WORLD TRADE  
ORGANIZATION  TN/TF/W/37 
29 April 2005 
 
 (05-1758) 
Negotiating Group on Trade Facilitation Original:   English 
  
 
COMMUNICATION FROM THE EUROPEAN COMMUNITIES 
  
 The following communication, dated 28 April 2005, from the Delegation of the European 
Communities, is being circulated in advance of  the Negotiating Group meeting of 2-4 May 2005. 
 
 
_______________ 
 
 
TECHNICAL ASSISTANCE AND SUPPO RT FOR CAPACITY BUILDING 
  
I. INTRODUCTION 
1. This submission provides an overview of EC technical assistance and capacity building 
activities in the field of Trade Facilitation. It also set s out some lessons learned by the EC in this field 
and provides a brief overview of how EC programmi ng operates. The submission aims to promote the 
transparency of EC activities within the framewo rk of the Trade Facilitation negotiations and 
contribute to making progress in the negotiations, in cluding by helping Members address the elements 
of the Negotiating Modalities concerning technical assistance and support for capacity building.  
2. From EC experience (both internally and as a provider of assistance to other countries), the 
costs of introducing Trade Facilitation reforms tend to  be limited. In general, the key has been in 
improving procedures and processes, in particular  through adapting management techniques coupled 
with better training. Where there are significant costs, these have tended to be recouped reasonably quickly through higher revenue collection and great er operational efficiency . At the same time, 
resource constraints mean that there is a need and a role for technical assistance and support for 
capacity building in taking forward Trade Facilitation reforms in developing countries. With regard to 
the Doha Development Agenda ( DDA) negotiations, this includes assistance to enable developing and 
least-developed countries to participate fully in an d benefit from the negotiations. Assistance provided 
will also in future help partner countries to implement resulting WTO commitments, and can be 
designed to this end, as well as helping to achieve other objectives.  
II. EC AND MEMBER STATE TECHNICAL ASSISTANCE AND CAPACITY 
BUILDING PROJECTS 
3. Trade is a priority area for EC development po licy and thus in EC technical assistance and 
capacity building programming. At the EC level, the European Commission negotiates multi-annual programmes with each partner country or region which set the priorities for the allocation of aid resources. The needs and priorities expressed by beneficiary developing countries, including in 
relation to Trade Facilitation, are central to this process.  
4. The EC and Member States currently finance a number of projects on Trade Facilitation, or 
with a Trade Facilitation component, around the wo rld. These include support given on a multilateral TN/TF/W/37 
Page 2  
 
 basis to relevant international organizations to support activities linked directly to the Trade 
Facilitation negotiations. Annex 1 provides an overview of the projects financed at the EC level (the 
EC plans to submit information on activities funded directly by Member States in due course). A 
number of the projects relate directly to the Trade Facilitation Negotiating Modalities. For 
information, a few examples of broader infrastructure projects, notably those relating to the 
construction of port facilities and transit corridors, wh ile not part of the WTO agenda, have also been 
included as these may help maximise the benefits of  Trade Facilitation reforms and give a flavour of 
EC activities in this field. The list of projects linke d directly to the Trade Facilitation negotiations is 
also not exhaustive, at least in part as projects are co ntinuing to develop. More projects are planned, in 
part in anticipation of the WTO outcome and the inclusion of Trade Facilitation and customs reforms 
in several bilateral or regional agreements. 
5. Examples of EC Technical Assistance progr ammes include: (1) in the ACP region, 
programmes to support Trade Facilitation reforms in  the Caribbean region, Southern Africa and the 
Western African Economic and Monetary Union; (2) trade enhancement projects in Egypt; (3) regional programmes in Latin America, such as the st rengthening of the customs union of the Andean 
Community and a customs co-operation programme for Mercosur; (4) technical assistance 
programmes for Trade Facilitation in Asia, includi ng projects in Indonesia and the Philippines; and 
(5) customs and integrated border management pr ojects in Eastern Europe, Central Asia and the 
Western Balkans. Trade Facilitation is often a component of larger trade related assistance programmes, for example linked to institutional st rengthening of trade related institutions. The EC 
pursues both regional and national projects. 
6. Three main implementation mechanisms have been used to deliver EC Trade Facilitation 
projects. The first mechanism is the provision of  assistance through or in co-operation with 
international institutions with re levant expertise and relevant re gional or national bodies. The second 
mechanism is the provision of assistance through c onsultancy, with EC experience showing that 
expertise for Trade Facilitation is  not only found within classical consultancy firms but also in 
academic institutions, semi-public institutions (expor t agencies, trade promotion institutions, etc.). 
The third mechanism is twinning arrangements betw een relevant agencies, including customs, in 
conjunction with training programmes, includi ng those with specialised institutions.  
III. FACTORS DETERMINING THE SUCCESS OF TRADE FACILITATION 
ASSISTANCE AND SUPPORT 
7. The EC has identified the following interlinked issues which play a role in determining the 
success of technical assistance and cap acity building in the field of Tr ade Facilitation. They may help 
Members address elements of the Negotiating Modalities. 
- Tailoring Trade Facilitation programmes to the needs and priorities
 of the recipient country, 
which can vary considerably. In designing progra mmes, a number of tools have or are in the 
process of being elaborated, including by the World Bank, the WCO and UNCTAD. When 
designing programmes, the timetable for their implementation and seque ncing is also very 
important. 
- Application of WTO/GATT principles  to Trade Facilitation procedures and formalities, 
 including transparency (e.g., availability of information, predictability and due process), non-
 discrimination (e.g., application of  objective criteria and controls). 
- Political will  at governmental level in the recipient country, to create ownership and ensure 
 demand-driven design and implementation of Trade Facilitation programmes.  
- Credibility  of the reform programme, both in the short- and long-term. 
- Co-operation  between donors and providers, includi ng multilateral agencies and partnership 
with the local and international private sector, who have a lot to contribute. Co-operation can 
also help donors make the maximum use of thei r comparative advantage in specific fields.   TN/TF/W/37 
 Page 3 
 
 
 - Existence of a practical interface  between all relevant partie s, including customs, other 
 governmental agencies, business associations, trader s and other interested parties, in order to 
 improve the quality and acceptability of programmes, to help administer the introduction of  reforms and to maintain, review and con tinuously improve procedures in the light of 
 experience and changing trade patterns.  
- Where appropriate, conception and implemen tation of programmes at the regional level
. This 
 is often key for improving transit systems, for example.  - Introducing Trade Facilitation measures as part of a wider reform programme
, which could 
 include inter alia  trade, investment, infrastructure and institutional development geared to 
 economic development and poverty reduction. 
 
IV. CONCLUSION 
8. With regard to the DDA Trade Facilitation negotiations, technical assistance and support for 
capacity building may be needed for developing coun tries, especially LDCs, if they lack the resources 
to implement clarified and improved rules. The present submission demonstrates the already extensive 
assistance being given by the EC in the field of Trad e Facilitation. Further to this, in the framework of 
the EC’s development co-operation activities, the EC  is prepared to consider positively requests from 
developing countries for assistance linked to th e implementation of future Trade Facilitation 
commitments, once known. 
 
 
 
   
 TN/TF/W/37 
Page 4 Annex 1  
 
 
EC technical assistance and capacity building projects  
  
Recipient country /region Project title Project description Start Amount 
committed 
(in thousands of 
€) 
All ACP Facilities TRADE.COM As a major general capacity strengthening measure it will fund a 
network of some 55 regional and national trade advisors throughout the ACP. This could cover Trade Facilitation if requested by the beneficiary country. 2005 50000 
Albania Customs and inte grated border 
management programmes To contribute to the establishment of rule of law and regional and 
national economic development by exercising effective border controls and facilitating trade. To ensure that customs systems in 
Albania remain effective to generate and improve revenue for the 
functioning of Albania and to improve the ability of the Albanian 
customs services to detect and prevent illicit trafficking. Upgrading 
border management, border crossing points and border posts. 2001 20500 
Argentina Trade Related Technical Assistance 
(TRTA) Programme Facilitating Argentina's participation and implementation of new and 
on-going international trade agreements through policy-making support and capacity building activities (including one specific component linked to Trade Facilitation issues of about € 1 or 2 Mio) 2006  1000 - 2000 
ASEAN Trade Facilitation workshop Trade Facilitation workshop 2005. 2004 75 
Bangladesh Bangladesh Trade Support 
Programme: Post Cancun  Assist Bangladesh in pursuing a trade and economic reform agenda in 
line with WTO agreements and build an enabling economic 
environment. The purpose is to strengthen human resources and 
institutional capacity of relevant Government Agency and private sector parties in order to introduce trade reforms and remove technical 
barriers to trade, bearing in mind the links between trade and 
development, and poverty alleviation. An element of the proposal concerns Trade Facilitation. 2003 7800 
Bangladesh Regional workshop on Trade 
Facilitation and Custom Reforms in South Asia (Dhaka, 8-10 June 2004)  Seminar  co-organised with the World Bank aiming at exchanging 
good practices at regional level on trade facilitation and customs reform, addressing trade facilitation through a multilateral agreement, 
practical tools and other support for implementation.  2004 70  
  TN/TF/W/37
 Page 5Recipient country /region Project title Project description Start Amount 
committed 
(in thousands of 
€) 
Bolivia Trade development investment 
promotion programme Overall objective: To improve the flow of foreign trade and 
investments and to encourage the economic development of the country, increase employment, prom ote steady growth in the Bolivian 
business sector, and contribute to the fight against poverty.  The 
specific objectives  include the st rengthening of public and private 
sector institutions' capacity for technical and administrative management of activities relating to foreign trade and investments an 
element linked to Trade Facilitation. 2004 6300 
Bosnia and Herzegovina Integrated border management and 
customs programmes To ensure efficient movement  of goods between BiH and 
neighbouring countries through design, construction, supervision and 
refurbishment of selected border crossing posts. Technical assistance 
and necessary expertise, training, equipment and logistical support, 
feasibility studies. 2002 34500 
Cambodia Cambodia Multilateral Trade 
Assistance Multilateral trade negotiations. Support to trade negotiations, training, 
technical assistance and support in managing and implementing trade liberalisation and WTO commitments. 2001 2080 
Caribbean Caribbean regional Trade 
Development Programme The project is the continuation of two earlier phases of the programme 
started in 1996 and still ongoing.  The overall objective of the 
programme is to contribute to the strengthening of the CARIFORUM 
member states, through support of overall trade diversification. The 
main components of the progra mme include: competitiveness and 
quality improvement; economic integration and trade policy 
formulation; trade information; trade promotion and institutional development. This includes customs. 2002 1471 
Caribbean Haiti & Dominican Republic: 
Economic Development of the Northern Corridor on the Island of 
Hispaniola Contribute to economic and social development of northern regions of 
Haiti & Dominican Republic through improvements in the road infrastructure of the corridor, increas ed flow of trade, and facilitation 
of trade between the two countries. 2004 45000  
 TN/TF/W/37 
Page 6 Recipient country /region Project title Project description Start Amount 
committed 
(in thousands of 
€) 
Central America Central American Customs Union The overall objective is the regional integration of Central America 
through the creation of a Centra l American Common Market. The 
project's specific objective is th e creation of a Central American 
Customs Union initially comprising the territories of the Republics of 
Guatemala, Honduras, El Salvador  and Nicaragua. This objective 
involves the following aspects: Creation of the Central American 
Customs Union, the entry into force of which is proposed for 1 
January 2006. Telematic interconnection of the customs and fiscal 
environments of the four recipient countries. Creation of a Central American Customs School with a view to training 360 officials from 
the customs and tax administrations  of Guatemala, Honduras, El 
Salvador and Nicaragua. The school will also be open to officials from Costa Rica and Panama, which will of course cover the cost of 
training their officials. 2001 8000 
Central Asia TACIS 2003 Central Asia Action 
Programme: Border Management in 
Central Asia (BOMCA) Cross-border co-operation between border and customs guards of the 
3 countries concerned (Kyrgyzstan, Tajikistan and Uzbekistan). 2003 4800 
Central Asia TACIS 2004 Central Asia Action 
Programme: Customs Modernisation Development of Central Asian Customs Administrations. 2004 3400 
Chile Customs modernisation Strengthen national customs services in four areas - rules of origin, 
customs valuation, intellectual property rights, ATA (temporary 
admission) books. 2004 6700 
China Regional workshop on Trade 
Facilitation and Custom Reforms in 
South Asia (Shanghai, November 
2004)  Seminar co-organised with the World Bank aiming at exchanging 
good practices at regional level on trade facilitation and customs 
reform, addressing trade facilitation through a multilateral agreement, 
practical tools and other support for implementation. Target audience was customs officials from the re gion and representatives from 
Chambers.  2004 70 
Croatia Integrated border management 
programmes Contribution to facilitating movement of people and goods, secure 
Croatia's borders and ensure regional stability through institution and 
capacity building for individual border agencies, as well as facilitating 
inter-agency co-operation. Development of a national border management information system. 2002 28450  
  TN/TF/W/37
 Page 7Recipient country /region Project title Project description Start Amount 
committed 
(in thousands of 
€) 
Egypt Trade enhancement programme 
(TEP-B) The TEP-B programme aims at encouraging and accelerating the 
implementation of policies and reforms already decided and carried out in their essential principles by the Egyptian government, but still insufficiently implemented and deserving to be intensified and 
extended. These policies and reform s aim primarily at reducing the 
duration and the costs of foreign trade operations (esp. import, export and transit of goods). 2003 40000 
Egypt Trade enhancement programme 
(TEP-A) Through a comprehensive  Trade Enhancement Programme the EC 
will support Egypt in implementing tr ade liberalisation including with 
regard to Trade Facilitation. 2002 20000 
Egypt Trade enhancement programme 
(TEP-C) The programme supports reforms carried out by the Egyptian 
Customs authorities. The focus is on institutional capacity building, technical assistance and training of the Customs middle management. 2003 6000 
Georgia Statistics / Customs  Support to the Georgia State Border Guards. 2002 2400 
Former Yugoslav Republic 
of Macedonia Customs and inte grated border 
management programmes Technical Assistance in the area of custom. Upgrade of border 
management system, border crossing points and border posts.  2003 13500 
Mexico Programme for the Facilitation of the 
EU-Mexico Free Trade Agreement The aim of the project is stim ulate economic development via 
increased trade flows resulting from a better functioning of the EU-
Mexico Free Trade Agreement. The pr oject is expected to improve the 
functioning of the free trade area between Mexico and the EU. The 
European Commission and the Mexican Government  have tentatively 
identified a number of areas where they consider that enhanced 
cooperation could have a significant and positive impact for operators 
of both sides. Among them, customs co-operation. 2004 8000 
Moldova Border management Training to the customs and border  guard service on the Ukrainian 
border to promote their professional skills with the aim of reducing the flow of illegal immigrants and criminal activities.  2002 1700 
NIS Border crossing Interventions at Suopera-Kortesalmi road borders.  2002 6000 
Oceania Pacific ACP Regional Economic 
Integration Programme (REIP)  Regional programme that includes  Trade Facilitation elements. 2003 9200  
 TN/TF/W/37 
Page 8 Recipient country /region Project title Project description Start Amount 
committed 
(in thousands of 
€) 
Philippines Trade-related technical assistance in 
the Philippines  Major activities under the Trade Facilitation component are: 
development, installation of and training on a risk management system; installation, customisation of and training on a valuation database; and Customs human resources development strategy 
upgrading, and development of the Customs Academy’s courseware 
and training. 2005 1300 
Serbia and Montenegro Customs and inte grated border 
management programmes Modernisation and development of the Federal Customs 
Administration and customs area,  support to the customs and taxation administration, improve the main border crossing, 'technical assistance and necessary expertise, training, equipment and logistical 
support, feasibility studies.  2002 41200 
Serbia and 
Montenegro/Kosovo as 
defined by UNSCR1244 Customs & Taxation Assist the local Authorities to complete a comprehensive programme 
of modernisation and development of the Customs Administration. 2002 2500 
South America EU-Mercosur Customs Co-operation The project aims at contributing to customs integration and setting up 
a commons market by introducing a second phase of customs EU and 
support market growth. 2001 5300 
South of Sahara Ecowas capacity building for 
regional integration Project launched in 2002 to improve the capacity of the ECOWAS 
Secretariat in its role to give direction and coherence to regional integration initiatives. The project will strengthen the ability of the Secretariat to provide information an d analysis of regional integration 
issues, to formulate and implement externally funded projects, to 
interact with the member states and with other regional organizations, to accelerate the processes of elimina ting tariff and non-tariff barriers 
on trade within the region and harmonising external tariffs. 2002 1950 
South of Sahara ICT Programme The purpose of the project is to  stimulate electronic commerce 
through provision of high-speed Internet connectivity to key regional 
stakeholders and installation and use of  ASYCUDA++ in selected 
countries and improved and more efficient access to economic, commercial and practical information for the public and private sector 
through establishment of regional internet portals, information 
clearing houses and database-driven websites coupled with improved SMEs ICT skills. 2004 21000  
  TN/TF/W/37
 Page 9Recipient country /region Project title Project description Start Amount 
committed 
(in thousands of 
€) 
Sri Lanka Trade Development Project Strengthening the capacity of the government of Sri Lanka and other 
stakeholders in understanding and managing WTO negotiations and meeting Sri Lanka’s commitments from WTO agreements including in the field of Trade Facilitation. Contribute to diversifying and 
strengthening Sri Lankan exports.  2003 1400 
Syria Support to the Ministry of Finance - 
Syria Modernisation of Ministry of Finance - customs, taxation 2004 8000 
Syria Institutional Sector Modernisation 
Facility - ISMF Assist the Syrian Government in the formulation and implementation 
of a modernisation programme and in the preparation and implementation of the Association Agreement with the EU. Includes 
review of legislative and regulatory framework, e Government and 
assistance in streamlining the mech anism of granting import licences. 2003 21000 
Tajikstan Central Asia 2003 Action 
Programme: Tajikistan Customs Support to customs. 2003 500 
the countries under the 
"Stabilisation and 
Association Process". CARDS Regional - Action Annual 
Programme 2003: Integrated Border 
Management Integrated Borger Management strategies and action plans. 2003 1000 
Thailand Small Project Facility - Trade 
Development This includes issues resulting from the WTO Doha Ministerial 
Declaration and trade policy issues  including in respect to Trade 
Facilitation. 2003 5000 
Turkey 2003 National Programme for 
Turkey: Customs modernisation project Strengthening the administrative and legislative environment of the 
Turkish customs administration and its capacity with regard to 
customs controls and laboratory tests. 2003 5000 
Turkey 2004 National Programme for 
Turkey: Modernisation of the Turkish Customs Administration The project aims at modernising the Turkish Customs Administration 
(TCA), in order that it: Among others, strengthens customs enforcement operations to meet the responsibilities for the protection 
and control of the external borders of the enlarged EU; strengthens the 
infrastructure of  customs labora tories, and creates a centralised 
customs archive facility. 2004 22550 
Turkmenistan Central Asia 2003 Action 
Programme: Turkmenistan Customs  2003 500 
Ukraine Enhancing Border Management. 
Reform and Modernisation of the State Customs Service of Ukraine Capacity building (training and equipment), supply of equipment for 
the Customs Service, introduction of a border management strategy, identification of operational objectives and training of staff for the 
State Border Guard Service. 2004 21440  
 TN/TF/W/37 
Page 10 Recipient country /region Project title Project description Start Amount 
committed 
(in thousands of 
€) 
Uzbekistan Central Asia 2003 Action 
Programme: Uzbekistan Customs Support to customs. 2003 1000 
Viet Nam Vietnam MUTRAP II - Multilateral 
Trade Assistance Project Capacity Building WTO accession, re search, co-ordination of WTO 
projects. Services, SPS, TBT, Tr ade Facilitation, agriculture and 
horizontal issues. 2003 5100 
West Africa Ecowas capacity building for 
regional integration Project launched in 2002 to improve the capacity of the ECOWAS 
Secretariat in its role to give direction and coherence to regional 
integration initiatives. The project will strengthen the ability of the 
Secretariat to provide information an d analysis of regional integration 
issues, to formulate and implement externally funded projects, to 
interact with the member states and with other regional organizations, 
to accelerate the processes of elimina ting tariff and non-tariff barriers 
on trade within the region and harmonising external tariffs. 2002 (ended 
March 2005) 1950 
West Africa Support for transport facilitation Technical Assistance to ECOWAS to support the implementation of 
the regional road transport and transit programme. 2004 2000  TN/TF/W/37 
 Page 11 
 
 
  
Examples of EC infrastructure projects 
 
Recipient country / 
region Project  Amount  
(in € thousands) 
Africa 
(Northern Corridor)  Northern Corridor rehabilitation  78,184 
Africa  
(Southern Corridor) Southern Corridor rehabilitation  32,000 
Africa 
(West African highawy)  Freetown-Conakry Highway 17,800 
Chad  Doba-Sahr route – technical studies, etc 747 
Comoros  Study on maritime access at Moheli  41 
Congo (Democratic 
Republic of)  Support programme for transport rehabilitation  80,000 
Guinea  Conakry autonomous port 12,000 
Kenya  Northern Corridor rehabilitation programme – phase 1: 
Sultan Hamud – Mtito Andei road  175 
Mauritania  Study for tanker port  700 
Morocco  Budgetary support pr ogramme for transport sector 
reform  96,000 
Mozambique  Feasibility study on s ections of the Nacala transport 
corridor  150 
Saint Vincent and the 
Grenadines   Rehabilitation of the Windward Highway – Whyrehab  6,400 
Suriname  Rehabilitation, upgrading and institutional 
strengthening of the Nieuwe Haven Terminal, 
Paramaribo  29,800 
Suriname  Environmental impact study on the reconstruction of 
the road ferry terminal  66 
Tanzania  Rehabilitation of Zanzibar port  709 
Tunisia  Port sector modernisation  20,000 
 
 
  
__________