The Trade Facilitation Agreement (TFA) obliges the WTO members to reduce red tape, which poses a burden for moving goods across borders for traders. Trade facilitation – the simplification, modernization and harmonization of export and import processes – reduces global trade costs and combats corruption.
Full implementation of the TFA is estimated to reduce global trade costs by an average of almost 15% and the average time needed to import by 47%. In addition, estimates predict a 91% reduction of the current average export time. In the longer term, the TFA is expected to add up to 2.7% a year to world export growth and more than 0.5% a year to world GDP growth.
The Committee on Trade Facilitation will closely monitor implementation of the provisions of the FTA in the coming years, share best practices, seek solutions and aid programs for countries that lack the capacity to implement certain provisions of the agreement.
Kadišienė was appointed as the Chair of the Committee on Trade Facilitation of the WTO at the latest committee meeting on Thursday in Geneva, after the Swedish Ambassador Daniel Blockert’s term as the Chair expired.
