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Copyright © 2010 APEC Secretariat.
APEC TFAP and Supply Chain Connectivity Framework
5 October 2011 • Seoul
Presented by
Denis Hew, PhDDirector Policy Support Unit, APEC Secretariat
Copyright © 2010 APEC Secretariat.Copyright © 2010 APEC Secretariat.
1. Background• About APEC• Bogor Goals• TFAP I and II
2. Goals of Supply Chain Connectivity Framework
3. The 8 Chokepoints4. Way Forward
Outline
Copyright © 2010 APEC Secretariat.Copyright © 2010 APEC Secretariat.
1994 Bogor Goals“Free and open trade and investment in the Asia-Pacific”
By 2010 for Industrialized Economies By 2020 for Developing Economies
APEC’s Vision
APEC’s three pillars:
Trade and Investment LiberalizationBusiness FacilitationEconomic and Technical Cooperation
Copyright © 2010 APEC Secretariat.Copyright © 2010 APEC Secretariat.
• Transparency, Communications, Consultations and Cooperation.
• Simplification, Practicability, and Efficiency.• Non‐discrimination, Consistency, Predictability and
Due Process• Harmonization, Standardization, and Recognition.• Modernization and the Use of New Technology.
Background: APEC Trade Facilitation Principles
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Progress in Trade Facilitation Actions and Measures
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TFAP I Assessment• Quantitative assessment:
609156 56
81902
147102
2763
339
121 41 11 30 203
0%
20%
40%
60%
80%
100%
Customs procedures
Standards & conformance
Business mobility
E-commerce & others
Total
Pending In progress Completed
• Qualitative assessment:• Focusing attention as well as in providing framework; and• provided a basis to share information about facilitation activities and track
progress.
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TFAP II Assessment
• Assessment at both aggregate and micro (sub‐fora) levels:
• Aggregate level: (a) Conducted by using the Trading Across Borders database. (b) The PSU TFAP II interim assessment report (2010): by the end
of 2008, trade transaction costs had been reduced by 1.7%, which represented savings for APEC member economies
equivalent to USD14 billion.
• Micro level:Conducted by measuring the specific KPIs
developed at the fora
or sub‐fora
level (BMG, ECSG, SCCP, SCSC).
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• APEC is looking to move beyond reducing transaction costs addressed in the TFAPs
and expand its trade facilitation work
• Inclusion of trade logistics issues in the trade facilitation agenda in 2009.
•The SCC Framework has been developed building on policy recommendations from the Supply‐Chain Connectivity
Symposium in May 2009
Supply Chain Connectivity
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• In 2010, the CTI agreed to adopt 10 percent as the overarching target for improving supply‐chain performance in
terms of time, cost and uncertainty by 2015.
• The criteria for assessment will take into account the diversity among the member economies, as well as progress achieved
in respective economies in their implementation of the TFAPs and the development of their respective transport corridors, etc.
Goals of Supply Chain Connectivity Framework
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Goals of Supply Chain Connectivity Framework
Copyright © 2010 APEC Secretariat.Copyright © 2010 APEC Secretariat.
Goals of Supply Chain Connectivity Framework
Copyright © 2010 APEC Secretariat.Copyright © 2010 APEC Secretariat.
Goals of Supply Chain Connectivity Framework
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Goals of Supply Chain Connectivity Framework
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Reducing Trading Time, Cost and Uncertainty
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• Due to the strong synergies between TFAP II and SCI, some of the remaining work under this plan will be subsumed under
the SCI.
• APEC is exploring in using the TAB (Trading Across Borders), LPI (Logistics Performance Index) and ETI (Enabling Trade
Index) as external indicators in measuring SCI progress.
Way forward
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