The subsequent effects of trade liberalization on efficiency and growth, is a heated debated among modern day economics (stiglitz). Over the years, Trade agreements and trade liberalization has built a reputation of being a contentious debate among Economists. From the impact of trade liberalization on the environment and the subsequential disguise of protectionism as environmental protection (Harold). growing inequities and the disparity in agro production, limitation in the access of markets and discriminatory trading policies became at the core of the Uruguay negotiation rounds in 1995 that led to the Creation of the World Trade Organization (WTO).
The WTO’s non-discriminatory principles meant that each country would treat all others the …show more content…
These aimed to place major emphasis in the role of international trade in the promotion of economic development and poverty alleviation and create a fair and market oriented agricultural trade system. (IFAT). At its simplest, it would grant greater access to the markets, eliminate preferential trading agreements. Its supporters hoped that new rules and commitments would encourage countries to a less trade-distorting directions and substantial progress in export completion and domestic support for local industries ( International policy research institute) Supporting literature on this issue affirms that further trade liberalization will have a positive effect on global trade flows that in turn could increase a countries welfare ( Journal of economic literature). An agreement on agricultural trading policies would reduce the legal and economic implications (IFPRI) for the countries …show more content…
Overall, trade liberalization will lead to an expansion in the agricultural market and service sectors would expand, simply put because it would grant access to more markets. Even if in the short-term economies of scale would be drawing resources from industrial sectors and contracting in the long run it would still magnify opportunities for further
The WTO’s non-discriminatory principles meant that each country would treat all others the …show more content…
These aimed to place major emphasis in the role of international trade in the promotion of economic development and poverty alleviation and create a fair and market oriented agricultural trade system. (IFAT). At its simplest, it would grant greater access to the markets, eliminate preferential trading agreements. Its supporters hoped that new rules and commitments would encourage countries to a less trade-distorting directions and substantial progress in export completion and domestic support for local industries ( International policy research institute) Supporting literature on this issue affirms that further trade liberalization will have a positive effect on global trade flows that in turn could increase a countries welfare ( Journal of economic literature). An agreement on agricultural trading policies would reduce the legal and economic implications (IFPRI) for the countries …show more content…
Overall, trade liberalization will lead to an expansion in the agricultural market and service sectors would expand, simply put because it would grant access to more markets. Even if in the short-term economies of scale would be drawing resources from industrial sectors and contracting in the long run it would still magnify opportunities for further