1 Issues in Standard-setting work Workshop on the Role of International Standards in multilateral trade agreement, Geneva, 25 September 2006 Tadatsugu Toni Matsudaira World Customs Organization (WCO)

2 Topics Definition Definition Standardization Standardization Representability in standard- setting Representability in standard- setting How to increase the sponsors? How to increase the sponsors?

3 Definition -- WTO/TBT Agreement -- Document approved by a recognized body, that provides, for common and repeated use, rules, guidelines or characteristics for products or related processes and production methods, with which compliance is not mandatory. It may also include or deal exclusively with terminology, symbols, packaging, marking or labelling requirements as they apply to a product, process or production method. (Annex 1 Paragraph 2)

4 Definition -- ISO/IEC Guide 2 -- … The terms as defined in ISO/IEC Guide 2 cover products, processes and services. … Standards as defined by ISO/IEC Guide 2 may be mandatory or voluntary. (WTO Homepage) ISO/IEC Guide 2 is available at ISO, charged at 154 Swiss Francs (CHF).

5 Definition -- WTO/TF negotiations -- (T)he term "international standards" shall be understood to refer [inter alia] to [a selection of] standards, guidelines and recommendations being parts of International Conventions or Agreements related to facilitating international trade and administered by relevant International intergovernmental organizations.(TN/TF/W/131)

6 WCO standards (examples) HS Convention WCO Data Model Revised Kyoto Convention Istanbul Convention Immediate Release Guidelines Time Release Study Guide

7 In some cases, the sponsors are too few In some cases, the sponsors are too few Todays 75% happiness vs tomorrows 100% happiness Todays 75% happiness vs tomorrows 100% happiness Ownership of standards (the question of representability in standard-setting) Ownership of standards (the question of representability in standard-setting) Needs to update vs implementation capacity Needs to update vs implementation capacity Insufficient capacity building Insufficient capacity building Standardization

8 Sponsorship (mixed picture) HS Convention (121) Istanbul Convention (50) Revised Kyoto Convention (50) Successful More efforts required + Not only the numbers but the balances of the members, e.g., in terms of geography and/or level of developments are also important in order to establish international standards. 69% Developing countries 42% 34%

9 Low Country Xs welfare High High Country Ys welfare Low Status quo You should change yours to mine You should change yours to mine International Standards MRA International Standards based on Xs International Standards based on Ys (Situation can be not only cross countries but also cross sectors.)

10 Participation All 6 regions participation is secured. Circle charts indicate the participation in the meetings (% to the total number of the WCO). Bar charts indicate the participation of developing countries (% to the total number of attending countries). 36% 41%86% 56%69%74%

11 WCO standards evolution (not exhaustive) Convention establishing CCC (1950) HS Convention (1987) Harmonization of coding and data Standardization of procedures Simplification and modernization of procedures Support tools for national TF initiatives Revised Kyoto Convention and its Guidelines(1999) Recommendation on Pre-entry classification (1996) Immediate Release Guidelines (2003) Guidelines for Express Consignments Clearance (1993) Data Model Version 2.0 (Guide) (2005) Post-clearance audit Guidelines (2006) Istanbul Convention (1990) Resolution on UCR and Implementation Guide (2004) Data Model Version 1.0 (Guide) (2002) Time Release Study (Guide) (2003) Recommendation on the use of WWW (1999) Risk Management Guide (2003) Benchmarking Manual (Guide) (2003) ICT Guidelines (2004) ISCM Guidelines (2005) ATA Convention (1963) AEO Guidelines (2006) Data Model Version 1.1 (Guide) (2003) HS Convention (2007) HS Convention (2002) HS Convention (1996) Diagnostic Framework* (Guide) (2003) *Diagnostic Framework is a living document and contains entire Customs themes, including the TF Kyoto Convention (1973)

12 3 rd Generation: Use of international standards -- TN/TF/W/ shall use relevant international standards or parts as a basis shall use relevant international standards or parts as a basis in addition, are encouraged to use regional standards in addition, are encouraged to use regional standards exception with rationale that must be accountable (to explain why not use them) exception with rationale that must be accountable (to explain why not use them) are encouraged to take part in standard-setting and managing work are encouraged to take part in standard-setting and managing work WCO is listed in the annex WCO is listed in the annex

13 For more information