Aid for Trade is difficult to define and its cloudiness can allow it to be everything for everyone. The OECD defines its Aid for Trade as follows: „The OECD`s trade work supports a strong and rules-based multilateral trading system to maintain the momentum for further trade liberalisation while contributing to sustainable development. It strengthens trade policy dialogue with developing and emerging countries, sharpens understanding of the impact of trade liberalization, and promotes the mutually beneficial integration of these economies into the multilateral trading system. This is where the WTO`s coherence mandate, an important outcome of the Uruguay Round, comes into play. It recognizes the WTO`s RESPONSIBILITY to promote global economic policy coherence and to work with the World Bank, IMF and other international actors to achieve better coordinated international policies. Aid for Trade is a clear test of this mandate and a clear example of how the WTO has an increasing share of other global policies alongside trade. The simple answer is that the WTO is a global trading body and has a clear role and responsibility to ensure that countries can effectively participate in and benefit from world trade. But the WTO cannot provide development aid. It is not a development agency and it has no intention of becoming one. Our main mandate is and remains the establishment of trade rules. In addition, fast and cost-effective means of transport such as trains, highways, planes and maritime transport have expanded the scope of trade to global transactions.
The WTO-led Aid for Trade initiative encourages governments and donors in developing countries to recognize the role that trade can play in development. In particular, the initiative aims to mobilize resources to address trade-related constraints identified by developing and least developed countries. In the run-up to the 7th World Review, the 6th World Review 2017 addressed the theme „Promoting Trade, Inclusion and Connectivity for Sustainable Development”. By addressing supply-side capacities and trade-related infrastructure bottlenecks in developing countries, particularly the least developed countries, Aid for Trade can help advance the 2030 Agenda for Sustainable Development. I would also like to point out that the OECD/DAC, which is working with the WTO on the Aid for Trade initiative, has developed a definition of Aid for Trade, but you cited a presentation – paraphrased the presentation and seemed to overlook category 5, „other trade-related needs when identified as development priorities in partner countries` national development strategies”. Global organizations are involved in the promotion and development of trade at the international level. Its main objective is to promote international trade. These institutes assist exporters and importers by gathering information on international marketing trends. The objectives, operation and functioning of any trade are almost difficult to achieve without commercial aid. Therefore, these tools are crucial for trade and the economy. Free trade leads to global inequality, terrible working conditions in many developing countries, job losses and economic inequality.
The term „Aid for Trade” has become very important in Australian aid discourse. But I have to admit that I wasn`t really sure what someone was talking about. What is Aid for Trade? It is not clear what Bishop means by this, how the DFAT will interpret it, or what it will mean for the Australian aid program. Aid for trade helps developing countries diversify, stimulate investment and create jobs. The 7th World Review 2019 deals with the theme „Economic Diversification and Empowerment”. Analysing how trade can contribute to economic diversification and enhanced economic participation, with a focus on eradicating extreme poverty, particularly through the effective participation of women and youth. It shows how Aid for Trade can contribute to this goal by addressing supply-side capacities and trade-related infrastructure bottlenecks, including for micro, small and medium-sized enterprises, particularly in rural areas. Without AIDS to trade, the goals, operation and functionality of a business are almost impossible to achieve. Therefore, these tools are crucial for trade and the economy. The formal study of trade recognizes four tools for trade: advertising, banking, insurance and transport. The World Trade Organization (WTO), which launched its Aid for Trade initiative in 2005, defines Aid for Trade as „Aid for Trade aims to help developing countries, especially the least developed countries, to build the trade capacity and infrastructure they need to benefit from trade opening”.
The WTO notes that „trade has the potential to be an engine of growth that lifts millions of people out of poverty,” but that „internal barriers – lack of knowledge, excessive bureaucracy, inadequate financing, poor infrastructure” hinder this potential. Trade Promotion Organizations (OPT) address challenges in promoting and developing trade at the national level. These organizations are established by the business community to protect and promote their business interests. They play a role in supporting and promoting development for their members. They do market research, act as a clearinghouse, bring their complaints to government, make representations and help the business community prosper in many ways. While I don`t have answers to these questions, I`ve made an effort below to summarize what we know about Aid for Trade. .