India and the Multilateral Trading System after Seattle : Toward a Proactive Role
The authors argue that India should engage more actively in the multilateral trading system for four reasons: First, such engagement could facilitate domestic reform, and improve access to export markets. If the government could show that domestic reform would pay off with increased access to market...
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| Format: | Publications & Research |
| Language: | en_US |
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World Bank, Washington, DC
2015
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| Subjects: | |
| Online Access: | http://hdl.handle.net/10986/21442 |
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okr-10986-21442 |
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oai_dc |
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Foreign Institution |
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Digital Repositories |
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World Bank Open Knowledge Repository |
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World Bank |
| language |
en_US |
| topic |
multilateral trade negotiations reform policy export markets domestic regulatory framework exports opposition to participation external trade credibility lending instruments competitiveness market access quota ratio tariff reductions regional cooperation trade liberalization adverse impacts agricultural exporters agricultural markets agricultural products agricultural trade agriculture anti-competitive practices antidumping antidumping actions antidumping cases applied tariff average tariff average tariff rates balance of payments bargaining power barriers to entry bound tariff comparative advantage competition law competition policies competition policy competitive markets competitive practices concessions consumer protection country markets current environment customs developed countries dispute settlement dispute settlement process domestic economy domestic firms domestic industry domestic investors domestic legislation domestic policy reform domestic reforms domestic regulation domestic regulations domestic suppliers dynamic benefits economic efficiency economic policies economic research economic value eliminating barriers environmental standards export markets export subsidies exporters exports financial services foreign banks foreign markets global liberalization guarantee of access high tariffs imports income industrial products intellectual property intellectual property rights interest groups international negotiating inventions investment policy labor mobility labor standards legal systems legislation liberal policies local content market access market failures market power MFN tariffs multilateral arena multilateral system multilateral tariff reduction multilateral tariffs multilateral trade multilateralism mutual recognition mutual recognition agreements national sovereignty negotiating agenda negotiating position open trade openness partner countries partner country policy environment policy instruments policy makers policy reform political economy preferential access preferential arrangements preferential trading preferential trading arrangements programs property rights protectionism public policy quantitative restrictions quotas reducing barriers regional agreements regionalism regulatory barriers tariff lines tariff rates tariff reductions taxation telecommunications terms of trade trade barriers trade diversion trade diversion costs trade liberalization trade losses trade policies trade policy trade protection trading partners trading system transfer of technology TRIPs agreement unilateral reform Uruguay Round world exports world markets World Trade World Trade Organization WTO |
| spellingShingle |
multilateral trade negotiations reform policy export markets domestic regulatory framework exports opposition to participation external trade credibility lending instruments competitiveness market access quota ratio tariff reductions regional cooperation trade liberalization adverse impacts agricultural exporters agricultural markets agricultural products agricultural trade agriculture anti-competitive practices antidumping antidumping actions antidumping cases applied tariff average tariff average tariff rates balance of payments bargaining power barriers to entry bound tariff comparative advantage competition law competition policies competition policy competitive markets competitive practices concessions consumer protection country markets current environment customs developed countries dispute settlement dispute settlement process domestic economy domestic firms domestic industry domestic investors domestic legislation domestic policy reform domestic reforms domestic regulation domestic regulations domestic suppliers dynamic benefits economic efficiency economic policies economic research economic value eliminating barriers environmental standards export markets export subsidies exporters exports financial services foreign banks foreign markets global liberalization guarantee of access high tariffs imports income industrial products intellectual property intellectual property rights interest groups international negotiating inventions investment policy labor mobility labor standards legal systems legislation liberal policies local content market access market failures market power MFN tariffs multilateral arena multilateral system multilateral tariff reduction multilateral tariffs multilateral trade multilateralism mutual recognition mutual recognition agreements national sovereignty negotiating agenda negotiating position open trade openness partner countries partner country policy environment policy instruments policy makers policy reform political economy preferential access preferential arrangements preferential trading preferential trading arrangements programs property rights protectionism public policy quantitative restrictions quotas reducing barriers regional agreements regionalism regulatory barriers tariff lines tariff rates tariff reductions taxation telecommunications terms of trade trade barriers trade diversion trade diversion costs trade liberalization trade losses trade policies trade policy trade protection trading partners trading system transfer of technology TRIPs agreement unilateral reform Uruguay Round world exports world markets World Trade World Trade Organization WTO Mattoo, Aaditya Subramanian, Arvind India and the Multilateral Trading System after Seattle : Toward a Proactive Role |
| geographic_facet |
South Asia Asia South Asia World India |
| relation |
Policy Research Working Paper;No. 2379 |
| description |
The authors argue that India should engage more actively in the multilateral trading system for four reasons: First, such engagement could facilitate domestic reform, and improve access to export markets. If the government could show that domestic reform would pay off with increased access to markets abroad, those who gain from such access - whether they export textiles, software, professional services, or other products - could represent a countervailing voice to reform's opponents. In turn, the need for this external payoff to secure domestic reform makes India a credible bargainer, which could induce trading partners, to open their markets to India. Second, external commitments can foster good domestic policies, by providing guarantees against the reversal of current policies, or lending credibility to promises of future reform. Such pre-commitments could help strike a balance between the reluctance to unleash competition immediately, and the desire not to be held perpetual hostage to vested interests, or weak domestic industries. Third, engagement can help enforce India's market access rights. If other countries do not eliminate quotas on textiles, and clothing as scheduled, India can credibly threaten to withdraw its obligations under the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPs). Fourth, multilateral tariff reduction could reduce the disadvantage (to India) of not being part of regional agreements. The value of multilateral engagement might be limited, if the prospects for securing increased market access are dim, as the failed Seattle negotiations might appear to suggest. India must credibly test negotiating pessimism by showing its willingness to open its markets in return for improved access to foreign markets. Success is not certain, but India's chances are improved if aligns itself with countries pressing for sound policies of open trade. |
| format |
Publications & Research |
| author |
Mattoo, Aaditya Subramanian, Arvind |
| author_facet |
Mattoo, Aaditya Subramanian, Arvind |
| author_sort |
Mattoo, Aaditya |
| title |
India and the Multilateral Trading System after Seattle : Toward a Proactive Role |
| title_short |
India and the Multilateral Trading System after Seattle : Toward a Proactive Role |
| title_full |
India and the Multilateral Trading System after Seattle : Toward a Proactive Role |
| title_fullStr |
India and the Multilateral Trading System after Seattle : Toward a Proactive Role |
| title_full_unstemmed |
India and the Multilateral Trading System after Seattle : Toward a Proactive Role |
| title_sort |
india and the multilateral trading system after seattle : toward a proactive role |
| publisher |
World Bank, Washington, DC |
| publishDate |
2015 |
| url |
http://hdl.handle.net/10986/21442 |
| _version_ |
1764448274243125248 |
| spelling |
okr-10986-214422021-04-23T14:04:02Z India and the Multilateral Trading System after Seattle : Toward a Proactive Role Mattoo, Aaditya Subramanian, Arvind multilateral trade negotiations reform policy export markets domestic regulatory framework exports opposition to participation external trade credibility lending instruments competitiveness market access quota ratio tariff reductions regional cooperation trade liberalization adverse impacts agricultural exporters agricultural markets agricultural products agricultural trade agriculture anti-competitive practices antidumping antidumping actions antidumping cases applied tariff average tariff average tariff rates balance of payments bargaining power barriers to entry bound tariff comparative advantage competition law competition policies competition policy competitive markets competitive practices concessions consumer protection country markets current environment customs developed countries dispute settlement dispute settlement process domestic economy domestic firms domestic industry domestic investors domestic legislation domestic policy reform domestic reforms domestic regulation domestic regulations domestic suppliers dynamic benefits economic efficiency economic policies economic research economic value eliminating barriers environmental standards export markets export subsidies exporters exports financial services foreign banks foreign markets global liberalization guarantee of access high tariffs imports income industrial products intellectual property intellectual property rights interest groups international negotiating inventions investment policy labor mobility labor standards legal systems legislation liberal policies local content market access market failures market power MFN tariffs multilateral arena multilateral system multilateral tariff reduction multilateral tariffs multilateral trade multilateralism mutual recognition mutual recognition agreements national sovereignty negotiating agenda negotiating position open trade openness partner countries partner country policy environment policy instruments policy makers policy reform political economy preferential access preferential arrangements preferential trading preferential trading arrangements programs property rights protectionism public policy quantitative restrictions quotas reducing barriers regional agreements regionalism regulatory barriers tariff lines tariff rates tariff reductions taxation telecommunications terms of trade trade barriers trade diversion trade diversion costs trade liberalization trade losses trade policies trade policy trade protection trading partners trading system transfer of technology TRIPs agreement unilateral reform Uruguay Round world exports world markets World Trade World Trade Organization WTO The authors argue that India should engage more actively in the multilateral trading system for four reasons: First, such engagement could facilitate domestic reform, and improve access to export markets. If the government could show that domestic reform would pay off with increased access to markets abroad, those who gain from such access - whether they export textiles, software, professional services, or other products - could represent a countervailing voice to reform's opponents. In turn, the need for this external payoff to secure domestic reform makes India a credible bargainer, which could induce trading partners, to open their markets to India. Second, external commitments can foster good domestic policies, by providing guarantees against the reversal of current policies, or lending credibility to promises of future reform. Such pre-commitments could help strike a balance between the reluctance to unleash competition immediately, and the desire not to be held perpetual hostage to vested interests, or weak domestic industries. Third, engagement can help enforce India's market access rights. If other countries do not eliminate quotas on textiles, and clothing as scheduled, India can credibly threaten to withdraw its obligations under the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPs). Fourth, multilateral tariff reduction could reduce the disadvantage (to India) of not being part of regional agreements. The value of multilateral engagement might be limited, if the prospects for securing increased market access are dim, as the failed Seattle negotiations might appear to suggest. India must credibly test negotiating pessimism by showing its willingness to open its markets in return for improved access to foreign markets. Success is not certain, but India's chances are improved if aligns itself with countries pressing for sound policies of open trade. 2015-02-13T18:35:59Z 2015-02-13T18:35:59Z 2000-06 http://hdl.handle.net/10986/21442 en_US Policy Research Working Paper;No. 2379 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper South Asia Asia South Asia World India |