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While the descent of the WTO Appellate Body represents a turbulent period in the history of trade disputes adjudication, it by no means spells the end of the WTO. Evaluate.

Topic:  Bilateral, regional and global groupings and agreements involving India and/or affecting India’s interests. Effect of policies and politics of developed and developing countries on India’s interests, Indian diaspora.

2. While the descent of the WTO Appellate Body represents a turbulent period in the history of trade disputes adjudication, it by no means spells the end of the WTO. Evaluate. (250 words)

The Hindu

Why this question:

The article provides for a detailed analysis of the weakening of the World Trade Organization Appellate Body and the after effects.

Key demand of the question:

Discuss the importance of WTO from past to present, explain the challenges currently facing it and provide for suggestions as to what needs to be done revive the ailing position of the trade body.

Directive:

Evaluate – When you are asked to evaluate, you have to pass a sound judgement about the truth of the given statement in the question or the topic based on evidences.  You have to appraise the worth of the statement in question. There is scope for forming a personal opinion here.

Structure of the answer:

Introduction:

Start by tracing the significant role that the WTO Appellate Body has played in the past.

Body:

Provide briefly a background with details such as – The Appellate Body was set up in 1995 as a “safety valve” against erroneous panel reports in return for the members agreeing to adopt reports using the “reverse consensus” rule in lieu of the “positive consensus” rule.

Under the erstwhile positive consensus rule, reports issued by panels composed to hear disputes under GATT could be adopted only if each of the contracting states favored its adoption. This effectively handed a veto to the losing state etc.

Explain in what way the weakening of the Appellate Body has struck a blow to the rule of law in the realm of world trade.

Discuss the possible alternatives to circumscribe the posed challenges.

Conclusion:

Conclude that although the fall of the WTO Appellate Body represents a turbulent period in the history of trade disputes adjudication, it by no means spells the end of the WTO. It presents an opportunity to the members to rethink and “iron out some of the creases” with the present system.