Should Bhutan join WTO?

29 May 2009

Sir, As a Bhutanese currently studying abroad, I am as much concerned as any other Bhutanese on the issue of Bhutan joining WTO. Having lived and experienced the lifestyle of a developed country, I truly understand what GNH really means to me.

Lyonpo Yeshey Zimba in his foreword for Bhutan 2020 Document has written: “The socio-economic changes must be what we seek, not what the forces beyond our control compel us to accept.” Bhutan historically has so ferociously guarded its sovereignty, independence and security of the nation-state with strong determination to preserve its culture and maximize gross national happiness.

On the contrary, globalization means the surrender of a considerable amount of local autonomy and borderless free trade which is a threat to Bhutan. It is shocking that the working capital of the General Motors is larger than even many economically developed countries. Isn’t that alarming to Bhutan? We could be easily swallowed up by such multi-national companies wiping out our culture.

According to Mark Mancall (2004 p.267) “The ability of the nation state to define its path to improving the conditions of its population, and even to define what ‘improvement’ means and in what domains it should take place, is surrendered to the global market.” Even Manuel Castells (2004 p.304) is of the view that “the growing challenge to state sovereignty around the world seems to originate in the inability of the modern nation-state to navigate the uncharted, stormy waters between the power of global networks and the challenge of singular identities.” Therefore, does it mean that Bhutan is in a dilemma whether to join the WTO in 2009? This issue has to be debated in the country in the government circles and should lead to public debates or even could go for Yes or NO votes for public mandate.

Similarly, Andy Green and Angela (2007 p.1) argue that globalization offers both opportunities and threats to developing countries. “On the one hand it has enabled rapid economic growth in some regions, such as East Asia. On the other hand, it has been associated with environmental degradation, mounting global financial and political instability, heightened cultural conflict and increasing numbers in absolute poverty.”

Globalization in fact has widened the gap between the rich and poor. Therefore, I am of the strong opinion that there are more side effects than the benefits to Bhutan by becoming the member of WTO.

Sonam Gyamtsho

Danish University
of Education

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Comments

6 Responses to “Should Bhutan join WTO?”

  1. Dawa on May 30th, 2009 5:17 pm

    Bhutan joining WTO means embracing ‘Neo-liberalism” which will then promotes private sector and argues for minimization of state control over market. It emphasizes free market competition by rejecting trade monopoly.
    As an ideology, neo-liberalism sees the market as the most important thing and ‘freedom’ refers to the freedom to buy and sell and to acquire and maintain property therefore the whole essence of GNH and people at the centre of development will be lost. If we are like all the othere countires want to join WTO then why are we trying hard to advocate for happiness and wellbeign of the all people.
    As Sonam from Danish University, of Education has rightly pointed out joining WTO has more bad side effects to us than good effects. I would also like to emphaisis bhutan is not ready and joining WTO will come at a big cost to our small enterprises and over all growth of the country….espically pro-poor growth.

  2. pem on June 4th, 2009 12:55 pm

    I totally agree with you, Mr.Sonam Gymatsho.
    The ill-effects of WTO far outweighs the benefits that a membership would bring. Especially to a country like Bhutan, where we have no need for multi-nationals coming in and plaguing our society. If we were to join the WTO, we would be going against the ideals of GNH, and then where would that leave us? As total hypocritics, and i doubt if thats what we want.
    For the good of our country, and for the benefit of our fellow bhutanese who make a living out of small scale businesses, we should seriously re-consider the bid to join the WTO. And on a final note, we should re-frain from it.
    If there really is a need to bring certain factions into the country, for whatever reason, business- partnerships and FDIs would be far more advisable then binding ourselves to an organisation like the WTO which would take away any chance we have at exerting our independence.

  3. pem on June 4th, 2009 12:59 pm

    I totally agree with you, Mr.Sonam Gymatsho.
    The ill-effects of WTO far outweighs the benefits that a membership would bring. Especially to a country like Bhutan, where we have no need for multi-nationals coming in and plaguing our society. If we were to join the WTO, we would be going against the ideals of GNH, and then where would that leave us? As total hypocrites, and i doubt if thats what we want.
    For the good of our country, and for the benefit of our fellow bhutanese who make a living out of small scale businesses, we should seriously re-consider the bid to join the WTO. And on a final note, we should re-frain from it.
    If there really is a need to bring certain business factions into the country, for whatever reason, business- partnerships and FDIs would be far more advisable then binding ourselves to an organisation like the WTO which would take away any chance we have at exerting our own independence in our move towards globalisation.

  4. rinzin on July 9th, 2009 12:39 pm

    Whether Bhutan to join WTO or not is not really the issue. Bhutan has accepted willingly to be a member. Joining WTO may not necessarily be like ticketing for movie shows to watch Globalization. Considerations on the conditions prescribed as a mandate for the WTO membership will be worth visiting.
    Bhutan is already into globalization and denying this would be not possible. Bhutan’s image of change going global is reaped by all the beneficiaries. From FDI to regional cooperations are all the scenes of the ability of the nation’s test on globalization tested on the ground of the global field.
    So, lets move forward and equavalently equip ourselves to balance what you call Bhutan being so small; small enough to swallow at one glup. But small enough to equip sustainably.

  5. Hijam Komol Singha on August 5th, 2009 8:55 am

    As Rinzin observes, Bhutan has already exposed its economy to the global economic forces. We cannot ignore this inevitable globalisation (whether we like it or not). The question of whether we want to join WTO or not does not arise at this globalisation juncture, e.g. the influence of India.
    Now, the question that arises in front of us is- how can we survive in this global market competition. Winner in the globalisation will be the one who has strong internal policy, firm and definite foreign strategy, etc. Bhutan can reap from this process only if the GNH is strengthened further. Bhutan cannot be brown away easily by the global economic forces as long as the country’s tradition, ethics and values are maintained, government strong intervention or so called good governance is maintained. Marx is backed, classical free market may not be effective in the long run sustainable development for the poor country like Bhutan

  6. Jigme dorji on August 7th, 2009 3:54 pm

    What do you mean by GNH. There is no happiness to people who are living at remote place. These people are living under poverty. They don’t have proper food to eat and proper water to drink. On top of that our local leaders for eg. like gup and Dzongdags are they have to do labour work for the community work(woola). If there is budget from the government the people should not allow them to work. Again these people have to pay taxes.

    According to my perception there is no happiness to these people who are living in the remote area.

    Our farmers are working from early morning to late night for their food. After that the crops are eaten by wild animals and birds.

    DPT government is doing nothing about this.

    Our new government is doing nothing and they are useless. What is Agriculture Minister is doing. They are useless. They have to take immediate action.

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