Govt assessing WTO membership weighing opportunities and risks

While there are ample advantages of being a World Trade Organisation (WTO) member, the Government is also assessing how the membership aligns with initiatives like the Gelephu Mindfulness City, ensuring any integrations support Bhutan’s developmental aspirations.

The Government recognizes that WTO membership can be a significant step toward achieving Bhutan’s long-term development goals, including becoming a high-income nation by 2034.

The WTO offers opportunities to integrate into the global economy, ensuring access to markets in 166 member countries, which is critical following Bhutan’s graduation from LDC status and the reduction of preferential market access.

The Minister of Industry, Commerce, and Employment Lyonpo Namgyal Dorji said that the government has not suspended the WTO assessment but is proceeding cautiously. “We continue to engage with stakeholders to review domestic legislation against WTO requirements, conduct sensitization and capacity-building programs on WTO-related issues, and collaborate with the WTO Secretariat for technical guidance.”

The decision will be informed by ongoing assessments, including how WTO membership aligns with initiatives like the Gelephu Mindfulness City (GMC), ensuring any integration supports Bhutan’s developmental aspirations.

Despite there being advantages to member countries of the WTO such as market access, foreign investment, and global integration, the Government is trying to assess the potential challenges that the country might face as well.

Aligning domestic policies with WTO rules will require significant effort and resources which the country might not be ready for.

Being a WTO member would also mean exposure to international markets which may challenge local industries. WTO membership also entails costs for institutions to meet regulatory and reporting obligations.

The government is carefully weighing these advantages and challenges to ensure WTO accession supports Bhutan’s economic growth, sustainability, and developmental goals. A clear timeline will depend on the outcomes of these assessments and continued stakeholder consultations.