TFA will change the world

It has now gone almost eight months since the World Trade Organization (WTO), Trade Facilitation Agreement (TFA) entered into force. TFA or the Bali package as it is also called, is the first global trade agreement in decades. Even the moderate predictions on how the TFA will boost international trade and positively impact the global GDP are impressive.I think it will be even more important than that. Today we know that trade is a way to development. Trade growth and improves the life of people. Trade also has a positive impact on stability and peace; the European history is an example on that.

When TFA entered into force, we got an opportunity we never had before and it happened in a time when there is uncertainty in the world. Now Trade Contact Groups, Stakeholder Engagement Platforms, Single Windows and AEO/Trusted Trade programmes – with measureable benefits – are not voluntary any more, but mandatory according to international law for all WTO members. The time lines for implementation, depending on the categories are still under development, but the fact is there, we have taken a huge step forward to a more advanced and facilitated trading system.   

It is sometimes said that TFA is a Customs agreement, and it is true that the main components of the TFA are Customs related, but TFA is much more than that. It involves all stakeholders of the international supply chain and all agencies involved in cross border trade.

This is a unique opportunity and a momentum for the world and let us make sure we do not miss this penalty kick. This one we need to score.

We in KGH has developed two services (packages) to support Governments/Customs and Private Sector in estimating what TFA means and how to utilize and implement the positive consequences of the agreement. If you want to know more about our ‘KGH TFA Government’ or the ‘KGH TFA Business’ packages, please let me know and I will send you the information.