10016015-Support to implementation of trade facilitation projects in Asia, Africa and Eastern Europe

Background Many developing countries and emerging economies are negatively impacted by trade constraints resulting from red tape in the form of complicated customs documents, import surveillance and border procedures that lack transparency. High transaction costs make it difficult for them to tap into global value chains and make their businesses less competitive. Many enterprises are thereby denied opportunities to grow through trade. In 2017, the World Trade Organization"s (WTO) Trade Facilitation Agreement (TFA) entered into force with the objective to simplify, modernize and harmonize export and import processes in order to facilitate the cross-border movements of goods. It also establishes measures for effective cooperation between customs and other relevant authorities on trade facilitation and customs compliance. Additionally, it contains provisions for technical assistance and capacity building. Measures to facilitate trade play an important role across a variety of policy areas and sectors. They have a positive effect on food security, rural development, consumer protection, investment promotion and good governance among others.

Project rationale The GIZ global program "Partnerships for Sustainable Trade" (PST) has been commissioned by the German Federal Ministry of Economic Cooperation and Development (BMZ) to establish measures that facilitate trade and support environment and climate protection. Its duration is from 07/2024 to 12/2027. The program focuses on implementing the Trade Facilitation Agreement of the World Trade Organization (WTO) and promotes cooperation between companies, business and trade associations as well as state institutions. As an implementation partner of the Global Alliance for Trade Facilitation (the Alliance), it aligns development objectives with economic interests. The Alliance supports low and middle-income countries in streamlining trade-related processes to move goods across their borders as quickly, safely, and cost-effectively as possible. The Alliance is an initiative that puts public private partnership at the heart of its approach to trade reform, believing that governments and businesses of all sizes working together represents the best way of delivering transformative, positive change. The Alliance is jointly hosted by the World Economic Forum, the International Chamber of Commerce and the Center for International Private Enterprise and works in cooperation with the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH. It is currently funded by the governments of Canada, Germany, Sweden, and the European Union (EU). Program measures include: - Planning and implementing trade facilitation measures in various countries in Africa, the Balkans, and Asia; - Increasing efficiency and reducing customs clearance costs by digitising processes and commercial documents; - Simplifying import and export procedures in developing and least developed countries (LDCs) through digital solutions and public-private partnerships; - Supporting developing countries in representing their interests in the multilateral trading system and in the WTO. The program is co-funded by different donors. At the beginning of 2025, the EU joined the Alliance as a new donor through co-funding the GIZ program. The EU contribution to the Alliance focusses on strengthening trade facilitation in least developed countries. Further co-financing comes from the World Trade Organisation (WTO) for the implementation of projects of the WTO Trade Facilitation Assistance Facility and by the EU Delegation to Madagascar for the implementation of an Alliance project in the country. Structure of the PST program The overall objective of the project is: In countries of the Global South, government, private actors or non-governmental organizations are equipped with improved instruments and competencies for the further development of the multilateral trading system for a Just Transition. The program is structured in 4 different Outputs: Output 1: Selected countries of the Global South are equipped with options for action for an inclusive, economic, and ecologically sustainable development of the multilateral trading system. Output 2: Proven trade facilitation instruments are embedded in selected countries of the Global South. Output 3: Innovative, climate and environmentally friendly approaches to trade facilitation have been further developed. Output 4: Trade facilitation instruments are embedded in selected LDCs.

The project countries are specified in the Terms of Reference.