New Delhi: In a significant move to reshape global trade governance, India has called for sweeping reforms to the World Trade Organization (WTO) during a high-level mini-ministerial meeting of 25 member countries held in Paris on June 4, 2025. Convened by Australia on the margins of the OECD Ministerial Council Meeting, the gathering saw India’s Commerce and Industry Minister, Piyush Goyal, articulate a robust three-pronged reform agenda aimed at addressing non-tariff barriers, tackling trade distortions caused by non-market economies, and reviving the WTO’s stalled dispute settlement system. As the WTO gears up for its 13th Ministerial Conference (MC13) in Abu Dhabi in 2026, India’s assertive stance underscores its commitment to a rules-based, equitable, and inclusive multilateral trading system.
India’s Vision for a Modernized WTO
India’s push for WTO reforms comes at a critical juncture as the organization grapples with growing tensions among its 166 member nations. Speaking to reporters after the Paris meeting, Minister Piyush Goyal outlined India’s vision for a modernized WTO that preserves its core principles of consensus-based decision-making and special treatment for developing nations. These principles, Goyal emphasized, are the cornerstones of the WTO’s legitimacy and must be upheld to ensure fair and inclusive global trade.
India’s reform agenda focuses on three key areas:
- Tackling Non-Tariff Barriers (NTBs): India highlighted the urgent need to address non-tariff barriers, such as sanitary and phytosanitary measures, technical standards, antidumping suits, import quotas, and import licensing, which restrict market access for developing countries. For instance, Goyal pointed to the European Union’s Maximum Residue Levels (MRL) for non-basmati par-boiled rice from India as an example of NTBs that create unfair trade obstacles. These measures, often disguised as regulatory requirements, disproportionately impact developing nations and hinder their ability to compete in global markets.
- Addressing Trade Distortions from Non-Market Economies: India raised concerns about trade imbalances caused by non-market economies, where government interventions distort competition and favor domestic actors. A notable example cited was China’s export quotas on rare earths, which disrupt global pricing mechanisms and undermine fair competition. India’s call for action against such practices reflects its commitment to leveling the playing field for all WTO members.
- Reviving the WTO Dispute Settlement System: The WTO’s dispute settlement mechanism, a critical pillar of its enforcement capabilities, has been dysfunctional since 2019 due to the United States’ opposition to appointing members to the Appellate Body. This paralysis has left countries without an effective mechanism to resolve trade disputes, weakening the WTO’s authority. India has consistently advocated for the restoration of the Appellate Body, emphasizing its importance for upholding rules-based trade. However, India expressed skepticism about the Multi-Party Interim Appeal Arbitration Arrangement (MPIA), an alternative mechanism proposed by some members. Goyal noted, “Only one or two members spoke about it, but there doesn’t seem to be much consensus or traction. I haven’t heard of any cases resolved through MPIA.”
India’s Opposition to Expanding the WTO’s Mandate
India took a firm stand against efforts to expand the WTO’s mandate beyond traditional trade issues, particularly opposing the China-led Investment Facilitation for Development (IFD) proposal, which is supported by 128 countries but not by India and South Africa. Goyal argued that such plurilateral initiatives, negotiated by subsets of WTO members rather than the entire organization, risk fragmenting the multilateral system and creating divisions. “Issues mandated at the WTO should take priority and be resolved first. Non-trade issues should not be introduced, as they would deepen differences,” he stated. India’s opposition also extends to proposals like the EU’s Carbon Tax, which Goyal warned could exacerbate divisions among members.
The Paris meeting also saw discussions on the WTO Director-General Ngozi Okonjo-Iweala’s call for India to support the IFD proposal, noting that several developing countries back the initiative. However, India remained steadfast in its position, prioritizing core trade issues over expanding the WTO’s scope.
Focus on Agriculture and Food Security
Agricultural trade reforms were a key focus of the Paris discussions, with India reiterating its long-standing demand for a permanent solution to public stockholding for food security. This issue is central to India’s Public Distribution System (PDS), which ensures affordable food access for millions of its citizens. India’s position has garnered support from several developing countries, reflecting the shared priority of ensuring food security in vulnerable economies. Goyal emphasized the need to resolve this issue before introducing new frameworks, underscoring India’s commitment to addressing unfinished WTO business.
Tackling Overfishing and Environmental Concerns
Sustainable development was another critical topic at the Paris ministerial, with India advocating for protections for small-scale and artisanal fishers while demanding accountability from developed nations responsible for overexploiting marine resources. The Commerce Department, in collaboration with the Ministry of Fisheries, is updating India’s negotiating position to prepare for formal text-based discussions on regulating harmful fishing subsidies that contribute to overfishing and threaten marine ecosystems. India’s stance aligns with its broader commitment to sustainable trade practices that balance economic growth with environmental protection.
Strengthening Multilateral Governance
Despite growing friction within the WTO, Goyal dismissed claims of an existential crisis for the organization. “One should not jump to conclusions about a crisis,” he said, advocating for pragmatic solutions within existing frameworks. He highlighted a collective resolve among the 25 participating countries to strengthen the WTO, respect its core principles, and promote global trade growth. India’s call for reforms aims to enhance the organization’s functionality while preserving its multilateral character, ensuring that it remains a cornerstone of global trade governance.
Bilateral Engagements and Strategic Trade Objectives
In addition to the WTO discussions, Goyal’s Europe visit included bilateral talks with trade officials from the United Kingdom, Brazil, Saudi Arabia, Israel, Nigeria, and Singapore. These meetings aimed to strengthen bilateral economic ties and advance India’s strategic trade objectives, including progress on the India-EU Free Trade Agreement (FTA). An early harvest deal for the FTA is targeted for July 2025, signaling India’s proactive approach to expanding its trade partnerships while advocating for multilateral reforms.
India’s Commitment to a Rules-Based Trading System
India’s strong stance at the Paris Mini-Ministerial underscores its commitment to a rules-based, equitable, and inclusive global trading system. By emphasizing the removal of non-tariff barriers, seeking the revival of the dispute settlement system, and resisting the inclusion of non-trade issues, India aims to safeguard the interests of developing countries while upholding the WTO’s foundational principles. Goyal’s leadership in articulating these priorities reflects India’s growing influence in shaping the future of global trade governance.
As preparations intensify for the WTO’s 13th Ministerial Conference in 2026, India’s reform proposals are poised to drive critical discussions. The country’s focus on resolving longstanding issues, such as public stockholding and fisheries subsidies, while addressing modern trade challenges like non-tariff barriers and non-market distortions, positions India as a key player in revitalizing the WTO. With a collective resolve among member nations to strengthen the organization, India’s vision for a modernized WTO could pave the way for a more equitable and sustainable global trading system.
In conclusion, India’s proactive engagement at the Paris Ministerial meeting signals its determination to lead the charge for WTO reforms. By addressing critical trade challenges and advocating for the interests of developing nations, India is not only reinforcing its position in global trade but also contributing to a more resilient and inclusive multilateral framework. As the world looks toward MC13 in Abu Dhabi, India’s reform agenda will undoubtedly shape the future of the WTO and global trade governance.
Frequently Asked Questions (FAQs)
1.What were the key reforms India proposed at the WTO Mini-Ministerial Meeting in Paris on June 4, 2025?
India, led by Commerce and Industry Minister Piyush Goyal, outlined a three-pronged reform agenda for the World Trade Organization (WTO). These included tackling non-tariff barriers (NTBs) like sanitary and phytosanitary measures and import quotas that restrict market access, addressing trade distortions caused by non-market economies (e.g., China’s export quotas on rare earths), and reviving the WTO’s dispute settlement system, which has been dysfunctional since 2019 due to U.S. opposition to Appellate Body appointments.
2.Why does India oppose the China-led Investment Facilitation for Development (IFD) proposal?
India opposes the IFD proposal, supported by 128 countries, as it believes plurilateral initiatives negotiated by subsets of WTO members risk fragmenting the multilateral trading system. India argues that such proposals, along with non-trade issues like the EU’s Carbon Tax, could deepen divisions among members and divert focus from resolving core trade issues mandated by the WTO.
3.What is India’s stance on the WTO’s dispute settlement system, and why is it significant?
India strongly advocates for restoring the WTO’s dispute settlement system, paralyzed since 2019 due to the U.S. blocking Appellate Body appointments. This system is crucial for resolving trade disputes and upholding rules-based trade. India expressed skepticism about the Multi-Party Interim Appeal Arbitration Arrangement (MPIA), noting its lack of consensus and effectiveness, as no cases have been resolved through it.
4.How is India addressing agricultural and environmental concerns at the WTO?
India emphasized a permanent solution for public stockholding of food grains, vital for its Public Distribution System (PDS) and food security, which has support from other developing nations. On environmental concerns, India is advocating for protections for small-scale fishers and accountability from developed nations for overfishing, collaborating with the Ministry of Fisheries to update its negotiating stance on harmful fishing subsidies.
5.What broader goals is India pursuing through its WTO reform agenda?
India aims to strengthen the WTO’s multilateral governance while preserving its core principles of consensus-based decision-making and special treatment for developing nations. By addressing non-tariff barriers, non-market distortions, and the dispute settlement crisis, India seeks to ensure an equitable, rules-based global trading system. Additionally, through bilateral talks with countries like the UK and Brazil, India is advancing strategic trade objectives, including progress on the India-EU Free Trade Agreement targeted for July 2025.
