But how can a country trade sustainably, and deliver not only balanced economic benefits to its citizens, but also strengthen social capital and provide responsible environmental stewardship?

At least some of the answers can be found by looking at the experiences of countries that have made policy choices that have enabled them to trade sustainably.

But first, for the sake of clarity, let’s start with the concept of sustainable trade, which is sometimes mistakenly thought to encompass only environmental issues. In reality, the definition of sustainability is quite a bit broader, including the three pillars of: 1) economic growth, 2) social equity, and 3) environmental protection, or what has come to be known in short-hand as the triple bottom line of profits, people, and planet – each very dependent on the other. This concept of sustainability was first laid out in a landmark report issued by the UN’s Bruntland Commission in 1987.

Why is trade sustainability important? First and foremost, without sustainable trade policies in place, the economic gains from trade will inevitably dwindle, while the social and environmental costs of trade grow intolerable. We’ve seen examples of countries that capitalized in the short-term on commodity exports but failed to invest in the creation of an educated workforce or provide proper environmental stewardship — only to be laid low by a drop in commodity prices or the exhaustion of that natural resource.

A more sustainable trade policy would balance long-term resilience with short term goals, recognize the need for a more diversified export mix, invest in technology, and have low barriers to trade. Such a policy would strengthen social capital by creating a high quality educational system, providing strong labor standards, and striving towards low income inequality. A truly sustainable trade policy would also avoid on over-reliance on natural resource, commit to high environmental standards in trade agreements, and limit air and water pollution.

The importance of getting these polices right would be hard to overstate. Multilateral development agencies closely evaluate the sustainability of a country’s trade policies when deciding on critical aid packages and other forms of assistance or capacity building. And foreign corporations evaluate many of the same issues when deciding where to invest their capital, technology, and know-how – all vital ingredients necessary for any country trying to move up the development ladder.