RESTRICTED  
  
WT/COMTD/SE/M/37  
 
14 January 2019  
(19-0210) Page: 1/7 
Committee on Trade and Development  
Thirty -Seventh Dedicated Session    
 
NOTE ON THE MEETING OF 1 NOVEMBER  2018  
H.E. Mr Diego Aulestia  (Ecuador ) 
A. ADOPTION OF THE AGEN DA ................................ ................................ ....................  1 
B. MINISTERIAL DECISION  ON THE WORK PROGRAM ME ON SMALL ECONOMIE S 
(WT/MIN(17)/63 –WT/L/ 1030) – CHALLENGE S AND OPPORTUNITIES EXPERIENCED  
BY SMALL ECONOMIES I N TH EIR EFFORTS TO R EDUCE TRADE COSTS, P ARTICULARLY  
IN THE AREA OF TRADE  FACILITATION (WT/CO MTD/SE/W/34)  ................................ ..... 1 
(I)  PRESENTATION BY UNCTAD  ................................ ................................ ........................  1 
(II) PRESENTATION BY THE EIF  ................................ ................................ .........................  2 
(III)  PRESENTATIONS BY REPRESENTATIVES FROM THE GROUP OF SMALL, VULNERABLE 
ECONOMIES (SVES)  ................................ ................................ ................................ ............  4 
A) PRESENTATION BY THE REPRESENTATIVE OF MONGOLIA  ................................ ........................  4 
B) PRESENTATION BY THE REPRESENTATIVE OF MAURITIUS  ................................ .......................  5 
C. OTHER BUSINESS  ................................ ................................ ................................ .... 7 
 
A. ADOPTION  OF THE AGENDA  
1. The draft agenda as contained in WTO/AIR/COMTD/SE/9/Rev.1  was adopted . Nothing was 
added under other business.  
B. MINISTERIAL DECIS ION ON THE WORK PROG RAMME ON SMALL ECONO MIES 
(WT/MIN(17)/63 –WT/L/ 1030) – CHALLENGES A ND OPPORTUNITIES EXP ERIENCED BY 
SMALL ECONOMIES IN T HEIR EFFORTS TO REDU CE TRADE COSTS, PARTICUL ARLY IN THE 
AREA OF TRADE FACILI TATION (WT/COMTD/SE/W /34)  
2. The Chairman  recalled that the Secretariat had introduced a background note on this topic in 
a meeting of the Dedicated Session in May 2017 , following a mandate from Ministers at the Tenth 
WTO Ministerial Conference ( MC10 ) in Nairobi which was reiterated at The Eleventh WTO Ministerial 
Conference ( MC11 ) in Buenos Aires. T he Dedicated Session had agreed to hold two meetings, the 
first one of which had been held in June 2018 and had focused on the specific challenges derived 
from trade costs that Small and Vulnerable Economies ( SVEs) faced and the most important sources 
of merchandise and services trade costs reported by them. The present meeting would focus on best 
practices and policy approaches for addressing the challenges  identified in the previous meeting.  
(I)  PRESENTATION BY UNCTAD1 
3. A representative of UNCTAD  made a presentation on the costs of transportation and logistics . 
He said that in most cases, trade costs were a bigger hindrance than tariffs or duties. He noted that 
small island developing States, L east Developed Countries (LDCs) and landlocked developing 
countries paid more for their imports than the world average. He said these differences were due to 
six main determinants: distance, economies of scale, imbalan ces, type and value of goods, 
                                                
1 The draft agenda provided for the representative from the EIF to speak first. Nevertheless, for reasons 
of continuity and clarity at the meeting, the representative from UNCTAD took the floor first . WT/COMTD/SE/M/37  
 
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  competition and port characteristics. He explained that even though there was a positive correlation 
between freight rates and distance, this was not enough to account for the difference in costs. 
Regarding economies of scale,  he added that moving the same type of cargo over the same distance 
was twice as expensive in a small ship than it was in a large one. There were also imbalances 
between eastbound and westbound freight rates. The type and value of the merchandise being 
transported had an impact on the costs as well. Rates for a higher value merchandise would be more 
expensive. The representative added that competition did lower prices, depending on the number of 
carriers providing direct services. Regarding port characteris tics, a better port infrastructure reduced 
maritime transport costs, as did a better perceived port efficiency and port privatization. Better 
connectivity and trade facilitation also contributed to the reduction of costs.  
4. For SVEs, the representative expla ined, the policy implications of all this were seemingly 
contradictory. On the one hand, they should try to look for economies of scale, but at the same time 
they should foster competition. For instance, authorities had to decide whether to give management  
of a port to a single operator, which would foster higher efficiency or to two or more operators, 
which would promote competition. Speaking about liner shipping connectivity, he said that it did not 
depend on the size of a country. He mentioned the exampl es of Sri Lanka, which was better 
connected to the global shipping network than India because of cabotage restrictions in India and 
port reforms and IT investment in Sri Lanka. In Central America and the Caribbean, Panama was 
the best connected country bec ause of the Canal and early port reforms.  
5. At the end of his presentation, the representative suggested nine ideas for policy makers to 
reduce transport costs: include transport connectivity in planning and trade models; take advantage 
of modern network tec hnologies, such as digitally tracking of cargo and vessels; facilitate cabotage 
services; promote regional coordination between ports along the same routes; invest in seaports 
and intermodal connections; let ports compete, including ports from neighbouring  countries; 
establish collaborative platforms under the WTO Trade Facilitation Agreement (TFA) and the 
International Maritime Organization (IMO ) Convention on Facilitation of International Maritime Traffic  
where stakeholders can coordinate and cooperate; facilitate transit; and do not bend to pressure 
from shipping lines to make investments that might not be worth the cost.  
(II) PRESENTATION BY THE EIF  
6. A representative from the EIF said that new digital technology could help to reduce trade 
costs, expand s ervices trade and bring greater benefits for small businesses. In the case of the SVEs 
there were three key points: digital infrastructure, conducive regulatory environment, and 
tech-savvy workforce. Regarding digital infrastructure, SVEs had taken signifi cant steps both in 
terms of access and cost. While most SVEs were ahead of the course, further progress was essential 
to ensure the connectivity of people in rural areas. In the area of regulations, out of five generations 
of regulations, several SVEs had already reached the fourth generation, led by economic and policy 
goals, but the majority were only at the second or third generations, open markets and enabling 
investment. Probably the most important of these key points was the promotion of digital skill s. 
These skills were the heart of digital connectivity. One third of all skills demanded by the job market 
would change in a few years, so investing in digital skills and live learning training was becoming 
part of the daily routine. Several SVEs in Centra l and South America had already taken steps in this 
sense.  
7. The representative explained that new digital technologies could reduce trade costs by 10% 
by 2030. Information and transaction costs had become the first most important trade cost in 
services trad e, and second most important in goods trade. Digital solutions could help in this area 
by overcoming information asymmetries, streamlining verification procedures and facilitate 
exchange of information. For example, the European Union's Registered Exporter  system  (REX 
system) helped exporters of  Generaliz ed System of Preference (GSP) beneficiary countries . Digital 
technology could also provide access to global platforms and payment solutions. Applications were 
lowering barriers to entry when it came to buil ding brands and scaling up, and knowledge 
externalities could facilitate technological leapfrogging. With respect to the costs of crossing borders, 
single windows were key in the streamlining of procedures. Exporters who already processed their 
exports thr ough a single window had seen an increase of 22%.  
8. Regarding Aid for Trade, despite very limited resources it could go a long way if supported 
with a public and private investment mix. The EIF had been working closely with 51 poor countries, 
8 international  agencies and 24 donors to strengthen the capacities of trade institutions and build WT/COMTD/SE/M/37  
 
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  productive capacity through evidence -based analysis. In the area of digital connectivity, the EIF was 
focusing mostly on the analytical side, through diagnostic trade inte gration studies. EIF efforts in 
building productive capacity had resulted in good progress ranging from digitally enabled trade 
facilitation reforms in Maldives and Vanuatu, to efforts on paperless trade in Bangladesh, Cambodia, 
Nepal, to online auctioning  of potatoes in Bhutan. Digital connectivity was here to stay but there 
was a long way to go. Digital analysis of priorities was very scarce. While there were some indicators 
on digital connectivity and e -trade, they just presented a snapshot of what was g oing on. 
Implementation of what had been agreed so far could bring tangible benefits. For example, full 
implementation of the TFA could cut trade costs by 14% and compliance with notification 
requirements could help boost transparency.  
9. The representative o f Guatemala  asked how to balance the regional approach using the 
competitive advantage of other ports in the region with the intentions of governments to improve 
the infrastructure of ports at national level. She also asked the speakers to explain with mor e detail 
the issue of Small and Medium -sized Enterprises (SMEs) and their access to platforms; in her 
experience developing countries had difficulties to participate or even enter these markets.  
10. The representative of Ecuador  asked about the differences in transportation costs. Developing 
countries generally transported low cost merchandise, so apparently, they would have an advantage 
over developed countries that export higher cost goods. She wondered whether that assessment 
was correct. She also asked for more information regarding the differences between the generations 
of regulations.  
11. The representative of Afghanistan  observed that the issue of maritime costs had been 
addressed in detail but added that landlocked developing  countries faced an additional set of 
challenges. These countries had to take their goods in transit through other countries in order to 
reach seaports and in some cases had to change the mode of transport. This added time and costs 
to their trading operat ions. He asked the speakers their views on how to reduce trade costs in the 
case of landlocked countries. He also asked whether there was any data that compared trade costs 
between seafaring countries and landlocked countries.  
12. The representative of Austral ia said that both traditional trade facilitation processes and digital 
trade and the digital economy were priority issues for his country.  
13. The representative of  the Plurinational State of Bolivia  asked the speakers what were the 
opportunities for landlocke d countries of reducing gap s in this new e commerce scenario.  
14. The representative of the European Union  remarked that in both presentations there was a 
relatively low figure for efficiency of customs procedures. She said that trade facilitation mattered 
and that traders did choose ports according efficiency.  
15. The Chairman asked what did the concentration in the shipping industry imply for transport 
costs in the future. He also said that there were some recent reports and figures that indicated an 
important de crease in the rate of growth of access to internet in developing countries and LDCs. 
This meant that there was a growing digital divide, so he asked, how did what had been presented 
relate to this and, as in the case of the shipping industry, how did conce ntration of the digital industry 
affect SVEs.  
16. In answering, the representative of UNCTAD  said that he was aware of the Guatemalan policy 
of trying to make hubs of national ports, but added that in the context of the whole region it would 
be useful to allow  interport competition. A way out would be to think about specialization, with each 
port dedicated to a number of exports. Regarding Ecuador's question he said that the transportation 
costs for low cost merchandise tended to be higher as a percentage than those for higher priced 
goods. As for the transit of goods from landlocked countries, he said that border crossings meant 
not only more time but also uncertainty as to how long formalities could take. It was not only a 
matter of distance to a seaport. He a greed with the representative of the EU that improving customs 
procedures did contribute to cost reduction, and to this end, there was an important potential with 
new technologies. Regarding the costs of consolidation in shipping, owing to improvements in 
operations, investments, alliances and automation in ports, the operational costs were going down. 
Overall it was a positive development. Nevertheless, small economies were increasingly confronted 
with oligopolistic situations, so there had to be strong na tional competition. It was also necessary to WT/COMTD/SE/M/37  
 
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  make sure that improvements in operational costs and opportunities from digital solutions were 
passed on to SVEs.  
17. The representative from the EIF answered Guatemala's question by saying that the challenges 
for SMEs was not limited to those from SVEs, but rather for SMEs at an international level. A recent 
report by the ITC noted that exporting SMEs that were connected to the Internet exported five times 
more than those that were not. If a country had connectivity , payment solutions and adequate 
logistics, there were less challenges for SMEs. Work by trade promotion organizations like the ITC 
was helping SMEs to export through digital platforms. Additionally, digital connectivity was not only 
useful for existing SM Es but also for future start -ups. Regarding Ecuador's question, she said that it 
was an indicator by the ITU based on information by telecommunications ministries, and mentioned 
that Ecuador had already reached the fourth generation of regulations. What th e indicator measures 
is competitivity in the country and whether there is an independent telecommunications authority. 
As for the Chairman's question regarding the digital divide, she said that it was a reality not only in 
developing countries but also in the developed world. The latest ITU study showed that still one half 
of the world population did not have access to Internet and that the digital gender gap was even 
more profound: for every 55 men, only 44 women had access. In order to bridge this gap, it  was 
necessary to keep investing in digital infrastructure, ensuring access to Internet for young people 
and to do more work to offer public Wi -Fi to schools and public institutions.  
18. The Dedicated Session took note  of the interventions.  
(III)  PRESENTATIONS  BY REPRESENTATIVES FROM THE GROUP OF S MALL, VULNERABLE 
ECONOMIES (SVES )  
A) PRESENTATION BY THE REPRESENTATIVE OF MONGOLIA  
19. A representative of  the Government of  Mongolia  explained that apart from being an SVE, 
Mongolia was a landlocked developing country. It was estimated that its landlocked condition 
doubled transport costs and reduced trade volume by about 80%. Nevertheless, freight turnover 
had increased by 15% and the  country had a trade balance of US$1.8 billion. According to the 
ESCAP/WTO trade cost database, 30% of Mongolia's trade costs were related to its geographical 
location ; policy coordination related non -tariff barriers, such as SPS and TBT measures, cross bo rder 
operations, rules, regulations and  coordination accounted for 60%;  and tariffs for only 10%. For a 
landlocked developing country,  it was very important to diversify its economy, and Mongolia was 
working to do it, both in terms of products and trading partners. The country faced several challenges 
in its export diversification efforts. There was insufficient coordination among implementation of 
different national programs for food, light industry, mining, tourism and other sectors . Foreign Direct 
Invest ments ( FDI) was directed mainly to the mining sector , the development of economic  free 
zones and industrial parks was taking more time than expected, and the TFA needed to be well 
understood and well-coordinated  among the national agencies and the private sector.  
20. In order to face those challenges, her country had adopted the "Mongol Export" Program, 
focused on increasing non -mining exports. Also, to support efforts in trade facilitations, the Mongolia, 
China, Russia Economic corridor program  had been launch ed. Its goal was to improve connectivi ty 
between the three countries through rail transportation , road s, energy transmission lines, gas 
pipeline s and  high-speed interne t connection. The benefits of this program for Mongolia included the 
harmonization of cr oss-border trade  and the facilitation of transport connectivity. Nevertheless,  
there were some issues of lack of transparency.  
21. Next, the representative spoke about the TFA implementation implications for Mongolia.  She 
said that when fully implemented it would create a more predictable and efficient environment for 
cross-border trade and significantly reduce trade costs and improve customs services. Mongolia had 
ratified the TFA in November 2016 and established its National Trade Facilitation Committee (NTFC) 
in August 2017, when it also submitted its category B and C provisions. Up to now, the NTFC had 
held three meetings to approve its charter and sub -committees and to set its trade facilitation 
roadmap for 2018 -2022. As a result of the country's efforts towards implementing the TFA, 
e-clearance was now open to any company in Mongolia, and so far 24% of registered companies 
used the service regularly, the Mongolian Chamber of Commerce and Industry was operating a 
one-stop-service to deliver certificate s of origin and other certificates, paperless clearance had 
reached 85% for exports, and Mongolia had signed a Memorandum of Understanding with China and WT/COMTD/SE/M/37  
 
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  South Korea to introduce an Authorized Economic Operators Program . The representative also 
mentioned the Regional Improvement of Border Services Project which included the Zamyn -Uud 
logistics center  situated in the border between Mongolia and China. The center was a Multi-modal 
facility for road -to-road, road -to-rail an d rail-to-rail transshipment . 
22. Regarding the challenges that Mongolia faced in implementing the TFA, the representative 
said that there was a lack of understanding among Government agencies , particularly the Customs 
Authority and the General Agency on Speci alized Inspection. There were also some discrepancies 
between the TFA and national laws. Mongolia had insufficient financial resources and lacked a skilled 
work force and professional negotiators for trade agreements, so they still needed assistance from 
development partners. Additionally , there was slow progress in co operation with neighboring transit 
countries.  In her opinion, the solutions for a better implementation of the TFA were the creation of 
a Trade Portal System that could help develop a single w indow, better coordination within  the 
government and increasing the number of WTO accredited national experts.  
B) PRESENTATION BY THE REPRESENTATIVE OF MAURITIUS  
23. A representative from the Government of Mauritius  shared his country's main economic and 
trade  indicators and presented a general overview of trade cost drivers. He divided these costs into 
two categories.  The endogenous factors included inefficiencies in the supply chain , absence of a 
"whole government  approach" , the technological divide, the lack  of compliance with international 
best trade facilitation practices such as the WTO TFA, the WCO Revised Kyoto Convention, 
International Chamber of Com merce guidelines and the IATA e -freight initiative. He added that all 
these factors were controllable  domestically through more efficient processes and automation. But 
there were exogenous factors over which countries had no control, like piracy, private standards , 
post 9/11 security -related costs  such as requirements from the US Safe Port Act, Container Secu rity 
Initiative, the EU Import Control System and the WCO SAFE standard to secure and facilitate global 
trade. Other exogenous factors included natural phenomena like sea swells, which hinder ships from 
reaching ports, tsunami, flash floods, cyclones, stri ngent trade rules which left SVEs sandwiched 
between LDCs and developing countries, and e -commerce which is changing the landscape  of sectors 
of interest to SVEs such as textiles. Even having 100% efficiency in their processes, SVEs could do 
nothing to con trol these factors and needed assistance.  
24. Speaking about trade facilitation, he mentioned that customs processes had changed rapidly 
in recent years and required more experienced and professional personnel, but his country had not 
waited for the TFA to sta rt taking steps to facilitate trade. Between 1994 and 2018, his country's 
customs had adopted reforms to introduce , inter alia , electronic data interchanges, risk management 
and post -clearance audit, non -intrusive inspection, e -certificates of origin , and an electronic 
payment system . In order to do that, Mauritius had passed the Business Facilitation Act, set up  an 
Economic Development Board and its National Trade Facilitation Committee and creating a database 
of agencies which could be accessed through In ternet.  
25. The representative proposed some potential solutions to overcome the exogenous trade cost 
drivers faced by SVEs. He said that SVEs should receive special and differential treatment  including 
policy space  for freight rebate schemes and tax incentive s to attract potential investors. Better 
coordination by WTO countries was also needed to ensure that SVEs were not left out. It would also 
be useful to conduct a study on the specific comparative advantages of each SVE. Other possible 
solutions included c apacity building on international standards testing and laboratories , 
concentration on niche markets like sugar and molasses, textiles and tourism and better access to 
developed countries' markets. With a view to boosting regional coastal trade, cabotage s hipping 
should be developed.  Regarding natural disasters and conditions, SVEs needed breakwater 
structures and tsunami alert systems with high technology meteorological radars.  
26. The representative of the Plurinational State of Bolivia  agreed with Mongolia's  presentation 
regarding the challenges faced by landlocked countries. He said that the implementation of the TFA, 
diversification and corridors were excellent examples of best practices to alleviate their difficulties . 
Bolivia was exploring every option to  improve its port connectivity, including a project for an 
interoceanic corridor. He added that e -commerce could be useful in closing gaps, but that each 
country should decide how to adapt to new challenges. The debate on e -commerce and SVEs should 
not originate in developed countries, and the Dedicated Session was an excellent forum to hold it.  WT/COMTD/SE/M/37  
 
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  27. The representative of Ecuador  shared the news that her country had recently ratified the TFA . 
She added that in recent years technical, logistic and security protocols had been put in place which 
had allowed Ecuador to reduce costs. Since 2012 the country had a single window that had benefited 
traders.  
28. The representative of the European Union  asked the Mongolian representative whether her 
country had started to apply the REX System . She believed that Mongolia was due to start using it 
by the end of 2019. The EU had put this system in place to help beneficiary countries to cut costs 
related to compl iance with origin requirements.  
29. The representative of Afghanistan  was interested in knowing how Mongolia used other means 
of transportation such as train networks and TIR corridors , and whether there was any cost analysis 
to compare them with road transpor t, because in the case of his country the train network was very 
small.  He wondered whether the uncontrollable factors that the representative of Mauritius 
mentioned could be studied  in a wo rk programme under the CTD in order to find solutions that could 
help SVEs.  
30. The representative of El Salvador  said that  the p aper which was being discussed in the 
Dedicated Session had focused on the internal challenges that  SVEs faced and that it could also be 
useful to identify the difficulties encountered when accessi ng third markets. Regarding  the efforts 
being made by El Salvador in the field of trade facilitation, a series of legal instruments had been 
put into effect to facilitate  simplification, harmonization and automation of all processes related to 
foreign trad e operations. One of  these instruments was the Trade Facilitation Agreement, which had 
been ratified by her country  in 2016. El Salvador had thereby  immediately undertaken  125 
commitments out of the 150 included in the Agreement.  Recently, her country had notified its 
category B and C provisions to the  Trade Facilitation Committee . This notification detailed  the 
assistance and support required by her country for the creation of capacity and, in that sense, she 
appreciate the technical and financial suppo rt provided to date and that had  been committed by 
different partner agencies, organizations and countries.  Other actions taken to facilitate trade 
included the establishment of a single window in 2011 which had reduced the time needed for export 
formalities from 5 days to 45 minutes. She acknowledged the help received from the United States 
to connect the single window with the IT systems of public agencies linked to foreign trade. 
Notwithstanding all these efforts, El Salvador still faced challenges such as the lack of training to 
properly implement electronic services, problems related to release times and border infrastructure. 
Her country's enterprises also had difficulties adapting to private standards, technical regulations 
and other  non-tariff measures  (NTMs ). 
31. The representative of Guatemala  said that although tariffs had fallen globally, NTMs had risen. 
This was of concern for SVEs because while they were not paying too much on tariffs, their products 
were not reaching their markets. As the representati ve of Mauritius had said, testing and laboratories 
were one of the most difficult challenges for SVEs. She acknowledged the assistance given by the 
Standards and Trade Development Facility (STDF) in this area.  On trade facilitation, she said that in 
the Ce ntral American region, countries were working to facilitate transportation and improve the 
effectiveness and speed of customs procedures. Regarding e -commerce and the technology costs 
that SVEs were facing, on the logistics side , costs wer e very high, espe cially for low -value products. 
As an example,  she mentioned emerging companies in Guatemala that were starting to export. 
These companies had been focusing on manufacturing cultural goods that tended to be very small 
and had a very low value, so the costs of having the logistics to support the exportation of  their 
products was very high . Another obstacle that had been detected was the lack of access to digital 
payment solutions. In her country's case, the problem had to do with the services that banks 
provided to exporters. The banks were willing to provide these services, but current  national  
legislation did not allow them to do so.  A case in point was financial intermediation, which was 
prohibited, and some of the payment solutions were considered intermed iaries.  Also, exporters 
lacked technical skills to use these platforms.  Local micro, Micro, Small and Medium -sized 
Enterprises ( MSMEs ) had reported that it was difficult for them to participate in these platforms as 
sellers , but also that they had problems  with marketing within the platforms, and this was an 
additional cost.  
32. The representative of Panama  recalled  that at the Dedicated Session in Ju ne a representative 
from their G overnment had shared her country' s views on the challenges faced to reduce trade costs. 
Panama's economy was primarily based on the logistics sector, and so its efforts were focused on 
modernizing transit and transhipment processes. The sector was an important driver  for business WT/COMTD/SE/M/37  
 
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  and acti vities related to ports, air transportation, finance and services for the Canal were essential 
for the country. Given the short interoceanic distance which allowed the transport of goods between 
both oceans, Panama was the only place with not only interoce anic, but also inter -terminal transport. 
For this reason, transhipment was the second largest activity in the country and represented 85% 
of cargo movement in Panama or in transit. Her country acknowledged that in order to modernize 
processes, sometimes changes to the legal framework had to be made. To this end, Panama had 
established the National Authority for Government Innovation, an agency that planed, coordinated 
and promoted the best use of ITC in the public sector.  To face the challenge of the lack o f training 
in logistics, tourism and industry, Panama had created the Eastern High Technical Institute, which 
offered short term flexible programs that satisfy private sector demands.  
33. The representative of Mauritius  said that, as had been noted in the pres entation by the 
representative of his government, some of the challenges faced by SVEs, and particularly Small 
Island Developing States (SIDS) were beyond their control and limited the range of solutions 
available to them. Therefore, they needed policy spa ce to adopt appropriate support measures and 
offer incentives to attract investment and technology transfer.  Given its low production capacity, 
Mauritius and many other small economies were making a transition towards trade in services. His 
country was of the view that WTO Members could explore the possibility  of a services waiver for 
small economies which would extend preferences to services and service suppliers like the LDC 
waiver.  
34. The representative of the United States  thanked the presenters and recogn ized the hard work 
done by SVE governments to implement the TFA. His country was a strong supporter of this 
Agreement and believed that it benefitted developing and developed countries alike and offered 
substantial commercial opportunities by helping to re duce trade costs and administrative burdens.  
35. In answering the questions addressed to her, the representative of Mongolia  said that the REX 
system was being introduced in her country and it would be effective by the end of 2019. They had 
already held two tr aining sessions funded by the EU.  Regarding the question by the representative 
of Afghanistan, she s aid that Mongolia was a part o f the TIR Convention since 2000, but that their 
railway system had been built in 1949 and thus was very outdated. Nevertheless , the central corridor 
of the Mongolia -Russia -China economic corridor  linked Russia and China through Mongolia through 
Mongolia's central railway, and that was the shortest way to link those two countries.  
36. The Dedicated Session took note  of the interventio ns. 
37. The Chairman  added that the SVE Group would prepare an outcome document of the work in 
the Dedicated Session.  
C. OTHER BUSINESS  
38. The Chairman  said that no issues  had been raised under this agenda  item.  
39. The meeting was adjourned . 
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