Hull Ideology on Trade Multilateralisation and the Doha Round Conundrum

Abstract

Cordell Hull’s suggestion for trade multilateralization upon which GATT/WTO may have derived its de facto negotiation structure was based fundamentally on the agreement of “commercial nations”. A term which in practice was defined to exclude some States most of which are developing and less industrialized. While most of the agreements were perceived to be in favour of the developed and industrialized States, developing States were made to be bound by the agreements despite their objections. This papers, through a historical analysis of the negotiations within the GATT/WTO system, argues that this restrictive definition of “commercial nations” and the resultant feeling by developing States that the legal framework of the system disfavours them contribute to the current stagnation witnessed in the Doha Round. This paper suggests in conclusion that for a resolution of the conundrum, there is need for an all-inclusive trade agreement based on an altruistic disposition towards trade liberalization, and built to facilitate the principle of comparative advantage.