In which year, WTO established?
VerifiedAnswer: 1 January 1995
Explanation:
The World Trade Organization (WTO) was officially established on 1 January 1995, marking a significant milestone in international trade history. This organization replaced the General Agreement on Tariffs and Trade (GATT), which had been operating since 1947 as a provisional agreement to regulate international trade.
The creation of the WTO was the result of the Uruguay Round negotiations that took place from 1986 to 1994. These were the most comprehensive trade negotiations in history, involving 123 countries and covering various aspects of international trade including goods, services, and intellectual property rights.
The WTO serves several important functions in the global economy:
• Administering WTO trade agreements between member countries • Providing a forum for trade negotiations among nations • Handling trade disputes through its dispute settlement mechanism • Monitoring national trade policies of member countries • Providing technical assistance and training for developing countries • Cooperating with other international organizations on trade matters
Unlike GATT, which was primarily focused on trade in goods, the WTO expanded its scope to include trade in services through the General Agreement on Trade in Services (GATS) and intellectual property rights through the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS).
The WTO headquarters is located in Geneva, Switzerland, and currently has 164 member countries, making it one of the largest international economic organizations. The organization operates on the principle of consensus decision-making, where all members must agree on major decisions.
Since its establishment in 1995, the WTO has played a crucial role in promoting free and fair trade globally, helping to reduce trade barriers and resolve disputes between nations, thereby contributing to increased international trade and economic growth worldwide.
