Establishing Well Functioning National Trade Facilitation Bodies (NTFBs)
In the OIC Member States
110
As noted by UNCEFACT, NTFBs can be organized/structured on three levels: strategic (e.g., how
policy directions and priorities will be determined); operational (e.g., activities to be undertaken);
and technical (e.g., who will provide technical expertise).167 It is helpful to bear these three distinct
pillars in mind when considering the full realm of issues to be addressed in defining an NTFB’s
structure.
 Seniority of stakeholders/members
It is fundamental to identify the appropriate stakeholders from the private and public sectors.
Representation of stakeholders should be representative – i.e., all stakeholders with an interest in
trade facilitation should be represented (e.g., all industry sectors should be represented, as well as all
types and size of businesses, and institutions taking part in international trade). Perhaps the most
critical aspect to ensure is that stakeholder representatives are sufficiently senior in terms of their
knowledge, expertise and competence.168
 Funds
Lack of funding is a challenge that can prevent the establishment an NTFB as well as an NTFB’s
continued/long-term operation (and thus this recommendation also straddles “phase two”,
addressed below).
Funding would need to cover the NTFB’s budget (e.g. staff and the NTFB’s activities169) and thus the
level of funding will depend on the structure of the NTFB in order to ensure the optimum functioning
of the NTFB. Funding should be sustainable. In this regard, establishing the NTFB as a legal entity can
assist in ensuring appropriate funding arrangements.170
A source and structure for funding needs to be decided and the lack of financial resources
(particularly felt by developing countries) may result in a need for innovative solutions.
Various options exist for the funding of NTFBs including the following options, among others:
 Financial contributions from private sector organisations.
 Government funding, from its own budget.
 Public-private partnership funding.
 ‘In kind’ funding, e.g. in the form of office space and maintenance, and office equipment.
 The supplementation of core funding by additional, ad hoc funding for specific trade
facilitation studies. For example, this additional, ad hoc funding could be sourced from trade
and industry sectors that would directly benefit from the studies.
Finally, it is recommended that accounts be open and available to all relevant entities for audit
purposes.
 Terms of reference
167 Ibid., p. 8.
168 See, e.g., ibid., pp. 7 – 8 which includes inter alia a non-exhaustive list of public and private actors that may be members of NTFBs.
169 For a breakdown of items that may be included in a budget – from initial capital expenditure to operating costs – see ibid., pp. 16 –
17.
170 See ibid., p. 13.