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ECOWAS REGIONAL TRADE & TRANSPORT FACILITATION INITIATIVES. November, 2012. Content. Regional Context Protocols & Decisions Relevant International Perspectives ECOWAS Regional Interventions Trade & Customs Transport & Trade Facilitation Programmes and Interventions Conclusion.
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ECOWAS REGIONAL TRADE & TRANSPORT FACILITATION INITIATIVES November, 2012
Content • Regional Context • Protocols & Decisions • Relevant International Perspectives • ECOWAS Regional Interventions • Trade & Customs • Transport & Trade Facilitation • Programmes and Interventions • Conclusion
Regional Perspective Some Related ECOWAS PROTOCOLS ECOWAS Revised Treaty • Article 3 para. 2(d): Establishment of a common market • ECOWAS Trade liberalization Scheme, Customs Co-operation and Administration towards the Customs Union • Article 32: Transport & Communications • Member States resolve to develop transport infrastructure and policies to promote physical cohesion among member states and the facilitate the movement of persons, goods and services within the Community special emphasis on increased access to island and land-locked countries • Article 35: Liberalization of Trade • Article 36: Customs Duties • Article 37: Common External Tariff • Article 45: Re-Exportation of Goods and Transit Facilities • Article 46: Customs Cooperation and Administration
Ensuring Trade Facilitation - Obligation or Prerogative? • The WCO’s SAFE Framework of Standards, June 2007 – Aims, amongst others, to facilitate legitimate trade through concepts of ‘Customs-to-Customs’ and ‘Customs-to-Business’ partnerships. • Risk management to focus attention on high risk traders and goods, • Automation to enable traders and intermediaries to submit documentation electronically, • Single Window Systems • Integrated/Coordinated Border Management • Accreditation for “trusted traders”, AEO, etc • UN Convention on the Harmonization of Frontier Controls of Goods, Geneva 1982 • Reduce requirements for completing formalities, No./duration of controls by national and international coordination of controls • WTO International Trade Principles (National, Regional & International • Harmonization • Simplification • Standardization • Transparency
ECOWAS Interventions - Harmonization, Simplification, Transparency... • The ECOWAS Trade Liberalization Scheme (ETLS) to promote the Free Trade Area within the region • Free movement (tariff and non-tariff ) of regional originating products • Rules of Origin • Agreed list of products (www.etls.ecowas.int ) • ECOWAS Customs Union • The Common External Tariff (CET) (in 2013) • ECOWAS Customs Computer Interconectivity Program (ALISA) – designed, pilot
ECOWAS Interventions - Harmonization, Simplification, Transparency... • Harmonization of the Community Customs Code and the customs procedure code (still in progress) • Harmonization and simplification of trade procedure (processing of customs documents or declarations, collection of data…) Positive Results: • Reduction of Customs barriers in Member States (Nigeria, Togo, Burkina Faso) • Bilateral agreement on harmonization of customs documents and free movement of customs officers in some Countries • Signature of MOU for the movement of some specific goods within the region
Main challenges faced by the member States on the implementation of trade facilitation measures: • Increasing & Unpredictable Customs Barriers on Corridors increasing the time to export goods • Non-uniform harmonization of customs instruments. • Lack of will of authorities in the implementation of legal text on trade facilitation. • absence of comprehensive data at customs check points at the borders. • Lack of cooperation and confidence between the countries
TRANS (west) -AFRICAN HIGHWAY • Trans Coastal, Dakar-Lagos corridor missing links (PIDA) • Nigeria ; Benin ;Togo ;Ghana; Cote d’Ivoire; Liberia; Sierra Leone; Guinea Bissau; Guinea; The Gambia; Senegal • Trans Sahelian - Dakar – Niamey-N’Djamena multimodal corridor (PIDA) • Senegal, • Mali, • Burkina Faso, Niger
Joint Border Posts (JBPs) • Milestones • Infrastructure– 3 being constructed, several planned • Legal Framework – operating hours, management, security coordination, flow of traffic types, Information sharing, etc… • Operational Manuals – develop a compendium of operating manuals to guide agencies • ICT Interconnection & Info Excahnge • Management – facilities, security, etc • Sensitization and Training
Legal Requirements for Wholly in 1 State Post • Extraterritorial jurisdiction; • Hosting officials of adjoining States in UEMOA/ECOWAS land within the State of location to perform functions in terms of their own national laws Niger Benin
Legal Requirements for Straddled Post • Extraterritorial jurisdiction; • Hosting officials of adjoining States in UEMOA/ECOWAS land within the State of location to perform functions in terms of their own national laws Burundi Rwanda
Legal Requirements for Juxtaposed JBP Ghana • Extraterritorial jurisdiction; • Hosting officials of adjoining States in UEMOA/ECOWAS land within the State of location to perform functions in terms of their own national laws Côte d’Ivoire
JOINT BORDER POST PROJECTS JBPs – Update and Way forward • Architectural and engineering designs completed for the initial seven (7) JBP sites (Sèmè-KrakéPlage, Hillacondji-Sanveekondji, Noépé, Malanville, Paga, Noé-Elubo and Kouremalé,) • Construction ongoing on three (3) sites: Sèmè-KrakéPlage(Nigeria/Benin border) (25%), Noépé(Togo – Ghana border)(45%) and Malanville (Benin – Niger border) – 65%. • Consistent Consultation and Dialogue with States (all levels) • Completion of harmonized Legal Framework and Operations Manual • Development of Bilateral Agreements between border countries regarding the haulage/trucking modalities • Study on the Management options for sustainability and maintenance of facilities • Equipment Needs assessment and procurement • Training, Sensitization and traveler Education
Corridor Development & Management • NATIONAL ROAD TRANSPORT AND TRANSIT FACILITATION C’TTEES COMPOSITION • Road Transport Dir • Gendarmerie Nationale • National Police • Trade Directorate • Organized Road Transport Unions • National Guarantors • Forwarding Agents • Customs • Port Authorities • ECOWAS/UEMOA National Units • ECOWAS Brown Card Sec. • Chamber of Commerce • ANY OTHER INSTITUTION or STRUCTURE • Ensure the smooth flow of Inter-State Road Transport, Trade & Persons • Chairperson – Director of Road Transport
Corridor Development & Management • CORRIDOR MANAGEMENT COMMITTEES • A corridor is a set of transport infrastructures and transport services supporting an international trade route. • Formation (Corridor Countries) • Reps from Public Sector and Private Sector • Monitor and Coordinate activities relating to the implementation of the RRTTFP and Inter-State Transit • Identify obstacles hampering the smooth flow of traffic along the corridor and seek their removal
Corridor Development & Management • Establishment of a permanent Corridor Management and Development Agency - Pilot (Corridor/Proof of Concept Approach) - MOU among Corridor countries • Experiences – Southern and Eastern African Corridor Groups and Agencies • Smart & Multi-Modal Corridor programmes (feasibility studies) – off AU PIDA-PAP projects. • Single window, cargo tracking, commercial vehicle tracking, container tracking, and high-visibility corridor efficiency monitoring. • Corridor Management Committees • Improve maritime transport and the connection between island and mainland countries • New maritime service between regional ports and facilitating this with modern information system that links the maritime service with ports and road corridor – Praia – Dakar – Abidjan
Corridor Performance Monitoring • Monitoring process (two levels): ECOWAS STRATEGY • monitoring corridor efficiency - indicators linked to transport services demand, offer and delivery • monitoring actual programme implementation aimed at improving the efficiency of the corridor • USAID West Africa Trade Hub & Abidjan-Lagos Corridor Organization (ALCO) • Coordinated Region-wide Transport Observatory off the successes and lessons of earlier initiatives • Expanded, Sustainable and Institutionalized transport observatory initiatives • Coordination – (RECs, EU, USAID-WATH, ALCO, Agribusiness Trade Promotion, World Bank, AfDB, etc) • Supports Advocacy, transparency, Name & Shame...
Harmonization, Simplification... • Implementation of the Inter State Road Transit (ISRT) Scheme • National Guarantee System being phased out for a Regional system • Road Haulage Transport Industry Reforms 1 - Reforms in the Road transport industry (Professionalization) • Liberalization – suppress cargo sharing to ensure competition to improve efficiency • Capacity building on sound management practices • Incentives to strictly respect rules and regulation such as axle load, road safety 2 - Vehicle fleet modernization (assess existing fleet conditions & obstacles to fleet modernization; explore financing options) • Axle Load Control Harmonization – Supplementary Act adopted by Summit of HoS&G in 2012. Implementation • Sensitization • Equipment • Enforcement