Indian government vetoes Brazil's victory in WTO sugar trade dispute

Published Jan 26, 2022

Tridge summary

The Indian government has blocked the approval of a decision at the World Trade Organization (WTO) that recognized Brazil's victory in a dispute involving the sugar trade. The WTO arbitrators ruled that India needed to reform its agricultural policies due to the distortions caused by the large subsidies provided to its producers. However, the Indian government plans to appeal, despite the paralysis of the WTO's highest court for two years. This move has been criticized by Brazil, Australia, Guatemala, and other countries, with Canada, the European Union, and Russia indicating the urgent need for WTO reform.
Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

On Tuesday, the 25th, the government of India blocked the approval of a decision at the World Trade Organization (WTO) that recognized Brazil's victory in a dispute involving the sugar trade. The Itamaraty had appealed to the entity, claiming that the multimillion-dollar subsidies given by the Indians to their producers were distorting the global market. WTO arbitrators judged that Brazil was right and that, therefore, India needed to reform its agricultural policies. But the Indian government's decision was to appeal and ask the WTO's appellate body to reassess the case. Although this is a correct procedure in normal times, the Indian gesture left Brazilians and diplomats from other countries indignant due to the inexistence, at this moment, of the appellate body. The highest court of commerce ceased to function two years ago, after the US government began to veto the appointment of judges. The result was its paralysis and, at the moment, there is no prospect of resuming work, ...
Source: Canaonline

Would you like more in-depth insights?

Gain access to detailed market analysis tailored to your business needs.
By clicking “Accept Cookies,” I agree to provide cookies for statistical and personalized preference purposes. To learn more about our cookies, please read our Privacy Policy.