The free trade area often benefits the poor most. Developing countries cannot afford the high implicit subsidies, which often go towards the narrow privileged interests that trade defence offers. In addition, growth resulting from free trade tends to increase the incomes of the poor at about the same rate as those of the general population.6 New jobs are being created for the unskilled labour force, which places them in the middle class. Overall, inequality between countries has decreased since 1990, due to faster economic growth in developing countries, partly due to trade liberalization.7 Integration into the global economy has proven to be an effective way for countries to promote economic growth, development and poverty reduction. Over the past 20 years, world trade has grown at an average rate of 6% per year, twice as fast as world production. But trade has been a growth engine for much longer. Since 1947, when the General Agreement on Tariffs and Trade (GATT) was created, the global trading system has benefited from eight rounds of multilateral trade liberalization and unilateral and regional liberalization. Indeed, the last of these eight cycles (the “Uruguay Cycle”, completed in 1994), led to the creation of the World Trade Organization, which aims to help manage the growing body of multilateral trade agreements. Regional trade agreements refer to a treaty signed by two or more countries to promote the free movement of goods and services beyond the borders of its members.
The agreement contains internal rules that Member States comply with each other. As far as third countries are concerned, there are external rules to which members comply. The WTO continues to classify these agreements in the following forms: Companies in Member States benefit from greater incentives for trade in new markets through the policies contained in the agreements. However, the WTO has expressed some concerns. According to Pascal Lamy, Director-General of the WTO, the dissemination of regional trade agreements (RTA) is “… is the concern of inconsistency, confusion, exponentially increasing costs for businesses, unpredictability and even injustice in trade relations.  The WTO is how typical trade agreements (called preferential or regional agreements by the WTO) are to some extent useful, but it is much more advantageous to focus on global agreements under the WTO, such as the ongoing Doha Round negotiations.