National administrations are able to use modern procedures to improve controls, ensure a proper collection of revenue owed, while contributing to economic development by strengthening trade and encouraging foreign investment. By ratifying the TFA, countries have embarked on a series of reforms aimed at reducing border bureaucracy, from unlocking and unlocking assets to enhanced cooperation between border authorities. It is estimated that the implementation of TFA reforms could reduce trade costs by an average of 14.5% and create about 20 million jobs – the vast majority in developing countries. The trade costs that the TFA is supposed to address are significant and vary considerably between regions and groups of countries. This cost corresponds to a value tariff of about 170% for a typical industrial country and 219% for a typical developing country. Inefficient business procedures appear to account for a significant portion of these costs, which would decrease by an average of more than 14% as a result of the ESA. The 2015 World Trade Report, released by the WTO on 26 October 2015, estimates that the TFA will increase world trade by $750 billion to $1 trillion (USD) per year (perhaps more in ideal circumstances, such as full implementation) and is expected to boost global gross domestic product (GDP) growth by 0.5% per year. WTO members continue to ratify the TFA. When the agreement is finally in force, it promises to make a strong contribution to the revival of international trade at a time when such a rejuvenation is urgently needed. Once it is in place, it will be essential to monitor the implementation of the AFA in order to measure their progress, identify problems and assess the proper functioning of the S-D provisions of the agreement. The OECD also allows countries to identify their strengths and weaknesses in trade facilitation, prioritize policy areas, and better target technical assistance and capacity building.

IFTs measure not only in absolute terms the actual measure of trade facilitation, but also their performance relative to others, using a series of quantitative measures in key areas of the border process. The Trade Facilitation Policy Simulator allows you to quickly get an overview of the indicators and key indicators that fuel the overall performance of a selected country and to compare the selected country with other countries. It also simulates potential policy reforms: by modifying data in certain policy areas, you will get a “treatment” that will show the impact of policy changes on the overall performance of the selected country and its relative performance relative to other countries. The information received can be shared, referenced or downloaded. It is significant that these benefits are most felt by developing countries and will give them a significant boost when they try to accelerate their economic growth and improve living standards. Unlike the TFA, regional trade agreements (ATRs) that deal with trade facilitation generally do not contain s-D provisions and implementation aid.

Andrew Verboncouer • (920) 562-9601 •