What is the WTO? And is it undemocratic?

In the past few weeks we’ve seen a revival of the old claim that the WTO is undemocratic. Why? Because it has become a weapon in the Brexit war of words. As ever, the truth is more complicated.

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By Peter Ungphakorn
POSTED AUGUST 17, 2018 | UPDATED AUGUST 29, 2018

It all began when hard-Brexiters started to claim that if the UK and EU fail to reach agreement, this wouldn’t be “no deal”. It would be a World Trade Deal — the new term they now use to describe operating on WTO terms, which some also claim would be the best outcome.

BRIEFLY
• The WTO is 164 member governments who operate an international trading system based on agreed rules
• Is it democratic? Yes and no

JUMP TO
What is the WTO?
What about the Secretariat?
It’s member-driven
Is the WTO democratic?
Don’t compare the WTO and EU
Find out more

The response from some Remainers is to criticise the WTO. If their enemies like it, it must be bad. One repeated claim is that the WTO is undemocratic. “When did you last vote for your representative in the WTO?” and “How can I find my WTO MP?” were among the questions.

There’s a lot wrong with the WTO, and a lot right, but these new attacks miss the point completely. Continue reading “What is the WTO? And is it undemocratic?”

How does the Trade Facilitation Agreement really affect Brexit?

Those who see no problems if the UK and EU fail to strike a deal regularly claim the WTO’s Trade Facilitation Agreement will come to the rescue. They are wrong.

By Peter Ungphakorn
POSTED AUGUST 16, 2018 | UPDATED AUGUST 19, 2018

“The new Trade Facilitation Treaty commits members to facilitating trade, not obstructing it.” So wrote Iain Duncan Smith, former cabinet minister, Conservative Party leader and vocal Leave campaigner, in the Telegraph on August 15, 2018.

The argument is made with increasing frequency by “hard” Brexiters, who claim trade between Britain and the EU will not be disrupted, even if there is no agreement between them about their trading relationship when the UK leaves the EU.

Similar claims have been heard from former UK trade minister (1990–92) Lord (Peter) Lilley in the Times the previous day, economic adviser Ruth Lea on Brexit Central, and international economic law professor David Collins, on Brexit Central and in the Spectator. Continue reading “How does the Trade Facilitation Agreement really affect Brexit?”