Introduction
- It creates job opportunities – it is estimated that it could create up to a million direct jobs for ten years.
- TTIP will increase the GDP of EU nations and the USA by approximately 0.5 percent (Setting the Standard in Free Trade., n.d.). As a result, the USA and the member states of the EU will experience economic growth.
- TTIP will force China to make its economy accessible and also encourage the developing countries to streamline their policies and open their markets.
Areas in The TTIP That Must Be Addressed
- Approaches to trade and public policy – The US government has a policy that directs the state to buy American products.
- Regulatory coherence – The difference in EU and US regulations jeopardized trade, and it needed to be addressed sooner. For instance, it is majorly experienced in the regulatory standards for pharmaceutical products.
- Mutual recognition – The European Union stipulates that if a product meets the country of origin’s standards, then it is accepted in all the European countries. Therefore, the pact was expected to apply to the TTIP such that when a commodity meets the standards set by the US government, it should be recognized in the EU even if it does violate the rules in the Union and vice versa.
- Farm Frenzy – Contentious topics like genetically modified food were to be addressed. The EU advocated for non-genetically modified products; however, the USA believes that GMO products are never harmful to health.
- What to include and exclude in the pact, especially in the service industry – Most European nations subsidized their service industry, such as the film industry. Contrary, the USA prioritized the audio-visual industry because it generated a lot of revenue.
Meaning of DOHA and Description of the “Emerging Market” and Related Countries’ Major Disagreement with The G7
- DOHA was a round table meeting in Qatar, Doha to take the interest of the developing countries.
- There were 155 participant nations, and the agreements were based on agricultural products, goods and services, and other issues that are not directly related to trading.
- The main disagreement with the G7 was based on agricultural and industrial issues. The developing countries demanded that the G7 nations open their markets for the poor farmers and lower their farm subsidies. However, G7 governments needed increased access to the emerging markets for their industrial products.
Reference
Setting the standard in free trade: The making of the Transatlantic trade and investment partnership. (n.d.). Harvard Kennedy School. John F. Kennedy School of Government. Case Number 2045.0