III. TRADE-RELATED ORGANIZATIONS
Food and Agricultural Organization (FAO). A specialized agency of the United Nations created in 1945 to increase the production and improve the distribution of agricultural products and improve the conditions of rural populations. The F AO is headquartered in Rome.
Foreign Credit Insurance Association (FCIA). A US federal agency established in 1961 which, in partnership with Eximbank, offers insurance to US exporters against commercial risk and political risk (Sec. 11).
General Agreement on Tariffs and Trade (GATT). The central international institution supporting negotiations for the reduction of trade barriers and for the resolution of trade disputes. As a set of agreements, the GATT also constitutes the legal framework of the world trading system. The General Agreement was completed in 1947 as an interim arrangement pending establishment of the projected I international Trade Organization ( ITO ), and was envisaged primarily as a code of conduct for commercial policy among a fairly small group of countries. After the US Congress failed to ratify the ITO charter, the articles of the GATT and related agreements became the sole multilateral instrument establishing the basic rules of international trade. (The GATT is applied by the United States as an executive agreement which did not require ratification by the Senate.) The GATT provides a forum for multilateral negotiations to reduce trade barriers (see GA1T Round, Sec.l); for dispute settlement (Sec. I); and for negotiating new trade rules and improving existing rules. The Contracting Parties (Sec. I) themselves administer the trade pacts; most decisions are therefore made by consensus, and the role of the Director-General and the GATT Secretariat are only advisory .As of August 1993, 110 countries4 were GATT members, and accession negotiations for 10 others were 3 Members are elected to the European Parliament every five years on the basis of proportional representation in each EC member state except the United Kingdom, which uses simple majority voting by constituency. Underway (see "The GATT System: Spectrum of Country Affiliations" in Appendix C). The GA TT is headquartered in Geneva, Switzerland.
General Agreement on Trade in Services (GATS). A proposed organization, similar to the GA1T , that would administer and implement agreements reached during the Uruguay Round (Sec.l) covering trade in services (Sec.ll).
GATT Council. Formally known as the Council of Representatives, the GA 17 Council is the principal decision-making body of the GA TT on a day-to-day basis. The Council was established in 1960 to conduct GATT business between the annual sessions of the Contracting Parties, and meets seven to nine times a year. While the GA TT Contracting Parties can vote for or adopt measures as provided for in the General Agreement, the Council acts on the basis of consensus, and its rulings are subsequently approved formally by the Contracting Parties at their annual session.
Group of Fifteen (G-15). A group of developing countries seeking recognition as interlocutor for the LDCs in discussions of international economic issues with industrial countries. Established in 1989 among Algeria, Argentina, Brazil, Egypt, India, Indonesia, Jamaica, Malaysia, Mexico, Nigeria, Peru, Senegal, Venezuela, the former Yugoslavia, and Zimbabwe.
Group of Seven (G- 7). The seven leading industrial countries of the world: the United States, Japan, Germany, France, the United Kingdom, Italy, and Canada. In 1975, the leaders of the G- 7 countries held a summit meeting in Rambouillet, France, to discuss global economic problems in the wake of the OPE~ crisis. G- 7 "Economic Summits" have been held annually since then, usually in late June or early July, with the venue rotating among the members.
Group of Seventy-Seven (G- 77). A caucus for the developing countries on economic matters in the United Nations and subsidiary organizations. The group had its origins in the "Joint Declaration of the 77 Developing Countries" appraising the work of the first UNCT AD in 1964; the numerical designation has persisted, although the membership of the group now totals 127 countries plus the Palestine Liberation Organization.
Group on Environmental Measures and International Trade. A standing GATT committee for discussions and negotiations concerning environmental trade measures (Sec. I).
Group on Export Credits and Credit Guarantees. A subgroup of the OECD Trade .Committee, comprising all OECD member countries, except Turkey, that participate in the Export Credits Arrangement (Sec. I).
Gulf Cooperation Council (GCC). A customs union including Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates, founded in 1981. Objectives include political coordination and harmonization of economic, financial, commercial, and customs policies; and establishment of a common external tariff. Most internal tariffs were eliminated by 1982. Significant unification of tariff schedules and liberalization of trade in services was achieved by 1983 --with certain exceptions granted to Oman --and a minimum common external tariff was established on a group of products originating in third countries. GCC headquarters are in Riyadh, Saudi Arabia; its principal administrative organs are the Supreme Council, the Ministerial Council, and the Secretariat-General.
Hamburgisches Weltwirtschaftsarchiv (HWW A). Germany's institute for international economic research, based in Hamburg.
Hexagonal Group. See Central European Initiative.
Indian Ocean Commission (IOC). A regional cooperation organization including Comoros, Madagascar, Mauritius, Reunion (France), and Seychelles, founded in 1982. Objectives include policy coordination and trade integration. Establishment of a preferential trade regime has been blocked by membership of Mauritius and Comoros in the PTA, while Reunion has no autonomy in setting its trade policy. Limited transport links inhibit intra-regional trade.
Industry Functional Advisory Committee (IF AC). One of more than 30 technical, sectoral, and functional committees forming part of the private sector advisory system established by Congress to ensure that US trade policy and negotiating objectives reflect US commercial and economic interests. The three IF ACs provide cross-sectoral technical advice on standards, customs, and intellectual property issues. IFAC members are appointed jointly by the USTR and the Secretary of Commerce. See also ATACs and IFACs.
Industry Policy Advisory Committee (IPAC). A policy-level committee that forms part of the private sector advisory system established by Congress to ensure that US trade policy and negotiating objectives reflect US commercial and economic interests. The IPAC and the individual industry sector advisory committees (/SACs) are the source of policy advice and technical expertise on industrial sector issues related to bilateral and multilateral trade negotiations. IPAC members are appointed jointly by the USTR and the Secretary of Commerce. The counterpart committee in the agriculture sector is the APAC. See also ACTPN.
Industry Sector Advisory Committee (ISAC). One of more than 30 technical, sectoral, and functional committees forming part of the private sector advisory system established by Congress to ensure that US trade policy and negotiating objectives reflect US commercial and economic interests. Each ISAC represents an individual industrial sector and provides specific, often highly technical advice concerning the likely effects of trade, policy decisions and negotiating concessions on the sector. ISAC members are appointed jointly by the USTR and the Secretary of Commerce. Counterpart committees in the agricultural sector are known as ATACs. See also IFACs.
Institut fur Weltwirtschaft (WWI). Germany's institute of world economics, based in Kiel. WWI receives funding from the federal and state governments.
Institut fur Wirtschaftsforschung (IFO). Germany's economic research institute, based in Munich. IFO receives funding from the federal and state governments, and specializes in research concerning international imbalances.
Institut fur Wirtschaft und Gesellschaft (IWG). Germany's institute for industry and commerce, based in Bonn. IWG is privately funded by German companies and associations.
Institut National de la Statistique et des Etudes Economiques (INSEE). France's institute for economic studies and statistics, a government agency roughly equivalent to the US Bureau of Economic Analysis and Bureau of Labor Statistics.
Institute for International Economics (lIE). A private, nonprofit research institution for the study and discussion of international economic issues. llE was created in 1981 through a grant from the German Marshall Fund of the United States, and receives funding from private corporations and foundations. It is based in Washington, DC.
Intergovernmental Councilor Copper Exporting Countries. An international commodity organization (Sec. I) established in 1968 to coordinate members' production and marketing decisions. Member countries include Chile, Peru, Zambia, and Zaire; Papua New Guinea is an associate member. Efforts by the group to increase prices by withholding supply were unsuccessful, as were attempts in 1979 to establish a commodity agreement (Sec. I) with consuming countries.
Intergovernmental Organizations (IGOs). A term designating international organizations outside the United Nations system through which nations cooperate on a governmental level.
Intergovernmental Policy Advisory Committee (IGPAC). A policy-level committee that forms part of the private sector advisory system established by Congress to ensure that US trade policy and negotiating objectives reflect US commercial and economic interests. The IGPAC consists of 35 representatives from state and local government bodies with an interest in or responsibility for trade; 15 of its members are state governors. Members are appointed by the USTR.
International Bank for Reconstruction and Development (IBRD). See World Bank.
International Bauxite Association. An international commodity organization (Sec. I) established in 1975 to promote orderly development of the bauxite industry. Members include Australia, Ghana. Guinea. Guyana, India, Indonesia, Jamaica, Sierra Leone, and Suriname. The Association is based in Kingston, Jamaica.
International Center for Settlement of Investment Disputes. An international agency affiliated with the World Bank, which serves as a forum for resolution of international investment disputes. The Center was established by the Convention on Settlement of I investment Disputes Between States and Nationals of Other States (Sec. I), signed in 1965. The Center provides impartial panels of conciliators and arbitrators to assist parties in reconciling differences. Failing such conciliation, binding arbitration may be enforced.
International Cocoa Organization. An international commodity organization (Sec. I) established in 1973 to implement the International Cocoa Agreement of 1972. The Organization is based in London. Exporting members are Brazil, Cameroon, Cote d'lvoire, Ecuador, Gabon, Ghana, Grenada, Guatemala, Haiti, Jamaica, Mexico, Nigeria, Papua New Guinea, Sierra Leone, Togo, Trinidad and Tobago, Venezuela, and Western Samoa. Importing members are Belgium, Bulgaria, Czech Republic, Denmark, the European Community, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Japan, Luxembourg, Netherlands, Norway, Portugal, Russia, Slovakia, Spain, Sweden, Switzerland, and the United Kingdom. The current International Cocoa Agreement expires at the end of September 1993. Negotiations on a new Agreement are continuing; exporting members are seeking an export quota system, while importing members favor a buffer stock in conjunction with an export withholding system.
International Coffee Organization (ICO). An international commodity organization (Sec. I) founded in 1963. The ICO became the administrative agency of the International Coffee Agreement (ICA) of 1976, a commodity agreement (Sec. I) among coffee- producing and consuming countries designed to control the amount of coffee produced and sold internationally. The ICO functions through the International Coffee Council, which consists of all members and meets twice a year; it is based in London. Exporting members are Angola, Benin, Bolivia, Brazil, Burundi, Cameroon, Central African Republic, Colombia, Congo, Costa Rica, Cote d'lvoire, Cuba, Dominican Republic, Ecuador, El Salvador, Equatorial Guinea, Ethiopia, Gabon, Ghana, Guatemala, Guinea, Haiti, Honduras, India, Indonesia, Jamaica, Kenya, Liberia, Madagascar, Malawi, Mexico, Nicaragua, Nigeria, Panama, Papua New Guinea, Paraguay, Peru, Philippines, Rwanda, Sierra Leone, Sri Lanka, Tanzania, Thailand, Togo, Trinidad and Tobago, Uganda, Venezuela, Zambia, Zaire, and Zimbabwe. Importing members are Austria, Belgium, Canada, Cyprus, Denmark, the European Community , Fiji, Finland, France, Germany, Greece, Ireland, Italy, Japan, Luxembourg, Netherlands, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, the United Kingdom, and the United States. The ICA's rigid export quota system was abandoned in 1989 after widespread discounting to non-members. Since then, members have approved three resolutions extending the Agreement without price-support provisions; the current ICA expires at the end of September 1993. In the negotiations on a new International Coffee Agreement, which began in June 1992, exporting members have sought to give the Council power to periodically change the quota system, while importing members prefer a market-oriented agreement. In August 1993, the major coffee producing countries announced plans to form a producer cartel to be known as the Association of Coffee Producing Countries.
International Cotton Advisory Committee (ICAC). An international commodity organization (Sec. I) established in 1939 among ten cotton-producing countries to improve technology and engage in market promotion, and subsequently opened to interested importing and exporting countries. Members include Argentina, Australia, Belgium, Brazil, Cameroon, Chad, Colombia, Cote d'lvoire, Denmark, Egypt, Finland, France, Germany, Greece, Guatemala, Honduras, Hungary , India, Iran, Israel, Italy, Japan, Korea, Mexico, Netherlands, Nicaragua, Nigeria, Norway, Pakistan, Peru, Philippines, Russia, Spain, Sudan, Sweden, Switzerland, Syria, Taiwan, Tanzania, Turkey, Uganda, the United Kingdom, and the United States. ICAC is based in Washington, DC.
International Dairy Products Council. A group established within the GATT framework to oversee the International Dairy Arrangement (Sec. I), charged with improving international cooperation and promoting stability of trade in the dairy sector. Members are Argentina, Australia, Botswana, Bulgaria, Egypt, the European Community, Finland, Hungary, Japan, New Zealand, Norway, Poland, Romania, South Africa, Sweden, Switzerland, and Uruguay.
International Development Association (IDA). A component of the World Bank that lends to the poorest developing countries on lenient terms.
International Finance Corporation. Established in 1956 as pan of the World Bank to facilitate the financing of privately-owned enterprises in developing countries.
International Fund for Agricultural Development (IFAD). A specialized agency of the United Nations created in 1976 to help developing countries increase their food production with low-interest loans.
International Jute Organization. An international commodity organization (Sec. I) established in 1984 to administer the International Agreement on Jute and Jute Products. Exporting members are Bangladesh, China, India, Nepal, and Thailand. Importing members are Australia, Austria, Belgium, Canada, Denmark, Egypt, the European Community , Finland, France, Germany, Greece, Indonesia, Ireland, Italy, Japan, Netherlands, Norway, Pakistan, Poland, Portugal, Spain, Sweden, Switzerland, Turkey, the United Kingdom, and the United States. The Organization is based in Dhaka, Bangladesh.
International Lead and Zinc Study Group. An international commodity organization (Sec. I) established in 1958 to provide for intergovernmental consultations on international trade in lead and zinc. Members are Australia, Austria, Belgium, Brazil, Bulgaria, Canada, China, Czech Republic, Denmark, Finland, France, Germany, Hungary, India, Iran, Italy, Japan, Korea, Morocco, Netherlands, Norway, Peru, Poland, Russia, Slovakia, South Africa, Spain, Sweden, Thailand, Tunisia, the United Kingdom, and the United States. The Group is based in London.
International Meat Council. A group established within the GA 1T framework to oversee the Bovine Meat Arrangement (Sec. I). In addition, the Council conducts studies on trade in bovine meat and organizes consultations among signatory countries, which together account for about 90 percent of world exports of beef and veal (excluding intra-EC trade), and about 60 percent of world consumption and production. Members are Argentina, Australia, Austria, Brazil, Bulgaria, Canada, Colombia, and Egypt. the European Community, Finland, Guatemala, Hungary, Japan, New Zealand, Nigeria, Norway, Poland, Romania, South Africa, Sweden, Switzerland, Tunisia, the United States, and Uruguay.
International Monetary Fund (IMF). The central international monetary institution, the IMP was established after World War II as part of the Bretton Woods system (Sec. I) to ensure exchange-rate stability and facilitate resolution of payments imbalances among members. Its original purpose was to contribute to the expansion and growth of international trade by working toward making currencies freely convertible and with relatively stable values. Since the advent of flexible and managed exchange rates in the years since 1971, the IMP has assumed responsibility for monitoring members I compliance with guidelines proscribing exchange-rate manipulation to gain unfair competitive advantage over other members. Through its ability to provide funds for countries to ease temporary balance-of-payments difficulties, the IMP can exert considerable influence over their economic policies. The IMP is headquartered in Washington, DC.
International Natural Rubber Organization. An international commodity organization (Sec.l) formed in 1980 to implement the International Natural Rubber Agreement of 1979. Exporting-country members are Indonesia, Malaysia, Nigeria, Sri Lanka, and Thailand. Importing-country members are Belgium, China, Denmark, the European Community, Finland, France, Germany, Greece, Ireland, Italy, Japan, Luxembourg, Morocco, Netherlands, Norway, Russia, Spain, Sweden, Switzerland, the United Kingdom, and the United States. The organization is based in Kuala Lumpur, Malaysia. See also Association of Natural Rubber Producing Countries.
International Olive Oil Council. An international commodity organization (Sec.l) formed to administer the International Olive Oil Agreement. The members are Algeria, Belgium, Denmark, Egypt, the European Community , France, Germany, Greece, Ireland, Italy, Luxembourg, Morocco, Netherlands, Portugal, Spain, Tunisia, Turkey, and the United Kingdom. The Council is based in Madrid.
International Organization for Standardization; sometimes referred to as the International Standards Organization (ISO). A specialized international agency promoting the development of worldwide standardization and other activities related to technical barriers to trade (Sec.l). Founded in 1946, the ISO is comprised of the national standards bodies of 91 countries. ISO activities cover all industrial sectors (except the electrical and electronic engineering sector, which are the responsibility of the International Electrotechnical Commission) as well as increasing numbers of non- industrial fields such as dairy products, and air and water quality standards.
International Rice Commission. An international organization established in 1948 in Rome to promote national and international action concerning rice production, conservation, and distribution, but excluding matters relating to international trade. Membership is open to all member states of the Food and Agricultural Organization.
International Sugar Organization (ISO). An international commodity organization (Sec.l) established in 1968 to administer the International Sugar Agreement; it succeeded the International Sugar Council, which functioned from 1937 to 1958. The ISO is based in London. Exporting members include Argentina, Australia, Austria, Barbados, Belize, Bolivia, Brazil, Colombia, Congo, Costa Rica, Cuba, Dominican Republic, El Salvador, European Community, Fiji, Finland, Guatemala, Guyana, Honduras, Hungary , India, Jamaica, Japan, Korea, Malawi, Mauritius, Mexico, Nicaragua, Norway, Pakistan, Panama, Papua New Guinea, Peru, Philippines, Russia, South Africa, Swaziland, Sweden, Switzerland, Thailand, the United Kingdom (for Anguilla and St. Kilts), Uruguay, and Zimbabwe. Importing members include Canada, Finland, Japan, Korea, Norway, Russia, Sweden, and Switzerland. In March 1992, ISO members adopted a resolution establishing the text of a new, permanent International Sugar Agreement, which came into force provisionally as of January 1993. The new Agreement contains market-transparency provisions, but does not contain economic provisions. The United States was not able to agree to certain provisions of the new Agreement, and accordingly left the ISO at the end of 1992.
International Tea Committee. An international organization established in London in 1933 to administer the International Tea Agreement, which was signed by representatives of the tea industries in Ceylon, India, and the Netherlands East Indies, and was in force from 1933 through 1955. Since 1979, the Committee has functioned as a statistical and information center. Members include producers in Bangladesh, India, Indonesia, Kenya, Malawi, Sri Lanka, and Zimbabwe; consumers in Canada and the United States; and the European Tea Committee (for Belgium, Denmark, France, Germany, Italy, Luxembourg, .and the Netherlands).
International Textiles and Clothing Bureau (ITCH). A group of 18 developing countries formed to coordinate the negotiating positions of LDC textile exporters in the Uruguay Round (Sec. I). Members include Argentina, Bangladesh, Brazil, Colombia, China, Egypt, Hong Kong, India, Indonesia, Jamaica, Korea, Macau, Mexico, Pakistan, Peru, Sri Lanka, Turkey, and Uruguay. See Multifiber Arrangement (Sec. I).
International Tin Council. An international organization originally established in 1956 in London to administer the International Tin Agreement, a commodity agreement (Sec. I) among 27 countries that was intended to foster price stability in international tin markets. Divergent views among consuming countries led to collapse of the Agreement in 1985, and the Council is now defunct.
International Trade Administration (ITA). Pan of the US Department of Commerce which administers portions of US trade laws, including aspects of antidumping duties and countervailing duties.
International Trade Centre. An organization based in Geneva, Switzerland, operated and funded jointly by the GAIT and UNCTAD to provide assistance to the export programs of developing countries.
International Trade Commission (ITC). See US International Trade Commission.
International Trade Organization (ITO). (Not to be confused with Multilateral Trade " Organization, Sec. I). An international organization envisaged as pan of a triad --along with the International Monetary Fund and the World Bank --that was to govern the international economy under the Bretton Woods System (Sec. I). The ITO never came into being; see Havana Charter (Sec. I).
International Tropical Timber Organization. An international commodity organization (Sec. I) established in 1985 to implement the International Tropical Timber Agreement (ITTA) of 1983. The current ITTA expires in March 1994. Producer members are Bolivia, Brazil, Cameroon, Colombia, Congo, Cote d'Ivoire, Ecuador, Gabon, Ghana, Honduras, India, Indonesia, Liberia, Malaysia, Panama, Papua New Guinea, Peru, Philippines, Thailand, Togo, Trinidad and Tobago, and Zaire. Consumer members are Australia, Austria, Belgium, Canada, China, Denmark, Egypt, the European Community, Finland, France, Germany, Greece, Ireland, Italy, Japan, Korea, Luxembourg, Nepal, Netherlands, Norway, Portugal, Russia, Spain, Sweden, Switzerland, the United Kingdom, and the United States. The organization is based in Yokohama. Japan.
International Whaling Commission (IWC). An organization established in 1946 in Washington, DC, under the International Convention for the Regulation of Whaling. Members include Antigua and Barbuda, Argentina, Australia, Brazil, Chile, China, Costa Rica, Denmark, Finland, and France. Germany, Iceland, India, Ireland, Japan. Kenya, Korea, .Mexico. Monaco. Netherlands. New Zealand, Norway. Oman. Peru. Russia. St. Vincent and the Grenadines. Senegal. Seychelles. South Africa, Spain. Sweden, Switzerland, the United Kingdom. the United States. and Uruguay. Beginning in 1986. the IWC set all ..catch limits for commercial whaling at zero, pending assessment of whale stocks and development of new whale management procedures.
International Wheat Council. An international commodity agreement (Sec. I) established in 1949 to stabilize international trade in wheat and flour. Various wheat agreements (of 1949. 1953, 1956. 1967. 1971. and 1986) were implemented by the organization. Exporting members are Argentina, Australia, Austria, and Belgium. Canada, Denmark. the European Community , France. Germany. Greece, Hungary , Ireland, Italy. Luxembourg, Netherlands, Portugal. Russia, Saudi Arabia, Spain. Sweden. the United Kingdom, and the United States. Importing members include Algeria, Barbados. Belgium. Bolivia. Brazil. Cuba. Denmark, Ecuador, Egypt, the European Community. Finland, France. Germany, Greece, India, Iran. Iraq. Ireland, Israel, Italy, Japan, Korea. Luxembourg, Malta. Mauritius. Morocco. Netherlands. Norway, Pakistan. Panama, Portugal. Russia, Spain. South Africa. Switzerland. Tunisia, Turkey, Vatican City, the United Kingdom, and Yemen. (The EC, EC member states, and Russia have dual status as importing and exporting members. ) The Council is based in London.
International Wool Secretariat. An organization established in 1937 by representatives of the Australian. South African. and New Zealand Wool Boards; the Uruguayan Wool Secretariat joined in 1970. The organization engages in research, develops test methods and standards. and conducts product certification programs. The Secretariat is based in London.
Investment Policy Advisory Committee (INPAC). A policy-level committee that forms part of the private sector advisory system established by Congress to ensure that .US trade policy and negotiating objectives reflect US commercial and economic interests. The INPAC is the primary committee for private sector advice on investment- related negotiations in the Uruguay Round and NAFTA. and on Bilateral Investment Treaties (Sec. I). Members are appointed by the USTR.
Islamic Common Market. See Economic Cooperation Organization.
Itamaraty. Brazil's foreign ministry.
Japan Center for Economic Research (JCER). A nongovernmental economic forecasting organization funded primarily by Japanese corporations. JCER conducts some 200 conferences annually. in addition to publishing individual reports.
Japan Economic Research Institute (JERI). A nongovernmental economic research institute funded by Japanese corporations. JERI's target audience includes government and business leaders and academia.
Japan External Trade Organization (JETRO). A nationally-chartered organization with an endowment from the Japanese government, charged with gathering commercial intelligence, conducting market research, and performing public relations services for Japanese industry worldwide. JETRO was originally established in 1945 as a market research consortium for Japanese industry. While it nominally remains an independent public corporation, JETRO is effectively controlled by MITI, and its overseas offices are staffed almost exclusively with MITI personnel.
Keidanren. A federation of Japanese economic organizations, Keidanren is Japan's premier organization representing big business. Keidanren leaders often confer with Japanese government officials in developing and implementing policy. See also Nikkeiren and Shako Kaigisho.
Keiretsu. Major industrial groups or combines in Japan. "Horizontal" keiretsu --some descended from pre-World War II zaibatsu --consist of affiliated companies in diverse fields. The six principal horizontal keiretsu are Mitsubishi, Sumitomo, Mitsui, Sanwa, Fuyo, and Dai Ichi Kangyo; most of Japan's largest corporations are linked to one or another of these groups. "Vertical " keiretsu consist of a network of suppliers and distributors centered around a single, large firm. See also sogo shasha.
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