WCO JICA Team Up to Upgrade Customs Systems in Developing Countries

The World Customs Organization (WCO) and the Japan International Cooperation Agency (JICA) signed a Memorandum of Cooperation in 2015. This collaboration aims to improve customs administration in developing countries and promote economic development through capacity building, customs modernization, and trade facilitation. Both parties will deepen cooperation, innovate approaches, and jointly address new global trade dynamics. The goal is to build a more open, inclusive, and mutually beneficial global trade landscape.
WCO JICA Team Up to Upgrade Customs Systems in Developing Countries

Imagine a port where goods clearance moves at a glacial pace, cargo piles up like mountains, and trade costs remain stubbornly high - a scenario that continues to hamper economic growth in many developing countries. Breaking this cycle by enhancing customs efficiency and facilitating international trade has become a critical challenge for the World Customs Organization (WCO) and the Japan International Cooperation Agency (JICA). On January 27, 2015, these two organizations took a significant step forward by signing a Memorandum of Cooperation (MOC), marking a new chapter in their joint efforts to strengthen customs capabilities in developing nations.

A Landmark Agreement Signed in Brussels

The historic signing ceremony took place at WCO headquarters in Brussels, where Secretary General Kunio Mikuriya and JICA President Akihiko Tanaka formalized their partnership. The event was attended by Mr. Yoichiro Yamada, Minister at the Japanese Embassy in Belgium. This framework establishes long-term cooperation between the organizations, focusing on supporting customs administration development, modernization, and capacity building in developing economies - initiatives expected to drive substantial economic improvements.

Building on African Success Stories

Secretary General Mikuriya highlighted the organizations' productive history of collaboration, particularly their joint One-Stop Border Post (OSBP) projects across Africa. In these initiatives, JICA handled infrastructure development while WCO provided technical expertise to streamline customs procedures. The results have been transformative: enhanced border management efficiency, significantly reduced trade costs, and accelerated regional economic integration. The new memorandum institutionalizes these successful practices while creating opportunities for expanded cooperation.

Aligning with Global Trade Priorities

The agreement aligns with WCO's 2015 focus on Coordinated Border Management (CBM), which emphasizes customs' vital role in regional integration. By strengthening collaboration between customs administrations and partner agencies, the approach aims to expedite cross-border goods movement and facilitate trade. Mikuriya also referenced WCO's Mercator Programme, designed to support implementation of the WTO Trade Facilitation Agreement (TFA) and drive customs modernization worldwide.

Synergizing Strengths for Greater Impact

Both leaders emphasized their shared vision and complementary capabilities. WCO brings extensive technical expertise in customs operations, while JICA contributes substantial funding resources and project management experience. The partners committed to regular policy dialogues and exploring concrete joint initiatives under the memorandum's framework, moving beyond theoretical cooperation to practical, on-the-ground solutions.

Three Pillars of Collaboration

The partnership will concentrate on three key areas:

Capacity Building: Customized training programs, technical assistance, and expert consultations to strengthen customs administration capabilities, including improved enforcement against smuggling and fraud.

Modernization: Supporting technological upgrades, process optimization, and information management systems to enhance efficiency and transparency in customs operations.

Trade Facilitation: Implementing measures to simplify procedures, reduce trade barriers, and lower transaction costs - ultimately fostering healthier international trade ecosystems.

Innovative Approaches to Development Challenges

The collaboration represents an innovative model combining WCO's technical guidance with JICA's financial resources. This blended approach promises more comprehensive support for developing nations seeking to modernize customs operations and stimulate economic growth. The Malaba border post between Kenya and Uganda demonstrates this potential, where OSBP implementation reduced clearance times by over 50% while significantly cutting trade costs.

While challenges persist in adapting to evolving global trade dynamics and diverse national circumstances, the WCO-JICA partnership positions both organizations to help developing countries navigate these complexities. By leveraging their combined strengths, they aim to create more inclusive, efficient global trade systems that benefit all participants.