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Technical Capacity Building Workshop

on Afghanistan’s Accession to WTO

New Delhi, 22-24 August 2012

Report South and South-West Asia Office (ESCAP-SSWA) UN-Economic and Social Commission for Asia and the Pacific (ESCAP) C-2 Qutab Institutional Area, New Delhi-110016, India Email: [email protected]

International Trade Centre (ITC) 54-56 Rue de Montbrillant, 1202 Geneva, Switzerland Postal address : Palais des Nations, 1211 Geneva 10, Switzerland

2 Technical Capacity Building for Afghanistan’s Accession to WTO

Abbreviations

ESCAP-SSWA : ESCAP South and South-West Asia Office

FICCI : Federation of Indian Chambers of Commerce and Industry

GATS : General Agreement on Tariffs and Trade

IIFT : Indian Institute of Foreign Trade

ITC : International Trade Centre

LDCs : Least developed country

MFTR : Memorandum on the Foreign Trade Regime

MoCI : Ministry of Commerce and Industry – Afghanistan

SAWTEE : South Asia Watch on Trade, Economics & Environment

SPS : Sanitary and Phytosanitary measures

UN ESCAP : United Nations Economic and Social Commission for Asia and the Pacific

WTO : World Trade Organization

Disclaimer: The views expressed in this report are those of the author(s) and should not necessarily be considered as reflecting the views or carrying the endorsement of the United Nations or its member states.


INTRODUCTION

ESCAP South and South-West Asia Office (ESCAP-SSWA) in New Delhi, in collaboration with

the International Trade Centre (ITC) based in Geneva organized a public - private dialogue from

22 to 24 August 2012 in New Delhi to assist in building capacity in Afghanistan for its Accession

to the WTO. Afghanistan applied for WTO Membership in 2004 and the Second Working Party

was set up 2012 indicating that the negotiations has entered an active phase.

In line with the Istanbul Programme of Action (IPA) which underlines the importance of

supporting and facilitating the accession of LDCs to the WTO, and the Almaty Programme of

Action that emphasizes on the need to assist landlocked countries in their WTO accession, this

capacity-building Programme on WTO Accession of Afghanistan was mainly designed to initiate

and nurture a well-informed and structured policy dialogue between public and private sector

officials by addressing knowledge-gaps and related trade policy and development issues.

Recognizing that each accession process is unique, the three day programme (Annex 1) was

customized, and reflected the specific issues of interest to the Afghanistan’s WTO Accession

process. The programme covered a diverse set of subjects relating to the accession process

and negotiations including rules, market access, trade in services, standard and SPS

Agreement, generating a rich debate among the participants. Besides, the programme also

drew lessons from Nepal’s experience as the first Least Developed Country to have acceded to

the WTO and helped national officials develop a road map for WTO accession.

The participants at the workshop included 22 officials from Ministry of Commerce and Industry

and several leading trade chambers in Afghanistan. The list of participants is at Annex II.

ESCAP-SSWA and ITC considered the workshop as the first in a series of planned activities to

assist Afghanistan for the accession process with more specific themes to be addressed in

subsequent capacity building exercises in the future. As Afghanistan is moving into a crucial and

demanding phase of accession negotiations, with several Working Party meetings scheduled

from 2012 to 2014, this type of programme would gain even more relevance over time.

BACKGROUND: WTO ACCESSION OF AFGHANISTAN

Since applying for WTO Membership in 2004, the Government of Afghanistan has worked

actively to accelerate the WTO accession process. Led by the Ministry of Commerce & Industry,

the Government has identified policies and laws to be brought into compliance with WTO, and

started to develop initial offers for market access negotiations in goods and services. The

second Working Party of the Accession of Afghanistan took place in 2012 which signaled that

http://northcentral-sro.unescap.org/


the process has entered into higher gear of negotiation. WTO Members, during the Eighth WTO

Ministerial Conference (December 2011), applauded the Government of Afghanistan for its

liberal and export-led strategy as a basis for negotiating WTO membership. However,

Afghanistan’s strong Government commitment alone will not be sufficient to conclude the

negotiations; technical capacity and dialogue will need to be stepped-up in order to ensure

backing of all players.

In Afghanistan, as in most acceding countries, enhanced technical capacity of all stakeholders,

public and private sector, will be required to establish and nurture meaningful dialogue

throughout the negotiation process. In specific, a wider and deeper awareness of not only the

benefits of openness, competition and the role of the WTO but also the importance of

preserving the policy space for development is needed to bring about a national consensus for

WTO Membership. A pro-active and constructive dialogue among key stakeholders in particular

with the private sector, is needed in informing and consulting their member-base, as well as

advocating their business interests in the negotiation process. This can only exist upon

enhancing their understanding of the pros and cons of WTO Accession for their country.

Day 1: Wednesday, 22 August 2012

Inaugural Session

Dr. Nagesh Kumar, Chief Economist of ESCAP and Director, ESCAP-SSWA welcoming the

chief guest His Excellency H E Shaida M. Abdali, Ambassador of Afghanistan and other guests

and participants stated that he was greatly encouraged by the overwhelming positive response

received from the Government of Afghanistan when the proposal was forwarded to capital Kabul

through the Embassy, in particular from H.E Mozammil Shinwari, Deputy-Minister of Commerce

and Industry who responded immediately endorsing this programme.

He further emphasized that UNESCAP SSWA has committed to support Afghanistan in

providing technical assistance capacity building and training to support Afghanistan’s national

effort of integrating with the world economy. In that light the accession to the World Trade

Organization (WTO) which is the only multilateral trade rule making body is an important step

for small countries like Afghanistan to further harness the benefits of participation in

international trade despite the fact that Doha Round of trade negotiation is currently lagging

behind. WTO membership can also help Afghanistan to initiate vital domestic legal and

economic policy reform

He highlighted the importance of weighing the cost of accession to the WTO against the

benefits, which would otherwise result in compromising vital national interest such as loss of


policy space that is needed to address future development needs of Afghanistan. In concluding

his opening remarks, it was stated that this programme on WTO accession would not be one off

event but the ESCAP-SSWA in partnership with the ITC would be happy to continue the

programme in accordance with the specific need of the Government of Afghanistan including for

building productive and trade capacity for taking advantage of the market access that may

become available from a successful accession to WTO.

Mr. Rajesh Aggarwal, Chief, Business and Trade Policy, ITC, Geneva, while thanking

UNESCAP for its collaboration for hosting this workshop, described this three-day event as the

first of its kind being organized by the International Trade Centre (ITC) in partnership with

UNESCAP, in support of Afghanistan’s bid to WTO membership. He observed that this

workshop was a part of ITC and WTO’s joint programme on building trade capacity for acceding

LDCs under which ITC had supported Samoa, which acceded earlier this year, Lao PDR and

Yemen, which are likely to complete their accession process later this year, and Ethiopia, where

the pace of negotiations is yet to pick up.

While emphasizing the importance of improved understanding by all stakeholders of the

business implications of WTO membership, its opportunities and challenges, he outlined three

basic principles of ITC’s strategy in implementing this ITC’s support programme on WTO

Accession. First, ITC has always advocated the notion that WTO negotiations cannot be

successfully concluded unless they are conducted in the backdrop of an already on-going

domestic reform process which has the backing of all the important stake-holders. Second, the

actual involvement and commitment of the private sector would be crucial in order to

successfully conclude WTO accession deal to that extent this programme could play a part in

widening and deepening the awareness of the benefits of openness, competition and the role of

WTO. Third, ITC encourages the collaboration between the Government and the private sector

on a regular and sustained basis through well-established and functioning mechanisms to

ensure that the genuine concerns of the private sector are fed into the negotiating positions. In

closing he stated that ITC was keen to continue this programme and plan on future activities in

consultation with the Government of Afghanistan and private sector with UNESCAP.

His Excellency Mr Shaida M. Abdali, Ambassador of Afghanistan in India, inaugurated the

conference and in his opening address, he extended the gratitude of the Afghan people and

government to UNESCAP and the International Trade Centre (ITC) for co-sponsoring the

training seminar. He underlined that the benefits of accession to WTO would help Afghanistan

to realize full multi-dimensional potential for sustainable development and achieve the core

objective of the WTO itself, that is, to facilitate unhindered international trade and investment.

Thus reforming legal environment and implementing improved trade facilitations must be seen

as a source of welfare for the citizens of Afghanistan.


In this regard, he recalled the historical importance of the geo-strategic position of the country in

international trade relations, and enhanced the emerging economic regional opportunities in

which Afghanistan should now be involved. Afghanistan –a landlocked country still faces various

challenges such as terrorism, but is situated at the crossroads of the new centers of the world

economy and will develop through bilateral and multilateral trade partnerships. His Excellency

praised the progress made by his country on its path to WTO accession but also added that it

was urgent to accelerate the process. He stated that the programme of this nature not only built

the critical institutional capacity that is direly needed in Afghanistan but also encourage and

facilitate public-private dialogue on issues that cannot be addressed by one side alone.

Perhaps, more than in any country, the two sectors must communicate and collaborate closely

in order to address the many intertwined security and economic needs of Afghanistan. he was

delighted to see both sectors well represented at the workshop.

Session 1

Multilateralism, Regionalism and Development Challenges

Dr. Nagesh Kumar, Chief Economist of ESCAP and Director, ESCAP-SSWA in his

presentation, provided insights into the relationship between trade and development, the

advantages of the multilateral framework for trade liberalization from a development perspective

and challenges it faces. The presentation comprehensively covered the recent trends in

regionalism and its place in a country’s trade policy in the context of recent trends in global

economic order and multilateral trade negotiations. Dr. Kumar stressed the importance of strong

multilateral framework and effective negotiation by leveraging the coalitions during the

multilateral trade negotiations, especially for weaker players. The presentation emphasized on

increasing regional economic integration as key step for countries’ development strategy,

especially for the South and South West Asian countries.

Session 2

Introduction to the WTO Accession: Functioning, Main principles and

procedural aspects of accession: Benefits and challenges of WTO

Membership

Mr. Arif Hussain, Senior Adviser on WTO Accession, ITC (and former Director of the WTO

Accessions Division) introduced the principal functions of the WTO and familiarized participants

with the benefits and challenges of becoming a member of WTO. In the discussion Mr. Hussain

introduced to participants the functions of the multilateral trading system and core principles that


are the foundation of the multilateral trading system. He explained the functions, strengths, the

effective dispute settlement system and the limitations of WTO as a multi-lateral organization.

Mr Hussain highlighted, that the WTO membership is important for a country as it brings in

predictability, transparency and enables to secure access for its products and services to

foreign markets. The membership shall be an opportunity for Afghanistan to initiate effective

national and domestic economic reform. And, as an LDC, Afghanistan will be eligible for

concessions and flexibilities.

Mr. Hussain also provided an overview of the accession process to the WTO, focusing on the

organization and the flow of the work involved during the accession process. He explained the

increasing role and active participation by Least Developed Countries (LDC’s) in bilateral

negotiations and decision making process at WTO and on the vital role played by international

organization like ITC in the accession process. Mr. Hussain applauded the efforts that have

been so far made by the government of Afghanistan in submitting the Memorandum on the

Foreign Trade Regime (MFTR) to the WTO

Session 3

WTO Accession of Afghanistan: Status of the negotiation process;

Benefits and Challenges

Mr. Hafizullah Baha, Professional Member of WTO Directorate, International Trade

Department, Ministry of Commerce and Industry, Government of Afghanistan presented the

current status of his country’s WTO accession process. In the session Mr. Baha described

briefly the objectives pursued by Afghanistan in pursuing WTO membership. He explained that

presently the private sector is handicapped, for lack of internationally accepted trading

companies, appropriate marketing, financing and support institutions. The WTO membership

shall pave the way for addressing the above issues, bringing stability in policy and attracting

foreign investments to the country. Afghanistan being a land locked country, the WTO

membership shall also help gain transit rights to access to sea route through neighbouring

countries and in turn to international markets.

Mr Baha explained that the accession strategy would be mainly guided by above objectives as

part of country’s effort to effectively integrate into the global economy. He also narrated the

process and steps initiated by Afghanistan in pursuit of the accession to WTO to-date. Mr. Baha

provided an update on the proceedings of Working Party meeting of Afghanistan which was

held on 18th June 2012 and the first round of bilateral negotiations regarding services was

conducted with the United States in June 2012. He informed the meeting that Afghanistan is in

the process of drafting and amending laws, regulations and procedures to bring domestic


legislation in line with WTO rules. Mr. Baha emphasized on the challenges and opportunities for

Afghanistan in gaining WTO membership.

Session 4

Case Study: Lessons Learnt from Nepal’s Experience

During the session Dr. Posh Raj Pandey, Executive Chairman, South Asia Watch on Trade

Economics and Environment (SAWTEE) who had been deeply involved in Nepal’s accession

process presented a case study on ‘Nepal’s accession to WTO’. Nepal completed the

negotiation process for WTO accession, and obtained WTO membership in 2003. The session

discussed on the issue of ‘stakeholder confidence’ and the interplay between Government,

society and private sector contributing to Nepal’s accession to the WTO. The case study of

Nepal’s accession was interesting and relevant as both Afghanistan and Nepal are both land

locked countries with LDC’s status facing similar development challenges in particular with

respect to participation in international trade.

Dr. Pandey, described how Nepal recognized WTO membership as a means for over all

development by improving democratic accountability, identifying development needs of different

sectors and capacity building of institutions. Nepal, after joining the WTO experienced high

growth rate in GDP, investment, national savings, exports and overall economy. He highlighted

industrialization, protection of local farmers, encouraging foreign investment, and improving

exports as the basis for Nepal’s WTO negotiations.

Dr Pandey emphasized the importance of wideranging consultation process and involvement of

private sector in the accession process. In Nepal’s case establishment of high level committee,

the technical committee, dedicated team and technical assistance received from UNDP and

UNCTAD accelerated the accession process. He also briefed on Nepal’s WTO negotiations and

commitments in goods and services. Dr. Pandey, based on his experience also put forwarded

a few suggestions to Afghanistan as to the process and substance of negotiations.

Thursday, 23 August 2012 (DAY 2)

Session 5

National Trade Policy for Export Competitiveness: Informed Business

Advocacy for Reform

Mr. Rajesh Aggarwal, Chief, Business and Trade Policy, ITC, Geneva at this session provided

participants with an understanding of the linkages between trade policy and export

competitiveness. On the basis of ITC’s Trade Policy Framework, Mr. Aggarwal underlined the


success-factors for business competitiveness, as well as objectives enabling export-led growth.

He added that the trade competitiveness framework needs to be a comprehensive one targeting

all the impediments at the border and behind border. Thus trade policy instruments should be

focused on a range of issues: costs of inputs (import duties on raw materials and intermediate

goods), infrastructure services costs (transport, communication and finance efficiency),

business environment, standards compliance (SPS and other technical standards), exports

costs (trade facilitation) and market access (distribution, preferential trade regime). The

objectives of such framework are: removing anti-export bias, creating competitive infrastructure

services, promoting foreign direct investment, moving good across borders effectively and

addressing export market issues.

Session 6

Roundtable Discussion: How can the private sector and stakeholders

engage constructively in the negotiation process?

Mr. Manab Majumdar, Assistant Secretary General, FICCI chaired the session. The other

speakers of the session were and Mr Alhaj Rahmuddin Haji Agha, CEO of Raheem Khairy Ltd

and Director of Afghanistan Advisory Board of National Entrepreneurs (AABNE) and Mr.

Mohammad Daoud Sultanzoy, Expert on Political and Economic Issues.

Sharing his experience at FICCI, Mr. Majunmdar emphasized the importance of constituting an

effective consultation and communication mechanism involving key stakeholders (government

officials, private sector, research organization) which is critical for ensuring inclusive trade policy

making. It was stated that as part of the core activities of FICCI, it regularly interacts with

policy makers on trade policy matters while providing valuable inputs to the government on the

basis of feedback received from stakeholders through their own consultation mechanism that

have greatly contributed to create a pro-active business community. He further underlined the

importance of the predictability and credibility of any policy framework in the absence of which a

country is unable to send out strong signals to outside countries. In this perspective, there is a

necessity for the private sector to constantly engage with public sector.

While the panelists recalled the important gaps in terms of industrial and banking capacities in

Afghanistan, discussions focused on the need for access to foreign capital and the huge

potential of the country as a transit for trade and energy distribution in the region. Thus

representatives of Afghanistan regretted being hostages of unfriendly political choices from Iran

and Pakistan when they closed all transit routes during the season of agricultural exports.

Mr. Daoud stressed the importance of private sector in economic development of his country,

which according to him has been reactive to market rather than proactive due to issues

including lack of security, predictability and conducive environment. Furthermore, he expressed

his optimism on much larger involvement of private sector in the future to act as a catalyst for


development. He further added “it’s the right time for introducing better legislations and better

government policies to support the private sector, benefiting from international experiences”

Mr Alhaj Rahmuddin expressed his view on the advantages of WTO membership for

Afghanistan and was optimistic that the membership would bring more opportunities in

enhancing transportation of goods through transit corridors, dry ports and energy sectors. He

also underlined the importance of regional cooperation for Afghanistan’s development.

Sessions 7 & 8

Trade in Services and WTO Accession:

Regulating Openness in Services Sectors, Economic importance of services trade and regulations; negotiating market access in services (lessons-learnt)

In this session Mr. Sumanta Chaudhuri, Joint Secretary, Department of Commerce, Ministry of

Commerce and Industry, Govt. of India, introduced participants to ‘services trade’ which is

growing in economic importance globally and in the region and its relevance for the entire

private sector. Mr. Chaudhuri explained key features, including categorization of services in

different modes of services trade, and how domestic regulations are impacted by the GATS.

Using the Indian example of liberalizing trade in services, the session highlighted the potentials

for economic growth through the services sector development, regulation and liberalization.

Services were included for the first time in the Uruguay round in 1995: General Agreement on

Trade in Services (GATS) is very wide and affects all services, except those in exercise of

Government authority, and most of Air Traffic Services. He clarified the four modes of supply:

Cross border (e.g. consulting), Consumption abroad (e.g. tourism), Commercial presence (e.g.

banking) and Presence of natural persons (e.g. migration of skilled personnel). Mr. Chaudhuri

stressed the importance of mode 3 as crucial and said it depends on the way Afghanistan will

define its foreign investment regime. In light of Afghanistan’s negotiations on services, as a

WTO acceding country, Mr. Chaudhuri elaborated how the ‘Scheduling of Commitments’

should be structured under different modes taking into account of policy intentions. In this

exercise he emphasized the importance of drawing lessons from the implications of

commitments that have been inscribed by the recently accessed countries such as Viet Nam

and Nepal.


DAY 3: Friday, 24 August 2012

Session 9 &10

Market Access Negotiations (request and offer) in goods and

services. LDC Accession Experience and Commitments

The speaker of session Mr. Sajal Mathur, Centre for WTO Studies, IIFT, New Delhi who also

served as secretary to Working Party of Accession of Afghanistan, provided insights into the

conditions and processes that need to be followed by countries before becoming a member of

WTO. In this context Mr. Mathur elaborated on the process of bilateral negotiations involved in

market access, commitments on tariffs of Goods and commitments on trade in services which

constitute, among others, an integral part of WTO accession process. The presentation also

explained important WTO rules and disciplines and allowed an in-depth understanding of the

actual negotiation and accession process.

During the discussion a great deal of attention was paid to clarifying the preparation of

‘Schedule of Tariff Concessions’ and other key terminologies used in scheduling such as Tariff

bindings, Initial Negotiating Rights (INRs), Tariff-Rate Quotas, non-tariff concessions,

Agriculture Subsidies, MFN rates. Mr. Mathur also enlightened the participants about other

substantive disciplines embodied in WTO system customs-related regulations, import and

export restrictions, domestic support, rules on state-trading enterprises etc. Transparency and

notification obligations that acceded members are required to abide by, were explained with

some specific examples. Further, while sharing the experiences of recently acceded LDCs he

discussed about market access negotiations and how to approach them by identifying sensitive

products and service sectors, and also underlined the importance of sector by sector analyses

of domestic capabilities while deciding on the limits of negotiation.

Considering the LDC status of Afghanistan, Mr. Mathur also elaborated on special and

differential treatment for acceding LDCs and transitional arrangements to be granted taking into

account individual development, financial and trade needs of the LDC. He suggested that

Afghanistan should fully make use of such flexibilities while negotiating with the WTO

membership. He also stressed that transition periods are granted on the basis of action plans

and with Technical Assistance (TA) to support implementation of verifiable action plans.


Session 11

Market Openness in Selected Service Sectors: Telecommunications;

Financial Services; Energy; Transport

Mr. Hafizullah Baha, Professional Member of WTO Directorate, International Trade Department,

Ministry of Commerce and Industry, Government of Afghanistan made a comprehensive

presentation clarifying the domestic policy-issues and considerations that would determine

Afghanistan’s position and interests in the area of accession negotiations in services. The

following points were highlighted.

Previously the public sector was the primary supplier of services in Afghanistan and the role of the private sector was highly limited.

By adopting a development and growth strategy based on an open, private sector-led

market economy, there had been a substantial increase in trade in services in a number of areas.

The aim of the Government's policy was to efficiently meet consumer needs by ensuring

effective competition among service providers subject to the regulation of services sectors via licensing.

Foreign investment in services and foreign companies in general were currently leading

the development of the service sector.

The general policy is to promote open competition in all sectors of services in the

country. there is no exclusive or monopolistic rights to provide services in the country, except in

electricity and drinking water

He informed the meeting that Afghanistan’s offer on services was submitted to WTO secretariat

in June 2012 after having completed an extensive domestic consultation process involving

concerned departments and private sector. While elaborating the commitments inscribed in the

schedule submitted, he stated that almost around 90 service sub sectors are added to the

Afghanistan offer on services with the hope that these sectors would bring tangible employment

creation opportunities in Afghanistan through foreign direct investment. In this context he

clarified that offers inscribed in national treatment and market access columns in the schedule

of horizontal commitments are clear indication of a friendly foreign investment regime intended

to encourage FDI in to the country.


Session 12

Negotiating WTO Accession: Standards and SPS Agreement

Dr. Dayaratna Silva, Deputy Head, ESCAP SSWA, in the session reinforced the importance of

food and agriculture sector of Afghanistan economy and the need for compliance of WTO

discipline on SPS discipline in the accession negotiations. Dr. Silva discussed international

standards and measures to be followed by WTO member countries while trading in food and

agricultural products. He explained sanitary and phytosanitary measures (SPS Agreement)

which allows governments to restrict trade in order to protect human animal or plant life or

health but arbitrary use of such measures are not consistent with WTO discipline. He

emphasized, Afghanistan being an agricultural economy, compliance with the SPS standards is

vital to develop strong export oriented food sector which is currently limited to regional markets

in the region. The session enabled participants gain insights into the agreement that sets out the

basic rules for food safety and animal and plant health requirements. With regards to the

Afghanistan’s WTO accession Dr. Silva recommended an action plan with government

establishing a dedicated unit to service the negotiation relating to SPS issue, manned with staff

specialized in the field of food safety, animal and plant health.

Concluding Session

Dr. Nagesh Kumar, Chief Economist of ESCAP and Director, ESCAP-SSWA, Mr. Rajesh

Aggarwal, Chief, Business and Trade Policy, ITC, Geneva and Mr. M. Ashraf Haidari, Deputy

Ambassador, Embassy of Afghanistan spoke during the session

Mr. Rajesh Aggarwal, in his remarks assured the representatives of government of

Afghanistan other participant every possible support of ITC to government of Afghanistan in the

Accession process.

Mr. M. Ashraf Haidari, in his concluding remark highlighted the strategic advantage of

Afghanistan connecting the east to the west and north to the south and look ahead for

Afghanistan to play key role in international trade he also thanked and welcomed the support

and assistance extended by ESCAP, ITC and the international community as a whole.

In his closing remarks Dr. Nagesh Kumar, thanked the deputy Ambassador of Afghanistan,

distinguished participants from Afghanistan, expert speakers of the sessions and guests, for the

strong support they extended for making the program a grand success. He assured that he and

his team would strive to meet the developmental aspirations of members States from the South

and South-West Asian Subregion.


Annexure I

Technical Capacity Building for Afghanistan’s Accession to WTO – Lessons from Recent Accession

& their Development and Business Implications 22-24 August 2012, New Delhi

Venue: Conference Hall, ESCAP-SSWA C-2 Qutub Institutional Area, New Delhi

Programme

Wednesday, 22 August 2012 (DAY 1)

09.30 – 10.00 Registration and coffee

10.00 – 10.30 Opening Session

Welcome Address by Dr. Nagesh Kumar, Head, ESCAP South and South West Asia Office and Chief Economist of UN-ESCAP

Opening Remarks by Mr. Rajesh Aggarwal, Chief, Business and Trade Policy, ITC, Geneva

Statement by H.E. Mr. Shaida Mohhamad Abdali, Ambassador of Afghanistan, New Delhi

10.30 – 11.30 Session 1: Multilateralism , Regionalism and Development Challenges Speaker: Dr. Nagesh Kumar, Head, ESCAP SSWA Open Discussion

11.30 – 11.45 Coffee/Tea Break

11.45 – 13.00 Session 2: Introduction to the WTO Accession: Functioning, Main principles and procedural aspects of accession. Benefits and challenges of WTO Membership Speaker: Mr. Arif Hussain, Senior Adviser on WTO Accession, ITC (and former Director of the WTO Accessions Division) Highlighting the principal functions of the WTO, this session will introduce participants to the benefits and challenges of becoming a member of WTO. Participants will be introduced to the functions of the multilateral trading system, core principles that are the foundation of the multilateral trading system ‘Most Favoured Nation’, and National Treatment. Overview of the accession process to the WTO, focusing on the organization and the flow of the work involved during the accession process. Open discussion

13.00 – 14.00

Lunch

14.00 – 15.00

Session 3: WTO Accession of Afghanistan: Status of the negotiation


15.15 – 17.00 Session 4: Case Study: Lessons Learnt from Nepal’s Experience

Speaker: Dr. Posh Raj Pandey, Executive Chairman, South Asia Watch on Trade Economics and Environment (SAWTEE) Nepal completed the negotiation process for WTO Accession, and obtained WTO Membership in 2003.SAWTEE was one of the non-governmental organizations (NGOs) which played an active and positive role in Nepal’s accession to WTO, emphasizing critical areas for attention, and pointing towards opportunities for the country’s development. This session sheds light on the issue of ‘stakeholder confidence’ & the interplay between Government, society and private sector contributing to Nepal’s accession to the WTO. Open Discussion

Thursday, 23 August 2012 (DAY 2)

09.30 – 11.00 Session 5: National Trade Policy for Export Competitiveness: Informed Business Advocacy for Reform

Speaker: Mr. Rajesh Aggarwal, Chief, Business and Trade Policy, ITC, Geneva

This session provides participants with an understanding of the linkages between trade policy and export competitiveness. On the basis of ITC’s Trade Policy Framework, participants will understand the success-factors for business competitiveness, as well as objectives enabling export-led growth.

11.00 – 11:15 Coffee/Tea Break

11:15 – 12.00 12.00 – 13.00

Continued Session 5 + Open discussion Session 6 : Roundtable / Discussion

How can the private sector and stakeholders engage constructively in the negotiation process?

Speaker/Moderator: Mr. Manab Majumdar, Assistant Secretary General, FICCI

Supporting a pro-active business community, this presentation will also shed light on potentials and instruments of effective business advocacy and public private collaboration.

process; Benefits and Challenges Speaker: Mr. Hafizullah Baha, Professional Member of WTO Directorate, International Trade Department, Ministry of Commerce and Industry, Government of Afghanistan Presentation and discussion focusing on the objectives pursued with WTO Membership of Afghanistan, as well as the accession strategy guiding those objectives. Perspectives on the unique situation of Afghanistan economy and regulatory environment, as a background to the Government-led negotiations and reform-process. Open Discussion

15.00-15.15

Tea break


Open Discussion

13.00 – 14.00 Lunch

14.00 – 15.00 Session 7: Trade in Services

Speaker: Mr. Sumanta Chaudhuri, Joint Secretary, Department of Commerce, Ministry of Commerce and Industry, Govt. of India

This session will introduce participants to services trade, the growing economic importance and its relevance for the entire private sector. Using the Indian example of liberalizing trade in services, this session will highlight the potentials for economic growth through services development, regulation and liberalization. Open discussion

15.00 - 15.15 Coffee/Tea Break

15.15 – 17.00

Session 8: WTO Accession: Regulating Openness in Services Sectors. Economic importance of services, trade and regulations; negotiating market access in services (lessons-learnt) Speaker: Mr. Sumanta Chaudhuri, Joint Secretary, Department of Commerce, Ministry of Commerce and Industry, Govt. of India Introduction to multilateral framework that regulates services trade multilaterally; the General Agreement on Trade in Services (GATS). Explanation of key features, including categorization of services in different modes of services trade, and how domestic regulations are impacted by the GATS. In light of Afghanistan’s negotiations on services, as a WTO Acceding country, introduction to the ‘Scheduling of commitments’ and commitments undertaken by recently acceded countries. Open Discussion

Friday, 24 August 2012 (DAY 3)

09:30 – 11:00 Session 9: Market Access Negotiations (request and offer) in goods and services. LDC Accession Experience and Commitments

Speaker: Mr. Sajal Mathur, Centre for WTO Studies, IIFT, New Delhi

In this session, participants will gain insights about the conditions of becoming a member of WTO, on ‘terms to be agreed’. The presentation will focus on the substance of the negotiation process, specifically market access commitments on tariffs. The presentation will take into account lessons learnt from recently completed WTO Accession processes. Open Discussion

11:00 – 11:15

Coffee/Tea Break

11:15 – 13:00

Session 10: Negotiating WTO Accession: rules and other specific commitments, including their business implications

Speaker: Mr. Sajal Mathur, Centre for WTO Studies, IIFT, New Delhi


This session will introduce participants to experiences from recently acceded countries, in specific with regard to complying with multilateral rules, such as customs-related regulations, import and export restrictions, domestic support, rules on state-trading enterprises. Attention to Members transparency and notification obligations. Open discussion

13:00 – 14.00

Lunch

14.00 – 15.00

Session 11: Market Openness in Selected Service Sectors: Telecommunications; Financial Services; Energy; Transport

Speaker: Mr. Hafizullah Baha, Professional Member of WTO Directorate, International Trade Department, Ministry of Commerce and Industry, Government of Afghanistan

With a view to Afghanistan’s negotiations in the field of services, this session sheds light on the domestic policy-issues and considerations that will determine Afghanistan’s position and interests in the negotiations. Open Discussion

15.00 – 16.00

Session 12: Negotiating WTO Accession : Standards and SPS Agreement

Speaker: Mr. Dayaratna Silva, Deputy Head, ESCAP SSWA

As the Agriculture sector remains a cornerstone for many economies, it also is a sensitive part of the WTO Accession negotiations. Apart from market access for agricultural products, WTO Membership also requires countries to comply with international standards in protecting health. The WTO Agreement on the Application of Sanitary and Phytosanitary Measures (SPS Agreement) allows governments to restrict trade in order to protect human, animal or plant life or health, provided this is scientifically justified and follows certain requirements. In this introductory session, participants will gain insights into the agreement that sets out the basic rules for food safety and animal and plant health requirements. Open Discussion

16.00 – 16.15 Coffee/Tea Break

16.15 – 17.00 Concluding Session: Recommendations for Afghanistan Strategy for WTO Accession Building stakeholder confidence for WTO Accession of Afghanistan: what role for the private sector? What lessons from Nepal and other countries’ accession processes for Afghanistan? Open Discussion

17.00

Evaluation and Vote of Thanks


Annexure II LIST OF PARTICIPANTS

AFGHANISTAN

H.E. Mr. Shaida Mohhamad Abdali, Ambassador Extraordinary and Plenipotentiary, Embassy of Afghanistan, 5/50F, Shantipath, Chanakyapuri, New Delhi 110 021. Tel: +91-11-24103331, 24100486 Mr. M. Ashraf Haidari, Deputy Ambassador, Embassy of Afghanistan, 5/50F, Shantipath, Chanakyapuri, New Delhi 110 021. Tel: +91-11-24870486; E-mail: [email protected] Mr. Ahmad Fardin Zalali, Deputy Commercial Attache, Embassy of Afghanistan, 5/50F, Shantipath, Chanakyapuri, New Delhi 110 021. Tel: +91-11-26111527; E-mail: [email protected] Mr. Hafizullah Walirahimi, Director, Ministry of Commerce and Industries (MOCI), 19, Darul-Aman Road, Kabul, Aghanistan. Tel:+93-79831333/772016828; Email: [email protected] Mr. Mirwais Ahmad Zai, HR Director, Ministry of Commerce and Industries (MOCI), Karte Say Darulaman Road, Kabul, Afghanistan. Tel: +93-202502370/700176070; Email: [email protected] Mr. Anar Gul Sahadat, Director of Enterprises and Reforms Corporation, Ministry of Commerce and Industries (MOCI), Kart-e-Now, 8th District, Kabul, Afghanistan. Tel: +93-700200438/ 788921459 Mr. Mohammad Daoud Sultanzoy, Expert on Political and Economic Issues and TV Presenter at Tolo News TV. House # 259, Street 4, District 6, Karti Se, Kabul, Afghanistan. Tel: +93-700626666; Email: [email protected] Ms. Bibi Haji Parwin Durani, Afghanistan Advisory Board of National Entrepreneurs (AABNE), Hasa Sewan Khair Khanna Parwan Hotel Mohsin Massod Co Kabul, Afganistan. Tel : +93 799329632; E-mail: [email protected] Mr. Alhaj Rahmuddin Haji Agha, CEO of Raheem Khairy Ltd and Director of Board, Afghanistan Advisory Board of National Entrepreneurs (AABNE), Darulaman Road, Kart C-3, Kabul- Afganistan. Tel: +93 700 36 7918 Fax: +93 781367918; E-mail: [email protected] Mr. Mirwais Yousufzai, Ministry of Commerce and Industries (MOCI), Karta-Maw-District 8, Kabul, Afghanistan. Tel: +93-785504505/700976322; Email: [email protected] Mr. Hafizullah Baha, Professional Member of WTO, Ministry of Commerce and Industries (MOCI), 1004 Darul Aman, Kabul, Afghanistan. Tel: +93-791802832/772652564; Email: [email protected] Mr. Mohammad Asghar Anwari, Professional Member of WTO, Ministry of Commerce and Industries (MOCI), 1004 Darul Aman, Kabul, Afghanistan. Tel: +93-787523218/700224812; Email: [email protected]


Mr. Sultan Masoud Sultani, Trade Agencies Officer, Ministry of Commerce and Industries (MOCI), Kart-se-darul Aman Road, Kabul, Afghanistan. Tel: +93-799389510; Email: [email protected] Mr. Nisar Ahmad Masoud, Regional Trade Advisor, Ministry of Commerce and Industries (MOCI), Karte Se Darulaman Road, Kabul, Afghanistan. Tel: +93-795400178/774241250; Email: [email protected] Mr. Mohammad Azim Wardak, WTO Desk Officer, Ministry of Foreign Affairs (MOFA), 5th District, Kabul, Afghanistan. Tel: +93-2104350; Email: [email protected] Mr. Naqibullah Ahmadzai, National Expert, Ministry of Commerce and Industries (MOCI), 1004 Darul Aman, Kabul, Afghanistan. Tel: +93-776084228; Email: [email protected] Ms. Somaya Salman Ali, Office Manager, Afghan Women Business Federation (AWBF)-Affiliated member of the Afghanistan Chamber of Commerce & Inudstries (ACCI). Email: [email protected] Mr. Mohammad Muhsin, Afganistan Advisory Board of National Entrenears (AABNE), Esa Sewan Khair Khanna Parwan Hotel Mohsin Massod Co Kabul, Afganistan. Tel: + 93 799329632; E-mail: [email protected] Mr. Abdul Hai Qadari, Director of New Qadari Co. Ltd. and Member of Kandahar Advisory Borad, 308 # 3rd Floor Ansari Buisness Center Kandahar, Afghanistan. Tel :+ 93 30 200 2818 Fax: +93 700837085; E-mail: [email protected] Mr. Mir Ahmad Haji Malim, Director of Pashton Gafari Col. Ltd. and Assistant, Kandahar Advisory Board, Haji. Nazar Jan Market, First Floor No: 45, Kandahar, Afghanistan. Tel: +93 700 304181; E-mail: [email protected] Mr. Sarfaraz Sahebzada, Business Development Manager, Balkh Chamber of Commerce and Industries (BCCI), Kart-e-aryana-mazar-e-sharif, Kabul, Afghanistan. Tel: 93-502045042; Email: [email protected]; [email protected] Mr. Ali Zaki, Regional and International Organization’s Desk Manager, Afganistan Chamber of Commerce and Industries (ACCI), Chaman-e-Huzuri, next to Kabul Nandari, Kabul, Afghanistan. Tel: +93-752130773; Email: [email protected]; [email protected] Mr. Ahmad Fawad Farhmand, Export Promotion Manager, Kabul Chamber of Commerce and Industries ( KCCI), Chaman-e-Huzuri, next to Kabul Nandari, Kabul, Afghanistan. Tel: +93-752130773/798251241; Email: [email protected] Mr. Mojahedullah, Vice President, Kunar Chamber of Commerce and Industries ( KCCI), C4, 3rd Floor, Computer City Plaza, Haji Yaqoob Square, Kabul, Afghanistan. Tel: +93-202200995; Email: [email protected] Mr. Ajmal Shams, Association Development Officer, Nangarhar Chambers of Commerce and Industries (NCCI), Nangarhar, Jalal Abad City, Afghanistan.


RESOURCE PERSONS/SPEAKERS

Dr. Nagesh Kumar, Head, ESCAP South and South-West Asia Office and Chief Economist of ESCAP, C-2, Qutab Institutional Area, Post Box No. 4575, New Delhi 110 016. Tel: +91-11-30973701/02; Fax: +91-11-26856274; E-mail: [email protected]

Mr.Rajesh Aggarwal, Chief, Business and Trade Policy, International Trade Centre (ITC),

Geneva, Palais des Nations, 1211 Geneva 10, Switzerland. Tel: +41 22 730 0306; Fax. +41-

22-730.0570; E-mail: [email protected]

Mr. Arif Hussain, Senior Adviser on WTO Accession, International Trade Centre (ITC) and Former Director, WTO Accession Division, International Trade Centre (ITC), Geneva, Palais des Nations, 1211 Geneva 10, Switzerland. E-mail: “Arif Hussain” <[email protected]>

Mr. Sumanta Chaudhuri, Joint Secretary, Department of Commerce, Ministry of Commerce and Industry, Government of India, Udyog Bhawan, New Delhi. Tel: +91-11-23063766; E-mail: [email protected] Dr. Dayaratna Silva, Deputy Head, ESCAP South and South-West Asia Office, C-2, Qutab Institutional Area, Post Box No. 4575, New Delhi 110 016. Tel: +91-11-30973703; Fax: +91-11-26856274; E-mail: [email protected]

Dr. Posh Raj Pandey, Executive Chairman South Asia Watch on Trade Economics and Environment (SAWTEE) P.O Box: 19366 Tukucha Marg, Baluwatar Kathmandu, Nepal. Tel: 977-1-4444438, 4424360; Fax: 977-1-4444570; Email: [email protected] Mr. Sajal Mathur, Professor, Centre for WTO Studies, Indian Institute of Foreign Trade, Room No. 722 D, IIFT Bhawan, B-21, Qutab Institutional Area, New Delhi – 110016. Telefax: +91 11 26512151; Email: [email protected] Mr. Manab Majumdar, Assistant Secretary General, Federation of Indian Chambers of Commerce of Industry (FICCI), Federation House, Tansen Marg, New Delhi 110001. Tel: +91-11-23357390/23765322; E-mail: [email protected]; [email protected]

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