G20 Jaipur meet: India to seek revival of WTO dispute resolution mechanism

Goyal said that there has been convergence on major issues in trade ministerial meetings among member G20 countries but acknowledged that there are some realities on which there is “no possibility of a consensus” — referring to the Russia-Ukraine war.

“There is a good understanding between the member countries… but there are some realities (Russia-Ukraine conflict) on which there is no possibility of a consensus… agreeing on that is naturally not a possibility because it is a real situation… Barring this, we are trying to build a consensus on all the remaining priorities,” he said.

Goyal met WTO Director General Ngozi Okonjo-Iweala Wednesday and held bilateral meetings with trade ministers of Bangladesh, Brazil, France and the UAE. “India wants the WTO to be modernised. Whatever changes are required as per today’s circumstances, India will play a crucial role in it. It is important that the dispute resolution mechanism, which has been dysfunctional from the last few years, is re-established. When WTO was established, the thinking was that growth rates were different for countries, there are different levels of development, the decisions should be based on that. Which is also referred to as common but differentiated responsibility (CBDR)…(there should be) consensus, decision should be as per agreement of everyone. This was an important issue when WTO was formed and India wants WTO to continue to stay like that,” he said.

Under the WTO, countries can appeal in the appellate body to adjudicate disputes. The appellate body at the WTO stopped functioning from December 2019, but the panels are still working. Several countries including the US have been pushing for reforms in the WTO.

Goyal said India supports the need for reforms in the WTO and the country’s engagement at the WTO ministerial will further the agenda as the voice of the less developed countries and the developing world. “India has increasingly become the voice of the global south and our engagement with the WTO ministerial (in February 2024) will further our agenda as the voice of the less developed countries,” he said.

The discussions in the trade group meetings have focused on some of the world’s major challenges, complex issues to find concerted action-oriented solutions, he said. “We have been able to come up with significant consensus amongst the member countries invoking a Jaipur call for action. The Jaipur call for action will help promote industry, MSME sector, upgrade the global trade help desk, and bridge information gaps for MSMEs to help them expand their business and trade,” Goyal said, adding that the members have deliberated on formulating high-level principles for digitalisation of trade and trade facilitation. There were five priorities before the Trade and Investment Working Group — trade for growth and prosperity, trade and resilient global value chains, integrating MSMEs in global trade, logistics for trade and WTO reforms, he added.