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The WTO is designed to play the role of a watchdog in the world of trade in goods, trade in services, foreign investment, intellectual property rights, etc.The WTO has the following functions in world marketing.
(i) The WTO shall facilitate the implementation, administration and operation and further the objectives of this Agreement and of the Multilateral Trade Agreements, and shall also provide the frame work for the implementation, administration and operation of the plurilateral Trade Agreements.
(ii) The WTO shall provide the forum for negotiations among its members concerning their multilateral trade relations in matters dealt with under the Agreement in the Annexes to this Agreement.
(iii) The WTO shall administer the Understanding on Rules and Procedures Governing the Settlement of Disputes.
(iv) The WTO shall administer Trade Policy Review Mechanism.
(v) With a view to achieving greater coherence in global economic policy making, the WTO shall cooperate, as appropriate, with the international Monetary Fund (IMF) and with the International Bank for Reconstruction and Development (IBRD) and its affiliated agencies.
International business has been dramatically increased over the world; therefore, countries have sought to regulate importing and exporting goods/services to promote their economies. As a result, countries concluded the World Trade Agreements (WTO) that is an active multilateral trade convention that governs numerous fields of international trade[1] to liberalize trading[2] through protecting competitive opportunities[3] and preventing discrimination.[4] The WTO directly/indirectly regulates World Marketing through stipulating many obligations, such as rules of origin, TRIPS, SPS, TPT…etc.
For Example, importers shall determine the origin of goods by sufficient information and analysis to determine the applicable tariff;[5] this is compatible with the requirement of the WTO.[6] Furthermore, the WTO prohibits using ‘Trademarks containing or consisting of a false geographical indication’ was to comply with TRIPS Agreement;[7] This aims to avoid causing confusion that may leads to think that product has been manufactured in that country which is used as a trade mark.
However, this role can be realized through inspecting the WTO spirit that is based on liberalization trade[8] through prohibiting discriminatory measures that impact competitive opportunities.[9] It is indicated that the practice of the GATT has aimed to protect competitive opportunities.[10] For instance, the complainants, in EC-Banana III (1997), stated that the EC acts were incompatible with the objective of the GATT/WTO eliminate all sorts of discrimination in international commerce.[11]With the respect to the SPS measures, the latter regulates sanitary measures that relevant to the health of human or animal and phytosanitary actions which tackle issues that relate to plant and health.[12] Nonetheless, invoking those measures must be based on the principles of science;[13] implementing the SPS measures shall not be applied in unnecessary way that may restrict international trade.[14]Additionally, invoking the TBT regulations does not require the compatibility with the principle of science, which is required with the measures of the SPS.
To conclude, the WTO indirectly governs the World Marketing through drawing fundamental obligations that shall be considered in domestic laws of countries that shall not relied on discrimination. For instance, the WTO members under obligation to comply with the Principle of Most Favorable Nation (MFN)[15] that requires unconditionally and immediately granting the same privileges and advantages that are given to specific member to other members. Also, respecting the principle of National Treatment that
[1]James Cameron, 'Principles of international law in the WTO dispute settlement body' (2001)50(2) (04) The International and comparative law quarterly248.
[2]Alberto Alvarez-Jiménez, 'PUBLIC HEARINGS AT THE WTO APPELLATE BODY: THE NEXT STEP' (2010)59(04) (10) The International and comparative law quarterly1079.
[3] e.g. Appellate Body Report,EC – Bananas III (Article 21.5 – Ecuador II) [366], [469]; Panel Report, US – Section301 Trade Act [4.30].
[4]Rafiqul Islam, International trade law of the WTO (South Melbourne : Oxford University Press2006)9; e.g. Panel Report, US – Section301 Trade Act [7.75].
[5]Ibid174.
[6] e.g. EC – Bananas III (US) (Article 22.6 – EC)[6.13].
[7] Bavaria NV v Bayerischer Brauerbund eV (2009) FCA428, [118].
[8]Alvarez-Jiménez, above n 2.
[9] e.g. Appellate Body Report,EC – Bananas III (Article 21.5 – Ecuador II) [366], [469]; Panel Report, US – Section301 Trade Act [4.30].
[10] Panel Report, EC – Bananas III (US)[7.50]; See Appellate Body Report,EC – Bananas III (Article 21.5 – Ecuador II) [252], [254].
[11] Panel Report, EC – Bananas III (US) [2.29]-[2.30].
[12] SPS, art2.1
[13] Ibid, art2.2.
[14] Ibid, art2.3.
[15] GATT, art I.
[1]James Cameron, 'Principles of international law in the WTO dispute settlement body' (2001)50(2) (04) The International and comparative law quarterly248.
[2]Alberto Alvarez-Jiménez, 'PUBLIC HEARINGS AT THE WTO APPELLATE BODY: THE NEXT STEP' (2010)59(04) (10) The International and comparative law quarterly1079.
[3] e.g. Appellate Body Report,EC – Bananas III (Article 21.5 – Ecuador II) [366], [469]; Panel Report, US – Section301 Trade Act [4.30].
[4]Rafiqul Islam, International trade law of the WTO (South Melbourne : Oxford University Press2006)9; e.g. Panel Report, US – Section301 Trade Act [7.75].
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