Thursday, 25 February 2010

The European Union offers EUR 180,000 to the WTO development fund for trade facilitation

The EU has confirmed that they will donate a large sum of money to the WTO ‘Trade Facilitation Trust Fund’. The total amount of money will be EUR 180.000 or approximately 240.000 USD. The EU has now contributed over the past few years a significant CHF 8.3 million or 5,668,827.97 EUR.

Why is this money being donated by the Europe Union? This donation will give new opportunities to third world countries who are less developed and have inhabitants with a low income. This money will be invested in the WTO trade facilitations. Because of this, these countries will be able to participate more effectively and efficiently in the global market. These facilitations look how to control governing and control procedures of the movement of goods across the borders to make them more sufficient. These actions will reduce costs and burdens for those specific countries while trading globally.
EU’s Chargé d'affaires, Mr. John Clarke accentuates that this will deliver a huge benefit to the developing countries. However, it is crucial for those countries that they will fully participate in the trade facilitation negotiations. He also tells that this action is only a part of the EU’s commitment to assist developing countries.

This action taken by the EU is of course a good thing. Whether we like it or not, we cannot longer deny that globalization is a fact. The world has become one large city. Everybody consumes products from all different countries around the world. Therefore it’s crucial to make and develop one large network to distribute goods and services sufficiently worldwide. This may of course not have a negative effect to the country that’s exporting or importing. Many less developed countries attract multinationals by their lack of laws and low loans. But this is something to avoid, this phenomenon causes low income, sad working environments and in general a low prosperity. All countries should have the same chances and opportunities. The actions, made by the EU, aim to fulfill these objectives. It helps these third world countries to develop and increase their prosperity.



But donating a large sum of money isn’t just going to do the trick. I believe it is as important to help them develop and manage their global ‘business’. They shouldn’t just let them receive the donation with no further supervision.




De Vos David

source: http://www.wto.org/english/news_e/pres10_e/pr596_e.htm

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