim¹

2013

JPL

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“…While generally welcomed on political grounds and by preference-receiving countries, they are also the subject of much criticism from non-preference-receiving countries concerned about trade diversion and academics concerned about their contribution to development. They are also criticized by those with systemic interests in the trading system who see such schemes as part of an erosion of the core principles of the multilateral trading system (Hudec, 1987). 3 These tensions have been further amplified by recent calls to stall the process of multilateral liberalization in order to protect margins of preference.…”

Section: Trade and Trade Policy Developmentsmentioning

confidence: 99%

Foreword by the director-general

2012

WTO Public Forum 2011

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FOREWORDThe World Trade Report 2004 is the second annual publication in the WTO Secretariat's new series. As I indicated last year, the World Trade Report seeks to deepen public understanding of current trade policy issues and to contribute to more informed consideration of the options facing governments. Like last year, the Report begins with a review of recent world trade developments. This is followed by three shorter essays -on trade preferences, the temporary movement of natural persons, and geographical indications. The main topic of the Report this year is coherence.As far as trade developments are concerned, 2003 was not as bleak a year as many had feared. Trade grew in real terms by 4.5 per cent, a rate still somewhat below the average for the 1990s but above what many forecasters had anticipated. These results were largely a reflection of a pick-up in economic activity in the second half of the year. Prospects for 2004 look much better than the results for 2003.The Fifth WTO Ministerial Meeting at Cancún was a disappointment to many and did little to bolster business confidence. I fully share what I believe is the widely-held aspiration that signs of renewed commitment to moving the Doha Development Agenda forward will lead to concrete results in the near future. A failure by governments to deliver on the promise of Doha would be a blow to the trading system and would do nothing to support, let alone improve upon, near-term expectations regarding the performance of the world economy. I strongly urge governments to transform intimations of a willingness to move forward into concrete outcomes.Turning to the three shorter essays in WTR 2004, the work on preferences comes at a crucial time. Fears about the erosion of preferences among beneficiary countries have emerged on the negotiating agenda more forcefully and explicitly than ever before. But just as beneficiary governments are concerned to maintain their margins of preference, others would wish to ensure that MFN trade liberalization is not arrested. This essay evaluates preferences in terms of their role in supporting the trade interests of beneficiary countries. A mixed picture emerges.While preferences have been used to good effect by some countries at particular points in time, the benefits have been attenuated by a number of factors. These include the continuing reduction of preferential margins and complexities associated with preference schemes that reduce their attractiveness. Utilization levels of preferences have been low in many instances. An additional concern is that preferences may draw resources into activities that cannot survive under normal conditions of competition. Where this occurs, countries may be unwisely investing in future adjustment challenges. The essay concludes that preferences cannot last forever, and that while beneficiaries may be well advised to make what constructive use of them they can in the short-term, a longer-term perspective needs to contemplate a world without preferences.The second essay addresses another is...

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“…Article 18A allowed for developing countries to renegotiate tariff bindings in order to promote the establishment of particular industries; any developing countries using this, however, was expected to offer compensation or face retaliation. Article 18B was about the use of balance of payments justified measures by developing countries; the 18B criteria for 2 See the discussion of special and differential and its evolution in Hudec (1987) and Whalley (1990). Table 1 Key Elements of Special and Differential Treatment as they had entered GATT by the late 1970's…”

Section: The Term "Special and Differential"mentioning

confidence: 99%

Special and Differential Treatment in the Millennium Round

Whalley

2000

SSRN Journal

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Abstract:This paper discusses special and differential treatment (SDT) for developing countries in a new WTO trade round. It argues that SDT introduced in the Uruguay Round represented a sharp departure from pre Uruguay Round SDT which had focussed on special rights to protect and preferential market access, and was characterised by a wide range of delays, exemptions, best efforts endeavours from developed countries, technical assistance and other provisions.These new provisions were arrived at late on in negotiation, and were ad hoc in design. They nonetheless represented a new form of SDT relating to special rights needed on adjustment and policy capacity grounds as developing countries integrated into the WTO system. Despite general skepticism as to the value of SDT benefits, the challenge is to more carefully rationalise and target these provisions, and to elaborate on them.

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Developing Countries in the Gatt Legal System

Cited by 61 publications

References 36 publications

Drawing on the Legal and Economic Arguments in Favour and Against ‘Reciprocity’ and ‘Special and Differential Treatment’ for Developing Countries within the WTO System

Drawing on the Legal and Economic Arguments in Favour and Against ‘Reciprocity’ and ‘Special and Differential Treatment’ for Developing Countries within the WTO System

Foreword by the director-general

Special and Differential Treatment in the Millennium Round

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