REPORT (2024) OF THE COMMITTEE ON trade facilitation
TO THE COUNCIL FOR TRADE IN GOODS

1._       This report covers the period from 6 October 2023 to 24 October 2024.[1]

2._       During the period under review, the Committee on Trade Facilitation (CTF) held three formal meetings: on 16-17 April 2024 (_G/TFA/M/28); on 10-11 July (_G/TFA/M/29); and on 22-24 October (_G/TFA/M/30^[2]).

3._       The CTF also held one informal meeting on 15 November 2023 to address the regularization of the Committee's Experience Sharing/Thematic Discussions (agenda item 2 of the regular meetings of the CTF), as reflected in the Chair's Summary Report (_JOB/TF/242).

4._       Ms. Chanikarn Dispadung (Thailand) was elected Chairperson of the Committee for the period 2024‑2025 on 31 May 2024.

5._       During the period under review, the work of the CTF focused on the following areas: (i) matters relating to the implementation and administration of the Trade Facilitation Agreement (TFA); (ii) experience sharing/thematic discussions; (iii) MC12 implementation matters; (iv) a document on good practices and building blocks of successful NTFCs; (v) update on the work of the informal working group on MSMEs; (vi) highlights of a panel on humanitarian aid for trade; (vii) Indonesia's customs procedures for intangible products; (viii) a dedicated session on transit issues of landlocked country members; (ix) a dedicated session on technical assistance and capacity building; and (x) the work of the Trade Facilitation Agreement Facility (TFAF).

1  Matters relating to the implementation and administration of the Trade Facilitation Agreement (TFA)

1.1  Ratifications

1.1.  In 2024, three WTO Members ratified the TFA: Comoros, Timor-Leste, and the Bolivarian Republic of Venezuela. This brought the number of Members who have ratified the TFA to 160 (96% of the Membership).

1.2  Notifications

1.2.  The Committee reviewed notifications received under the TFA at each of its meetings during the period under review, and a full list of notifications received is included in Annex 1.

1.2.1  Transparency notifications

1.3.  Under Section I of the Agreement, Members are required to submit a number of transparency notifications under Articles 1.4 (import, export and transit procedures); 10.4.3 (single window); 10.6.2 (customs brokers) and 12.2.2 (exchange of customs information). During the period under review, the Committee received 25 transparency notifications.

1.2.2  Implementation notifications

1.2.2.1  Articles 15 and 16

1.4.  Developing and least developed country Members wishing to invoke the special flexibilities of the TFA are required to do so under Section II of the Agreement (Articles 13 to 22). Under Section II, Members are required to notify their implementation commitments to the Committee in accordance with Articles 15 and 16.

1.5.  During the period under review, four Members (Djibouti, Qatar, Togo and Uganda) submitted notifications under Article 16.

1.6.  Eight Members (Angola, Bahrain, Dominican Republic, Egypt, Eswatini, Moldova, Saint Lucia and Uganda) notified technical arrangements and progress in the implementation of category C provisions.

1.2.3  Article 17

1.7.  The Committee received 22 requests from 19 Members for an extension of definitive dates for implementing category B and C commitments under article 17 of the TFA ("Early Warning Mechanism"), covering 53 measures. The Committee received requests from eight Members (Argentina, Ecuador, Maldives, Namibia, Nicaragua, Pakistan, Peru and Seychelles) for a second extension to the notified implementation dates, covering 13 measures. Additionally, four Members (Ecuador, Namibia, Nicaragua and Togo) requested a third extension to the notified implementation dates, covering 13 measures.

1.2.4  Article 19

1.8.  Article 19 of the TFA allows for developing and least developed country Members to shift notified provisions between categories B and C. During the period under review, the Committee received five notifications under Article 19 from four Members (Kenya, Lao People's Democratic Republic, Myanmar and Uganda), one reflecting a shift of one provision from category B to category C and four indicating shifts of 15 provisions from category C to category B.

1.2.5  Accelerated implementation

1.9.  Seven Members (Cambodia, Egypt, Eswatini, Kenya, Maldives, Myanmar, and Sri Lanka) notified the accelerated implementation of a total number of 48 TFA provisions implementation.

1.3  Notifications regarding technical assistance and capacity building support

1.10.  In accordance with Article 22 and of the TFA, donor Members are required to provide information regarding their provision of support for capacity building (Article 22.1) as well as regarding their process and mechanisms through which to receive assistance (Article 22.2). During the period under review, three donor Members (Japan, United Kingdom and United States) submitted notifications in accordance with these articles. Eleven developing Members and least developed country Members (Bangladesh, Democratic Republic of the Congo, Costa Rica, Cuba, Ecuador, Eswatini, Paraguay, Saint Lucia, Seychelles, Sri Lanka and Uganda) submitted notifications under Article 22.3, which requires Members seeking technical assistance and capacity building support to notify their contact points.

2  Experience sharing/thematic discussions

2.1  Regularizing the Committee's Experience Sharing/Thematic Discussions

2.1.  At the informal meeting of 26 July 2023, the Committee considered identifying themes to be covered annually and producing a tangible output based on shared experiences. The Chair asked the Committee to suggest at least ten topics for experience sharing, which were circulated in document _JOB/TF/238. At the meeting of 3-5 October 2023, Members were asked to submit their top five priorities by 30 October 2023, which were consolidated in document _JOB/TF/241.

2.2.  The Committee held an informal meeting on 15 November 2023, summarized in the Chair's report in document _JOB/TF/242. Building on the topics proposed by Members and the interest expressed at the meeting, the Chair proposed that the theme "Use of Digitalization to Facilitate Trade" could be considered the experience-sharing subject for 2024. The Chair proposed the following sequencing of the topics across the three Committee meetings in 2024:

a._    Meeting of 16-17 April 2024

i._     Utilizing data and technology to simplify trade;

ii._    Promoting the implementation of the WTO Trade Facilitation Agreement (TFA) through digital revolution and intelligence technologies;

iii._   Digitalization of border procedures (digitization of customs formalities, document submission, and payments).

b._    Meeting of 10-11 July 2024

i._     Adapting formalities and documentation requirements to facilitate trade.

c._    Meeting of 22-24 October 2024

i._     Single window for trade facilitation.

2.3.  The Chair invited Members to submit comments on the suggested topics, and with none received, the Committee followed this schedule in 2024.

2.4.  The Committee reviewed the possibility of future topics or themes for 2025 at the meeting of 22-24 October 2024.

2.2  Experience-sharing presentations

2.5.  During the period under review, the Committee heard the following experience-sharing presentations from WTO Members:

a._    Meeting of 16-17 April

i._     Utilizing data and technology to simplify trade

·_        "Experiences on Accumulation and Utilization of Data in Japan Customs" – Presentation by Japan

·_        "Ecosystem of Trust Project and Trade Digitization" – Presentation by the United Kingdom

·_        "Data driven risk-based border approach" – Presentation by Peru

ii._    Promoting the implementation of the WTO Trade Facilitation Agreement (TFA) through digital revolution and intelligence technologies (the TF Committee could develop an evolving compilation of Members' experience-sharing on this theme)

·_        "Smart Customs" – Presentation by China and communication from China, Kyrgyz Republic and Mongolia (_G/TFA/W/90/Rev.2)

·_        "Pakistan Single Window Integrated Risk Management System – Trade Facilitation through Data Driven Decision Making" – Presentation by Pakistan

·_        "The Dominican Republic's experience of the use of digitalization to facilitate trade" – Presentation by the Dominican Republic

iii._   Digitalization of border procedures (digitization of customs formalities, document submission, and payments)

·_        "Digitalizing Port Processes in Guatemala" – Presentation by Guatemala

·_        "Digitalization of cross-border transit procedure: SIGMAT (Interconnected System for the Management of Goods in Transit)" – Presentation by Togo

·_        "Transparency through Digitalization: Import Process" and "Digitalization of Documents: E-Phyto Certificates" – Presentations by the United States

b._    Meeting of 10-11 July 2024: Adapting formalities and documentation requirements to facilitate trade

·_        "Construction of Smart Customs - China's practice to promote trade facilitation driven by digitalization" – Presentation by China

·_        "Driving digitalization through public-private collaboration" – Presentation by Colombia

·_        "Utilizing digitalization in the ASEAN Customs Transit System" – Presentation by Lao PDR

·_        "Digitalization and the Transit System of the Republic of Moldova" – Presentation by the Republic of Moldova

·_        "Modernization of the IT Platform for health procedures in Ecuador" – Presentation by Ecuador

c._    Meeting of 22-24 October 2024: Single window for trade facilitation

·_        "China's Single Window Innovation Driven by Digitalization and New Technologies" – Presentation by China

·_        "El Salvador's Digitalization Progress in Implementing the Single Window" – Presentation by El Salvador

·_        "Implementation of National Maritime Single Window of Georgia – Roadshow to Digitalization" – Presentation by Georgia

·_        "Implementation of Single Window in Jamaica" – Presentation by Jamaica Customs Agency and UN Trade and Development (UNCTAD)

·_        "Single Window for Trade Facilitation: Japan's Experience" – Presentation by Japan

i._     Other topics of Experience Sharing:

·_        "First Time Release Study" – Presentation by Bolivia

·_        "Declaration on Best Practices on Pre-Arrival Processing by the Americas Partnership for Economic Prosperity" - Presentation by Chile

·_        "Digitalizing Trade Controls for Improved Waste Management and Recycling" – Presentation by Fiji and the Global Alliance for Trade Facilitation (GATF)

·_        "Activities Carried out to Digitize Processes at the Border in Order to Simplify Trade Procedures" – Presentation by the Kyrgyz Republic

·_        "Central American Strategy for Trade Facilitation and Competitiveness" – Presentation by Nicaragua and the Secretariat for Central American Economic Integration (SIECA)

3  MC12 IMPLEMENTATION MATTERS: Improving the Functioning of the Committee on Trade Facilitation (_G/L/1474; _G/TFA/W/88; _G/C/W/824/Rev.1; _JOB/TF/234; _JOB/TF/237)

3.1.  On 9 March 2023, the Chairperson of the Council for Trade in Goods (CTG) circulated a communication (_JOB/CTG/24) requesting discussions within its subsidiary bodies to identify areas for improvement in their functioning.

3.2.  The process carried out by the Committee in 2023 was consolidated in the draft Chair's Report in document _JOB/TF/239.

3.3.  At the 3-5 October 2023 meeting, the Chair invited delegations to submit any additional comments to the draft report. The LDC Group requested that certain views be reflected, and the report was amended to add footnote 10 in document _JOB/TF/239/Rev.1. The report was finalized and submitted to the CTG in document _G/L/1515, with no further comments being received.

3.4.  The eAgenda platform was introduced on a trial basis at the 16-17 April 2024 meeting of the Committee, and Members decided to adopt it for future meetings of the Committee at the 10‑11 July 2024 meeting.

4  Document containing good practices and building blocks of successful NTFCs

4.1.  As part of the first four-year review of the TFA (_G/TFA/2, 9.3(v)) conducted in 2021, the Committee decided to draft a document outlining good practices and building blocks for successful NTFCs based on experience-sharing sessions delivered at prior CTF meetings.

4.2.  At the request of the Committee, the Secretariat circulated drafts incorporating input from Members, including principles shared by the United States in document _G/TFA/W/91 (_G/TFA/W/96 and _G/TFA/W/96/Rev.1).

4.3.  At the meeting of 3-5 October 2023, the Chair invited Members to submit any additional views in writing. Based on input received, the previous Chair (Mr. Carlos GUEVARA, Ecuador) undertook consultations with Members and circulated a revised draft in document _G/TFA/W/96/Rev.2 that was discussed at the 10-11 July and 22-24 October 2024 meetings. The Committee will continue discussing with the aim of finalizing the document.

5  Update on the work of the Informal Working Group on Micro, Small and Medium-sized Enterprises (MSMEs)

5.1.  At the meeting of 16-17 April 2024, the Coordinator of the Informal Working Group on Micro, Small and Medium-sized Enterprises (MSMEs), the Ambassador of Barbados, provided an update on its work linked to the Trade Facilitation Committee for information purposes only, in informal mode.

6  Highlights on the Global Alliance for Trade Facilitation Panel on "Humanitarian Aid for Trade"

6.1.  At the 10-11 July meeting, the United States reported on the humanitarian Aid for Trade session organized by the Global Alliance for Trade Facilitation during the Fourth Aid for Trade review. Moderated by USAID, the session featured discussions from stakeholders, including DHL, UNICEF, and Madagascar's customs officials, focusing on how digitalization and other processes can improve humanitarian response efforts.

6.2.  Key takeaways included the importance of reducing red tape through the Trade Facilitation Agreement, the need for cooperation between government agencies, the private sector, and humanitarian organizations, and the role of digital customs procedures in expediting the clearance of critical supplies, particularly within a 72-hour window. The United States emphasized the ongoing challenges of moving humanitarian aid across borders during crises, which have been discussed in the Committee, and expressed readiness to develop solutions in this area further.

7  Indonesia's Customs Procedures for Intangible Products

7.1.  The United States raised questions about Indonesia's customs procedures for intangible products. A series of questions and answers can be found in the _G/TFA/Q/IDN document series.

8  Dedicated session on transit issues of landlocked country members

8.1.  Under the first four-year review of the TFA (_G/TFA/2), the Committee decided that each Spring meeting of the Committee would include a discussion of transit issues of landlocked country Members up to the conclusion of the next review of the TFA.

8.2.  In the period under review, the dedicated session on transit issues took place during the 10‑11 July 2024 meeting. The programme consisted of two panels: (1) "Cross-border Coordination and Operational Cooperation" and (2) "Management of Transit Operations and Consignments at Border Crossing Inspection Points".

8.3.  The programme is attached in Annex 2, and presentations made during the session are available in the TFA Database and reflected in the minutes for the meeting (_G/TFA/M/29).

9  Dedicated session on technical assistance and capacity building

9.1  Revisiting the Dedicated Session on Technical Assistance and Capacity Building

9.1.  At the Committee meeting of 16-17 April 2024, a Member raised the suggestion that the Committee consider the effectiveness of the agenda of the Dedicated Session on Technical Assistance and Capacity Building (TACB), with a view to potentially reforming the existing agenda prior to this year's Dedicated Session.

9.2.  The current and former Chairs conducted consultations in April and July 2024, respectively. At the 10-11 July meeting of the Committee, the Chair reported that her consultations had highlighted several issues and areas for improvement for future Dedicated Sessions on TACB.

9.3.  Based on further consultations with Members, the Chair circulated two draft programmes of the Dedicated Session on TACB for Member's consideration on 3 and 26 September. An updated version was circulated to Members on 11 October 2024.

9.2  Dedicated Session on Technical Assistance and Capacity Building

9.4.  In accordance with Article 21:4 of the TFA, the Committee held its annual dedicated session on technical assistance and capacity building on 24 October 2023.

9.5.  The programme for the 2024 Dedicated Session included: (i) an opening reception on 23 October for informal exchanges between donors and beneficiaries; (ii) a session titled "Outlook for TACB for the Next Two-Year Period" which reviewed progress and provided updates on capacity building support, particularly focusing on the top-five category C provisions set to be implemented in the 2025-2026 period; (iii) "Panel I: Enhancing Coordination on TACB", to discuss domestic, regional, and international coordination challenges and opportunities; and (iv) "Panel II: How to Mobilize TACB for Sustained Reform", featuring a roundtable where Members shared experiences on securing technical assistance and capacity building for sustained reform efforts. The session concluded with a wrap-up discussion to reflect on lessons learned and the way forward.

9.6.  The programme is available in Annex 3, and presentations made during the session are available in the TFA Database and reflected in the minutes for the meeting (_G/TFA/M/30^[3]).

10  Trade Facilitation Agreement Facility

10.1.  During the period under review, the TFAF has carried out its activities in accordance with the work plan for 2023 (_G/TFA/TFAF/2) and for 2024 (_G/TFA/TFAF/6). TFAF's activities in the reporting period have focused on strengthening Members' capacity to engage with development partners for the implementation of the TFA. It delivered on this objective through in-country missions to advise NTFCs on TACB mobilization strategies and discussions with domestic development partners, through circulation of expression of interests from Members seeking partner's support for capacity building for category C measures, funding of project preparation grants, and funding of participation of selected capital-based delegates to share implementation experience and challenges in the CTF.

10.2.  In accordance with the new TFAF Framework, a draft work plan for 2025 (_G/TFA/TFAF/W/5) was prepared in cooperation with the Representative Group, which is made up of interested Members. Following the 22-24 October 2024 Committee meeting, Members were requested to approve a final version of the work plan to be circulated as document _G/TFA/TFAF/11.

10.1  Reporting by TFAF and other Annex D organizations

10.3.  During the period under review, TFAF provided written progress updates to the Trade Facilitation Committee in documents _G/TFA/TFAF/7 and _G/TF/TFAF/10 and made oral reports to the Committee meetings of 16-17 April and 22-24 October 2024. In addition, TFAF also produced its 2023 Annual Report in document _G/TFA/TFAF/8.

10.4.  TFAF also shared with Members a revised set of operational rules for consideration by Members in document _G/TFA/TFAF/W/4, and a report on technical assistance gaps contained in _G/TFA/TFAF/9. A report from Annex D and other partner organizations was circulated in document _G/TFA/TFAF/W/6.

11  Draft Annual Report to the Council for Trade in Goods

11.1.  The Committee reviewed the draft Report (2024) to the Council for Trade in Goods (_G/TFA/W/100) and requested the Secretariat to edit and update it to take account of the Committee's meeting on 22-24 October 2024.