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Trade and RTD
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AREA
OF RESEARCH
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International trade, given its instrumental role in
economic growth and welfare enhancement, has an
important role in a Right to Development based
development approach. The Trade and Development linkage
has been one of the major issues that has been widely
debated and discussed in recent times. It has been
recognized that openness to trade would bring about more
efficient allocation of resources and facilitate
technology diffusion, encouraging higher levels of
economic growth. Besides, engaging in gainful trade by
exchange of goods and services produced at home for
acquiring goods and services produced abroad would lead
to an expansion of the set of goods and services
available for final consumption of the country and thus
realizing an improvement in welfare. Trade is in an
integral part of right to development because it
facilitates generation of resources, which in turn is
required in the process of its realization. Without
adequate resources, the realization of human rights
becomes stagnant after certain point.
However, the important question concerns the
distribution of the benefits of the process of trade
liberalization among the various economic agents. The
policies and programs of national governments and
international organizations are critical factors in this
regard. The policies of the World Trade Organization are
the most crucial factor because these provisions are
binding on all the members. The WTO agreements
particularly the Agreement of Agriculture and the Trade
Related Intellectual Property Rights have direct
implications on the realization of the Right to
Development in the developing countries. It is estimated
that around 80 percent of the poor are in developing
countries and 60 percent among them depend on
agriculture for their livelihood. The provisions of the
Agreement of Agriculture therefore would be highly
significant in mitigating or worsening the plight of the
poor in the developing countries. An orderly management
of trade with lower distortions would open avenues for
their betterment. Similarly the TRIPS agreement has to
do a lot with the access and availability of drugs. An
increase in the prices of drugs would make health care
inaccessible for the poor. The Trade and Development
division of the Centre currently focuses on the impacts
of WTO agreements on Agriculture and TRIPS on India.
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