WORLD TRADE  
ORGANIZATION  TN/TF/W/142 
31 July 2006 
 (06-3659) 
Negotiating Group on Trade Facilitation Original:   English 
 
 
COMMUNICATION FROM THE CORE GROUP OF  
DEVELOPING COUNTRIES ON TRADE FACILITATION1 
 
Proposal on Implementation Mechanism for Special and Differential Treatment(S&D) and Technical 
Assistance and Capacity Building (TACB) Support  
 
 
 The following communication, dated 25 July 2006, is being circulated at the request of the Core Group of Developing Countries on Trade Facilitation (CGDCTF).  
_______________ 
 
 
I. INTRODUCTION 
1. This communication builds on key elements from TN/TF/W/81 submitted by a group of Latin 
American delegations, TN/TF/W/82 submitted by  a group of Asian delegation, TN/TF/W/95 
submitted by the African Group, and TN/TF/W/137 jointly submitte d by a group of developed and 
developing Members. 
2. Through this communication, the CGDCTF s eeks to substantively contribute to the 
negotiations on trade facilitation, especially with respect to implementing and making operational the 
mandates in Annex D of the July 2004 Framework to ensure that the principle of special and 
differential treatment is fully reflected in the ne gotiated outcome, and to link the implementation of 
trade facilitation obligations by developing and least-developed Members, including low-income 
economies in transition, to the provision of t echnical assistance and capacity building support. 
3. The textual proposal that follows herein build s on and revises the structure in the proposed 
text contained in TN/TF/W/137 and incorporates ke y elements regarding S&D and TACB  that were 
already made in previous other submissions as well as new elements deemed to be of such importance 
as to require inclusion in the revised structure.  
4. This text lays out in a Preamble some general principles on S&D based on Annex D of the 
July 2004 Framework and Annex E of the Hong Kong Ministerial Declaration. All provisions are to 
be incorporated into the text of a final TF Agreem ent as integral parts thereof. This text contains 
operational provisions with respect to the classifi cation and categorization of new TF obligations, 
their applicability and the linkage to the provision of TACB with respect to their implementation. A 
schematic for this text is  contained in Annex A.  
5. Other provisions relating to the establishmen t and functions of a new WTO Committee on 
Trade Facilitation, other than references th ereto are not dealt with in this text. 
                                                     
 
1 Bangladesh, Botswana, Cuba, Egypt, India, Indonesia, Jamaica, Kenya, Malaysia, Mauritius, 
Namibia, Nepal, Nigeria, Philippines, Rwanda, Tanzania, Trinidad & Tobago, Uganda, Venezuela, Zambia and 
Zimbabwe. TN/TF/W/142 
Page 2  
 
  6. This communication is without prejudice to in dividual Members’ final positions and progress 
in other areas of the negotiations. In addition, this  is a work in progress and inputs and comments will 
be welcome.   
II. TEXTUAL PROPOSAL  
PREAMBLE – GENERAL PRINCIPLES ON SPECIAL AND DIFFERENTIAL 
TREATMENT  
The principle of special and differential treatment sh all be fully reflected and taken into account in the 
adoption and implementation of trade facilitation-re lated commitments by Members. Developing and 
least-developed Members, including low-income economies in transition, shall not be required to 
undertake obligations that would require investme nts in trade facilitation-related infrastructure 
projects beyond their means. The extent and the timin g of entering into commitments shall be related 
to the implementation capacities of developing an d least-developed Members, including low-income 
economies in transition.   
The provision of technical assistance and support for capacity building is vital for developing and 
least-developed countries to enable them to fully pa rticipate in and benefit from this Agreement. 
Members, in particular developed countries, theref ore commit themselves to adequately ensure such 
support and assistance. In cases where required suppor t and assistance is not forthcoming, and where 
a developing or least-developed Member continu es to lack the necessary capacity, implementation 
will not be required 
 
Least-developed Members have the right to undertake only those obligations that are consistent with 
their individual development, financial and trad e needs or their administrative and institutional 
capabilities. Least-developed Member s shall be accorded special cons ideration and attention in the 
provision of technical assistance and capacity building support under the provisions of this 
Agreement.  
 These general principles on special and differential tr eatment in trade facilitation shall guide, be taken 
into account, and be reflected in the implementati on and interpretation of the provisions of this 
Agreement. 
 
A. T
RANSITIONAL PROVISIONS  
Provisions applicable after signing of the Trade Facilitation Agreement  
 
1. The provisions of paragraphs 1 to 9, 11(v),  20 to 25, 27 and 28, an d 30 and 31 hereunder will 
be immediately applicable after the signing of the Trade Facilitation Agreement.  
Establishment of the Trade Facilitation Techni cal Assistance and Capacity-Building Support 
Unit (TFTACBSU)  
 
1bis.  Within three months from the date of th e signing of the Trade Facilitation Agreement, the 
WTO Secretariat shall establish the TFTACBSU within its structure and reporting to the WTO Committee on Trade Facilitation, to:  
 
(i) monitor and annually report on the compliance by  developed Members with their obligations to 
provide technical assistance and capacity-building support to developing and least-developed Members, including low-income economies in transition, under this Agreement;   TN/TF/W/142 
 Page 3 
 
 
  (ii) monitor and annually report on the extent, efficacy , and usefulness for the beneficiaries of the 
bilateral provision of trade facilitation-related technical assistance and capacity-building support 
among Members;  
(iii) monitor and inform Members of the various tr ade facilitation-related technical assistance and 
capacity-building facilities being provided by othe r relevant international organizations which 
developing and least-developed Members, includi ng low-income economies in transition, could 
access or resort to;  
(iv) work with other relevant international orga nizations to establish and/or  expand trade 
facilitation-related technical assistance and capacity building resour ces for developing and 
least-developed Members, including low- income economies in transition; and 
(v) serve as the focal point for coordinating the pr ovision of technical assistance and capacity-
building by establishing a Trade Facilitation Regist er for the entry of notifications and requests 
for technical assistance and capacity-building provided by Members hereunder. The Register of notifications and technical assistance and capacity  building requests shall be published on the 
WTO Members’ Internet portal. 
 
Capacity self-assessment
 
 
2. For the purpose of ascertaining their capacity to meet the agreed obligations, developing and 
least-developed Members, including low-income econom ies in transition, shall commence, after the 
signing of the Agreement, a capacity self-assessment  exercise in relation to the various processes and 
obligations involved in the provisions which form part of the Trade Facilitation Agreement. On 
request, developed Members, and other donors (includi ng relevant international organizations to the 
extent appropriate and feasible within their organizational mandates2), shall assist Members in this 
exercise in accordance with the provisions of para graphs 21 to 23. Developing and least-developed 
Members, including low-income economies in transition, shall commence the capacity self-
assessment no later than [X] months from the start of receipt of support for such self-assessment from 
developed Members and other donors. 
Notification procedure for obligations subject to a transition period  
 
3. On the basis of their individual capacity sel f-assessment, developing and least-developed 
Members, including low-income economies in transiti on, shall, no later than [X] months after the 
conclusion of the capacity self-assessment exercise  referred to in paragr aph 2 above, through the 
WTO Secretariat’s TFTACBSU, notify all other Member s of the obligations under paragraph 11(ii) 
below for which it needs additional time which sh all not exceed [N] years to implement. This 
Notification of obligations subject to a transiti on period for deferred implem entation may indicate if 
technical assistance and capacity-building support sh ould be provided by deve loped Members or other 
donors in order to shorten the transition period, a nd shall be made available on the WTO Members’ 
Trade Facilitation Internet portal. 
4. Members may modify their Notification pursuant to paragraph 3 above at any time prior to 
the entry into force of the Trade Facilitation Agre ement and the deposit of their instrument of 
ratification. Such modification shall be notifie d to the TFTACBSU for information as soon as the 
problem has been identified. 
5. Members shall finalise their Notification before the entry into force of the Trade Facilitation 
Agreement, which shall be published on the Trad e Facilitation portal of the WTO Members’ section 
of the WTO Internet portal.  
                                                      
2 Relevant international organisations as referred to in Annex D of the July framework, including the 
IMF, OECD, UNCTAD, WCO and the World Bank. TN/TF/W/142 
Page 4  
 
  5bis.  The Notifications are hereby made integral parts of this Agreement. 
 
Formulation of the capacity building plans
 
 
6. For obligations requiring technical assistance and capacity building under paragraph 11(iii), 
each developing country or least-developed countr y Member, including low-income economies in 
transition, shall detail its requests for technical  assistance and capacity building and enter into 
discussions with developed Members and other donors,  including relevant inte rnational organizations 
as appropriate and to the extent feasible within thei r organizational mandates. On this basis, capacity 
building plans shall be prepared and notified by the developing or least-developed Member concerned 
pursuant to paragraph 7 below. On request, devel oped Members and other donors, including relevant 
international organizations as appr opriate and to the extent feasi ble within their organizational 
mandates, shall assist Members in this exercise of  preparing capacity-building plans in accordance 
with the provisions of paragra phs 7 to 9, 21, 24 and 25. Developing and least-developed Members, 
including low-income economies in transition, sh all commence the preparation of their respective 
capacity-building plans no later than [X] months  from the start of receipt of support for such 
preparation from developed Members and other donors.     
Preparation and notifications of capacity building plans  
 
7. The capacity building plans referred to in paragraph 6 above shall be notified to the 
TFTACBSU no later than [X] months from the date of  their finalization and made available on  the 
Trade Facilitation Register and shall contain at least the following information:  
(i) the obligations for which technical assist ance and capacity building will be required;  
(ii) intermediary steps as necessary;  (iii)  the capacity building implementation periods that may be needed for the provision of such 
technical assistance and capacity build ing for each specific obligation;  
(iv)   the potential or identified donors, if any;  
(v)   the implementation agency if appropriate;  (vi)  "benchmarks" that the technical assistan ce and capacity building support being provided must 
meet in order to ensure that such support delivers on developing the implementation capacity 
of the recipient country; and 
(vii)   other relevant data. 
 
8. Members shall, on request, be provided with the opportunity to engage in consultations with 
the notifying Member. 
9. The Notifications shall be up-dated with such additional information as may be needed to be 
included in the capacity building plans in the course of their implementation. 
B. P
ROVISIONS OF THE TRADE FACILITATION AGREEMENT  
Entry into force of the Trade Facilitation Agreement  
 
10. This Agreement shall enter into force at the sa me time as the entry into force of all other 
agreements under the single undertaking of the D oha Work Programme; provided, however, that for 
developing and least developed Members, including  low-income economies in transition, under the 
principle of special and differential treatment, th e obligations under this Agreement will not apply 
unless the provisions of paragraphs 2 to 9 above have first been complied with.   TN/TF/W/142 
 Page 5 
 
 
  Applicability of Trade Facilitation obligations  
 
11. The obligations set forth in this paragraph shall apply to Members in accordance with the 
provisions below:  
(i)  All obligations shall be immediately impl emented by developed Members upon the entry into 
force of this Agreement or the deposit of their respective instruments of ratification, 
whichever is later; 
 (ii)  The following obligations shall immediat ely apply to developi ng and least-developed 
Members, including low-income economies in tran sition, from the date of the entry into force 
of this Agreement or the deposit of their inst ruments of ratification, whichever is later: 
  (a) Xxxxxx 
(b)  Yyyyy (c)  Zzzzzz 
 
Provided, however, that those obligations covere d by this sub-paragraph (ii) which are listed 
under a Notification submitted by a developing or least-developed Member, including low-income economies in transition, pursuant to para graph 3 above shall be applicable only after 
the expiration of the transition period indicated in such Notification. The provision of technical assistance and capacity building su pport to shorten the transition period for 
obligations listed under such Notification sha ll be in accordance with the provisions of 
paragraphs 21 and 26;  
 (iii)  Obligations not covere d under paragraph 11(ii) above sh all, without need for prior 
notification, be deemed as requiring the acqui sition of capacity to implement by individual 
developing or least-developed Members, including low-income economies in transition. 
These obligations shall be implemented by such Members only after: (a) the entry into force 
of the Agreement or the deposit of their respec tive instruments of ratification, whichever is 
later, (b) the provision of the necessary tec hnical assistance and capacity-building support 
hereunder; and (c) the submission of the Notif ications of acquisition of implementation 
capacity in accordance with paragraphs 16 to 18 hereafter; 
 
(iv)  All Members shall endeavour to implement to  the extent practicable, taking into account their 
individual capacity, as soon as possible after the en try into force of this Agreement or the 
deposit of their respective instruments of ratification, whichever is later, the following obligations: 
 
  (a) Aaaaa   (b) Bbbbb   (c) Ccccc   
Developing or least-developed Members may pr epare capacity building plans and submit 
their requests for technical assistance a nd capacity building support to implement the 
obligations under this sub-paragraph to de veloped Members and other donors, including 
relevant international organiza tions as appropriate and to the extent feasible within their 
organizational mandates. Such capacity buildin g plans shall conform to paragraph 7. On 
request, developed Members and other donors, in cluding relevant intern ational organizations 
as appropriate and to the extent feasible within  their organizational mandates, shall assist 
Members in this exercise of preparing and implementing capacity-building plans for obligations under this sub-para graph in accordance with the provisions of paragraphs 24 to 
26. TN/TF/W/142 
Page 6  
 
  (v)  Least-developed Members shall not be requi red to implement any of the obligations under 
sub-paragraphs (ii), (iii) and (iv) above unless their requests for the provision of technical 
assistance and capacity-building support in the c ourse of negotiations, including prior and up 
to the signing of the Agreement (such as, but not limited to, support for travel and training of 
officials to enhance participation in the nego tiations) and for needs and priorities assessments 
have been adequately responded to promptly a nd in a timely manner by developed Members 
on a demand-driven, need-based, and sustainable b asis, specifically tailored to the needs and 
requirements of each individual recipient country, and in accordance with paragraph 21. In addition, special consideration and attention shall be provided to least-developed Members 
with respect to the provision of the requisite technical assistance and capacity building 
support after the signing and entry into force of the Agreement, including but not limited to 
the provision of such additional time periods as they may require, for the conduct of capacity 
self-assessments, provision of notifications, th e preparation and implementation of capacity-
building plans, and the implementation of their obligations. 
 Implementation of trade facilitation capacity-building plans
 
 
12. For obligations under paragraph 11(iii) above, Members shall take  actions at the earliest 
possible moment to achieve compliance according to the implementation periods for the acquisition of 
capacity specified in the Notification under paragr aph 7 above. In this rega rd, on request, developed 
Members and other donors, including relevant intern ational organizations as appropriate and to the 
extent feasible within their organizational mandat es, shall assist developing and least-developed 
Members, including low-income economies in tran sition, in implementing their capacity-building 
plans in accordance with the provisions of paragr aphs 21 and 26. Developing and least-developed 
Members, including low-income economies in transi tion, shall commence the implementation of their 
capacity-building plans no later than [X] months  from the start of receipt of support for such 
implementation from developed Members and other donors. 
13. Progress in implementing notified capacity buildin g plans shall be reviewed by Members on a 
periodic basis. 
Verification of capacity acquisition  
 
14. At the end of each implementation period rela ted to the provision of capacity building and 
technical assistance with respect to  each obligation as contained in th e Notification under paragraph 7, 
the implementing developing or least developed Member and, if so agreed by the parties, the other 
parties involved3, shall assess whether capacity building and technical assistance has been effectively 
provided according to the mutually agreed term s and conditions and whether capacity has been 
acquired. 
15. Should this implementing developing or least -developed Member comes to the conclusion 
that capacity has not been satisfactorily acquired,  this Member shall so notify the TFTACBSU. The 
latter shall, upon receipt of such notification, imme diately assist the Member concerned in taking the 
necessary steps to satisfactorily acquire capacity as soon as possible. 
15bis.  Should such implementing developing or least-developed Member still deem itself as lacking 
in implementation capacity after the assistance refe rred to in paragraph 15 above has been provided, 
the TFTACBSU shall, within [X] months from the e nd of the initial implementation period for the 
capacity building plan notified under paragraph 7, report and make recommendations to the 
                                                      
3 The parties involved means: th e recipient Member, donor Members providing technical assistance 
and capacity building in that Member as well as the implementing agency.  TN/TF/W/142 
 Page 7 
 
 
  Committee on Trade Facilitation, which will review the matter and decide on a case-by-case basis on 
the appropriate action to take.     
Notification of the acquisition of capacity and applicability of implementation of trade 
facilitation obligations  
 
16. Members who deem themselves as having successfu lly acquired the capacity to implement a 
certain  obligation falling under paragraph 11(iii) sha ll notify this, at the latest 6 months after the 
capacity acquisition to the TFTACBSU. The obligation shall apply after this notification from a date 
to be indicated by the concerned Member. 
17. The Notifications of capacity acquisition ma y be modified as needed with up-dated 
information at any time prior to the date of applicatio n of the obligation. The date of application of the 
obligation may not, however, be modified unless su ch modification has been approved by the WTO 
Committee on Trade Facilitation. 
18. In case a Member fails to notify within the time period under paragraph 16, the obligation 
becomes applicable 6 months after the end of the capacity building implementation period of that 
obligation. 
Full implementation  
 
19. Members shall ensure full implementation of th e obligations contained in the Agreement in 
accordance with the provisions herein. 
C. KEY ELEMENTS OF TECHNICAL ASSISTANCE AND CAPACITY BUILDING  
Obligations of developed Members relating to technical assistance and capacity building 
support  
 
20. Developed Members, no later than [X] months from the date of the signing of the Trade 
Facilitation Agreement but prior to the entry into force thereof, shall: 
(i)  establish appropriate mechanisms or modaliti es for the provision of technical assistance and 
capacity-building support to developing and l east-developed countries th at lack the necessary 
implementation capacity to adopt and implemen t such obligations. Su ch mechanisms or 
modalities shall provide for simple and time- bound procedures to be followed for such 
assistance and support to be accessed, and shall also identify the financial and technical 
assistance resources that they are going to make available taking into account the elements in 
paragraphs 22, 24 and 26; and 
 (ii)  notify the WTO Secretariat’s TFTACBSU of the mechanisms or modalities and of the 
resources to be made available for technical  assistance and capacity building support referred 
to in sub-paragraph (i)  above.  
 21. Developed Members shall provide the requested technical assistance and capacity-building 
support no later than [X] months from the date of receipt of the request from a developing or least-
developed Member, including low-income economies in transition, for such assistance and support. 
Technical assistance and capacity building in the transitional provisions
 
 
22. Members shall carry out a clear and precise dia gnosis of the situation in each developing and 
least-developed Member, including low-income ec onomies in transition, through capacity self-TN/TF/W/142 
Page 8  
 
  assessment with, upon request, developed Member and other donor support to assist in this 
assessment exercise. Such assistance from developed Members shall be prompt, timely, demand-driven, need-based, sustainable, and specifically tailored to the needs and requirements of each 
individual recipient country. Such diagnosis shall ass ess and identify factors that need to be addressed 
which would otherwise compromise the success of domestic implementation of the obligations.  
While carrying out the diagnosis relevant work done in the context of the Integrated Framework for 
LDCs and other international or  regional development programmes may be taken into account, such 
as existing tools developed for this purpose by releva nt international organizations such as the World 
Bank and the World Customs Organisation.  
23. Developing and least-developed Members, includi ng low-income economies in transition, 
that lack capacity to carry out a capacity self-asse ssment shall so inform the TFTACBSU which shall 
circulate this information to Members and relevant international organizations in the field of trade 
facilitation.  Technical assistance and capacity building in th e phase of formulating capacity building plans
 
 
24. Members shall take into account the followi ng elements when providing on request technical 
assistance and capacity building:  (i) Capacity building plans shall provide for adequate long-term assistance and access to 
sustainable funding and also provide for post-implementation support. 
(ii) Training, deployment of in-country advisors, pa rticular attention to SMEs, to be reflected, as 
appropriate and as requested, in capacity building plans. 
(iii) Technical assistance and capacity building could be also provided to support initiatives to 
overcome sub-regional divides and facilitate regional or s ub-regional integration. 
(iv) To the extent practicable, account should also be taken of the implementation plans of 
neighbouring countries. 
 25. A developing-country Member that has not managed to finalize the capacity building plan 
shall so inform the TFTACBSU, whic h shall take the necessary steps to facilitate interaction with 
developed Members and other donors. On request , developed Members and other donors, including 
relevant international organizations as appropria te and to the extent feasible within their 
organizational mandates shall assist developing c ountry Members in formulating capacity building 
plans.  
General principles for technical assistance and capacity building support in implementing 
capacity building plans  
 
26. Members shall apply the following principles a nd elements for providing technical assistance 
and capacity building with regard to the implementation of this agreement: 
 (i) Provide technical assistance and capacity build ing in a manner that is demand-driven, need-
based, and specifically tailored to the needs and requirements of each individual recipient 
country. Further, such technical assistance and capacity-building shall be sustainable, i.e. 
provided over a reasonable period of time w ith adequate funding that will allow for the 
development of domestic implementati on capacities in the recipient country. 
(ii)  Reflect the overall developmental fra mework of recipient countries and regions. 
(iii)  Design and strengthen targeted technical assistance and capacity building with mutually 
supportive components to build trade facilitation capacity also taking into account already 
ongoing reform programs. Particul ar attention should be paid to ongoing trade facilitation 
reform activities of the private sector when designing support programs.  TN/TF/W/142 
 Page 9 
 
 
  (iv)  Coordinate with and betw een Members and relevant interna tional organizations coordinated 
with the Integrated Framework for LDCs. Avoi d inconsistencies in reform activities through 
close coordination of technical assistance and cap acity building interventions. In particular, 
strengthen coordination at the national level a nd build capacities to plan, manage, implement 
and monitor technical assistance and capacity building. 
(v)  To the extent practicable, assign focal points to coordinate the implementation of the trade 
facilitation Agreement both in donor  as well as in partner countries. 
(vi)  Facilitate in-country coordination structur es such as round tables and consultative groups to 
coordinate and monitor implementation activities. 
(vii)  Take into account developing countries in a position to do so to provide capacity building to 
other developing and least developed countries and consider supporting such activities.  
(viii)  Make efforts to reduce administrative burde ns for partner countries in the management of 
technical assistance and capacity building including for requests. 
(ix)  Provide trade facilitation-related technical assistance and capacity bui lding support which is 
additional and complementary to the develope d Members’ existing or already allocated 
resources for official development assistance.  Developed Members shall ensure that the 
provision of such assistance and support shall be  adequate, responsive to, commensurate with, 
and based on the capacity-building plans and requirements of the developing or least-developed Member requesting such assistance and support. 
(x)  Donors shall make efforts to organize av ailability of the required technical assistance 
identified in the capacity build ing plans as necessary to achieve implementation capacity. To 
the extent possible, financial assistance n eeded to put in place the necessary capacity, 
structures or processes for the implementation of  required procedural changes by Customs or 
other border agencies should be provided.  
 
Joint Platform for Cooperation and Coordination
 
 
27. Through the TFTACBSU, Members, as part of the work of the WTO Committee on Trade 
Facilitation, shall operate, without the creation of a new body outside the WTO, a joint platform on 
technical assistance and capacity building to fac ilitate the implementation of this Agreement. 
TFTACBSU shall not duplicate the activities of existing coordination mechanisms, but shall 
coordinate with them and use such instruments to he lp it fulfil its functions. It  shall take into account 
relevant work being carried out in the context of the Integrated Framework for LDCs, and other 
instruments for development. The TFTACBSU shall,  in addition to its terms of reference under 
paragraph 1bis above: 
(i) promote international transparency, cooperation and coordination of technical assistance in 
the field of trade facilitation, bringing t ogether donor Members a nd recipient Members, 
relevant international organiza tions, regional groupings, as we ll as other intergovernmental 
organizations with a role to play (e.g. UNC TAD, UN regional economic commissions, etc.); 
and 
(ii) help ensure, where necessary, coordinati on of assistance between donors and recipients so 
that recipients’ needs are matched with don ors, and that potential gaps are filled. 
 
28. A role may be provided for national and interna tional trade federations in such transparency 
and coordination efforts, where such trade federations are already providing assistance or investment in trade facilitation, are interested in doing so, or are directly affected by measures. 
D. E
XCEPTIONS  
29. Nothing in this Agreement shall be construed to prevent the adoption or enforcement by any 
developing or least-developed Member of measures that may be justified under GATT Article XX 
(General Exceptions) or GATT Article XXI (Security Exceptions). TN/TF/W/142 
Page 10  
 
  E. D
ISPUTE SETTLEMENT  
30. No developing or least-developed Member, in cluding low-income economies in transition, 
shall be brought by any other Member to disput e settlement proceedings under the Dispute Settlement 
Understanding in order to enforce compliance with  obligations that such developing or least-
developed Member, including low-income economies in transition, is not yet obliged to implement. 
31. Members shall prioritize the use of consultati ons, good offices, conciliation or mediation as 
mechanisms for ensuring compliance with the obligations, including the obligations relating to the 
provision of technical assistance and capacity build ing support under paragr aphs 20 and 21, which 
they are implementing. As the last resort, the Dis pute Settlement Understanding may be resorted to in 
order to settle disputes in this regard. 
  
   TN/TF/W/142
 Page 11 
ANNEX A 
 
CLASSES OF TRADE FACILITATION OBLIGATIONS* 
(Para. 11) 
Class A  
Mandatory Obligations – Pre-agreed closed list 
(Para. 11(i)-(iii)) 
 
• To be implemented by developed Members immediately after entry into force of Agreement  
 
Special and Differential Treatment for Class A Obligations  
Category 1 : 
Immediate Implementation af ter Entry into Force for:  
Para. 11(ii) 
 
Obligations without a transiti on period under Para. 11(i) 
 
• Closed list of obligations agreed upon by all Members 
• No technical assistance or capacity-building required 
• No notification required   
• To be implemented immediately after entry into force  
 
Except for : 
 
Obligations with a transition period  notified under Paras. 3 and 11(ii) 
 
• Open-ended list of obl igations (from the closed list above ) to be self-determined by each 
developing and least-developed Member (may be modified before entry into force under Paras. 4 
and 5) 
• Identified on the basis of capacity self-assessment 
• Capacity self-assessment to commence no later than [X] months from signing 
• Deferred implementation subject to transition period not to exceed [N] years 
• Notification to WTO Secretariat required af ter conclusion of capacity self-assessment   Category 2 : 
Deferred Implementation -  
Capacity Acquisition Required   
Para. 11(iii) 
 
• Includes all obligations not falling under Category 1 and Class 
B lists 
• Deferred implementation subject to capacity acquisition 
• Development and notification of capacity-building plan 
required 
• Capacity building implementation period based on capacity-
building plan 
• No special notification identifying the obligation to WTO 
Secretariat required   
• Notification of capacity acquisition required no later than 6 
months from date of capacity acquisition  (e.g. end of capacity-
building plan implementation period) 
• Implementation of obligation to take place on: (i) date indicated 
by Member after the date of notification of acquisition of 
capacity; or (ii) 6 months from end of capacity-building 
implementation period in case of failure to notify acquisition of 
capacity  
                                                      
* Note: Obligations do not enter into force for least-developed Members unless TACB during negotiations, prior to signing and en try into force of the Agreement, and 
post-entry into force, has been satis factorily provided. (Para. 11(v)).  
  TN/TF/W/142 
Page 12 • Implementation to take place upon expiration of notified transition period  
Class B  
Best Endeavour Obligations – Pre-agreed closed list 
(Para. 11(iv)) 
 
• Closed list of obligations agreed upon by all Members 
• TACB may be provided 
• No notification required  
 
 
Special provisions for LDCs:  
 
- Preamble – General Principles on Special a nd Differential Treatment (in particular, 3rd paragraph of preamble). 
- Para. 11(v) – Implementation of obligations not required unless,  prior to signing of TF Agreement, TACB during the negotiations  and for needs and 
priorities assessment have been provided. Special provision fo r post-entry into force capacity building and implementation supp ort also provided. 
- All provisions with respect to TACB in capacity self-assessment and the preparation and implemen tation of capacity building pla ns are applicable to 
LDCs. 
   
   TN/TF/W/142
 Page 13Core Group Proposal – TACB Steps and Implementation of Obligations 
 
   
 Signing of the TF Agreement  
   
 
 
Para. 1bis   
• Establishment by WTO Secretariat of Trade 
Facilitation Technical Assistance and Capacity-
Building Support Unit  
(TF TACB SU)  
[within 3 months from signing ]  Para. 20  
• Developed Members to establish modalities for 
TF TACB and to notify WTO Secretariat 
through TF TACB SU of such modalities 
[within [X] months from signing ] 
 
Para. 2  
• Capacity self-assessment by developing a nd least-developed Members for purposes of 
identifying Category 1  obligations to be subject to a transition period 
[start within [X] months from receipt of support from donors ] TACB for self-assessment to be provided: 
- on request pursuant to Paras. 2, 22, and 23; and 
- no later than [X] months from the date of 
receipt of request for TACB  (Para. 21) 
 
 
Para. 3  
• Notification of list of Category 1 obligations subject to a tran sition period under Para^s. 3 and 7(ii) in a Notification to be  submitted to 
TF TACB SU 
[no later than [X] months from co nclusion of capacity self-assessment ] 
 
 
Para. 6  
• Requirement to prepare capacity-building plans for Category 2  obligations  
[start within [X] months from receipt of support from donors ] TACB to develop capacity-building plans to be 
provided: 
- consistent with Para. 24 elements; and 
- no later than [X] months from the date of 
receipt of request for TACB  (Para. 21) 
 
  
  TN/TF/W/142 
Page 14 Para. 7  
• Requirement to notify capacity-building plan s to WTO Secretariat (TF TACB SU), identifying: (i) obligation applicable; (ii) ste ps; (iii) 
implementation period (no time limit); (iv) donor; (v) implementa tion agency;  (vi) TACB delivery benchmarks; (vii) other data 
[with [X] months from finalization ] 
 
  
Entry into force of the Agreement  
  
 
Para. 12  
• Implementation of capacity-building plan 
[implementation period based on what is stated in the plan  
as determined by the Member ] 
[start within [X] months from receipt of support from donors ] TACB to implement capacity-building plans to be 
provided: 
- consistent with Para. 26 elements; and 
- no later than [X] months from the date of 
receipt of request for TACB  (Para. 21) 
 
 
Para. 13  
• Periodic reviews of implementation of capacity-building plans 
[no specific time period for conduct of reviews ] 
  
Para. 14
 
• Verification of capacity acquisition at the end of implementa tion period for capacity-building plan by implementing Member 
[time limit subject to Paras. 19 and 21 ] 
 
Paras. 15 and 15bis  
• Continued lack of capacity as self-determined by implementing Member triggers first WTO Secretariat assistance (Para. 18) and t hen, after such 
assistance and continuing lack of capacity, report and recommenda tion by the WTO to the Committee on Trade Facilitation for app ropriate action 
[time limit of X years/months for Para. 18bis ] 
  
     
   TN/TF/W/142
 Page 15Para. 16  
• Requirement to notify TF TACB SU of Member’s self-determinati on of acquisition of capacity for Category 2 obligations no later than 6 months 
from date of such acquisition (e.g. end of verification process under Para. 14). Notification to include date for the start of implementation of 
Category 2 obligation. 
 
Para. 18  
• Failure to notify acquisition of capacity w ithin 6 months after verification of such  acquisition makes obligation applicable 6 months after the end 
of the capacity building implementation period. 
 
 
Implementation of Category 2 obligation takes effect:  
 
• After the entry into force of the Agreement (Para. 11); AND 
 
(i) On the date indicated by the Member in the no tification of capacity acquisition under Para. 16  (Para. 11(iii) and 16);  or 
(ii) 6 months after the end of the capacity building implementati on period indicated in the capa city building plan if notificat ion of 
acquisition of capacity under Para. 20 has been provided  (Para. 18). 
  
Dispute Settlement
 
• DSU not applicable  to obligations that the developing or least-dev eloped Member is not yet implementing (Para. 30). 
• DSU applicable as a last resort  (after consultations, good offices, conciliation or mediation) to enforce compliance with obligations that 
Members are implementing, including obliga tions of developed Members to notify TA CB modalities and provide TACB under Paras. 20  and 21 
(Para. 31). 
  
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