Content ID

334371

WTO sees sharp slowdown in global trade growth in 2023

GENEVA, Oct 5 (Reuters) - The World Trade Organization forecast a sharp slowdown of global goods trade growth next year as spiralling energy prices, rising interest rates and higher bills for food and fertiliser curb import demand.

The Geneva-based trade body said on Wednesday that merchandise trade would increase by 3.5% this year, up from its April estimate of 3.0%. However, for 2023, it sees trade growth of just 1.0%, compared with a previous forecast of 3.4%.

The WTO said there was high uncertainty over its forecasts. It provided a band of trade growth expansion of 2.0% to 4.9% for this year and of -2.8% to 4.6% for 2023.

WTO Director-General Ngozi Okonjo-Iweala warned against the "tempting response" to resort to trade restrictions to counter supply vulnerability.

"A retrenchment of global supply chains would only deepen inflationary pressures, leading to slower economic growth and reduced living standards over time," she said in a statement.

She said what the world needed was a more diversified and less concentrated base for production of goods and services, which should boost growth, increase resilience and promote long-term price stability by mitigating exposure to extreme weather events and local disruption. (Reporting by Philip Blenkinsop)

© Copyright Thomson Reuters 2022. Click For Restrictions - http://about.reuters.com/fulllegal.asp

Read more about
Loading...

Tip of the Day

1-inch impact dolly cart

Socket caddy By welding lengths of angle iron with evenly spaced upright rods onto an old two-wheel dolly, I made a cart that holds my impact wrench... read more

Talk in Marketing

Most Recent Poll

Will you have enough on-farm storage for harvest?

I just want to see the responses
46% (26 votes)
Yes
39% (22 votes)
No, it’s going to be a bin-buster
7% (4 votes)
Maybe, depending on yields
5% (3 votes)
No, I am looking at new bins or temporary storage
4% (2 votes)
Total votes: 57
Thank you for voting.