“The system worked pretty well, but when the WTO came into being the thinking was that everyone should sign up to pretty much everything [and] Special and Differential Treatment would be extended to developing countries,” he said. “This has, I would argue, worked much less well.”
The plurilateral push allows countries to progress new deals, regardless of what blockers do.
“They can change their regulations to align with the terms of the deal regardless of what India says,” he said. “In any event, what can the Indians do? Bring 66 WTO members to an impotent Dispute Settlement System? Good luck with that,” he added.
What comes next
Countries have continued to signal they’re going to work around the issue of consensus.
After the ministerial, countries backing the stalled investment deal issued a joint statement, led by South Korea and Chile, pledging to press ahead with the deal as a smaller group.
“Despite the absence of consensus on incorporation, the initiative will continue to move forward,” they stated.
“[Plurilaterals] should be seen as a potential template for the more flexible approaches that will be needed to move the system out of its current paralysis,” said Andrew Wilson, Deputy Secretary General of the International Chamber of Commerce.
“The ultimate question coming out of this conference is not whether reform of the WTO system is necessary, but which government are prepared to step forward and build the coalition needed to advance it.”