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The Business Contribution to Development and Safe Trade
UN Economic Commission for EuropeSecond International Forum on Trade Facilitation, 15 May 2003
Patrick de SmedtChairman, Microsoft EMEA
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Overview
“No nation was ever
ruined by trade.”Benjamin Franklin
The twin pillars of business support: Developing markets Creating a safe trading environment
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Developing Markets – Overview
Types of industry support:
Foreign direct investment Skills gap
Solution development
Open standards
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Developing Markets – Direct investment
More than just money at stake OECD has identified many valuable spill-over effects A few recent examples:
Renault – €230 million in Russia
Bayer – €3 billion in China
Microsoft – €80 million in China– European Microsoft Innovation Centre– Microsoft Research Cambridge
Partner ecosystem
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Developing markets – Addressing the skills gap
Skills gap impairs growth worldwide Career Space: public/private initiative to develop
academic guidelines WEF Digital Divide Task Force NEPAD
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Developing markets – Support for open standards
XML, web services Streamlining customs operations UNeDocs and Microsoft technology support Opportunity for SMEs and developing countries
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Developing Markets – Enabling solutions
Technology enables market development Thaigem.com – Thai gem sales Everythingaboutwater.com – Indian water sales Dubai – eMirsal Customs On-line Service Czech customs project
Entirely new private network 80% of customs declarations electronic First Eastern European link to NCTS
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Trade safety – Overview
Key business issues for improved trade safety:
Supply chain security management
Export control regimes
Piracy and counterfeiting
Safe and trustworthy computing
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Trade safety – Piracy and counterfeiting
Pirates and counterfeiters support many types of illegal activities
IP theft – illegal software rates: 36% worldwide 34% in EU 63% in Eastern Europe
Industry action plan: Public awareness campaigns Education Programs Joint efforts with Government Regulators
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Trade safety – Safe computing
Safe trading requires safe and secure computing The Microsoft response
“Trustworthy Computing is computing that is as available, reliable and secure as electricity, water services and telephony”
Four pillars of TWC: reliability, security, privacy and business integrity Universal Postal Union Project: secure digital signatures leading to safer
trade
Great security will increase trade safety and expand consumer confidence in trade and development
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Trade safety – Supply chain security
Supply chain security critical in the modern trans-border economy
New technologies help ‘Smart’ shipping containers Shipping content tracking software
Public/private partnerships improve security and customs efficiencies
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Trade safety – Export Control Regimes
The realities of a post 9/11 world New rules should be multilateral and transparent Remember history – the flawed attempt to control
encryption in the 1990s Working together to find the best balance:
Security vs. efficient trading
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Conclusions
Industry has an important role Developing markets improves local conditions and
expands trade Trade safety is vital to the continued trust and support
of the free trade system More than just trade – all these efforts help bring
developing countries into the global economy
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Thank You