GATT stands for General Agreement on Tariffs and Trade, which came into existence as a result of failure of efforts to make ITO i.e. International Trade Organization. GATT was enacted in 1947 and it remained function till 1993. It was deactivated in 1993 and replaced by World Trade Organization i.e. WTO in year 1995. GATT arranged 8 international meetings also known as world rounds. First round was arranged in Geneva in April 1947. It lasted for 7 months and 23 countries participated in round. The first rounded established GATT as a formally signed agreement between various member countries and it came out with 45,000 concession on Tariff that affected a trade worth Rs & 10 billion.
Last round of GATT was arranged in Uruguay in September 1986, it lasted for 87 months and 123 countries participated in this round. This round prepared the foundation of World Trade Organization (WTO). This round reduced the tariffs by 40 % and initiated agricultural subsidies.