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Preferential Trade Agreements and Trade Liberalization Efforts in the OIC Member States

With Special Emphasis on the TPS-OIC

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containing trade and customs laws and procedures of all members. There is commitment of

reviews of identified NTMs on the fora a of several relevant ATIGA Committees and to agree

for the NTMs that should be removed. There are several trade facilitation provisions with a

commitment to ’develop and implement a comprehensive ASEAN Trade Facilitation Work

Programme, which sets out all concrete actions and measures with clear targets and time lines

of implementation’. In the area of Sanitary and Phytosanitary Measures the ASEAN Committee

on Sanitary and Phytosanitary Measures is meant to be the primary place for exchange of

information, to facilitate co-operation and to endeavour to resolve issues is they arise.

The ASEAN Framework Agreement on Services (AFAS) was signed in 1995 aiming at

establishment of free trade in services by 2020. Five successive negotiations round took place

under AFAS with eight packages of commitments. In 2007, ASEAN Economic Community (AEC)

Blueprint was adopted. While it did not include a specific agreement on services it provided

actions, targets and timeliness to achieve liberalisation of trade in services in the region. Four

priority sectors for services trade integration were selected: air travel, telecommunications

and IT services (e-ASEAN), healthcare and tourism.

20

Table 15 suggests that ASEAN services commitments under AFAS, and in particular for the OIC

ASEAN members outweigh those contained in respective countries GATS schedules and/or

offered in the current Round of negotiations (DDA). However, the interpretation of this needs

to take into account the limitations of the underlying index. Also, it is very difficult to assess de

facto progress in implementation of the services commitments and existing anecdotal evidence

suggests only very limited progress.

21

ASEAN-China

The negotiations on the ASEAN-China free trade agreement started in 2001 and the frame-

work agreement was signed the following year, just after China’s WTO accession.

22

30 The

Agreement on Trade in Goods was signed in 2004 and implemented in mid-2005. This has

become the world’s third largest FTA by trade volume after the European Economic Area and

the North American Free Trade Agreement (Lakatos and Walmslay, 2012). The trading bloc’s

population of some 1.7 billion exemplifies its global potential.

20

Logistics services were added to the list at a later stage

21

For a more detailed discussion see CARIS (2011).

22 The section on ASEAN-China draws from the text of CARIS (2011) report for the European Commission DG

TRADE, Economic Integration in South East Asia and the Impact on the EU