WTO is a necessary institution, says Commerce Secy

New Delhi: The World Trade Organisation (WTO) is a necessary institution, as one cannot have global trade without multilateral rules, Commerce Secretary Anup Wadhawan said on Thursday.

The WTO is also a "necessity" as it has helped the world by having a system of rules, he added.

Citing examples without naming any country, Wadhawan said that some WTO members had violated multilateral rules due to which the entire WTO system collapsed.

"Let me say at this stage that the WTO is a necessary institution, you cannot have a globalised world, you cannot have global trade without multilateral rules... It has certainly helped the world on the whole by having a system of rules," the secretary said at a CII webinar.

He emphasised on the need to revive the appellate body of the WTO, which deals with the resolution of trade disputes.

The US had stalled appointments of members in the appellate body of the WTO's dispute settlement system.

"You had a reversal of agreed positions, you had a tendency to unilaterally bring in protectionism, involving non-tariff barriers, you had violations of WTO rules on grounds like security provisions, you had violations of bound rates," he said.

He also said that India should become competitive and the world's best investment destination for both domestic and foreign investors. Geneva-based WTO is a 164 member body, which deals with issues related to global imports and exports. India has been a member since January 1995.