UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION

1. UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION

2. INTERNATIONAL FORUM ON TRADE FACILITATION 29 - 30 May, in Geneva Achieving an Open and Inclusive Environment: the Role of the International Organizations UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION - ENABLING MARKET ACCESS - Practical Measures for Future Trade Facilitation Presented by - Alberto Di Liscia, Assistant Director-General

3. LDCs SHARE OF GLOBAL TRADE: 1970 – 1.52% 1998 – 0.58%

4. DEVELOPING COUNTRIES HAVE NOT INCREASED THEIR TRADE BECAUSE: • They have serious shortfalls in capacity • They face major non-tariff barriers to trade

5. CAPACITY SHORTFALLS • Supply: unable to produce goods of competitive quality and quantity. • Standards: often incompatible with international standards. • Metrology and testing: no recognized laboratory capacities. • Trade: little say in international trade agreements • Marketing and export promotion: unable to identify and attract target consumers

6. NON – TARIFF BARRIERS AFFECTING MARKET ACCESS REGISTRATION, DOCUMENTATION & CUSTOMS ISSUES SANITARY & PHYTOSANITARY MEASURES (SPS) TECHNICAL BARRIERS TO TRADE (TBT) MARKET ACCESS FACILITATION TRANSPORTATION & TRANSIT INTERNATIONAL RULES FOR TRADE INVESTMENT & FINANCIAL MATTERS

7. TBT and SPS: • Add to product specifications – increase production costs • Require greater institutional and personnel resources: • To access the regulations • To establish conforming standards • To present accredited certification • Used as non-tariff barriers to trade

8. UNIDO’S CONTRIBUTION • Upgrade supply capacities • Providequality, standardization and accreditation/ certification services • Cooperate with WTO, UNCTAD and ITC and others to help overcome Non tariff Barriers to trade

9. UNIDO’s Trade Facilitation & Market Access Programmes • Strategic choices: • Engage with regional economic integration processes • Focus on sectors and products with high export potential • Draw on strategic alliances with other organizations

10. NON – TARIFF BARRIERS AFFECTING MARKET ACCESS REGISTRATION, DOCUMENTATION & CUSTOMS ISSUES SANITARY & PHYTOSANITARY MEASURES (SPS) TECHNICAL BARRIERS TO TRADE (TBT) certification systems- ITC product development – UNIDO,ITC,FAO process inspection – UNIDO National Enquiry Points – ITC packaging and labeling – ITC international standards – UNIDO,ISO,ITC tests & calibration – UNIDO storage – UNIDO environmental systems – UNIDO,UNEP accreditation (labs & personnel) UNIDO local content schemes – UNIDO,ISO,ITC Domestic requirements- ITC Internat Plant Protection Conv. (IPPC) health (HACCP) – WHO Codex Alimentarius (CAC) – FAO,WHO Intl. Office of Epizootics (IOE) biosafety (GMO) other TBT related – UNIDO licences customs clearance – UNCTAD custom valuation – UNCTAD,WTO warehousing prohibitions Domestic taxation of goods quotas, prices MARKET ACCESS FACILITATION registry procedures- IMO,ICAO airport services – ICAO taxes harbour services – IMO inspection TRANSPORTATION & TRANSIT INVESTMENT AND FINANCIAL MATTERS INTERNATIONAL RULES FOR TRADE services DFI regulations – IMF,UNIDO banking – WB foreign exchange measures subsidies foreign investment taxes profit repatriation limits enterprise competitiveness- UNIDO,ITC WTO agreement for trade – ITC product & market development – ITC trade negotiation techniques – UNCTAD trade disputes – WTO trade agreements – WTO,UNCTAD Dumping practices – WTO Intellectual property – WIPO

11. Trade versus Aid: LDC export earnings: US$ 25 billion Annual aid: US$ 12 billion Annual FDI: US$ 5 billion

12. BENEFITS OF BARRIER - FREE TRADE The EU’s ‘Everything but arms’ Initiative’ could bring an LDC growth rate of 15-20% = US$ 5 billion per year 50% reduction in trade barriers: All developing countrieswould gain $ 100 billion per year

13. UNITED NATIONS INDUSTRIAL DEVELOPMENT ORGANIZATION