What future for the WTO in a changing international order?
Summary
The briefing argues that the WTO is currently crippled by regulatory overload, 'UN-isation' of decision-making, and a deadlock in the Doha Round. It posits that the international trading system is being reshaped by overwhelming US power and the rise of Asia-Pacific economies. To remain relevant, the author suggests the WTO must rediscover its primary purpose of reducing trade barriers and move away from a co-leadership model with the EU toward a US-led approach supported by 'coalitions of the willing'. Failure to deliver a substantial market access package by 2006/7 could lead to a world dominated by discriminatory regional trade agreements, disproportionately harming low-income and least-developed countries.
Key insights
- The WTO is facing a crisis of purpose and functionality, characterized by 'regulatory overload' and a 'creeping standards harmonisation agenda' that pressures developing countries to adopt developed country norms in areas like intellectual property, labour, and environmental standards.
- The transition from GATT to WTO has led to a 'legalisation' of the organization where governments increasingly use dispute settlement litigation to fill regulatory gaps rather than relying on diplomacy and negotiation.
- The WTO's decision-making process has become inefficient and overly politicized, a process described as 'UN-isation' where procedural nit-picking and grandstanding have replaced serious negotiation.
- The proliferation of discriminatory bilateral and regional trade agreements (RTAs) is diverting resources away from the WTO and creating a 'spaghetti-bowl' of red tape.
- The author argues that the WTO's success depends on a shift in leadership; while the EU is viewed as a 'stumbling block' due to agricultural protectionism, the US must move 'out in front' to drive a market access agenda.
- The Doha Development Agenda (DDA) will only provide significant gains for developing countries if it prioritizes core market access in agriculture, non-agricultural goods, and services over implementation squabbles.
- If a substantial market access package is not achieved by 2006/7, the WTO may cease to be a vehicle for liberalisation, leading to a fragmented system of discriminatory arrangements that would most negatively impact low-income and least-developed countries.
Cite the original document
- APA
- Sally, R. (2003). What future for the WTO in a changing international order? South African Institute of International Affairs. https://saiia.org.za/wp-content/uploads/2009/02/tpb3.pdf
- Chicago
- Sally, Razeen. What future for the WTO in a changing international order? South African Institute of International Affairs, 2003. https://saiia.org.za/wp-content/uploads/2009/02/tpb3.pdf.
- Wikipedia
- {{cite report |last1=Sally |first1=Razeen |title=What future for the WTO in a changing international order? |publisher=South African Institute of International Affairs |date=September 2003 |url=https://saiia.org.za/wp-content/uploads/2009/02/tpb3.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{sally2003what, author = {Sally, Razeen}, title = {{What future for the WTO in a changing international order?}}, institution = {South African Institute of International Affairs}, year = {2003}, month = sep, url = {https://saiia.org.za/wp-content/uploads/2009/02/tpb3.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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