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DINARANNIE
08-18-2010, 02:17 PM
Restrictions between the WTO and the needs of the Iraqi market
Restrictions between the WTO and the needs of the Iraqi market


Date: Tuesday, August 17


Page name: economic






D.


Acer Yassin





Made rounds of multilateral trade major progress in liberalizing world trade from customs duties and quantitative restrictions.



But this liberation is not complete, because it has practices adversely affect the economies of developing countries.
The anti-dumping policies in the forefront of these practices.



The anti-dumping policies in the forefront of these practices.







First: What is dumping?





Defines dumping as a situation of discrimination in the pricing of a product when it is sold that product in the market for an importing country at less than the selling price in the market of the exporting country, and are differences in the prices of this trade is fair cause harm to the production in the importing country may end up selling price in the State imported to very low levels and below-cost targeted deliberately remove competitors making similar products, or delay by the industry because of imports of the commodity price dumping.



Round accords, which borrowed that dumping allowed certain commodities produced in the State to market another country at less than normal value.





Known as GATT, dumping the process of distributing the production of a particular country in the markets of another country at less than normal price of normal price, and believes that the application of this policy may damage some industries, especially emerging industries, and obstructs the building of new industries in countries affected by the policy of dumping.





To be consistent anti-dumping policy in legal terms with the organization in the world trading must fulfill three conditions:





* The first condition: the importing country determine the size of dumping that it touches.


This is done by comparing the domestic price of a commodity with the price for export.



I


I must be less than the second.


There is another method of comparing the cost of producing goods in the exporting country with the price of selling out.





There is dumping if the value of the cost of production higher than the selling price.


Cause this type of dumping a temporary loss of the source view to monopolizing the market of the importing country later, which confuse the trade relations based primarily on competition.





* The second condition: the State imported burden of proof of damage, the damage is therefore a prerequisite for the prohibition of dumping, and a justification for trade measures against it.


On this basis, there are not any wisdom or the benefit of control in the absence of damage was not produced in the importing country like product now or in the foreseeable future.





* The third condition: must not be the amount of customs duties imposed on the wheels of dumping is larger than the difference between the price of consumption goods in the exporting country and its price in the importing country should also have no fees are biased, it can not be imposed on a good state without a commodity similar to other countries.





In principle should be required when anti-dumping on the main base of trade competition is good, but the problem of how to calculate dumping margins and the body that determine the degree of damage and the unit measures in place to deal with it.


This estimate is left to each state individually, leading to arbitrary action, for example, requires that the World Trade Organization anti-dumping actions disappear immediately when the value of imported goods replace dumping weak, it was agreed that this value is less than 3% of the amount of imports of similar goods.





State of import is to compute this ratio and therefore unable to fight any good if to prove that their value exceeded that percentage.





Aimed at anti-dumping actions, in fact, to prevent the markets of industrialized countries on developing country producers who have proven their merits, especially in the field of textiles and clothing.


Become anti-dumping most dangerous weapon against the liberalization of world trade, will this situation continue for a long time, no doubt that the new organization of world trade requires the abolition of anti-dumping measures after five years from the date of application, but also allows importing countries to continue for the mere sense of the possible return of the damage After the expiry of this period.





II: How to determine the dumping





Set of international rules that the process of establishing evidence of dumping is passed through several stages:





1.


Filed a complaint with the competent organ of anti-dumping in the state affected by the dumping.





2.


Meet the terms of the complaint must be available in the complaint a number of conditions, notably that the complainant is a company operating in the industry affected by the dumping, and is supported by at least half the number of producers working in the same industry, its country.





3.


Make sure that the damage to the industry caused by dumping and not other factors.





4.


Notify the Government of the State existing dumping to defend itself.





5.


Decision to impose additional duties on dumped imported commodity to the market.





6.


Notified to the WTO this resolution.





Thirdly: the impact of dumping on the ground that the policy in Aeraguibckl dumping her positives on the market and the consumer and local industries, but very short range ...



.


Whatever this positive effect constitute the end of a negative impact The impact of dumping on domestic industries is weakened and is reflected in the workforce, especially technical or specialized Either turn to the work of non-effective or are considering migration as well as the independence of the raw materials and then re-exported and the prevention of use of national industries from local materials. .





Either by the effects of dumping is creeping towards the system of national security through the impact on food security for consumers and related industries through the use of food as a means of imposing wills of industrialized nations as well as the lack of availability of prices moderate and adequate quality and all this is reflected in the balance of the local market, which is reflected inevitably audience of consumers. In the weak control systems and the absence of institutions and industries, programs for the development or stability with the purposes of the strategy that will make the Iraqi market targeted in the curriculum of the developed countries to dump than they lose consumer directly to their rights and options, and system protection.





Fourth: The disadvantages of the mechanisms of dumping in the WTO on the Iraqi reality





Most defects and problems of the World Trade Organization under the policy of dumping the main exporting countries for food and its negative repercussions on the market and consumer rights and protection:





1.


The World Trade Organization allow the use of some tools that limit the freedom of trade, such as protection in cases of emergency and anti-dumping duties and countervailing duties, which are tools for exception important enabling developed countries to use in cases of damage to these countries, the stronger party in general of products exported by developing countries.





While the developing countries, including Iraq did not allow her the bulk of the practice and application of these exceptions to the low elasticity of demand for imports and the urgent need to the various types of goods are going to do development projects or to fill needs of the population of goods and services.





2.


Attention of the Organization is behind the developed countries the subject of the Convention on the protection of intellectual property rights will not be to Iraq and who needs the technology or expertise in agriculture, but participation in foreign direct investment, which has the right to ownership and the control over the activities of the local market and excessive agricultural prices.





3.


Iraq suffers from unemployment and lack of job opportunities available for many of the economically active population and especially among those who left their agricultural land and therefore resorting to the services sector, which is still relatively weak and limited, especially those income levels and living standards for them.


Of the banks, banking, insurance and the transfer of funds, goods, communication, transportation and service areas marginal on the basis of the form of liberalization of trade in services technologically advanced gravity of not less than the seriousness of liberalization of agricultural commodities for the inability to compete and cause the impact on consumers due to high prices of these services as well as loss many opportunities for their work and that of low income levels and living standards for them.





4.


Deal wrong with the WTO agreements, as get rid of some governments, including Iraq, of all protection policies to make them national non-beneficiaries of the exceptions granted by the conventions of the developing countries, whether exceptions to legislative or time for the rehabilitation of industry the national and help them overcome the current status and qualify for fair competition and non-discrimination of some governments between the concept of monopoly, and the concept of protecting the national industry to compete with unequal, as Governments would relinquish its antitrust grounds.





5.


Openness of the domestic market of Iraqi neighboring countries without careful consideration and without controls, something which resulted in the abolishment of the Tariff Act of 1975 by Bremer, which led to negative results on the Iraqi economy was in decline in state resources and the large number of unemployment and the closure of many industries and the flight of currency difficult outside the country.


And the varying circumstances in which they operate local industry compared to the circumstances in which it operates industry foreign and dumped on local markets, which encouraged its quality and competitive prices, which facilitated flooding of local markets, and in return not to the government its due role to create a level playing field by creating conditions similar local industries.





6.


Weak role of civil society institutions in the field of education, awareness and detection of health risks and economic policy of dumping on the individual and society, economy and there are other reasons not directly lead to flood the market with local goods, foreign ones: the weight of the burden of tax and customs duties paid to resistance in various ways and means, including smuggling, financial and administrative corruption in customs officials and the complexity of the procedures adopted leading to increased expenditures on imports as well as the contribution of many of the influential in the process of smuggling.





7.


The absence of clear mechanisms for anti-smuggling despite parliament's approval of Law on the Protection of Iraqi products and which has been unable to develop the mechanisms required for the diagnosis of dumping and its size and impact and linked to imported commodities.



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