India urges WTO to act on non-tariff barriers and restore dispute mechanism
NOOR MOHMMED
04/Jun/2025

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India demands WTO action on non-tariff barriers and non-market economy practices that distort fair global trade
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Minister Piyush Goyal calls for restoring WTO’s two-tier dispute resolution and protecting consensus-based trade talks
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India opposes China-led investment pact and insists that WTO must focus on mandated trade issues first
India has called for urgent reforms at the World Trade Organisation (WTO), including action to curb non-tariff barriers (NTBs), address trade distortions by non-market economies, and restore a robust and credible dispute settlement mechanism, Commerce and Industry Minister Piyush Goyal said on Wednesday, June 4, 2025.
Speaking to the media after participating in a mini-ministerial WTO meeting in Paris on the sidelines of the OECD Ministerial Council, Mr. Goyal emphasised the need for the WTO to re-centre its focus on equitable trade practices, uphold multilateralism, and ensure discipline through an effective adjudication system.
India’s key demands at WTO
Mr. Goyal stated that India had made a strong pitch to address NTBs, which some countries use as covert protectionist tools to deny fair market access to others. These NTBs include complex standards, licensing delays, and bureaucratic hurdles, often acting as hidden trade barriers, especially affecting exports from developing nations.
India also reiterated the need to act against non-market economies—a veiled reference to countries like China, whose state-driven economic practices often distort global trade through subsidies and dumping.
"India made a strong pitch for addressing non-tariff barriers that certain countries use to deprive others of market access, take necessary action against non-market economies, and ensure a strong dispute settlement mechanism at the WTO," Mr. Goyal said.
Restoring the WTO’s dispute settlement system
The WTO’s dispute settlement mechanism has been crippled since 2009, primarily due to the United States blocking appointments to its Appellate Body, rendering the system ineffective. India once again pressed for the restoration of a functional, two-tier dispute resolution system to bring credibility and discipline back to WTO rulings.
Without a working appellate body, disputes are left unresolved, allowing member countries to violate trade rules without consequence.
Mr. Goyal said countries had expressed collective concern over the dysfunction and showed a renewed commitment to revive the mechanism.
Support for multilateralism and consensus-based trade
India has strongly backed the consensus-based approach of the WTO, which gives equal voice to all members, especially developing and least-developed countries (LDCs). This includes retaining the Special and Differential Treatment (S&DT) that allows flexibility in trade commitments for poorer nations.
He added that WTO members need to refocus on issues already finalised in earlier ministerial conferences, rather than introducing new, divisive topics.
"Issues that have been mandated at the WTO should get priority and should be the first issues to be resolved," Mr. Goyal said.
India’s opposition to China-led investment pact
India has rejected a China-led proposal for an investment facilitation agreement, asserting that such non-trade issues should not be brought into the WTO platform, which is primarily a trade rule-making body.
Bringing extraneous proposals into WTO negotiations, India argues, would create further divides and distract from resolving already mandated trade issues like agriculture and fisheries subsidies.
Mr. Goyal stated that India is against the investment facilitation pact and will continue to push for a return to core trade issues that have broad-based support.
On the MPIA and Appellate Body alternatives
Asked about the Multi-Party Interim Appeal Arbitration Arrangement (MPIA)—a temporary dispute resolution alternative set up by the EU and other members—Mr. Goyal said that there was little enthusiasm for it during the meeting.
"Only one or two members mentioned MPIA. There does not seem to be much consensus or traction for that idea," he noted.
"I have not heard of any case actually being resolved under MPIA."
India has consistently maintained that ad hoc arrangements like MPIA are not sustainable and may undermine the WTO’s foundational structure.
Broader trade issues discussed
The mini-ministerial, hosted by Australia ahead of the 14th WTO Ministerial Conference scheduled in Cameroon in March 2026, saw participation from ministers of over 25 member nations, including France, Singapore, Nigeria, and Australia, as well as WTO Director-General Ngozi Okonjo-Iweala.
Several critical issues were raised during the meeting:
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Finding a permanent solution for public stockholding of food grains, crucial for food security in developing nations
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Finalising measures to curb overfishing and indiscriminate marine resource exploitation
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Integrating Joint Statement Initiatives (JSIs) like digital trade and e-commerce under multilateral trade rules
India maintained that while it is open to discussion, such JSIs must be brought under formal WTO processes and should not bypass consensus.
WTO’s relevance and future
When asked whether the WTO is going through an existential crisis, Mr. Goyal responded cautiously, noting that while challenges exist, the WTO remains a vital global institution.
“Challenges will come and situations will arise; we have to address them within the ambit of the WTO framework,” he said.
“The WTO is now about 30 years old. What we need is to work with an open mind and unlock possibilities.”
India emphasised that reinvigorating the WTO is essential for ensuring inclusive, predictable and fair global trade, particularly in a world where economic fragmentation is on the rise.
As countries look ahead to the 14th Ministerial Conference in Cameroon, India’s focus remains on:
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Restoring institutional credibility
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Addressing trade imbalances caused by state-driven economies
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Protecting the interests of the Global South
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