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WTO Trade Facilitation Negotiations

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Definition:  Members of the World Trade Organization (WTO) are in the process of negotiating clarifications and improvements of Articles V, VIII and X of GATT. Article V deals with transit issues, Article VIII with import and export-related fees and formalities, and Article X with transparency of trade regulations. The negotiations were suspended between July 2006 and January 2007. They were resumed beginning of February 2007. 

Overview: Trade Facilitation was added to the WTO agenda in December 1996, when the Singapore Ministerial Declaration directed the Council for Trade in Goods "to undertake exploratory and analytical work, drawing on the work of other relevant organizations, on the simplification of trade procedures in order to assess the scope for WTO rules in this area". In November 2001, paragraph 27 of the Doha Ministerial Declaration requested the WTO Council of Trade in Goods to review GATT Articles V, VIII and X and identify the trade facilitation needs and priorities of WTO members. Work was expanded in July 2004 when members agreed to the modalities to be followed for the launching of negotiations on trade facilitation (The "July Package" and its Annex D). The GATT Articles that are now being revisited by the Negotiating Group on Trade Facilitation (NGTF) are Article V ("Freedom of Transit"),  Article VIII ("Fees and Formalities connected with Importation and Exportation") and Article X ("Publication and Administration of Trade Regulations").

Where to start: The World Trade Organization's page on Trade Facilitation includes information about the preceding work, the underlying regulatory framework and Ministerial mandates, as well as WTO technical assistance and training activities. The WTO page on the Negotiations describes the ongoing negotiating process. Via the WTO page Negotiation Documents, you can access all submitted proposals, as well as the latest WTO compilation of proposals (Document TN/TF/W/43 and its revisions).

Substantive issues: The issues dealt with in Article V are covered in more detail under the GFP topic Transit, and also under Trade Logistics and Transport. Many of the issues dealt with in Article VIII are covered by the GFP topics Border Agency Modernization, Customs Issues, and E-Commerce and the corresponding sub-topics. Many of the Article X issues are covered by the GFP topics Customs Issues and Partnerships and the corresponding sub-topics. A set of UNCTAD Technical Notes that cover technical aspects related to specific proposals made at the NGTF, a set of broader GFP Explanatory NotesWCO Information Sheets on trade facilitation measures and Customs Issues, as well as UN/CEFACT recommendations are relevant reference readings on these issues.

Existing Instruments: The mandate states that due account shall be taken of the relevant work of the WCO and other relevant international organizations in this area.  

Special and Differential Treatment: Annex D of the July package states that the results of the negotiations shall take fully into account the principle of special and differential treatment for developing and least-developed countries. The extent and the timing of entering into commitments shall be related to the implementation capacities of developing and least-developed Members. Least-developed country Members will only be required to undertake commitments to the extent consistent with their individual development, financial and trade needs or their administrative and institutional capabilities. Proposals that attempt to make this statement operational within the NGTF include TN/TF/W/81TN/TF/W/82, TN/TF/W/95, TN/TF/W/137, and TN/TF/142. The issue is also discussed by the OECD Trade Policy Working Paper#32.

Technical Assistance: In Annex D it is also recognized that the provision of technical assistance and support for capacity building is vital for developing and least-developed countries to enable them to fully participate in and benefit from the negotiations. Relevant international organizations, including the IMF, OECD, UNCTAD, WCO and the World Bank are invited to undertake a collaborative effort in this regard. UNCTAD, World Bank and WTO, in cooperation with eachother and with IMF, OECD and WCO are organizing capacity building events to accompany the negotiating process. OECD has embarked on a project that aims to strengthen the design, delivery and evaluation of technical assistance and capacity building for trade facilitation. The United Nations regional commissions (ECA, ECE, ECLAC, ESCAP, and ESCWA) as well as UN-ESCAP - supported ArtNet are also organizing seminars and undertaking studies related to the WTO negotiations in their respective regions.  

Agenda: All Annex-D organizations (IMF, OECD, UNCTAD, WCO, World Bank) as well as  other organizations such as the United Nations regional commissions are organizing capacity building events so as to accompany the negotiating process. In order to avoid duplications and overlaps, and to assure a broad coverage of topics and regions, these events are all listed in the GFP Agenda.

Join the effort! The GFP welcomes feedback/ additions/ tools/ documents from practitioners, that would respond to this topic. The GFP web team is particularly interested in collecting and assembling all the methodologies, survey instruments and results developed and used by its Partners. Please e-mail those to support@gfptt.org or jan.hoffmann@unctad.org and suggest the topic(s) under which they could be included.

 

Pictures in this page: WTO negotiations (source:WTO)

        


Last modified on Jul 23, 2008 18:49:22 by Kremena Gocheva - World Bank

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