HRM

TABLE OF CONTENT

 Introduction GATT to WTO

 Rounds of GATT Negotiations
 WTO History
 WTO members and withdrawal
 Difference between GATT and WTO
 WTO Agreements and policies
 Role of WTO
 Objectives of WTO
 Pakistan and WTO
 Conclusion

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ASSIGNMENT TOPIC :IMPACT

OF TRAINING AND
DEVELOPMENT ON
ORGANIZATIONAL
PRODUCTIVITY

SUBMITTED TO: ………………MAM SAIMA ………………………………………………..

SUBMITTED BY: ……………………YASMIN FAIZ……………………………………………………

SUBJECT: ……………….…HRM ……………………………………………………

DEPARTMENT: ……………………MBA………………………………………………………..…....

SEMESTER: …………………………3 RD…………………………………………………………..

DATE: …………………………17/04/2017…………………………………………………..

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WTO INTRODUCTION :
FROM GATT TO WTO:
GATT:
The General Agreement on Tariffs and Trade, or GATT, was first
Negotiated following World War II in an effort to avoid trade wars to

Avoid trade war that would benefits rich nations and harm poorer

Ones.

 GATTwas the outcome of the failure of negotiating governments to

create ITO.
 The Bretton Woods Conference introduced the idea for organization
to regulate as part of larger plan for economic recovery after World War II.
 As governments negotiated the ITO, 15 negotiating states began parallel negotiations
for the GATT as a way to attain early tariff reductions.
 Once the ITO failed in 1950, only the GATT agreement was left.
 Bretton Woods institutions intended to be complemented by International Trade
Organization _ stillborn in 1946.
 GATT came into being as an interim arrangement 1947.
 Successive rounds of GATT negotiations to reduce tariffs.

OBJECTIVE OF GATT
The GATT's main objective was the
“Reduction of barriers to International Trade”

ROUND OF GATT OF NEGOTIATIONS:

Eight rounds of negotiations occurred under GATT.
The first real GATT trade round concentrated on further reducing tariffs.

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Sr. Round Place Year Features

no
1 First Geneva 1947 Tariffs cuts for 45000 products worth $10
(Switzerland) billion of trade on an annual basis.
2 Second Annecy 1949 Custom duty was reduced for another 5000
(France) items of goods.

3 Third Torquay 1950- Adopted 8700 tariff reduction.

(Britain) 51
4 Fourth Geneva 1955- To further cut duties for goods worth $2.5
(Switzerland) 56 billion.
5 Fifth Geneva 1960- Induction of European Community for the
(Switzerland) 62 first time & 20% tariff reduction
6 Sixth Geneva 1964- 33% reduction is restrictions on
(Switzerland) 67 manufactured goods
7 Seventh Tokyo 1973- Non-tariff restrictions, etc.
(Japan) 79
8 Eighth Uruguay 1986- This was known as Uruguay Round.
93 Lead to the formation of WTO.

WORLD TRADE ORGANIZATIION

History:
 The World Trade Organization (WTO) came into being on
January 1st 1995. It was the outcome of the lengthy (1986-1994)
Uruguay round of GATT negotiations. The WTO was essentially an
extension of GATT.

 It extended GATT in two major ways.

First GATT became only one of the three major trade agreements that went into the
WTO (the other two being the General Agreement on Trade and Services (GATS) and
agreement on trade related Aspects of Intellectual Property Rights(TRIPS)).

 Second the WTO was put on a much sounder institutional footing than GATT the
support services that helped maintain the agreement had come into being in an ad hoc
manner as a need arose. The WTO by contrast is a fully fledge institution (GATT also
was, at least formally, only an agreement between contracting parties and had no

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independent existence of its own while the WTO is a corporate body recognized under
international law).

Facts file of WTO:

Location Geneva, Switzerland
Established 1st January 1995
Created by Uruguay Round negotiations
(1986-94)
Membership 178 countries
Budget 189 million Swiss francs
Secretariat staff625
Head Pascal Lamy (Director-general)

Current WTO members:

Members:
 153 members
 observers(31)
 members can be states or separate customs territory
processing full autonomy in the conduct of its external
Commercial relations.
 Membership is delivered after an accession procedure.

Withdrawal:
 Any member may be withdrawal from this agreement.
 Such withdrawal shall apply both of this agreement and the multilateral.
 Withdrawal from a plurilateral trade agreement shall be governed by the provisions of
that agreement.

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Difference between WTO and

GATT:
GATT WTO
1-Provisional Agreement 1- International organization
2-Contracting parties 2- Members
3-Restricted coverage 3- Broad coverage
4-goods 4- Goods, Services, TRIPs
5-Gispute Settlement 5- Dispute Settlement strengthened
6- GATT system was less powerful 6- WTO is more powerful

WTO: Agreements & Policies

The WTO's agreements are the results of negotiations

between the members. The current set were the outcome

Of the 1986-94 Uruguay Round negotiations which included

a major revision of the original General Agreement on

Tariffs and Trade (GATT).

The WTO oversees about 60 different agreements which

have the status of International legal texts.

They deal with: agriculture, textiles and clothing, banking, telecommunications, government
purchases, industrial standards, product safety and more.

ROLE OF WTO:
The World Trade Organization (WTO) is one of the three international organizations (the
other two are International Monetary Fund (IMF) and the World Bank Group) which by
and large formulate and co-ordinate world economic policy.
It can be argued that the WTO plays a particularly significant role in the promotion of
free international trade. The organization acts as an umbrella institution,

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that is an organization covering the agreements concluded at the Uruguay Round.

The crucial role of the WTO is to provide a common institutional framework for the
implementation of those agreements. The organization is the result of the Uruguay
Round of negotiations (1986_94) and was formally created in 1995.

 The main goal of WTO is to help the trading industry to become

smooth,fair, free and predictable. It was organized to become the
administrator of multilateral trade and agreements between its member
nations. It supports all occurring negotiations for latest agreements for
trade.WTO also tries to resolve trade disputesbetween member nations.
 Administering WTO trade agreements
 Forum for trade negotiations
 Handling trade disputes
 Monitoring national trade policies
 Technical assistance and training for developing countries
 Cooperation with other international organizations
 Multi – lateral agreements are always made between several countries in
the past because of this suchagreements become very difficult to
negotiate but are so powerful and influential once all the parties agree
and sign the multi-lateral agreements. WTO acts as the administrator.
If there are unfair trade practices or dumping and there is complain filed,
the staff of WTO are expected to investigate and check if there are
violations based on the multi-lateral agreements.

OBJECTIVES OF WTO:
The key objective of WTO is to promote and ensure international trade in developing
countries. The other major functions include:

 Helping trade flows by encouraging nations to adopt discriminatory

trade policies.
 Promoting employment, expanding productions and trade and
raising standard of living and income and utilizing the world’s
resources
 Ensuring that developing countries secure a better share of growth in
world trade.

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 Providing forum for trade negotiation·

 Resolving trade disputes.

 To implement the new world trade system as visualised in the Agreement.

 To promote World Trade in a manner that benefits every country;

 To ensure that developing countries secure a better balance in the sharing

of the advantages resulting from the expansion of international trade

corresponding to their developmental needs;

 To demolish all hurdles to an open world trading system and usher in

international economic renaissance because the world trade is an effective

instrument to foster economic growth;

 To enhance competitiveness among all trading partners so as to benefit

consumers and help in global integration;

 To increase the level of production and productivity with a view to ensuring

level of employment in the world

 To expand and utilize world resources to the best

 To improve the level of living for the global population

PAKISTAN AND WTO:

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 Pakistan is one of the founder Members of the WTO since 1995,

and its predecessor organization the GATT set up in 1948. We are

following an export led growth strategy and as such market

access is of vital importance for our businesses. The increase in

preferential arrangements and free trade areas between some

members is also eroding our market access. Therefore in order to

maintain current markets and gain new ones for our exportable

goods and services we are dependent on the WTO to get tariff

and non-tariff barriers lowered on an MFN basis. Such MFN

liberalization effectively levels the playing field for competitive

suppliers

 Pakistan has been actively engaged in the Doha round of trade

talks that were launched in the Qatari capital in November 2001.

Aptly named the "Doha Development Agenda" (DDA), this round

of trade talks has been focusing on removing distortions in the

world agriculture markets and attaining enhanced market access

for both products and service providers from Pakistan.

Since 2001, there have two more ministerial conferences in

Cancun in 2003 and Hong Kong in 2005 respectively. There have

been many ups and downs in the road to a successful conclusion

to the Doha round that takes into account the myriad interests of

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the developing membership. There was a breakdown of talks in

the summer of 2006 which led many observers to be skeptical of

the entire process. However, sustained efforts by the membership

led to a partial resumption of the talks in November 2006 and full

resumption since January 2007 after the annual meeting of the

World economic forum at Davos.

 Pakistan must initiate efforts to meet the challenges of WTO

immediately to boost exports in WTO environment.

CONCLUSION:
 Although the stated aim of the WTO is to promote free trade and

stimulate economic growth, some believe that globally free trade

results in rich (both people and countries) becoming richer awhile

the poor getting poorer.

 It will be able to help weak and poor countries if it frames rules

accordingly.

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