Question

Write the detailed answer.

Explain the nature of WTO.

Answer 1

1. On 1^st January 1995, 123 nations together founded an organisation with the objective of opening the world for free trade. It was called World Trade Organisation (WTO).
2. Arthur Dunkel, the Director General of WTO prepared a draft which has been fundamental to the establishment of the organisation. This draft is known as ‘Dunkel Draft’.
3. The crux of this draft emphasises on trade, free from governmental customs duty and other restrictions. This approach is known as ‘liberalisation’.
4. All participating countries agreed upon a set of rules and a premise common to all that would promote international trade.
5. Initially, provisions were made in the spheres of grants, exports imports, foreign investments, reserved sectors, agriculture, technology, and service sectors.