Switzerland WCO Aid Bolivias Customs Modernization for Trade

The WCO conducted an assessment of Bolivia Customs' implementation of the Mercator Agreement, recommending improvements in areas such as risk management and advance rulings. Bolivia expressed its gratitude and appreciation for the recommendations. The assessment highlighted the need for enhanced efficiency and transparency in customs procedures to further facilitate trade and economic growth. Bolivia acknowledged the value of the WCO's expertise and committed to implementing the suggested improvements to strengthen its customs operations and better align with international standards. This collaboration underscores the importance of international cooperation in promoting trade facilitation.
Switzerland WCO Aid Bolivias Customs Modernization for Trade

Imagine a world where cross-border trade flows as smoothly as vehicles on a highway, with customs clearance operating as efficiently as autonomous driving. This vision, once considered distant, is now being actively pursued by the World Customs Organization (WCO) and its partners. From November 28 to December 1, 2022, under the framework of the Global Trade Facilitation Programme (GTFP) jointly initiated by the Swiss State Secretariat for Economic Affairs (SECO) and WCO, a team of WCO experts conducted a follow-up assessment of Bolivia's National Customs Office (Aduana Nacional - AN) based on the Mercator Programme standards.

The Importance of Global Trade Facilitation

In an increasingly interconnected global economy, trade facilitation has become a crucial factor in enhancing national competitiveness. The World Trade Organization's (WTO) Trade Facilitation Agreement (TFA) aims to reduce trade costs and promote cross-border commerce through simplified customs procedures, increased transparency, and enhanced cooperation. As one of the first beneficiary countries of the SECO-WCO GTFP, Bolivia has actively committed to implementing TFA provisions to secure a more favorable position in global trade.

The Mercator Programme: Foundation for Trade Facilitation

The Mercator Programme, while not a formal legal document, represents WCO's comprehensive set of trade facilitation tools and standards designed to help customs administrations evaluate their facilitation levels and implement appropriate improvements. Covering customs procedures, risk management, information technology applications, and international cooperation, it provides an essential framework for customs reforms worldwide. The WCO's follow-up assessment in Bolivia aimed to comprehensively evaluate the country's actual progress in trade facilitation under this framework.

Assessment Findings: Notable Progress in Key Areas

During the four-day assessment, WCO experts examined Bolivia's advancements in critical areas like risk management and advance rulings. Risk management forms the core of modern customs administration, allowing authorities to focus limited resources on high-risk areas while minimizing interference with low-risk goods. Advance rulings provide legally binding decisions on classification, valuation, and origin before goods arrive, enhancing trade predictability and reducing disputes.

The assessment revealed significant progress since 2018, including the establishment of a robust risk assessment system and the implementation of advance ruling procedures. These developments demonstrate Bolivia's substantive achievements in implementing TFA provisions.

Stakeholder Engagement: Building a Collaborative Trade Ecosystem

To ensure comprehensive evaluation, WCO experts engaged extensively with other border agencies and private sector representatives. These stakeholders play vital roles in international trade chains, and their participation helped identify both challenges and opportunities in Bolivia's trade facilitation landscape. Through dialogues with import/export associations and border management agencies, the assessment team gained valuable insights for creating a more cooperative trade environment.

Expert Recommendations for Sustainable Implementation

Based on findings, WCO experts provided Bolivia with several recommendations to ensure sustainable implementation of trade facilitation measures:

  • Capacity Building: Enhance continuous training for customs officials in risk management, advance rulings, and IT applications
  • Legal Framework Improvement: Align trade facilitation regulations with international standards and best practices
  • Interagency Cooperation: Strengthen collaboration between customs and other border agencies through information sharing
  • Technology Adoption: Expand use of electronic systems for declarations, payments, and releases
  • Private Sector Engagement: Establish regular communication channels with businesses to address operational challenges

Bolivia's Commitment and Future Prospects

Bolivia's National Customs Office expressed strong appreciation for WCO's recommendations and gratitude for SECO-WCO GTFP's ongoing support. Recognizing trade facilitation as crucial for national competitiveness, Bolivia remains committed to full TFA implementation to create more favorable trade conditions and stimulate economic growth.

With continued GTFP support, Bolivia is poised to make further progress in trade facilitation, contributing to global trade prosperity while providing valuable lessons for other developing nations.

The GTFP: Driving Global Trade Forward

The SECO-WCO GTFP represents a global initiative assisting developing and transition economies in implementing WTO's TFA to enhance trade efficiency and economic development. Through technical assistance, capacity building, and policy advice, the program helps customs administrations improve management, streamline procedures, and strengthen international cooperation, having already achieved notable success across multiple countries.

The Future of Trade Facilitation

Amid global economic challenges, trade facilitation plays an increasingly vital role in promoting recovery and sustainable development. By simplifying procedures, enhancing transparency, and fostering international cooperation, we can reduce trade costs and inject new vitality into the global economy. Initiatives like SECO-WCO GTFP not only support this process but also help envision a more efficient, inclusive global trade system for future prosperity.