WTO Trade Facilitation Agreement comes into force
The United Nations Conference on Trade and Development (UNCTAD) has described the recent entry into force of the Trade Facilitation Agreement (TFA) as a huge step towards making global trade more efficient for member countries of the World Trade Organisation (WTO). The TFA is expected to significantly increase international trade, reduce corruption and boost development.
The WTO projects that member countries could reduce trade costs between 9.6% and 23.1% with the ratification of the TFA. Accordingly, this would translate into export gains of between $750 billion and $1 trillion, and add 2.7% per year to world export growth between 2017 and 2030.
The UN agency has successfully established more than a dozen national trade facilitation committees in Africa, South America and Asia, to reduce the cost of trade. Between now and 2030, the TFA is expected to add more than half-a-percent to growth of world GDP providing additional resources for the international development agenda.