The role of World Trade Organisation.

             There are ongoing studies showing what are the impacts of protectionism and of free trade. It is generally agreed that protectionism is expensive, it raises prices, limits choice, favours one against the other. .
             The WTO's global trade system lowers trade barriers and by the same token reduces the cost of production, lowers the prices of goods and services, and ultimately, lowers the cost of living. Trade, when it is allowed to flow freely, gives consumers more choice and brings related benefits. .
             One of the most important benefits from the free trade is that it generates income for nations involved in that trade. The WTO's own estimates for the impact of the Uruguay Round trade deal were between $109 billion and $510 billion that were added to the world's income. .
             The fact that there is an additional income means that more resources are available for governments to redistribute locally, according to the nation's priorities. .
             The basic principles of the WTO system.
             The most essential principles at the heart of the WTO system include the following :.
             non-discrimination, .
             transparency of policies, rules and regulations .
             increased certainty about trading conditions, .
             The WTO bodies argue that the WTO system encourages good government. It is recognised that under WTO rules, once the commitment has been made to liberalise a sector of trade, such decision is then difficult to reverse. The rules also discourage a range of unwise policies that would be harmful to business. This means greater certainty and clarity with regards to trading conditions for businesses and for governments it could mean increased discipline and long term perspective on the economic development.
             simplification of rules and standardisation of procedures. .
             The GATT-WTO system covers a wide range of sectors. So, if during a negotiation one pressure group lobbies its government to be considered as a special case in need of protection, the government can reject the protectionist pressure by arguing that it needs a broad-ranging agreement that will benefit all sectors of the economy .