IFC SmartLessons

doi:http://dx.doi.org/10.1596/39399

Report Series: IFC SmartLessons

SmartLessons is an awards program to share lessons learned by the International Financial Corporation (IFC) during development-oriented advisory services and investment operations.

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PortNet in Morocco: Creating a Strategic Alliance between Port and Foreign Trade Communities for a Competitive Economic Operator
(International Finance Corporation, Washington, DC, 2017-01) Hafsi, Nadia
In 2008, Morocco’s National Ports Agency launched a project to create a national single-window platform for Morocco’s foreign tr ade. The process was long and difficult, and its success is owing in large part to the leadership and focus demonstrated by PORTNET S.A., the company created in 2012 to be in charge of the project. This SmartLesson describes the steps PORTNET took to forge a strategic alliance between public and private stakeholders in Morocco to achieve a common, mutually beneficial aim: streamline Morocco’s foreign trade procedures and improve its business climate.
Jamaica’s Trade Facilitation Task Force: Involving Public and Private Sectors to Improve Competitiveness
(International Finance Corporation, Washington, DC, 2017-02) Tomlinson, Kanika Y.
Jamaica is taking steps to strengthen its trade environment as a way to improve the ease and ways of doing business and stimulate growth. In February 2015, Jamaica formed its National Committee on Trade Facilitation, known as the Trade Facilitation Task Force (TF2). During its first year, theTask Force had fruitful consultations with its members in the public and private sectors on how to increase trade facilitation in Jamaica. These consultations laid the foundation for the creation of a Trade Facilitation Project Plan, currently in use as a guide for the execution and monitoringof Jamaica’s trade-competitiveness activities. This SmartLesson describes the establishment of the Task Force and the progress of the Project Plan— and shares key lessons learned along the way.
Taking Advantage of a Window of Opportunity: The Rwanda Electronic Single Window for Trade Efficiency
(International Finance Corporation, Washington, DC, 2017-02) Odhiambo, Alban; Kamajugo, Richard; Zizane, Jackie
Rwanda’s government and private sector took a bold step towards achieving a critical reform agenda with the design and implementationof a single window for international trade system. This implementation marked the first successful collaboration among Rwanda’s numerous agencies that over see the country’s cross-border trade. Addressing the demands of a diverse group of stakeholders was certainly daunting, but effective stakeholder engagement and change management efforts have produced results that are exerting a major impact on the efficiency of goods into and transiting Rwanda. Driving the Single Window project was an aspiration for greater collaboration at the level of government-to-government, business-to business and government-to-business. Rwanda’s membership in the East African Community, which is a Single Customs Territory was another critical factor. By addressing national needs and incorporating a regional focus and outreach in the management of cargo, the Rwanda Electronic Single Window has achieved success.
Taking the First Step to Facilitate Trade in Sudan: Setting Up a National Committee on Trade Facilitation
(International Finance Corporation, Washington, DC, 2017-02) Adam, Ali Giddo
The Republic of Sudan’s seaports used to be known for congestion resulting from the slow processing of imported goods. In response, the government created an ad hoc National Committee on trade facilitation to help streamline the processing of goods coming in and to facilitate trade. This smart lesson describes the steps taken in setting up the National Committee on Trade Facilitation and the challenges involved.
Opening Opportunities: Kenya’s Electronic Single Window Connects East Africa to Global Value Chains
(International Finance Corporation, Washington, DC, 2017-02) Sichilima, Mupelwa; Gikonyo, Aknyi
One of the most challenging experiences for businesses involved in cross bordertrade along Kenya’s border points is the clearance of imports and exports. Until 2015, the process of clearing cargo was largely manual. More than 29 different government agencies with different roles in the clearance of international trade goods required businesses to apply for and submit different sets of cargo clearance documents. The World Bank Group’s trade and competitiveness team, through the Kenya investment climate program, has supported the government of Kenya in implementing the Kenya National Electronic Single Window System, also known as the Kenya TradeNet System. This smart lesson describes the system, how it works, its accomplishments, and lessons learned along the way.
Opening Doors to Transparency in Cross-Border Trade: Lessons from the Malawi Trade Portal
(International Finance Corporation, Washington, DC, 2017-02) Chatima, Christina; Musonzo, Charity; Munthali, Tawonga; Gondwe, Temwa; Matekenya, John; Ndalama, Chrispine
Most business leaders in Malawi see the Malawi Trade Portal (MTP) as a step forward in the provision of public information via online platforms and the promotion of transparency in the delivery of public services. Its purpose is to facilitate trade by promoting easier access to information on laws, regulations, measures, standards, procedures, and forms related tothe governance of exports, imports, and transit of goods. This SmartLesson describes how the MTP is helping authorities facilitate trade by increasing transparency and accountability and by reducing the time it takes to access regulatory information on trade across borders. and it shares the lessons the authors believe are the most replicable.
Integrating Risk-Based Principles into Border Inspections and Clearance in Zambia
(International Finance Corporation, Washington, DC, 2016-11) Nuamah, Peter; Cichocki, Joe
Led by the Ministry of Commerce, Trade, and Industry, Zambia undertook a trade-facilitation needs assessment of its alignment with the articles of the World Trade Organization Trade Facilitation Agreement (WTO TFA) in January 2015. The assessment resulted in identification of gaps and recommendations for addressing them. This led to Zambia ratifying the WTO TFA on December 15, 2015. This smart lesson describes the process of setting up a plan for risk-based border inspections at the Zambia Bureau of Standards, and it shares some lessons learned.
A Win for the Private Sector: Harmonizing Standards in the East African Community Partner States
(International Finance Corporation, Washington, DC, 2017-02) Nderitu, Elizabeth Murugi; Odongo, Mary
Trade Mark East Africa (TMEA) launched its standards harmonization project in 2011 to help businesses cut costs associated with the different standards in force across the East African community (EAC). The first phase of the project will come to an end in June 2017. This project stemmed from the importance of standards development for regional integration and has been done through supporting the national bureaus of standards in achieving regional harmonization. Product standards have a significant impact on trade in goods within the EAC while non-harmonized standards continue to interrupt the smooth flow of goods in the region. This smart lessons describe the challenges to the harmonization process and how the project’s successful implementation is boosting trade within the region.
Walking the Last Mile: Operationalization of Albania’s Authorized Economic Operators Program
(International Finance Corporation, Washington, DC, 2017-02) Kastrati, Pranvera; Meko, Mirela; Saragiotis, Periklis
Albania’s authorized economic operators (AEO) program is not yet operational, even though the country has adopted the necessary European Union (EU) legal and regulatory frameworks. This smart lesson outlines shortcomings in the adoption of AEO provisions under the European community customs code (CCC) as well as the obstacles the national government has faced putting in place the complementary reform measures necessary to ensure practical effectiveness. Lessons learned from the Albanian experience may be instructive for other countries in the central European free trade agreement region as they look to operationalize their AEO programs without diverting from AEO guidelines as set out in the EU acquis.
Working with Tajikistan to Develop its First National Commodity Nomenclature of Foreign Economic Activities
(International Finance Corporation, Washington, DC, 2017-02) Aliev, Alijon; Konar-Leacy, Violane
One of the most important instruments of trade facilitation is the commodity nomenclature, which provides a definition of all goods subject to foreign trade. The correct classification of goods forms the basis for determining the appropriate value of a good and for determining the customs duties imposed on a good on import or export. Customs statistics on foreign trade are derived from it, and those statistics in turn serve as a tool for the determination and implementation of customs policy. Commodity nomenclature is used not only at the national level, but also by the World Trade Organization, the World Customs Organization, the United Nations, and other international entities. Importers and exporters or investors in other countries visit customs nomenclature websites thousands of times a day to see the types and levels of customs duties and other charges and trade policy measures that particular countries apply. Trade policy regulations, rules of origin, and trade statistics in almost all of the developed and developing countries are designed and compiled on the basis of customs nomenclatures. This SmartLesson discusses how the Central Asia Trade Logistics Project worked with the Customs Administration of the Republic of Tajikistan on the development of its first national commodity nomenclature.