A Review of Technical Assistance and Capacity Building Initiatives for Trade Facilitation

Abstract

Trade facilitation can have a significant impact on economic development and poverty reduction. Studies by the OECD Trade Committee show that the benefits of trade facilitation reforms are multiple and occur on different fronts and for different stakeholders (i.e. government, private sector and consumers). More efficient international trade procedures and customs operations can significantly reduce trade transaction costs, which results in increased volumes of trade and welfare gains, particularly for developing countries. They can also increase competitiveness and the attractiveness for foreign investors, enhance revenue collection and help prevent corruption and smuggling. Hence, committing resources to support such reforms is a sound and cost-effective investment that can have multiplier effects for development.This Review of Technical Assistance and Capacity Building Initiatives for Trade Facilitation aims to contribute to current WTO negotiations on trade facilitation, which recognise that the adoption of multilateral rules on trade facilitation and implementation of some reforms requires technical assistance and capacity building. The review provides an overview of past technical assistance and capacity building for trade facilitation and highlights ways to enhance aid effectiveness based on past experiences.