Cabinet approves WTO's trade facilitation pact

NEW DELHI: The Union Cabinet on Wednesday approved the proposal for notification of commitments under the Trade Facilitation Agreement (TFA) of the World Trade Organization ( WTO).

The agreement, which is part of the WTO's Bali ministerial package of 2013, contains provisions for expediting the movement, release and clearance of goods, including goods in transit. It also sets out measures for effective cooperation between customs and other appropriate authorities on trade facilitation and customs compliance issues.

“These objectives are in consonance with India’s ease of doing business initiative,” said an official release.

The Cabinet also approved the ratification and acceptance of the Instrument of Acceptance of Protocol of TFA to the WTO Secretariat and constitution of the National Committee on Trade Facilitation (NCTF).

The committee would be set up under the joint chair of the revenue and commerce secretaries to facilitate both domestic coordination and implementation of the provisions of the agreement.

The agreement will come into force after it is formally accepted by two-thirds of the WTO membership. Till now, 69 countries of the 162 members of the WTO have ratified this pact.