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Iraqis Prepare to Ease Trade Obstacles to Join WTO
FrontLines - April 2009
By Florin Pasnicu
More than 1,000 trucks each day pass the “Ibrahim Khalil” border crossing between Iraq and Turkey. Located near Zakho in the Dohuk province, the crossing is one of the main commercial
links between Iraq and the rest of the world.
In March, customs experts from USAID’s Tijara Provincial Economic Growth Program went there to review the procedures for commercial crossings with an eye towards streamlining border formalities and speeding the movement of imports into the country.
The larger goal behind the assessment, however, was to reform and modernize Iraq’s customs procedures so it can join the World Trade Organization (WTO), which sets global trade rules.
Iraq applied for WTO membership
in 2004 and opened talks with the WTO headquarters in Geneva in 2007. Since April 2008, USAID has supported Iraq’s WTO membership through Tijara—the Arabic word for “trade.”
Tijara’s efforts have included training more than 600 government
officials, lawyers, judges, and agriculture and health experts. They studied WTO accession procedures, technical
barriers to trade, sanitary and phyto-sanitary measures, intellectual property rights, customs, tariffs, and services. Project representatives also helped draft and review trade legislation and administrative procedures.
“We deeply appreciate the technical support that we received from Tijara in the areas of capacity building, WTO awareness, and drafting WTO-compliant legislation, which helped us advance our accession
efforts,” said Iraq WTO Coordinator Sami Khairallah, who is also the deputy director general of the Foreign Economic Relations Department of the Ministry of Trade.
Customs officers at work in the “Long Room” at Iraq’s Ibrahim Khalil border crossing with Turkey, where duty collection and import entry take place.
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“We look forward to benefiting
from Tijara’s assistance in the next technical steps—preparing the goods and services offers and reviewing the laws that affect trade in goods, services,
and intellectual property,” he added.
Iraq’s accession in the WTO, which is expected to take several years, is likely to increase access to raw materials including crop seeds, fertilizers and construction supplies, and export markets for Iraqi businesses operating in oil, gas, and food products. It will also provide Iraqi consumers expanded access at lower prices to a wider variety of consumer goods, transportation, communications,
and financial services.
The standardization of trade practices should also allow for significant savings in trade transactions costs and will generate
increased opportunities for Iraqi exporters of agricultural products. The enforcement of intellectual property rights will provide incentives for foreign investors to set up businesses and create jobs. Fiscal revenues should also increase, allowing the country to enjoy more stable international trade relations.
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