Rising trade restrictive steps by G20 to have chilling effect

Expressing concerns over the spurt in number of trade restrictive measures by G20 economies, the WTO has said it could have a "chilling effect" on trade flows.
According to a WTO report, during mid-October to mid-May 2016, G20 economies applied 145 new trade-restrictive measures as against 100 in the same period previous years.
The G20 economies, a group of developed and developing countries are India, Australia, Brazil, China, France, the US and the UK and EU.
WTO Director-General Roberto Azevedo said: "We have long been concerned about the growing stockpile of trade- restrictive measures, and our report suggests that this worrying trend is continuing.

"A rise in trade restrictions is the last thing the global economy needs today with GDP growth sluggish and 2016 expected to be the fifth year in a row that trade has expanded by less than 3 per cent."
He said these trade-restrictive measures, combined with a notable rise in anti-trade rhetoric, "could have a further chilling effect on trade flows", with knock-on effects for economic growth and job creation.

Azevedo added "if we are serious about addressing slow economic growth, then we need to get trade moving again, not put up barriers between economies".
He urged the countries to act on their commitment of not putting up barriers.

The report said since 2009, a total of 1,583 trade measures were imposed by G20 countries and only a quarter of these measures have been removed.
It added the main factor behind the rise in these measures was increase in the number of trade remedy investigations by G20 economies.
Anti-dumping actions account for the majority of restrictive measures imposed, with most of the investigations concentrated in sectors such as metals (particularly steel) and chemicals, it added.
The report assumes significance as the World Trade Organisation has already cut global trade growth forecast to 2.8 per cent from 3.9 per cent earlier, on account of slowdown in emerging economies and financial volatility.

India's exports too are in negative zone since December 2014.