. /.RESTRICTEDWORLD TRADE
ORGANIZATIONG/C/W/248
14 February 2001
(01-0716)
Council for Trade in Goods Original:  Spanish
TRADE FACILITATION
National Experience of Guatemala
The following communication, dated 12 February 2001, has been received from the
Permanent Mission of Guatemala.
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For Guatemala, trade facilitation is an important element in the development of international
trade.  It is considered crucial to the orderly functioning of international trade.
The simplification and harmonization of international trade procedures unquestionably help to
facilitate trade flows in that they lead, in a way, to the reduction of barriers or obstacles tointernational trade.  Guatemala has taken steps to that end at the multilateral, regional and national
levels.
At the multilateral level, Guatemala participates in the discussions that are taking place in the
WTO with a view to simplifying and harmonizing trade procedures, while at the same time taking the
necessary steps to implement the WTO Customs Valu ation Agreement, thereby associating itself with
the multilateral reforms that are being introduced to that end.
At the regional level Guatemala, as part of the Free-Trade Area of the Americas (FTAA),
takes part in the work and activities of that forum with respect to business facilitation.
At the national level, Guatemala is taking domestic measures to modernize trade procedures
in its customs administration and to bring them into conformity.  One of the most significant of these
measures was the setting up of the Tax Administration Office (SAT).
The SAT was created as a decentralized State authority with competence and jurisdiction
throughout Guatemala.  Its main purposes are to be solely responsible for the administration,collection, inspection and verification of all internal and foreign trade revenue due to the State.
The SAT has also taken over the management a nd administration of the computer system, the
database and other functions of the analysis and programming sections of the Directorate-General of
Internal Revenue's data processing department.
Similarly, the SAT is responsible for collecting internal and foreign trade revenue, through
the banking system, in order to ensure transparency in tax matters, in addition to which it has also
taken over the Guatemalan custom service's administrative functions, including the control and
supervision of taxes and international trade procedures.G/C/W/248
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As the customs valuation of goods is one of the most important factors in trade facilitation,
Guatemala proposed a draft law aimed at establishing the necessary legal conditions for the
modernization of the customs service and compliance with WTO commitments.
In addition, technical developments are being inco rporated into the customs service, including
modern computer equipment and on-line communication systems in order to decentralize decision-
making.  At the same time, preliminary studies were carried out on the design and implementation of
a total quality management system, which it is hoped will lead to a customs service that meets today's
international trade needs.
In general, the planning and introduction of a new customs model which seeks to facilitate
trade is based on the following objectives:
- Updating and systematizing customs legislation both from the operational point of
view and generally;
- establishing flexible, secure and automated procedures for foreign trade;- introducing a computer system capable of processing and providing timely, reliable
and automated information relating to customs procedures;
- remodelling and building up customs infrastructure adapted to the new procedures;- coordinating and setting up technical assistance mechanisms with other countries and
international organizations for the transmission of information, training, procedural
counselling, etc.
Guatemala is aware that these elements only form part of what is needed to facilitate
international trade;  but this is one of the most im portant areas, in that it is directly linked to trade
between countries.
In fact, trade facilitation is the ultimate objective of this Organization, and all of the WTO
Agreements contain trade facilitation measures.  Guatemala wishes to continue building-up its export
capacity while at the same time facilitating free trade in goods and services without barriers.
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