<h1 class="ql-align-center"><strong style="color: rgb(230, 0, 0);">WTO Panel&nbsp;</strong></h1><p class="ql-align-center"><br></p><h3><strong>Context&nbsp;</strong></h3><ul><li class="ql-indent-1">A <strong>World Trade Organization (WTO)</strong> panel said India had violated global trading rules in a dispute with the <strong>European Union (EU), Japan and Taiwan over import duties on IT products.</strong></li><li class="ql-indent-1">In 2019, the EU challenged India’s introduction of import duties of between 7.5% and 20% for a wide range of IT products, such as mobile phones and components, as well as integrated circuits, saying they exceeded the maximum rate.&nbsp;</li><li class="ql-indent-1"><strong>Japan and Taiwan </strong>filed similar complaints that same year.&nbsp;</li><li class="ql-indent-1">The EU is India’s third largest trading partner, as per the <strong>European Commission.</strong></li><li class="ql-indent-1">If India chooses to appeal then the case will sit in legal purgatory since the WTO’s top appeals bench is no longer functioning due to U.S. opposition to judges’ appointments.</li></ul><h3><strong>About&nbsp;</strong></h3><ul><li class="ql-indent-1">WTO is an international organization that promotes and regulates global trade among nations.</li><li class="ql-indent-1">The WTO was established on January 1, 1995 by replacing the <strong>General Agreement on Tariffs and Trade (GATT).</strong></li><li class="ql-indent-1">GATT had been in existence since 1948.</li><li class="ql-indent-1"><strong>It has 164 member countries, representing over 98% of global trade.</strong></li><li class="ql-indent-1">It is headquartered in <strong>Geneva, Switzerland,</strong> and operates on a consensus-based decision-making process.</li><li class="ql-indent-1">The WTO is run by its member governments. All major decisions are made by the membership as a whole, either by ministers (who meet at least once every two years) or by their ambassadors or delegates (who meet regularly in Geneva). Decisions are normally taken by consensus.</li></ul><h3><strong>The panel process</strong></h3><ul><li class="ql-indent-1">The various stages a dispute can go through in the <strong>WTO</strong>.&nbsp;</li><li class="ql-indent-1">At all stages, countries in dispute are encouraged to consult each other in order to settle<strong> “out of court”.</strong> At all stages, the WTO director-general is available to offer his good offices, to mediate or to help achieve a conciliation.</li></ul><h3><strong>Objective</strong></h3><ul><li class="ql-indent-1">Its main objective is to promote free and fair trade by eliminating barriers to trade, such as tariffs and quotas, and by ensuring that trade disputes are resolved through a transparent and predictable process.</li></ul><h3><strong>Organizational structure of WTO</strong></h3><ul><li class="ql-indent-1"><strong>Highest authority: the Ministerial Conference</strong></li><li class="ql-indent-2">Topmost is the ministerial conference which has to meet at least once every two years.</li><li class="ql-indent-2">The Ministerial Conference can take decisions on all matters under any of the multilateral trade agreements.</li><li class="ql-indent-1"><strong>Second level: General Council in three guises</strong></li><li class="ql-indent-2">Day-to-day work in between the ministerial conferences is handled by three bodies: The General Council; The Dispute Settlement Body; The Trade Policy Review Body.</li><li class="ql-indent-2">The General Council acts on behalf of the Ministerial Conference on all WTO affairs.</li><li class="ql-indent-2">It meets as the <strong>Dispute Settlement Body and the Trade Policy Review Body</strong> to oversee procedures for settling disputes between members and to analyze members’ trade policies.</li><li class="ql-indent-1"><strong>Third level: councils for each broad area of trade, and more</strong></li><li class="ql-indent-2">Three more councils, each handling a different broad area of trade, report to the General Council:</li><li class="ql-indent-2">The Council for Trade in Goods (Goods Council);</li><li class="ql-indent-2">The Council for Trade in Services (Services Council);</li><li class="ql-indent-2">The Council for Trade-Related Aspects of Intellectual Property Rights (TRIPS Council).</li></ul><p class="ql-align-center"><br></p><h1 class="ql-align-center"><strong>PRELIMS NOTES:</strong><a href="https://www.sunyaias.com/subscription-details/prelims-2023-sunya-notes-current-affairs" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 102, 204);"><strong>CLICK HERE</strong></a></h1>