The Furniture Sector in Pakistan: Export performance and ... - TRTA i

3.3 Implications of the WTO Trade Agreements
3.3.1 Relevant WTO Agreements for the global & Pakistani furniture
sector
The WTO Agreements in terms of degree of their relevance for the furniture sector can be
divided into three categories: high intensity relevance, low intensity relevance and contingent
relevance. Agreements possessing contingent relevance refer to those that come into effect in
certain situations only.
The degree of relevance of these agreements for the furniture sector is the same in Pakistan and
elsewhere i.e. in other WTO member countries as well.
The agreement, of direct relevance to the furniture sector, is GATT 1994. Other agreements
having high level of relevance intensity are TRIPs, Technical Barriers to Trade (TBT),
Application of Sanitary and Phytosanitary Measures (SPS), Rules of Origin and the Customs
Valuation. The agreements of lesser relevance are on: Pre-Shipment Inspection and Import
Licensing Procedures and Trade-relate Investment Measures. In the category of contingent
relevance, agreements on Anti-Dumping, Subsidies, Countervailing, Safeguards and the DSU
fall. The WTO Agreements not only influence the volume of trade but also affect the
operational space of a policy-maker and market access of an individual exporter.
A diagrammatic representation of the degree of relevance of the WTO Agreements for the
furniture sector is given below.
58 International Trade Centre