Trade is considered as the backbone of the economy. In a general sense, the process of creating demand for goods and services and facilitating supply arrangements is called business. International trade is the trade that is carried out within one's own borders internally and externally or in the world.
The General Agreement on Taxation and Trade (GATT) was signed in 1947 to regulate trade after World War II. The agreement sought to reduce tax barriers, increase access to trade and provide for quotas or tariff exemptions for least developed countries.
Currently there are signs of fluctuations in world trade. In the US, Donald Trump is making policy changes after coming to power as president. In the trade sector, an executive order has been signed to raise tariffs on Canada and Mexico by 25 percent and China by 10 percent. China has also announced a 15 percent tariff on goods coming from the United States. European countries and Canada have already imposed additional taxes on electric cars made in China. The US is also preparing to impose additional taxes on the European Union. Due to these various events, there is uncertainty as to what the situation will be in terms of the business situation in the future, the impact on the economic sector and the price burden on consumers.
There is a growing concern that there is a power struggle with world trade and that consumer rights will be affected. As soon as the customs rate increases, consumers are less concerned about the situation of having to consume goods at high prices.
Now the risk that may occur in international trade is being seen as a trade war. There is a state of confusion as to what will happen to a country whose economic condition is weak and the passion of Shaktishrastra is weak. There is a need for countries that have risen to power in the world and are about to rise to strengthen the world economic situation and increase the share of weaker countries in international trade. It has started to be assessed that the future world will have to deal with negative aspects rather than positive aspects in business.
There is growing concern about the role of the World Trade Organization, which is trying to access and facilitate world trade. The world community must work together to facilitate global trade opportunities and access to solve the current crisis. If the world does not pay timely attention to the issue of tax barriers to trade, the situation may worsen. By paying attention to non-tax barriers, business costs can be reduced and competitive opportunities can be increased. Now there is growing concern that the increasing impact of tax barriers will overshadow the policy concept of world trade. Rather than reducing the influence of Shaktishrastra, the issue of responsibility and accountability in world trade is more important. There may also be challenges in choosing consumer goods and getting them at affordable prices.
In the current trade conflict, countries like Nepal have to look at opportunities and challenges. It is necessary to increase the effectiveness of the group of underdeveloped and landlocked countries to increase international trade opportunities, to create a comfortable environment for foreign investment opportunities and to increase access to the international market for goods export, to import skilled production skills and increase knowledge, and to proceed with a diplomatic strategy of obstacles that may come to trade.
Multilateral meeting and negotiation of obstacles seen in the world community should emphasize collective efforts to reduce trade barriers. Modernization of existing provisions should create positive pressure to reduce trade conflicts between power nations.
