Implementation Issues Workshop on Trade Facilitation Chisinau Moldova

Implementation Issues Workshop on Trade Facilitation Chisinau, Moldova, 12 -13 June 2006 United Nations Conference on Trade and Development Round-table on Trade Facilitation Implementation

The present situation • NGTF meetings have been mostly devoted to discussions on substantive issues; • The proposals for clarification and improvement of the three GATT articles have put forward more than 60 possible measures. • If Members reach an agreement, some of the most relevant measures will be part of a WTO binding rule. 6/19/2021 Round-table on Trade Facilitation Implementation 2

But… • • • There has been limited discussion on needs & priorities with regard to the tabled proposals. Do developing countries have the capacity to implement the proposals? (para. 3) Will developed countries commit to adequately ensure support and assistance during the negotiations? (para. 5) Will assistance be provided after the negotiations to implement commitments in accordance with their nature and scope? (para. 6) What about transition economies? 6/19/2021 Round-table on Trade Facilitation Implementation 3

A key issue • To reach an agreement, developing country Members wish to know: – what the rules will be? and – to what extent they will receive the TA & CA necessary to develop their capacity to implement the rule? • Only when the rule is known, they will be able to assess their needs, formulate TA &CB programmes and request S&D Treatment. 6/19/2021 Round-table on Trade Facilitation Implementation 4

Proposed mechanism 1. Signing the Single Undertaking 1. Capacity self-assessment 2. Notification procedure 2. Entry into force of the Agreement 3. Formulation of the Capacity Building (CB) plans 4. Notification of CB plans 5. Implementation of CB plans 6. Verification of Capacity acquisition 7. Notification of the acquisition of Capacity 8. Full implementation of the Agreement 6/19/2021 Round-table on Trade Facilitation Implementation Time Year X Transitional provisions outside TF agreement Year X+Y+3 Provisions of the agreement regarding S&D 5

A possible mechanism [Time-limited assessment Period] [Rule enforcement suspended] [Commitment to enforcement] Capacity Building plans Capacity Self -assessment [S&D Individual Period ] Implement CB plans Capacity Acquisition Verification Notification Rules in force N&P and Gap analysis Formulation Notification Creation of Capacity based on notified plans Notification Procedure CB plans notified Capacity implemented 0 n n+3 Time scale Round-table on Trade Facilitation Implementation

Support from the EU • Each Member establishes its own plans; • No cut-off date for implementation; • If implementation capacity is not developed, there is no commitment; • Linkage between implementation capacity and TA & CB. 6/19/2021 Round-table on Trade Facilitation Implementation 7

Pending issue: Assistance after Negotiations • The scope of TA & CB after negotiations remains unclear. • Required funds towards TA & CB in the area of TF are likely to increase. BUT…. . • Will these funds be sufficient to cater for the needs of developing countries? • Will these funds be equally accessible to all requesting WTO Members? 6/19/2021 Round-table on Trade Facilitation Implementation 8

Do your « homework » • Take the most relevant measures and review them with a critical eye: 1. 2. 3. 4. What have you already done ? What can you do yourself ? What could you do with proper TA ? How long it may take ? • Assess your Needs and formulate your TA requirements and flexible SDT. 6/19/2021 Round-table on Trade Facilitation Implementation 9

Effective implementation of any TF Agenda requires: • Broadest possible commitment from Government institutions. • Collective and professional support from the Business community. • Integration & coordination of trade-related assistance (among donors and among implementing agencies). Creating institutional changes takes time. 6/19/2021 Round-table on Trade Facilitation Implementation 10

THANK YOU! Peter Faust (peter. faust@unctad. org) Maxence Orthlieb (maxence. orthlieb@unctad. org) Jan Hoffmann (jan. hoffmann@unctad. org) José Rubiato (jose. rubiato@unctad. org) 6/19/2021 Trade Logistics Branch Division for Services Infrastructure for Development and Trade Efficiency Round-table on Trade Facilitation Implementation 11