Foreign policy, being realized in Turkmenistan, provides all-round integration of the country into the modern globalized world in terms of deepening of socio-economic ties between the countries.
Regular confirmation of this fact became the statement of President of Turkmenistan Gurbanguly Berdimuhamedov at the meeting of the Cabinet of Ministers held on January 18, 2013 on necessity to study the issue on Turkmenistan’s entry into the World Trade Organization (WTO) and commission to start proper negotiations with officials of the WTO on admission of our country into the organization. At the next meeting of the Cabinet of Ministers on January 24, 2013, the head of state signed a Resolution, having ordered to create the Governmental Commission for study of issues connected with entry of Turkmenistan into WTO.
With a view of study the issue of Turkmenistan’s joining the WTO as well as analysis of the economic consequences of a possible accession to this organization, a working group was created at the Institute of Strategic Planning and Economic Development of Turkmenistan. Analyzing such issues as study of multilateral agreements on trade, which include the General Agreement on Tariffs and Trade (GATT), Agreement on Textiles and Clothing, Agreement on Trade-Related Investment Measures, Agreement on Import Licensing Procedures, and others, it is also studied the Safeguards Agreement, General Agreement on Trade in Services (GATS), Agreement on Trade Related Aspects of Intellectual Property Rights, “Understanding on rules and procedures for dispute resolution”, “Trade Policy Review Mechanism” and other norms and rules of the WTO. Within the framework of study of these issues, the working group will also consider foreign-trade conditions and foreign-trade legislation of Turkmenistan for their compliance with multilateral trade agreements of the WTO. At this stage, the working group examines the procedure of the country’s accession to WTO. The procedure for the countries’ joining the WTO is multidimensional and defined by Article XII of Marrakesh Agreement “On establishment of the World Trade Organization.” The accession process takes at the average 5-7 years.
The first step is the filing of application by the candidate country on intention to join the Directorate-General of the WTO. Then, this country receives the status of observer. Further, the observer-country provides a detailed Memorandum of Trade Regime, which outlines the negotiation level of customs tariffs and tactics of gradual harmonization of the existing rates with the limiting levels, transition period, distinguished boundaries and finite limit of openness for foreign service companies, having to do with national security and image of the country (banking sector, air traffic, telecommunications, etc.), and other measures. Having considered this memorandum, the WTO member-countries send to an observer-country the questions concerning this document.
In the second stage, within the framework of the special working groups, it is conducted detailed discussion of issues of the Memorandum, consideration at multilateral level of the economic mechanism and trade-political regime of the joining country. After that, it is started the consultations and negotiations on conditions of membership of an observer-country in this organization. As a rule, these consultations and negotiations are conducted at the bilateral level with all interested member-countries of the working group.
In the final third stage of accession, in accordance with prescribed procedure, the results of all negotiations and package of rights and obligations the observer-country undertakes are expounded in the Report of working group. After that, the package of documents agreed within the framework of working group and approved by General Council is ratified by legislative authority of the observer-country. Then, the mentioned obligations become a part of legal package of documents of the WTO and national legislation and the observer-country gets the status of the WTO member.
It is worth mentioning that some advantage of joining the WTO for such countries as Turkmenistan - is the number of states with an income above average. The advantages are reflected in the improvement of legislation and formation of stable trade and investment environment, which contributes to attract investments into national economy. It is also improved for local enterprise the greater access to world markets of cars, equipment, technology and information, mineral resources and transport communications. It predetermines the creation of conditions for improvement of the quality of national goods and services as a result of rise of standards and impact of competition growth and others. Possible entry of Turkmenistan into the WTO requires a deep qualitative and quantitative analysis.
In general, the possible entry of our state into this international economic organization will open wide opportunities for strengthening the competitiveness of Turkmenistan in the international markets, development of our foreign economic relations and, correspondingly, increase of foreign demand for products and services of Turkmen manufacturers.
Regular confirmation of this fact became the statement of President of Turkmenistan Gurbanguly Berdimuhamedov at the meeting of the Cabinet of Ministers held on January 18, 2013 on necessity to study the issue on Turkmenistan’s entry into the World Trade Organization (WTO) and commission to start proper negotiations with officials of the WTO on admission of our country into the organization. At the next meeting of the Cabinet of Ministers on January 24, 2013, the head of state signed a Resolution, having ordered to create the Governmental Commission for study of issues connected with entry of Turkmenistan into WTO.
With a view of study the issue of Turkmenistan’s joining the WTO as well as analysis of the economic consequences of a possible accession to this organization, a working group was created at the Institute of Strategic Planning and Economic Development of Turkmenistan. Analyzing such issues as study of multilateral agreements on trade, which include the General Agreement on Tariffs and Trade (GATT), Agreement on Textiles and Clothing, Agreement on Trade-Related Investment Measures, Agreement on Import Licensing Procedures, and others, it is also studied the Safeguards Agreement, General Agreement on Trade in Services (GATS), Agreement on Trade Related Aspects of Intellectual Property Rights, “Understanding on rules and procedures for dispute resolution”, “Trade Policy Review Mechanism” and other norms and rules of the WTO. Within the framework of study of these issues, the working group will also consider foreign-trade conditions and foreign-trade legislation of Turkmenistan for their compliance with multilateral trade agreements of the WTO. At this stage, the working group examines the procedure of the country’s accession to WTO. The procedure for the countries’ joining the WTO is multidimensional and defined by Article XII of Marrakesh Agreement “On establishment of the World Trade Organization.” The accession process takes at the average 5-7 years.
The first step is the filing of application by the candidate country on intention to join the Directorate-General of the WTO. Then, this country receives the status of observer. Further, the observer-country provides a detailed Memorandum of Trade Regime, which outlines the negotiation level of customs tariffs and tactics of gradual harmonization of the existing rates with the limiting levels, transition period, distinguished boundaries and finite limit of openness for foreign service companies, having to do with national security and image of the country (banking sector, air traffic, telecommunications, etc.), and other measures. Having considered this memorandum, the WTO member-countries send to an observer-country the questions concerning this document.
In the second stage, within the framework of the special working groups, it is conducted detailed discussion of issues of the Memorandum, consideration at multilateral level of the economic mechanism and trade-political regime of the joining country. After that, it is started the consultations and negotiations on conditions of membership of an observer-country in this organization. As a rule, these consultations and negotiations are conducted at the bilateral level with all interested member-countries of the working group.
In the final third stage of accession, in accordance with prescribed procedure, the results of all negotiations and package of rights and obligations the observer-country undertakes are expounded in the Report of working group. After that, the package of documents agreed within the framework of working group and approved by General Council is ratified by legislative authority of the observer-country. Then, the mentioned obligations become a part of legal package of documents of the WTO and national legislation and the observer-country gets the status of the WTO member.
It is worth mentioning that some advantage of joining the WTO for such countries as Turkmenistan - is the number of states with an income above average. The advantages are reflected in the improvement of legislation and formation of stable trade and investment environment, which contributes to attract investments into national economy. It is also improved for local enterprise the greater access to world markets of cars, equipment, technology and information, mineral resources and transport communications. It predetermines the creation of conditions for improvement of the quality of national goods and services as a result of rise of standards and impact of competition growth and others. Possible entry of Turkmenistan into the WTO requires a deep qualitative and quantitative analysis.
In general, the possible entry of our state into this international economic organization will open wide opportunities for strengthening the competitiveness of Turkmenistan in the international markets, development of our foreign economic relations and, correspondingly, increase of foreign demand for products and services of Turkmen manufacturers.