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Trade Facilitation: Developing Country Perceptions/ Priorities. Global Forum on Trade Facilitation UNECE, Geneva, May 15, 2003 Murray G Smith DMI Associates/Crown Agents for UK Department for International Development. Trade Facilitation Challenges. External Challenges
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Trade Facilitation: Developing Country Perceptions/ Priorities Global Forum on Trade Facilitation UNECE, Geneva, May 15, 2003 Murray G Smith DMI Associates/Crown Agents for UK Department for International Development
Trade Facilitation Challenges External Challenges • Trade Facilitation Dynamic among Developed countries – e-business • Security Concerns and the CSI • Decision About Modalities under Doha Development Agenda at Cancun
Longer Term Challenges for Developing Countries • Role of trade facilitation in development • Participation in international fora for trade facilitation • Trade facilitation will proceed without developing country participation and without Doha negotiations
Developing Country ConcernsAbout WTO Negotiations • Issue linkage • Obligations will be difficult to implement • Scope of WTO obligations is uncertain • Reluctant to have trade facilitation subject to dispute settlement • Commitments to capacity building will be insufficient
Benefits of Trade Facilitation Trade facilitation initiatives/reforms of customs administration will contribute to their economic development through: • improvements in customs integrity, • more effective and selective border controls, and • more efficient revenue collection.
Benefits of Trade Facilitation Implementing trade facilitation will bring many benefits to developing countries through: • expanded trade, • improved investment climate, • better utilisation of infrastructure and • overall economic development
Benefits from Trade Facilitation • Benefiting from Global Trade • Benefiting from Regional Trade • Improving Development Prospects for Landlocked Economies • Trade and Governance Reforms • Reform of Customs Administration
Costs of Trade Facilitation • Capacity Constraints in Developing Countries – Digital Divide • Participation in International Fora including WTO • Costs of reform of Customs Administrations
Next Steps for Developing Countries • Securing Commitment for Capacity Building • Support for Participation in International Fora • Regional Co-operation on Trade Facilitation
Next Steps for Developing Countries • Trade Facilitation is a Development Priority • Articulating Developing Country Priorities for Trade Facilitation