Title: Trade Facilitation: A Regional Perspective
1Trade FacilitationA Regional Perspective
- Regional Policy Forum on Trade Facilitation in
Times of Crisis - 20-22 May 2009, Beijing, China
2Trade has been a main engine of growth in
Asia-Pacific
Comparison of trade growth and GDP growth
2000-2007
Sources WTO, 2008
3High Trade Dependence of ESCAP member countries
Sources WTO, 2008
4Asia-Pacific Region still the fastest growing
Sources ESCAP, 2009, data for 2008 are estimates
and for 2009 are forecasts
5But export performance in many developing ESCAP
economies has faltered
Sources compiled by ESCAP based on CEIC database
6How can trade facilitation help?
- Trade facilitation Any measure, or set of
measures, that aims to increase the
cost-effectiveness of international trade
transactions. http//www.gfptt.org/Entities/Topic
Profile.aspx - Hidden trade costs can make up to 10 of value of
goods traded - ? Tackling inefficiencies in trade transaction
procedures and regulations can be key to
sustaining trade competitiveness, particularly
during downturn
7How well are ESCAP members doing in trade
facilitation?
Landlocked countries (Afghanistan, Armenia,
Azerbaijan, Bhutan, Kazakhstan, Kyrgyz Republic,
Lao PDR, Mongolia, Nepal, Tajikistan and
Uzbekistan) are excluded from subregional
averages.Source Calculated based on data from
Doing Business 2009, World Bank
8Time for Export
Source Calculated based on data from Doing
Business 2009, World Bank
9Business Cost of Corruption
Note Score based on question on whether illegal
payments influence impose costs or otherwise
negatively affect their companies (1 yes, they
have a significant negative impact, 7 no, they
have no impact) Source Global Competitiveness
Report 2007-2008
10Port Infrastructure
Note Score based on the questionnaire on Port
facilities and inland waterways in a country are
(1 underdeveloped, 7 as developed as worlds
best). For landlocked countries, this measures
the ease of access to port facilities and inland
waterways Source Global Competitiveness Report
2007-2008
11Timeliness (likelihood of on-schedule delivery)
Notes Developed ESCAP consists of Australia,
Japan and New Zealand. East and Northeast Asia
average does not include Hong Kong, China.
Southeast Asia average does not include
Singapore. Source Calculated based on data from
the World Bank Logistic Performance Index (2007)
12How well are ESCAP members doing in trade
facilitation?
- There are many dimensions/ways to facilitate
trade and not all countries have chosen the same
approach - Most countries have made progress and/or are
engaged in trade facilitation reforms, but
significant room for improvement remains - Although there are many regional trade
facilitation initiatives, a lot of potential
remain on facilitating intra-regional trade (at
land borders)
13How well are ESCAP members doing in trade
facilitation?
- Trade facilitation performance varies greatly
between and within Asian sub-regions, but also
within countries - Domestic (behind-the-border) regulations and
procedures often seem to be most problematic for
traders
14How well are ESCAP members doing in trade
facilitation?
15Promoting trade facilitation ESCAP approach
- Promote the use of global standards and
innovative solutions ? collaboration with
UN/CEFACT, WCO - Create a community of knowledge and best
practices through a pool of experienced experts
both in-house and from countries that have
successfully implemented trade facilitation
reforms ? UNNExT - Conduct analytical work and develop
implementation tools and methodologies for
practitioners to ease the implementation of
global standards ? Collaboration with WTO, ADB,
and ARTNeT
16Conclusion and Recommendations
- Asia-Pacific region is a highly trade dependent
region - Trade facilitation performance varies widely
across Asia-Pacific countries and subregions - Countries have made progress, but still room for
improvement in many countries - Reducing trade transaction costs is important
- to increase trade competitiveness
- to enable participation by more firms in
international trade
17Conclusion and Recommendations
- International Trade is a tool for development,
not an end in itself - Governments should promote a more inclusive
participation in trade - One way to do so is to cater more to the need of
SMEs when facilitating trade - Trade facilitation needs and priorities differ
across countries, and may also differ across
industries and firms - Pragmatic and holistic approach required
- Strong inter-agency and public-private sector
cooperation required
18Thank you