Kazakhstan Enhances Trade Transit with Wtobacked Customs Reforms

The World Customs Organization (WCO) held an online workshop for Kazakhstan to support the implementation of Article 11 of the WTO Trade Facilitation Agreement, aiming to improve transit efficiency. The workshop focused on the role of the National Transit Coordinator and shared best practices. It provided support for Kazakhstan to optimize transit procedures and promote trade facilitation, strengthening its position as a transit hub in Central Asia. The initiative is expected to streamline customs processes and boost regional trade.
Kazakhstan Enhances Trade Transit with Wtobacked Customs Reforms

Imagine goods moving seamlessly between nations like vehicles on a highway—this is not just an ideal trade scenario but a powerful engine for economic growth. Kazakhstan is accelerating toward this goal. Recently, the World Customs Organization (WCO) tailored an online national transit workshop for Kazakhstan’s State Revenue Committee, injecting new momentum into the country’s efforts to build efficient transit corridors.

Focus on WTO TFA Article 11: The Pivotal Role of National Transit Coordinators

Held from November 24 to 26, 2020, the workshop centered on the theme “National Transit Coordinators—WTO Trade Facilitation Agreement (TFA) Article 11.” Its success was made possible with substantial support from the United States Agency for International Development (USAID).

Through a streamlined video conferencing platform, WCO experts engaged in in-depth discussions with nearly 50 officials from Kazakhstan’s Customs Service. Opening remarks were delivered by Eldos Saudabaev, Director of the Control Department at Kazakhstan’s State Revenue Committee; Robert Parker, USAID Central Asia Regional Trade Team Leader; and representatives from the WCO Secretariat. They unanimously emphasized the critical role of efficient transit mechanisms in enhancing economic competitiveness.

Notably, Kazakhstan recently appointed a national transit coordinator. The workshop aimed to provide capacity-building support for the State Revenue Committee to implement WTO TFA Article 11, the “Freedom of Transit” clause, in a coordinated manner.

WCO’s Comprehensive Support: Tools, Initiatives, and Best Practices

The virtual workshop delivered substantial value, with WCO experts presenting a comprehensive overview of the organization’s tools, initiatives, and best practices in transit management. Dedicated sessions explored the principles of transit freedom, relevant WTO TFA provisions, and the roles and responsibilities of national transit coordinators.

Key Workshop Highlights:

  • WCO Transit Toolkit: Detailed guidance on WCO transit frameworks and security measures to enhance Kazakhstan’s transit governance.
  • Risk Management and Compliance: Emphasis on risk assessment in transit security, leveraging data analytics and intelligence to identify and mitigate risks.
  • Technology and Innovation: Discussions on blockchain, IoT, and other emerging technologies to improve transit efficiency, transparency, and cost-effectiveness.
  • International Collaboration: The importance of cross-border cooperation to combat smuggling and ensure transit security, with encouragement for Kazakhstan to strengthen ties with neighboring countries and global organizations.
  • Case Studies: Insights from other customs administrations to share successful transit management models for Kazakhstan’s adaptation.

Kazakhstan’s Positive Feedback and Future Prospects

“The workshop was exceptionally informative. The knowledge and expertise gained will significantly benefit our future work in customs transit,” stated a representative from Kazakhstan’s State Revenue Committee during the closing session.

This WCO-led initiative has provided robust support for Kazakhstan to enhance transit efficiency and trade facilitation. Moving forward, the country is poised to optimize transit procedures, reduce trade costs, and attract investment, reinforcing its position as a regional transit hub in Central Asia.

Deep Dive: WTO TFA Article 11 and the “Freedom of Transit” Principle

WTO TFA Article 11, “Freedom of Transit,” is a cornerstone of international trade, ensuring unimpeded movement of goods across member territories. Its core tenets include:

  • Minimizing Delays: Parties must avoid unnecessary transit delays or restrictions, except for justified reasons like public health or environmental protection.
  • Non-Discrimination: Transit goods must receive treatment equal to domestic goods, without discriminatory measures.
  • Transparency: Laws, procedures, and fees related to transit must be publicly accessible to traders.
  • Coordination: Member states must collaborate to resolve transit challenges, such as border congestion or data-sharing gaps.

The National Transit Coordinator: A Catalyst for Change

National transit coordinators play a vital role in implementing Article 11. Their responsibilities include:

  • Interagency Coordination: Aligning customs, transport, and border agencies to streamline transit processes.
  • Policy Development: Drafting transit regulations compliant with WTO TFA standards.
  • Problem-Solving: Addressing transit bottlenecks like cargo delays or clearance inefficiencies.
  • Stakeholder Engagement: Raising awareness among traders about transit reforms.
  • Global Partnerships: Fostering regional and international cooperation for seamless transit networks.

The workshop deepened Kazakh officials’ understanding of these principles, equipping them to drive transit modernization. With ongoing support from the WCO and USAID, Kazakhstan is set to unlock greater trade potential and regional connectivity.