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Establishing Well Functioning National Trade Facilitation Bodies (NTFBs)

In the OIC Member States

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WTO Members must comply with the WTO treaties. Thus, the inclusion of trade facilitation – and

specifically NTFBs – on the WTO agenda was very significant.

Genesis of WTO negotiations on Trade Facilitation

At the 1996 Singapore Ministerial Conference Ministers from WTO Members decided to focus on

particular issues as part of the Doha Development Agenda negotiations and to set up a number of

new working groups. These issues became known as the “Singapore issues”. Over time certain issues

were dropped from the agenda because they were perceived as too challenging to tackle, e.g.

investment and competition policy. By 2004, Members decided to focus on trade facilitation rather

than in the other challenging issues.

Culmination of negotiations: The WTO Trade Facilitation Agreement (TFA)

As part of the broader “Bali package”, WTO Members concluded negotiations on the WTO’s Trade

Facilitation Agreement at the 9

th

Ministerial Conference in Bali in December 2013. Pursuant to the

WTO’s Trade Facilitation Agreement, Members undertook certain obligations. Unlike other WTO

Agreements, the contours of substantive obligations under the TFA vary depending on the particular

circumstances of the respective Members and the extent of the obligations that Members agree to

accept. However, an obligation concerning NTFBs appears to apply to all Members. This obligation is

contained in Article 23.2 of the Trade Facilitation Agreement, which obliges “[e]ach Member [to]

establish and/or maintain a national committee on trade facilitation or designate an existing

mechanism to facilitate both domestic coordination and implementation of the provisions of the

Agreement”.

1.4.

Rationale For Establishing National Trade Facilitation Bodies (NTFBs)

Various reasons for the establishment of NTFBs are well documented. These include practical

reasons (i.e., their establishment facilitates trade) and legal reasons (i.e., WTO Members are now

legally obliged to establish NTFBs).

The following list provides an overview of the widely accepted inter-related reasons underlying the

rationale for establishment and maintenance of NTFBs. NTFBs are important:

As platforms for institutional coordination (between relevant agencies with trade facilitation

roles) and stakeholders' consultation, with public and private participation thus also

increasing confidence between the various actors.

To enable the planning and implementation of positive trade facilitation reforms. In this

regard, NTFBs may advise government and agencies with trade facilitation mandates on how

to most effectively work towards trade facilitation.

To foster trade facilitation in general, for example through:

o

The identification of issues affecting the cost and efficiency of the relevant countries’

international trade.

o

The development of measures aimed at reducing the cost and improving the

efficiency of international trade – e.g., the drafting of proposals and

recommendations for measures aimed at the simplification, harmonization and