Functions Of General Agreement On Tariffs And Trade

In the end, tariffs fell by 35%, with the exception of textiles, chemicals, steel and other sensitive products; In addition to a 15% to 18% reduction in tariffs on agricultural and food products. In addition, the chemical negotiations resulted in an interim agreement on the abolition of the US selling price (ASP). This was a method of assessing certain chemicals used by these countries for the institution of import duties, which gave domestic producers a much higher level of protection than indicated under tariff conditions. At the beginning of the GATT, the focus was on reducing tariffs and import duties to promote trade and reduce protectionism. This target has been largely achieved for industrial production over many business cycles. Tariffs on trade in industrial products were reduced from about 40% to less than 5% in the period from the creation of the GATT to the current implementation of the Uruguay Round. This process of reducing tariffs is at an early stage for agricultural and food products. In 1947, the average tariff for large GATT participants was about 22%. [4] As a result of the first rounds of negotiations, tariffs at the heart of the GATT of the United States, the United Kingdom, Canada and Australia have been reduced relative to other contracting and non-GATT countries. [4] During the Kennedy Round (1962-67), the average level of tariffs for GATT participants was about 15%.

[4] After the Uruguay Round, tariffs were less than 5%. [4] The Uruguayan round of multilateral trade negotiations of the General Agreement on Tariffs and Trade (GATT) ended in 1994, after 7.5 years of negotiations, with the signing of the final deed on 15 April 1994 in Marrakech, Morocco. This issue, known as the “GATT of 1994,” led to the creation of the World Trade Organization (WTO) on 1 January 1995. Among the agreements included in the WTO Treaty is the Agreement on the Application of Health and Plant Health Measures (SPS Agreement), which sets out the basic rules for the protection of human, animal and plant health during international trade (WTO, 1995).

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