RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/COMTD/AFT/M/15 
15 July 2010 
 
 (10-3854) 
Committee on Trade and Development 
Fifteenth Session on Aid for Trade  
 
 
 
NOTE ON THE MEETING OF 27 MAY 2010 
 
Chairman:  H.E. Mr. Erwidodo (Indonesia) 
  
A.
 ADOPTION OF THE AGENDA ........................................................................................................1  
B. PROGRESS IN IMPLEMENTATION OF THE 2010-2011  AID-FOR-TRADE WORK 
PROGRAMME ............................................................................................................................... 3 
1. Resource Mobilization.......................................................................................................... ....3 
2. Mainstreaming .................................................................................................................. ........5  
3. Regional Dimension – Implementation...................................................................................7  
4. Monitoring and Evaluation...................................................................................................... 8 
5. Private Sector ................................................................................................................. .........12  
C. OTHER BUSINESS ......................................................................................................................15  
 
 
A. ADOPTION OF THE AGENDA  
1. The Chairman  informed Members that the agenda for the meeting was contained in document 
WTO/AIR/3555.  He announced that the Organisa tion for Economic Co-operation and Development 
(OECD) had circulated a room document on Ai d-for-Trade flows for 2008 which refined the 
preliminary analysis offered in documents WT/COMTD/AFT/W/18/Add.1 and in 
WT/COMTD/AFT/W/20 and noted that corrigenda to update both documents would be issued in due 
course.  The representative of Nigeria  informed that it would report on its trade and productive 
capacity reform at the next meeting of the Committee. 
2. The agenda, as amended, was adopted . 
3. The Chairman  stated that the Secretariat had organized a workshop on Aid for Trade and 
Development Finance on 27 May 2010 which had been chaired by the former Chairman of the 
Committee on Trade and Development, Ambassador Shree Servansing of Mauritius.  The workshop 
was the second of four thematic sessions that would be organized in 2010 to encourage the sharing of 
information and best practices on Aid for Trade.  The objective of the Worksh op had been to examine 
the place of Aid for Trade in ongoing multilateral dialogues on development finance and to discuss 
the Aid-for-Trade flows for 2008.  In the first session of the Workshop, the World Bank had presented 
its "Global Monitoring Report 2010:  The Millennium  Development Goals after the Crisis".  The 
presentation had highlighted the following key messag es:  the negative impact of the crisis on 
developing countries, especially in Africa, would be long-lasting;  a weak recovery in poor countries 
could lead to policy failures with negative im pacts on human development;  although progress had 
been made on MDG1 on poverty reduction a dvances on other Millennium Development Goals WT/COMTD/AFT/M/15 
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  (MDGs) were more mixed and;  developing countries needed to regain their pre-crisis momentum in 
achieving the MDGs.  Aid to poor countries had to increase, particularly to Africa, and the following factors were cited as being important for ensuring a favourable external environment for achieving the 
MDGs:  trade expansion and openness;  ensuring a ffordable trade finance and continued commitment 
by the International Financial Institutions (IFIs) to sustain financial support;  strengthening the 
multilateral trading system through the conclusi on of the Doha Development Agenda (DDA) 
negotiations;  and delivering Aid for Trade.  Refere nce was made to the response of the IFIs to the 
economic crisis which had significantly scaled-up assist ance as compared to pre-crisis levels and it 
was stressed that this support had to be sustaine d.  Aid for Trade was recognized as having a key role 
to play in removing bottlenecks which led to more costly and less efficient trade of some countries, 
notably in Africa.  It could also play a major role in supporting export diversification into non-
traditional products.  
4. In the second session of the Workshop, the OECD
 had given a preliminary overview of 2008 
Aid-for-Trade flows.  Aid-for-Trade commitments had reached US$41.7 billion in 2008.  This figure 
represented 37 per cent of sector allocable Official Development Assistance (ODA).  Asia continued 
to receive the largest Aid-for-Trade flows in 2008, fo llowed by Africa.  Aid-for-Trade to Asia, Africa, 
Europe and Oceania had increased in 2008 while fl ows to the Americas had decreased slightly.  
Increases were shared acro ss all income groups and were concentrated in the energy, transport and 
storage, and banking and financial services sectors.  There had also been an increase in Aid for Trade supporting regional programmes.  The top 20 recipien ts of Aid for Trade received over 70 per cent of 
total commitments, although per capita flows presen ted a different picture.  Five donors had provided 
over 70 per cent of all Aid-for-Trade flows in 2008 led by Japan, the United States, and the European 
Union.  OECD had concluded that Aid for Trade in  2008 had been additional and sustainable, but that 
predictability of aid remained an issue that needed  to be addressed.  Examples of marked differences 
in annual Aid-for-Trade flows to certain countries were given in this respect.  The importance of 
developing countries mainstreami ng and operationalizing trade within  their national development and 
sectoral strategies was highlighted as a way to attr act Aid-for-Trade resources and foreign direct 
investment (FDI) for trade-related assistance.   
5. Members had noted that the impact of the economic crisis was not yet reflected in the 
statistics.  A call was made for more recent statistics to be presented to allow for a real-time analysis.  
In this respect, OECD indicated that preliminary data showed that  ODA continued to increase in 2009 
and that Aid for Trade would also likely see a fu rther increase.  Given that detailed sector level 
information was not available, however, it was not possible to indicate the exact level of increase.  
Further explanations were sought regarding Other O fficial Flows (OOFs) and their relationship with 
Aid for Trade.  The OECD had explained that Aid for Trade was calculated on the basis of ODA and 
that although OOFs were concessional, they we re not concessional enough to meet the ODA 
definition.   The OECD had also stated that  its analysis was based on actual Aid-for-Trade 
commitments rather than pledges.  The OECD ha d explained that it was working with the WTO to 
propose a framework to assess the impact of Aid for Tr ade and that this would be discussed at the July 
workshop on monitoring and evaluation. 
6. The Chairman
 noted that the Workshop had resulted in a number of specific conclusions: 
• Members had been appreciative of the opportuni ty to discuss development finance and the 
Aid-for-Trade flows for 2008.  The Workshop  had highlighted the success of the resource 
mobilization efforts to date.  
 
• There had been a degree of caution expressed regarding the ability of donors to sustain flows 
due to the economic crisis.  All Members had b een in agreement that this commitment needed 
to be sustained.   
  WT/COMTD/AFT/M/15 
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  • There had been recognition that the emphasis ha d to turn to monitoring and evaluation of 
impacts on the ground and that this analysis had to examine the contribution of Aid for Trade to growth and the achievement of the MDGs.   
 
• The role of mainstreaming trade within nati onal development plans and the operationalization 
of trade-related strategies had been underlined as the way in which Members could access 
Aid-for-Trade resources. 
 
7. The Chairman recalled that the Workshop had attempted to situate Aid-for-Trade as an 
integral part of the global development finance ar chitecture and that the impression he had received 
from Members was that this objective had only partia lly been achieved.  There was a need for more 
in-depth reporting on both Aid for Trade and Other O fficials Flows and also a need for further clarity 
about these terms and the concepts which underpinned them.  The suggestion had been made that this 
could be addressed again in future meetings.    
8. The representative of Barbados
 emphasized the need to ensu re consistency between support 
for increasing the trade capacity of developing count ries and the removal of export subsidies in these 
developing economies.  While commending Aid-fo r-Trade, she questioned whether developing-
country export credits should be prohibited.   
B. PROGRESS IN IMPLEMENTATION OF THE 2010-2011  AID-FOR-TRADE WORK PROGRAMME  
1. Resource Mobilization 
9. The representative of Japan  expressed thanks to the WTO for organizing the thematic session 
on development finance.  This reaffirmed that, in response to members' requests made during the 
drafting process of the Aid-for-Trade Work Progra mme, the WTO was assuming its proper role in 
Aid for Trade which was an educational one.  The workshop revealed that the resource mobilization 
of Aid for Trade in 2008-2009 was positive and th e challenge remained how to maintain the 
momentum.  Japan welcomed the work on impacts to  be conducted by the WTO and OECD.  In 2009, 
Japan had pledged US$13 billion for Aid for Trade, and the representative urged other donors to offer 
new Aid for Trade pledges.  
10. The representative of Egypt  said that the World Bank and the OECD appeared to use different 
methods of monitoring and categorizing Aid for Trade.  In the World Bank presentation, three categories of Aid for Trade had been used:  trad e-related financing calculated at US$20.8 billion;  
trade-related activities provided by the Intern ational Development Association (IDA) at 
US$3.5 billion;  and non-concessional trade-relate d lending amounting to US$17.3 billion.  Another 
concern was whether reporting should be on the basis of commitments or disbursements.  It was 
important to have a common understanding as to what Ai d for Trade involved.  He then referred to the 
fact that the African Group had been calling for ch anges to be made regarding the implementation of 
the resource mobilization pillar and to the Novemb er 2009 CTD meeting where the Chair had made a 
report to the General Council requesting adoption of the Aid-for-Trade Work Programme with 
specific reference in paragraph 8 of that repor t to the African Group's comments regarding the 
disaggregation of Aid-for-Trade flows to allow loans and grants to be distinguished.   
11. The representative of the OECD
 reaffirmed that the figure of US$41.7 billion in 
Aid for Trade presented at the Workshop related to  ODA loans and grants which conformed to the 
general definition of Aid for Trade.  He explaine d that OOFs were flows mainly from IFIs and from a 
few large donors.  OOFS were an important comple ment to Aid for Trade and offered additional non-
concessional financing to build trade capacity.  He recalled that there had been agreement on how to 
measure Aid for Trade with the recommendations fr om the WTO Aid-for-Trade Task Force that the 
CRS database be used to monitor Aid for Trade.  On  the issue of loans and grants, he indicated that WT/COMTD/AFT/M/15 
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  the CRS database allowed a differentiation to be made  between loans and grants and that it was likely 
that the larger the project, the greater the loan component.  He noted that in practice, there was 
probably little difference between the use of grants and loans.   
12. The representative of the African Development Bank
 (AfDB) presented an overview of the 
Bank's trade support activities, based on a monito ring exercise in which the Bank was currently 
engaged.  This exercise was partially a r esponse to the upcoming Third Global Review of 
Aid for Trade at which the Bank was expected to presen t its trade flows, as well as part of the broader 
objective to provide inputs to future activities and ev aluate the impact of its trade support.  Although 
the Bank did not classify non-concessional funding as Aid for Trade, it had also provided an overview 
of non-concessional funding in order to have a more realistic view of its trade-related activities. 
13. The AfDB's support to trade-related activiti es had increased since 2000, and especially since 
2005 when the Aid-for-Trade initiative was started.  Variation in annual commitments could be seen 
as a result of the three-year approval cycle of fu nding for the African Development Fund (ADF), the 
Bank's concessional window.  The large increase in  commitments in 2007 was due to the fact the 
ADF-11 cycle focussed heavily on infrastructure, in cluding support to the agriculture sector.  There 
had also been an increase in commitments in 2009 as  a result of the increase in trade-related support 
in response to demand from Member countries and regional economic communities (RECs).  
Non-concessional trade-related flows had been stead ily increasing since the beginning of 2000.  These 
funds were primarily channelled to the private sector. 
14. Infrastructure was the major focus of Bank Aid-fo r-Trade support.  In 2009 there had been an 
increase in trade policy and regulation activities due to the inclusion of these "softer" Aid-for-Trade 
elements in the Bank's infrastructure portfolio.  On the non-concessional side, infrastructure was also 
a strong area of focus but in 2009, in response to th e economic financial crisis, there had also been an 
increase in building productive capacity , especially in the area of loans for economic diversification, 
and improvement of business environment.  There had been a strong focus on multi-regional or multi-
national activities and, during the last ADF cycle, re gional operations had been at the forefront of the 
Bank's activities.  Eastern and Western Africa were the main beneficiaries of concessional flows 
because of the concentration of ADF countries in th ose regions.  Non-concessional flows tended to be 
devoted to regions where there was a higher concentration of non-ADF or AfDB countries, i.e. in the Northern and Southern regions of Africa.  A formal  report would be presented once an official audited 
had been completed by the Bank.   
15. The representative of Gabon
, on behalf of the African Group , expressed the Group's thanks to 
the AfDB for its presentation and noted on-going di scussions on preparations for an Aid-for-Trade 
meeting in Central Africa.  Future Aid-fo r-Trade activities should emphasize implementation 
activities which mainstreamed econom ic integration.  The African Group stressed the importance of 
the regional dimension in the implementation of Aid-for-Trade activities and recognized that the 
initiative should assist in promoting regional inte gration and should therefore have the full 
involvement of IFIs and RECs.   
16. The representative of Kenya  thanked the AfDB for its comprehensive presentation and 
expressed satisfaction that the Bank was now starting to monitor its trade-related support, including as 
concerned impact.  He requested additional in formation on how work was proceeding on these two 
areas within the Bank and whether the Bank wa s disaggregating concessional and non-concessional 
trade-related assistance.  
17. The representative of the AfDB informed that a preparatory report meeting would take place 
in Douala, Cameroon on 30 June and 1 July where Geneva- and capital-based officials would discuss 
a work plan on how to move forward with the Aid-fo r-Trade review for Central Africa.  She indicated 
that the Bank was reporting in line with the CRS classification of Aid for Trade.    WT/COMTD/AFT/M/15 
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  18. The representative of the European Union  welcomed the thematic workshop on development 
finance and reiterated the importance of these kinds of initiatives as ways to explore how 
Aid for Trade interplayed with other policy areas.  Ho wever, there was a need to  ensure that the focus 
was kept on areas under discussion in the Aid-for-Tra de Work Programme where additional work was 
still required.  She recalled that the measurement of  what was considered Aid for Trade had already 
been settled by the WTO Aid-for-Tra de Task Force and that donors  were reporting to the CRS under 
the agreed categories.  She emphasized that the EU did not wish to reopen the discussion. 
19. The representative of El Salvador , on behalf of the Small and Vulnerable Economies (SVEs) , 
expressed appreciation for the background documents  provided for the meeting which reflected the 
progress made thus far in the implementation of th e Work Programme.  The SVEs were satisfied to 
note that despite the economic crisis, donors had ma intained their commitment and Aid for Trade had 
increased.  There was a recognition, however, that there needed to be greater predictability of 
Aid-for-Trade delivery in 2008 and she expressed c oncern regarding the concentration of Aid for 
Trade on a limited number of countries.  The SVEs hoped that in the future they would also be 
included among the major beneficiaries.  Aid for Trade was a fundamental tool for the SVEs to 
benefit from trade, develop their economies and inte grate into the multilateral trading system.  This 
remained important because many SVEs were still facing difficulties in overcoming the impact of the 
recent economic crisis.  It was essential that the mobilization of resources continued.   
20. The representative of Barbados  noted that the Secretariat background note and OECD 
presentation highlighted that, although there appeared  to be Aid-for-Trade additionality in 2008, this 
support had been unevenly reflected across regions.  The Americas and Oceania  had seen the lowest 
total of Aid-for-Trade flows and a slight dec line had been reported for Latin America and the 
Caribbean (LAC).  Barbados wished to see future tr ends reflecting an increased flow in contributions 
to the LAC region.  Barbados noted the importance it attached to its partners not only maintaining and 
honouring current levels of commitments, but also increasing their pledges and commitments for trade 
development.  Barbados welcomed the outcomes of the recent meetings of the Inter-American 
Development Bank (IaDB), including with respect to the prioritization of support for SVEs within the 
Bank's work.  Also of note was the IaDB Aid-fo r-Trade Strategic Fund which Barbados saw as an 
important means to facilitate a more coordinated approach to Aid-for-Trade funding in the LAC 
region. 
21. The representative of Pakistan  suggested that some developing countries remained 
uncomfortable with the process of tracking Aid-fo r-Trade flows and with the reporting to the CRS, 
while others were concerned that there should be no reopening of the debate on definitions.  She said 
that the concerns raised by developing countries shou ld not be seen as an effort to reopen the debate 
but rather should be viewed as a legitimate concer n.  She suggested that one way to confront these 
problems would be to develop a more targeted appr oach such as determining, for example, whether 
capacity to meet standards was happening, whet her product diversification was taking place or 
whether supply chain systems were improving.  Her delegation considered these as basic questions to 
allow for a more focused approach and to address the concerns of those LDCs and developing countries that remained unsatisfied with the process moving forward. 
2. Mainstreaming 
22. The representative of the Enhanced Integrated Framework
 (EIF) presented an overview of the 
EIF's activities.  The first meeting of the full EI F Board had taken place on 30 April 2010 and had 
elected Ambassador Maruping of Lesotho, as Chairman.  Donors had been represented by the 
European Union, the United Kingdom and Norway and the LDCs were represented by Mali, Nepal 
and Uganda.  The next sessions of the Board would be held in July and November 2010.  The EIF 
Steering Committee had also met on 30 April and elected unanimously Am bassador Hannu Himanen 
of Finland.  The terms of reference of the Steer ing Committee were to provide strategic advice and WT/COMTD/AFT/M/15 
Page 6  
 
  guidance on the implementation of the programme and its global objectives.  It should also serve as a 
forum for the exchange of information and experien ce and to address issues related to transparency.  
He indicated that since the last meeting, a Tier 1 project for the Central African Republic had been 
approved, bringing the total number of approved project s to 21.  Subsequent to the publication of the 
guidelines for Tier 2 projects, questionnaires had been sent to IF focal points to allow them to indicate 
the category two projects they planed to submit to  the EIF programme for funding.  In addition, a 
regional workshop had recently been organized in Vanuatu for the Pacific region and a workshop for 
the Asia region would be held fro m 21-23 June 2010 in Nepal.  Two workshops for African LDCs 
would be held in Autumn 2010.  A five-year strate gic plan was also currently under preparation for 
the EIF. 
23. The EIF compendium of documents was currently  being finalized and would be available in 
English and French.  The Executive Secretariat for th e EIF had also met with the EIF core agencies 
and with UNIDO in order to discuss the implemen tation of the EIF capacity building programme.  
Ten training modules hade been identified to assi st the national implementing arrangements (NIA) 
train their staff.  Two modules were considered a priority by the focal points, namely, the design, 
management and monitoring of projects, and tr ade mainstreaming into national development 
strategies.  In terms of the in-country implementa tion of the capacity-building training, it was agreed 
that there would be a pilot  phase in a limited numb er of countries to allow for an evaluation of the 
results before then rolling it out in all EIF beneficiary countries. 
24. The representative of Rwanda
 recalled that the EIF was now operational and supporting the 
mainstreaming of trade into LDC national development plans;  this was especially relevant given that 
mainstreaming was a determining factor in attracting Aid for Trade.  He expressed appreciation for 
the donor support provided to the EIF and invited developing countries who were in a position to do 
so to also join and support the EIF.  This did not necessarily have to be through the provision of 
financial support but could also be in-kind assist ance in the area of innovation and technological 
transfer.  He noted the possibility for other deve loping countries to attend the Steering Committee as 
observers.    
25. The representative of Canada  noted that the convening of the first full EIF Board and Steering 
Committee meeting marked the end of a highly intens ive and inclusive process that strongly reflected 
the Paris Principles referred to in the original  Aid-for-Trade Task Force recommendations.  His 
delegation acknowledged the extensive work of the EIF Interim Board, partner institutions and EIF 
Executive Secretariat.  Canada looked forward to  further implementation and operationalization of 
EIF projects which could help achieve the trade mainstreaming objective and ultimately help to 
reduce poverty and achieve sustainable developmen t in beneficiary countries.  Reiterating the 
importance of managing for results, he said that this required the identification of outcomes and indicators at an early stage, including in the project and programme log frames which would help ensure that an ongoing focus was kept on the objectives of the EIF programme. 
26. The representative of Kenya
 provided a report of an informal Aid-for-Trade workshop that 
had been held in Nairobi, Kenya on 6 April 2010.  The aim of the workshop had been to allow key 
stakeholders from various sectors of the economy to interact and exchange views with the AfDB on 
Aid-for-Trade activities.  Participants at the wo rkshop included representativ es from the private sector 
umbrella organizations, investme nt and export promotion agencies, standards certifying bodies, 
Kenya Ports Authority and Ministries of Roads, Fina nce, Planning, Agriculture and Trade.  The AfDB 
had informed the workshop that its activities covered, inter alia , the following areas:  trade facilitation 
including physical infrastructure;  trade related st andards;  capacity building for RECs and national 
trade supporting bodies;  effective public-private sect or partnerships;  identification of country Aid-
for-Trade needs and bankable projects;  and mainstr eaming trade into national development strategies.  
The Government of Kenya was using the Private S ector Development Strategy (PSDS), whose broad 
objective was to enhance private sector growth and competitiveness, in mainstreaming trade into its  WT/COMTD/AFT/M/15 
 Page 7 
 
 
  national development plans.  The strategy had five  goals focusing on the following reforms:  Goal 1 – 
Improving Business Environment;  Goal 2 – Accelerating Institutional Transformation;  Goal 3 – Economic Growth through Trade Expansion;  Goal 4 – Improving Productivity and Competitiveness;  and Goal 5 – Supporting Entrepreneurship and MSE Development.  Discussion at the workshop had 
centred around these reforms and in conclusion two broad recommendations were adopted to inform 
the next step of consultations:  first, to use th e PSDS  to undertake the country's needs assessment;  
and second, to come up with a priority list with clearly identified capacity-related gaps, action plan 
and technical assistance requirements. 
27. The representative of Gabon
, on behalf of the African Group , referred to the report from the 
Second Global Review of Aid for Trade at which th e growing awareness of partner countries of the 
importance of mainstreaming had been recognized.  Despite the obstacles faced by many African 
countries, this had been reaffirmed.  The Africa n Group welcomed the report presented by Kenya and 
expressed satisfaction with the operationalization of  the EIF.  The African Group remained convinced 
that the EIF could assist African LDCs in providin g them with the tools to mainstream trade.  
28. The representative of El Salvador , on behalf of the SVEs , said that the SVEs continued to 
recognize the importance of mainstreaming trade in  their national plans.  However, this was 
challenging given the need to have a domestic framework and mechanism between the government 
and the private sector to allow for the identificati on of needs for capacity building and assistance.  The 
SVEs reiterated the importance of diagnostic mechanis ms similar to that for LDCs, which could assist 
SVEs to effectively mainstream trade.  She indi cated that the SVEs Group was working along those 
lines and hoped to present something more sp ecific on this issue at a later date.  
29. The representative of the European Union  welcomed the inclusion of Aid for Trade in trade 
policy reviews as an opportunity to be informed on the work which donors and recipients were 
undertaking in the field on Aid for Trade.  It was also a potentially valuable tool to support Aid-for-Trade effectiveness at country level as well as a complement to the  monitoring and reporting 
work of the WTO and the OECD.   She suggested that in order to facilitate the work of WTO 
members and ensure that the exer cise was as useful and accurate as possible, the WTO Secretariat 
should develop a template format with the main information to be provided by each member under 
review which could then be included systematically  in the Secretariat's report.  She encouraged 
Members to include a section on Aid for Trade in their respective government reports as this would 
allow for a more complete and balanced set of information from all WTO Members.  The EU would 
be ready to provide support to the WTO in relation to such an initiative. 
30. Turning to UNIDO's Aid-for-Trade related work and, in particular, its trade capacity building 
inter-agency guide, she said that, according to the Secretariat document, the guide covered 24 OECD 
members.  However, not all EU member States had b een consulted.  It was important to know which 
OECD members had been consulted and to understand more about the purpose of the guide.  She expressed concern that the guide would be including  information sourced from websites that was not 
necessarily accurate.   
3. Regional Dimension – Implementation 
31. The representative of Japan
 presented the Joint Report by the Regional Technical Group 
Co-Chairs (Japan and Cambodia).  The formation of the Regional Technical Group (RTG) on Aid for Trade for Asia-Pacific was a key milestone of the 2009-2010 WTO Aid-for-Trade Roadmap for the Asia-Pacific region.  Since its inception in March 2009 and under the stewardship of its co-
chairs, Japan and Cambodia (Mr. Tomochika Uyama, Minister, Embassy of Japan in the Philippines, 
and Mr. Sok Sopheak, Director-Gener al for International Trade, Mi nistry of Commerce, Cambodia), 
the RTG continued to serve as a regional forum for discussing Aid-for-Trade issues and proposals;  
sharing good practices; taking stoc k of available analytical work on  Aid for Trade in the region;  WT/COMTD/AFT/M/15 
Page 8  
 
  building partnerships among actors and stakeholders ; and formulating an integrated approach to 
operationalizing Aid for Trade in the medium-t erm in line with the Paris Principles on Aid 
Effectiveness.  The Asian Development Bank served as the secretariat to the RTG and maintained a 
website with related resources, projects and events.  
32. The third RTG meeting, hosted by the Japan Ministry of Fore ign Affairs (MOFA) had been 
held in Tokyo, Japan on 10 and 11 May 2010.  Deliberations had focused on:  (i) discussion on the 
draft RTG report and collecting of inputs on the general messages for the report;  (ii) RTG Work Plan for 2010-2011, including a tentative timeline on the formal submission of the RTG report, future 
presentation of the RTG report at various region al and global forums, and a future Regional 
Aid for Trade event to lead up to the Third Global Aid for Trade Review in Geneva in late 2011;  and 
(iii) new partnerships, membership expansion,  and funding options for the RTG process.   
33. The RTG co-chairs report, "Aid for Trade in the Asia-Pacific: Its Role in Trade-Driven 
Growth" , would cover the following key messages: 
• Historic links between trade-led growth, FD I and ODA have contributed to the region's 
transformation and growth and have led to the rise of 'Factory Asia'.  But underlying this 
growth story is Asia's heterogeneity in trade performance and development.  
• Additional and better targeted Aid-for-Trade fl ows are needed for the region to narrow these 
gaps in trading capacity between high performer s and LDCs and small states. Combined with 
complementary economic policies and reforms, private capital and FDI flows, Aid for Trade 
is a critical instrument to achieving more incl usive development goals across the Asia-Pacific 
region.  
• An integrated regional approach  backed by national development strategies is the optimal 
means to operationalize Aid for Trade and to maximize the impact and effectiveness of flows.  
This strategy includes the following key elemen ts: strong country owne rship, mainstreaming 
into national development strategies, public-p rivate sector partnerships, strong donor 
coordination, and triangular /South-South cooperation. 
 
34. The RTG aimed to finalize the report by the third quarter of 2010.  It was expected that it 
would be submitted at the Committee on Trade and Development meeting in October 2010 and 
subsequently presented at other regional and global forums.  A fourth RTG meeting was planned in 
the Asia-Pacific in the first quarter of 2011 and other regional events leading up to the Third Global 
Review of Aid for Trade would be explored. 
35. The representative of the United Nations Development Programme
 (UNDP) indicated that 
preparations were advancing for a Ministerial mee ting for the countries of the Special Programme for 
the Economies of Central Asia (SPECA) at the beginning of December 2010 which would address the 
priorities of the region's beneficiary countries.  The Ministerial meeting would be a follow up to the expert level stocktaking exercise held in Bis hkek in March 2010 where national Aid-for-Trade 
priorities had been discussed.  A steering committee made up of representatives from the ITFC, ITC, UNIDO, UNDC and UNDP would be est ablished to prepare for the Ministerial meeting.  In 
conclusion, he wished to express appreciation to th e Government of Finland and the ITFC for their 
financial support of the SPECA events.  
4. Monitoring and Evaluation 
36. The representative of the European Union
 provided an overview of its Third Aid-for-Trade 
Monitoring Report.  The European Union had adopted an Aid-for-Trade Strategy in 2007, and one of its priorities was regular monitoring of implementa tion.  The Strategy was a joint EU and member 
State initiative which focused on two key issues:  to provide and channel more resources, and the need 
to develop a stronger qualitative impact.  One of the main conclusions of the report was that  WT/COMTD/AFT/M/15 
 Page 9 
 
 
  Aid for Trade was increasingly being integrated in to EU development coopera tion strategies.  There 
had been an increase in flows in all categories of  Aid for Trade and the qualitative assessment was 
that progress was being made although more remained  to be done.  The EU and member States had 
met their 2005 pledge to commit €2 billion trade-relate d assistance by 2010.  Although there remained 
large demand for infrastructure projects and for building productive capacity, it was important to 
recall the importance of smaller projects such as ne gotiating capacity, customs reforms, standards etc., 
as the added value of these projects could be substan tial.  While there had been a strong increase in 
Aid for Trade in 2008, it was appropriate to look at  the flows over the longer term given that donors 
had multi-annual programmes.  Giving too much importa nce to flows for a specific year might distort 
the picture.   
37. The bulk of EU and member States' Aid for Tr ade focused on trade-related infrastructure and 
building productive capacity.  Expenditure for trade- related infrastructure increased 75 per cent from 
2007 to 2008, primarily because of an infrastructure pr oject in Turkey.  The share of Aid for Trade in 
total EU ODA was approximately one fifth, and had been steadily increasing.  In 2005 the share of Aid for Trade was 14 per cent and had increased to  21 per cent in 2008.  EU Aid for Trade was 
increasing in absolute terms to all regions.  Afri ca received €4.6 billion in 2008, with the main share 
to Sub-Saharan Africa, which in 2008 received €2.9 billion.  In  relative terms commitments to 
North Africa were increasing, one of the reasons be ing infrastructure projects in Morocco.  He also 
underlined the importance of the EU's global progr ammes.  Many member States committed to these 
initiatives and there had been a significant increase in commitments in this area. 
38. Quality of delivery was one of the core elements  of the EU Strategy.  To assess this, the EU 
had examined how EU donors work in the field through the dissemination of a survey, a 
questionnaire, and contacts with EU embassies and de legations in partner countries.  He emphasized 
the importance of the donors' perspective in the diffe rent developing countries and that input had been 
received from respondent donors in 77 partne r countries, including ACP countries, Asia, 
Latin America and Europe.  Donors had been asked to look at the qualitative aspects of Aid for Trade 
such as ownership, mainstreaming and the extent to which Aid for Trade was included in the policy 
dialogue between donors and partners.  Progress was being made in all of these qualitative aspects, 
but there remained much to be done.  Sixty per cent of partner countries had carried out 
comprehensive trade needs assessment in the previous  five years, but 40 per cent had not done so and 
there was a general need to update these needs assessments.  The percentage of LDCs having 
conducted a comprehensive assessment was 71 per cent, as a result of the positive impact of the EIF.   
39. In 30 per cent of partner countries, joint Aid-fo r-Trade programmes were taking place.  There 
was potential to increase the extent of joint programmi ng, specifically among donors in the country, to 
ensure that resources were effectively used.  The m onitoring report also highlighted that 66 per cent of 
respondents had reported that Aid for Trade was in cluded in the partner/donor policy dialogue.  He 
noted the importance of the regional dimension of  Aid for Trade and the positioning of regional 
integration as a key element of the overall EU deve lopment strategy.  On the question of whether 
Aid-for-Trade regional priorities were reflected in national development strategies, 86 per cent 
answered positively but only 25 per cent did this to a considerable extent. In response to the question 
of the extent to which national programmes were  acting on regional Aid-for-Trade priorities,  
70 per cent had responded positively.   
40. With regard to LDCs, the monitoring report ex amined the share of Aid for Trade going to 
LDCs compared with the LDC share in total OD A and concluded that the LDC share of total 
Aid for Trade was consistently lower, with the ex ception of 2005.  Other areas than Aid for Trade 
received proportionally more attention in EU member  States' cooperation with LDCs.  He suggested 
that this could reflect lower absorption capacity or  weaker demands from LDCs, but recognized that 
this was an area that warranted further exploration.   He reinforced the importance of continuing the 
awareness-raising and impact evaluation and indicat ed that the EU was currently looking at case WT/COMTD/AFT/M/15 
Page 10  
 
  studies that could provide internal guidelines of what a successful Aid-for-Trade project would 
require.  On monitoring and evaluation, he reaffirm ed the need to assess Aid-for-Trade impacts, as 
this would justify the continued support for the initia tive.  The EU was continuing to work with the 
OECD, WTO and partner countries in this area. 
41. The representative of Brazil
 thanked the EU for their presentation and requested clarification 
on the notion of "Joint Aid-for-Trade Programm es" and who participated in these programmes. 
42. The representative of Cameroon , on behalf of the ACP Group , noted that the EU monitoring 
report showed that progress was being achieved a nd that emphasis was being placed on results.  He 
reiterated the importance of assistance in the areas of  productive capacity and infrastructure.  He also 
emphasized the importance of training of negotiators a nd the need for there to be greater utilization of 
regional consultants.  Although noting the pos itive increase in Aid-for-T rade commitments, he 
underscored the importance of ensuring the quality of the assistance provided.    
43. The representative of China thanked the EU for the detailed presentation and, given the 
impact of the economic crisis, requested a pre liminary indication of the implementation of EU 
Aid for Trade in 2009.  He asked whether the cris is had impacted on the EU Aid-for-Trade strategy. 
44. The representative of Ecuador  thanked the EU for the report which served to clarify the EU's 
strategy in the field of Aid for Trade and requested clarification on the geographic distribution of Aid for Trade.  He recognized that the EU commitm ents closely reflected the OECD's overall picture 
of Aid for Trade in various regions and that fo r the Americas Aid for Trade was limited.  He 
questioned why there was a difference in commitm ents to the Americas between 2007 and 2008 and 
requested additional information on the reason w hy the commitments to Europe had increased in 
2008. 
45. The representative of Canada
 congratulated the EU for the substantial increase in 
Aid for Trade provided between 2001 and 2008, and on meeting its target of €2 billion by 2010 for 
the category of trade-related assistance.  He also welcomed the substantial increase in Aid for Trade 
for all regions, particular for Africa.  He emphasized that the EU's comprehensive review of 
Aid for Trade was a useful overview of what wa s working and what needed to be improved in 
Aid for Trade as there were lessons to be learne d which would be applicable to all donors.  The 
representative asked about the extent to which th e EU coordinated individual projects from the 
member States given that there were a substantia l number of Aid-for-Trade projects being funded by 
individual member States.   
46. The representative of Rwanda  thanked the EU for the comprehensive presentation and 
requested additional information on the kind of pro ductive capacity projects that the EU supported.  
The representative recognized the importance of trad e in promoting growth and productivity and in 
creating sustainable development but also noted that  Africa would not recover easily from the crisis.  
He asked what kind of discussion was taking place between the EU and the African capitals to ensure that resources could be used to mitigate the impact of the crisis. 
47. The representative of the European Union
 noted that joint delivery methods and the division 
of labour between the EU and member States we re important issues for the EU.  Further donor 
coordination was stimulated through regular dialogue at headquarters but also in the field and one of 
the positive side-effects of the monitoring exercise  was that this continued to improve.  When 
speaking about joint delivery methods, the EU was also  referring to third parties.  He emphasized the 
importance of cooperating with other donors, sp ecifically non-EU donors from emerging economies, 
under the guidance of partner-country priorities.  The EU would take due account of any impact of the 
crisis in its next monitoring report which would be based on the 2009 figures.  In response to the 
question about Aid-for-Trade flows going to the Ameri cas, he stressed that there had been an increase  WT/COMTD/AFT/M/15 
 Page 11 
 
 
  in absolute terms.  He also emphasized the im portance of partner-country prioritization of areas 
requiring assistance. 
48. The representative of the European Union  recalled that its monitoring report had been 
prepared on the basis of a questionnaire sent to EU delegations abroad.  The EU recognized that there 
was still work to be done at the country level to en sure that there was more clarity in relation to the 
Aid-for-Trade objectives and practical implications.  She stated that the EU would work more closely 
at the country level to ensure that Aid for Trade was a regular element of in-country dialogues.  In 
view of the MDG Review Conference and the LD C IV Conference, the EU would call for special 
attention to be paid to the progress and impact of Aid for Trade in LDCs.  In terms of aid effectiveness, the EU recognized that there was a ne ed to update of trade needs assessments in many 
countries and it would work closely with partner countries to achieve this.  
49. The Chairman
 referred to the OECD/WTO monito ring and evaluation framework for 
Aid for Trade and emphasized that the system was be ing constantly revised.  The Aid-for-Trade Work 
Programme for 2010/2011 had highlighted the need for the monitoring framework to evolve further in the area of analysis of impacts so as to show clear and demonstrable results.  He indicated that these 
issues were on the agenda for the OECD Developmen t Assistance Committee m eeting of 7 June 2010.  
The discussion was expected to highlight plans to  include reporting on impacts and outcomes in the 
monitoring framework.   
50. The representative of UNDP
 introduced its proposal for the Aid-for-Trade knowledge 
network that had been developed jointly by the Knowledge Management Team  and the Poverty Group 
and the Inclusive Globalization cluster team.  He stat ed that there were some indications that there 
may be some seed money provided to support th e knowledge network, but that UNDP was also 
looking to multilateral and bilateral partners to  provide additional resources.  The presentation 
focused on the policy context of the Aid-for-Tra de knowledge network;  synergies with ongoing 
efforts; the required elements to establish the Aid -for-Trade network;  and information on how online 
communities could work to serve Aid-for-Trade objectives. 
51. The knowledge network had the potential to compil e, consolidate and make more digestible 
information across countries and regions in terms of good practices, successes, and failures in the 
delivery and implementation of Aid for Trade.  On e of the primary aims of the knowledge network 
proposal would be to move from separate silos in the way that information was collected to a real 
Aid-for-Trade community of practice.  The propo sal built on an OECD commissioned study in 2008 
which found that there was a need to establish su ch a knowledge network given the extent of the 
information available, the overload of conceptual  information and the large numbers of  studies, 
assessments and frameworks developed.  The study had recommended the establishment of a 
knowledge hub.  In response, the UNDP had devel oped a proposal to establish a virtual community of 
Aid-for-Trade practitioners connected to a network.   She indicated that the purpose of this online 
community would be to help build shared iden tities among the Aid-for-Trade people, increase the 
interaction between capitals, representatives and pe rsons in the field, improve access to relevant 
information, and provide an avenue for the ex change of ideas and solutions.  The UNDP had 
extensive experience in building and running such knowledge networks. 
52. The governance mechanism would need to be si mple, requiring a Board that could be drawn 
from a body such as the CTD which would strategica lly and operationally guide the activities of the 
community.  It would require a small project team  to guide the communications, address IT issues and 
produce the knowledge product.  UNDP was looking fo r partners to support th e knowledge network. 
53. The representative of Canada  stated that the knowledge network required further discussion.  
He expressed the view that it was not clear if th e proposed approach was the best way forward and 
concerns arose about the cost implications of undertaking this proposal which were significant, WT/COMTD/AFT/M/15 
Page 12  
 
  particularly given the need to ensure that documen tation should be provided in all working languages.  
He suggested a more incremental approach wher eby the OECD Aid-for-Trade Community Space was 
migrated to a portal. 
54. The representative of the United States
 echoed the concerns of Ca nada regarding the added 
value of the programme.  He suggested that there might be existing platforms that could be used but 
also questioned who would have responsibility for f iltering the information.  He expressed further 
concerns with the initial cost indications especia lly as these costs could increase significantly over 
time.  
55. The representative of Norway  thanked UNDP for their presentation and echoed the comments 
and concerns raised by Canada and the United States. 
56. The representative of Ecuador  thanked UNDP for the presentation and agreed that there was a 
need for additional discussion.  Although he recognized the work being done by the OECD, it did not represent all Members and the UNDP understanding and approach was broader.  As such, it would be 
interesting to see how these organizations could work together.  
57. The representative of Pakistan
 thanked UNDP for the presentation and recognized that the 
knowledge network was a very good initiative, but r ecognized that all members had to be comfortable 
with the concept before it could be taken forward.  She stated that given that in some countries the 
UNDP was also responsible for coordination of do nor assistance, it was well placed to coordinate 
with other UN agencies and to examine some of the benchmarks which the Aid-for-Trade initiative 
was trying to achieve.  She indicated that UNIDO and UNCTAD, for example, had already met some of those basic indicators related to whether supply chain systems were increasing and whether 
competitiveness in certain areas was improving.  In  her view the knowledge network could also be 
brought into the overall evaluation of Aid for Trade.   
58. The representative of UNDP
 noted the concerns raised regarding the structure and the need 
for further discussion and indicated that these reactio ns would be useful in terms of building up the 
proposal.  She recalled that the purpose of knowledge networks was to filter and reduce the amount of 
information that people receive to a very user-fri endly format.  The knowledge  network could not be 
equated with a portal because a portal was basically  a website where information was hosted while the 
knowledge network needed to deliver knowledge to  people who most needed and used it in a 
user-friendly way.  It required a combination of di fferent tools including a website, a portal, and email 
networks.  In terms of the cost, while recognizing that the costs were not small, it was important to build on the seed funding through further investment to ensure sustainability of the network.  She 
recognized that the concept required more in-dep th discussion, and indicated that the UNDP was 
willing to look into the possibility of providing its own funding and to tap into its network of 140 
country offices.  This would be a significant valu e-added and would build on existing mechanisms in 
Aid for Trade rather than  be a separate initiative. 
5. Private Sector 
59. The representative of the International Trade Centre
 (ITC) reaffirmed its three main strategic 
objectives corresponding to three of the five Aid-for- Trade pillars and its support to the private sector, 
and in particular small and medium-sized enterprise s (SMEs), to develop their capacity to engage in 
international trade and thus contribute to econo mic growth and poverty reduction.  With an 
overarching mission to deliver 'Export Impact for G ood' by offering fully integrated trade-related 
technical assistance services, Aid for Trade underpi nned all ITC's projects and programmes.  ITC's 
services were focused on boosting international trade, diversification of exports, maximizing the links 
between the export-oriented and domestic elements of a country's economy; and on countries' 
capacities to identify and adapt to constantly evolving trading environment.  WT/COMTD/AFT/M/15 
 Page 13 
 
 
  60. The organization had a three-pronged strategy fo r connecting enterprises to global markets.  
First, making enterprises more competitive and boos ting their abilities to engage in domestic, regional 
and international trade.  In this context, the role of the private sector, as sellers, buyers and distributors 
was essential.  For companies themselves, being in ternationally competitive meant being efficient, 
guaranteeing supply and quality, and meeting interna tional norms and standards.  Second, developing 
the capacities of trade support institutions (TSIs) at national and regional levels.  Companies needed 
to be able to rely on efficient TSIs providing comp etent and relevant services to producers.  Third, 
strengthening the ability of policy-makers to in tegrate their businesses into the global economy; 
creating an efficient and supportive business envi ronment, including a conducive policy framework, 
and a dynamic labour market with a skills base which was constantly evolving. 
61. Many opportunities existed for fostering expor t growth through regional programmes.  Where 
regional solutions responded to common trade ch allenges, ITC supported building stronger links 
between countries.  This involved the creation of harmony between country an d regional strategies for 
the development of exports by linking regional bo dies, development banks, academic or vocational 
training organizations, chambers of commerce, sector associations to serve business.  ITC regarded 
regional programmes as an important means of in tegrating regional economi es into the multilateral 
trading system, developing regiona l and South-South trade and rati onalizing regional supply-chains 
for global competitiveness.  Regional programmes coul d also be cost-effective, as they allowed for 
economies of scale, offered business opportunities and returns on investment, cross-border value 
chains and diversification as well as creating a basi s for countering adverse external shocks such as 
the recent global economic crisis.  
62. ITC's Aid-for-Trade agenda in Africa aimed to promote regional trade for global gains.  The 
agenda was also a recognition that efforts to develop Africa's long-term capacity to play a meaningful 
role in global trade could benefit from more robust in volvement of the private sec tor in Aid for Trade.  
This included using trade-related technical assistan ce to invest in building up the private sector's 
capacity to be a strong partner to the public sect or in addressing the region's trade development and 
promotion challenges. 
63. ITC's largest regional programme, the Programme  for Building African Capacity for Trade, 
(PACT II), was launched with financial support provi ded by the Government of Canada as part of 
ITC's response to the two regional Aid-for-Trade re views, in Dar-es-Salaam in 2007 and Lusaka in 
2009.  The programme used an innovative approach to build networks of specialized national and 
regional TSIs and encouraged public-private dialogu e aimed at expansion of intra- and inter-regional 
trade, led by African public and private sector in stitutions.  The programme  included a gender-based 
programme, and together these formed an integral pa rt of ITC's efforts to deliver Aid for Trade in 
Africa.  The overall thrust of PACT II was to tailo r ITC's interventions to support regional economic 
communities in building regional capacities for ch ampioning intra- and inter-regional and global 
trade; strengthening TSIs and public-private  partnerships (PPP) and dialogue; enhancing 
sector-specific competitiveness and market links ; coaching businesswomen in export success; and 
encouraging dialogue between RECs to achieve cohe rence in their approaches to trade development 
and promotion. 
64. In PACT II, ITC was piloting new partnerships  with three RECs – the Common Market for 
Eastern and Southern Africa (COMESA), the Economic Community of Central African States (ECCAS) and the Economic Community of West Afri can States (ECOWAS) – as well as regional TSI 
networks, including private-sector networks, trad e promotion agencies, sector associations and 
associations of businesswomen.  Implementation of PA CT II started with an assessment of needs to 
identify gaps in the human, financial, technical, ph ysical, institutional, information and networking 
infrastructure and established what trade-related te chnical assistance or Aid-for-Trade interventions 
were required.  Once needs had been assessed, th e programme moved to an implementation phase 
involving the provision of required technical assistance supported by resources and interventions.  WT/COMTD/AFT/M/15 
Page 14  
 
  This might include activities such as training a nd improving staff skills; developing expertise and 
building the competitiveness of SMEs;  encourag ing the establishment of national and regional 
institutional support networks; s upporting the development of new products and services that were 
internationally competitive;  identification of new markets for selected sectors/products; and development of export strategies.  ITC's approach wa s to start with the market and work back along 
the value chain.  In the final phase, the programme  focused on creating sustainability, replication and 
multipliers of these actions and capacity levels to ensu re that beneficiary countries "Aid themselves to 
Trade" on a sustainable basis.  
65. Regional implementation teams had been set up in  each of the three partner RECs, approving 
work plans and engaging in the deliv ery of the activities.  Early wo rk on mapping TSIs in each region 
and also on establishing the regional TSI infrastructur e in each of the regions had started. Market 
analysis workshops had been conduc ted with regional and country repr esentatives. The early stage of 
identifying sectors for future development had be gun.  Progress had been made in COMESA with 
regard to the leather sector strategy review a nd identification of export opportunities for African 
leather companies and micro-producer groups in key international markets; the coffee and mango 
sectors were identified with potential for ECCAS a nd ECOWAS respectively; and a regional body of 
market analysts and researchers has been established in ECOWAS.  
66. At enterprise level, SMEs benefited from impr oved and specialized services from a range of 
institutions in order to boost their competitiven ess.  Trade intelligence from a network of trade 
information service providers would become more available, as well as research on market opportunities and practical know-how on accessing or expanding markets within Africa and beyond.  
The beneficiaries benefited from a coordinated approach to addressing the barriers to trade at a 
regional level.  For many of them, the sector-sp ecific approach made sense as it enabled focused 
dialogue and advocacy on specific issues that could be  addressed at national and regional levels.  The 
RECs were actively promoting the establishment of strong and credible private-sector institutions in 
order to enhance regional competitiveness.  REC leader ship in this regard wa s a welcome change and 
would provide a more conducive environment for e xporters.  Ultimately the soft infrastructure in 
Aid for Trade would be delivered through PACT II and other similar programmes delivered by ITC 
and other agencies. 
67. ITC was also running several other large programmes in the region.  The Enhancing Arab 
Capacity for Trade (ENACT) programme involved Al geria, Egypt, Jordan, Morocco and Tunisia, and 
provided trade intelligence and enhanced exporter comp etitiveness with a focus on gender and youth.  
The SADC Supply Chain project enabled the integration of small-scale producers of fresh fruits and 
vegetables to national and regiona l supermarkets.  The Netherlands  Trust Fund programme was aimed 
at sector development with an emphasis on building the capacities of private-s ector associations and 
other TSIs in Senegal, Uganda, Kenya, South Afri ca and Malawi, as well as Bangladesh and Yemen.  
ITC's cotton strategy work within the ACP/ EU commodities programme, and implemented in 
conjunction with the FAO, World Bank, Comm on Fund for Commodities (CFC) and UNCTAD, was 
an example of the impact that could be achieved at the regional level when the necessary components 
were in place along the value chain from producer to market.  ITC's Women and Trade Programme 
worked on improving the performance of women in supply chains, improving the capacity of women's organizations to serve their members more effectively, as well as linking women-owned enterprises to Multinational Corporations' value ch ains.  ITC was also providing advice on gender 
mainstreaming through the Enhanced Integrated Framework.   
68. The Chairman
 informed that the next meeting of th e CTD was tentatively scheduled for 19 
and 20 July 2010.  He said that a regular CTD session on Aid for Trade and the third dedicated 
thematic workshop – on Aid for Trade and Monito ring and Evaluation – would be held.  Details 
would be announced at a later stage.  WT/COMTD/AFT/M/15 
 Page 15 
 
 
  C. OTHER BUSINESS  
69. There were no items raised under "Other Business". 
70. The meeting was adjourned . 
 
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