WTO DISPUTE SETTLEMENT BODY - INTERNATIONAL

News: Global dispute settlement, India and appellate review

 

What's in the news?

       The recently concluded G-20 Declaration, among its many commitments, reiterated the need to pursue reform of the World Trade Organization (WTO) to improve all its functions and conduct proactive discussions “to ensure a fully and well-functioning dispute settlement system accessible to all members by 2024”.

 

World Trade Organization:

       It is the only global international organization dealing with the rules of trade between nations.

 

Process of establishment:

       The Uruguay Round, conducted from 1987 to 1994, culminated in the Marrakesh Agreement, which established the World Trade Organization (WTO).

       The WTO incorporates the principles of the GATT and provides a more enduring institutional framework for implementing and extending them.

       The GATT 1994 is an international treaty binding upon all WTO Members. It is only concerned with trade in goods.

 

Relations with UN:

       It is not an UN specialized body.

 

Structure:

       Ministerial Conference:

       The topmost decision-making body of the WTO is the Ministerial Conference, which usually meets every two years.

       General Council:

       The General Council is the WTO’s highest-level decision-making body located in Geneva, meeting regularly to carry out the functions of the WTO.

       The Trade Policy Review Body:

       The WTO General Council meets as the TPRB to undertake trade policy reviews of Members under the TPRM and to consider the Director-General's regular reports on trade policy development.

       Dispute Settlement Body:

       The General Council convenes as the Dispute Settlement Body (DSB) to deal with disputes between WTO members.

 

       Appellate Body:

       The Appellate Body was established in 1995 under Article 17 of the Understanding on Rules and Procedures Governing the Settlement of Disputes (DSU).

       The DSB shall appoint persons to serve on the Appellate Body for a four-year term.

       It is a standing body of seven persons that hears appeals from reports issued by panels in disputes brought by WTO Members.

       The Appellate Body can uphold, modify or reverse the legal findings and conclusions of a panel, and Appellate Body Reports, once adopted by the Dispute Settlement Body (DSB), must be accepted by the parties to the dispute.

 

Members:

       Totally 164 members are in the WTO.

       India is a founding member.