Wednesday, August 21, 2024

Iraq's Path to Joining the World Trade Organization: A 2024 Update by DINAR REVALUATION, 21 AUGUST

Iraq's Path to Joining the World Trade Organization: A 2024 Update

Iraq's journey towards becoming a member of the World Trade Organization (WTO) has recently taken significant strides, marking a pivotal point for the nation's economic engagement with the global community. As of August 21, 2024, Iraq's accession process has been reinvigorated with renewed commitment and high-level negotiations, marking a notable advance in the country's bid to join the WTO. 

Background and Recent Developments

Resumption of Talks

Iraq's accession process to the WTO was officially put on hold after the second meeting in April 2008, with only an informal meeting taking place in November 2017. However, in July 2024, Iraq made a significant return to the WTO accession talks.   The resumption of these talks was welcomed by members of the WTO, highlighting the importance of Iraq's formal re-entry into the accession process. 

High-Level Delegation

Iraq's Minister of Trade, Mr. Atheer Dawood Salman Al Ghrairi, led a high-level delegation from Baghdad to the third meeting of the WTO Working Party, which was chaired by Ambassador Saqr Almoqbel of the Kingdom of Saudi Arabia. The Minister's presence was the first since 2008, signaling Iraq's renewed dedication to its accession process. 

The Accession Process

Alignment with International Rules

Iraq's government has shown a strong commitment to aligning its trade policies and regulatory frameworks with international rules and standards. This alignment is a crucial step in the WTO accession process and demonstrates Iraq's intention to integrate more fully into the global economy. 

Economic Reforms

Iraq's accession to the WTO requires significant economic reforms, including enhancing trade policies, boosting the business environment, and creating favorable conditions for foreign investment. Despite ongoing security, political, and regional challenges, Iraq's government has remained steadfast in pursuing these reforms. 

Regional Security and Integration

Iraq's integration into the global economy through WTO membership could help deepen regional economic integration, which in turn could contribute to peace and security in the region. This aspect was emphasized during the January 2024 visit of Ambassador Saqer AlMoqbel to Baghdad. 

Challenges and Progress

Harmonization of Tariff Structure

A significant challenge in Iraq's accession process was the discrepancy in the tariff structure between the federal government and the Kurdistan Regional Government (KRG). However, these discrepancies were harmonized in 2019, which was a major step forward in the accession process. 

Negotiating Experience

The negotiating team from Iraq has reached a new level of experience in the field of negotiation, reflecting the development of their capabilities and competence in dealing with complex issues related to WTO membership. 

Conclusion

Iraq's return to WTO accession talks represents a significant milestone in its bid to join the world trading community. The country's commitment to economic reforms, alignment with international rules, and harmonization of trade policies has laid a solid foundation for its continued negotiations. As of August 21, 2024, Iraq's accession process is back on track, with the hope that it will contribute to regional security and economic integration. 

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