Submitted by: Olim Odilov id 0016399 Name of Lecturer: Nigina Rustamova Entry Storyboard Word Count

Entry 2 – Written Report (Argumentative Writing)
Word Count: 601
Issue Question:
Should the government of Uzbekistan take measures the accession to the World Trade
Organization so as to eliminate internal monopolies?

Accession to the WTO can boost economic growth in a variety of ways. Imamov (2022) note that Uzbekistan's WTO membership will reduce customs taxes by 8-10%. Despite the fact that the state budget will suffer from this, a sharp reduction in customs tariffs will serve to reduce the price of products in the markets of Uzbekistan, leading people to improve their standard of living and enables them to buy high-quality goods. For instance, WTO membership will, first and foremost, put an end to monopolistic dominance and create a free-market atmosphere, leading to reducing the dominance of the joint-stock company "UzAuto Motors", which has been a monopoly in the car industry of our country for many years and has been unjustifiably raising prices. Similarly, WTO membership, according to Cattaneo and Baraga (2009), opens the domestic market to massive imports, which can lead to strong competition for domestic manufacturers and monopolies as well as a decrease in governmental involvement in the economy by encouraging the rise of unproductive industries. The country's international trade integration and total volume of commerce may both benefit from this kind of open trade policy.

On the other hand, the duration of the accession process varies greatly from nation to nation. While the Seychelles' entrance took over 20 years, Kyrgyzstan joined the WTO less than three years after its initial application (World Trade Organization, 2017). According to Chemutai and Escaith's research, it took an average of 12.75 years for LDCs to join the WTO, compared to 9.5 years for other states (2017). Cattaneo and Braga (2009) investigate the difficulties that prospective members, particularly poor countries, face throughout the accession process. The list of issues considered upon admission expands in tandem with the WTO's purview. Existing members' conditions for new members may vary as they continue to lower tariffs and eliminate barriers to sensitive industries such as agriculture. As current members continue to lower tariffs and remove barriers to delicate industries like agriculture, the requirements for potential members might rise. Additionally, there is a chance that in the republic, manufacturers of contemporary marketable goods, particularly Uzbek farmers who specialize in cotton production, won't be able to compete with trade firms from China, India, and the United Arab Emirates that make affordable yet high-quality goods. As a result, the agricultural industry loses money, necessitating the development of new infrastructure for the people, 49.5% of whom reside in rural regions. Like in Western nations, the introduction of industries into rural areas causes a significant shift in the way that people think and interact with one another (Omonov, 2020).
All in all, Uzbekistan's WTO membership is important for the development of the country's economy, despite the obstacles such as the accession process, changing market access and compliance expectations for the following reasons. Firstly, it is founded on economic interest, achieving barrier-free mutual product trade, and commodity exchange aids in the use and development of modern technology. Secondly, it encourages people to raise their level of life and makes it possible for them to purchase high-quality goods. Moreover, it lowers the price of domestic goods while raising the price of exports. Finally, trade liberalization raises the nation's income as a whole as well as the income of individual people and increases the amount of national production. In the process of conducting research in this field, I have had many difficulties in finding reliable, especially local, evidences to reach the judgement since they are very rare in the domain of Uzbekistan. Nevertheless, my opinion that, the WTO membership of Uzbekistan will reduce monopolies and contribute to the growth of the country's economy, has not changed.