ICC to work with Ghana on WTO reforms and build capacity of businesses
ICC Chair Maria Fernandez Garza said that the largely disappointing outcome to this ministerial is not a failure of the WTO, it is rather a failure on the part of governments to make the common-sense compromises needed to get trade and welfare enhancing deals over the line. ICC is particularly concerned by the decision not to explicitly renew the WTO’s longstanding moratorium on the application of tariffs to cross-border data flows, we however welcome the protection it offers until the next ministerial.
It is important to keep the internet free of tariff barriers she said
While news headlines note the extension of the WTO E-Commerce Moratorium, there was a significant change in language from prior ministerial decisions. Last night’s decision includes an explicit sunset provision and removed any reference to further renewal. Whilst the worst possible outcome in the form of immediate termination was avoided, it represents a serious erosion of the membership’s commitment to the Moratorium and introduces a new and significant level of uncertainty. Some members may take this as a signal to start preparing new tariff systems for introduction in 2026, which will likely make the task of negotiating a new moratorium within the WTO even more difficult.
The Minister for Trade & Industry, Hon K.T. Hammond agreed to collaborate with ICC on WTO Reforms for a more constructive debate on the role of trade in society, both locally and globally.
The Chair of the world business organization congratulated Ghana on its implementation of the WTO Trade Facilitation Agreement. She said Trade facilitation plays a pivotal role in fostering economic growth and enabling smoother international trade.
The implementation of the WTO Trade Facilitation Agreement (TFA) aims to streamline customs procedures, reduce red tape, and enhance cooperation between border agencies, making it easier for businesses, especially small and medium-sized enterprises (SMEs), to engage in international trade. Customs procedures are simplified, documentation requirements are standardized, and border agencies cooperate more effectively, resulting in faster clearance of goods and smoother trade transactions. As a result, the business can benefit from reduced costs, improved predictability in supply chains, and increased competitiveness in international markets.
The Minister on his part stated that Ghana has just completed its Time Release Study and will work with ICC in addressing the findings of the study. He explained that work was ongoing on the Authorized Economic Operator.
The Authorized Economic Operator (AEO) program is like a certification for companies that shows their processes are secure and that they meet customs regulations. This helps improve the efficiency of supply chain processes. For Ghana, being part of the AEO programme means that businesses involved in trade can enjoy benefits like faster customs clearance and reduced inspections.
This not only makes trade smoother but also boosts the country’s economy by attracting more businesses to trade with Ghana. Allowing businesses to trade more efficiently and securely with other countries. There are already more than 70,000 businesses registered globally in more than 91 countries
Both agreed that Fees and charges can significantly impact the cost-effectiveness of international trade transactions and ultimately affect the competitiveness of businesses, especially SMEs.
Therefore, it’s essential to emphasize the need for transparent and reasonable fee structures, as excessive fees and charges can hinder market access, disrupt supply chains, and impede economic growth.
It is urgent that governments and organizations engage in dialogues aimed at standardizing and rationalizing fees and charges, ensuring they reflect the actual costs involved in trade facilitation rather than imposing arbitrary burdens on businesses.
The adoption of best practices and the use of digital platforms for fee management and payment processes can streamline trade operations and reduce administrative burdens for businesses engaged in international trade.
Ultimately, addressing fees and charges in international trading is essential for fostering a more conducive and equitable global trade environment that benefits businesses of all sizes.
The Secretary General of ICC Ghana, Emmanuel Doni-Kwame called for closer collaboration between Ghana and Mexico (where ICC Chair comes from) in the Car manufacturing and assembly sector since Mexico as a leading exporter of auto parts has a lot of experience in the auto industry.
The CEO of GEPA Asabea Asare who was present called for collaboration with ICC in the development of training programmes for the GEPA Export School such as Incoterms.