….. is just a legal agreement and it`s not an institution, but….. is a permanent institution. The prosperity of the global economy over the past half century is due in large part to the growth of world trade, partly due to far-sighted officials who created the GATT. They have defined a number of procedures aimed at providing stability to the trading environment and thus facilitating the rapid growth of world trade. In the long term, GATT conference countries have helped to put the global economy on a solid footing and thus improve the livelihoods of hundreds of millions of people around the world. Indeed, compliance with the Paris and Berne Conventions is quite widespread in developing countries. Many developing countries already offer minimum standards for intellectual property protection on the basis of national treatment, although the level of protection is highly variable. Among the potential benefits for developing countries from the Uruguay Round is a more favourable framework for domestic research efforts as well as technology transfers and foreign direct investment. However, there will be an additional administrative burden for the application of these rights (particularly under the ON TRIPS agreement), potentially higher fees and adaptation costs for industries that, in the absence of national legislation, manufacture products in this area that would eventually be falsified. There will also be patent requirements, which may well lead to higher prices for certain products in some developing countries. Pharmaceuticals and agricultural products are examples.
These increases are expected to be minimal and the agreement itself contains provisions to minimize the potential negative impact on developing countries. Since then, there has been a dispute over whether this symbolic gesture was a victory for it or whether it was excluded in the future from meaningful participation in the multilateral trading system. On the other hand, there is no doubt that the three-year extension of the international cotton textile trade agreement, which has become a multi-net agreement, has had the effect of hampering developing countries` export opportunities in the longer term.