Dispute settlement and reforms

Are we going into a possibility of some Dispute Settlement reforms? The statement of the DG, WTO recently indicates this:

"Before I conclude, let me briefly mention the Dispute Settlement negotiations, where the Chairman of the DSB Special Session Ambassador Saborío, is now launching a new phase of the DSU negotiations on the basis of consultations he held last month with delegations.  As the first step of this new phase, the Chairman will now consult a group of delegations on essentially all outstanding issues in the DSU negotiations.  At these consultations, the Chairman will invite proponents and other interested participants to follow up with a focussed exercise among themselves to explore solutions on specific issues.  The Chairman intends to assist this exercise and ensure its transparency for all delegations."

Looking at this space for more details...

What did the candidates say?

The race for the DG's position at the WTO is formally underway with the presentation and press conference made by the potential candidates in January 2013. The nominees currently vying for the WTO’s top post are Alan Kyerematen of Ghana; Anabel González of Costa Rica; Mari Elka Pangestu of Indonesia; Tim Groser of New Zealand; Amina Mohamed of Kenya; Ahmad Thougan Hindawi of Jordan; Herminio Blanco of Mexico; Taeho Bark of Korea; and Roberto Carvalho de Azevêdo of Brazil. The WTO had a webcast of the press conferences here. Sofia Alicia Balino makes a succinct analysis of the positions taken by the 9 candidates on various issues here.

Some underlying themes expressed in the press conferences of the candidates were:

1. A belief in the multilateral institution and the faith that it can be relevant to the issues facing international trade

2. The need to address the issues stalling the Doha round of trade negotiations and to confront them with heterodox and innovative solutions

3. Ensure Bali leads to a positive outcome with successful results (mini-deals), which can be extended to the Doha round

4.Recognize the need for the WTO to grapple with 21st century trade issues in order not to lose its relevance

5. Ensure that the other functions of the WTO, including monitoring of trade agreements and dispute settlement are performed more effectively

6.They were candid enough to suggest that they did not have all the answers to the impasse but were optimistic of finding a solution 

The coming months will see more debate and hope for the multilateral institution's strength of being a "member-driven" organization with the candidates having to convince member countries about their candidacy. To what extent the selection would be based on credentials and realities of political economy is another debate!

Hat tip to Pradeep Mehta, CUTS for bringing my attention to Sofia's piece.

2013 - Would multilateralism prevail?

With the Bali Ministerial is fast approaching (in the context of trade negotiations a year is definitely 'fast approaching') calls for a reinvigoration of multilateralism have started surfacing again. The failure of the Doha round and a growth in bilateralism are seen as threats to the rule-based, non-discriminatory international legal framework.

Peter Sutherland, a former GATT and WTO Director General, called upon the US and China to take a lead in restoring the credibility of the WTO negotiation process. Writing in Livemint on the issue he stated:

"It is not too late to reverse the apparently inexorable tide of bilateralism. But the only way to do so is by proceeding with WTO negotiations. Even if the Doha Round cannot be concluded, there may be other routes, such as implementing what has already been agreed. 

Another alternative might be to advance multilateral negotiations among willing countries in specific areas, such as services, with other WTO members joining later. 

But if we are to move forward rather than revert to earlier, more dangerous times, the US, in particular, must reassert a constructive role in multilateralism. The US must lead again, as it did in the past. And now it must do so with China at its side."

WIll multilateralism prevail in 2013? WIll the low hanging fruit of multilateral negotiations be picked? Will a Trade Facilitation Agreement get a thumbs-up? Will more plurilateral agreements be entered into, to be adopted later by all members? Will it lead to the resurrection of multilateral negotiations to break the juggernaut of PTAs and FTAs? How will the impasse be broken? Which countries will take a lead? How will dispute settlement react to the progress in negotiations? How much pressure would it be able to withstand? Will it be continue to evoke the respect it does now?

One would need to see through 2013 for some of these answers, I guess.