Implementation of the World Trade Organization’s Trade Facilitation Agreement was welcomed Feb. 23 by the Ministry of Foreign Affairs, which described the landmark pact as instrumental in Taiwan’s efforts to strengthen cooperation with other WTO members while assisting developing and least-developing countries achieve greater economic growth.
As a responsible stakeholder in the WTO, Taiwan was the 13th member of the Switzerland-headquartered multilateral trade mechanism to ratify the agreement in August 2015, the MOFA said, adding that the country will continue working with other members to promote related collaboration and negotiations.
The ministry’s remarks follow implementation of the WTO’s first multilateral trade agreement the day before. Under the pact, which has been ratified by 112 of the organization’s 164 members, cross-border movement, release and clearance of goods are to be expedited, with developing and least-developing countries set to benefit the most.
According to the Ministry of Economic Affairs, the pact augurs well for Taiwan and underscores the effectiveness of longstanding government efforts to bring the country’s customs regulations and trade facilitation practices in line with global standards.
Taiwan will continue supporting other WTO members in enhancing their capacity to implement the agreement, the MOEA said, adding that it expects the pact to create more opportunities for globally competitive local sectors and promote customs cooperation with other economies worldwide.
The key benefits of the agreement include reducing the average time for imports by over a day and a half, or 47 percent, and exports by more than two days, or 91 percent; slashing trade costs by 14.3 percent; and boosting global trade by as much as US$1 trillion per year, according to the WTO.
Taiwan is a committed proponent of global trade and plays an active role in the WTO. In July last year, it donated 35,000 Swiss francs (US$34,616) to assist the organization’s less affluent members implement the agreement. And since joining the WTO in 2002 under the name Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu, the country has contributed nearly US$2 million to various trust funds administered by the organization.
WTO statistics reveal that among the organization’s members in 2015, Taiwan ranked 17th in merchandise exports at US$285 billion and 18th in imports at US$238 billion. (SFC-E)
Write to Taiwan Today at ttonline@mofa.gov.tw