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CGD has engaged in a series of conversations between CGD president Masood Ahmed and the Director-General candidates for the WTO, with a focus on the candidates’ views for how the WTO can amplify developing country voices in global trading systems.
Expectations were low for the eleventh World Trade Organization (WTO) ministerial meeting in Buenos Aires, and on most accounts it still managed to under-deliver. This time around, US and Indian negotiators refused to compromise in service of achieving a consensus agreement in any area. Roughly three quarters of WTO members endorsed a precedent-setting, albeit hortatory, declaration on women and trade; the United States and India did not. And there were statements from varying groups of “like-minded” countries to pursue work in areas that could eventually lead to “plurilateral” agreements. Still, it is not clear these efforts are any more likely to overcome the sharp differences that have prevented compromise among the broader membership. And if they do, they could end up marginalizing smaller, less powerful developing countries.
With a decade since the beginning of the major food price spike in 2007, Ministers gathering at the WTO Ministerial in Buenos Aires this week can make a positive impact on people's lives—with an agreement that will reduce the likelihood and impacts of a food price spike.
Trade ministers, while attending the World Trade Organization (WTO) meeting in Nairobi, again managed to pull a rabbit out of the hat. Faced with the prospect of complete failure, ministers worked overtime to cobble together a package of mostly small, symbolic agreements at the WTO’s Tenth Ministerial Conference. While the outcome is not being greeted with the same dismay, Nairobi looks more like the Copenhagen summit on climate change than the recent session in Paris, which managed to bridge North-South differences.
When President Obama goes to India to help celebrate Republic Day, he will have two priorities: to further open India’s market to US exporters; and to energize India’s efforts to tackle climate change.
Implementation of a global deal to promote trade through increased regulatory transparency and reform of customs procedures is stalled. The deadlock began in July, when India blocked formal adoption of the Trade Facilitation Agreement, which WTO members had agreed to in Bali at the end of 2013.
The Bali package included agreements to facilitate trade by modernizing customs procedures and to ensure that minimum access for agricultural imports subject to quotas is achieved in practice. On food security, there was, at the end, a resolution of the dispute over a “peace clause” that will allow India to shield its food stockholding program from trade challenges for at least four years.
Congratulations to Ambassador Roberto Azevedo from Brazil, who will be the next Director-General of the WTO. Ambassador Azevedo campaigned for the WTO position as an insider who could hit the ground running and that is exactly what he will need to do. He also said that being an insider would help him in rebuilding trust among the members and he will need to get started on that immediately—even before he takes over on September 1.
The next Director-General of the World Trade Organization (WTO) will be the first from Latin America and just the second from a developing country. Ambassador Bashir of Pakistan announced on Friday that Roberto Azevedo from Brazil and Herminio Blanco from Mexico will advance to the final round of consultations while Mari Pangestu from Indonesia, Taeho Bark from Korea, and Tim Groser from New Zealand withdrew.
So the initial round of results are in and there were some surprises. Early this month, odds makers in the United Kingdom and Ireland had Mr. Kyerematen, from Ghana, and Ms. Gonzalez, from Costa Rica, as the favorites to become the next director-general of the World Trade Organization, but both are out after the first round of consultations. The next round of consultations will begin next week, and the final two should be announced by the end of the month.
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