Main Activities

negotiating the reduction or elimination of obstacles to trade (import tariffs, other barriers to trade) and agreeing on rules governing the conduct of international trade (e.g. antidumping, subsidies, product standards, etc.) administering and monitoring the application of the WTO's agreed rules for trade in goods, trade in services, and trade-related intellectual property rights. monitoring and reviewing the trade policies of members, as well as ensuring transparency of regional and bilateral trade agreements.

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Cont.
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conducting economic research and collecting and disseminating trade data in support of the WTO's other main activities. explaining to and educating the public about the WTO, its mission and its activities.

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Principles of WTO

There are 5 principles governing World Trade Organization (WTO).

Non- discrimination Reciprocity Enforceable Commitments Transparency Safety Valves

i.

ii.

iii.

iv.

v.

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Non-Discrimination
Nondiscrimination has two major components:
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The most-favored-nation (MFN) rule, and The national treatment principle.

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Reciprocity
Reciprocity is a fundamental element of the negotiating process. It reflects both a desire to limit the scope for free-riding that may arise because of the MFN rule and a desire to obtain payment for trade liberalization in the form of better access to foreign markets

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Transparency
Transparency is a basic pillar of the WTO, and it is a legal obligation, embedded in Article X of the GATT and Article III of the GATS. WTO members are required to publish their trade regulations, to establish and maintain institutions allowing for the review of administrative decisions affecting trade, to respond to requests for information by other members, and to notify changes in trade policies to the WTO.

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Enforceable Commitments
The tariff commitments made by WTO members in a multilateral trade negotiation and on accession are enumerated in a schedule (list) of concessions. These schedules establish "ceiling bindings": a country can change its bindings, but only after negotiating with its trading partners, which could mean compensating them for loss of trade. If satisfaction is not obtained, the complaining country may invoke the WTO dispute settlement procedures.
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Safety Valves
A final principle embodied in the WTO is that, in specific circumstances, governments should be able to restrict trade. There are three types of provisions in this connection:

articles allowing for the use of trade measures to attain noneconomic objectives; articles aimed at ensuring fair competition; and

provisions permitting intervention in trade 4/15/12 for economic reasons.