{"id":165788,"date":"2022-12-20T11:14:49","date_gmt":"2022-12-20T15:14:49","guid":{"rendered":"https:\/\/antiguanewsroom.com\/?p=165788"},"modified":"2022-12-20T11:16:15","modified_gmt":"2022-12-20T15:16:15","slug":"the-usa-was-scared-of-losing-its-gambling-monopoly-to-antigua-and-barbuda-so-now-it-is-punishing-the-nation","status":"publish","type":"post","link":"https:\/\/antiguanewsroom.com\/the-usa-was-scared-of-losing-its-gambling-monopoly-to-antigua-and-barbuda-so-now-it-is-punishing-the-nation\/","title":{"rendered":"The USA was scared of losing its \u201cGambling monopoly\u201d to Antigua and Barbuda, so now it is punishing the nation"},"content":{"rendered":"
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Antigua alleged that the U.S. violated WTO laws via the prohibition of cross-border gambling and its anti-Internet-gambling policies by preventing credit card companies and banks from honoring Antigua’s online gaming transactions.<\/p>

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According to a media report by\u00a0St. Lucia times<\/a>, the representative of the OECS (Organisation of Eastern Caribbean States) in WTO has called for the United States to\u00a0comply with the ruling<\/strong>\u00a0of the WTO Dispute Settlement Body (DSB) in the case on the cross-border supply of gambling and betting services brought by Antigua and Barbuda as the complainant.<\/p>\n

Reportedly, The OECS ambassador at the WTO and head of the OECS mission in Geneva,\u00a0HE Colin Murdoch<\/strong>, took the US to task for its failure to reach a final settlement with Antigua and Barbuda in the case DS 285 which has been outstanding for many years.<\/p>

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The WTO General Council was conducting the\u00a0fifteenth US Trade Policy Review<\/strong>, under which WTO member states reviewed reports by the US and the WTO Secretariat on US trade policy, and a record number of speakers took the floor to comment on the reports and to pose questions on the double standards of the USA.<\/p>

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The Case DS 285<\/b><\/h3>\n

Well, this ain\u2019t the first time when the US has got chastised for its\u00a0double standards<\/strong>, it is an occasional phenomenon.<\/p>\n

However, this case, DS 285, is actually quite intriguing and\u00a0highlights the differences<\/strong>\u00a0between Antigua and Barbuda and the US.<\/p>

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Let\u2019s go back to 2003 to get the full picture of the relationship between the two countries.<\/p>\n

Antigua and Barbuda, a tiny Caribbean island nation with a heavily dependent tourism industry, sought to\u00a0diversify<\/a><\/strong>\u00a0its economic sectors<\/strong>\u00a0in order to draw in more visitors.<\/p>

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Internet gambling<\/strong>\u00a0was deemed to be the best option and the solution by the nation.<\/p>

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Online gambling<\/strong>\u00a0quickly attained unprecedented popularity. It provided the citizens and government of Antigua with a seemingly endless supply of fun, excitement, and money.<\/p>\n

Online casino games could be played by gamblers without them having to worry too much about security. The safe run, however, was\u00a0temporary.<\/strong><\/p>\n

The stores of internet gambling reduced severely, from 119 to only 28.\u00a0Online<\/a>\u00a0employees related to gambling also\u00a0declined<\/strong>\u00a0from around 3,000 to 500. A few days later, news came that Antigua and Barbuda has\u00a0challenged the United States<\/strong>\u00a0in WTO.<\/p>\n

Antigua alleged that the\u00a0U.S. violated WTO laws<\/strong>\u00a0via the prohibition of cross-border gambling and its anti-Internet-gambling policies by preventing credit card companies and banks from honoring Antigua\u2019s online gaming transactions.<\/p>\n

America lost and Antigua lost $315 million<\/b><\/h3>\n

In its defense, the US gave a really\u00a0absurd<\/a><\/strong>\u00a0excuse<\/strong>\u00a0stressing that, the \u201cUS Generalized System of Preferences (GSP) scheme, Antigua and Barbuda and St. Kitts and Nevis are not eligible due to their high per capita income classification.\u201d<\/p>\n

But, of course, you can\u2019t judge the state of an economy through GDP per capita. In 2004, the US\u00a0lost the case<\/strong>\u00a0and was ordered by WTO to\u00a0compensate $21 million<\/strong>\u00a0annually to Antigua and Barbuda.<\/p>\n

Years have passed and guess what, the issue between Washington and St. John has not been settled yet.<\/p>\n

Reportedly, the country has lost\u00a0$315 million<\/a>\u00a0so far, equivalent to more than a quarter of its annual GDP and less than 0.1 percent of the U.S. economy.<\/p>\n

Although the WTO awarded Antigua the right to use trade sanctions to recoup its losses, it opted for a settlement.<\/p>\n

Washington till today,\u00a0accuses<\/strong>\u00a0Antigua and Barbuda of playing politics over this debate.<\/p>\n

US feared monopoly loss<\/b><\/h3>\n

The US did this to Antigua and Barbuda for its\u00a0personal gains<\/strong>\u00a0because it did not want a small Caribbean nation to challenge its\u00a0monopoly<\/strong>\u00a0in online gambling.<\/p>\n

For the unaware, US Online\u00a0Gambling<\/a>\u00a0is one of the\u00a0biggest markets<\/strong>\u00a0in the world. In 2021, the US online gambling market had a value of 2.65 billion USD.<\/p>\n

By 2028, the market is anticipated to generate sales of about USD 7.61 billion at a CAGR of 16.4%.<\/p>\n

The US stresses that the two main factors boosting the casino online gambling industry in the United States are\u00a0consumer interest<\/strong>\u00a0in betting and the\u00a0freemium model of online gaming.<\/strong>\u00a0But, the real reason is that the US never allows others to prosper in online gambling.<\/p>\n

Antiguan online gambling could have\u00a0churned out billions<\/strong>\u00a0for the people and let people prosper.<\/p>\n

People would have diverted themselves to Antigua and Barbuda rather than online casinos which are headquartered in Miami, California, and even New York.<\/p>\n

The US was spooked by Antigua\u2019s attempt to challenge it hegemony and hence, it still keeps punishing it.<\/p>\n<\/div>\n<\/div>\n<\/div>\n

 <\/p>\n

SOURCE: TFIGlobal<\/strong><\/p>\n

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Antigua alleged that the U.S. violated WTO laws via the prohibition of cross-border gambling and its anti-Internet-gambling policies by preventing credit card companies and banks from honoring Antigua’s online gaming transactions. 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