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Marrakesh Agreement Establishing the Wto

The Marrakesh Agreement Establishing the World Trade Organization (WTO) is a significant international treaty that governs global trade. Created on April 15, 1994, the Marrakesh Agreement outlines the objectives, principles, and rules of the WTO. It was signed by over 120 countries, including the United States, Canada, the European Union, Japan, and China.

The Marrakesh Agreement replaced the General Agreement on Tariffs and Trade (GATT), which was established in 1947. The GATT was a multilateral trade agreement that aimed to reduce tariffs and trade barriers among its member countries. However, the GATT was limited in its scope and lacked enforcement mechanisms, leading to increasing tensions and disputes.

The WTO was created to address these shortcomings and establish a more comprehensive and effective trade system. It builds on the principles of the GATT while expanding its coverage to include trade in services, intellectual property rights, and investment. The Marrakesh Agreement also established the Dispute Settlement Body, a mechanism for resolving trade disputes between member countries.

One of the key objectives of the WTO is to promote free and fair trade among its member countries. It does this by removing trade barriers, such as tariffs and quotas, and by providing a forum for negotiating trade agreements. The WTO also provides technical assistance to developing countries to help them improve their infrastructure and increase their competitiveness in the global market.

The Marrakesh Agreement has had a significant impact on global trade since its establishment. It has facilitated the growth of international trade, leading to increased economic growth and development. It has also helped prevent trade wars and disputes by providing a framework for resolving conflicts between member countries.

However, the WTO has faced criticism and challenges over the years. Some argue that its rules and policies are biased towards developed countries and corporations, while others argue that it has not done enough to address issues like climate change and labor rights. The COVID-19 pandemic has also highlighted the challenges of global trade and the need for greater cooperation and coordination between countries.

Overall, the Marrakesh Agreement Establishing the World Trade Organization remains an important treaty in the global trade system. While there are challenges to be addressed, the WTO has been instrumental in promoting free and fair trade and facilitating economic growth and development around the world.