According to a WTO publication launched on 14 November, the implementation of its Trade Facilitation Agreement (TFA) would provide a huge boost to trade, foreign investment, export diversification and participation in global value chains, particularly for developing and least-developed economies.
The book, “Trade Costs and Inclusive Growth: Case Studies Presented by WTO Chair-Holders”, examines how the WTO’s Aid for Trade initiative can assist with implementing the TFA, the importance of mainstreaming trade into national development strategies, and the potential impact of the TFA in various regions.
The book was launched at the opening of the WTO Chairs Programme (WCP) annual conference in Geneva. Initiated in 2010, the WCP aims to enhance knowledge and understanding of the multilateral trading system among academics and students in developing countries through teaching, research and outreach activities in academic institutions.
You will recall that the TFA is unique in that the requirement to implement the agreement is directly linked to each WTO member’s capacity to do so. In addition, the TFA states that assistance and support should be provided to help members achieve that capacity.
According to the WTO, the book underlines that the readiness of the international community to provide such assistance is key in determining how speedily and fully the provisions of the TFA are realised. This point is reinforced by the studies in this book that show how Aid for Trade can and has played a catalytic role in making possible trade facilitation reforms.
The TFA will enter into force once two-thirds of the WTO membership has formally accepted the agreement. To date, 96 members have ratified, meaning that over 87% of the ratifications needed for entry into force have now been received.