After witnessing the outcome of Ministerial Meetings at Seattle, Cancun and Hong Kong, the opinion that the existence of WTO and the presence of productive and purposeful multilateral trading system are in a crisis, is fast taking shape. There are indications that bilateralism may emerge as an alternative to global trade. This should not happen at any cost as it may have far reaching impact and implications for both developing and developed economies.

Though started on a tentative note, the Hong Kong meet was conducted under a conducive and cordial atmosphere. Antagonistic attitude and approach were running and hence it did not go the Seattle and Cancun way. However, not much was achieved either. The only silver lining was that a deadlock was avoided and the talks have been put forward for further negotiations during the year 2006. Apparently, developed countries and developing economies have realized that trade talks must continue with deliberations and negotiations. Neither of the blocs can afford a deadlock. Thus, the two blocs are now showing more concern about the concept and practice of Free Trade. For this, however, they have to be more realistic to make Multilateral Trading System (MTS) more meaningful and purposeful. They have to abandon myths and emerge from dreams to sustain a global multilateral trading system.

In the ensuing trade talks, new forms of barriers to trade such as technical standards need to be dismantled for the meaningful and purposeful participation of developing nations in the mainstream trade and development. Added to this, the onus of bringing a common agenda concentrating more on cut rates and opening up market access in agriculture, leaving aside internal differences lies on the developing nations. They should concentrate on the issue of subsidies and the implementation aspect of the Doha Agenda. The success of future meetings would depend on how to mainstream the trade negotiations in the development agenda rather than strive for mainstream development in the trade negotiations. This seems to be most difficult as it could be against the spirit and viewpoint of developed nations. Here too, the policy of give and take is to be applied.

Treasury Management Magazine, World Trade Organization, WTO, World Multilateral Trading System, Global Multilateral Trading System, NonAgricultural Market Access, NAMA, MultiFiber Agreement, MFA, Agricultural Sectors, World Trading Systems, Economic Development, European Union, Services Market.