TRADE & FINANCE 17 telecommunications services – are opening up new trade opportunities , in new sectors , often in innovative ways . It is estimated that the 2013 WTO Trade Facilitation Agreement alone could have a bigger impact on reducing trade costs than the elimination of all remaining global tariffs . The July 2015 agreement to expand the scope of the WTO Information Technology Agreement , promises to eliminate tariffs on high tech products which represent 7 per cent of global trade – more than trade in textiles , apparel , iron and steel combined . The WTO ’ s 10th ministerial conference in Nairobi this December ( the first such event to be held in Africa ), will be an opportunity to advance negotiations and to deliver some further significant outcomes in support of growth and development .
Indeed , supporting development is now a central element of the WTO ’ s work . Since 1995 , the developing countries ’ share of global merchandise trade has grown from 27 per cent to over 43 per cent – and their share of global GDP has risen from 41 per cent to over 53 per cent . Emerging economies have become indispensable drivers of the global economy , as well as leading voices in the international economic system . There are many reasons why developing countries have achieved economic lift-off , but surely none is more important than their integration into the global economy – a process that has depended , in turn , on today ’ s extraordinarily open , reliable and secure world trading system .
However , the WTO ’ s short history is obviously not one of unbroken success . Disappointing progress in the long-running Doha Round is a lingering and high profile reminder . But it important to recognise that the WTO ’ s contribution to the world economy in general , and to development in particular , is much broader than the Doha negotiations , even as they remain a key element of our work .
Non-multilateral initiatives will naturally continue to blossom , but we must maintain the WTO as a strong and comprehensive foundation of global trade . The WTO was not the first attempt to create a global trading system , nor the first time that policy makers aimed to realize the vision of global peace through shared prosperity . After the Second World War , the international community also saw the building of an open global trading system as essential precursor to building a new post-war international order . But the bold plan to create an International Trade Organization soon fell victim to Cold War rivalries and waning support for internationalism . It was not until the WTO ’ s creation five decades later that the dream of a permanent and global trade organization was realized – making the WTO the first truly international institution of the post-Cold War era playing a key role in global economic governance .
The WTO is ultimately the result , not the cause , of members ’ willingness to cooperate on trade . Its creation and subsequent success reflects the growing realization among more and more countries that trade opening can lead to growth and development , that agreed rules strengthen , not weaken , sovereignty , and that advancing our national interests increasingly depends on advancing our collective interests . As today ’ s global economy grows increasingly open , interdependent and multipolar , it is clear that enhancing cooperation in international trade is becoming more , not less , important . But just because the WTO is important does not make it invulnerable . The WTO ’ s first twenty years have been successful because of members ’ firm commitment to the system and constructive decisions . This attitude will be fundamental in ensuring that the next twenty years are as successful .