The OECD Indicators on Trade Facilitation: What is the Impact of TF Measures on Trade Flows and Trade Costs ?

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The OECD Indicators on Trade Facilitation What
is the Impact of TF Measures on Trade Flows and
Trade Costs ?
WTO WORKSHOP ON RECENT ANALYSES OF THE DOHA
ROUND Geneva, 2 November 2010

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OECD measurements of trade facilitation costs and
benefits

• A quantitative assessment of the benefits of
  trade facilitation, focussing on the distribution
  of gains among groups of countries
• An analysis of the costs of introducing and
  implementing TF measures, seeking to understand
  the cost implications of proposed measures in
  the future agreement
• Trade facilitation indicators, focussing on the
  impact of specific TF measures included in the
  draft agreement

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TF indicators - a close connection to the WTO
negotiations

• Following the structure of the Draft Consolidated
  Negotiating Text
• Aiming to provide a basis for prioritizing trade
  facilitation actions by governments
• Helping mobilise technical assistance by donors
  in a targeted way.

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Eleven Families of measures (plus one)

1. Information availability
2. Involvement of the trade community
3. Advance rulings
4. Appeal procedures
5. Fees and charges
6. Formalities Documents
7. Formalities Automation
8. Formalities Procedures
9. Internal Cooperation
10. External Cooperation
11. Consularization
12. Governance and Impartiality

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Expanding coverage

• Currently including the 30 old OECD countries
  and Hong Kong, China
• Seeking to expand to recently acceded OECD
  countries, OECDs Enhanced Engagement partners
  and any other country interested in
  participating, on a voluntary basis.
• Database and methodology adapted to developing
  country concerns

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Relative impact on trade flows
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Total Economy
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Contribution to the reduction of costs
Aggregate TFIs
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Comparison to other variables
TFIs composition
Aggregate TFIs
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Welfare effects of trade facilitation (million
USD and per cent of total)
Uniformity Country, sector trader diversity OECD-only
World-wide welfare gains 38454 43259 14053
- due to direct cost reduction 6041 8250 2650
- due to indirect cost reduction 32413 35009 11402
OECD 69 35 103
OECD Asia-Pacific 8 7 22
OECD Europe 43 17 45
OECD North America 18 11 36
Non-OECD 31 65 -3
Former Soviet Union 2 7 -1
Middle East North Africa 5 11 0
Latin America Caribbean 5 13 -1
Non-OECD Asia-Pacific 16 24 -1
Sub-saharan Africa 2 7 0
Rest of World 1 1 0
Source OECD Secretariat.
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Thank you

• OECD Trade Policy Studies Overcoming Border
  Bottlenecks The Costs and Benefits of Trade
  Facilitation
• www.oecd.org/trade/facilitation
• evdokia.moise_at_oecd.org