Introduction

The World Trade Organisation (WTO) was formed by contracting party decision in 1995, following years of discussion under the Uruguay Round of General Agreement on Tariffs and Trade (GATT) negotiations. The WTO formalised many of the practices of the GATT and ushered in a new era of international trade regulation by setting up an institutional body to oversee the GATT and its associated agreements. The WTO agreements included an Understanding on Rules and Procedures Governing the Settlement of Disputes, with the intention of formalising the practice of the GATT on resolving complaints arising from the contracting parties. This was seen as a major success at the time and the importance of this Agreement is now better understood – some 15 years after it came into existence. ¹ Prior to the WTO, the GATT dispute resolution system had already gained experience of dealing with trade-related issues impacting on policies not limited to purely trade matters. ² The WTO has continued this work, and with its enhanced dispute procedures the issues around the inter-relationship between trade and other policy areas has also been closely scrutinised. ³