WTO Failure To Cost Global Economy $820 Billion

NEW DELHI: The failure to ink the WTO's trade facilitation agreement (TFA) may cost the global economy $820 billion and 16 million in terms of new jobs.

"We have to be aware of the opportunity cost (involved in the WTO's Bali agreement)...The estimate is that the Bali agreement could add $820 billion to the global GDP and 16 million jobs," Australian B20 Sherpa Robert Milliner said.

The B20 leads engagement with G20 governments on behalf of the international business community.

He is here for the preparatory meeting of the G20 summit to be held in Brisbane in November.

The TFA was not ratified by the WTO members on July 31 because of the tough stand being taken by India. India was insisting that TFA should be delivered as a single undertaking along with the permanent solution for public food stockholding issue and matters of least developed countries.

Milliner also said that as per the OECD estimates, implementation of all measures currently being negotiated in the World Trade Organization's Doha Development Round would reduce total trade costs by 10 per cent in advanced economies and by about 15 percent in developing countries.

Talking about the implications of the failed Geneva talks, Australia's G20 Sherpa Heather Smith said number of countries have expressed disappointment over the failure of the negotiations.

READ MORE: 3 Ways Social Media Marketing Can Affect Your Business