The World Trade Organisation (WTO) has been accused of inequities and imbalances in some multilateral trade rules. A combined letter by Malawi, Bolivia, Cuba, Ecuador, India, Oman, South Africa, Tunisia, Uganda and Zimbabwe have argued that the subsidies agreement constrains the policy space for developing countries’ need to nurture their industries, thereby allowing advanced economies.
According to the countries, the agreement on agriculture has also been singled out for allowing developed countries to continue their high subsidies on agriculture products, including those exported to developing countries, impacting their small farmers’ livelihoods and food security. The letter happened as Malawi recently posted a failed export strategy that ended in 2018, as well as a disappointing trade gap.
The accusers say the WTO is moving away from the principles entailed in the Marrakesh Agreement and the negotiations mandate contained in the Doha Development Agenda, which sought to place the needs and interests of developing countries at the heart of the work program. “This is an urgent priority since in the absence of a functional, effective and independent mechanism for enforcing rules, negotiating new rules in any area makes no sense,” reads the letter.