Monday, 20 September 2010

What does WTO stand for?

The WTO came back with a response to my question about what the WTO position is on current restrictions imposed on exporting grain from Ukraine?

"As an exception to general rules on trade, a member of the WTO can impose export prohibitions or restrictions on condition that they are temporarily applied to prevent or relieve critical shortages of foodstuffs or other products essential to that country."

Presumably if a member was to impose restrictions the definition of "critical shortages" would need to be determined. This is academic anyway as Ukraine is not imposing any export prohibitions or restrictions on wheat, just ask the owners of all that grain currently stuck in port.