Post Uruguay Round Issues for Asian Developing Countries

Abstract

This paper looks at some of the emerging issues since the conclusion of the Uruguay Round (UR) in the world trading system from the perspective of developing countries in Asia. Two important issues are the linking of trade and the environment, and the proposed “social clause” to the WTO charter relating to labor standards. The author suggests that developing countries should resist the linking of market access to performance in nontrade-related areas and, in particular, the inclusion of the social clause. Concern is raised that the commitment to the phaseout of the Multi-Fibre Arrangement (MFA) might be reneged and MFA recreated in effect through antidumping and safeguard measures. Potential problems with the UR agreement on these measures and the dispute settlement mechanism are presented. Institutional reforms in developing countries related to global integration and issues of transparency and corruption are addressed. A brief discussion of the potential danger for the WTO from proliferating preferential regional trading arrangements follows. Finally, the implications of the global trading system of recent us legislation are touched upon. Remarks on the proposal to negotiate a multilateral investment code under the aegis of the WTO conclude the paper.