“Unlocking Trade for Growth” is the trade section of the G20 New Delhi Leaders’ Declaration, adopted under India’s presidency in September 2023. In it, G20 leaders backed a rules-based, non-discriminatory, fair, open, inclusive, equitable, sustainable and transparent multilateral trading system with the World Trade Organization (WTO) at its core, and listed six commitments: WTO reform and a working dispute settlement system, support for MSMEs, mapping of global value chains, digital trade documents, trade and environment policy, and Aid for Trade. This note sets out what each commitment says and what it means for businesses that trade across borders.
A level playing field and WTO reform
The leaders committed to a level playing field and fair competition by discouraging protectionism and market-distorting practices. They called for WTO reform to improve all of the organisation’s functions through a member-driven process that includes every member. The most concrete target was a fully functioning dispute settlement system, accessible to all members, by 2024. They also pledged to work for positive outcomes at the WTO’s Thirteenth Ministerial Conference (MC13).
For traders, dispute settlement matters because it is how a government can challenge a partner country’s tariff or barrier that may breach WTO rules. Only member governments can bring a case, so businesses have to work through their own government. The wider effects of tariffs and non-tariff measures on importers are covered in this guide to tariffs and trade barriers.
MSMEs in developing countries
Micro, small and medium enterprises (MSMEs) make up a large share of businesses in most economies, and more so in developing countries. One problem the declaration names is their limited access to trade information, which in practice means knowing the tariff rates, rules of origin and import procedures of the markets they want to sell to. The Jaipur Call for Action, adopted by G20 trade ministers in Jaipur, aims to improve that access and help MSMEs take part in international trade. Indian firms starting out can find the practical steps in how to start an import and export business in India.
Mapping global value chains
The leaders welcomed the G20 Generic Framework for Mapping Global Value Chains (GVCs). The framework is meant to help members identify risks in the supply chains they depend on and plan for resilience, for example by seeing where a single supplier country or a single route carries too much of a critical input.
Digital trade documents
The G20 endorsed the High-Level Principles on Digitalization of Trade Documents and encouraged countries outside the G20 to consider them. Many trade documents, such as bills of lading, are still issued on paper, which is what the principles aim to change. Other technology changes in trade, including electronic documentation, are discussed in innovations shaping the future of global trade.
Trade and environmental policy
The declaration says trade and environmental policies should support each other and stay consistent with both WTO rules and multilateral environmental agreements. In practice, this is the question raised by measures such as carbon border charges and sustainability requirements on imports: whether they protect the environment or act as trade barriers.
Aid for Trade
Finally, the leaders recognised the WTO’s Aid for Trade initiative as a way to help developing countries, especially Least Developed Countries (LDCs), take part in global trade. They emphasised local value creation and called on the international community to mobilise resources for it.
What has happened since
This post describes the commitments as they stood in September 2023. The 2024 deadline for dispute settlement and the MC13 conference have both passed, so check current WTO sources before relying on the status of either. For G20 trade figures from the same period, see the companion post onG20 merchandise and services trade in 2023, and for the broader policy direction, emerging trends in global trade policy.
Source: G20 New Delhi Leaders’ Declaration (final adopted text)