Trade Facilitation

Trade Facilitation

Trade facilitation covers numerous topics, and is sometimes characterized simply as measures that reduce the costs associated with trade. More specifically, trade facilitation measures include the streamlining of clearance procedures, meeting new international security requirements-particularly those promoted by the World Customs Organization (WCO), and reducing the transaction costs at international borders. USAID trade facilitation assistance has primarily focused in two areas: customs modernization and transport corridor efficiency. Customs procedures and customs clearance are challenges in most developing countries. Transportation bottlenecks are often a significant impediment to developing countries' ability to respond to international demand; rural producers may be particularly affected.

Recognizing that reducing transportation costs significantly increases incomes, USAID programs in countries like Georgia, Macedonia, Afghanistan, Egypt, Guatemala, and Ghana have cut the average time to ship, process, and deliver goods by an average of 31 days.

Trade facilitation has been a key activity area of TCBoost, including the following activities:

East Africa Corridor Diagnostic Study: The East Africa Corridor Diagnostic Study (CDS) is a regional transit corridor analysis that will allow policy makers, implementers and donors to achieve a clear understanding of transit delays and costs along the Northern and Central Corridors. The CDS will develop a list of priority projects based on a sound cost/benefit analysis of specific interventions. TCBoost is implementing the CDS under the guidance of a Task Coordination Group chaired by the East African Community and is jointly funded by USAID and DFID. CDS data and findings will ultimately feed into a website and online GIS database and be presented in communications products, including a series of short films. For more information about the CDS, please visit the East Africa Corridors website .

West Africa Transport Logistics Analysis: TCBoost is collaborating with the USAID West Africa Trade Hub to develop a comprehensive methodology to analyze the efficiency of five transport corridors in West Africa: Tema-Ouagadougou, Lome-Ouagadougou, Ouagadougou-Bamako, Abidjan-Ouagadougou, and Abidjan-Bamako. The joint TCBoost-West Africa Trade Hub reports analyze the time, cost and reliability of the transport corridors, as well as present critical information and recommendations regarding the legal and institutional frameworks that impact corridor performance. Read first corridor analysis-Tema-Ouagadougou (2,165kb - pdf).

TCBaseline Border Assessment Tool. Informed by WCO and World Trade Organization (WTO) standards and by best practices of Customs administrations throughout the world, the TCBaseline tool can be used by a small assessment team to identify and address operational and administrative issues in developing-country Customs administrations in two to three weeks, without sacrificing quality or breadth of analysis. TCBaseline can help USAID, host-country Customs administrations, and other agencies and organizations conduct concise and cost-effective assessments of a country's Customs and border operations and procedures from both the qualitative and quantitative perspectives and establish a "baseline" to measure the success of technical assistance and training. Learn more about TCBaseline (6,865kb - pdf).

Authorized Economic Operator Handbook. An Authorized Economic Operator (AEO) program is often the first step in moving a developing country's customs administration toward voluntary, informed compliance consistent with internationally accepted risk management concepts. The Authorized Economic Operator Handbook, developed by TCBoost, provides practical, step-by-step guidance and best practice examples to developing country customs administrations on establishing AEO programs, including ways to work collaboratively with the private sector to secure the supply chain while continuing to facilitate trade, maintain customs controls, and protect revenue. Read AEO Handbook (3,771kb - pdf).

Trans-Kalahari Corridor Regional AEO Program Analysis. TCBoost collaborated with the Southern Africa Trade Hub (SA Trade Hub) to assess the readiness of Trans-Kalahari Corridor Customs administrations (South Africa, Botswana and Namibia) to implement a regional Authorized Economic Operator (AEO) program. The resulting analysis, found here, presents a snapshot of each customs' administrations status vis-à-vis the regional program, and recommends concrete steps for moving forward. Read Trans-Kalahari Corridor Regional AEO Program Analysis (270kb - pdf) .