The meeting of the Trade Facilitation Committee at the World Trade Organization (WTO) continued its analysis of how to mitigate the effects of the pandemic. Its members decided to compile COVID-19 practices and shared the experiences of the public and private sector in facilitating trade and reducing trade barriers with respect to medicines and medical products.
At the meeting held on 26 and 27 January 2021, the European Union (EU) proposed to the WTO Secretariat to prepare a document containing the contributions and responses to COVID-19 that members and observers provided to the committee.
According to WTO press release“The compendium would help identify key difficulties and challenges that members and businesses have encountered when importing or exporting goods during the crisis, as well as particular reforms and changes they have made in response.”
World Customs Organization
The EU proposal received support from a dozen members. Several expressed concern about duplicating work already being done at the World Customs Organization and suggested using the compendium as a basis for possible recommendations. Thus, “This organization was invited to provide an update on its extensive work in collecting, analyzing and sharing information on Members' responses to the COVID-19 pandemic.”, indicates the WCO communicationAn amended proposal limiting the focus to the compendium document was subsequently circulated to members for review.
Public and private contributions
Regarding the experiences of the public sector, the Director General of Sri Lanka Customs Department The Ministry of Health made a presentation on the initiatives and mechanisms adopted to ensure the smooth flow of essential medical supplies and other basic products during the pandemic. “One of the most important aspects now is the management of the importation of COVID-19 vaccines,” the communication says.
Meanwhile, Global Alliance for Trade Facilitation (a unique public-private platform dedicated to facilitating international trade) made a presentation on its work with the US-ASEAN Business Council to share experiences gathered regarding the movement and approval of COVID-19 vaccines, in order to highlight potential issues.
Ratification by the United Kingdom
At the meeting, the WTO Secretariat provided an update on members' ratifications and implementation of the Trade Facilitation Agreement (TFA). In this regard, the additional ratification of the United Kingdom, a country that has deposited an instrument of continuing acceptance on January 1, 2021.
Recall that the TFA entered into force in February 2017, after more than two-thirds of members accepted the agreement: 153 of the 164 WTO members have ratified it.
“The implementation rate of TFA commitments is currently just under 70% for all WTO Members,” the Secretariat said. For developing countries and least-developed countries (LDCs), the rate is just over 60%.
The Secretariat noted that 84 per cent of LDCs (26 members) complied by the deadline of 22 February 2020 with the notification of final dates for the implementation of their Category B commitments, while nine LDCs requested an extension; four of these LDCs have already notified the dates, while the remaining five are required to do so by 21 February 2021.
With regard to TFA Category C commitments, 24 LDCs (75%) have provided indicative dates for implementing these commitments.
Several LDC members called for flexibility regarding the notification deadline, noting that capacity constraints have been exacerbated by the COVID-19 pandemic.
Under the TFA, Category B covers TFA provisions that developing countries and LDCs will apply during transition periods determined by them and set out in notifications to the WTO.
Recall that the Trade Facilitation Agreement, concluded at the WTO Bali Ministerial Conference in 2013, contains provisions to expedite the movement, release and clearance of goods, including goods in transit. It also sets out measures for effective cooperation between customs and other competent authorities on trade facilitation and customs compliance issues. In addition, it has provisions for technical assistance and capacity building in this area.
Given the need to conduct the first review of the implementation of the AFC, five committee meetings were planned for 2021. The next meeting will be on 3 and 4 March.
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