Tuesday, 15 June 2004  
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Private sector - Government Partnership vital for customs modernisation in SA

Strong support from the highest political level and sustained partnership between the private sector and governments are essential for implementing customs modernisation in South Asia. Trade facilitation, customs reform, better port logistics, harmonisation of standards, and administrative transparency, should be an integral part of trade liberalisation efforts.

This was noted at the three-day seminar on Trade Facilitation and Customs Reform in South Asia, organised by the World Bank and the European Union, concluded in Dhaka last week. Senior customs and other government officials and representatives of the private sector from Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, and Sri Lanka participated which focused on customs modernisation. Resource persons from WTO, UNCTAD, UNECE, WCO, the World Bank, SITPRO, ADB discussed trade facilitation issues.

Senior policy-makers and private sector representatives from the Philippines, Bangladesh, Pakistan and India presented their country perspectives in customs modernisation.

Participants said that there was considerable progress in customs modernisation with a clear move towards automation, with the objective of reducing transaction costs and speedy clearance of goods.

The South Asian countries recognised the importance of trade facilitation and intended to pursue it as a part of unilateral trade reform based on localised resources, including technical assistance from donor agencies and international organisations.

There was a consensus that the South Asian countries were not yet ready to fully launch trade facilitation in line with the WTO agenda. Since the costs of fully implementing a customs modernisation program are enormous, all countries were reluctant to take on additional legal obligations under WTO that may subject them to non-tariff barriers and increase their exposure to disputes.

These countries were keen to sign the revised Kyoto Convention and are making swift progress to fulfil the required obligations.

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