African countries seek cheaper and faster trade | The new time



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African countries seeking to reduce the costs, time and complexity of interregional and international merchandise trade are gathered for the first African forum of national trade facilitation committees in Addis Ababa, Ethiopia.

The event, organized by UNCTAD and seven partner organizations, is taking place as Africa steps up its trade facilitation efforts after the entry into force of the agreement. the Trade Facilitation of the World Trade Organization in February 2017 and the preparation for the implementation of the Continental Free Trade Agreement with Africa. in March 2018.

"The World Trade Organization estimates that current trade costs for developing countries are equivalent to the imposition of an impressive 219% tariff on international trade, which is detrimental to Africa," he said. UNCTAD Secretary-General Mukhisa Kituyi.

"UNCTAD has been supporting Africa's work on trade facilitation for decades, including our automated ASYCUDA customs systems and our capacity building programs. The culmination of this work is to support institutions that can make trade work for all, and National Trade Facilitation Committees must become agents of change to stimulate international trade in developing countries. "

One of the key points of the Trade Facilitation Agreement is the obligation for each country to establish a National Trade Facilitation Committee, composed of public and private sector stakeholders, to facilitate national and international coordination. the implementation of the provisions of this agreement.

With the smooth running of the NTFC, countries will be able to make trade easier, faster and cheaper. For developing countries, and in particular the least developed countries – the majority of which are in sub-Saharan Africa – full implementation of the Trade Facilitation Agreement could result in a reduction in trade costs that could up to 15%.

Win-win for all

Properly implemented trade facilitation measures not only boost trade, but also improve revenue collection and compliance controls for safety and security (for example, improving food safety ) and can help streamline government agencies.

Such reforms help small cross-border traders, often women, to enter the formal sector, to make economic activities more transparent and accountable, to promote good governance, to create better jobs, to build capacity in of information technology and to modernize society in general by bringing benefits related to administrative efficiency.

These reforms are a prerequisite for developing countries to join global value chains and begin to emerge from poverty.

Trade facilitation reforms are also positive steps towards human, business and institutional development, and are linked to the achievement of the 2030 Agenda for Sustainable Development, making their adoption a win-win model. winner for all.

But for these benefits to materialize, it is essential that the Trade Facilitation Agreement is implemented as planned.

According to the WTO, the rate of commitments implemented under the agreement in October 2018 was 60% – but, broken down by level of development, a new table is emerging. , with developed countries achieving 100% of commitments, with developing countries achieving 60% of commitments and least developed countries only 22%.

Anticipating this, the Trade Facilitation Agreement contains important and new provisions on special and differential treatment, which allow developing countries to choose their own implementation schedule – and to obtain assistance in the implementation of the Trade Facilitation Agreement. where appropriate.

"By coming together to share their experiences, learn from common challenges and meet with development partners, attendees at this event will be able to redouble efforts in trade facilitation," said Shamika N. Sirimanne, Director, Technology and Logistics Division, UNCTAD. .

"The forum is the result of close collaboration between multilateral and international organizations and is supported by several bilateral donors. The alliance highlights the collaborative efforts of these institutions and donors to help advance opportunities for the integration of developing and least developed countries into world trade ", he said. -she adds.

Topics covered during the three-day event include the role of African regional organizations, the role of NTFCs in implementing trade facilitation provisions in AfCFTA, paperless initiatives at entry points , private sector participation in these NTFCs, border agency coordination and the role of transit corridors.

Sessions will also be devoted to the gender dimension in cross-border trade and the application of digital technologies in future bargaining, at a time when e-commerce is becoming increasingly important in international trade.

Xinhua

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