Relevant GATT/WTO provisions

The principle of non-discrimination has two components: the Most-Favoured Nation (MFN) clause contained in GATT Article I, and the National Treatment principle contained in Article III. According to Article I, WTO Members are bound to grant to the products of other Members treatment no less favourable than that accorded to the products of any other country. Thus, no country is to give special trading advantages to another or to discriminate against it. Therefore, all Members are on an equal footing, and all share the benefits of any moves towards lower trade barriers. The MFN principle ensures that developing countries and others with little economic leverage are able to benefit freely from the best trading conditions whenever and wherever they are negotiated. A second component of non-discrimination is National Treatment. Article III stipulates that once goods have entered a market, they must be treated no less favourably than equivalent domestically-produced goods.