Topic– Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests
5) Analyze the factors that have caused weakening of WTO and the impact it would have on India?(250 words)
Why this question
The article highlights the various factors that have led to the weakening of WTO and how the policies of WTO have impacted developing countries such as India. At a time when trade war between us and China has had significant bearing on economies of countries such as India and India is in the process of negotiating in mega regional trade deals, the significance, impact and future of WTO becomes important.
Key demand of the question
The question expects us to bring out the the factors off late that have led to dwindling consensus over the principles of WTO, an analysis of what this means for the future of WTO, and how India should respond based on its experiences with WTO.
Analyze – When asked to analyze, you have to examine methodically the structure or nature of the topic by separating it into component parts and present them as a whole in a summary.
Structure of the answer
Introduction – Discuss the current geoeconomic climate and why consensus over trading principles and institutions is dwindling.
- Explain the factors that have led to a considerable decline in the status of WTO – bring out the opposition of USA under Trump, lack of any significant achievement even two decades post Doha round, the rising number of bilateral and multilateral treaties etc
- Give your view on whether the status of WTO has actually declined or is it just a minor blip
- Discuss the impact that policies of WTO has had on India – on the issue of food security, the issue of solar cells, the multiple disputes at the WTO dispute settlement body, the lack of inroads made in services agreement etc
Conclusion – Give your view on what should be India’s response to this – become a part of multilateral trade deals such as RCEP etc , or resort to protectionism or build consensus over WTO’s policies.