Globalisation is defined as a rise in economic integration among nations. The WTO describes it as the development towards “unrestricted cross-border flows of goods and services, capital, and labour force.” Think of it simply: before globalisation, each country was like a separate village with its own rules, prices and products. After globalisation, it’s like one giant global marketplace where goods, money, people and ideas flow freely across borders. The concept dates back to the 18th century but retreated during World War I, the Great Depression and World War II. OECD popularised the term again in the mid-1980s. India formally embraced it with the New Economic Policy in 1991-92.

Protectionism occurs when a government enacts laws that restrict or prohibit international trade to protect home producers and workers from foreign competition. Imagine a local chai shop complaining that Starbucks is taking their customers — so the government taxes Starbucks heavily to make it expensive. That’s protectionism. It takes three main forms: (1) Tariffs — taxes on imported goods, (2) Import Quotas — limits on how much can be imported, and (3) Non-tariff Barriers — hidden restrictions like strict quality standards or complex customs procedures. Result of protectionism: decline in trade, price rise for consumers, and subsidies for protected industries. Some local jobs are saved but jobs in other export industries are lost.

Deglobalisation is the process of reducing dependency and integration amongst countries worldwide. It is the opposite of globalisation — instead of opening up borders, countries start closing them. It characterises periods in history when economic trade and investment between nations collapse. Modern triggers of deglobalisation include: Brexit (UK leaving EU), US withdrawal from Trans-Pacific Partnership (TPP), US-China Trade War, COVID-19 pandemic (disrupted supply chains), and the Russia-Ukraine conflict. The limited role of WTO’s Dispute Settlement Mechanism also contributes. The rise of populism — the idea that domestic production should be prioritised — is fuelling this reversal.

Fair globalisation is the idea that the benefits of globalisation must be shared equally — not just captured by large corporations and wealthy nations. It is supported by three interdependent pillars: (1) Economic development, (2) Social development, and (3) Environmental protection — all at local, national, regional and global levels. Fair globalisation must be: inclusive, democratically governed, provide equal access and opportunity, acknowledge diversity of national strengths, and protect workers’ rights. The cornerstone is addressing the needs and wants of all people — not just the powerful.