Workshop on Trade Facilitation and Aid for Trade: Sustaining Trade Facilitation Gains Through Effective Aid for Trade Strategies Joseph Atta-Mensah NEPAD and Regional Integration Division United Nations Economic Commission for Africa 12-13 March 2009, - PowerPoint PPT Presentation

Loading...

PPT – Workshop on Trade Facilitation and Aid for Trade: Sustaining Trade Facilitation Gains Through Effective Aid for Trade Strategies Joseph Atta-Mensah NEPAD and Regional Integration Division United Nations Economic Commission for Africa 12-13 March 2009, PowerPoint presentation | free to download - id: 5be5a9-Njc1N



Loading


The Adobe Flash plugin is needed to view this content

Get the plugin now

View by Category
About This Presentation
Title:

Workshop on Trade Facilitation and Aid for Trade: Sustaining Trade Facilitation Gains Through Effective Aid for Trade Strategies Joseph Atta-Mensah NEPAD and Regional Integration Division United Nations Economic Commission for Africa 12-13 March 2009,

Description:

Workshop on Trade Facilitation and Aid for Trade: Sustaining Trade Facilitation Gains Through Effective Aid for Trade Strategies Joseph Atta-Mensah – PowerPoint PPT presentation

Number of Views:252
Avg rating:3.0/5.0

less

Write a Comment
User Comments (0)
Transcript and Presenter's Notes

Title: Workshop on Trade Facilitation and Aid for Trade: Sustaining Trade Facilitation Gains Through Effective Aid for Trade Strategies Joseph Atta-Mensah NEPAD and Regional Integration Division United Nations Economic Commission for Africa 12-13 March 2009,


1
Workshop on Trade Facilitation and Aid for Trade
Sustaining Trade Facilitation Gains Through
Effective Aid for Trade Strategies Joseph
Atta-MensahNEPAD and Regional Integration
DivisionUnited Nations Economic Commission for
Africa12-13 March 2009, Addis Ababa, Ethiopia
2
PRESENTATION OUTLINE
  • Evolving definition and scope of trade
    facilitation
  • Key issues of trade facilitation
  • Trade facilitation initiatives in Africa
  • Way forward

3
Evolving Definition and Scope of Trade
Facilitation
  • Logistics of moving goods through ports or
    documentation associated with cross-border trade
  • Environment in which trade transaction takes
    place
  • Transparency of customs, regulatory agencies
  • Harmonization of standards, conformity with
    international and regional regulations
  • Natural barriers to trade
  • Non-tariff barriers

4
Weak Intra-African Trade
REC Intra-community Rest of Africa EU US Others
CEMAC 1.9 2.2 41.2 30.5 24.2
COMESA 6.0 8.2 39.3 20.8 25.7
EAC 18.1 12.4 40.5 3.6 25.4
ECCAS 1.9 2.5 45.2 27.7 22.8
ECOWAS 10.3 2.9 39.0 26.1 21.8
SADC 12.8 4.6 26.6 14.0 42.0
Africa 6.8 5.8 49.7 15.1 22.7
1/25/2015 108 AM
Economic Commission for Africa tlisinge_at_uneca.org
4
5
Marginalisation in the Globalisation Process
  • Volume of goods across borders has increased
    exponentially in recent years 50 times higher in
    1999 than in 1960
  • Africa has failed to benefit from steady
    increase in international trade
  • In 1950, Africa delivered 10 of world exports,
    by 2000 this share had declined to lt3
  • ? Situation worse in sub-Saharan Africa whose
    share of world exports of goods and services is lt
    1.5

1/25/2015 108 AM
Economic Commission for Africa tlisinge_at_uneca.org
5
6
KEY ISSUES OF TRADE FACILITATION
  • High transport costs
  • Complicated customs procedures
  • Inadequate usage of information and communication
    technology
  • Payments, insurance and other financial
    requirements
  • International trade standards

7
HIGH TRANSPORT COSTS
Country Transport cost as a share of value of exports ()
Central African Republic 33
Chad 52
Malawi 56
Mali 36
Rwanda 48
Least developed countries 17
Developing countries 9
8
CONTRIBUTING FACTORS TO HIGH TRANSPORT COSTS IN
AFRICA
  • Inadequate infrastructure network
  • Inefficient transport services
  • Multiplicity of rules governing international
    transportation of goods
  • Numerous roadblocks

9
  • VARIATIONS IN TECHNICAL STANDARDS FOR VEHICLES
    HAMPER MOVEMENT OF GOODS

RECs Axle load limit (tonne) Axle load limit (tonne) Axle load limit (tonne) Max. load Max. length Max height Max. width
Single axle Tandem axle Triple axle (tonne) (metre) (metre) (Meters)
CEMAC 13 21 27 50 18 4 25
COMESA 10 16 24 NA 22 NA NA
ECOWAS 12 21 25 51 22 4 25
10
ROADBLOCKS ARE A MAJOR OBSTACLE TO TRADE IN AFRICA
11
CUMBERSOME CUSTOMS AND ADMINISTRATIVE PROCEDURES
HAMPERS TRADE EXPANSION
  • Excessive documentary requirements
  • Insufficient use of automated systems
  • Lack of transparency, predictability and
    consistency
  • Lack of cooperation among customs and other
    governmental agencies
  • Separated border posts, differences in working
    hours, visa requirements for transport crew
    members
  • New maritime security measures

12
(No Transcript)
13
INSUFFICIENT USE OF ICT INCREASES TRADE
TRANSACTION COSTS
  • Telecommunication services are inadequate,
    inefficient and very expensive
  • Strong linkage between customs delays and
    telephone charges and internet distribution
  • Botswana and Namibia 4 days delay 4.8 and
    4.28 per 3 minutes international call
    respectively
  • Ethiopia and Cameroon 30 and 20 days delays
    7.44 and 7.7 per 3 minutes international calls
    respectively
  • Low level of awareness of e-commerce
  • Insufficient physical infrastructure
  • Deficient electronic transaction infrastructure
  • Inadequate legal and regulatory framework

14
Mobile Telephone and Internet connectivity in
African RECs
RECs Cellular subscribers per 100 people Internet users per 10,000 people
CEMAC 5.2 21.8
COMESA 5.8 35.0
IOC 15.6 115.5
SACU 11.3 490.5
SADC 10.1 147.1
UMA 5.2 129.3
15
INEFFICIENT INTERNATIONAL PAYMENT MECHANISMS
RESULT IN LONG DELAYS
  • Documentary credit is the most popular
    international payment system in Africa
  • Half of all payment requests are rejected because
    of documentary inconsistencies.
  • High insurance premiums for African countries
  • Customs guarantee payments represent a high cost
    for transport operators
  • Multiplicity of currencies and exchange rate
    arrangements

16
MULTIPLICITY OF INTERNATIONAL TRADE STANDARDS
CONSTITUTE A BARRIER TO TRADE
  • Standards have potential to substitute tariffs
    and quantitative restrictions
  • Standards impose higher production costs for
    firms in developing countries
  • EU standards on agricultural products are of
    great concern to Africa

17
EFFORTS TO FACILITATE TRADE IN AFRICA
  • Efforts at sub regional level
  • Several RECS have trade facilitation programmes
  • Bilateral cooperation
  • Several bilateral agreements exist
  • Cameroon has signed conventions with Chad and
    CAR special facilities provided to landlocked
    countries at seaports
  • Efforts at country level - One stop shops
  • Efforts by international organizations
  • Corridor management committees
  • Observatories of abnormal practices
  • Joint border posts

18
Regional TF Activities
  • Corridors recognized/benefiting from SSATP
  • Djibouti-Addis Ababa Corridor
  • Northern Corridor
  • Dar es Salaam Corridor
  • North South Corridor
  • Point Noire-Brazzaville/Matadi-Kinshasa-Bangui
    Corridor
  • Douala-Bangui-Njamena Corridor
  • ECOWAS-UEMOA Corridors (Lagos-Abidjan
    Tema-Ouaga-Niamey Bamako Lome-Ouaga-Niamey
    Bamako)

1/25/2015 108 AM
Economic Commission for Africa tlisinge_at_uneca.org
18
19
Regional TF Activities Establishment of Corridor
Committees (cont)
  • Technical Committee for Djibouti- Addis Ababa
    Corridor (being) established in Ethiopia/
    Djibouti(?)
  • Charter for Douala-Njamena-Bangui Corridor
    reviewed National Facilitation Committee created
    in Chad
  • Standard text for National Facilitation and
    Corridor Committees established in ECOWAS and 8
    National Committees set up

1/25/2015 108 AM
Economic Commission for Africa tlisinge_at_uneca.org
19
20
Regional TF Activities Creation of
Observatories
  • Committee need relevant information to function
    effectively
  • Observatories could play an important role in
    that regard
  • Observatory exist in Abidjan-Lagos Corridor
  • Baseline survey for Northern Corridor observatory
    completed

1/25/2015 108 AM
Economic Commission for Africa tlisinge_at_uneca.org
20
21
Regional TF Activities Establishment of Joint
Border Posts
  • Prominent among TF projects
  • Several pilot projects introduced, including
  • Malaba (Kenya/Uganda border)
  • Seme/ Krake Plage (Benin/Nigeria)
  • Cinkase (Burkina Faso/Togo)
  • Chirundu (Zambia/Zimbabwe)
  • Having an appropriate legal framework is a
    constraint to establishment of joint border post
  • Study on legal status of joint border posts
    undertaken by ECOWAS

1/25/2015 108 AM
Economic Commission for Africa tlisinge_at_uneca.org
21
22
Trade Facilitation measures in COMESA, ECOWAS and
CEMAC

COMESA ECOWAS CEMAC
Hamonised -Transit charges -Carrier license and transit plates -Axle load limits Introduced -ACIS, ASYCUDA -Customs bond guarantee scheme Introduced -Inter-State road transport convention -Inter-State road transit convention -Brown Card insurance scheme -ASYCUDA Hamonised -Highway code Introduced -Common insurance scheme -Multimodal transport Convention -Concept of corridors -TIPAC
23
THE WAY FORWARD
  • 1. Strengthen Africas infrastructure network to
    support international trade
  • 2. Improve the efficiency of transport services
  • 3. Remove illegal roadblocks
  • 4. Speed up customs and border crossing
    procedures
  • 5. Promote the use of new technology
  • 6. Strengthen regional initiatives
  • 7. Reduce negative impact of multiplicity of
    standards

24
Thank you!
About PowerShow.com