Asia Pacific Model E port Network Action Plan for …mddb.apec.org/Documents/2017/CTI/DIA2/17_cti_dia2_004.pdf2017/SOM2/CTI/DIA/004 Asia‐Pacific Model E‐port Network Action Plan

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2017/SOM2/CTI/DIA/004

Asia‐Pacific Model E‐port Network Action Plan for Supply Chain Framework Action Plan Phase II

Submitted by: APMEN Operational Center

3rd Public-Private Dialogue on Advancing Trade Facilitation and Supply Chain Connectivity Through

Asia-Pacific Model E-port NetworkHa Noi, Viet Nam

19 May 2017

Asia-Pacific Model E-Port Network

2017.5.19

APMEN Action Plan for

SCFAP Phase II

Dr. Li Li

Chief Expert of APMEN Operational Center


Asia Pacific Model E-port Network (APMEN)is an innovative pathfinder initiative

launched by APEC in 2014, as a pragmatic response to addressing pressing issues

related to trade facilitation, supply chain connectivity and regional economic

integration.

Background of APMEN

At the 28th APEC Ministerial Meeting in Lima, Ministers reaffirmed the

importance of carrying forward work related to APMEN, to advance

supply chain connectivity through E-port development and

collaborative efforts，welcomed the outcomes of the activities carried

out so far and encouraged economies to continue participating

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Chile became the tenth member economy of APMEN in this January. Two

ports (Lirquen Port and Coronel Port) were nominated to join APMEN.

So far, APMEN has 14 members from 10 APEC economies.

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In June 2005, WCO Framework of Standards to Secure and Facilitate Trade (SAFE) was adopted, aimed to

further enhance security and facilitation in global trade. A set of recommendations are provided by SAFE, such

as integrated Customs control procedures for Integrated Supply Chain Management, advance electronic

information on cargo and container shipments.

On the base of the practice and experience of SAFE, the WTO Trade Facilitation Agreement (TFA) concluded

negotiations at the 2013 Bali Ministerial Conference, entered into force on 22 February 2017, following its

ratification by two-thirds of the WTO membership. This is the first multilateral trade agreement to be

concluded since the WTO was established 20 years ago. The agreement sets out measures for effective

cooperation between customs and other appropriate authorities on trade facilitation and customs compliance

issues.

Background of the Action Plan

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WCO

WTO

International Context

The 24th AELM endorsed the Suggested Framework of the Supply Chain Connectivity

Framework Action Plan 2017-2020 (SCFAP II), and welcomed the implementation of the

plan to enhance trade facilitation and supply chain connectivity in the APEC region.

Background of the Action Plan

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SCFAP II

Concerning the international trade context and APEC regional objectives, APMEN planned to

continue efforts for APEC’s trade facilitation through working towards the implementation of

WTO TFA and the SCFAP (Phase II).


• The overarching goal of SCFAP II is “To reduce trade costs across supply chains and to improve

supply chain reliability in supporting the competitiveness of business in the Asia Pacific region.” To

realize the goal, it has outlined 5 chokepoints that need addressing for the period 2017 - 2020

Chokepoint 1:

Lack of coordinate border management and underdeveloped border clearance and procedures

Chokepoint 2:

Inadequate quality and lack of access transportation infrastructure and services

Chokepoint 3:

Unreliable logistics services and high logistical costs

Chokepoint 4:

Limited regulatory cooperation and best practices

Chokepoint 5:

Underdeveloped policy and regulatory infrastructure for e-commerce.

Objectives of the Action Plan

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• to understand the main challenges and difficulties in chokepoint 1,2 and 4;

• to propose feasible targets for APMEN to help address each chokepoint; and

• to identify the possible measurement indicators for the implementation of each chokepoint.

Chokepoint 1:

Lack of coordinate border management and underdeveloped border clearance and procedures

Chokepoint 2:

Inadequate quality and lack of access transportation infrastructure and services

Chokepoint 4:

Limited regulatory cooperation and best practices

Objectives of the Action Plan

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• To play more positive role in SCFAP II. Concerning the overarching goal of SCFAP II, together with

strategic framework and work plan of APMEN, the objectives of the Action Plan are as following:


Actions for chokepoint 1

Chokepoint 1:

Lack of Coordinated Border Management and Underdeveloped Border

Clearance and Procedures

Identify all border agencies and their respective forms and documents affecting

import and export.

Activities of APMEN:

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According to SCFAP II , under chokepoint 1, a series of activities are proposed to be considered.

Based on those proposed activities, considering APMEN’s objectives, APMEN is going to carry out

one of the activities to support SCFAP II, in order to ensure the safest security level for cross-border

trade while at the same time pursuing the goal of trade facilitation.

Indicators:


• Organize research on the TFA provisions relating to publication and transparency requirements;

• Specify the requirements of the TFA, propose a set of index for each economy;

• Study good practices and provide guidelines for economies;

• Propose the basic level of forms and documents published requirements in Asia-Pacific region and to reduce the risk

of any economy to be sued through WTO dispute settlement procedure;

Targets:

• Propose a set of TFA evaluation index in terms of the publication requirements for forms and documents;

• Case study of voluntary economies and share challenges and best practices with other APEC economies;

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Chokepoint 2:

Inadequate Quality and Lack of Access to Transportation Infrastructure

and Services

Establish an electronic data exchange network between ports and port/logistics

operations and their collaboration, such as but not limited to the Asia Pacific Model

E-port Network.


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Better connected port networks will ensure short transit times and reliable delivery schedules at

reasonable costs. APMEN has been written into the SCFAP II as one of the objectives under chokepoint

2. In the last 2 years since APMEN was launched in 2014, a series of work has been completed and

obtained the recognition and welcome from both APEC leaders and private sectors as well.

Promotion activities of APMEN will be continued in the following 2 aspects to realize the objective.”

Indicators:


• Encourage more APEC member economies to nominate their major cargo hubs or e-ports to join APMEN;

• Hold the PPD and Capacity Building Program;

• Advance pilot projects and discuss the operating mechanism.

Targets:

• Number of members and economies in APMEN

• Members and participants joined the PPD and Capacity Building Program

• Progress of pilot project

(1) Continue and complete the tasks in work plan endorsed by CTI.

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Indicators:


Targets:

• Software developed

• Intellectual property

(2) Develop a software to assist data exchange and connectivity among e-ports.

• Protect the security of the exchanged data;

• Transfer the data format of each economy into standardized format and be ale to exchange;

• Realize de-centralized exchange;

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Chokepoint 4:

Limited Regulatory Cooperation and Best Practices.


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Under chokepoint 4 of SCFAP II, 6 objectives have been stipulated, including:

“-Provide timely and accurate information on rules and regulations impacting

import and export activities；

-Ensure procedural and regulatory transparency in the development of trade-

related policies”

To support the addressing of this chokepoint, 2 activities will be carried out.



2. To study the possibility of establishing an information sharing platform for

complete supply chain, providing “manufacturer to consumer” information database

for significant consumer commodities (such as seafood, fruit, wine and beverage)

among APEC economies. Data is provided by interested institution, authorities and

companies voluntarily, including quality and quarantine certification, origin certificate,

logistic documents and related information.

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1. To develop an information sharing system of FTA preferential tariff policies

among APEC economies, to improve the transparency and accessibility of the FTA

related data and rules, and to enhance the utilization of preferential tariff rate,

especially for MSMEs.

Indicators:


• To improve the accessibility and transparency of FTA related information;

• To promote mutual understanding of the FTAs preferential policies;

• To reduce the trade cost and improve regional integration, by enhancing utilization of preferential tariff

rate, especially for MSMEs.

Targets:

• To establish a work group (delegates from co-sponsor economies)

• To complete the work schedule for the data sharing system

• Size and resource of data inputs to the system;

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To develop an information sharing system of FTA preferential tariff policies among APEC

economies ( Concept Note drafted to apply for APEC Funding in July )


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Supply Chain Participants

To study the possibility of establishing an information sharing platform for complete supply chain

Indicators:


• Improve transparency of the information of goods quality and logistic route;

• Have more resources and channels to get authentic information of certain goods, especially for E-commerce.

• Help both the import and export authorities to collect more information to carry out risk analysis and verification thereof;

• Support seamless and trackable movement of commodities between different modes of transport across geographical regions.

• Carry out study on “Port Community System(PCS)/E-Model Port system” project proposed by AMPEN’s member NSW Ports

and try to explore the cooperation opportunity with its “sender to receiver” supply chain program.

Targets:

• Organize work group

• Interested participants from institution, authorities and private sectors

• Workshop on the topic 17

To study the possibility of establishing an information sharing platform for complete supply chain


THANK YOU