Page 281 - DMGT401Business Environment

Business Environment

Notes Second Level: General Council in Three Guises

Day-to-Day work in between the ministerial conferences is handled by three bodies:
1. The General Council
2. The Dispute Settlement Body

3. The Trade Policy Review Body
The General Council acts on behalf of the Ministerial Conference on all WTO affairs. The General
Council has other organs - Dispute Settlement Board and the Trade Policy Review Board to
oversee procedures for settling disputes between members and to analyse members' trade
policies.

Third Level: Councils for each Broad Area of Trade, and More

Three more councils, each handling a different broad area of trade, report to the General Council:

1. The Council for Trade in Goods (Goods Council)
2. The Council for Trade in Services (Services Council)
3. The Council for Trade-Related Aspects of Intellectual Property Rights (TRIPS Council)
The three are responsible for the workings of the WTO agreements dealing with their respective
areas of trade. Again, they consist of all WTO members.

Fourth Level: Down to the Nitty-gritty

Each of the higher level councils has subsidiary bodies. The Goods Council has 11 committees
dealing with specific subjects (such as agriculture, market access, subsidies, anti-dumping
measures and so on). Again, these consist of all member countries. Also reporting to the Goods
Council is the Textiles Monitoring Body, which consists of a chairman and 10 members acting in
their personal capacities, and groups dealing with notifications (governments informing the
WTO about current and new policies or measures) and state trading enterprises.
The Services Council's subsidiary bodies deal with financial services, domestic regulations,
GATS rules and specific commitments.
At the General Council level, the Dispute Settlement Body also has two subsidiaries: the dispute
settlement "panels" of experts appointed to adjudicate on unresolved disputes, and the Appellate
Board that deals with appeals.

HODs': The Need for Informality

Besides formal meetings there are informal meetings also to resolve the matter such as those of
Head of Delegation (HOD). The practice is that the chairperson of a negotiating group tries to
attempt to build a compromise by holding consultations with delegations individually, in twos
or threes, or in groups of 20-30 of the most interested delegations. In the end, decisions have to
be taken by all members and by the consensus.

How to Join the WTO: The Accession Process

Any state or customs territory having full autonomy in the conduct of its trade policies may join
("accede to") the WTO, but WTO members must agree on the terms.

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