Inventory Approach to Improve Supply Chain Connectivity in APEC Economies

Transcription

1 Inventory Approach to Improve Supply Chain Connectivity in APEC Economies Asia Pacific Public Sector Linkages Program May 17, 2012, Ho Chi Minh City, Vietnam John S. Wilson International Trade and Integration Unit Development Economics Research Group, World Bank 1

2 Agenda 1. Introducing Chokepoint 1 of APEC s Supply Chain Connectivity Action Plan 2. World Bank-APEC Inventory Approach to Address Supply Chain Connectivity 3. Project Components Inventory, Diagnostic Reports, and Capacity Building 4. Value proposition 4. Expected Outcomes 5. Next Steps 2

3 SC Connectivity Framework In 2011, APEC Ministers noted: enhancing supply chains to reduce the time, cost, and uncertainty of moving goods and services throughout the region continues to be a priority given its importance to trade and economic growth. APEC Addresses Supply Chain Efficiency Through Supply-Chain Connectivity Framework I. Identifies chokepoints in existing supply-chain networks II. Identifies work streams that would address these chokepoints Framework builds and expands on Trade Facilitation Action Plans (TFAPs) in place since 2002 Builds on policy recommendations from APEC supply-chain connectivity symposium in May

4 Chokepoints in SC Connectivity Framework Chokepoint 1: Lack of transparency/awareness of the full scope of regulatory issues affecting logistics; Lack of awareness and coordination among government agencies on policies affecting logistics sector; Absence of single contact point or champion agency on logistics matters. Chokepoint 2: Inefficient or inadequate transport infrastructure; Chokepoint 3: Lack of capacity of local/regional logistics sub-providers. Chokepoint 4: Inefficient clearance of goods at Customs; Lack of coordination among border agencies, especially relating to clearance of regulated goods at the border. Chokepoint 5: Burdensome customs documentation and other procedures Chokepoint 6: Underdeveloped air, land, and multimodal connectivity. Chokepoint 7: Variations in cross-border standards and regulations for movement of goods, services and business travellers. Chokepoint 8: Lack of regional cross-border customs-transit arrangements 4

5 SC Connectivity Action Plan The inventory project helps evaluate progress to date on Chokepoint 1 of APEC s Supply Chain Connectivity Framework Chokepoint 1: Lack of transparency/awareness of full scope of regulatory issues affecting logistics; Lack of awareness and coordination among government agencies on policies affecting logistics sector; Absence of single contact point or champion agency on logistics matters 5

6 Supply Chain Connectivity Inventory Project Goals Synthesize World Bank research and learning into policy suggestions to address chokepoint 1 of SCAP Develop a tool to inform trade facilitation capacity building and benchmark progress Contribute to APEC goal of 10% improvement by 2015 in Supply Chain Performance Act as model for addressing other chokepoints within APEC SCAP 6

7 Inventory Approach to Enhancing Trade Facilitation Inventory approach A list of mutually agreed upon reforms/policies that advance the action plan for chokepoint 1 of the supply chain connectivity framework Led by the World Bank, in conjunction with APEC lead economies Australia; Hong Kong, China; Japan; and the United States Project Components Supply Chain Inventory/Checklist Diagnostic Reports Regional Capacity Building

8 Supply Chain Connectivity Inventory- Project Components 1. Inventory/Checklist - Key themes to target/include: Simplification, Practicality, and Efficiency (cost of moving goods, time to move goods, border issues) Consistency and Predictability (tariff transparency, time to move goods, advanced rulings) Communication (enhanced coordination, information dissemination, etc.) Modernization and the use of new technology (e.g. internetbased platforms) 8

9 Elements of SC Inventory Provides APEC-supported Guidelines on: Coordinating policy with regards to regulation, standards, and trade procedures amongst APEC economies Engaging APEC stakeholders to comment on proposed laws, regulations, procedures and administrative filings Promoting transparency through publishing laws, regulations, and procedures and administrative rulings Developing anti-corruption rules and procedures Promoting business certainty by providing access to due process/legal recourse; implementing advanced ruling guidelines 9

10 Supply Chain Connectivity Inventory- Project Components 2. Diagnostic Reports: APEC and Bank Identifies policy variances with respect to SC checklist Led by World Bank Research Group Trade Team, in collaboration with experts in East Asia and Pacific (EAP) region Recommends steps to implement the SC checklist and contribute to mid-term review of action plan Analysis based on APEC member priorities; Draws on existing indicators 10

11 Supply Chain Connectivity Inventory- Project Components 3. Capacity Building Provides technical assistance in implementing recommendations of diagnostic report; Leverages expertise of World Bank staff, along with APEC lead economies (U.S., Japan, Australia and Hong Kong China) Capacity building seminars; Operational and relevant 11

12 Supply Chain Connectivity Inventory Value Proposition 1. APEC Member Driven Consensus driven; APEC-wide member support Builds off Past APEC Transparency Work 2. Analytically Rigorous Combines advanced empirical analysis drawing on leading indicators with practical and forward looking policy checklist 3. Model for Other Chokepoints Test case to adopt inventory approach to other chokepoints (e.g. customs mgt, transport infrastructure, logistics agent capacity) Approach can be key tool to achieve APEC-wide goal of 10% improvement in supply-chain performance 12

13 Supply Chain Connectivity Inventory- Expected Outcomes Endorsed inventory highlighting effective reform to enhance supply chain productivity Useful tool to coordinate policy reform and benchmark progress Approach is blueprint for other chokepoints Contribution to APEC-wide target of a 10% improvement by 2015 in Supply Chain performance 13

14 Next Steps Finalization of Inventory; Bank Develops Framework/Outline for Diagnostic Report (May-June 2012) Analysis and writing of diagnostic reports first report - June-December 2012 second report - June-December 2013 Targeted technical assistance program to promote adoption of results in diagnostic report ( ) 14

15 Summary Inventory approach blends research and operations in a forward looking manner Successful implementation can promote action-oriented reform and help accomplish SC Action plan prior to 2015 amongst APEC economies Project crucial test for applying inventory approach to other chokepoints of the SCAP 15

16 Thank You John S. Wilson Lead Economist Development Economics Research Group The World Bank Econ.worldbank.org ts