International Trade and Its Impact on Environment

Running head: INTERNATIONAL TRADE
International Trade
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1INTERNATIONAL TRADE
Executive Summary:
This essay tries to focus on international trade and its impact on environment of a country.
For doing this, the essay focuses on free trade policies of different countries and the way this
policy influences environment of exporting countries. In addition this, the essay also focuses
on sustainable development based on the agenda of WTO. Through the entire discussion, the
paper tries to describe that how trade can affect environment of a country in both positive and
negative way.

2INTERNATIONAL TRADE
Table of Contents
Introduction:...............................................................................................................................3
Impact of trade on environment:................................................................................................4
Trade linearization and its impact on environment:...............................................................4
Sustainable Development:..........................................................................................................7
The Doha Development Agenda:...........................................................................................7
Use of trade agreements in the EU for protecting the environment:..........................................8
Conclsuion:................................................................................................................................9
References:...............................................................................................................................10

3INTERNATIONAL TRADE
Introduction:
The international economy has experienced a significant initiative to merge markets
for the last few decades and this in turn has formed many bilateral, multilateral as well as
regional trade agreements. This incorporation of markets from different countries has led the
international trade to grow further across the world. Those international agreements
theoretically have considered the environmental factors and consequently intend to minimize
the effect of international trade on the environment and try to resolve existing problems of
environment as well. Hence, this phenomenon has driven policy makers of different countries
to conduct various multidisciplinary research as well as policy implementation to overcome
issues relating with environment and international trade (Kolk, 2016). Trade is referred as
“engine of growth” of both developed and developing countries and after globalisation,
almost every country transacts goods and services with each other. Moreover, climate change
also creates an international problem and to reduce this, the governments of many countries
lead business sectors to produce eco-friendly products (Dean, 2017). The requirement for
changing the system of international trade has been discussed in many international
conferences though these summits have remained unable to reduce the global warming and
higher amount of carbon emission in both eastern and western countries.
Hence, this report has focused to analyse the relationship between international trade
and the environment through discussing about the impact of this economic activity on
international trade along with the impact of trade liberalisation on environment, the agenda of
sustainable development along with the usage of trade agreements for protecting the
environment, based on a country.