WTO

[SWFloridaGuy]

6-8-2012 SWFloridaGuy: We are hearing a lot of speculation regarding Iraq's accession to the WTO, after the release of several conflicting articles. This is a complex process and the WTO is currently negotiating their terms with Iraq. WTO membership is considered on an individual, case-specific basis. There are private requirements and stipulations in addition to the basic, general guidelines we see in print. Iraq has to lay out all their economic and trade policies that relate to WTO agreements. When Iraq submits this memorandum a panel will consider the application. When the principles and policies are in place, additional negotiations will commence between Iraq and other countries. Once the terms are finalized, they are submitted to the WTO's General Council. If two-thirds of the members vote in favor, than Iraq may accede to the WTO. So, as you can see, it's not a simple process. To convolute matters, since Iraq's plan is to dedollarize and not continue using the USD as their primary currency, they need to make the IQD a convertible one as accession stipulates. Other than seeing WTO accession as general progress for Iraq, this issue in particular (convertible currency) is something we as Dinarians find may have some applicability.

[steveflex7]

I agree 100% !

[Maggie123]

"Other than seeing WTO accession as general progress for Iraq, this issue in particular (convertible currency) is something we as Dinarians find may have some applicability."

You can say that again SWFloridaGuy.

[new york kevin]

Way cool my fellow dinarians. Great confirming food for thought. Hate to ask but where did you get this particular piece of info;be there a link? Remember if there is a low 10 cent rv with a short cash in period that follows cash in what you got and buy the new stuff if thats when they role out the new IQD. Then buy the new IQD and wait till THAT rises to a nice tasty value. Just saying.

[KamelKeeper]

Thanks SWFG. I am guessing, but you wrote this piece, right? Sounds like Ninja speak to me.

I did my own big of guessing on one WTO article today. I was probably way off, but the article sounded so negative, plus it just didn't make sense to me. So, thank you for the clarification.

I love this guy!

[Texas1]

It will be a great accomplishment when they can get into the WTO and out of the WTF.....

[Luigi1]

Iraq came to the WTO table empty handed & unprepared. They just expected WTO membership to drop right in their lap.

Iraq can't move forward until a new government is formed, all ministers are named & seated & key Bills are passed.

This is why WTO talks went nowhere & C7 talks may be set up for another failure.

If C7 talks end in failure...the next UNSC meeting won't be till Jan. Another sqandered opportunity slips right between their fingers.

No doubt the USA will once again be blamed for their own lack of resolve.

Either way...Iraq will form a government & pass key Bills or the UN will do it for them.

[KamelKeeper]

I would like to think that the US will get credit for holding back on things Iraq does not deserve, and at this point if international memberships are granted, they would corrupt them, a few would gain, and the people would be left out of any gains. Until the time that Iraq can establish a democracy and help their people, screw them. I realize much of this is a Catch 22, but something has to get these guys attention. I have always been supportive of what the Iraqis are doing, but at this point they need to get it together.

IMHO I think the US is holding up the UN and the WTO, and good on us. If you want a cookie, you had better sit and behave. Now go fetch.

[shabbadude]

I would like to think that the US will get credit for holding back on things Iraq does not deserve, and at this point if international memberships are granted, they would corrupt them, a few would gain, and the people would be left out of any gains. Until the time that Iraq can establish a democracy and help their people, screw them. I realize much of this is a Catch 22, but something has to get these guys attention. I have always been supportive of what the Iraqis are doing, but at this point they need to get it together.

IMHO I think the US is holding up the UN and the WTO, and good on us. If you want a cookie, you had better sit and behave. Now go fetch.

Bravo! That was a well reasoned and very well laid out opinion that IMHO should be well received by all but the bottom feeder gurus, their mindless followers and the just plain coldhearted greedy b@$t@rds who only care about making a quick buck through the RV.

[jackster]

6-8-2012 SWFloridaGuy: We are hearing a lot of speculation regarding Iraq's accession to the WTO, after the release of several conflicting articles. This is a complex process and the WTO is currently negotiating their terms with Iraq. WTO membership is considered on an individual, case-specific basis. There are private requirements and stipulations in addition to the basic, general guidelines we see in print. Iraq has to lay out all their economic and trade policies that relate to WTO agreements. When Iraq submits this memorandum a panel will consider the application. When the principles and policies are in place, additional negotiations will commence between Iraq and other countries. Once the terms are finalized, they are submitted to the WTO's General Council. If two-thirds of the members vote in favor, than Iraq may accede to the WTO. So, as you can see, it's not a simple process. To convolute matters, since Iraq's plan is to dedollarize and not continue using the USD as their primary currency, they need to make the IQD a convertible one as accession stipulates. Other than seeing WTO accession as general progress for Iraq, this issue in particular (convertible currency) is something we as Dinarians find may have some applicability.

Here are 2 links to WTO's official website:

Membership, alliances and bureaucracy

ACCESSIONS Iraq

I don't know about this speculation or conflicting articles, but these directly from the WTO. These should resolve this speculation.

[Niteflyer]

nice point but they'll come up with another setback somehow.

[RVPleaseToday]

I'm not clear on this. China is a WTO member and their currency isn't convertible.

[SWFloridaGuy]

It doesn't have to be a RV. It could be a RV/RI/RD/Float (which would take longer), change in peg etc. They could also use the USD as their primary currency but that's not their goal. We're hoping for and expecting a RV.

For WTO accession they do have to have a convertible currency. I pulled my information right out of their membership laws. To answer your question about China, membership is considered on a case-specific basis. Certain member countries have to agree in the affirmative as I explained.

Accession could be right around the corner or a ways down the road, I've seen conflicting reports about this but what matters to us is they need to raise the exchange rate prior. So, the fact that they are even being considered is a great sign the CBI is getting ready to make their move.

That is also why we speculate that Iraq RVing their currency may be an obligatory stipulation where they are concerned. That part is my own opinion but them having a convertible currency comes straight from WTO membership requirements.

Here's a link from the WTO showing an agreement on a case specific basis and convertible currency. You will find it's a stipulation common in almost all member countries and also is in Iraq's case. http://www.wto.org/english/thewto_e/acc_e/factsheet_cambodge_e.htm

[DocDinar.]

Exactly good post SWF.

[SWFloridaGuy]

Iraq must have a convertible currency. I'm positive about this. What I'm not sure about is if they will be accepted and how they will achieve it. They have many different options as I'm sure DV members are well aware.

[Roadrunner]

Good post SWFG. I like the way you condensed it. This is the basics copied from the WTO site;

Any state or customs territory having full autonomy in the conduct of its trade policies may join (“accede to”) the WTO, but WTO members must agree on the terms. Broadly speaking the application goes through four stages:

First, “tell us about yourself”. The government applying for membership has to describe all aspects of its trade and economic policies that have a bearing on WTO agreements. This is submitted to the WTO in a memorandum which is examined by the working party dealing with the country’s application. These working parties are open to all WTO members.

Second, “work out with us individually what you have to offer”. When the working party has made sufficient progress on principles and policies, parallel bilateral talks begin between the prospective new member and individual countries. They are bilateral because different countries have different trading interests. These talks cover tariff rates and specific market access commitments, and other policies in goods and services. The new member’s commitments are to apply equally to all WTO members under normal non-discrimination rules, even though they are negotiated bilaterally. In other words, the talks determine the benefits (in the form of export opportunities and guarantees) other WTO members can expect when the new member joins. (The talks can be highly complicated. It has been said that in some cases the negotiations are almost as large as an entire round of multilateral trade negotiations.)

Third, “let’s draft membership terms”. Once the working party has completed its examination of the applicant’s trade regime, and the parallel bilateral market access negotiations are complete, the working party finalizes the terms of accession. These appear in a report, a draft membership treaty (“protocol of accession”) and lists (“schedules”) of the member-to-be’s commitments.

Finally, “the decision”. The final package, consisting of the report, protocol and lists of commitments, is presented to the WTO General Council or the Ministerial Conference. If a two-thirds majority of WTO members vote in favour, the applicant is free to sign the protocol and to accede to the organization. In many cases, the country’s own parliament or legislature has to ratify the agreement before membership is complete.

http://www.wto.org/english/thewto_e/whatis_e/tif_e/org3_e.htm

Roadrunner

It will be a great accomplishment when they can get into the WTO and out of the WTF.....

Amen. It has been WTF for way to long. WTF are they saying, WTF are they doing, WTF are they thinking. This list could go on for a while

Roadrunner

[SWFloridaGuy]

Hey Roadrunner good work on that and you are completely right as usual. Hope you are enjoying the holiday.

[SnowGlobe7]

This thread is awesome....this is great for anyone just getting to know about the Dinar. Where were guys three years ago?

Edited December 28, 2012 by SnowGlobe7

[RVPleaseToday]

SWF, I hear you, but how is China in the WTO without a convertible currency?

[Roadrunner]

Hey Roadrunner good work on that and you are completely right as usual. Hope you are enjoying the holiday.

My friend I always enjoy the holidays. I enjoyed Christmas in Paktika Province. I am currently enjoying Khost, and I will probably be enjoying New Years in Ghazni. But I was home for Thanksgiving. Thanks for all the work you put into this and all you bring to the forum.

Roadrunner

[HYDRANT]

iraq is still in the third stage and has been their for the last three years-when they will compleat the forth stage is anybody guess-i get daily e-mails from the wto and so far iraq is not on the list for anything----do we wait

[snooz]

Iraq must have a convertible currency. I'm positive about this. What I'm not sure about is if they will be accepted and how they will achieve it. They have many different options as I'm sure DV members are well aware.

Hi SWFG,

I'm not so sure about having a convertible currency but one thing is sure, a country wanted to be integrated in the WTO as to have a plan towards the incertion of TAX and DUTY laws......Custom laws will be implemented in Iraq as soon they are part of the wto and this, not just partialy or participating observer group, but they need to be fully member !!!

SnooZ

[SWFloridaGuy]

I would like to think that the US will get credit for holding back on things Iraq does not deserve, and at this point if international memberships are granted, they would corrupt them, a few would gain, and the people would be left out of any gains. Until the time that Iraq can establish a democracy and help their people, screw them. I realize much of this is a Catch 22, but something has to get these guys attention. I have always been supportive of what the Iraqis are doing, but at this point they need to get it together.

IMHO I think the US is holding up the UN and the WTO, and good on us. If you want a cookie, you had better sit and behave. Now go fetch.

Hey Kamel great to see you as always. I have no idea who ninja is and yes it's coming from me. Actually it's coming more just straight from the WTO. Hope you had a great Christmas.

[SWFloridaGuy]

My friend I always enjoy the holidays. I enjoyed Christmas in Paktika Province. I am currently enjoying Khost, and I will probably be enjoying New Years in Ghazni. But I was home for Thanksgiving. Thanks for all the work you put into this and all you bring to the forum.

Roadrunner

With you being in Afghanistan you have a great perspective on what's going on in the M.E. Thanks.

Hi SWFG,

I'm not so sure about having a convertible currency but one thing is sure, a country wanted to be integrated in the WTO as to have a plan towards the incertion of TAX and DUTY laws......Custom laws will be implemented in Iraq as soon they are part of the wto and this, not just partialy or participating observer group, but they need to be fully member !!!

SnooZ

Hey there Snooz. Yes, great point. That is one of many stipulations. They vary between countries but one thing I've found consistent with most is they must have a convertible currency. Tax and duty laws are also very important. There's no way of knowing for sure everything that is required in Iraq's case. This is where the speculation comes into play. The closest we can get is to look at other member countries and what was required of them. Great post.

[MovieMaker]

WOW thanks.