The Trade Facilitation Agreement (TFA) has increased trade by more than USD 230 billion, according to the latest study by the World Trade Organization (WTO) released on Monday (27.03.2023).
The report, based on estimates for the years 2017-2019, indicated that the implementation of the multilateral agreement generated a 5% rise in world agricultural trade, 1,5% in manufacturing trade and 1,17% in total trade.
The TFA, which has been officially in force since February 2017, sets out a series of measures for the rapid movement of goods across borders, which are based on best practices from around the world. It also sets out measures for effective cooperation between customs and other competent authorities in matters of trade facilitation and customs compliance.
The WTO explained that the TFA's contributions are largely due to the growth of trade in the Least Developed Countries, where agricultural exports increased by 17%, manufacturing exports by 3,1% and total exports by 2,4%.
Estimates also point to a 16% to 22% increase in agricultural trade between the two countries. developing members who have made AFC commitments.
In 2015, the WTO predicted that full implementation of the TFA could lead to an increase of up to 2,73% in global trade flows by 2030.
Developed WTO member countries have undertaken to immediately implement all provisions of the Agreement upon its entry into force, while developing and least-developed countries have more time and assistance available.
The panel below provides the percentage of TFA implementation commitments made to date by all WTO members.
The estimates presented above were presented at the meeting of the Committee on Trade Facilitation (22.03.2023) at the request of WTO members, in line with the recommendations of the first TFA review in 2021.
The next committee meetings are scheduled for June 15-16 and October 3-5. (WTO News)
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