Trade Facilitation is Still a Worthwhile Objective

Abstract

Trade facilitation is vital to the future of international trade. Although tariffs have been reduced throughout the world in recent decades, there still remains significant barriers to trade – these barriers could be reduced by investing in trade facilitation. Many countries, especially developing countries, have not taken advantage of these tariff decreases and of the resulting increased inter-national trade. Investment in trade facilitation would be both cost effective and allow developing countries to engage in more trade, especially in the emerging global supply chain system. The Trade Facilitation Agreement negotiated by the World Trade Organization in December 2013 & July 2014 failed to gain the consensus required. However, even after this setback, trade facilitation is still a worthwhile objective and would be considerably beneficial to international trade.