16.12.02WTO’s FTA Now in Final Countdown

Dominica and Mongolia have ratified the World Trade Organization’s Trade Facilitation Agreement (TFA), putting the total number of ratifications from members at 100. With just 10 more ratifications from members needed to bring the TFA into force, the final countdown begins for realizing a global deal that could boost global merchandise exports by up to $1 trillion per annum by slashing trade costs and cutting red tape at the border.

Dominica’s and Mongolia’s instruments of acceptance were submitted to the WTO on November 28.

According to a 2015 study carried out by WTO economists, full implementation of the TFA would reduce members’ trade costs by an average of 14.3 percent, with developing countries having the most to gain. The TFA also has the ability to reduce the time to import goods by over a day and a half while also reducing time to export by almost two days, representing a reduction of 47 percent and 91 percent respectively over the current average.