“World needs Trade Facilitation Agreement to tackle COVID-19” -WTO
The World Trade Organization (WTO) has emphasized the world’s need for its #TradeFacilitation Agreement in the face of the global coronavirus pandemic.
“…Four years ago, the WTO #TradeFacilitation Agreement entered into force and paved the way for easier and faster movement of goods across borders- something the world needs more than ever today to tackle #COVID19,” @wto said in a tweet.
“Bureaucratic delays and “red tape” pose a burden for moving goods across borders for traders. Trade facilitation—the simplification, modernization and harmonization of export and import processes—has therefore emerged as an important issue for the world trading system,” it further said.
🎈On this day four years ago, the WTO #TradeFacilitation Agreement entered into force and paved the way for easier and faster movement of goods across borders–something the world needs more than ever today to tackle #COVID19. Learn more about the TFA: https://t.co/Rq3YWH721Z pic.twitter.com/ITeArdGDLR
— WTO (@wto) February 22, 2021
WTO members concluded negotiations at the 2013 Bali Ministerial Conference on the landmark Trade Facilitation Agreement (TFA), which entered into force on 22 February 2017 following its ratification by two-thirds of the WTO membership.
The TFA contains provisions for expediting the movement, release and clearance of goods, including goods in transit. It also sets out measures for effective cooperation between customs and other appropriate authorities on trade facilitation and customs compliance issues. It further contains provisions for technical assistance and capacity building in this area.
Benefits of the TFA
Estimates show that the full implementation of the TFA could reduce trade costs by an average of 14.3% and boost global trade by up to $1 trillion per year, with the biggest gains in the poorest countries.
For the first time in WTO history, the requirement to implement the Agreement is directly linked to the capacity of the country to do so. A Trade Facilitation Agreement Facility (TFAF) has been created to help ensure developing and least-developed countries obtain the assistance needed to reap the full benefits of the TFA.
Amaka E. Nliam