2 hrs ago
India Offers Safeguards to Advance WTO Plurilateral Talks
The World Trade Organization is discussing agreements that only some of its members would join.
India previously strongly opposed putting these agreements into the organization’s rulebook.
Now, India says such agreements could be considered if strong safeguards are created first.
These safeguards would protect countries that do not join an agreement.
India also wants developing and poorer countries to receive special treatment.
It worries that new agreements could use money and staff needed for technical help and other required WTO work.
India still objects to the Investment Facilitation for Development agreement being added to the WTO framework.
Other countries, including the European Union and Canada, believe plurilateral agreements could help modernize the WTO.
India’s proposal seeks broader discussions before any specific agreement is incorporated.
India submitted a proposal outlining safeguards for plurilateral agreements within the World Trade Organization framework.
The proposal says non-participating members’ rights, interests, and negotiating agency must be protected.
India called for special and differential treatment and warned against diverting resources from developing countries’ priorities.
The shift followed the BRICS summit and bilateral discussions with China, although India still opposes adding the Investment Facilitation for Development pact.
The European Union, Canada, Gambia, Costa Rica, and other members have urged India to reconsider its opposition.
- Who
- India, the World Trade Organization’s members, and proponents and opponents of plurilateral agreements.
- What
- India submitted proposed safeguards that could allow certain plurilateral agreements to enter the World Trade Organization framework.
- Where
- The proposal was submitted to the World Trade Organization’s General Council; the 14th Ministerial Conference was held in Cameroon.
- When
- The submission was made on Wednesday; the shift followed the BRICS summit and bilateral talks with China.
- Why
- India wants to protect non-participating members, preserve development priorities, and prevent plurilateral agreements from straining World Trade Organization resources.
India’s Safeguards-First Approach
Proponents’ Integration Approach
Protecting Non-Participants
India’s Safeguards-First Approach
India says countries that do not join a plurilateral agreement must retain their rights, interests, and negotiating agency.
Proponents’ Integration Approach
Supporters argue that properly designed plurilateral agreements can operate within the World Trade Organization without threatening multilateralism.
Role of Plurilateral Agreements
India’s Safeguards-First Approach
India warns that these agreements could marginalize development priorities and divert attention from issues important to developing and least-developed members.
Proponents’ Integration Approach
The European Union says India should view plurilateral agreements as an opportunity to shape the World Trade Organization’s agenda and modernize the organization.
Investment Facilitation for Development
India’s Safeguards-First Approach
India opposes incorporating the Investment Facilitation for Development pact, arguing that it presents systemic risks and that investment is not a core trade issue.
Proponents’ Integration Approach
Nearly 129 members support the pact, which aims to enhance foreign direct investment flows, while Gambia and Costa Rica have urged India to withdraw its opposition.
Key facts
- Proposal
- India suggested a common understanding on safeguards for plurilateral initiatives.
- Non-participants
- India said non-participation must remain a legitimate right and must not harm members’ rights or interests.
- Development
- India said special and differential treatment should be central to rule-making.
- Resources
- India warned that plurilateral agreements could divert limited World Trade Organization resources from technical assistance and capacity building.
- Investment Facilitation for Development
- India has not agreed to incorporate the China-backed agreement as an Annex 4 agreement.
- Support for Investment Facilitation for Development
- Nearly 129 World Trade Organization members have supported the agreement, according to the article.
- Countries urging a policy change
- Canada, the European Union, Gambia, and Costa Rica have criticized or questioned India’s opposition.
Quotes
European Union representative
Representative speaking during India’s WTO trade policy review
“A common understanding on safeguards can provide greater predictability to proponents; enable non-participants to understand and protect their rights and interests; preserve attention to existing mandates; and support confidence in the WTO as a Member-driven, inclusive and development-oriented multilateral institution.”
indianexpress.com
“encourages India to rethink its approach to plurilateral agreements and to consider them as an opportunity to shape the agenda of the WTO and to modernise the organisation rather than as a threat to multilateralism — which they are not, if we build them properly”
indianexpress.com
Sources
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