In a speech delivered in Mumbai, Deputy Director-General Nordquist of the World Trade Organization (WTO) highlighted the continued importance of the WTO in supporting global trade and India's economic ambitions. Speaking to an audience in what he described as "the economic heart of India," Nordquist acknowledged India's rapid growth, noting that it is currently the fastest-growing G20 economy and is projected to become the world's fourth largest.
Nordquist emphasized India's long history with international trade, referencing its role from ancient exchanges with Mesopotamia through to modern participation in global commerce. He also pointed out recent advances, particularly in digital services exports, which have grown at double-digit rates and contributed to job creation and higher incomes.
Looking ahead to India's Viksit Bharat 2047 vision, Nordquist said: "The World Trade Organization, where India has been actively involved since 1948 with its predecessor GATT, plays a crucial role on this journey. Stable market access, global partnerships, and a rules-based international trade framework - all key pillars of the WTO - are essential to unlocking India's full potential and enabling it to achieve the 2047 vision."
Addressing concerns about the relevance of the WTO amid headlines about tariffs and trade wars, Nordquist stated: "Reports that WTO has gone gently into that good night, to paraphrase the famous poet Dylan Thomas, are wrong. The WTO still remains the cornerstone of the global trading system, complemented by bilateral and regional trade agreements." He cited data showing that 72 percent of global goods trade continues under WTO's most-favored-nation tariff rates.
He noted mixed trends among G20 economies—while there has been an increase in both restrictive measures such as subsidies and new facilitating measures for trade—emphasizing that many barriers are being removed globally. According to Nordquist: "G20 economies have largely refrained from retaliatory actions, preferring dialogue and efforts to reduce trade frictions instead."
On rulemaking efforts within the organization, Nordquist highlighted ongoing negotiations including "the landmark Agreement on Fisheries Subsidies," which entered into force recently. He mentioned India's progress toward ratification and called for further negotiation efforts among members: "It is essential that we find solutions that work for all, and prioritize the long-term health and effectiveness of the multilateral trading system."
Regarding dispute resolution at the WTO despite challenges facing its Appellate Body since 2019, he reported positive outcomes: "Since 2019, more disputes have been resolved, settled or suspended than have been appealed into the non-functioning part of the system." He referenced recent settlements between India and United States covering sectors like steel and agriculture. Additionally, he said committees continue resolving many issues raised by members over decades.
Nordquist acknowledged challenges facing multilateral organizations such as reform needs around decision-making processes and fair competition. He identified next year’s Ministerial Conference in Cameroon as an opportunity for progress on these fronts.
He concluded by underscoring mutual benefits from cooperation: "Trade creates prosperity, and a strong and reformed WTO is essential for India to realize its economic vision just as India's leadership is essential to strengthening the multilateral trading system. So let's work together for a revitalized WTO that is fit-for-purpose..."