ISLAMABAD: The United Nations Conference on Trade and Development (UNCTAD) on Friday launched a new vehicle to help developing countries speed up ratification and acceptance of the World Trade Organisation’s ‘Agreement on Trade Facilitation’.

The agreement aims at cutting red tape in cross-border trade in goods and services among the 161 countries that are members of the WTO.

As the UN body which has long provided technical assistance to developing and least developed countries, with this new vehicle UNCTAD will be available to guide and support member states in taking the necessary steps to prepare for and ratify the agreement.

Huge savings in the cost of international trade and a much-needed boost to the global economy will be realised with the enforcement of the agreement. But this can only be achieved when two-thirds of WTO members, 108 countries, ratify it.

To date, only 8 countries have done so since the agreement’s adoption in Bali, in December 2013.

The adoption of the ‘WTO Agreement on Trade Facilitation’ marked a milestone in making international trade easier and cheaper, but only after it enters into force will developing and least developed countries start to reap its benefits, UNCTAD Secretary-General Mukhisa Kituyi said. “Governments now have the opportunity and responsibility to ratify the agreement as soon as possible, following proper assessments and procedures.”

“Many poorer countries have experienced domestic legal and capacity constraints in ratifying the Agreement on Trade Facilitation, which run the risk of slowing down the process of ratification,” UNCTAD Deputy Secretary-General Joakim Reiter added. “UNCTAD will now step in to specifically help countries overcome such legitimate constraints.”

At the domestic level, ratification involves verification of national legal requirements and procedures, which include identification of the constitutional requirements for approval of international agreements, elaboration of the domestic instrument that approves the Agreement on Trade Facilitation, approval of the agreement and its ratification into law.

“UNCTAD stands ready to support developing and least developed countries to strengthen their national capacities to implement and comply with the ‘Agreement on Trade Facilitation’. This support is part of a broader development strategy to facilitate trade, enhance customs collection and clearance, improve port management and promote domestic productive capacity,” Dr Kituyi said.

Published in Dawn, June 27th, 2015

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