18 participants representing 46 WTO members are in talks to remove tariffs on a number of key environmental products. These include products that can contribute to environmental and climate change objectives, such as clean and renewable energy production, improved energy and resource efficiency, air pollution control, waste management, wastewater treatment, environmental quality monitoring and noise control. Participants in these negotiations account for the bulk of the world`s trade in environmental goods. The benefits of this new agreement will be extended to the whole of WTO membership, which means that all WTO members will benefit from better market conditions for EGA participants. Finally, the increase in exports from developing countries would probably be small, if only because environmental rules are needed primarily to develop capacity to produce environmental goods. Indeed, several business models for differentiated products predict that a larger domestic market increases exports faster than imports (for example. B Hanson and Xiang, 2004). Therefore, an existing environmental policy, generally stricter in the richest countries, would also give rich countries a comparative advantage in terms of environmental goods. The 13th round of negotiations was held in Geneva from 18 to 22 April 2016.
Participants participated in a transparency exercise that included the exchange of lists of products they deem acceptable as part of a final agreement. During the week, negotiators met in different configurations to try to find common ground for as many environmental appointments as possible. Other issues, such as how to implement them, were also addressed. Participants agreed to convene the next cycle at the end of June 2016. The ninth round of negotiations was held in Geneva from 16 to 22 September 2015. Efforts to identify assistance to priority products on a more concentrated product list, developed between rounds 8 and 9 and covering approximately 450 subheadings of the harmonized system, continued. The draft text of the EGA was also the subject of further discussion during the cycle. Negotiations can also benefit the environment by improving countries` ability to maintain quality environmental goods. This can directly improve the quality of life of citizens in all countries by providing a cleaner environment and better access to clean water, sanitation or clean energy.
In addition, the use of environmental goods can reduce the harmful side effects of different activities (what economists call negative external effects) that harm the environment and are dangerous to human health and can help make energy use much more efficient.