Tip 1: Under what conditions did Russia join the WTO?

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Tip 1: Under what conditions did Russia join the WTO?

August 22 this year, Russia officiallyJoined the World Trade Organization (WTO). This organization was established in 1995 to regulate trade and political relations between different states, as well as to promote maximum liberalization of trade.

On what conditions did Russia join the WTO

The WTO is developing rules for international trade,and also monitors compliance with these rules. The headquarters of the organization is located in the Swiss city of Geneva. The WTO unites the majority of the countries of the world. Russia, having joined this organization, became its 156th member. The WTO activities are based on three fundamental principles: equal rights, reciprocity and transparency. The process of Russia's admission to the WTO has dragged on for many years, and all this time the debate has not abated: will this benefit our country, will not damage many industries, and especially Agriculture. After all, they will have to enter into direct competition with industry and agriculture in many developed countries that are in more favorable conditions. Therefore, in order to minimize the possible negative consequences, the leadership of Russia has made concessions from the WTO leadership on some significant issues. So, in particular, although the WTO rules forbid the direct support of its producer, Russia will be able to continue subsidizing its agriculture within the limits existing for the present time. This in terms of the international currency is approximately $ 4.4 billion annually. Moreover, to maximally mitigate the problems of its agriculture and implement its modernization program, Russia has achieved the right to increase in 2012 and 2013. this support more than doubled - up to $ 9 billion a year. Only starting from 2014, it is necessary to gradually reduce the amount of support, and from 2017 to return to the previous level - $ 4.4 billion. Similar measures have been adopted for certain industries of the Russian industry: automotive, chemical, metallurgical, mineral fertilizers, etc. . Therefore, the fears that many of our enterprises will be ruined, unable to withstand direct competition with the best foreign producers, are hardly justified. Moreover, it is not a secret that corruption in Russia is particularly damaging to Russian business in general and to producers in particular. With the help of the WTO rules, it can be used to fight more successfully than it has been. For example, a foreign partner, faced with manifestations of corruption in Russia, may seek help from the Geneva Dispute Settlement Commission, which is independent of the Russian judicial system, alas, also very corrupt.

Tip 2: What are the advantages of joining the WTO

The first results of Russia's accession to the Worldthe trade organization was announced by Russian President Vladimir Putin six months after the ratification of the relevant documents. The main advantage of this step was the creation of a favorable investment climate in the country.

At the moment, members of the World Trade Organizationorganizations are 159 states of the world. The rest, with rare exceptions, strive to enter it. The very number of WTO member countries shows that membership in this organization brings great benefits to their economies.

Reduction of customs duties.

It is the obligatory reduction of export andImport customs duties on a number of goods as the main argument is put forward by critics of joining the WTO. Of course, they are not against this decline. But only if it is a matter of customs barriers in other countries, and not in their own. Lowering of import duties bears a direct benefit to the end user. This inevitably entails the influx of imported goods into the country, increasing competition and, as a consequence, lowering retail prices. Reduction of export duties is particularly beneficial to the raw materials industry. But other exporting enterprises benefit from this. Automatically there is a decrease in prices for exported products, which means that it becomes more competitive.

Creating a favorable investment climate.

Accession to the WTO is beneficial forimage of the state. And this means that it becomes more attractive for foreign investors. The attraction of foreign investment is the main prerogative for the economy of any state. For Russia, for example, the inflow of foreign investments into the economy may amount to five to ten percent of GDP, while it will lose less than one percent at the reduction of duties.

Other advantages of joining the WTO

Undoubtedly, the financial sector winseconomy. Increasing competition in the financial market should lead to a reduction in interest rates on loans. Also, the modernization of the domestic economy will be accelerated. In the face of increased competition, producers will be forced to look for ways to improve the quality of manufactured products and reduce the cost of production. Expand opportunities for domestic investors to participate in the economies of WTO member countries. It will be much easier to resolve emerging trade disputes between countries. To this end, the WTO has a special commission for the settlement of disputes. Russia has recently entered the WTO and has not brought any significant positive or negative results so far. Therefore, to summarize the preliminary results of this entry will be only a minimum of five years.

Council 3: Why is WTO accession negative

Negotiations on Russia's accession to the WTO have lastedalmost 18 years. And finally, on August 22, 2012 the protocol on the entry of the Russian Federation into this international organization came into force. However, this event caused an ambiguous reaction both among ordinary people and authoritative experts.

Against Russia's entry into the World TradeThe organization was protested by many specialists: economists, financiers, deputies, agricultural producers, representatives of most industries. However, their arguments were not heard by the Russian government. Now, in practice, the citizens of the country have to see whether the representatives of the expert community were right or wrong when they drew attention to the negative consequences of Russia's membership in the WTO. So, what complex of problems can a heavy burden lie on the shoulders of Russians after the recent step of the government? Analysts at the WTO-Inform Center and the Institute of Globalization and Social Movements calculated that in 8 years the Russian economy will lose about 26 trillion rubles due to the country's accession to the WTO. This figure includes not only direct losses, but also lost opportunities for growth. Domestic energy prices, including gas, will start to rise. According to the pessimistic forecasts of the researchers, by 2020 about 4.4 million Russians will become unemployed. This applies primarily to those who work in the field of aircraft and automotive, textile, footwear and leather, sugar, electronics, etc. These industries will not be able to withstand competition. According to the signed agreements, Russia will have to reduce import duties on foreign goods. The consequence of this step will be that these products will be unprofitable to produce in the Russian Federation. Most of all this will affect agriculture. The producers of grain, pork, milk, poultry will suffer. After all, foreign farmers are equipped much better than Russian farmers. And subsidies from their states receive much more on more favorable terms. Ultimately, all this will affect consumers: domestic agriculture will come to a final decline, low-quality imported products will enter the country, including frozen meat and dangerous genetically modified vegetables . The fact is that under WTO agreements, Russia will no longer be able to impose bans on imports and even label food from GMOs. All this can lead to an increase in morbidity and increased mortality among Russians. The expert community fears that Russia will lose its economic sovereignty. Transnational corporations will be able to receive Russian raw materials at low prices, and modern technologies, which our country hopes to receive, will not be provided.

Council 4: What is the WTO?

In modern conditions, countries with a market economyEconomy are looking for support and the most favorable conditions in the face of their economic partners. Integration processes in the world economy led to the formation of the WTO - the World Trade Organization.

The purpose of the World Trade OrganizationIs the liberalization of trade and economic relations of all member countries of this organization. At the moment, the WTO includes 153 countries, its headquarters are in Geneva, and the official languages are English, French and Spanish. The main task of the WTO is the introduction throughout the world of a unified system of trade rules and trade and economic relations. This task, according to WTO members, is feasible only if a number of principles are observed. The first principle is equality. This means that any country should provide such terms of trade for other countries that would not in any way interfere with it. If one country gets an advantage in the trading position, then any other country has the right to demand the same benefits for itself in trade, and it has no right to refuse it. The second principle is reciprocity. Any economic concessions between the two WTO member countries must be mutual. The third principle is transparency. Any country, a WTO member, must freely provide other countries with all information about the rules of trade within it. Undoubtedly, there are often contradictions between countries on certain economic issues. When disputes arise, countries apply to the Dispute Settlement Commission, whose objective is to impartially and promptly resolve conflicts. During the existence of the WTO, this Commission was convened six times. The feasibility of the existence of the WTO was questioned in connection with the economic crisis, when many countries of the world were forced to introduce protective measures within their economic spaces. The opponents of the existence of the World Trade Organization are antiglobalists and environmentalists. The essence of the claims of the latter is the assertion that the accelerated economic and trade processes between its member countries harm the natural environment.

Council 5: How to join the WTO

International cooperation in the field of trade with1947 to 1995 was governed by the decisions of the General Agreement on Tariffs and Trade (GATT). The need for cooperation in this field was proved by the economic crisis of 1929, and the United States and Britain initiated it in 1944. On 1 January 1995, an agreement was signed in Marrakech to establish the World Trade OrganizationWTO). By early 2012, its members are 156 states.

Instructions

Membership in WTO implies a balance of rights and obligations of all member countries of the agreement. Any state or customs union can join this organization on certain conditions. For example, WTO are the European Union as a whole and each country that is part of it.

Before the start of negotiations on accession to the WTO state can become an observer with thisorganization. This stage is not mandatory. It is necessary for the government of the applicant country to become better acquainted with the activities of the organization and decide whether membership is beneficial to the state.

The status of the observer is granted for 5 years and entitles to attend meetings of all bodies WTO, With the exception of the Committee on Budget, Finance and Administration. Observers can apply for technical assistance to the Secretariat and are obliged to pay contributions for services rendered to them.

The further accession process can be divided into four stages. The government submits an application describing all aspects of the country's trade and economic policy relevant to the field of activity WTO. The Memorandum is considered by the working group, which makes a conclusion about the possibility of the applicant's admission to the organization. Participation in these groups is available to all Member States WTO.

2. After the working group has made a preliminary conclusion, bilateral negotiations begin between the participating countries and the applicant. They concern changes in tariff rates, access to markets and other problems in the sphere of goods and services. Negotiations can be very lengthy and complex, as they must prove the benefit of all members of the organization from the adoption of a new state.

3. When the working group fully studies the trading conditions of the applicant, and bilateral negotiations are successfully concluded, the terms of entry are finalized. The group prepares a final report, a draft membership agreement and a list of obligations of the new member of the organization.

4. The final package of documents, consisting of a final report, a protocol and a list of commitments, shall be submitted to the General Council WTO Or the Ministerial Conference. If at least 2/3 of the participating countries voted for the new member, the applicant can sign the protocol and join the organization. However, in many countries it is necessary to ratify this decision by the parliament so that it will enter into force.

Council 6: Why Russia WTO

The World Trade Organization, which includesmany countries, strives to create a modern world economy and a single global market. Russia's accession to the WTO causes contradictory feelings among many citizens of the country.

As the main argument for joiningRussia to the WTO, supporters of this action call for equality in trade relations with members of the organization. Also among the main reasons for joining are the following: the formation of favorable conditions for foreign investments into the Russian economy, the introduction of competitive products from Russia to the international market, the creation of a positive image of Russia in the world trade market. Russians who consider that the country can do without entering the WTO , argue that products produced in Russia, and now sold abroad without any problems. In addition, the question of whether Russian products can compete with foreign ones provokes mixed reactions among residents of the country, especially if it comes to the domestic auto industry. Most of the reasons for joining the World Trade Organization are considered by many Russians to be fictitious and believe that Russia is a self-sufficient the country, primarily because its economy was created separately from others. Now the Russian Federation delivers a large number of export goods, which include energy carriers, weapons, high-tech products, seafood, etc. The key factor in the Russian economy is the highly developed production of consumer goods within the country. After joining the WTO, a number of factories producing such products simply can not compete with competition and will have to close down. Thus, in Russia the problem of unemployment will become quite acute. Ways to solve this problem supporters of accession to the WTO do not pose. In detail, all the advantages of Russia's accession to the World Trade Organization are highlighted on the portal - Wto.ru. But, unfortunately, the lobbyists of this process are not in a hurry to reveal its minuses, which also have the right to exist.

Council 7: What gives Russia membership in the WTO

Russia is not in a vacuum, it is surrounded by othersState. Some of them, even if they are significantly removed, cooperate with our country on many economic issues. Accession to the WTO is another step towards opening the Russian economy to global cooperation, but it has both advantages and disadvantages. The question of how this will turn out for Russia remains unclear. The consequences of the decision are largely dependent on the actions of Russian officials, which will be undertaken in the course of cooperation with other countries.

Matryoshka as a symbol of national production

Instructions

Russia was going to join the WTO, long18 years - it was that much time passed in anticipation of a positive decision on the country's admission to the World Trade Organization. The world economy in the modern world is such that the countries that are members of the WTO receive many advantages. Even the advantages are obtained by the inhabitants of these countries, as they have access to the best goods of the world at the most favorable prices. Russia could not join the WTO for a long time for various reasons, including both political and economic ones. But in the summer of 2012, the Russian Federation became the official member of the WTO.

To understand what are the pros and cons of being inWTO, it is useful to understand what it is all about. The World Trade Organization currently controls about 97% of world trade turnover. The organization's tasks are as follows: simplification of world trade, improving the economies of participating countries and improving the welfare of all their inhabitants. The solution of these problems provides some instructions that are the same for all states. In order for WTO membership to improve the economy, these instructions need to be followed.

Among the advantages of Russia's accession to the WTO,First of all, it is called that Russia becomes a full participant in world trade. By the way, Russia joined the trade union of the last of the so-called "big twenty" countries, with a noticeable delay. The WTO is the world's markets open to Russian goods, as well as open access for foreign investors wishing to make influence in the Russian economy.

Also, the WTO is to increase competition in anySphere. For example, unreasonably high rates for domestic credit products are partly due to the complete lack of competition among Russian banks. And many food products produced in other countries are cheaper than those that can be bought in Russia. Accession to the WTO forces the country's economy to take the path of modernization, which means that all domestic goods will have to meet world standards of quality. That is why joining the WTO is especially beneficial for ordinary people.

In addition to improving the quality of goods, there are othersadvantages. Various imported goods, which today are quite expensive, will cost the buyer cheaper, as duties on their import will significantly decrease. Similarly, Russian producers will be able to enter the world market, since the export of goods from Russia will no longer cost enormous amounts, making the final price for products unprofitable for sale abroad. Among other things, participation in the WTO improves Russia's image in the world, which affects all types of relations of our country with others.

But the decision to join the WTO has its drawbacks. First and foremost, everyone is frightened by the fact that Russian enterprises and products will be completely uncompetitive, which will lead to their ruin. The absence of duties on imported goods can lead to the fact that the price of foreign goods in Russia's domestic markets will drop, and local production will become simply unprofitable. Especially the agricultural sector and the automotive industry may suffer from this. The budget of the country may decrease from the fact that duties on import and export of goods will be abolished.

If we sum up, we can say that the WTO,as a litmus test, will show Russians how good they really produce and consume good foods. It can happen that analogs from other countries are much cheaper and more qualitative. In the event that Russian enterprises fail to bring their products to an acceptable level, they risk not sustaining competition and going bankrupt. Nevertheless, accession to the WTO, subject to state support to domestic business, promises to improve the economy and improve welfare for ordinary citizens. In any case, the results will be noticeable no earlier than in 5-8 years.