Transcript REGIONAL TRADE AGREEMENTS(RTAS)

REGIONAL TRADE
AGREEMENTS(RTAs)
INTRODUCTION
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RTAs
• GATT rules on Regional Trade
Agreements, as laid down in GATT Article
XXIV and clarified in the Understanding on
the provision, permit departures from the
Most-Favoured Nation treatment as they
allow parties to an RTA (involving
developed countries) to grant each other
trade preferences without multilateralising
concessions.
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NORTH ATLANTIC FREE TRADE
AREA(NAFTA)
PREAMBLE
The Government of Canada, the Government of the United Mexican
States and the Government of the United States of America, resolved
to:
• STRENGTHEN the special bonds of friendship and cooperation
among their nations;
• CONTRIBUTE to the harmonious development and expansion of
world trade and provide a catalyst to broader international
cooperation;
• CREATE an expanded and secure market for the goods and
services produced in their territories;
• REDUCE distortions to trade;
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• ESTABLISH clear and mutually advantageous rules
governing their trade;
• ENSURE a predictable commercial framework for
business planning and investment;
• BUILD on their respective rights and obligations under
the General Agreement on Tariffs and Trade and other
multilateral and bilateral instruments of cooperation;
• ENHANCE the competitiveness of their firms in global
markets;
• FOSTER creativity and innovation, and promote trade in
goods and services that are the subject of intellectual
property rights;
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• CREATE new employment opportunities and improve
working conditions and living standards in their
respective territories;
• UNDERTAKE each of the preceding in a manner
consistent with environmental protection and
conservation;
• PRESERVE their flexibility to safeguard the public
welfare;
• PROMOTE sustainable development;
• STRENGTHEN the development and enforcement of
environmental laws and regulations; and
• PROTECT, enhance and enforce basic workers' rights;
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Objectives
a) eliminate barriers to trade in, and facilitate the
cross-border movement of, goods and services
between the territories of the Parties;
b) promote conditions of fair competition in the free
trade area;
c) increase substantially investment opportunities
in the territories of the Parties;
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d) provide adequate and effective protection and
enforcement of intellectual property rights in
each Party's territory;
e) create effective procedures for the
implementation and application of this
Agreement, for its joint administration and for the
resolution of disputes; and
f) establish a framework for further trilateral,
regional and multilateral cooperation to expand
and enhance the benefits of this Agreement.
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The Association of Southeast Asian Nations, or
ASEAN
primary goal:
• to support sustainable economic growth and prosperity
in the Asia-Pacific region,
• to build a dynamic and harmonious Asia-Pacific
community by championing free and open trade and
investment,
• promoting and accelerating regional economic
integration
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• encouraging economic and
technical cooperation,
• enhancing human security, and
facilitating a favorable and
sustainable business environment.
• turn policy goals into concrete
results and agreements into
tangible benefits.
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Achievements and Benefits
1. Since APEC's inception in 1989, APEC's total
trade has grown 395%, significantly
outpacing the rest of the world.
2. In the same period, GDP (in purchasing
power parity terms) in the APEC region has
tripled, while GDP in the rest of the world has
less than doubled.
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Three main pillars of activity:
• Trade and Investment Liberalization,
• Business Facilitation and
• Economic and Technical Cooperation,
has helped drive this economic growth and improve
employment opportunities and standards of living for
the citizens of the region.
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Trade and Investment Liberalisation
• When APEC was established in 1989
average trade barriers in the region stood
at 16.9%; by 2004 barriers had been
reduced by approximately 70% to 5.5%.
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• Intra-APEC merchandise trade (exports
and imports) has grown from US$1.7
trillion in 1989 to US$8.44 trillion in 2007 an average increase of 8.5% per year; and
merchandise trade within the region
accounted for 67% of APEC's total
merchandise trade in 2007.
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• Trade with the rest of the world has
increased from US$3 trillion in 1989
to US$15 trillion in 2007, an average
increase of 8.3% per year.
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• Trade in the rest of the world
has increased at 7.6% over
the same period.
• Over 30 bilateral free trade
agreements (FTAs) have been
concluded between APEC
Member Economies.
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MEMBER COUNTRIES
Australia, Brunei Darussalam, Canada,
Chile, People's Republic of China, Hong
Kong, China, Indonesia, Japan , Republic of
Korea, Malaysia, Mexico, New Zealand,
Papua New Guinea, Peru, The Philippines,
Russia, Singapore, Chinese Taipei,
Thailand, The United States, Viet Nam
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ESTABLISHMENT
• The Association of Southeast Asian
Nations, or ASEAN, was established on 8
August 1967 in Bangkok, Thailand, with
the signing of the ASEAN Declaration
(Bangkok Declaration) by the Founding
Fathers of ASEAN, namely Indonesia,
Malaysia, Philippines, Singapore and
Thailand.
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• Brunei Darussalam then joined on 8
January 1984, Viet Nam on 28 July 1995,
Lao PDR and Myanmar on 23 July 1997,
and Cambodia on 30 April 1999, making
up what is today the ten Member States of
ASEAN.
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AIMS AND PURPOSES
• As set out in the ASEAN Declaration, the aims
and purposes of ASEAN are:
• To accelerate the economic growth, social
progress and cultural development in the
region through joint endeavours in the spirit of
equality and partnership in order to strengthen
the foundation for a prosperous and peaceful
community of Southeast Asian Nations;
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• To promote regional peace and stability
through abiding respect for justice and the
rule of law in the relationship among
countries of the region and adherence to
the principles of the United Nations
Charter;
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• To collaborate more effectively for the
greater utilisation of their agriculture and
industries, the expansion of their trade,
including the study of the problems of
international commodity trade, the
improvement of their transportation and
communications facilities and the raising
of the living standards of their peoples;
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•
To promote Southeast Asian studies;
and
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To maintain close and beneficial
cooperation with existing international
and regional organisations with similar
aims and purposes, and explore all
avenues for even closer cooperation
among themselves.
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FUNDAMENTAL PRINCIPLES
• In their relations with one another, the ASEAN
Member States have adopted the following
fundamental principles, as contained in the
Treaty of Amity and Cooperation in Southeast
Asia (TAC) of 1976:
• Mutual respect for the independence,
sovereignty, equality, territorial integrity, and
national identity of all nations;
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• The right of every State to lead its national
existence free from external interference,
subversion or coercion;
• Non-interference in the internal affairs of one
another;
• Settlement of differences or disputes by peaceful
manner;
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• Renunciation of the threat or use of force;
and
• Effective cooperation among themselves.
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BIMSTEC
• is bay of Bengal Initiative for Multi Sectoral Technical Economic Cooperation.
• seven members; namely Bangladesh,
India, Myanmar, Sri Lanka, Thailand,
Nepal and Bhutan was formed in June,
1997 with four members- Bangladesh,
India, Sri Lanka and Thailand.
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• Later, in November 1997, Myanmar was
included as a member and in 2003 both
Nepal and Bhutan were granted
membership in the forum.
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Primary objectives of BIMSTEC
• To create an enabling environment for rapid
economic development,
• To accelerate social progress in the sub-region,
• To promote active collaboration and mutual
assistance on matters of common interest,
• To provide assistance to each other in the form
of training and research facilities,
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• To cooperate more effectively in joint efforts that
are supportive of,
• To complementary to national development
plans of member states,
• To maintain close and beneficial cooperation
with existing international and regional
organizations, and
• To cooperate in projects that can be dealt with
most productively on a sub-regional basis and
which make best use of available synergies
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BIMSTEC had two Summits:
• The first one was held in Thailand in 2004 and
• The second Summit was organized in New Delhi
in 2008.
It has identified fourteen priority areas where all
the member countries would cooperate with each
other;
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These areas are as follows:
• Trade and Investment
• Transport and Communication
• Energy
• Tourism
• Technology
• Fisheries
• Agriculture
• Public Health
• Poverty Alleviation
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• Counter Terrorism and trans-National
Crime Protection of BioDiversities/Environment and Natural
Disaster Management
• Culture
• People-to-people contact
• Climate Change
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• BIMSTEC countries have signed a
Framework
Agreement on Free Trade Area (BIMSTEC
FTA)
which aims to create a free trade area
within
BIMSTEC region by 2017 as a whole.
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• In December, 2009, Foreign Ministers of
all the member countries have signed the
Convention on Cooperation in Combating
International Terrorism, Trans-National
Organised Crime and Illicit Drug
Trafficking.
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• BIMSTEC is one of the youngest regional
sub-groupings in the region and it has
potentials to clear many dark clouds from
the regional sky.
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• It has emerged in 1997 and this is 2010,
hence, the governments of the member
countries should not forget their promises
and expectations of the people.
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