RTAs between states of equal wealth and power can be beneficial to those involved, however when agreements are signed between rich and poor economies there can often be a great deal of inequality at the heart of the agreements. The stronger economy can use their greater bargaining power to achieve rights that would be unobtainable through WTO negotiations. For example, if import tariffs were removed for vegetables, the local farmers would be unable to compete with the lower prices.
RTAs also limit economic globalisation by localising areas of trade. This makes it more difficult for those outside of the region to trade with those inside i.e. by imposing trade tariffs and restrictions; ultimately limiting the growth prospects of both parties. It has also been shown that larger areas of multilateral trade agreements offer greater potential for mutual gains compared to smaller bilateral and regional agreements.