The World Trade Organization (WTO) is an international organization that regulates global trade and commerce. The organization manages several trade agreements to ensure a level playing field for all participating countries. One such agreement is the Trade Facilitation Agreement (TFA).
The TFA was concluded during the Ninth Ministerial Conference of the WTO in Bali, Indonesia, in December 2013. The agreement aims to simplify and harmonize the customs procedures of the participating countries to reduce costs and delays in trade. The agreement also seeks to promote transparency, predictability, and efficiency in the global trade system.
The TFA is a legally binding agreement that requires the participating countries to implement a set of provisions related to trade facilitation. The agreement provides for the creation of a single window system for customs clearance, the establishment of a National Committee on Trade Facilitation, and the provision of technical assistance and capacity building to developing countries.
The full text of the TFA is available on the WTO website. The agreement is divided into eleven articles, each covering a specific aspect of trade facilitation. The articles are as follows:
• Article 1: Publication and Availability of Information
• Article 2: Opportunity to Comment and Information Before Entry Into Force
• Article 3: Disciplines on Fees and Charges Imposed on or in Connection with Importation and Exportation
• Article 4: Formalities Connected with Importation and Exportation
• Article 5: Border Agency Cooperation
• Article 6: Risk Management
• Article 7: Post-Clearance Audit
• Article 8: Release and Clearance of Goods
• Article 9: Review and Appeal
• Article 10: Single Window
• Article 11: Technical Assistance and Capacity Building
The TFA entered into force on February 22, 2017, following its ratification by two-thirds of the WTO members. As of August 2021, 166 members have ratified the agreement. The TFA is expected to have significant benefits for the global economy, including increased efficiency and reduced costs of trade transactions.
In conclusion, the WTO Trade Facilitation Agreement is a crucial agreement that aims to simplify and harmonize customs procedures to promote transparency, predictability, and efficiency in the global trade system. The full text of the agreement is available on the WTO website and is divided into eleven articles covering various aspects of trade facilitation. The TFA has already been ratified by 166 WTO members and is expected to have significant benefits for the global economy.