| Trade Policy
Advice
1. Background
2. Development
objectives
3. Approach
4. Expected
outputs
5. Comparative
advantages
1. Background
In line with its purpose of helping
low-income countries integrate into the world economy in a way that
supports their development efforts, the Centre’s trade policy
advice aims at enhancing and improving effective participation in
the multilateral trading system and/or facilitating accession to
the WTO.
The Centre offers trade policy
advice to two sets of developing/transition countries: those who
have already acceded, but are not yet in a position to fully participate
in and take advantage from the WTO and those who are in the process
of acceding to the WTO.
Currently, some thirty countries
are involved in WTO accession procedures. Applicants include countries,
such as Russia, Ukraine and Algeria, several former USSR Republics,
other transition economies, as well as a number of developing countries
and LDCs. So far, the Centre has been working in the following acceding
countries: Cambodia, Laos, Lebanon, Macedonia, Serbia and Montenegro,
Vietnam. Some preparatory work has also been supported in Iran (whose
accession remains blocked). The work undertaken in these countries
includes different kinds of support, ranging from strategic policy
advice for high-level decision-makers to enhancing the WTO awareness
of the private sector and its capacity to participate in a transparent
trade policy dialogue with the Government.
Among those who have acceded but
are still struggling to implement their WTO obligations or to find
ways of participating effectively in multilateral trade negotiations,
there are many more countries. For example, several African countries
and LDCs’ political agenda is determined by more immediate
and urgent development priorities; these countries do not have the
required capacities, nor are they in a position, to determine and
voice their trade and development interests in the framework of
the WTO.
One example of the Centre’s
work with poor WTO members is the project that led to the elaboration
of a West and Central African cotton submission, which has been
transmitted in April 2003 by the four mainly concerned LDCs (Benin,
Burkina Faso, Mali and Chad) to the WTO agricultural negotiations
committee. Support to defend the negotiation proposals made in the
submission is ongoing.
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2. Development objectives
The Centre focuses on three critical
elements of successful trade policy-making:
supporting
the Government’s role,
building
institutional capacity and
involving
private sector stakeholders.
In trade policy advice, a broad
range of domestic policy issues, going way beyond pure trade issues,
need to be addressed. The Centre’s advice aims at reaching
a set of interrelated sub-goals, such as:
Strengthening
the understanding of linkages between trade and development, of
the functioning of the world trading system, of national, regional
and global trade policy issues;
Facilitating
the articulation of a coherent trade development strategy, i.e.
supporting the identification of a country’s trade interests
and sustaining the development of skills required for an active
participation in regional or multilateral trade negotiations;
Discussing
economic policy adjustments and reforms required in order to ensure
coherence between domestic economic legislation/regulations and
international rules/disciplines;
Encouraging
interactivity - through consultative mechanisms and local networks
for trade information - amongst stakeholders in trade policy,
i.e. Government, private sector, workers and consumers;
Fostering
the development and efficient use of institutional structures
and expertise for trade policy analysis and formulation (national
think tanks, academia, research networks, and so on).
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3. Approach
The Centre’s team delivers
its trade policy advice at the highest level possible (Ministers
in charge of external economic relations, CEOs of private sector
companies). It works on the basis of regular missions, permanent
exchanges of information and frequent contacts. The policy advice
offered evolves in the form of a continuing dialogue with the partner(s).
Trade policy advice projects can be extended, so as to include specific
technical assistance components - research, legal expertise, training,
production of learning material, and so forth -, for which outside
experts are identified and contracted by the Centre. Whenever a
technical mandate is given to outside experts, the Centre keeps
the overall management and monitoring responsibility over the entire
programme of trade policy related technical assistance.
The Centre emphasises the need
for close relationships with its partners and for customised services
that take into consideration varied and evolving country realities,
as well as different cultural sensitivities and perceptions. The
Centre sets world trade in the broader perspective of sustainable
development and roots its services on a comprehensive and inclusive
approach. The whole spectrum of trade policy stakeholders - trade-relevant
Government Ministries, the business sector, trade promotion and
regulatory bodies, academia, research networks and think tanks,
consumer and other civil society organisations - are taken into
account in the countries’ efforts towards elaborating and/or
strengthening a national trade development strategy.
For its own, the Centre devotes
considerable time to preparing, sustaining and updating its trade
policy advice services: it keeps abreast of trade policy developments,
WTO negotiations and country-specific information, it networks with
partner institutions and experts, and it maintains a grid relating
to expertise on specific themes and technical issues. The delivery
of policy advice partly depends on political factors, which are
not under the Centre’s control. In order to be in a position
to respond to emerging political opportunities, the Centre tries
to upkeep a permanent intervention capacity, based on the maintenance
of information and contact networks.
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4. Expected outputs
Trade policy related assistance
aims at building and/or strengthening national or regional capacities
and institutions:
to
identify and analyse trade positions and interests, as well as
the potential for trade development
to
identify and analyse trade stakes at the regional and international
levels
to
define and formulate a coherent national trade policy as part
of a broader development strategy
to
balance competing development priorities and defend legitimate
trade priority issues
to
understand the rights and obligations contained in the WTO Agreements
and use the existing flexibilities, in order to support sustainable
development
to
adapt domestic legislation and regulations according to a country’s
priority development interests and in conformity with obligations
contained in external – bilateral, regional and international
- trade agreements
to
design and implement domestic reforms required for WTO accession
(includes for example: introduction of fiscal adjustments, customs
modernisation, incentive policies for a competitive business environment,
public sector reforms, social reforms and so on)
to
defend rights and obligations in regional and international trade
agreements, including to use multilateral mechanisms to protect
rights
to
effectively participate in ongoing and future regional and multilateral
trade negotiating rounds
to
cooperate and coordinate with Ministries and other national institutions
dealing with trade-relevant subjects or issues on which trade
has an impact
to
collect and disseminate to national stakeholders (corporate sector
and consumer organisations) information on trade policy as well
as on regional and international trade agreements, e.g. through
the establishment of appropriate institutions such as special
“enquiry points”
to
establish national consultative mechanisms and build the Government’s
network capabilities with the private sector as well as with labour
and consumer organisations
to
tap resources from internal and external academia and research
networks
to
coordinate external trade-related assistance received from different
funding sources and implementing agencies
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5. Comparative
advantages
IDEAS Centre’s trade policy
advice services build upon experiences accumulated since 1995 by
Mr. Arthur Dunkel, former GATT Director-General and director of
Stimena, a Swiss trade initiative for the Middle East and North
Africa. Since September 2002, Mr. Nicolas Imboden, a former trade
negotiator and development Ambassador within the Swiss Ministry
of Economy, joined Arthur Dunkel in establishing IDEAS Centre, a
non-profit association, specialised in trade policy and related
cooperation projects in developing and transition countries or regions.
The combined policy know-how and international experiences of IDEAS
Centre’s staff members constitute strong assets supporting
high-level advisory services to Governments, policy-makers and private
sector representatives. The Centre’s team members have complementary
knowledge and skills that allow a comprehensive and integrated approach
towards sound trade and economic governance. The Centre’s
small size allows it to pursue demand-driven and flexible approaches,
while its outside network linkages permit it to tackle the best
available expertise.
Key words of IDEAS Centre’s
mission statement are: relevance, innovation, flexibility and high
service quality.
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For more information, please contact:
IDEAS Centre
Rue de l’Arquebuse 10
CH - 1204 Geneva, SWITZERLAND
Tel. +41-22-807 17 40
Fax +41-22-807 17 41
Email: info@ideascentre.ch
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