Following are the major critical comments regarding the overall functioning of the UNCTAD

The outcome of the various meetings of UNCTAD has been unsatisfactory. The achievement of the Conference is only in terms of ‘what is said’ in the meetings, and not in terms of ‘what is decided and done.’ Too much is said and too little is achieved.

Although the less developed countries have to a large extent succeeded in presenting their problems of international trade and economic development, but there is as yet very little agreement on the actual solution of these problems.

No doubt some agreements have been made on certain issues like transfer of resources to the developing countries, protectionism, exploitation of resources, etc.

But the decisions on the core issues have been kept pending. Following are the major critical comments regarding the overall functioning of the UNCTAD.

1. General Feeling:

General feeling among the less developed countries is that the various sessions of the UNCTAD have ended in a fiasco. There were high hopes in the beginning that the Conference would produce revolutionary results in terms of concrete agreements on various issues relating to the world trade and economic development.

But almost every session has left behind nothing more than ‘tons of mimeographed documents, frustration among the rich and the poor, and schism in all groups.’

Detailed negotiations and hair-splitting debates have only sharpened the differences among the participating countries. To sum up, the UNCTAD has only proved its name as implying.

Under No Circumstances Take A decision (UNCTAD), or Until Next Conference Talk and Delay (UNCTAD)

2. Attitude of Developed Countries:

The developed countries have not responded favorably to most of the demands made by the less developed countries;

(a) They are not willing to give 1% of their GNP.

(b) They have refused to enlarge the System of GSP.

(c) The demand for global debt relief to the poor countries was also turned down.

(d) The demand for a code on transfer of technology or development of shipping in less developed countries was not accepted.

(e) The developed countries want that all development programmes of less developed countries should be a part of recovery programmes of the developed countries.

(f) The developed countries want various conditionality clauses to their aid to the developing countries.

3. Attitude of OPEC Countries:

Technically, the OPEC countries belong to the group of less developed countries (know as Group of 77). But, for all practical purposes, they have become a separate group and do not cooperate with the less developed countries.

They have refused to listen to any demand for reducing the oil prices. They also show little interest in providing credit to the less developed countries.

4. Attitude of the Socialist Countries:

The socialist countries generally support the less developed countries without committing anything. They attribute all ills of the poor nations to the capitalist system, international monopolies and the economic imperialism of the western countries.

5. IMF Response:

Though the IMF has increased quotas, the less developed countries have found the increase as insufficient to offset the losses due to fall in their exports.

6. Neglect of Reality:

During their discussions, both the developed and the less developed countries have turned blind eyes of certain distressing aspects of the world economy. The developed countries have become traders in death or war contractors and are more interested in selling their lethal weapons, and not in helping the poor nations.

The less developed countries are also not much serious about solving their own problems of economic development. These countries are mostly over-regulated by either the military dictators or the demagogues.

The valuable saving of the masses is virtually looted by the vested interest groups. Precious resources are used for producing goods for the microscope minority of politicians, corrupt officials, contrac­tors, businessmen, etc. Under such conditions it is not surprising that these countries are fast losing their capacity to repay the debt.

Besides GATT and UNCTAD, some other international meets were held during 1980s to discuss the problems of international economic relations, they are :

(i) United Nations Industrial Development Organisation (UNIDO) Meet;

(ii) BRAND COMMISSION MEET;

(iii) United Nations Conference of Science and Technology for Development (UNCSTD)

(iv) North-South Dialogue;

(v)South-South Meet.

In these meets, the issues like the problem of the debt trap of the less developed countries, reduction in tariffs by the developed countries to encourage the exports of the less developed countries, transfer of technology, etc. were discussed. But no concrete results came out.