The World Trade Organisation (WTO) has received six more ratifications for the Trade Facilitation Agreement (TFA), bringing up to 63, which have been formally accepted by 162-WTO member states.
The ministers submitted several ratifications during the WTO’s 10th Ministerial Conference being held in Kenyan capital of Nairobi.
The TFA will be effective once the two-thirds of the WTO members accept the agreement.
The TFA, which was concluded at the WTO’s Bali Ministerial Conference in 2013, 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.
Myanmar’s Union Minister of the Ministry of Commerce U Win Myint presented his country’s instrument of acceptance to WTO Director-General Roberto Azevêdo in Nairobi on 16 December.
Norwegian Foreign Minister Børge Brende also handed over his country’s instrument of acceptance to the Director-General on December 16.
Additional instruments of acceptance were received from Viet Nam and Brunei on December 15, and from Ukraine and Zambia on December 16.
The TFA broke new ground for developing and least-developed countries in the way it will be implemented.
For the first time in WTO history, the requirement to implement the agreement was directly linked to the capacity of the country to do so.
In addition, the agreement states that assistance and support should be provided to help them achieve that capacity.
A Trade Facilitation Agreement Facility (TFAF) was also created at the request of developing and least-developed country members to help ensure that they receive the assistance needed to reap the full benefits of the TFA and to support the ultimate goal of full implementation of the new agreement by all members.
Implementation of the WTO Trade Facilitation Agreement (TFA) has the potential to increase global merchandise exports by up to US$1tn per annum, according to the WTO’s flagship World Trade Report released on October 26.
The report also found that developing countries will benefit significantly from the TFA, capturing more than half of the available gains.